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tv   Bloomberg Daybreak Asia  Bloomberg  December 5, 2021 6:00pm-8:00pm EST

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haidi: good morning, i'm haidi stroud-watts and sydney. kathleen: i'm kathleen hays in new york. welcome to daybreak asia. our top stories this hour, a risk off mood sweeps the markets as a hawkish fed and omicron way on sentiment. crypto looks to make a comeback after taking a hard hit. evergrande's long-awaited debt restructuring may finally be at hand, posing a fresh test to
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president xi. china security watchdog downplays overseas delisting concerns as adr losses since february topped $1 trillion. haidi: let's get you straight to the start of the open and sidney on this monday morning. we are seeing expectations that we will see with volatility and risk aversion sweeping across the asia open. while we are seeing downside at a quarter of 1% when it comes to trading and seek me -- and sydney, we are expecting them to say how they view economic momentum and if they address the gap between market expectations and when the rba thinks they will start that tightening. and it comes to new zealand, we are seeing downside pressures. chicago nikkei futures looking positive. we are hearing from people familiar with the situation that some of the uncertainty surrounding the omicron variant is making some boj official see increased risk in ending or scaling back the covid aid levels. we are continuing to watch that.
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when it comes to the markets, the are seeing more companies listing in japan this month than there ever has been. kospi futures are looking positive there. we are watching some of these covid restrictions having an impact there as well. did see investors coming in for the offers last week. kathleen: let's look at u.s. futures. nasdaq was the biggest loser on friday, losing more than 2%. today, we see the s&p futures up pretty steady, but definitely suggesting that people have had enough of a meltdown and they are ready to put their toes back in the water. the u.s. 10 year bond futures are looking a little bit to the downside. so the price following signals a higher yield. but with the 10-year haven't gotten down to 1.33%, that is still a very low yield. brent crude, after falling on friday, posting its weekly loss, worst record since 2018, now
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showing a bit of a rebound. brent is up more than 1.5 percent. new york crude, west texas intermediate up one and three quarters. saudi is raising their oil prices for asia. perhaps has something to do with the fact that this will be more profitable, despite the fact that protection has been raised in omicron is a threat to demand. market watchers are saying the weekend plunge and cryptocurrencies could be a battle ahead of the monday market open. su keenan joins us. even the boldest dip for bitcoin and all the things they are buying, do you think they are ready to get back in after getting pummeled? su: it is not unheard of from crypto, which trades 20 47. bitcoin better and -- bitcoin veterans say, this is how we roll. get rail or get out. if you drop -- get real or get out. if you drop it in the bloomberg, it was quite the drop.
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it does raise questions that perhaps it could signal that even this wild west asset is not averse to concerns about volatility. perhaps we might not see the same comeback we have seen in the past. let's go to the three-day chart, you will see how severe this drop was. 21% on saturday, pushing it down or for -- near 42. it rebounded up close to 49. you can see it struggling to get above that. but it's well below its record high of close to 69,000. in the selloff was widespread across the entire crypto universe, which has dozens of coins. the big popular one, joe's coin, shiba inu, also lost a fit of their value at the low point of weekend trading. as the second to largest crypto also tumbled almost as much as bitcoin. it was down 17%, but it raised
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all of that loss in again, it is seen as outperforming bitcoin, at least in this last crash. you are looking at the volatility in these huge peaks and falls for bitcoin. where it is from here? it could go back above 52,000. it could also revisit the lows of july of 30,000 others. this week is very key. haidi: su keenan there. turning to china, to major watchers. company developer evergrande's longer wait -- long-awaited debt recovery may be at hand. looking to more commentary from officials on overseas stock listings. let's ring in our chief north asia correspondent stephen engle. it has been months of speculation and anticipation. are we nearing some sort of resolution on what evergrande is going to look like now? stephen: it looks that way. the debt restructuring plan
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could be in the offering, as we heard from evergrande that made a statement to the stock exchange, that it once it -- engage with offshore creditors. keep in mind that evergrande has been fairly quiet the last couple of weeks, as it has met its short-term obligations on coupon payments. it's not like it has devoid -- avoided default, but the indication that it wants to actively engage with offshore creditors indicate some of these liabilities that are coming through, immediately, including today. there's another 83.5 million coupon payment onto bond, the 30 day grace period expire today. they need to come up with that payment today, otherwise they will default. this is the clearest indication that this company might not be able to meet some of the outgoing liabilities. as we know it's the most added developer, kind of the poster trial -- child of the liquidity
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problem among developers. sunshine 100 was listed here in hong kong and defaulted on 179 million u.s. dollars in debt and interest payments. so the authorities in china are very concerned about contagion. in fact, the government summoned the founder to the government offices to express their concern about the debt restructuring that it is in an orderly process. there is no indication there will be any bailout for china evergrande. but pboc was also out with a statement saying, these troubles and china evergrande are its own doing. essentially because of reckless expansion. the government is obviously concerned as we head into a new chapter in the evergrande saga. kathleen: china's government is showing they have a lot for rocking the boat. john lewin beijing had the front row seat. a big drop in the share prices
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on friday, carried over to the u.s.. the nasdaq china dragon index just got pummeled. is this ok with the government? are they waiting for more, or will they may be pullback and reassure people there's an orderly way to do this? >> the securities regulator was out over the weekend with a statement trying to do just that. they were trying to reassure people that the government in beijing is not forcing companies to delist from the u.s. obviously, that plunge in trade in china stocks coming after we got the news. they will delist the shares just months after the ipo in the u.s. and try to relist them as hong kong. that sparked a lot of concern that other companies, be it alibaba, baidu you are jd.com will have to do something similar. obviously there is the fcc, which late last week announced
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the additional steps it will take to enforce the ruling that if chinese companies do not open their audit books to u.s. regulators, they will be forced to delist from the u.s. china's concerns about data securities in the manifesting in didi saga has added to the concern that a lot of these stocks trading in the u.s. won't be for very much longer. kathleen: our greater china executive john lewis in our chief north asia correspondent stephen engle. we will have more coverage on china's delisting threat in the next hour. then harbor was an earlier investor. he will join from beijing. let's get to vonnie quinn with the first word headlines. vonnie: kathleen, thank you. u.s. defense secretary lloyd austin said washington will stand up to what he calls an assertive and autocratic china and the indo pacific region and beyond. strengthening alliances in the region is one way to counter
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china's military modernization. growing nuclear capabilities as well. >> the activity that we see in the region and other parts of the globe is discerning. it's racing to develop military capability as fast as it can, but some of the course of activity we see in the region has us and our partners in the region very concerned. vonnie: ray dalio has taken to social media has saying he properly answered a question about china during an interview on cnbc. the founder compared china to a strict parent when asked about the disappearance of -- he said he did not mean to downplay human rights, but was attempting to explain the chinese approach to governing as institution ideas about family. australian health officials have confirmed the omicron variant of the coronavirus is circulating in the community. 15 cases have been detected so
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far. a new south wales chief medical officer said she expects to see an uptick of cases in sydney. australia authorize the vaccination of children between the ages of five and 11 years old, with the rollout due to start in january. global news, 24 hours a day, on air and on bloomberg quicktake, powered by 2700 journalists and analysts in more than 120 countries. haidi: more on the virus ahead as omicron continues to spread. there are only signs of hospitalizations remaining stable. we will discuss with the cochair and diseases expert. up next, the market outlook as warning signs go across chris assets. this is bloomberg. ♪
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kathleen: markets around the
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world potentially looks set to start the week under pressure amid the federal reserve parker stilts and the impact of omicron as risk aversion tips financial markets. let's get analysis from tribeca's portfolio manager. jun, what do you see about to unfold in asia, as you look at the asx australian stocks, looking ahead to the nikkei and kospi, is this a run from risk that we stop -- saw starting friday and with bitcoin going to continue? jun: absolutely. at this point, interestingly enough, australia's future market is off to a positive start. but we don't think that will hold on for long. we expect the risk on sentiment to continue to ripple through the market. the key is, as you point out rightly, that the tech and growth stock will be sold off far more than the risk of the market. we see the gyration between
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value and growth through text certainly today. kathleen: how long is this going to continue? is this just one thing led to another? in the u.s. it was the tables were weak but unemployment fell through gyrations of the open period stocks rallied, they fell back. chinese tech stocks fell, is it something that we can quickly shrug off, or is it the beginning of a trend? jun: you are absolutely right. i think this is something that we will shrug off soon. because, when you think about what the markets are worried about at the moment, it seems to be about everything, worried about the inflation, then we worry about the interest rate might go up too quickly. then we worry about omicron might affect the prospects. all these factors that markets worry about at this point. the market has done very well
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this calendar. people are taking money off the table because we are headed to christmas. there has been a hint that the volume is driven by market trade at this point. ultimately, interest rates will go up, and not as quickly as we think at the moment. we think that omicron, wet market has done with the previous variant of the covid, has managed to struggle with its previous impact, so we think it will do the same with this variation as well. so we just take a step back and let the share price comes to you as active investors take advantage of the opportunity. kathleen: -- haidi: is china a bigger concern for investors in this part of the world, particularly as we await the restructuring news out of evergrande? jun: it has been for quite some time. certainly, china being the second largest economy for the world -- in the world.
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that slowdown in china does drive the future prospects. but there has been an estimate and motion for things at the beginning of this year. so it is conservative in terms of growth. the restructuring of evergrande, we think it's the part it needs -- path it needs to take, that i think ramification on the rest of the world with it being minimal at this stage. ultimately, china is restructuring a lot of it sectors at this point, and next year we do suspect easy conditions in terms of monetary policy credit conditions getting easier and there will be a little bit of stimulus to get the economy going again. haidi: when it comes to the rb o'connor there seems to be this credibility gap or disbelief in what the rba says and what you see markets and traders pricing it in at a >> -- and at.
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jun: rba is similar to other banks. once you express that they will have our economies back, so they will keep the conditions easy enough so that we recover from this health crisis. however, the bond market, there's a lot of flow into the bond market and it's putting pressure for the rates market, if they are going to control the yield curve. ultimately, interest rate will have to go higher at some point because we are still at and emergency level because of the pandemic. the next 12 months we should expect the rates to start going higher, beginning with the rates. but that is nothing to cause alarm. just going back to a more normalized level. we are still significantly below with the interest rate was before covid. haidi: always great to see you.
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the portfolio manager at tribeca. we have breaking news when it comes to the ai giant. they are offering shares between $3.85 and $3.99. each according to reporting and local media there. they are said to raise as much as 6 billion hong kong and that. we had earlier heard that they were looking to raise at least $1 billion u.s. as china artificial intelligence firm received from the stock exchange period this comes as we get reports of china trying to crack down on that vi e loophole, which could mean that cybersecurity reviews could be required for firms planning ipos in hong kong, if it decides the listing could have national security implications. of course, we will continue to watch and see if that affects this time, which makes ai technology for facial recognition. we have much more to come. this is bloomberg.
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>> overall, a strong report. >> much better than the headline suggests. >> good report across the board. >> jobs growth was disappointing. >> a lot of that looks like seasonality and the impact of seasonal flows. >> it's exactly the kind of report that the fed wants to see. like there's no ambiguity, the fed has a window to move and will take advantage. >> have to start moving. >> the risks are certainly tilting towards earlier. >> they have to make up the lost ground and that means a hike in rates. >> you can go faster than you normally want to go. >> the fed is looking at raising rates into a decelerating growth backdrop. we think they will have an awfully hard time doing that. >> the fed will be have to be very smart, both in what it says
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in its commute occasion, and it's limitation. kathleen: some of our recent guests with their news on the u.s. jobs data. u.s. job growth slowed in november, posting the smallest increases year. the unemployment rates fell by more than forecast to 4.2%. labor secretary marty walsh spoke to bloomberg after the report. >> if you look at what happened since president biden has taken off, i'd say we have a strong market moving forward. obviously, we have job openings that we have to work on, we saw people out of work. and as you mentioned, and the words before i came on here, we're still dealing with the coronavirus. we are looking at the new variant to see what the impacts are. overall, i feel good about where we are going as an economy. we brought inflation up in the president made some moves this week with the oil reserves, and also creating an economic plan. we are seeing people with more opportunities and more money in
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their bank accounts than this time last year, or pre-pandemic i guess i should say. you still have work to do, no question about it. but i feel good where we are headed. >> let's talk about that work. we know where wages are, close to 5%. i believe a lot of people in this economy and market our -- and secretary washes looking closer to seven on cpi. do you still see the benefits of running this economy hot? are there benefits to doing that as you see things? >> this week i went out to los angeles, i was at the ports of los angeles and long beach. you think about the economy and people coming back to work. when i was out there, we have longshoremen working 24/7, not every day, but the ability to work 24/7. we see the ships come in and there is an issue with truck driving. you think about the economy and all the different aspects, we have to be more intentional and focused on certain areas and how
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to create better opportunities. truck driving is an area where we have to create better pathways to bring people back to work. you see manufacturing in the report, the numbers are high, transportation numbers are high. look at hospital care and health care, the numbers aren't as high. we have to focus intentionally on different sectors of the economy to make sure we get people trained in back to work. >> this is not about a broad-based effort to run the economy hot, you think it's about targeting certain sectors? >> i think we have to target certain sectors to bring those sectors back. we look at the numbers, hospitality this month, the numbers -- i would not say flat, but we did not see growth in hospitality or construction. we didn't see any growth, actually job loss and the government sector. we have to look at different sectors and see what support they need. that's what's in the build back better reconciliation plan. there are almost $20 billion in job training workforce
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development money that will allow us the opportunity and the department of labor to focus on how the sectors help create and build them up. x i asked the question because there was an effort to get us back to where we were before the pandemic. one measure of that metric was the employment and population rate, which is back to 59. before the pandemic it was 61. the ministration talked about getting back to where we were. do you think that is achievable? how dependent do you? think that is on just a virus is there something else -- how dependent do you think this is on just a virus? >> i think we have to be realistic about the labor market, and what the future will look like. the pandemic has changed the way or had conversation about the way the office looks great people work in teleworking. we had a 30% increase in entrepreneurship in this country. the areas and evolution and change going on. i think that measuring the way we do our economy back to
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february of 2020 -- i don't know if it will look like that when we get beyond the virus, but with the president and the administration saying -- staying focused on opportunities, almost 6 million jobs created since president biden has taken office. 4.2 percent unemployment rate. we want to continue the number of going down -- 4.2% unemployment rate. we want to continue to see the number going down. lack unemployment has gone down -- black unemployment has gone down. haidi: u.s. secretary marty washed speaking with bloomberg. coming up next, the threat of the omicron variant is intensifying. jane halton is here to talk about the global response to omicron. let's take a look at what we are seeing across effects. all of that volatility and risk aversion is driving into the
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dollar-yen. it's holding steady under 113. just over 70 u.s. and when it comes to the aussie dollar. we are seeing a slight rally when it comes to commodity currencies as the dollar trade mixes in the early part of the asian session. lots more to come. mom, hurry! our show's gonna start soon! i promised i wouldn't miss the show and mommy always keeps her promises. oh, no! seriously? hmm! it's not the same if she's not here. oh. -what the. oh my goodness! i don't suppose you can sing, can you? ♪ the snow's comin' down ♪ -mommy? ♪ i'm watching it fall ♪ watch the full story at www.xfinity.com/sing2
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vonnie: this is daybreak: asia. china securities watchdog says it respect companies' choices on where to list their stock. for csrc also says reports are completely misleading that regulators are promoting firms that drop their u.s. listings. evergrande announcing late
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friday plans to actively engage with offshore creditors. this is being seen as an acknowledgment the $300 billion in liabilities have become unsustainable. regulators along with the pboc tried to dispel contagion fears. sources say july's -- jimmy ally -- it marks the end of a once influential media empire brought down by china's crackdown on hong kong's pro-democracy movement the taiwanese unit will run out of funds in december and stop publishing. saudi arabia has raised oil prices for buyers in asia and the u.s. signaling it sees demand staying strong despite the spread of the omicron variant. the move comes days after that decided to boost output should saudi aramco increase january's prices.
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global news, 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. vonnie quinn. this is bloomberg. kathleen: rising omicron cases in the u.s. are guaranteed in the coming days as the highly muted variant spreads. that is according to president biden's top medical advisor, anthony fauci. >> we are getting more and more information on two fronts. one is what the profile of people who are getting infected. we are trying to find out if there is any degree or not of protection, whether or not you're unvaccinated versus vaccinated versus having been previously infected. that is going to be very relevant because the ultimate question that is going to be important for us in the united states is if you have been
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vaccinated and boosted, given the tatian's this new variant has, what is the chance of protection against infection and if not infection, against severe disease leading to hospitalization? we are learning about the severity of the infection and the profile of the people who are getting infected to we are starting to see cases literally every few hours to a day or two in the united states. as we approach the weekend, we are going to probably see more here once it is here -- see more. once it is here, there is no way you're not going to see more cases to the real question is and the fact that we have a background of delta variant, which is very dominant and has pushed all the other variants off the board, where is omicron going to be in relationship to delta? will it take off and become the dominant variant or will it get
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a bit smothered by delta the way all the others have? the only way we are going to know is to wait and see. we are getting important information from our colleagues in south africa. >> there is information coming from south africa that the number of cases is going up but the number of hospitalizations is not going up as dramatically. should we read anything into that or is it possible it is a matter of a delay? >> i think the latter. in order to get a feel for the relationship between infection, the high degree of symptomatology, hospitalization and death, you have to have a lot of patients get infected and you have to follow them for at least several weeks. although it is encouraging that they are not seeing any concerning signal like all of a sudden a lot more hospitalizations, that is comforting but it is not definitive.
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we need to wait until a lot more people are recognized and identified who get infected to be able to make any determination about the degree of severity. >> if we go all the way back to monday, a hole five days ago now when we saw you with president biden, what do we know differently from what we knew then about this omicron? >> we know that it is here in the united states, which i actually -- was not anything brilliant on my part but we predicted when you see at spreading throughout countries in europe and asia, obviously you're going to see it here in the united states. the big question we don't know now is what i mentioned a moment ago is how is it going to fare in world in which delta is the dominant variant? >> all the way back on monday,
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you said as you suggest, it is going to come to the united states. community spread, is it inevitable and do we already have community spread in this country? that may affect questions of travel restrictions. >> we absolutely have community spread. we have community spread with the new york minnesota case. someone was in minnesota and went to a conference in new york and get infected. people with whom he had contact with also got infected. we don't know how many but there is no doubt there is community spread. haidi: anthony found she speaking with david westin. health authorities have confirmed five people in sydney have contracted the variant. it's discuss if this changes australia's strategy of living with covid. we are joined by the chair of coalition for them endemic preparedness innovations. so great to have you with us. does the variant strange vaccine
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strategy? >> i think what it is is a wake-up call that variants are very real ended unless we have exited the world, the risk remains with us. in terms of our strategy, we just heard from anthony fauci, we do not know what the implications of this variant are. we are hopeful it will not have severe health implications and we are learning about the likelihood the vaccines will be enough protection. we are fairly confident they will give us protection against vaccine -- against infection and death. fries in australia, i think it should enable us to continue with our reopening plans while being careful. wearing a mask, managing hygiene should -- managing hygiene. haidi: you think delta would have been a wake-up call? is there a danger that omicron is less severe, is there a
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concern that engenders more complacency? >> the world needs to be reminded that every time we see a variant, it could be a nasty variant. we should also remind ourselves we need to do work on the vaccines but also delivering vaccines. i am concerned that we do another dose of delta -- no, it is fine. need to make sure we don't relax. that we do the work necessary to protect the whole world. it is a concern. haidi: and the negotiations to get not just boosters but whatever next iteration of the vaccine that addresses omicron already underway. when it comes to the vaccine inequality, is it a matter of access? i know you have been disappointed with what covax has managed to achieve. or is it absorption of the vaccines once they hit the ground? >> both of those are important. let's remind ourselves africa as a continent, 11% of people have
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had one or more doses. it has only been -- 8% have had two doses. we have had absorbs and capacity issues. we don't have enough vaccines. we need to do two things particularly in africa and low income countries. low income countries, we are looking at less than 7% of people have a two we need to make sure we deal with the misinformation. we help the health systems deliver these vaccines. at the moment, there are not enough vaccines. kathleen: vaccines do evolve. they mutate. the latest from south africa continues to be over a short time, not many cases yet. the omicron variant seems to be very transmissible but the latest from the head of the south african omicron epicenters says hospitalizations are not
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increasing at alarming rate. while people may be testing positive, there are not large numbers being admitted to hospital. does that give you any hope this is following a trajectory of getting a bit weaker over time? >> always have hope and you are right. those numbers do look encouraging. it is important to remember the south african population is relatively young. we do need to balance up what we are seeing in south africa and give ourselves another week. we are hopeful this while it might be very infectious, it does not also get an increase in the number of people severely unwell. if this becomes the dominant variant, we all remember when delta was just turning to spread around the world. it is now the dominant variant. there is every likelihood that is what will happen here. if it is not more dangerous, that will be a good piece of news.
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haidi: i think we are second per capita to the united states. how useful is it for global equity of vaccines for these national interest donations to be made rather than through a group through covax? >> we need both. we need covax to make sure no country gets left behind. there are special relationships. in this area, we have a special relationship with many of the pacific islands. we want to do the right thing by those countries. we cannot see countries that don't have friends and neighbors who can help look after them. we need to make sure every country gets access. haidi: should australians be getting their boosters before the rest of the world has -- a lot of people have not had access to a first dose. >> boosters are important to maintain immunity. countries are going to boost.
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we are happy for that to happen. if it disrupts the guaranteed supply we have got, the signed contracts, we will not be happy about that. we have got agreements to deliver we hope a billion dollars is by the end of this year and we are hopeful to be hitting our 2 billion dose target to is are signed contracts. we don't want those displaced. meantime, if others are getting boosted -- we understand why that is happening but we need to ensure the delivery of promised vaccines to the covax facility. kathleen: just a quick question. over time, do you see the covid the coming end of make? -- becoming endemic? is that where we are going to end up? we learn to live with that, we get more vaccines, it continues to change the way flu does but
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it is not really go away but at least it is something people can manage? >> that is certainly our expectation. eric's expectation is there is no sense we will ever eliminate this virus. we are learning to live with it . the first part of this pandemic has been very disruptive. trade, travel, friends, family. so many people have lost their lives. in time, we expect it to become endemic. the likelihood as people will have enough immunity to go about their lives. this virus has a way to go yet probably in terms of mutation. haidi: there are so many parallels between the management of hiv in this pandemic. -- and this pandemic paired what are the lessons learned -- and
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this pandemic. what are the lessons learned? >> we need to do the research. the agenda is to do the development of on prior pathogens to it we are calling for the world, higher and come countries to invest 3.5 billion dollars u.s., compared to nothing we have just spent compared to this pandemic to do development work against possible pathogens that cause concern. need a financing mechanism. if and when we have another pandemic and it is when i hate to say, we are ready to acquire those vaccines to manufacture them at scale and delivered them equitably. we don't need to wait while we rent on time to organize enough money to buy those vaccines. kathleen: thank you so much for joining us and spending time without on this important issue. the latest in what lies ahead. the chair of the coalition for epidemic preparedness
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innovations in the cochair of the covax and adjectives. up next on the show, u.s. defense secretary says washington will stand up to china as tensions continue to simmer over taiwan. more of that just ahead. this is bloomberg. ♪
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haidi: u.s. defense secretary legalist says the u.s. will stand up to what he calls an increasingly assertive and autocratic china. it is ahead of a democracy summit in which the biden administration included taiwan. let's bring in our managing editor. what do we take away from the rhetoric and how it contributes to the developing dynamic between the superpowers? >> certainly the u.s. is trying to emphasize a lot of things it has since the biden administration came in, which is we are going to be tough on china. we are going to work with our allies to deter china from taking action over taiwan. we have heard that from president biden himself recently and secretary of state blinken. there has been a consistent message from the administration on assuring the allies in the region the u.s. is there in the
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it is willing -- and that it is willing to play the role that has been inspected of the u.s. for years to maintain stability in the asia-pacific region and provide a hedge against china. after the summit, they did agree to have high-level military talks. we are expecting that in recent weeks. despite this rhetoric we are hearing, there is some movement to have both sides increase communication. kathleen: i'm a little more confused about the white house's stand on taiwan. i know the president has misspoken a few times but it is difficult to tell how far that u.s. commitment goes. china hasbro fuld -- has bristled at times. what is your sense or do we know exactly how strong when it comes
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to militarily, shifts in the water, boots on the ground when it comes to defending taiwan? >> part of that is by design. the long-standing u.s. policy is to be ambiguous about this question as to whether the u.s. will actually come to the military aid of taiwan if there is an attack. the u.s. has been quite strong in suggesting that would indeed happen. we have been hearing that a lot in biden's comments and they point to this notion that neither side should be changing the status quo by force kid that -- by force. that would suggest the u.s. is ready to take action to prevent that from happening. whether that means boots on the ground or anything like that, saying that outright is destabilizing for the relationship in general. u.s. officials are careful to avoid saying that.
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we have heard them repeatedly make the argument including from antony blinken. we heard that from the former japan p.m. the other week. this is a uniform message from the u.s. and its allies. kathleen: you do point out diplomacy is a difficult dance. thank you so much. moving onto ray dalio who said his views on china have been misunderstood. posting on twitter he did not mean to convey human rights are not important and that the u.s. and china deal with the issue similarly. let's get more from senior executive matthew miller. the latest from ray dalio trying to take a different tact. we know there is a lot of internal disagreement at
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bridgewater over what the stand should be. with ray dalio himself, is he doing this because he is embarrassed or because he misspoke? >> i think what he is trying to do is make it clear that he feels he sloppily answered the question on cnbc a couple of days ago. you basically have ray dalio saying it acts like a strict parent when it disappears somebody pure do you see all this tension. the ceo of bridgewater was on a call with employees and says he completely disappears -- legally it's with ray dalio. what ray dalio is trying to do is saying i was expressing my own viewpoints when it comes to china in their approach to human rights. he says i have been doing business in the country for more
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than 40 years and i would like to explain to investors and the general public how the chinese approach things. haidi: some pretty high for pile -- pretty high profile criticism. >> met romney saying -- mitt romney saying he seemed a little off-base last week. the ceo of bridgewater -- ceo of bridgewater is probably going to run for senate in pennsylvania. when he gets into that race, he is going to be a republican. he is going to go with the carlisle, glenn youngkin model. you have to take a telephone china approach with that. he is scoring some political points as well. haidi: we do have lots more to come on daybreak: asia. this is bloomberg. ♪
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haidi: we are tracking the fallout of the supply chain crunch. the number of container ships heading for america's busiest port has risen close to 100, underscoring the magnitude. container ships are waiting almost 21 days on average to enter the l.a. port. saudi arabia has raised oil
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prices signaling it sees demand staying strong despite the spread of the omicron variant. the move comes days after it surprised traders. shipments from the second-biggest grower of palm oil rebounded. kathleen: let's take a look at oil prices. bloomberg intelligence says palm oil prices may remain robust in the first half of next year as consumption remains strong. palm oil last trading at 4650. down three quarters of a percent. brent crude and west texas intermediate showing a rebound. up to one and three quarters on brent. a nice rebound after crude prices had their sixth week of laws just last week.
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-- week of loss just last week. bloomberg terminal users can read more about those stories on our newsletter. keep it right here. a lot going on in the market today. this is bloomberg. ♪
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kathleen: welcome today broke asia. -- welcome to daybreak asia. haidi: ages major market open -- ages major markets have just opened for trade. a hawkish fed weighs on sentiment pick crypto bulls make a comeback after taking a hard hit. evergrande's long-awaited dexterous truck -- debt restructuring may be at hand.
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china's security watchdog downplays overseas delisting concerns as adr losses have topped a trillion dollars. kathleen: let's take a look at how the markets are opening so far in asia. we can see the delisting fears on your screen. we have some green across the screen. with the selloff in stocks and this move away from risk that people have been figuring could hit stocks hard, the nikkei and the topix looking positive. the nikkei eating ready for the most listings in a month in japan ever. we have the yen looking a little weaker. it had benefited from this move away from risk friday of last week. the year yield looking a little bit on the back foot. not much movement kid even with
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-- not much movement. even with the rally in bonds we saw in the u.s. the kospi, little more read on the screen. korean stocks benefiting a lot from foreign demand the last few weeks. maybe there is a little bit of concern about how this move away from risk might dampen that appetite. the yuan looking a little weaker. waiting to see how this all plays out once trading gets underway. haidi: let's take a look at how we are seeing when it comes to the session and the sentiment for australia, not much of anything. we are treading a little bit of water going into the rba decision. no change expected off the record low. such a huge divergence between what traders are expecting it to be and what the rba says. new zealand, seeing a downside of half of 1%.
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showing a slump after the prolonged lockdown situation. u.s. futures are looking a little more positive coming out of the weekend. we will continue to watch crypto and bitcoin could little bit of a recovery after some of these dip buyers are starting in after the 20% selloff. let's bring in our next guest who is remaining positive. joining us from city, the vision -- from sidney. what is the biggest worry for markets going into the next year? is it omicron? is it a policy mistake when it comes to major banks at inflation? >> it is probably all of the above. i think omicron is still one of the big unknowns. if that escalates and it is a prospect of either lockdowns and slowing activity, that is a risk
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for the next six months. we cannot predict that at this point. on the inflationary front, to some extent, policy mistakes can occur when inflation emerges that is unexpected. we are now seeing we have been toying about inflation and inflationary pressures from supply chain this ructions from some time. the other side of it is a we are seeing a very unsynchronized move in terms of wages growth. the u.s. is the one that stands out in terms of the higher wages growth. that is going to be the sort of component that is going to see inflation more sustainable. i do see an easing on the inflationary pressures around the corner. for example, the shipping costs starting to come down. also, the usual flight to hard assets such as cold. bitcoin is viewed as one of
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those areas. up a little bit. taking off on these inflationary expectations. a mixed picture to us. something the central banks cannot ignore. haidi: it is interesting because as you point out, the inflation picture is much more mixed and muted when you look across certain geographies. what you are looking at when you look at company profits and expectations going forward? are you looking at those companies that farewell in inflationary return -- that fair well and inflationary environment? >> we are taking into account what we see as it higher inflation going into next year. focusing in on the wages growth story. we are repositioning portfolios to some extent and diversifying a little bit.
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those companies that have got advantages in the inflationary environment, a company said areas of infrastructure were a lot of the revenues were linked to cpi, that makes a lot of sense. we are starting to think about some hedging strategy. exposure to gold has been one of the areas we are starting to pick up on. kathleen: how serious are you about increasing your investment in commodities including gold? some people figure whatever market you are looking at, if it is commodities, if it is stocks, things have had to grunt and they -- have had big runs and they may be closer to their tops than a continued rally. >> need to look at each individual commodity we have been talking about. iron ore has come a long way. hovering between 90 and $100 a ton.
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the australian iron ore company is doing well at these lower spot levels. those stocks have come off on the back of the iron ore purses. some real value emerging. continuing to maintain or have pretty high payout ratios. the dividend yields are very attractive. we are focusing on lithium. we do not think it is anywhere near over. when you look at the broader thematic's and statistics in regards to electro vehicle and a trajan, it is still less than 5%. we do think better demand is going to continue to rise. it is going to be very positive for the lithium producers despite they have rallied so hard in the past 12 months. it is for us at this point more thematic investing.
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it is very much the medic investing for us. kathleen: in past some of the short-term trends like omicron and bitcoin to the longer-term trends. so thanks so much. now, let's get the vonnie quinn with the first word headlines. vonnie: china's security watchdog says it respects choices about where to list stocks. while denying reports of a possible ban on oversea a's stock listing should such a ban is in the works in part to address data security concerns. ray dalio has taken to social media to say he had quote sloppily answered a question about china during an interview on cnbc. billionaire brett -- the
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billionaire founder of bridgewater had compared china to strict parents. saudi arabia has raised oil prices for asia and the u.s. the move comes just days after opec at its allies supplied traders with a decision to boost output. wising it's key grade for customers in asia by $.60 on december. global news, 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. haidi: still ahead, we are going to get the latest on the omicron spread in asia. what experts are saying on the impact. we get the latest.
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this is bloomberg. ♪
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haidi: let's get you an update when it comes to softbank. it has fallen as much as 6.5% as we have expectations of didi preparing for the u.s. delisting. so much volatility when it comes to all of the news around potential delisting of chinese companies from the u.s. and the conflicting information we get from regulators and other reports. didi most recently sending a warning to chinese investors that thought the regulatory crackdown across tech and other sectors have potentially -- that we did see the worst
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was over. u.s. exit adding more pressure to any of the china exposed companies and valuations including softbank paring some of the earlier losses. of course, there is a great deal of pressure when it comes to the uncertainty over the arm deal. let's get more on china's possible ban on the overseas stock listing. as well as our chief north asia correspondent stephen engle who joins us with the latest on the other story we are watching. we have had whiplash from following the different stories that have come out day by day. is there a clear idea of what policymakers may be going for? >> there is a concern about chinese companies listing in the u.s.
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we had the cyberspace administration of china putting out will saying anyone with more than one million users has to go through this data security review before they can do a listing on a foreign exchange. didi announcing friday they were going to delist a couple months after they did their ipo in the u.s. and trying to relist in hong kong. there is this overhang of a regulatory scrutiny investigation into their business. the app -- you cannot download their app in china at the moment. what the outlook for their business is is still fairly unclear. kathleen: let's go on now to steven. i want to ask you about evergrande because with sunshine holdings saying a cannot meet the 179 million debt and interest payments. i know evergrande is getting
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ready for the finale. is there a certain amount of self reinforcing downward momentum in this process where it gets harder and harder for anyone to pay their debt because of what has happened in the sector? >> sure. you mentioned sunshine 100 announcing yesterday they are defaulting on 179 million u.s. dollar payment yesterday pin we have seen a relatively calm past few weeks for evergrande. evergrande is the poster child with the largest set of liabilities in excess of $300 billion. other smaller developers have taken up a lot of the newsprint of late. evergrande still working. we have -- they have been able to meet their short-term payments. the founder has been able to sell off some assets and pay at least -- meet some of the obligations.
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today is the end of a 30 day grace period on two coupon payments totaling 83 and a half million dollars. that payment on offshore bonds was due november 6. today is december 6. it is d-day yet again for evergrande. what we got on friday was evergrande announcing to the stock market saying they are going to actively engage offshore bondholders for a debt restructuring. that triggered a bunch of statements from the government and the pboc trying to ensure whatever debt restructuring comes with every parent is going to be -- with evergrande is going to be orderly. the pboc put out a statement saying these troubles are its own doing. it had reckless expansion. they're trying to mitigate some
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of the contingent we have seen. it is not necessarily an evergrande contagion. it is a contagion born of the restrictions in the property market and the tight liquidity impacting their ability to repay their liabilities. kathleen: the drama continues. thanks so much. we will have more on coverage on china's delisting threat this hour. then the harbor was an early investor in ride-hailer didi. up next, the world's top oil producers signals confidence. more ahead. this is bloomberg. ♪
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haidi: where are starting to see sentiment start to waiver as the risk off mode starts to spread to asia. these dueling concerns over rising inflation of hawkish central banks and the impact of the omicron variant are really at large. watching the chinese property sector. the nikkei 225 off by just over 1%. the biggest loser, softbank. a barrage of really bad portfolio -- for the company. dealing with the implications of a didi delisting. here in sydney, more muted losses. 3/10 of 1% lower. some uncertainty going into the rba meeting. not expecting a move off the record low rates. the communication of the recovery prospect from here given the divergence we see
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between what traders expect to be as early as next year and with the rba says. take a look at oil because we have seen oscillations in the energy space. we are seeing some crude. upside momentum. saudi arabia boosting prices for asia and the u.s. in january . let's bring in david stringer. the move to hike prices. what does that tell us about the confidence and the outlook? >> gaining a little this morning. what the saudi arabia move on prices, what we have seen as a bullish endorsement over the demand outlook. there of been lots of concerns in the oil market in recent days and weeks.
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not only the impact of the variant belts so on the supply side. i think what the saudi outlook is telling us there is a real expectation of robust demand. if you think back to the end of last month, we heard from the aramco ceo who says we fully expected oil demand to return to pre-pandemic levels and was dismissive of the idea we are going to see further major impacts from virus outbreaks. it is a big endorsement of that outlook. kathleen: as of friday last week, it was the sixth week we saw west texas intermediate crude slide. what has been hitting prices so hard? >> absolutely. that reflects something you are seeing across the markets. some -- concerned about what will the impact. from the variant. is it going to snap away at oil demand? are we going to see for the travel curbs?
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people waiting for the implications. with the saudi's are telling us is from their perspective, demand should remain strong. we should start to see some more upward momentum in prices wants to against -- opec will put another form to thousand barrels into the market from january. kathleen: saudi arabia hoping it's production for good demand will come true. thanks so much. larry summers has been urging the fed to cut back its monetary stimulus from months. fed chair jay powell last week says he is considering doing just that. when bloomberg spoke with him, david westin asked if whether jay powell understands the situation and whether he is doing enough to address it. >> here is what i think he needs to recognize next. if you look at what is in many
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ways the simplest indicator of the posture of monetary policy, where is the real interest rate over the next one year as inferred from market inflation expectations and mortgaged -- market interest rates, that number is at its lowest ever. that number is way below -3%. closer to negative for perception that is not a tenable place for enduring monetary policy to be. i would like to see him signal there is no reason at all for us to be engaged in continuing qe and mortgage backed securities. that there is no reason we should not rapidly end qe altogether. we need to start moving and the way we do when inflation is well above target, i would be
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signaling four rate increases next year with two-sided uncertainty depending on how the inflation figures work out. that will be a jolt but a jolt is what is required to restore credibility given how much monetary policy has lagged. >> let's talk about that jolt. is someone to go, you said your concern is they waited too late. if they were too dovish, they would have to take action that could tip us into a recession. do we still have that danger? is four interest rate hikes next year weekly to tip us into recession? >> four interest rate hikes next year are likely to tip us into recession. i think we have got to get ahead of the curve rather than be behind the curve with respect to
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inflation risks. i'm not saying we should lock into inflation risks. we should be signaling that as a very positive -- very plausible possibility. haidi: larry summers speaking with david westin. the hong kong economic journal is reporting chinese artificial intelligence firm will offer a hong kong ipo price between three .80 and 3.9 in peace. about $770 million. expecting to list on december 17. a cornerstone investors are involved. we are told the hong kong exchange has been planning to open a small office in new york as soon as next year. it will be the first presence in the u.s. has offices in singapore,
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london, shanghai and beijing should their status as an international financial -- mikal has named a new ceo. he will be taking up the role in february. he is succeeding matthew maddox at both firms. we do have some movement when it comes to leadership at alibaba. the company has announced its cfo succession plans are complete. effective april 1, 2022. this comes at a to time for alibaba when shareprice continues to crash. cells are the cheaper level. -- shares are at the cheaper level.
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it comes with even greater downside pressure on chinese tech. will be speaking to an early didi investor as we see softbank continuing to crumble today. nsa capital
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vonnie: this is daybreak: asia. evergrande's long-awaited debt restructuring move finally at hand with a developer announcing it plans to actively engage with offshore creditors and that is being seen as of the liabilities becoming unsustainable. the u.s. defense secretary says washington will stand up to what he termed an increasingly
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assertive and autocratic china in the indo pacific region and beyond. austin said strengthening alliances is one way to counter china's military modernization, growing nuclear capabilities and technological advances pick the -- technological advances. >> the activity we see is disturbing. it is racing to develop military capability as fast as it can. some of the activity we have seen has us and our partners very concerned. vonnie: sources say jimmy li's next digital will shut the taiwanese unit this month. the taiwanese unit will run out of funds in december and stop publishing with about 300 staff members receiving severance packages. global news, 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in
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over 120 countries. i'm vonnie quinn. this is bloomberg. kathleen: didi's preparation to do list in the unit states. adr fell more than 20% in new york on friday. let's discuss investment opportunities in the tech sector and bring in our next guest who was an early investor. in terms of what this means for the sector, is didi -- some companies go through this. or is it the edge of the tide that is going to will in or out depending on how you look at it? >> if you read the csrc, the chinese securities regulatory commission statement last night,
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they were specific this is around an individual name and there will be specific companies targeted under this action but this is not a broad-based across-the-board requirement for delisting of all chinese adrs in the united states. it is critical to read the language they have posed in use that as a framework to assess which companies may be in the future vulnerable for similar delisting's. kathleen: i assume you have been doing that so would you think is most vulnerable? >> typically, they are looking at companies who have flaunted local regulation and not falling under their operational control. someone like didi went public with 40% of its revenue being attributed shed that was something that kept them out of hong kong and why they wanted to go to new york kidney companies like that will have to look
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closely look at -- look closely at. controlling entire value chains and verticals. businesses falling outside of that framework and providing for societal homeowners asian in china. those in the educational space, gaming or other forms of what they would term social ills. haidi: it feels like there could be an argument made from just about every company based on those themes. will these companies eventually come home? >> i don't think so. the csrc has pointed to something throughout those time, which is this u.s. public company oversight board and in december 2020 -- these two acts really spooked
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chinese regulators because they made it feel like all companies going public from china in the u.s. would have to provide three years of audits for that would be what -- but that would go beyond traditional financial statements. commercial partners, client information and so the fear is that would make vulnerable chinese data. i think we can find a way forward that companies can continue to be listed on the united states exchanges. haidi: when you take a look at how relatively cheap the likes of alibaba is at the moment, where do you find opportunities in the decoupling regardless of whether you think china or u.s. started it?
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>> we got to wait for a little bit stability before jumping back into the markets. i think all of these companies are significantly undervalued without any true fundamental justification behind these valuations. the reports that came out on friday and various rumors that all companies would be delisted, i think are not accurate. what you are seeing is a broad-based reaction of public market investors tall chinese concept stocks, which are not justified. i think there are certain companies in sectors that are particularly outside of the regulatory scrutiny of chinese authorities, those of health care in core technology's. kathleen: let's follow up on that. if i don't know much about these stocks but no some and i think
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you are right that there are opportunities, what is my path to finding them? two if you're looking at the profitability, looking at the growth rates and again, thinking about those within the framework of, is this a business that is going to continue to grow in this post-pandemic, continuing pandemic environment and not one that could be under direct regulatory scrutiny. those would be ones i would take a pause on. anyone else who has strong fundamentals relative to any u.s. business is one i think it is in good shape. kathleen: thank you so much. we are going to continue to take a look at the markets and see
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where they are going after we saw a selloff in stocks that turned into a big selloff in bitcoin and chinese 10 year yield has plunged on bets there will be rrr cuts. the pboc has kept the door rather closed. there are economists saying cpi is going to pick up. how can they do that? interesting to see all those bets have shifted. let's take a look at the broader markets in asia. the selloff was based on, let's get away from the risk the fed is going to tighten and omicron is going to spread. looks like the initial selloff is steady across the board. the nikkei and the kospi are off the worst declines of the day. while under 1%. the same for all see stocks. new zealand, remains to be seen how this all plays out.
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interesting to hear been telling us about, don't worry too much about didi. the drop in the dragon index has put the fear of risk into people. up next, biden top medical experts say rising omicron cages are guaranteed in the coming days. that conversation ahead. this is bloomberg. ♪
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kathleen: rising omicron cases in the united states are guaranteed in the coming days. that is according to president biden's top medical advisor, anthony fauci. he spoke to david westin. >> getting more and more information on two fronts. one is what the profile of people who are getting infected -- we are trying to find out if there is any degree or not of protection, whether or not you were unvaccinated versus vaccinated versus having been previously infected. that is going to be very relevant because the ultimate question that is going to be important for us in the united states is if you have been vaccinated and boosted, given the mutations this new variant
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has, what is the chance of protection against infection and of nonfiction, against severe disease leading to hospitalization? we are learning about the severity of the infection and the profile of the people getting in acted. we are starting to see cases every few hours to a day or two in the united states. as we approach the weekend, we are going to see more and more. once it is here, there is no way you are not going to see more and more cases. the real question is, the fact we have a delta variant, which is very tolerant -- very dominant and has pushed all the other variants off the board, where is omicron going to be in relationship the delta yoga will it take off and become the dominant variant or will that get a bit smothered by delta the way all the others have?
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the only way we are going to know that is to wait and see. we are getting important information from our colleagues in south africa. >> there is information coming out of south africa that the number of cases is going up but the number of hospitalizations is not going up as dramatically. is it possible that is just a matter of delay? >> i think the latter. to get a feel for the relationship between theory and function, high degree of symptomatology, hospitalization and death, we have to have a lot of patients get infected and you have to follow them for at least several weeks. although it is encouraging they are not seeing any concerning signal like all of a sudden a lot more hospitalizations, that is comforting but it is not definitive. we need to wait until a lot more
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people are recognized and identified to make any determination about the degree of severity. >> if we go all the way back to monday, a hole five days ago now when we saw you with president biden, what do we know differently from what we knew then? >> we know it is here in the united states, which -- was not anything really on my part but we predicted that when you see it spreading throughout countries in europe and asia, you're going to see it here. the big question we don't know now is what i mentioned a moment ago is how is it going to fair in world and the world being our country in a world they would delta is the dominant variant. that is going to be a very interesting situation to watch. >> on monday, you said it is going to come to the united
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states. community spread, is it inevitable and do we already have community spread in this country because that may affect questions of travel restrictions. >> absolutely have community spread. we have community spread with the new york minnesota case someone was in minnesota, went to a conference in new york and people with whom he had contact also got infected. there is no dealt there is community spread. techno doubt there is community spread. haidi: anthony found she speaking with david westin. not showing a resulting surge in hospitalizations although officials are warning it is too early to be certain. there is a worrying development a variant may have spread without contact. we have seen two fully vaccinated travelers across a hallway. when it comes to the data that
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is trickling in about severity, dr. fauci said cautiously comforting but not definitive. >> one of the key messages dr. fauci has been pushing is we have to wait and see. it has only been a week or two since this omicron variant emerged on the scene. we do need to see a lot of these infections play out. the epicenter of those variant where we first heard about it is southern advocacy and we are getting huge amounts and say -- amounts of information. they are saying hospitalizations are not picking up in south africa but they are cautioning a lot of the cases are in younger people. that may affect how this variant is playing out. it has not really been tested
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among a big group of older people. which might deliver a very different result. kathleen: from the very beginning, what many feel the u.s. did wrong. i want to ask you about going to a hotel in hong kong. i'm vaccinated and so is the person across the hotel and somehow there is transmission. what is going on? >> we had heard bits and pieces out of southern africa. a study on this hotel transmission out recently. it does indicate it is pretty transmissible. the mutations on the spike protein indicate it is pretty contagious. maybe more contagious than delta, which was more contagious than the original strain. this preliminary study into --
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two very interesting cases. one in a individual who brought it from africa into hong kong. and then it is assumed to have spread across the hall. two older persons in that hotel. the fate of those individuals is very interesting. it does indicate that this is spreading pretty quickly and is quite transmissible, but what we want to find out is, is it evading vaccines? does it and how severe it is. these are the other two big questions. haidi: our managing editor. let's take a look at some of our big movers and the biggest outperformer when it comes to trading in the japanese session. softbank extending losses. down by just about 9%.
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we have seen softbank following the most since march 2020. trading around the lowest since june 2020. a barrage of pretty difficult portfolio and news of the delisting of didi five months after the delisting -- after the u.s. listing. we have also had other bad news when it comes to the fdc suing to block softbank sales. when it comes to the other losers around the region, pretty significant downside when it comes to a lot of crypto exposed companies trading in korea and japan after the excel of. ray dalio takes to twitter to explain his controversial remarks on china should if he did not mean to downplay human rights issues. we have more next. this is bloomberg. ♪
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haidi: a quick check of the latest headlines. some of toshiba's biggest shareholders are planning to pressure the board to revise talks on a buyout. mr. say toshiba is overlooking
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bids for company. it includes two valuations. the shareholders are planning to vote against plans -- chinese tesla supplier says it is working with the electric car to test and replace parts. tesla is recalling 22,000 model y's after defects were found. louis vuitton is among national brands named on a report on chinese state television. the report says louis vuitton merchandise purchased at the chinese stores were nonrefundable, contrasting with policies elsewhere. kathleen: ray dalio says his views on china have been misunderstood posting on twitter, he says he did not mean
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to convey human rights are not important and that the u.s. and china deal with the issue similarly. he had compared china with a strict parent. let's get more with matthew miller. what is the very latest? >> the latest is he is walking back. last week, ray dalio was doing an interview with cnbc and he said if -- he looked at every country that had human rights violations and had to make in investing decision, he had very few places to invest. he said china was a strict parent or disappearing dissident. obviously those comments struck a nerve with in his own company and he is on twitter and linkedin saying this is all a big misunderstanding. haidi: his and ceo giving his
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views. there is an extra political element to this conversation. >> bridgewater's ceo david mccormick is basically thinking about running for the senate in the state of pennsylvania. he would face a very hard-core primary as a republican in that state. we have to be hard on china if you're going to run on that ticket. he came out on a call with employees saying he does not stand by ray dalio's views. ray dalio saying he does not hold these views. he is saying he was trying to make people who listen to the interview understand the way china approaches the world. haidi: our senior executive editor with the latest on that story. let's get you some stocks to watch as we get closer to the start of trading in shanghai, shenzhen and hong kong. evergrande and the border
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property sector key to watch. we are waiting any news on what the developer or make two dollar bond payments. -- developer will make two dollar bond payments. you should have a look at the huge fall we have seen in the likes of softbank in the tokyo session. continuing to plunge. other bad news for softbank when it comes to its portfolio of companies and investments. kathleen: up, we will be hearing from global research head of emerging market strategy on the outlook for markets heading into the new year. you don't want to miss some big guests. will be hearing from the bench president and ceo. plus the dell technologies president for asia pacific pair that is it from daybreak: asia. our markets coverage continues as we look ahead to the start of trade any hong kong, shanghai
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and shenzhen. this is bloomberg. ♪
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>> the neglect in -- we are getting down to the open china's mainland. chinese security regulators down delisting as tech stocks get hammered once again. have moved toward a long-awaited debt restructuring as new payments deadlines loom today. the yield of the chinese 10 year drops the most

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