a tightening in singapore based >> for one thing, the singapore dollar is going to strengthen. it is already at about the highest in three years. that is the mechanism the central bank uses to implement monetary policy as the currency. we can look for strengthening. everything seems to be firing on all cylinders in the economy. steps to to be taking make sure there is not overheating. betty: they have some proper responses to what seems like inflation, at least on the upper edge. speaking of inflation and rates, what about treasury tenure yells renewing their push to 3%? of the pastcourse syria,he tensions over the tensions between the u.s. and china over trade, these have supported trade. now these things are going away. that fed officials are more optimistic on the economy. they may be leaning towards faster pace of rate hikes. we also saw current cpi rose, some of the things keeping yields down are going away. the economy is still seeming to be in good shape. i think the 10 year yield can renew its push toward 3% again. yvonne: we have seen oil rising on the tension we have

singapore with its rate decision or tweaking earlier today. sophie: friday the 13th looking lucky for stocks. trump chatter about a return to the tpp is good for japanese equities. troubles the us -- kuala lumpur under pressure. u.s. futures pointing lower. let's get a closer look at the singaporean dollar reaction to policy,tightening retracing, but set for again. citing macroeconomic uncertainties remain. the singapore dollar has added 10% since january, now trading level trump' strongest since 2016. we are keeping an eye on property stocks given the backdrop of rising home prices and efforts to cool the sector. ,ome prices seen accelerating supported by a shrinking pipeline and demand from local and overseas investors. have arean investors stronger than forecast gdp print to consider. we saw growth of 1.4%. one company has fallen to a 2016 low. no decision has been made. pension funds have stopped trading with the brokerage after the dividend payout that saw $105 billion in paper value sold. rishaad: thank you for that. happening out what i

joining us from singapore. coming up, malaysian prime in hisr speaks with us first international media interview in three years. we will get his point of view on the nation's budget. also, bank of japan announcing its latest policies. we had to tokyo next. this is bloomberg. ♪ ♪ rishaad: the timeout here in 10:16, and we go to tokyo where we are counting down to today's bank of japan decision, the first meeting .etween the new fed governor he was vocal before he joined the board. does that still hold true? we are joined by our global policy and economics editor, kathleen hays, who is outside the bank of japan. take it away, kathleen. kathleen: thank you so much, rishaad. very specialy a guest, as we count down to the decision.pan's policy no big changes expected, but where the bank is and where it is heading is very important to investors around the world. i am happy to bring back our att guest, portfolio manager alliance burstyn here in japan, an avid follower of all things boj. great to see you again. let

i would expect -- singapore now. rejoining the tpb and toning down the rhetoric, why not a bigger bounce in asian equities? would have,robably but we had a little confusion today over the chinese trade data. there was expected to be some seasonality, but it turned out we caught a big deficit for china which no one was expecting. the australian dollar has had a very good day, so at least australia believes it is real but there is an amount of skepticism around asia as to whether or not these numbers make sense. that has put a damper on the china and hong kong equities. because theyg fine are looking toward abe and trump meeting next week and they are optimistic there would be good news on trade between those countries. a mixed picture, but at least aussie dollar is having a great day. currencies, of where singapore goes, do other currencies following asia? yes, that's usually the case. singapore is confident on the outlook, strong economy, they expect inflation to pick up a little more and for the first time in severa

juliette saly in singapore. hours, the four social network has said the number of users -- facebook has said the number of users impacted the cambridge analytica scandal could be as high as 87 million people. that is the number of profiles of all of facebook's 2 billion users that could have been scraped. we spoke with coo sheryl sandberg with her thoughts. >> i feel deeply personally responsible. there are real mistakes that we made. when you take a step back and think about what happened, for a long time we were focused on building social experiences. a lot of good happened the cousin of them. when we saw problems, we would shut down that problem. the specific case of the sharing that happened is one that was shut down in 2015. what we didn't do until recently, and what we're doing now, is take a broader view, looking to be more restrictive in ways they could have been these deuced -- data could have been misused. we did not build products fast enough. we had 10,000 people working in security. at the end of th

joining us now, td securities senior market strategist joins a set of singapore. great to see you, thanks for coming on the shore. i wonder whether we can say this recent dialing down in geopolitics is perhaps behind the recent move up at the long end of the yield curve. true.part, that's certainly we were in an environment for several weeks of the flattening of the yield curve. markets as now moved toward pricing in almost four hikes, or toward four hikes, and we are seeing it being built on the long end. i think that's a trend that 3%,inues, psychologically at the moment the pressure remains and some of the dialing down in tension and risk aversion may be having some impact as well as expectations of continued strong growth in the u.s. fiscalnow, we have the deficit which will be substantially increased because of tax cut so all of this is playing negatively for treasury deal. -- treasury yields. it is hard to say a move sustained above this 3% level in u.s. 10 year. >> i was about to ask you, just this morning, australia sold 2029 bonds at 2.89%. that, can weik

singapore, taiwan, malaysia, just coming online. sophie, it was a challenging quarter for markets in the first quarter of the year. we see a better start to the second quarter? sophie: looks like investors are breathing a little bit of relief here given the gains we are seeing across the region. with gains this monday, joining the major market, korea and japan. although we have seen some of the gains in tokyo ease somewhat. regional seeing benchmarks being led higher by korean stocks gaining .7%. akkei 225 starting on positive footing as it has done so in the past. april with an average gain of 2.4% in the past 30 years for the nikkei 225. goldman sachs saying to pay careful attention after a volatile right through the nikkei 225 has risen on the first trading day of each month from july 20 16th to this february. take a closer look to what is happening when it comes to korean sentiment. the korean won rising to the strongest level since 2014. this after china said ties with seoul will improve. adding to its best move since november.

with the latest in singapore. christian schulz, if we take the chinese story, david milhouse has written a piece this morning . the chinese are already taking a little bit of risk off the table t tothemselves, reducing va 16% for some big industries on the manufacturing side. so they are taking a few measures to balance industry and the consumer. the question is, they're taking preemptive action, in case things do get a little bit out the bestwhich is not case scenario at this juncture. christian: chinese authorities have been very good at micromanaging the cycle. if there was a risk, they would boost the economy using regulatory means. i think they've been doing this very effectively. that's always the underlying assumption for the future as well, that they will be ever to continue doing this. all are on the on chinese growth is quite benign, which is reassuring for me as european economist. we depend so much on chinese growth as well. that also means that if something does go wrong, if for instance the debt prob

yvonne: it is a: 30 and a sunny singapore. -- 8:30 and a sunny singapore. i'm yvonne man in hong kong. betty: i'm betty liu in new york. you are watching "daybreak: asia." let's get to the first word news with paul allen. paul ryan says he has no regrets about retiring, saying the republican party has achieved a great deal during his time as speaker. his teacher had been the subject of rumors for months. exit.ns the more than 40 gop lawmakers either resigned or are not seeking reelection this year. it reached 785 at the -- as the asian trade started the day. they are obliged by the dollar. such purchases would push up interest rates. directearch shows investment between the u.s. and china fell 28% last year from 12 months earlier. that was driven by a drop in chinese investment to $29 billion. u.s. national security officials clamped down on chinese acquisitions of american come in these. tesla has again blamed the driver for the deadly crash in coliform you. the accident happened -- in california. the driver was not paying attention to the road, despite th

singapore would perhaps be better for security. yvonne: i wonder if we will have the diplomacy that we saw between macron and trump we saw last week. they, aill they or want deal with t-mobile and sprint. t-mobile is going to buy sprint for more than $26 billion. nabil, this five-year deal has finally come together. >> it is a good day. this has been a long time coming. time he is third acting on his longtime desire to combine t-mobile and sprint. wireless environment is changing rapidly. if they did not do something quickly they would be left behind by at&t and verizon. you also have comcast trying to monopolize the market as well. betty: how good a deal has t-mobile gotten for this? >> t-mobile is the stronger of the two and they will get to andnate nine board members sprint will have four. they get their own management team. sprint has not turned a profit in more than 10 years and is laden with debt. this is a bit of a bailout for them. the deal is skewed towards t-mobile and i think sprint shareholders will be pleased that this

manus: thank you very juliette saly in singapore. is keeping its policy rate unchanged when it makes its announcement today. mario draghi will face questions about the euro area growth, which seems to be losing momentum. some of the money managers are expecting from the ecb president. the plan for unwinding the plan for unwinding stimulus, markets have gotten ahead of themselves time and time again. we do not see this differently. >> will they be synthetic to the slowdown in the economy? the surprise now is if it kicks in as a hawk. >> we think the ecb remains easy in their stance. growth globally has a toad or peaked -- growth globally has plateaud or peaked. >> we will have a sustained area. i do not think that is necessarily dependent on whether the fed goes three or four times. >> they like optionality end two-way risk in the market. that is likely look draghi is likely to do. keep the market on its toes. now, froming us blackrock, a great voice to have on ecb date. -- ecb day. have a preview of the ecb decision, and it talks abo

. ♪ ♪ singapore -- in 8:30 in singapore. the line city could be joining the equity balance that we saw starting in the u.s.. we are going to open up trading. i'm yvonne man in hong kong. ramy: i'm remy inocencio in new york. you're watching "daybreak asia." let's get the first word news with paul allen. paul: the trump administration has indicated it is willing to negotiate with china as trade tensions escalate. china announced reciprocal tariffs on u.s. products in line with the $50 billion of duties ordered by president trump. china is targeting soybeans, automobiles, chemicals, and aviation. it will take effect when the u.s. institutes its own tariffs. >> china will not back off from its 2025 program. they are going to work hard irrespective of american tariffs to make sure they develop the economy and future technologies. we are not going to be able to slow that down. some of their practices of pursuing that 2025 are not fair, but a lot are fair. we have to start developing our technologies at a much better pace. paul: f

thank you very much to juliette saly in singapore. let's update you on the relationship on softbank, they were in talks about taking a stake. we thought softbank was going to make an offer for a 25% stake. that was reporting around the story. softbank's stake is not expected to exceed 10%, which is interesting. they are talking about them .inority stake they are saying issuances of capital is not under consideration. talks remain at an early stage. they explore a potential strategic cooperation. they are limiting expectations to the softbank stake that they could take in the swiss re giant. manus: that is not the only deal. you got france, a $15 billion deal, american aig in january doing deals. there is a flurry in the space. the big story is on trade, on paris and the u.s. techtake an aim on china's industry with a tariff list. we have 25% tariffs that will hit $50 billion of chinese products ranging from semiconductors to flamethrowers. china condemned the move and said it will respond with the same intensity and scale. this get to

thanks so much, juliette saly, in singapore. kim jong-un has become the first north korean leader to enter south korea. he was greeted at the border by moon jae-in ahead of a historic nuclear summit. talks got underway in the demilitarized zone. a new history of peace and prosperity. >> there are a lot of people hoping for the best results. i am worried we will disappoint them if we don't follow-up on good agreements from past meetings and do not make this meeting the opportunity to improve our relationship. anna: stephen engle an watching the drama unfold from unification bridge. give us the context here. this is historic for many angles. this only happened a few times since the 1950's, hasn't it? third timeis is the the leaders have met. the first time in 11 years, but this is the first time north korean leaders ever set foot in south korea. front of then railway bridge that goes into the demilitarized zone and the shuttered gates of the industrial complex. off-camera is the unification bridge where moon jae-in and his motorca

let's get to our forex reporter in singapore. david, if we look at this as a broader metals inflation question driven by micro fundamentals, does that mean it will not be sustained? ralliednk metals have related to sanctions. if sanctions stay in place, metals may maintain these levels. , therms of inflation budget deficit in the u.s. will increase to 120 and dollars -- $1 trillion by 2020. i think the inflation trend seems to be moving upwards. we are seeing that in the tips data at the auctions. strategist saying the dollar is behaving like a currency that wants to go higher , so do we expect this to be the strengtha period of for the dollar? >> if the yield curve can , there are expectations of fed rate hikes. if the 10 year can move higher and steepen, the dollar can get stronger. if the 10 year yield decides not to move higher, the auction becomes key. if there is risk off because of trade wars and money is sent into the 10 year, reducing yields, the dollar may weaken, andhe dollar is key reaction will depend on how to perfo

you so much, from moody joining us from singapore. remember bloomberg users to interact with charts using the gtv function. you can browse, just like that. catch up with key analysis, future references. this is bloomberg. ♪ ♪ rishaad: this is bloomberg markets, i am rishaad salamat. having a look at the latest business flash headlines. a japanese convenience store says it will increase as it looks to draw in more revenue from an expanded american presence. byected to go up this year $3.9 billion. the company completes the purchase of many stores in the u.s., also promising a new smartphone payment at next year -- payment app next year. >> it is not just retail, other industries such as auto in the financial sector are affected by the waiver known as the amazon affect. digital strategies are in our future. it does notigo says have the capability to buy and turnaround the national carrier, air india. indigo had expressed interest in purchasing air india. it now says that option is not available under the terms of the government

let's get over to singapore and ubs. of resilience in that second day of gains and wall street with the s&p pushing through that 100 day moving average. what is the resilience of the market to you feel? i think the s&p 500 is likely to do well. if you look at earnings growth, , you'ree tax reforms looking at close to 15% for the whole year. if there is any weakness or sharp selloff, investors will likely pick up stocks and reinforce their positions, but some positions are largely because of short covering. there were a lot of short positions in the second week of march. any rebound in the first weeks of april was largely because of short coverage. season a strong earnings to make sure the recovery is sustainable. look at this to chart. counterintuitive. we have the weakest reading when it comes to sentiment in two years as we get into what is expected to be a blowout earnings season across the board. do you look at this chart and say fundamentals are being or this is actually suggested that it is a good time to get in af

he joins us from singapore. why are we seeing this? not just through aluminum and oil, two very separate stories with fundamental reasons for these price gains. but really across the board. complex ismetal relatively easily explainable with the imposition of sanctions we saw on april 6. the response to aluminum has been logical and is the markets slowly start to understand the extent to which russo penetrates the aluminum industry, we see perhaps these gains are justified. people are calling for higher prices in aluminum. nickel, wes move in were sort of expecting something like that to happen given the of theat resell owns 25% largest producer of nickel in russia. but the move yesterday was extreme, up11% at one point. and we don't think that is sustainable. one of the ways of checking that is to look at the move in palladium yesterday and rhythm palladium and nickel are produced together. moveve not had a similar yesterday in palladium. one of the things to do a stun -- based on fundamental insights is if it gets worse, palladium wil

joining us from singapore is mark cranfield, bloomberg's mliv strategist. let me ask how seriously you take these president -- promises from president xi. he and other chinese leaders have in the past promised more openness and just the opposite has happened. robert kaplan was saying these things will not happen overnight, it will take time for them to be put in place and he is an experienced person when it comes to dealing with asia. you can see china doesn't really want to have a trade war with the united states, so it is in their interest to keep moving in the right direction, to gradually open their markets and the things they talked about today are all things that are very doable. they are all things they can achieve within a few months if they really set their mind to doing it and so shortly, that is what china will try to do. xi jinping is trying to talk over the heads of the united states to the rest of the world. he wants to keep the global trade environment going and wants to get support from europe and other parts of the world, and he did a good

in singapore, the sti is lower by one third of a percent. by retailbe preceded data and first quarter gdp numbers. goldman says that the strong underperformance in philippine stocks over the past six months is the main reason for that neutral upgrade. the stock market is the worst in the world and it is the biggest in asia in 2018. goldman also cutting korean stocks to market rates with all markets except korea seeing an improvement in earnings. this is plunging losing as much as 14%. charge.r is leading the they announced a reverse stock split. this is rising in sydney. the biggest to tri-day game since 2011, this after the u.s. impose sanctions against russian oligarchs. have the stock easing up in the pressure we saw at the start of the session. --y are urging shareholders rishaad: how important is the yield curve? at least one policymaker attaches a great deal of importance to it. presidentlar's fed says interest rates should be raised because the u.s. is near full employment. he told them there watching the you curb very carefully. >> i

joining us from singapore. the big question will be our chinese bonds a better buy than chinese stocks, that will be the big question after a series of mixed signals from the u.s. overnight, a-shares broke of four day losing streak. asia's worst performer outside of the philippines. let's get to our chief correspondent stephen engle. aephen: there has been flowing into bonds but traders becoming a little adverse to risk right now given the trade frictions going on. you can see it reflected in asia and the stock links to hong kong. let's bring up the boards and we can see the shanghai composite index down. down 13% since the high of this year in january 24. it has fallen in four of the past five sessions. it did break the four day losing streak yesterday but there is some negative bias, shenzhen deposit same thing. of the last for out five sessions. the stock link, mainland stocks,s sold 584 u.s. the largest winning streak since the shenzhen launch in 2016. this could weigh on regional equities. yvonne: and hong

storage in singapore is going down. we do not know where this oil he is alluding to really is. mark: $100 or $50, more likely for oil? geopolitical risks with iran. is $100 out of the question? not a timeframe. >> i think history tells us that nothing is out of the question. there are geopolitical risks. may the 12th is when president trump will see the iranian sanctions or not. if that goes badly for iran, we could lose 2 million barrels per day quickly. that may be good news for saudi they are nots oil using and they could rise supply to make up for the shortfall. that would give prices a tick upwards. these prices for some time and of that impacts demand growth, we could see things going the opposite direction. both of those look extremes at the moment. we have seen both levels of prices within the past five years. vonnie: oil is such a traders market, is there a danger the moves will get exacerbated should the president tweet again? oil reacted this morning and now only down 4/10 of 1% for the vti -- wti. it shows you the immediate reaction of traders. >> absolutely, we hav

a heavily fortified train. .e has flown before, we believe that opens up the possibility of europe, singapore, southeast asia. it can be dangerous to fly if you are from north korea. thank you. russia,t's get to getting reports that vladimir putin is coming down hard on u.s. criticism from russia, the move aimed that giving president trump a second chance to improve relations after u.s. sanctions. joining us is greg. is this wishful thinking? the relationship has deteriorated to a huge extent in recent weeks, hasn't it? >> yes, it is quite a deep freeze, a level we have not seen in decades. the signals we are getting from the kremlin are at the very least they do not want to have to raise the conflict further. parliament brought forward a bill to retaliate against the u.s. sanctions with a sweeping restriction on trade with the u.s. and the orders from the kremlin came third to put the stop on that. that is on the shelf for the moment. the rhetoric has been toned down. the russians have been encouraged by messages out of washington, despite conflicting signs publicly over the threat of new sa

pluse now projecting six percent annual growth for asian countries, including korea, singapore, taipei, china, asia is stille, growing at 6.5%. china is growing and india is growing even more strongly. vietnam,h, myanmar, they are growing fast. asia's growth is solid. shery: what about the u.s. and chinese tariffs? are you factoring that in? care, we should look at how the conflict is escalated. it is managed by them. come andtive has not it is difficult to speculate. trade, hasimport, grown, this year, since the beginning of last year. 2016, it was negative or slow growth. since then, it has picked up. it is difficult to tell what is directive on the dispute. shery: how about the fact that china seems to be opening up more sectors? they announced they will allow full ownership of the auto sector, the car industry. last week, greater access to global investment banks. they used to be slower to open up a cause they do not want to destabilize their economy but how will these changes affect china? viceready, in davos, the premier of china, later becoming the politburo member, said clearly

much, marks very cranfield coming to us out of singapore. you can find -- follow market insights at mliv . users can interact with the charts we show here. -- g tve gt fee go . you can catch up on key analysis and save the charts for future reference. coming up, were will carry on the conversation surrounding the markets as they work their way toward the open which is 20 minutes away. this is bloomberg. ♪ guy: 17 minutes to the start of cash trading. here's a bloomberg business flash with juliette saly. juliette: facebook ceo mark zuckerberg has emerged mostly on rough for grueling days of congressional hearings. he reiterated they did not do [laughter]revent its from doing harm. >> the it is inevitable there will need to be regulation. i think you have to be careful about what regulation you put in place. for faced ar challenging start as its domestic market was pelted by rein in one of the wettest winters and 60 years. while it's [indiscernible] first quarter sales rose 4.1% on a like for life -- like for like basis. jpmorgan is

gloom skies over singapore. asia-pacific down by 2/10 of 1%. lackluster response perhaps way mixed positive set of data from the chinese economy. here is ed ludlow. ed: the u.s. government has said zte violated the terms of the sanction settlement and has imposed a seven-year ban on purchases of crucial american ztecompetitive. the national security center warned the country's companies that national securitytechnologt risk by using equipment and services cannot be mitigated. the stock is suspended in hong kong. netflix has posted strongest subscriber growth since going public 16 years ago. the company added 7.1 million users and that first quarter of the year. that is despite raising prices for most of its customers over the last few months. netflix shares rose in after-hours trade. barclay has been gauging interest in cryptocurrency trading. it is so far only done a preliminary assessment of demand and feasibility. it could potentially see the u.k. lender joining goldman sachs and pioneering a new business, but it currently has new concrete p

joining us from singapore's mark cudmore, bloomberg's mliv strategist. mark, let me first ask the obvious question about the syrian bombing. how quickly can the market rush this off? is it already gone? mark: i think it is oregon, most likely, unless we see another round of attacks. the allies have been consistent this is a one and done and the indication is russia won't retaliate in military fashion. we are expecting further sanctions in russia. there might be moves like comments and the coming days, but overall there is relief theng to the markets that syria situation is less drastic than might have been feared over the weekend. of theat should i make fact timeout was down overnight? whether or not this is the start of something? mark: i think the big driver here is possibly the fact that after the market closed on friday, china credit numbers were negative. that is weighing on the market. we have operate developers down, casino stocks weaker. they might be allowing moving toward allowing gaming there. the final one, what some traders are saying, is th

us from singapore, bloomberg strategist. after the initial disbelief when you hear donald trump say now it is 100 billion, an extra 100 billion worth of imports, his lieutenants had been talking down. do you take that threat anymore seriously? mark:billion worth of so far, ts not appear to be taking it as a serious threat. they seem to be thinking it is another way of getting talks to get started. maybe it is just to get china quicker to the negotiating table. the reaction in the market is modest. s&p futures have taken a bit of a hit. the asian markets are not doing too badly. the response from china so far has been to remind everybody they are willing to talk about it. investors are taking a calm approach. in a way that, that is good. it also means if this does get more serious, and if negotiations do not go well, then there is a big reaction to be done by the markets. hand,, iton the one could be delaying a market response further down the road. is fascinating to me. listening to the coverage we generate here at bloomberg

here in dubai. 1:20 in the afternoon in singapore. 1%.ks down by middle east tensions causing a little bit of risk off and equities. the 50 day moving average below the 100 day moving average line. rishaad has your business flash. -- mark zuckerberg emerging mostly unruffled after two days of congressional hearings. it admitted he did not do enough beingvent his tools from used for harm. and the domestic market was pelted by rein in one of the wettest winters in 60 years. third quarter cells including value-added task -- tax rose to 20.8 billion euros, just narrowly missing the analyst thinking out there. another statement about the death of a customer that put the blame on driver inattentiveness. the crash involved a man who died last month in this model x. the company saying the only explanation for the crash was if he was not paying attention to the road, despite the car providing multiple warnings. that's the business flash. much, thank you so rishaad, for us in hong kong. crude prices have jumped to a three-year high on heightened tensions in the middle east. they comes as oil min

the latest in singapore. one or two more lines coming through, we gave you the lines at the top of the show on unilever. offering a 6 billion euro buy back in may. the question for markets when we get the opening sweeps will be whether the buyback of 6 billion euros will trump the underlying sales and the lack of pricing pressure they are able to bring to bear. that is a quick take away on unilever this morning. the pricing prices by .1%. the mike -- market penciled in .8%. a hurly-burly over the commodity market. let's talk about the oil market. we have lanes ahead of the non-opec meetings. your sanctionsm on russia, pushing aluminum to a seven-year high. the federal reserve warns the trade tensions, closing their otherwise positive outlook for the u.s. great to have you with us this morning. as we look around the world, commodities are on a tear, our last guest stopped trying to tie up oil commodities and something which commodities -- commodities and oil and its propensity to impact inflation. do you belie

nejra: juliette saly in singapore, thank you. let's take you said -- december aching is on rolls-royce. -- take you to some news on rolls-royce. it seems there might be engine trouble, rolls-royce giving an update on the trent package, this powered the boeing dreamliner. carry out added inspections. it is seeing disruption for customers from this and basically, it is going to lead to other disruptions is what rolls-royce is saying. it will work closely with owing and affected airlines but ultimately, the thing to take away as it will carry out more inspections on the trent 1000 c.k see -- pack sees an spf of 450 million pounds with 100 million pounds more or less. enginete on a little trouble that could lead to disruption for rolls-royce, but they are inspecting it, they will be getting more updates and looking into it with us -- specific affected airlines and boeing. that might be a stock to watch at the open in under an hour. presidentr top story, trump has directed officials to explore rejoining the transpacific partnership, a

i want to get out to seeing the poor -- singapore with juliette saly. juliette: rusal shares have surged in hong kong trade. meeting chinese companies and traders to discuss the possibility of buying alumina and selling aluminum. the company is looking for alternative sources of alumina, the raw material for aluminum. nestle's first-quarter growth got a boost as the u.s. return to expansion fueled by improvement in its pet care business. sales rose 2.8% on an organic aces facing analyst expectations. that comes as the seo revamped though world's largest food company around faster growing bands and -- brands and healthier foods and adding coffee businesses. procter & gamble is buying a consumer health business and a 3.4 billion euro deal, enabling png to expand their consumer health business by adding a fast-growing portfolio brand. they put the unit up for sale last year as it seeks to pump money into testing new drugs such as new medicines. that is your bloomberg business flash. guy: thank you. let's stand switzerland. lowfrank is at a three-year is at

i want to get the bloomberg business flash out to singapore to juliette saly. juliette: the bpp has said it is looking to allegations of personal misconduct by martin sorrell involving possible misuse of company assets. the government says the amount involved are immaterial. he rejected the allegations while recognizing the company has to investigate. cbs has cemented its bid to acquire viacom, the owner of mtv and comedy central. that is according to their purple -- a person with knowledge. cbs is offering a below market value provide comes shares. -- for viacom's shares. swiss recess something is likely to change at stake in 10% or less as it seeks to gain a foothold in the reinsurance industry. this are based company says negotiations are ongoing and remain at an early stage. masayoshi son is reshaping the japanese mobile phone carrier into a technology investor through its fund and sees areas of potential cooperation with swiss re. that is your bloomberg business flash. guy: the u.s. has stepped up its rhetoric with china with its tariffs on high-tech items

and in singapore and taipei we see declines, opening fairly flat. that the weaker yen boosting stocks in tokyo, but it is ongged lower after a miss sales could at concerns that demand has peaked. apple,is a bad omen for with morgan stanley cutting apple shipments, underscoring that sales outlook. with that backdrop, capital futures sank be careful before apple. reports earnings on may 1 -- saying be careful. and they yen is edging towards 109 and a return to 110 not looking too outrageous as options markets points to a breakout for the dollar-yen. and the korean won falling the most in three weeks and investors think -- plaintiff cautious as the inter-korea summit is on friday and will i i on the rupiah to maintain stability after the rupiah fell to a two-year low last week. and of this asian central banks are going to take risks on incentives. . given to pick up in treasury yields >> we have a new chief diplomat in the u.s.. let's get to first world news with paul allen. the senate foreign relations committee has voted in favor of mike pompeo being

. ♪ manus: if the live shot of singapore. 9:22 a.m. here in dubai. 1:22 in the afternoon. gray skies clouding over msci. the market is declared mission haveplished too soon -- the markets declared mission accomplished too soon? not exactly running away to redeem clings about about market risk in the equity side. stephen engle is never in doubt. he has your business flash. stephen. stephen: absolutely. never in doubt, but the future of the world largest advertising company, wpp, is in doubt. it's in sharp focus this morning after the abrupt departure of its founder and ceo, martin sorrell. the boards priority will be finding a longer-term solution to replace a stopgap plan of having to interim operating chief. the financial times is reporting aat sorrell doesn't have noncompete agreement with wpp, leaving him free if he so desires to start a new ad company. advent international is close to acquiring sanofi's division in a deal valued at 2 billion euros, including debt. according to people with knowledge of the matter, the french drugmakers board is scheduled to meet today.

also joining us from singapore is mike -- mark cranfield. do we the ching ming festival. see the gains in equities reflecting in other asset classes? i do not see it coming through in fixed income. it looks like the bond market does not know what to do. mark: it is fair to say that bonds and currencies did not participate in to much of the turmoil that was going on in the past few days of the equity market. they were pretty much on the sidelines watching what was going on. you can see that reflected in the volatility indices, currency volatility hard they picked up at the same time as the equity volatility was going crazy. both bonds and equity volatility was subdued. there is no reason why bonds should have a huge reaction now. because equities are feeling better today. you may see that come through over the next few days if china and the u.s. start talking and it looks more optimistic. the fed will refocus back on the strong growth in the u.s. and that they can raise interest rates. the bond market may start to come alive in a few days time. guy: should we ignore yester

. ♪ anna: the morning, this is "bloomberg daybreak: europe." 6:20 here in london. 1:20 in singapore. technology in focus. very muchd yields are in focus. let's talk about oil. norway's state oil company, first quarter profit increased petroleumrising prices and higher output. joining us now on the phone is .ldar saetre, ceo, statoil great is always to see you. give us the highlight of your earnings picture. but i wanted to start with your expectations for the oil prices. you talked in february about $70 a barrel would average less than that then more in 2017. do you think oil price comes down from here? , it isink the oil price fundamentally a lot of volatility. what we see his storage levels have come down to more normal levels. it is more receptive to geopolitical events which impacts the oil price. that is what we have seen. let's see how the market takes it. $11 billion is the number. let's see how the market takes that. my question is in terms of $11 billion in investment, when prices rise, it is easy to take the foot off the gas, excuse the pun. is it going to be hard for you t

. ♪ ♪ manus: live shot of singapore there. asia-pacific still holding the green. 174.51 on msci asia-pacific. no further gains to come. one lady who always has the right call, juliette saly with the business flash. office onthe london fox networks have been rated i investigators from the european commission. his -- it is part of a wide range probe. the unannounced inspections were carried out in several european countries at companies active in sports, according to the commission, which is concerned they may have breached competition rules. softbank shares have risen the most in three months in tokyo amid new prospects for another attempt at a deal between it american units sprint and t-mobile. the companies have restarted negotiations five months after efforts to combined two of the biggest providers fell apart. t-mobile rose in wall street trading. that is your bloomberg business flash. nejra: juliette saly, thank you so much. facebook ceo mark zuckerberg has defended the social network before congress, pledging to correct i

a mixed bag for singapore and taiwanese and malaysian stocks. we have the msci gaining ground. and checking in on the taiex, now marginally higher. on thiseeping an eye company. earnings are front and center following the easing of geopolitical rates. checking in on some assets and keeping an eye on, we have the taiwanese dollar after it fell the most 10 months. investors losing patience after it failed to breach 29. checkout sterling. the highest level since june 2016. sterling also saw some modest moves after a political report that china's ambassador to the eu said the trade talks could be jeopardized by failure to reach a brexit agreement. now checking in on noble group shares after it won support from richard ellman for a new deal. keep an eye on noble group shares and we do have suspending trade from hong kong. the company said it is evaluating the impact from a denial order. exporting sensitive tech from america. you can see from this track the stock has lost nearly 13% year to date. back to you. we have a comment coming from the ministry of commerce in china. let's have

we have singapore inflation and south korean trade. as we have noted geopolitical risks deals are on the back burner, so this could be positive for the korean won. it has been down most of april after asia's most volatile currency posted a gain for the first quarter. check out how it has been faring the past month. debt risk, korean debt risk in the white, that has just fallen over the course of march and april given what we have seen on the geopolitical backdrop. won, it couldrean .e a $10.50 this is a chance to buy in as well as local stocks. check in on the dollar-yen which is at 108. politics is a dryer -- driver as bulls continued to sink. yvonne: you mentioned we are focusing on 3% yield for the 10 year in the u.s. how is that playing out? sophie: the asian bond market is faring so far, we see a pickup and aussie and kiwi bond yields, up six basis points so far this morning. this after a treasury fell for a third straight session. you want to pay close attention librarychart in the gtv to see the 30% level after the 10 year was a

it was a warmer response from vietnam and singapore. they said the u.s. is welcome back at any time. it goes to show you that while mr. trump may say that the u.s. has an interest, it may not be as simple as he thinks. do those nations need the united states of america in tpp? yes. the answer is the very beginning, the whole point of it was getting access to the u.s. markets for these smaller countries. some of the smaller countries like i mentioned stood so much to gain. the problem is the ship has sailed on. it was remodeled and reconfigured and a lot of the concessions were made to get into the u.s. market and had to be made. a lot of the political goodwill was born and it's not clear if they are saying start again and bring it back to the u.s.. but the president wants to renegotiate, right? or does he want a better deal? deal would be satisfactory for the u.s. with china? --n it comes to the u.s. enda: when i comes to the u.s. and tpp, mr. trump may realize that it was an opportunity loss. it puts the potential for these itding partners to be over on

there are some like hong kong and singapore which in the face of it appear highly exposed. it is not clear how much domestic value they are contributing. then you have the likes of taiwan, korea -- a lot of regional players. beneficiaries might be the north american partners, mexico and canada, which seem to be on the track for getting some sort of nafta arrangement in place. elsa, at the same time, if you see a lot of these asian countries -- does china automatically do more trade with some of the asian partners? does that the philippines a leg up to the the spat with the u.s.? : it depends on whether you think those u.s. imports to china are actually substitutable. when you look at the exports to china that china appears to be targeting, a lot of them are multicultural exports. it will not likely be the cabinet. you could see some benefit for some of the larger commodity producers elsewhere in the world, whether that is brazil, argentina or new zealand. i would be worried about the local manufacturing basis. me ask you about deutsche bank because i am sure when i was away

looks like we are looking at may or june for the summit with various locations being floated, with singapore becoming the most likely venue. would expect that summit to be very carefully stage-managed, just like the one today with a a lot of handshakes and positive, optimistic rhetoric. looking at this time last year, it is a massive improvement. obviously, we need to know that s, inhree sides, 4 side this case, will be going into future negotiations with different expectations. on the side of the white house will be north korea is disarmed and they do so very quickly. i think that there will be a point where they will be very disappointed. likewise for north korea. what they want is obviously not disarmament. looking at the recent gestures, they are not necessarily all a ploy. i think they are less than ideal for the optimal rules of negotiation they might agree to. weapons, an indefinite freeze on testing, etc.. these represent a realistic goal. this would mean quietly accepting north korea into the nuclear club. we remain skeptical because of the implications in the u.s. and on internatio