Skip to main content

tv   Bloomberg Daybreak Asia  Bloomberg  September 14, 2017 7:00pm-9:00pm EDT

7:00 pm
♪ >> north korea launching another missile over japan just four days after new u.n. sanctions on kim jong-un's regime. retreating -- also fedsing on inflation for a rate hike. disruptor about
7:01 pm
his plans of international expansion. christ hello and welcome to daybreak asia. heidi, we have been following these headlines the last hour about north korea launching yet another missile. very similar to what japan says happened on august 29th. no response from the u.s. or china, but clearly there's got to be lots of phone calls happening in the scene. therere getting news that are national security council being convened with south korea and japan. the show's out and saying this is an unacceptable situation to have another missile test of of course we are waiting for beijing. we are waiting for any response from washington to claim
7:02 pm
responsibility after this kind of event. threatening to sink japan, saying they were threatening to cast the u.s. into ashes and darkness, all of this in response into monday's u.n. sanctions. tokyo. go straight to chris, what has been the reaction of the latest in terms of the government response? chief have had the secretary come out say the latest publication is unacceptable. no indication there will be any further type of reaction. looks like we are following -- falling into the same pattern we have seen many times before so this is my -- not the first
7:03 pm
north korean missile to go over japan. overd an icbm launched july. it is so that the missile is flying over one of the lesser populated areas of japan so it looks like north korea is taking a very calibrated approach to its provocations, something that flew over at one of the big cities would probably be met with significantly escalated reactions from the japanese. >> we have been talking about trajectory a similar japanese. for over >> that is right. last saturday, the so-called
7:04 pm
clinician day for north korea. there have been a lot of expectations that north korea would celebrate its special day with some sort of provocation and there were indications that an icbm launch was being prepared so perhaps the north koreans just want to keep the international community on its toes, being a little bit unpredictable. we also heard that president trump is going to be visiting china, south korea and japan in november. would not be surprised if there are further provocations around that time. --it would be perfect timing nextcould possibly be the response here? hard to see.eally if you talk with security
7:05 pm
analyst, most say china is not likely to cut off the oil supplies that keep the north korean economy going. it is hard to imagine the u.s. taking a unilateral strike in northeast asia so the u.s. can do more joint drills with the south koreans and japanese. they can conduct tests of the missile defense system that is being put in place, but it is hard to see and in game here thatut any recognition north korea is now a nuclear power and it is going to stay that way. the north you make of japans that have targeted on a couple easier we heard from -- what you make of the
7:06 pm
geography that north korea is targeting here? >> they are probably going for the softest target. it is more, difficult for them to do anything against the south koreans. the u.s., you don't want to antagonize the u.s. too much, , there is these nobodyof world war ii so feels friendly towards the japanese in the japanese are unlikely to respond unilaterally on their own without coordination with the u.s. so really they have gone for the sophists targets. they have gone for lesser later region and the far north of japan to fire the missile over.
7:07 pm
>> thank you so much for joining us. let's get to the first word news now. courtney collins has more. >> first up, president trump said he is close to a deal with congressional democrats to safeguard from deportation. he is not linking funding for a border wall. the presidents do making left severalans -- he issued contradictory statements. >> we are working on a plan for dot plot. happen.ant to see that you have a hundred thousand young people brought here, no-fault on their own so we are working on a plan. we will see how it works out. we will get massive security as part of that.
7:08 pm
>> the president said he has not made a decision on who will be the next fed chair. week, treasury secretary steve mnuchin said yellen was among good people being considered to run the bank after her term expires in february. >> the u.s. says alanis clearly in default. however, secretary of state brexit tillerson says no decision has been made. it highlights a rift with european allies including the united kingdom which says the deal is working and must be adhered to. >> canada and mexico have included a five-year provision in the -- ross is alsoetary, likely to quit nafta with six
7:09 pm
months noted as loud and current agreements. it is also confirm that ross will travel to china on a trade mission. >> global news powered by more than 2700 journalists and analysts. i'm courtney collins, this is bloomberg. >> we take a closer look at the .atest u.s. trading session of course, equity futures are falling on the back of this news here on north korea. things could obviously change tomorrow. >> there was no huge drama and that there is a section, but of course the underlying concern starting to be a bit risk off is heightened conditions with korea. here,. the close only a slight gain reported.
7:10 pm
tesla up big as they announced they are coming out with a semi truck. investors are pretty excited. dry eye disease is what is kicking up. they actually have come out with a promising treatment. it is a place among older downcans and u.s. steel along with a lot of material .tocks let's go to the bloomberg because this run for the dollar released to what is going to be on the table friday here in u.s. trading. what is interesting is the bloomberg index. the blue is where the speculators are and the speculators showing a significant drop. that is what we are seeing in
7:11 pm
extending trade. >> you saw the futures go up so oil futures, they were over $50 a barrel for the first time. >> ifs we going to the chart committee will see we have not seen -- you have to go back to make. we ended up closing just below 50, but intraday you had a big push, a lot of of having to do with the headlines we reported yesterday. estimates,ng their pretty much by the most in two years and that part of data under the commodity and you saw
7:12 pm
a big runoff a lot of the energy stocks. got energy gainers for the third day, oil hitting 50, but analysts say 50 day cycle barrier and they do not support going forward so we could continue to be in a tight range for oil. >> thank you for that. news getting some breaking about half of it. it is said to consider a investment in lyft. about $1 billion. google said to consider an investment in left of about $1 billion. not much more word about this.
7:13 pm
competitor.sest this deal is still obviously in the works for it may not come together. there's a lot to be had. interesting giving off of that is also an uber holder. certainly, extra cash will give -- still ahead how much longer the pboc can keep pumping liquidity and biggest risks in china's banks. >> up next we look closer at whether u.s. inflation is set to become a trigger for higher yields. this is bloomberg.
7:14 pm
7:15 pm
7:16 pm
>> friday session looking a little more interesting now that we have the firing of another missile from north korea. we had a little bit of strength in the yen. we kind of are just going through the motions again. >> it feels very familiar. before get to more discussions on north korea, the bank of rate hike coming sooner rather than later. will the federal reserve react to the inflation.
7:17 pm
-- that is the mission -- the message they sent today. some was draw of monetary stimulus was likely to be appropriate over the coming months in order to return inflation. there have been several times in the past, but it is not three. -- poorly to return inflation to that, there may need to be some adjustment of interest rates in the coming months. basedl take that decision on the data, but that possibility has increased her to >> inflation at 2.9%.
7:18 pm
a lot of forces now in play. data will determine if the fed actually moves in november. >> thanks for that. we're going to get back to our top story. we're going to go through and search in just a minute. let's start with the top news. north korea news latest missile launch. is this just a new normal when it comes to have a market reacts? is becauseextent it this missile firing we have seen before and a win over the same areas. we also know how the international community may respond.
7:19 pm
subsequently, a gets muted again. this is a risk that is there in on yields maybe rising as a of this conflict from north korea. know what exactly this all means or the outcome of all this is so as we go from here, i guess the market will trade off of it. the stock market is to digest the news and it depends how the international community response. you see that risk assessment being played out when it comes to default swaps. thatrge, the equity market we have come to know has been --
7:20 pm
-- that will be a significant change of current events. that will cause a significant reaction in the market and we don't know if this will happen. game going on here. mentioned, we will probably view a number of weeks. >> i want to turn over to the data that we saw today.
7:21 pm
-- hike byance of a rate the end of december. do you see that this one piece of data could justify an increase in rate hike expectations? >> to some extent. we've had five months of inflation miss. thatere is some hope inflation does come back and come to the target center so the fed is actually a lot of opportunity to bring expectations back to 100%.
7:22 pm
in 2016, we had a low probability as the data started to strengthen so i think there is an opportunity that this will happen in may go higher in the next few weeks as we get more data coming out showing strength. boehat did you make of the comments about inflation? >> it has to respond to inflation that some point, but it's economy has actually benefited at least from the manufacturing sector and so that extent, it is now strengthening and has signaled a rate hike. i would actually dampen inflation and then they put one rate hike into the system that happened after the brexit vote
7:23 pm
in so that is likely to happen. i think the market understands the message from the bank of england cardwell. >> before we go, talk to us about not just the geopolitical tensions, but what is going on in washington. you continue to see president trump saying we're going to get tax reform done. how much is priced in the market? >> at think is there -- there is hope in the market. i think markets also understand that the word reform is something that they established. it took a few years to get reform really done so it is a combination of tax cuts that have a shorter impact on the economy and in more longer-term objective, but the market remains hopeful. the question really is to what extent of bipartisan support
7:24 pm
this taxo support reform? >> that is still the uncertainty. >> thank you. >> once you turn on the number, we would like to bring your attention. >> you can find on tv . you will not only be able to watch us live, but also's the previous interviews and functions that we talk about. this is bloomberg.
7:25 pm
7:26 pm
7:27 pm
>> this is daybreak asia. i'm betty liu in new york. updatese getting more when it comes to the latest missile threat. we're just getting news that the national security council in japan has wrapped up. we have suffered a the bank of korea will be meeting to discuss the applications when it comes to the market of this latest missile test. >> we've just gotten the same the white house press secretary sara can -- sarah sanders saying trump has been free from the latest missile launch by general john kelly. a very short statement here which is interesting in that the president has been briefed on this latest missile launch.
7:28 pm
-- this has really dominated the agenda going into the asian up next, talking about china pumping liquidity and also what it means to the banks. this is bloomberg.
7:29 pm
so new touch screens... and biometrics. in 574 branches. all done by... yesterday. ♪ ♪ banks aren't just undergoing a face lift. they're undergoing a transformation. a data fueled, security driven shift in applications and customer experience. which is why comcast business delivers consistent network performance and speed across all your locations. hello, mr. deets. every branch running like headquarters. that's how you outmaneuver.
7:30 pm
♪ >> it is 9:30 a.m. friday in sydney 30 minutes out from asia's first major market open. looking reasonable. in little upside going into what is a day that is dominated by geopolitical -- another missile from north korea. in the meantime it is a beautiful morning you're in sydney. -- here in sydney. .> we have headlines on lyft i also bet considering a $1 billion investment in lyft. alphabet considering a $1 billion investment in lyft.
7:31 pm
i am betty liu in new york. you're watching daybreak asia. let's get over to the first word news. first, north korea has fired a second missile over japan in as many months. four days after the u.n. approved harsher sanctions against kim jong-un's regime. the missile flew over the northern island before landing 2000 kilometers away in the pacific. says continuedan provocation against the country cannot be tolerated. north korea conducted its 6th and most powerful nuclear test on september 3 and is launched more than one dozen missiles this year. agreed toindia have deals on transport, trade and security as their leaders met in india. they would take robust action on north korea without giving specifics.
7:32 pm
there are lines will get more freedoms to decide -- alphabet is said to have had conversations with lyft about a potential investment. the considering an investment of about $1 billion. the source of the funds would be either google itself or capital g. lyft have both declined to come, it -- declined to comment. alphabet is also a shareholder in uber. they said they would stop handling trade by the end of the month. beijing is cracking down on triggeringncy, bitcoins longest losing streak in more than a year. john it will immediately stop accepting new account registrations on the china
7:33 pm
exchange. china accounts for almost one quarter of global bitcoin trade. global news 24 hours a day powered by more than 2700 journalists and analysts in more than 120 countries. i am courtney collins. this is bloomberg. >> thank you so much for that. are cap story, clearly we're watching the fallout when it comes to the latest north korean missile launch. look at the market reaction. we are seeing a little higher. the japanese government saying the situation is similar to august 29. >> that is not the case going into the weekend. we are seeing a knee-jerk reaction in the yen. watch 10 year yields moving towards zero today. but the hallmark of market reactions to such provocations has been fairly short-lived. today's launch could be called unprecedented like what we saw on august 29.
7:34 pm
it has fallen short every actions that we saw on that day. if pyongyang does not follow up on other moves perhaps we might see markets shift back to u.s. inflation data. that supports the dollar-yen at 1.09 and 1.10. recent response to such provocation has been impressive as well as the short-lived reaction. we look at the asian rally, that has barely seen a dent. yuan just lost about half a percent and is still up 7% this year. point out, there is a growing sense of wariness. we also have dollar weakness feeding into the asian force. falled 9.5%.
7:35 pm
asia has dominated the forecast upgrade that jc morgan in september with 80% higher against the dollar. that is larger than any other regional grouping. ande had that weaker china data dump yesterday. they edged a bit higher. it's a sign we could see a bit of a potential shift to come. >> when you point out what is going on with the chinese bond, you see that perk up. fell.-year yelled yield the momentum has been with stocks which are outperforming bonds with a campaign keeping liquidity tight in response to the yuan strength. heading for its best quarter in almost two years. chinese bonds are set for a fourth straight quarterly drop. back in december, it has yet to recover.
7:36 pm
moregnals equities are attuned to the fundamental with investors paying more attention to valuations. while stocks and bonds switched places thursday, the deepwater says equity offers bigger opportunities as bond yields are unlikely to fall much more quickly in a tiny environment. >> thank you, with the market reactions to some of these headlines. a headline across the moments alphabet with a $1 billion investment in lift -- lyft. alphabet want to do this deal with lyft? >> they had been very interested in self driving cars. that is a natural extension to ridesharing.
7:37 pm
a lot of people believe the way most self driving cars could be deployed is through a ridesharing network. alphabet was an early investor in uber and had a falling out with the company in a fierce lawsuit it have slowly started to build a relationship with lyft. >> so what does this mean for lyft? how far behind is lyft and look at this injection mean for the country -- company? >> uber raised more than $15 million. i don't have the exact count for lyft but it is much smaller. uber has always had a big capital advantage. something like this $1 billion investment would certainly make it an even fierce and competitor in the u.s. and lyft has already seen market share gain as uber has had many crises over the last few months. >> you mentioned that. how much of a lift has lyft gotten from the series a bad headlines, seemingly endless,
7:38 pm
that had been affecting uber? >> it is hard to tell exactly. 70%, some say30%, 40% 60% moving up. lyft said they will roll out across the u.s. they have to make sure the heavy density, but their mission is not to be the ridesharing service anywhere in the u.s., which is a difficult proposition. they are in the middle. they have started a humongous advertising campaign that stars jeff bridges with the slogan, it matters how you get there. they are trying to get the message across the are different from uber and people should be conscious about which company to effect. >> they are really taking advantage of that, to drive the difference home. eric talking about this proposed
7:39 pm
potential lyft investment of $1 billion from alphabet. up next we're going to hear from alibaba's executive chairman in what he had to say about another technology bubble. this is bloomberg. ♪
7:40 pm
7:41 pm
♪ we're counting got to asia's first major market open this morning. japanese futures still up about 50 points. you are seeing a reaction across the yen and gold. some signs of agitation. but market impact less impressive than the first time around. missile launches out of north korea and reaction in the market tends to be temporary and a little muted. this is daybreak asia. >> that's right. muted, indeed.
7:42 pm
you get a sense traders are saying we have seen this before. and you are kind of seeing this reflected in the equity futures that are trading right now in the s&p. he saw a considerable drop. we are trading here in the lows of the session. we will continue to watch and monitor these futures as a trade and reaction among investors around the world. thinking about around the world, alibaba executive chairman says he does not believe we are heading for another tech bubble burst. shares haves doubled this year despite people saying it is poised for a fall. our chief northeastern correspondent spoke exclusively with him during alibaba's 18th anniversary celebration. he looked like he had a grand old time. what stood out most to you in this great wide-ranging interview? >> absolutely because about 80%
7:43 pm
of their growth has been in economics -- e-commerce platforms. again, this is a company that is branching out into many new areas. brick and mortar, new retail concerts that concepts into southeast asia, making strategic purchases and states into e-commerce platforms. building out e-commerce platforms, going into mu -- movies. cloud computing. a lot of different areas. but on the u.s. it is interesting because there have been questions about their projections for revenue growth. i want to go into the bloomberg terminal and bring you some concerns. it should not be a concern, right? 56% growth year over year in their core business for the growth. 56% up. mentioned, people are
7:44 pm
saying they are projecting for the size of a company 49% revenue growth continuing. there is a probe into their accounting practices ongoing. so there is some concern they are. -- there. there is also the race to the top to be world's largest e-commerce company with amazon. as you can see after alibaba surpassed expectations the latest quarter, amazon disappointed a little. alibaba now has a 450 billion dollar evaluation, just $7 billion shy of amazon. a wide-ranging interview about the biggest challenges and opportunities right now for the next 18 years. i think the next 18 years, the globalization trade will be much better because of the internet. weause this is our mission,
7:45 pm
should build electronic world trading platform. we are making sure that a small business, young people can benefit from that. in a think 18 years is enough for us to improve globalization instead of killing globalization. i believe one trading stops, -- >> what is your u.s. strategy right now? >> we never changed are you a strategy. so to china and sold to asia. we do not want to go to usa and be the local e-commerce company, which amazon, ebay, so many nice companies are already over the usa. >> you don't want to take on amazon, doing what they are doing? >> no. >> how about entertainment in hollywood? you have been patient. tortoise, notthe the hare. what is your strategy? --we just
7:46 pm
it is important to not go and buy movie companies or buy this and that. when you buy all the stuff it is not yours. so you have to learn from them. you partner with them. a lot of things china entertainment can learn from the hollywood partnership is not thinking about, this is good, let's buy it. you talk about -- >> you talk about the coming winter in 2007 and sure enough the winter came quickly. we saw the collateral damage. of course, i was watching your progress through the tech bubble and that bursting. you have had these challenges that wiped familiar names off the board. are we facing a similar tech bubble right now with these billion dollar unicorns and inflated tech scenes? are there any similarities? >> no. >> none? >> not that much.
7:47 pm
i think the challenge, at that time a lot of people to understand how powerful internet is. how to do internet right. so people just jumping into it. a lot of people had crazy ideas but did not know how to operate. and did not know how to make their dream come true. but today everybody knows. internet is very powerful, it is going to change internet -- human history. and also the infrastructure of the internet, the infrastructure technology is much better than 10, 15 years ago. so if you are not that greedy, if you are not that stupid and crazy, it is easy to survive today and yesterday -- then yesterday. >> there are words from yesterday. don't be greedy, stupid or crazy and you can survive. compared to amazon their stock has been doing pretty well.
7:48 pm
amazon up 32% so far year to date. alibaba up as of yesterday almost 102%. more than doubling. >> pretty good life advice, isn't it? words of wisdom. [laughter] alibaba has been trying to diversify away from their bread-and-butter. what have they been doing and have them in gaining traction? >> they really want to be a data company. build course they want to up their global infrastructure for payments and facilitating cross-border trade. but this is a data company going down to the bicycle ridesharing. they are building logistics sensors with partners and collecting so much data. that's new oil going forward over the next 18 years. this,cloud computing is revenue jumps -- computing
7:49 pm
business jumped over 90%. and cloud computing is what they are really going to be doing heavily in addition to the brick-and-mortar presence and new retail as a try to digitize the retail landscape across china and eventually the world. >> great stuff. that conversation you can catch more of the exclusive access he got to for their 18 year anniversary celebration. we have a special half-hour presentation later on at 6:30 p.m. in hong kong, 5:30 p.m. if you are watching a new york. >> china's central bank liquidity$9 billion on reverse repos with rates unchanged to keep overall liquidity stable.
7:50 pm
senior director and head of china bank rating. grace, what do you make of this move? do you think it signals that the pboc and chinese officials are worried about a liquidity crisis brewing here? >> the fact they are taking preemptive measures to address liquidity issues and pockets of areas where we see rising risk within the system, i think that is positive. the fact remains china still remains a closed system that is predominantly domestically funded. there is still a bit of room for authority to live -- inject liquidity if required. ultimately their goal is to maintain a stable system, which would be essential in order to have a healthy development in the long run. >> who are the banks most at risk for a liquidity crisis? >> these are typically the
7:51 pm
smaller, mid tier banks. ony tend to be very reliant non-deposit funding because of a lack of deposit franchise. these banks quince italy are also the ones that tend to grow most aggressively. in the past couple years their growth has been primarily driven by off-balance-sheet and financing activities. >> so certainly -- go ahead. i'm just want to pick up, wondering if you are particularly concerned about regional banks. we have done a lot of analysis when it comes to the shadow box of some of these regional banks, particularly in rust belt areas where we already note growth is slowing compared to the rest of the country. are you concerned they are slipping through the crack's? there are some banks where shadow loans are 300%, 400%? >> for some of these regional
7:52 pm
banks, given a very narrow geographical focus in the fact their performances are very tied to the local economy, we do see evidence of high concentration of risk at these banks. and these banks are also the ones that tend to be less capitalized. we do share some concerns on some of the financial profiles and credit profiles with some of these entities. thatmean, is there a sense if you want to look for the cracks in the system you're looking at the smaller banks? you look at the larger banks, things are looking ok. do you believe when you look at financing thatw there will be leveraging campaigning on that site is taken effect? >> we are seeing some evidence of leveraging in the shadow banking areas. we estimate wealth management
7:53 pm
products have come down about 10% from the beginning of the year. there is evidence that some of the tighter regulatory efforts are paying off. that said, we are still seeing overall increases in system leverage. the fact that credit will continues -- credit growth continues to outpace gdp growth is a fundamental concern we have in not one that is likely to be addressed in the near-term as long as china still remains very focused on maintaining the 6.5% gdp target. >> grace, we are about one month away from the event of the last five years, party congress. are you expecting any significant policy overall or is he hard work going to come after the consolidation of political power has taken place? >> so far we are seeing more examples of financial commitment that regulatory commitment to containing financial risk. if those efforts are sustained
7:54 pm
and significant over a period of time than that could -- grace, always appreciate those insights. kong. to us from hong plenty more ahead on daybreak asia. this is bloomberg. ♪
7:55 pm
7:56 pm
♪ out'more headlines coming on this north korean situation. u.s. pacific command saying their initial assessment indicates the missile is an intermediate range ballistic missile. also saying the missile from more -- from north korea posed no threat from guam, as we know this projectile has flown over the second largest island in
7:57 pm
japan. but crashed into the ocean several thousand kilometers off the coast. >> very interesting given that we had the japanese foreign ministry saying they think the north korean missile was an icbm, also saying there was potential implications it was -- still trying to gather evidence. but certainly analysis suggesting, they have yet to prove they can do a long-range missile potentially threatening the u.s. mainland. we are still waiting for some reaction when it comes to the white house. we know the president has been briefed on this and we know south korean and japanese officials have been meeting on this. >> they have and the white house has said president trump has been briefed by his chief of staff john kelly. you mentioned reactions, we are seeing some reaction in the markets but certainly not a huge gyration a lot of traders
7:58 pm
thought. >> that's right. lots more to talk about in the next hour. we continue to watch the markets open. this is bloomberg. ♪
7:59 pm
8:00 pm
♪ clerks north korea launches another missile over japan just four days after tougher you just sanctions on the regime. betty: the markets make sure little long-term agitation after the latest provocation. haidi: u.s. inflation is adding to the case for iphone rate hike. >> we think -- we speak with alibaba founder on competition, regulation and resistance from china's old economy. this is the second hour of daybreak asia, i am that include
8:01 pm
here in new york. haidi: and i am haidi that coming to you from sydney. betty, let's get back to our top story, north korea. it is a feeling that we have been here before. betty: that thread north korea firing another missile, much like what we saw and late august. japan tried to shoot down the missile launched at 6:57 a.m. tokyo time. it fell -- it flew over the island of ho chi dope before hokkai hours away -- off do. the sea is known as the sea of japan, where the missile ended and we have been talking about market reaction so far, haidi. we saw a haven -- a safe haven jump, gold, yen and the swiss franc. but it was not the much of the huge reaction you might have expected.
8:02 pm
another nuclear tests that might have caused more reactions in the market. haidi: in the wake of my feels like flashback friday, right? i do not want to downplay the impact when it comes to this, but it feels like more saber-rattling from north korea. from a market perspective, it looks like it will take a lot more than this to be able to keep the equity booms down. safe haven a classic play and it was also transitory. it will be good to see how the markets set up this friday here in asia. sophie? sophie: haidi, as you pointed out, it would be at test of how tough equity bonds are. at the open, we are seeing weakness across the board. the kospi down a little bit, and the nikkei is marginally lower. the sydney -- in sydney, a few losses as well. i would like to highlight what is happening in the yen,
8:03 pm
retreating from the ascension no decline. 09, and in japanese stocks. we have seen again so far this week of japanese equities and u.s. inflation data will also likely mitigate the yen's rise. keep in mind, it is still up year, andor the today's launch as unlikely to evolve into a big problem. it points to japan, saying that the case fundamentals are looking good. they are forecasting a rise in at the year's end. we are seeing a dip in the of,
8:04 pm
and korea investment management says a rebound in the afternoon might happen. i let's check on shopping in seoul, korea, checking on the sachs, sellingn its discount stores in china. the planned sale of a chinese business, is positive, according to the company thing that it is seven out of 112 market in china have been closed, and it is still early in the session to see how investors are taking on the latest missile test from north korea. back to you guys. betty: thank you so much, sophie. with the market reaction. we will see reaction throughout the globe, jodi schneider our manager from hong kong is watching and also our managing director from government chris. in tokyo.
8:05 pm
chris, first to you, we have not heard anything yet from president trump. we are waiting to see if he will make any remarks during this dinner. what do we read into the no response yet from china or the u.s. to this? >> well, the white house has said the president trump was briefed on this launch by his chief of staff. the chinese have a regular foreign ministry briefing, and no doubt this will come up. i suspect we will hear the same from the u.s., as we have already heard from japan this morning what the north korean did this morning with the missile launches is unacceptable. we have seen it that language used before, it is hard to see what further steps the u.s. and its allies good take here.
8:06 pm
-- allies could take here. it is hard to imagine they could take any military action against north korea so we will likely hear the diplomatic language of will not accept north korea's nuclear power, these continued violations of you and sanctions. >> there is pictures right now, japanesechores of prime minister shinzo been arriving back at the air force from his visit with the indian prime minister, narendra modi. of course, japan has already made comments about this, his cabinet has made comments about this as well. we will likely hear more from the japanese president on this next -- on this new provocation from north korea. jodi schneider, over to you and your reaction. very standard, as chris outland low we are likely to hear.
8:07 pm
it is not a redline, maybe an orange line here among the --ies, on what they thought how they thought they would deal with north korea. they passed these sanctions, so now what to do? >> the u.s. has wanted tougher sanctions, they got through what they thought was possible in the you went because they needed china and the russia to go with it. china and russia were not going to do so, which was a ban on exporting oil, which u.s. wanted. but it is this back-and-forth, the u.s. passes more sanctions, north korea raises the provocation and threat level. the u.s. goes back with a war of words, trying to deliver more sanctions. it does not seem to be changing north korea's reaction. isu we will hear more from the u.s. about traffic -- passing for tougher sanctions on china -- from china to go along with
8:08 pm
it something that china has not showed any appetite to do. >> it is interesting the words that came through from pyongyang overnight, and from the secretary of state, rex tillerson, pressuring china to do more. the likelihood of getting china to agree to an oil embargo, they did not ask for that at the you when because they did not think it would get through, right? >> that's right, they made it clear that china and russia would not go through with that. the u.s. had to grapple with what its response is, and again, part of this has been the war of words from the president himself and cabinet members. but china has been very clear, they oppose these provocations publicly from the north, but at the same time, they will not go ahead and ban the support which is what really would change it. which is what has been their
8:09 pm
position. haidi lun: i have been thinking about the market reaction, we have been told here we go again. the markets are becoming almost like they are shrugging their shoulders as to the extent of the risk of reaction. what kind of coordination are we hearing in terms of coming through from the japanese government, the bank of japan or the bank of korea about monitoring the potential market impacts of these sorts of tension? >> the south koreans are old masters of this. theylove to announce that are stepping up coordinated monitoring among their agencies and we have seen the headlines go through today. the south korean central banks, the finance ministry, stepping up monitoring of markets, ready to act if needed. south korea has a long history of what they call a smoothing operations in markets, to make sure that there is no disorderly moves.
8:10 pm
the japanese are a little different, it is very rare and unusual, for japanese authorities to step into markets. indeed as you point out, what we are seeing is a modest reaction. it is interesting that looking at the north korean provocations this year, the missile launches, the nuclear test, we have seen kind of an accelerated market reaction michael. what we saw -- market reaction cycle. we saw that the yen edging against the dollar, and the yen is often a haven in times of geopolitical stress but it came back pretty quickly. now, so theut .2% markets are really kind of getting accustomed to these provocations and betting that at the end of the day, nothing truly scary is going to happen. >> it seems that way. much there, you so
8:11 pm
managing editor for asia across asset management and of course, jodi schneider, managing editor in hong kong. we have un's security council planning to meet at 4 a.m. on saturday at soul, korean time, meeting again after passing the sections earlier this week. let as get to the first word news with rosalind chin. >> betty, alphabet has said to hold conversations with lyft about potential investments. they are considering an investment of about $1 billion and the source of the funds would be either google or capital g. alphabet and lyft have both declined to comment. says he is close to a deal with democrats to permanently safeguard from deportation nearly one million immigrants brought a legally to the u.s. as children. he is not linking funding to the border wall with reinstating the
8:12 pm
obama era protection known as daca. left republicans flummoxed as he issued several sometimes contradictory statements. >> we are working on a plan for daca. people want to see that happen, we have 800,000 young people brought here, no fault of their own. we are working on their plan and we will see how it works out. we are going to get massive border security as part of that. >> the president also said that he has not made any decision on who will be the next fed chair. he told reporters about that air force one that he respects janet yellen and that the market is doing very well. earlier this week, stephen mnuchin said that janet yellen one of the few people being considered to run the central bank. check ofnd the company rival, tencent are learning from each other. -- theid 10 years
8:13 pm
competition is welcome. toomberg's vocus was of the the alibaba founder, as the company marks 18 years in business. tencent hey,nk of they are learning a lot from us and we are also learning a lot from them. if we can work on -- if we can work together, on the cashless hey, based on the trust and credit, that will make the market much bigger. >>global news, 24 hours a day, powered by more than 2700 journalists and analysts in over 120 countries. this is bloomberg. i'm rosalind chin, this is bloomberg. ♪ ross, thanks for that. after the break, we hear from a chinese energy giant with its plan to break into the market. haidi: up next, we will talk to credit ceo about how they plan to -- to navigate the market as
8:14 pm
tensions rise yet again around the korean peninsula. this is bloomberg. ♪
8:15 pm
8:16 pm
♪ haidi: this is daybreak asia, i am betty liu in new york. haidi: and i am haidi lun in sydney. asiang to boost its presence and benefit from higher worlds and the region and faster growth, credit agrico bank is hoping to hire 15 to 20 baggers in asia. deputye to their credit ceo. happy to have you with us here.
8:17 pm
let me start with what will be dominating markets. how do these geopolitical tensions, the potential implications for trade impact your assessment of opportunities in growth in asia? obviously we are extremely confident on asia overall, because there is huge potential for growth in the region. it is also for us as bankers, a very important setting. we are by and large very confident. obviously with the latest events, and political turbulence, resulting from the north korean decision of last night, has created uncertainty on the market. i am confident of the capacity of all the monetary and market authorities as well as politicians to tackle this problem and to try to find a political and diplomatic
8:18 pm
solution to this problem. haidi: alright, full confidence. you certainly have full confidence when it comes to regional opportunities. how does your company plan to use these opportunities. stronger investment banking presence in asia, that is being scaled-back, is that an area that you might go up again to take advantage of the growth. are currently expanding our position in asia and very recently, for example, we opened a representational office in indonesia. we are also increasing our wealth management presence through the metro between amundi , our main at asset management" -- subsidiary and pioneer. we are expanding our presence in the region, and i think that there is a genuine interest from asian people, and all -- in all
8:19 pm
the opportunities we can bring them. are theentioned, we number one asset manager in europe, we have a bank which is very strong in structured and i think that all of these opportunities, europe can bring to asia, could be interesting for asian investors who are very keen to have investment -- interesting investment in a slow yield environment. betty: what is your view on china, both in terms of an assessment of the micro growth pictured there and also perhaps more significantly, the policy outlook, and the ease of doing business in foreign banking in the country? >> well, we are very much present in asia, amundi, our asset manager is distributing its products through the
8:20 pm
agricultural bank of china. we have a joint venture in car financing with some important car builder which is gak. what we see in china is obviously that there is a transition. government has to tackle the sheer de-leveraging as you mentioned earlier. but we are quite comfortable -- confident in the capacity of government and the bank of china to deal with these issues. the government remains very much in charge of managing the economy. and hopefully there are ways to tackle that. we are quite confident on the chinese being able to deal with the turbulences we are seeing every day. betty: you mentioned on monday, xavier, there was a lot of focus on asia.
8:21 pm
why are smaller asset management consolidating, what is advertised for munzie to look at -- four munzie looking to acquire mergers and acquisitions in asia? >> i think as you witness, there is a huge concentration movement in asset management. i am a sure it is finished, and am convinced that the movement could be pursued. we are participating in it and we could be in the future interested in any opportunity in asia, and obviously today, it is a priority to integrate pioneer, which is something quite important. it will bring asset management to a very important level. 1.3 trillion euros of asset management, thanks to this merger. to talk tould like you about the changes in the destruction and overall
8:22 pm
financial industry, particularly from technology. vikram handed at the conference in singapore told us what he sees as -- he is the former citigroup ceo, about the terms of destruction in technology on jobs in the financial world. xavier, i would like you to listen to what he said. >> everything that is happened with artificial intelligence and robotics, all of that is going to make processes easier, change the back office and it would not be surprised if a lot of jobs that are not replaced -- that will be replaced by automation and robotics. we have done a lot of work with some of our companies and we think in the next five years, 30% of the jobs could this appear. betty: would -- could disappear. betty: would you agree with that. >> well, i have no precise figure to present to you today. considering my own bags, i would
8:23 pm
be very cautious of that, but on the other hand edc opportunities developing. i am not sure the net affect will be so negative. but indeed, robotics are a new way to do business, and that will affect employment in the sector quite heavily. also the way that we manage our banks and the relationship with our clients. that is the center of our reflection on the way that we address our clientele. betty: thank you so much xavier for joining us to read the credit agricole checkout deputy ceo. one feature of the work we would like to bring to your attention is our interactive tv function on tv bank. you will not only be able to watch us live but also see previous interviews, and you can dive into any of our bloomberg functions, becoming part of the conversation by sending us instant messages during our shows. this is for bloomberg subscribers only. check it out at tv bank.
8:24 pm
8:25 pm
8:26 pm
>> we are looking at live pictures of japanese prime minister shinzo abe speaking. he just got off his flight from india. theas been meeting with prime minister of india and he is now speaking at the airport as he lands in japan, referring to the south -- the missile launch by north korea. he says that north korea is threatening world peace through provocation and he is also saying that the international community must send a clear message to north korea and their needs to be. a unified international response. very short comments -- sharp comments from the japanese president. saying that japan was completely unaware of the missile movement and that north korea as it continues on this path has no right future. betty: as you mentioned, it is very turn and short words coming
8:27 pm
from the prime minister, shinzo abe. one note about this missile that was fired, it traveled far enough to reach warm. .s you know -- to reach guam as you know, north korea had comments where it said that it would annihilate guam. as we had talked to one of our reporters, it looks like north korea is focusing on the softer target and that would be japan, right now. hadi: yes, and we have scant reactions when it comes to the u.s., but we did have that one comment about how guam was not turned by the latest missile test. to monitor thee story of course during the course of this day, shinzo abe delivering some short comments there and calling for the yuan to hold an emergency security council meeting. we know that it has artie been scheduled to take place on saturday morning at 4 a.m..
8:28 pm
the un security council will be meeting at seoul, korea time. more to discuss with this latest provocation from pyongyang. this is daybreak asia and this is bloomberg area♪ -- bloomberg.
8:29 pm
8:30 pm
♪ lun: it is 8:30 a.m. in singapore, before the opening of trading their. storm clouds are gathering in is skies, and the risk coming to the markets with the classic safe haven assets like the yen and gold. futures are reflecting from you weakness in the u.s. as well. there is a bit of a cloudy outlook when it comes to this friday's session thanks to north korea, -- >> yes, certainly some strong's gathering in the markets. i am betty here in new york and you are watching daybreak asia. let's get to the first word news.
8:31 pm
korea has fired its second missile over japan in as many months, four days after the u.s. approved harsher sanctions against the regime. the japan says the missiles flew over the northern island of hokkaido before landing 2000 kilometers away in the pacific ocean. it is an intermediate range missile and the japan prime minister says north korea has no bright future. have bristledico at a u.s. proposal taking them through a five-year position in the nafta agreement which would force members to reconsider the deal or dump it. the u.s. commerce secretary has said the u.s. is likely to quit nafta without notice. thats also been confirmed ross will travel to china with president trump in mid-november on a trade mission. apan and india have agreed on deal to transport trade and security, as their leaders met in the city.
8:32 pm
abendra modi and shinzo said that they will take robust action on north korea. the allies will take more on industry onde india's first bullet train for example. its fifth dayfor after one of china's largest online exchanges said it will stop handling trade in the next month. beijing is cracking down on cryptocurrencies, so it is affecting cryptocurrencies. china accounts for almost a quarter of global going trade. global news, 24 hours a day, powered by more than 2700 journalists and analysts in with him 120 countries. i'm rosalind chin, this is bloomberg. haidi: thank you, rosalind. the markets are taking all these
8:33 pm
excitement and we are trying to -- the reactions as beijing let us get it over to sophie. sophie: let us take a look at what is happening in seoul, korea and assets are falling, the korean won snapping a two day rise. trading at an august 21 low. the kospi is also falling for the second time this week, but it is till on call for a weaker gain of 1%. we are seeing currencies under pressure even the risk of the move, the aussie dollar back below $.80 and the dollar falling for a second session. a knee-jerk reaction we are seeing in tokyo is proving short-lived, we are seeing the assent of the yen. the nikkei have also swung today's now. energy stocks are leading the rise in tokyo on both benchmarks. oil holding near 50 bucks a barrel, helping support to the energy equities. devotee i is set for a second weekly gain near the 50 mark --
8:34 pm
wti is set for a second weekly gain, metals stocks are sliding, mirroring the weakness we are seeing in base metals after a disappointing china trade that we got on thursday. copper and steel are on the back foot, and cal copper is on track for its biggest drop since march. gains in that space not as high as we saw during the august 29 event. i would like to show you what is going on with stocks that we are keeping a watch on. with kickoff with lente shopping halting a three-day drop after announcing plans they asked hired goldman sachs to oversee the sale of its chinese operations. buy on theaded to newsday, saying that it is a positive given the losses on the chinese lotte business, with
8:35 pm
over 100 stores closed their. myer holdings in sydney falling to the lowest level on record and morgan stanley says the arrival in australia coupled with a weak consumer outlook will continue to press pressure on the meyer department stores. the stock was lowered to 67 and underperform by credit. are -- ohara, ojai surging almost 20% sending the stock to 8 june 2000 eight high, after reporting its annual earnings forecast yesterday. business ofthe optical glasses used in devices like digital cameras. those are some of the stocks we are keeping an eye on, and as you can see ladies, we are seeing changes in that equity space aside from gains in tokyo. we are seeing forex taking a hit in bonds also dropping -- forex
8:36 pm
taking a hit and bonds, also dropping. again, it comes down to whether or not investors are digesting the latest provocation from north korea, to fear, or taking it in stride. again, it will come down to whether we hear from the likes of president trump in washington dc. he has been briefed on the matter and the japanese prime minister give a press conference this morning of his reaction to the latest missile test from pyongyang. there is a lot to digest this morning and we will see what happens. betty: indeed, and that could affect the bond market and the risk appetite. sophie, as you mentioned, the prime minister of japan made some remarks, also calling the you went hold an emergency un security council meeting. that is apparently happening at 4 a.m. in seoul time on
8:37 pm
saturday, so all of the officials will be getting together in a response to this. you mentioned that this missile act is absolutely an acceptable -- he said that if north korea continues on this half, it has no bright future and also noting that japan was completely aware of the missile movement. those were the comments from the japanese prime minister as he laned after his trip to india. more to come. we will talk some more and get more analysis from the eurasia group director for china who knows a lot about this issue, marco hurston. this is bloomberg.
8:38 pm
8:39 pm
♪ haidi: you are looking at a live shot of tokyo there, we are
8:40 pm
seeing fairly nice gains for the equity markets, better than considered. we are seeing that reflected when it comes to the futures. a bit of productivity in the yen, and a jump in the gold. equity are hard to keep up -- equity is high to keep down this week. >> i'm betty liu here it new york. his alipayys that welcomes competition from anywhere. stephen engle spoke exclusively --h jack ma during tencent during tencent's celebrations of their 18th anniversary. >> we did not have any experience in globalization but there is competition.
8:41 pm
been runningy has around for 10 years with no competition. which is good for alipay, not good for the mission which we have. when tencent came in at the beginning, alipay was -- when i think when you're asking people nowadays, we know that there is somebody who is working together to influence more people. we can make a market bigger. this is the fun part. is learningent pay a lot from oz and we are learning a lot from them. if alibaba and tencent can work together, get the whole society , based on trust and credit, it will make the market bigger. >> the speed of the internet era oftentimes blurs the lines of regulation. you push the boundary and then
8:42 pm
regulators overreact or whatever. how do you stay ahead of that, and also not overstep your boundary. >> we always stay ahead of regulators, we have to. otherwise, we go nowhere. we don't have any difference between other companies. we go ahead of the regulators, there is always a painful thing, they say hey, wait a minute, my job is to regulate, it is not about innovation. my job is not to improve the other people's lives, it is your job. a is another profits -- it is painful process that alibaba is learning. >> how do you stay close to the fire without being burnt? >> we are careful to riyadh we were young, it was ok. now that we are big, we have to regulate our self much more stricter than the regulators. we have more than a half-million people using us, we have such huge transactions,
8:43 pm
anything wrong -- we have to discipline ourselves much more. we also have to let the regulators, the policy is important. been a fascinating conversation there with the alibaba founder and executive chairman jack ma, taking exquisitely with our stephen engle. incredible access that we got to the company and its headquarters u. there is going to be more on this revelry on this two companies, alibaba and tencent. we are joined with someone to talk to us about that. >> alibaba and tencent to compete in a lot of sectors, they are battling it out in out, entertainment, financial inments business and also southeast asia, you see both companies investing in the ridesharing apps potentially in an area where they could expand their payments business. mentioned pony,
8:44 pm
saying that tencent is a newcomer to the game. without dominance in china, they might not have the upper hand when it comes to these battles outside china. betty: what about amazon? is there a fight in e-commerce globally as well? >> absolutely. companies paying attention to the south east asia, especially indonesia, as an up-and-coming economy market. both companies are experimenting with retail right now, trying to revamp the sector. alibaba has pointed out that traditional retail sector is unfortunately smaller in size and investment has been going into that. they are trying to create new models for the grocery store, an area where alibaba was first to go into ahead of them -- ahead of amazon before their whole foods deal, and now alibaba is taking the new front to retail and shopping malls and
8:45 pm
departments doors. -- department stores. haidi: we appreciate that, our reporter in hong kong. unprecedentedmore and exclusive access to the alibaba group in our special have our program a little bit later on it will be preparing at 630 p.m. tonight in hong kong and 5:30 p.m. in new york this is bloomberg. before we go, we have a few more headlines coming up from rex tillerson, the secretary of state, making comments of north korea saying that the provocations only deepen north korea's isolation. calling on nations to take new measures against of korea. also some words for russia and china. china and russia must indicate their intolerance, and he calls for china and russia to take actions of their own. again, these are the newest comments coming out this time from the u.s., from the secretary of state, rex
8:46 pm
tillerson. i think the most interesting part of this, haidi, is he is bringing in china and russia, saying that they must take action on their own. ourill have a lot more with next guest from eurasia, right after the break. this is bloomberg. ♪
8:47 pm
♪ haidi: let us get a quick check
8:48 pm
on the state of play on the markets this early in trading markets in asia. the epicenter of where the action is, we are dealing with the aftermath of yet another missile launch out of north korea early this morning. baconschi is seeing a downside of the -- the kospi is seeing a little bit of a downside, with the bullish week on equities globally. ofhave seen a little bit risk off activity, playing into the yen and gold and the s&p many features as well. not an overt reaction. that is the latest on that north korean missile launch, and we are waiting on the latest reaction from washington, we got a statement from the secretary of it, rex tillerson. thattially pointing out china needs to do more when it comes to oil, north korea and russia when it comes to labor supplies in pyongyang as well. lou here inbetty new york, and as you mentioned, haidi, we got the comments coming up from the secretary of
8:49 pm
state, on this latest missile test. rex tillerson was saying in a statement -- china and pressure must take action on their own and indicate their intolerance for north korea. joining us now is someone who knows a lot more about what is going on in that region, eurasia group director for china, .ichael hirson thank you for joining us to grilli late here in new york. china is your specialty, i am curious to get your reaction to what rex tillerson is saying? >> i mean, this is really do not of the problem, china is at the epicenter, the middle between the u.s. and north korea. the u.s. strategy right now for north korea is an all out pressure campaign, to try to use every bit of economic and diplomatic pressure to squeeze north korea and bring kim jong-un to the negotiating table. china accounts for roughly 90% of north korean trade.
8:50 pm
really, it is intense pressure on china, to exert pressure in turn on north korea to try to bring them to the negotiating table. china has moved quite a bit and supported some increasingly tough sanctions and security council resolutions, the question is, is it going to be tough enough for the u.s.? wants ashere, the u.s. much pressure as possible and china is willing to do some, not wanting to destabilize the north korean regime. betty: it seems like rex tillerson is saying, china needs to get on board with tougher oil embargo. it sound like what he is saying, basically, take your own action. we could not get it through the you went but you have all of the power in your capacity to go ahead and do that? michael hirson: that is what the u.s. wants, and they would be happy if the u.s. were to cut off all oil shipments.
8:51 pm
china agreed for the first time to limit the cap on oil shipments of part of this view and resolution. the question is, is china willing to do that much more? it is an open question and i think probably not. it is too hard, they are afraid that if they back kim jong-un to a corner, they risk stabilizing -- the risk destabilizing the it is important to point out the political context in china right now. we are coming up on the 19th party congress in mid october, eight once in five years event -- >> it could be a worse time -- >> exactly, so if you are president in china, you want stability. you are worried about the collapse of the north korean regime and a refugee crisis. you do not want anything to detract from his campaign which is really stability and an environment where he can his allies in place at this upcoming
8:52 pm
congress must show that he is managing the country well, a capable manager of the international crisis. so it is a difficult time to be asking beijing to squeeze harder on an unstable regime. yes, every the awkward time. you mentioned earlier that washington is doing everything, putting every bit of pressure it can to try and get china to do more, to exercise its perceived leverage over pyongyang. do you think they will make good on his threats that trump has made before, about cutting off trade with countries that still deal with pyongyang, like china? michael hirson: i think trade is a difficult measure for the u.s. to be using against china. it has such a blow back to the u.s. area it would almost certainly be met with some kind of retaliatory action by china it is more likely that we will see more sanctions in the u.s.
8:53 pm
against chinese firms and even chinese financial institutions. which are viewed as still maintaining a link with the north korean regime. haidi: it is really hard, because you talk about further sanctions potentially on the -- on chinese banks, with global systemic implications if they were to do that. i am curious about what can be done in terms of the threat on the trade side, right? a lot of that has kind of -- you imagine it has to dissipate with president trump going to them region next month, meeting in south korean and meeting with the chinese president. do you think the dialogue will get the parties roughly two up point where compromise or there is some point of strategy going forth? michael hirson: it is in a sense that the president's trip is an important guard rail for where we are right now on u.s. china relations. the two leaders will be looking to use the trip to make progress on these issues.
8:54 pm
if not south korea but also on trade. i think both sides will be hesitant to do anything that would be particularly rush or provocative ahead of the trip. that is an important opportunity. whether or not they can reach a solution on north korea, such a problem, is such a problem. betty: yesterday we had news on a chip maker which was blocked because it was the deal backed by chinese companies. do you think that decision by president trump had anything to do with north korea? michael hirson: no, i do not. i think what that reflects is the growing concern in the u.s. about the moves that china is making, to acquire u.s. semiconductor farms and -- firms and other technologies. we have are and inflection point, it is not just that case which is in cygnet -- which i think is significant.
8:55 pm
president obama blocked a similar transactions last year, it is the fact that the u.s. also last month launched what is known as a section 301 investigation into china's industrial policies. congress arens in starting this week about potential changes to sefius, the process that u.s. uses to examine these kinds of transactions due to national security implications. this reflects the fact that the u.s. is concerned in a way that we have not been before about the national security and the core concerns that have come from china's industrial policies. portugal really its efforts to grab more of the global supply chain of semiconductors. betty: so it is really more about security concerns. if china though, had moved more on north korea, and if they actually went to the lengths of or exportsil embargo
8:56 pm
to north korea, do you think that might have helped cases like this? michael hirson: i do not think so. it helps in some ways on trade. when the section 301 investigation was launched for example, it was world out in a businesslike manner. we are going to consult with china, follow procedures am a not's such a restrained approach from the trump administration. i think north korea played a role in that. but the trade officials in the trump administration are also hawkish on china and on this set of issue in particular. the establishment is very focused on -- even though it is seen as an economic issue, they are worried about the implications of national security. there is a really remote -- limited degree to which they're able to prevent making these moves, simply because of what might be happening on a day-to-day basis and north korea. betty: thank you so much, n.chael hirso
8:57 pm
haidi, we continue to what these provocations in north korea and the reaction around the world to this missile test. haidi: the reaction is still coming from south korea, urging the north to come to talks for denuclearization and strongly condemning the ballistic missile launch. urging a stop to this reckless provocation. also saying that the missile test is a challenge to global peace. that is our story today. betty: it absolutely is. we have the u.s. statement and now we are curious to see what china has to say about this and russia as welcome as we go around the world in our market coverage. that is a for daybreak asia, "bloomberg markets" is up next. this is bloomberg. ♪
8:58 pm
8:59 pm
9:00 pm
♪ it is 9:00 a.m. in hong kong. our top story, north korea launching another missile over japan four days after tougher sanctions. washington calling on china and russia to take action. and markets,sponse 1.10.r-yen above our global disruptors series, alibaba founder jack ma, his plan for international expansion. this is "bloomberg markets: asia." ♪


info Stream Only

Uploaded by TV Archive on