The coronavirus marches on with u. S. Remaining in focus. Aussie prepares to meet with melbourne again under lockdown. The Health Care Sector sees his biggest deal this year. Siemens will pay more than 16 24 premium from fridays close. Shery lets get you a check of how markets are trading. We are seeing u. S. Futures addingng gains up. 1 , to that rally we saw on friday. Have seen the s p 500 rising for the fourth consecutive month. More positive sentiment over potential virus relief packages being released in the u. S. Not to mention the surge in tech shares. We had the nasdaq composite outperforming with Solid Earnings from tech giants. Apple, now the worlds most company valuable overtaking saudi aramco after posting other than expected results. Posting betterthanexpected results. See negativeo economic numbers out of the u. S. With secondquarter gdp seeing its sharpest contraction on record. Rating switching from negative to stable. Oil was under a little bit of pressure because of those economic concerns, but we did manage to see a third month of advancing new york. Before opecplus starts unleashing supply to the market after historic cuts. Brent crude about 43 a barrel. Lets see how things are shaping up for the asian market. Sophie kamaruddin joins us from hong kong. Sophie after a threeday drop for asian stocks, futures are mixed. Could be looking at a soft start for august, which is typically the riskiest month of the year across asset. Aussie dollar extending fridays drop as the state titans is locked down with the virus situation worsening. That may weigh on the rbas quarterly forecast due friday. The central bank is expected to affirm readiness to buy bonds if conditions worsen. Heads up on the earnings docket today. Highlights include hsbc and japan airlines. Pulling up the terminal going into august, asian stocks have managed to wrap up a fourmonth again helped by the dollars decline. Are signs of renewed investor appetite for south korea and japanese stocks, and emerging asia becoming more attractive. Switching out the chart, the e. M. Stock gauge is close to erasing your today losses. They have turned overweight e. M. For the first time in two years. If we can switch out the chart and focus on the e. M. Space because we can see whether that e. M. Rebound could be sustained. But that could hang on a balance of a weak economic august. We will find out more with a bunch of asian pmi readings due today. Switching out the chart whats again, tech could remain a bright spot hoping to drive the asian stock rebound from the march low. Gains morgans more for tech, especially some conductors. Improving demand for chips. And china tensions pose a threat to korean shipments to intermediate goods. Haidi lets get back to our top story. The fate of tiktok hanging in the balance as the u. S. Prepares a ban. The Trump Administration is expected to announce measures against a broad array of chineseowned software. It decision on tiktok may come today or tomorrow. Lets get over to ros krasny in washington. It sounded like President Trump was about to ban tiktok from the u. S. , but we have heard nothing from him since then. So what do we know today . Ros a very interesting turn of events over the weekend. We heard from President Trump friday night on air force one suggesting an order to ban tiktok could come on saturday but that is past the deadline. We have heard nothing today. That microsoft and tiktok officials have been reaching out to the white house in a lastditch effort to salvage a deal which according to our reporters, seem to be moving ahead quite well before President Trump threw a bomb into it on friday. So it could be a couple days before we really know what is going on. It seems like another instance where a couple different factions within the trump fornistration are bying trumps attention or blessing. But the china hawks like mike pompeo and peter navarro, against more the freetrade elements. So it seems like possibly they are going at each other at the white house at the moment with a deciding vote to come from President Trump. Shery interesting, a number of republican senators came out in favor of the microsoft acquisition of tiktok u. S. Operations. Everyone from senator marco rubio of florida, who is a very fierce critic of china, john cornyn, and a couple others including lindsey graham, President Trumps confidant and frequent golf partner. They also they also microsoft being able to buy tiktoks u. S. Operations would be winwin. Some suggested there should be close monitoring for the kind of information stealing, or acquisition that is so much of a concern to the administration. Its fascinating to see those lawmakers weighing in at the same time the white house is struggling to make a decisions. We have had a lot of Different Things this weekend. They would prefer a spinoff to a sale to microsoft, and various other things. Chinese state media it was out very much in support of tiktok, and calling out the Trump Administration for its hypocrisy. Which if President Trump reads things like that, he may double down on his threat to ban. But its really a fascinating turn of events. And again, the suggestion that the u. S. Should retaliate against china for coronavirus is wrapped up with trade and i. P. And a lot of other factors. Shery ros krasny with the latest. You can get more on the tensions surrounding tiktok in todays edition of daybreak. Bloombergs of scrubbers go to your terminals and mobile. I had, currency volatility costing companies billions of dollars. Wolfgang koester adds up how much, and which currencies are to blame. Next, betting on the bubble. Michael jones is telling his clients the position for a potential stock bubble. This is bloomberg. His is bloomberg. Global Coronavirus Infections are approaching 18 aslion, with 680,000 deaths, scientists race to find a vaccine. Cases in california rose by more than the 14 day average. House Speaker Nancy Pelosi exposed deepening splits in washington, saying she no longer trusts pandemic information coming from the white house. Australias hardest hit virus region enters a new week under tight restrictions and a state of disaster after resurgent infections show no signs of abating. Victoria reported 671 new cases in the past 24 hours with seven deaths. The premier says the new restrictions give Police Additional powers, but null them under a curfew between 8 00 and 5 00. Virusreported lower infection numbers from saturdays record, but still recorded 292 new cases, prompting tighter rules on bars, restaurants, and karaoke outlets. Entertainment operators are being asked to shorten Business Hours through the end of the month after restrictions were eased in june. A close ally of Narendra Modi has tested positive and is in isolation. And the u. K. Is said to consider sealing off Greater London in a bid to avoid a Second National lockdown. The government is weighing shutting down the capital and tightening quarantine rules on people flying home. Reports come two days after the the government opposed a postponement of easing restrictions among a surge in infections. Global news 24 hours a day on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. Im karina mitchell. This is bloomberg. Shery we have breaking news on the terminal right now. Ie are seeing japans seven will acquire speedwayfor 21 billion in cash. Seven and i saying they acted as advisors. S p c will provide committed financing. This deal includes a 15 year 7uel supply agreement for 7. Billion gallons a Year Associated with the speedway business. The transaction is expected to close in the First Quarter of 2021. Lets turn to the markets. U. S. Futures slightly higher after stocks closed out their fourth straight month of gains last week, extending the rally amid a surge in tech shares. Despite signs the economic rebound is stalling. Lets bring in our next guest, who says betting on a bubble in u. S. Equity markets. We are joined by Caravel Concepts founder and ceo michael jones. Great to have you with us. Given the rally we have seen so far, we are overdue for a correction going into august. And what would that look like if we get one . Michael i think the only catalyst for correction, we have already absorbed about all the bad news you can possibly absorb with regards to covid19 at the Economic Data we just received. I think the only reason we would get a correction is it for some reason that we do not for see, fed chairman powell decides that with a 20 private savings rate that he does not need to print the money to finance the next leg of the covid stimulus package. Personally, i do not believe that that is where the fed head is. I think they are more than willing to keep renting money. But if they should decide that with private savings so high that they can maybe take a pause, there will be a pullback, the pullback will scare the fed enough to get them back onto printing money, in our opinion. Shery we have seen chair powell being as devilish as he could be. He really talked about a lot of risks to the economy, but one right sector he mentioned was the housing sector. If we are in this environment where we continue to see a rally and this gap between the stock markets and the real economy, where do you find opportunities . Michael i think that gap between reality and the stock market is also being seen in the housing market, and we think they both have the exact same cause. We thought there would be bubbles coming into this year when the economy was strong and the fed was printing 1 trillion. We think there will be bubbles now that the economy is on its back and the cat and the fed could print as much as 5 trillion this year. You point out one real opportunity, house prices are up almost 10 yearoveryear despite double digit unemployment. Somewhatoyment returns more normal levels next year, we think housing prices could go back into the kind of bubble levels that we saw in 2004, 2005, and 2006. Housing stocks, the homebuilders, they are at multiples of 10 to 12, a fraction of where they were during the housing bubble. So we see plenty of upside for those names if we are correct and the fed continues printing and a bubble ensues. Do you think tech is really that overvalued if we continue to get the earnings like we got last week from the big four . And considering the fact that this sort of growth and business trajectory started prepandemic . The pandemic has just quickened some of the things we had already been talking about with big tech. Michael just kicked everything into high gear. We think that you have to have a nice position in dominant Tech Companies if you believe that there will be a bubble. Bubbles tend to reward momentum. The momentum has been in the technology stocks. If you do not own them, you will not participate. However, we do believe that you need to be rational in the kind of tech stocks that you wont. There are that you own. There are plenty of dominant Technology Companies trading below 35 earnings. If you continue to see Earnings Growth the way that we have, you can get nice returns in a bubble, and you can see evaluations go to 40, 50, 60, is the 1990s bubble is any indication. But we would avoid the high flyers at 150, 200 times earnings. Ifmemory from 1999, 2000, you were in oracle or cisco, you can wait 18, 20 years to get back to making money on those names, because only the rare company like amazon can grow fast enough to overcome a 150 multiple and the bursting of a bubble. So, we think tech has to be a big part of your portfolio, but we would be positioning in the they are expensive, but still rational, as opposed to one cc at 150 or 200. Haidi we also saw the euro post its 6t straight weekly gainh against the greenback last week. Does this symbolize maybe the start of a european exceptionalism when it comes to what investors should be looking at, given the containment efforts as well as just optimism over a quicker coverage in europe versus the u. S. . Michael i think that is a fantastic question, because europe has been the perennial disappointment for the last 10 years. And i think that that may be getting ready to change. You are seeing, one, they have been much more successful in their containment of covid19. They are having a few secondary flareups because the kids do not want to stay socially distance in places like spain, but compared to the u. S. They have done a phenomenal job and containing covid19. That has given them an acceleration in growth that has continued, whereas the u. S. Acceleration has kind of tailed off. They are at much cheaper levels in the u. S. And critically importantly, their stimulus is mostly still sitting out there. They just passed a 2 trillion coordinated european stimulus effort, the firstever. The European Central bank is poised to finance that with money printing, injecting more money into the european markets. All that suggests to us that europe is in a good position to potentially participate even more than u. S. Stocks in the bubble that we anticipate. Haidi we really appreciate your time, michael. Tightening restrictions again, declaring a state of disaster as the virus shows no signs of abating. We will get the latest, next. This is bloomberg. Haidi australias second largest is starting the week with new Virus Research and size infections continue to rise. Almost 700 new cases were announced in melbourne over the past when he for hours. The latest 24 hours. What do we know about these new restrictions . We are expecting more to be announced today. Paul yeah. The new restrictions include a declaration of a state of disaster, which sounds terribly dramatic, but he gets declared when there is significant widespread danger to life. That appears to be the case in victoria. Multiple days of new cases in the high hundreds, including what the premier calls mystery cases, which are not linked to any known outbreak. On level fourck restrictions as of last night. There is a curfew between 8 00 p. M. And 5 00 a. M. People can only exercise and shop within five kilometers of their homes. Schools are back into remote learning. Childcare centers are shut. It is really back to the bad old days for melbourne, and that will be the case for the next six weeks. As you say, obviously there will be an economic impact, and a severe one. We had the treasurer speaking today, calling this a massive kick to the guts to victorian businesses. Of course this will mean a hit for the economy as a whole. Victoria interpreting about one quarter of australias total gdp. Shery the rba meeting on tuesday, how was the situation in melbourne likely to change the picture for monetary policy, which has so far the passing months been sitting on the sidelines . Paul it will certainly get a mention and will be closely watched by the rba. We might get a few hints later today. The assistant governor is due to give a speech, and she is likely to address some of the difficulties that the rba is having at forecasting in these are pretty couple times. It was just two weeks ago that treasury put out an update of its own which saw the thenlevel three restrictions at melbourne shaving about 3 off of growth in the coming quarter. Now we are staring down the barrel of six more weeks of even tougher restrictions. Shery paul allen with the latest on the virus luck down in victoria. We will have more on the virus a anuation there with epidemiologist joining us in the next hour of daybreak asia. Loreal is suffering particularly hard as makeup and price of perfumes lose their allure among the pandemic. The cosmetic giant saw sales drop 19 in the three months through june, as lockdowns and researches on social interactions went into place globally. But the ceo things demand will rebound in the second half. I am pretty confident for the second half, because i think the appetite for beauty is strong, and its always strong. The i think we must see same type of lockdowns and confinement that we experienced, because it has been proven that its very devastating for the economy. So i do not think we will see it again. Is thatery importantly, ecommerce has really grown crisis. Usly along this in the first5 half. But in june, it was growing 80 . A ecommerce is more and more Good Alternative for consumption. I am watching from home, and ive put a little bit of makeup on today, but that has become the exception rather than the rule. Do you actually believe it is the end of an era, and there will be a deep lasting downturn in makeup and prosthetics cosmetics . No, i do not think that at all. First, i am very happy to see that you are wearing some makeup. Stayathome, more and more are wearing makeup again. More than used to before. And we see consumption is rising again. Thatecondly, we all hope to work not be obliged from home for the rest of your life. So there will be a day, with a vaccine or treatment, or something, where you will be able to go out. Day, am betting that this you will wear a lot of makeup, because you will want to celebrate your return to the real life. Shery that was loreal ceo there speaking to us. Siemens health unit has agreed to buy medical systems for inost 16. 5 billion in cash the health care industrys biggest deals of fraud this year. Siemens Health Engineers is offering a 24 premium over varians friday quote. Sizable share a in cancer treatment. Back on track for a major acquisition in the u. S. They have agreed to a near 19 billion deal for speedway, the gas station chain. A transaction was progressing last year that that then dropped out. Now sources say the deal is back on at the same price that was mentioned 12 month ago. Goldman sachs and bank of america are said to have been ipo out of an upcoming because of the past work with alibaba rivals. Senior executives at alabama said they should refrain from dealing with competitors if they want business in their sprawling empire. Due to the busy week ahead in asia, Central Banks in all continents our meeting. The virus continuing to take its toll. We preview what to expect from policymakers, next. This is bloomberg. Haidi it is 8 30 a. M. In sydney. The market open is 19 minutes away. Looking at a quarter of 1 . U. S. Stocks driven higher by the dominance in tech shares. Wayne on sentiment when it comes to the aussie dollar in this part of the trading trading. The primary declared a state of disaster with almost 700 more new virus cases announced in that latest 24 hour period. We are also getting breaking news when it comes to ecodata crossing the bloomberg. We are getting the july Manufacturing Index rising 53. 5. Staying in expansion territory. Certainly a lot of concerns over this renewed set of restrictions with the curfew being imposed in the state of victoria between the hours of 8 00 p. M. And 5 00 a. M. The further ramifications on the economy with the treasurer coming out and saying there will be further detriment to the economy, which is facing its first recession in 30 years. More details to be had later on today about the effect of these new restrictions on businesses and industries in victoria. Lets get you to first word news with karina mitchell. Karina good morning. Florida is bracing for Tropical Storm and saw the warnings that it may strengthening. May strengthen. It is thought to bring 15 centimeters of rain and winds of more than 60 kilometers an hour. The storm crossed the bahamas as a category one hurricane after leaving one dead in puerto rico. Florida has declared a state of emergency. Nasa has completed a triumphant return to u. S. Space travel as spacex brought two astronauts back to earth from the International Space station. This flashed on was the first since the 1970s. Nasa uses Space Shuttle and relied on russian rockets with hard landings. The flight marks a high point for spacex 18 years after elon musk founded the company. A casino operator continue to reel from the coronavirus with gaming revenue down more than 90 for a fourth straight month. The slump comes as chinas ban on tourist visas deprives the city of its biggest source of clients. Down gaming revenue was 94. 5 from a year earlier. A fragile recovery has stalled as the pandemic keeps borders shut. The reserve bank of australia meets this week looking to factor in the latest virus impact on its economic projections. Governor phil low is expected to keep rates unchanged and reiterated a resident a readiness to buy government bonds if conditions worsen the. Situation and mel derm and melbourne will figure as policymakers meet, saying it will have negative implications. Global news, 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. Im karina mitchell. This is bloomberg. Central banks remain united in their approach as they hold policymaking meetings. How to gauge and provide the right amount of stimulus to economies that have been hammered by the coronavirus. Our Global Economics and policy editor Kathleen Hays is here with us. Sentral reserve said dovish messages paired what are we expecting from other Central Banks this week . Kathleen whether they cut rates or not, i think Central Banks around the world are expected to maintain a very dovish stance. Risk, it is not that they will cut rates or think about it as jay powell father says, it is that rates will move even lower. The on that, if you are ace beyond that, if you are a country that has been hardhit by the virus, maybe your cases are getting worse, you are likely to cut your rates by most investors. Meeting this week and is expected to cut its key rate even though inflation has risen sharply. They have got to try to protect the economy from the virus. If you look at this bloomberg chart, you can see we have two lines, the white one is the headline cpi and the blue one is the core cpi. 4 as the target. Both of those numbers are well above the target. Therefore, just about everybody is expecting that. Bloomberg economic says they will probably cut rates later in the year. There is suspense there. On brazil, the virus cases under president bolsonaro have not gone away, still very high. They are expected to cut their key rate to a record low of 2 . There is another one. On the other side, think of carlisle meeting this week, that will be on hold. The virus is under control, mostly. The economy is reopening. So they are expected to hold their key rate study, and maybe they expect gdp down 8. 1 in 2020. Bloomberg economics thinks that perhaps better leaves the door open to further easing. If they needed one more to put on the list as the bank of england. They are meeting thursday. They are expected to hold their key rate study. The big question there is will they say anything about potential he going to negative rates . Of thought will be weighing into the reports. Throughout asia this week. What is at the top of the list you are watching . Kathleen i think it has to be chinas pmi. We have the editors index last week, that manufacturing is staying around 54. Anything above 50 is considered growth. Services also around 54 in the month of july. Not too much change from june. But the Economics Team thinks that things are recovering, but this is the peak that we are going to see. When we look for the numbers 51. 1 for the manufacturing day. That is just about where it was in june. Services are expected to come down a little bit. Again, those are pretty darn good numbers. Japans First Quarter gdp is also out. They will make it more negative. The consensus view is down to minus two point 7 on an annualized basis. Down from 2. 2 on the previous report. This week, we will get other purchasing managers. We will have new zealand unemployment. There is a lot going on for Central Banks. Haidi all right, our policy editor there, Kathleen Hays. The retail landscape in the u. S. Continues to shrink. We are hearing now that lord taylor, widely regarded as the Oldest Department store in the United States, has filed for chapter 11 bankruptcy in virginia. Lorduptcy filing includes taylor owner, the Online Clothing rental company that only bought lord taylor last september for 100 million. Filing for that chapter 11 bankruptcy in virginia, this comes as we continue to see the Retail Sector get decimated with the likes of j. Crew, neiman seeing we have already the temporary closing of 38 stores for lord taylor to comply with these shutdowns. We will monitor that. Lord taylor, filing for chapter 11 bankruptcy in virginia including its owner, le tote. Coming up next, currency volatility is costing companies billions of dollars. Adds up howegist much which currencies are to blame and how to play the fx game. This is bloomberg. Shery you are watching daybreak australia. Lets go back to sophie in hong kong for another check of the markets. Ofhie ahead of a bunch asian pmi readings due today, in a final read on japanese gdp, we are looking at soft start to the asia session as we kick off the month of august. We are seeing futures move to the downside for nikkei futures. Chicago and s p enemy slightly under pressure. The aussie dollar holding study after we saw it loses some ground early in the session as we saw a pickup in cases for the state of victoria in australia. Tightening lockdown for that region. Check out the yen, back above 105. Pulling up the terminal chart, the yen could be eying a lower range after a 2 gain in july. Then again did dip below 105 in the last week, a level that has been a floor for about four years. Its stealth rally has lagged gains in all but one of its g10 peers. Thee are cracking 100, level is expected to hold firm by a analyst, repatriation flows on rising dollar demand from local buyers given the structural changes to business and investor portfolios. And Technical Support may keep the yen above 100. Switching out the chart on the terminal once more, hedge funds are modestly net long. The yen, which signals bets to the end will advance. But an appreciating currency will add pressure to japanese officials to do Something Like when we saw the dollaryen fall back in march. Haidi lets stick with fx. The u. S. Dollar coming off of its worst month since 2010. Every major currency strength following its surge in march, the volatility coming at a cost to corporate earnings. Wolfgang koester, senior at kyriba where he analyzes currency risk for companies. As we talk about the demands of american exceptionalism both politically as well as in financial markets, do you see a risk now in terms of the position of the u. S. Dollar . Wolfgang great to be here, thank you for having me. I see the biggest risk for corporations, and weve talked to lots of corporations around the world to get their input, and we give them our analytics, and what we are seeing here is an uncertainty of the direction. But certainty about volatility. So we are really looking for corporations to really protect them. As you well know, about one third of the participants in the currency markets are nonspeculators, which are the corporates. Haidi right. I find it intriguing on the others, we look at what is going on with some of the currency pairs. You say one of the biggest risks is china being is china weakening its currency. This has not been the case for quite some time. Even the u. S. Treasury route was forced to take china off of its manipulation target list because beijing does not do that anymore, they dont want a weaker currency for their own reasons. Why do you think that is a relevant i guess, accusation or point to make . Wolfgang what im hearing from the ceos saying, when we look at this, is that actually we are switching from a trade war to a budget war. And in trade wars, you want your own currency to go down. Currenciesdy elses to go up. Which means your products are cheaper and more competitive abroad. In the budget wars, what happens is when corporate when countries print money, they want their value to stay as high as possible. So what you are actually going to see, which is part of the volatility and is a mind change, is that actually you will start getting a battle of countries to want to talk up their dollar. And people are still seeing this is opportunities to sell currencies. Whereas in the reality, they need to be cautious because the governments are going to want to have their currency as strong as possible in this budget war. But is something that we have not seen for quite a few years now. Shery we have seen the dollar downtrend. This gtv chart showing that we really fell to the lowest level in about two years. The fifth consecutive week of declines for the dollar. Who benefits the most when it comes to these companies . Wolfgang so, the corporations, obviously, when you have a weaker dollar, it is always a more competitive abroad. So the companies that have more sales abroad are better off that way, clearly. So that is the simple part of this thing. Many other companies that are not doing as well because they do most of their things abroad. All of a sudden, their cost goes up. When you are analyzing your investments, you have to look at, are they net exporters or net importers . For example, if you look, and i know you are also calling from new york, if you look at the s p 500, you have over 50 of the s p 500 doing more than 50 of their business abroad. Typically it is region 60 . So u. S. Corporates will be more competitive in a lower dollar environment. That this is going to be opposing to the thought of the United States government, which i think you will hear very shortly more and more rhetoric out of all governments of talking their currencies up. Haidi when that shery when the coronavirus pandemic hit, we saw the dollar surging on a quarterly basis, i believe the most since 2016 or so. Who are the biggest hits and what currencies exposure to these companies where the biggest detriment, which corporation some sectors are we talking about . Wolfgang i mean, one is we actually at the tail end, obviously, of march, we already saw volatility spike. And that added to a pretty large local global swath of corporations. We actually look at 800 north american and 400 European Companies and analyze where they quantify the losses and then create an have done that for seven years at tyree but at kyriba. Actually look at what the trends are. What we saw in q1 is already a pretty large hit of over 12 billion of corporate having losses. That is a significant number, if you compare that for example in q4, the markets were pretty quiet and it was less than 8 billion. You have seen it as high as 22 billion. We expect q2 to even have more of a fallout and have a large impact. Investors need to be really cautious about what Companies Know how to manage their liquidity, including their currencies well, and which ones dont. So they really have to look at active liquidity management, they have to look at cash management, accounts receivable and accounts payable management as well as currencies. Currencies are the easiest indicator, the easiest to find because they require to identify in their quarterly as well as annual reports, the exposures that they have. Shery very interesting insights thank you for joining us. Wolfgang koester, senior strategist with kyriba. Coming up, a bloombergs scoop. A health care arm is set to have in the industrys biggest acquisition this year so far. We will have the details next. This is bloomberg. This is bloomberg. Are to buy a medical for 16. 5 billion in cash and the health care industrys biggest deal so far this year. For more, we are joined by deals reporter ed hammond. Tell us a little bit about this. And what it signals for the m a market because it seems you are not getting a weekend with this busy news on the m a front. Ed thats true. It is nice to be back in terms of real m a happening over the weekend. We have seen a lot announced this weekend, the siemens deal, an interesting deal. We have known they have wanted to do a big, meaningful transaction. This is a big one. A little over 16 billion, it gets significant it gets significantly into the u. S. Markets and in the treatment market, which is very a hot area. Expected to see significant growth. It is a smart acquisition for them. It is one that i think their investors will applaud. And crucially, it will reduce siemens Parent Company state in the company. Going from 85 anti75 , which is good because it allows it allows the company to move on to the dax. Haidi and tell me about this m a matchmaking at goldman sachs. This is like tender for companies i guess . Ed yeah, they would pitch it as a more sophisticated service. But it is a very interesting product. May have been developing it for a while. It is currently being used entirely at goldman and i think they are sharing it to some clients. It allows companies to look both at their own assets where they are performing well, where they are performing poorly, and compare them to peers. And say look, we have an asset that is performing less than we would like, can we match up to a thing that is performing better than we are and vice versa . It is also the way goldman is presenting it, it is going to be something that Companies Use predominantly to help them defend against investors or just discontent from their own shareholder saying, why do you need a diverse set of assets if you are not able to look after them properly and run them as efficiently as your peers are . Shery ed hammond there with the latest on all of the dealmaking happening right now. Looking at another tie up, General Motors is look working with a charging operator ev go as it prepares a major push into batterypowered models. Jam president mark rousseff spoke exclusively to bloomberg. Mark charge network is 100 renewable. That is a powerful thought when you think about that. That is why we are proud to partner with tv and their mission and their vision because it is very compatible with General Motors. David it will serve as general motor cars. What are will it service . Will it service teslas . Mark the tesla piece of it is different. They have made a decision on their Fast Charge Network to do Something Different from a connection standpoint. So that will not be that was their decision. But the plug and the connections are generally speaking, you know, an sae society of automotive engineering type standard. Other manufacturers and charging, it is kind of the rest. So it is quite large. David there was a poll done a year or two ago that said lack of charging stations was the number one people reason people were given were giving how. Ot buying evs far will this move that you are making, how far will he go to a live that bottleneck . Mark thats a great question. We have done a lot of research around the pain points that people either think our present or in fact our present with electric vehicles. Certainly the charging infrastructure is number one, or close to the top of that. The other one is actually vehicle range. There is a lot of folks that may not live in urban environments, or in an environment that does not have the infrastructure, the car does not have the range. Those two together was the cost in price for electric vehicles in market today is quite high. To be thelooking manufacturer that breaks down and takes away those pain points for everybody. To introduce electric vehicles for everyone in this is absolutely a key part. David it seems like gm is making a dramatic rampup. You are starting from a low base but a rapid increase is what you are anticipating. Do you see a point in the future where there is a crossover where you are selling more electric vehicles then internal combustion engines and when is that . Mark i cant tell you that because i dont know that. A company and Business Commercial standpoint, General Motors will be very agile in our approach to this. So we are going to provide vehicles that people really have a highly desirable thing for people at the right price points with the right design, with the right proprietary battery chemistry, and cost. And performance. To customers will lead us when we get those volumes and we see that demand happen. Larget is a very transformation of our company to something that is quite different. And we have vertically integrated a lot of this technology and commercial knowhow. So we feel very good about that. For the foreseeable immediate future, we are concentrated on launching our new fullsize utilities out of arlington, texas. We are maybe a week ahead of that schedule. So we are going to do both here. It is very exciting. David a very big transformation for General Motors and how you manufacture cars. It potentially is a big transformation for how you are valued on wall street. If you look at Something Like the tesla, it is outrageous how many people think. Is that something you are mindful of, that if you can become valued as an ev company, you can have a much higher valuation . Mark we are very mindful of that. And there is good basis for growth. In this transformation for General Motors. I think that is key. But we have been around a long time, our company. So we have to and we will prove our agility and our fromty as we pivot combustible engines to convertible two electric. General motors president mark reuss speaking to bloomberg. Coming up next, we have bank positions this week that puts bonds and focus. We speak with ubs australias head of fixed income, and we will hear from the university of sydney epidemiologist fee on a stand away about australias battle to contain the Virus Outbreak as we get fresh restrictions out of the state of victoria, including the new curfew being imposed as well as waiting to hear about the restrictions on businesses later on today. We have all of that and more ahead on daybreak asia. This is bloomberg. Haidi good morning. Im haidi stroudwatts in sydney. We are counting down to the major market open. Shery im shery ahn in new york. Welcome to daybreak asia. Our top story this hour, the u. S. Goes after china again with tiktok facing a nationwide ban. Microsoft post its interest on hold as mike pompeo says other Chinese Software is under scrutiny. The coronavirus marches on with the u. S. Remaining the focus. The u. K. Considers new curves in london