comparemela.com

Profit increase as iron ore holds up amid the pandemic. Relations go even further. China says attacks on tiktok were bullying and rejection of fair competition. Shery lets get you started with a quick check of how the markets are trading. U. S. Futures opening flat after the s p 500 and other major indices ended the session mixed. We had a rally in Technology Companies with the nasdaq gaining 1 . Selling off sos the s p 500 was dragged a little lower. Still closing at the highest level since february. The third time in the past week that the index topped above its february closing record during the session, but ended below it. Still up more than 50 from its march low. We did get more positive ecodata. A gauge of Builder Sentiment jumping to the highest since 1998. Take a look at oil because that positive sentiment over the economy taking oil for a five month high, all the right now under pressure. Wti now headed towards 42 a barrel. See how things are shaping up, here is Sophie Kamaruddin in hong kong. Sophie this tuesday, we have asian stock futures mixed but mostly higher. Getting more than 1 after the regional benchmark closed at a high on monday. Back online today after the kospi snapped a nineday rally with technicals slashing. Indonesia returns to the fray as well with trade data due today. From australia, rba Meeting Minutes on tap. And watching westpac increasing bad loan charges. Bhp earnings on watch as well. The miner seeing iron ore prices easing from the current level and that has extremely challenged demand outlook for the first half. Overall, stocks could be set for modest gains. Looking at a snapshot of rbnz policy divergence. You have the aussie dollar topping the best winning streak since 1991 against the kiwi. Negative rates in new zealand. Expecting the rbnz will cut the cash rate to 50 basis rates in april. Switching out the chart, made way on japanese stocks with the currency trading around a oneweek high. Recovery prospects remain uncertain following the gdp slump. The nikkei could be on a path to losses, during the broad rebound we have seen in asia. Changing of the chart, it is not being felt, which are on track for the worst year since 2013 as the region misses out on the tech rallies that continue in wall street. Southeast asias old economy firm makes up the heaviest waiting which will longer will be the case in hong kong, adding alibaba and shalxiaomi. More on the get markets with aaron gibbs. We keep touching those record highs without really being able to surpass it when it comes to the s p 500. When you look at the rally we are seeing in the u. S. Stock market, what do you think about andbreadthe, depth volume of the overall trade . Erin there are some positives and some negatives. Its interesting what has happened in july and august. We have seen a better breath and seen some of the cyclicals, and from the laggards start, start to lead and catch up. The downside is we have not seen the volume. We are still at extreme lows when it comes to volume in this a lot of money on the side when you go to money market funds. As well asof Retail Investors are on the sidelines partially because they are waiting for this second stimulus package to be issued. Of course, now our congress has gone on vacation so that is going to be something where people are going to potentially remain on the sidelines because we dont know what our government is going to do as part of this economic recovery. So, its as much as we are looking forward and were hoping to be able to come out of this recession and we have this amazing with lower estimates in the second quarter, there is still some concern of how we are actually going to pull ourselves out of this. For every positive number, we might see a negative as well. I certainly feel more confident than i did two months ago because at least we are seeing a broader participation and seeing real great numbers in the housing market. But, there is certainly some warning signs and some reasons to be somewhat cautious. On,s not a full risk highgrowth environment just yet. Shery the housing market, we got those positive Builder Sentiment numbers jumping to the highest since 1998. How do you play that . Erin yeah, that is one of the positives. Isay home is where the money as well as the heart. There are a lot of ways you can really play this home market. It is really about this trend of people moving out of multifamily homes, i. E. Apartments, into singlefamily homes, houses. With that comes in a lot of areas of potential growth and longterm earnings potential. Two of my favorite stocks for long time has been home depot. A Home Improvement and Home Development retailer. Another one in materials is sherwinwilliams, a paint supplier. And straightforward homebuilders. Lennar homes is one of the better homebuilders out there. Some of the strongest Balance Sheet debt, free cash for levels. Good credit quality. But, they also were very focused on singlefamily building versus multiunit. Thats where we are really seeing the trends, the exodus from the cities. This a lot of different areas. It doesnt have to be homebuilders or retailers. Theres a lot of potential if you think about going from an apartment into a home, to take advantage. Electionu say that the and the political meanderings going into november does not necessarily knock the market rally back. After november, do you think the market is adequately pricing in the risk of a change in tax code, particularly with regards to what a Biden Administration may do on Capital Gains tax . I think, in general, it takes so long and we still have it will be challenging for biden to get a lot of things passed through. Taxes, the Capital Gains that could be a negative. That was a big push when trump lowered it. I think the market is very ofely pricing those types events in until it is clear it will happen. Even if biden wins, and a lot of people are very happy with some sort of change because of the political, pandemic, and economic crisis we are facing. Just the idea of change would be more of a positive overall. That isstreet, something that even if there are changes, there might be other aspects that wall street would be happy about. Haidi just want to get your views on the retail recovery and the consumer recovery. Do you see that in the u. S. . Picks whateve are your in that space . Erin this is one area where i really advise you to be very selective. One of the things im looking at as i mentioned, good Balance Sheets. Have enough cash on hand. You can still keep the lights on. The retailers i like, even though we are facing a they tend to be smaller stores. T. J. Maxx, ross. They are well valued even with the downturn. They have recovered somewhat. Haidi erin, we will have to leave it there. Erin gibbs. A little bit of interference. We do have some breaking news crossing the bloomberg when it comes to bhp. The miner just releasing its earnings. A bit of a miss. 4. 6 below the average analyst estimate and it comes to net income. 7. 96 billion. And finalng a 40th dividend of . 65. Capex at 6. 9 billion. Earningspershare at 1. 79. Fromyour revenue coming in continuing operations, just shy of 43 billion. That was more or less in line with estimates. The underlying about 22 billion for the full year. Interesting commentary coming from bhp. Seeing iron ore prices easing from the current levels. We have seen super high iron ore prices being driven by the recovery and infrastructure demand out of china. Bhp saying the worst of the physical demand shock from covid19 in the first half of the year is now behind us. China growth rate moderates over the longerterm, saying they were extremely challenging demand for its products in the first half. Still seeing a challenging environment for coal, navigating a difficult period. We will get more analysis on that. Coming up, including an interview with the bhp ceo joining us later on. That conversation at 1 30 p. M. If you are watching in sydney, 11 30 a. M. In hong kong. This is bloomberg. Karina you are watching daybreak australia. New figures suggest u. S. Coronavirus infections are slowing despite cases approaching 5. 5 million. Arizona reported no new covid19 deaths, while californias numbers were less than the 14 day average. Florida indicates the summer infection surge may be slowing down. Spain and italy have closed nightclubs. Francis has virus indicators are trending upwards. Singapore has announced new virus stimulus worth all low 6 billion. Extending wage support and hospitality. The program adds to the governments total package of 73 billion. The news comes with singapore sliding further into recession and the economy shrinking a record annualized 43 in the second quarter. Hong kong is extend social distancing curves for a week to august 25, including a dine in ban in restaurants. Officials say it could threaten and people should prepare for a possible surge in covid19 cases as winter approaches. The economy remains under threat from the operate. Global news 24 hours a day on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts. Im karina mitchell. This is bloomberg. Haidi the u. S. Is adding additional restrictions on huawei, aimed at cutting its access to chips. This is the latest news in an increasingly tense relationship between washington and beijing. Stephen engle joins us now from hong kong. What are these new curbs . Stephens according to the commerce secretary wilbur ross, this is designed to slow close down some of the loopholes that they claim huawei was trying to exploit following the previous restrictions on huawei that were announced back in may. Now, what the market is seeing is that huawei potentially could run out of its stockpiles of certain self designed tips, essential to telecom equipment, by early next year, 2021. Keep in mind, this initial u. S. Ban back in may forbade foundries, including in taiwan, from making the chips that were designed for huawei using american equipment. 38s new restriction adds huawei affiliates and 21 countries to this economic blacklist. As the u. S. Tries to limit adoption of huaweis 5g technology in various markets around the world. Nutshell,t curb, in a cutting access to commercially available chips to huawei. Yes, another indication that relations between china and the United States are straining. Shery yeah, it is not only about huawei. There are so many different firms, including other Chinese Companies that are feeling the pressure. Now we are hearing that tencent has hired its first lobbyist in washington. Stephen thats right. Service, the big messaging service from tencent. Obviously, it has been pretty much over the next month and a half, will be banned in the u. S. Or from u. S. Customers using that service. Tencent, not surprisingly, i guess you can say, has hired its first d. C. Lobbyist. It has recruited roberto gonzales, former Treasury Department counsel. He will be working the halls of the powers in washington to try to see what it be done to rectify this situation, which we had an interview with the president of the Shanghai American Chamber of commerce yesterday. He said it could be very devastating if it extended all the way to china. The chinese equivalent to wechat, that would be devastating to small and mediumsize businesses on both sides of the pacific. Shery Stephen Engle there. Coming up, the Democratic National Convention Kicks off virtually in a few hours, as the Postal Service remains a partisan flashpoint. The latest from capitol hill, next. This is bloomberg. Plenty tose democrats add 25 billion in funding for the u. S. Postal service. The legislation scheduled to be voted on saturday. The bill would prohibit service cut to strengthen the agency head of the november election. That as the Democratic National convention is set to kick off virtually in a few hours. Bloomberg contributor and Political Science director joins us now. Great having you with us. Tell us how important it is to deal with this usps crisis in order to avoid a disputed election this fall. Its becoming increasingly important. I think for democrats, once the president came out a few days ago and said he did not want to support or opposed funding for the Postal Service because of his opposition to some forms of mailin voting, that really was something that got the democrats active on this issue. The president has since tried to walk that back. What we really have here is something that started out as a mundane Funding Crisis that has erupted into this political crisis. The speaker of the house is bringing the house back to vote on saturday on this 25 billion of new funding. On monday, you are going to see the new postmaster dejoy and the board of governors, chairman robert duncan, testified before a House Committee led by none other than carolyn maloney, who herself did not know she won her own primary in new york for six weeks because of some problems with mailin voting. It is going to continue and heat up over the next week. Course, we are gearing up for the Democratic National convention. What does and all Virtual Events mean . The implications for things like fundraising and networking, which is so crucial for these events . Jeanne yeah, it is going to be so fascinating. We have never seen anything like it. You just put your finger on what is a huge change that has not been discussed a lot, is the fact that networking that usually occurs, the face to face, the handshaking over this week or longer that people would theoretically be in milwaukee has now all gone virtual. And the impact on fundraising is something we are all curious to see. Ticket bidenharris raise money . They need to keep up that momentum. They are trying to do that as the president himself is crisscrossing the country, counter programming and raising money of his own. Shery what are polls telling us . Jeanne we are still seeing in most polls that biden has somewhere in the high single digits, sometimes lower double digits lead. We did see this new cnn poll come out of the last few days which had it narrowed quite a bit with trump underwater or behind biden by just four points which is the closest we have seen it made the race does, if you believe either the cnn poll is an outlier or not, most polls have biden still ahead. As we look at this convention, one question is are the democrats going to get a bump . In the last few years, the bumps from the conventions have not been as big as they used to because everything is so highly partisan. On the heels of the democratic convention, the republicans will have their turn. Biden really wants to get a bump out of this both in terms of the polls and the front raising to keep up the momentum as we go into this typical labor day kickoff to campaign season. I think we should remember that conventions and debates are really the only time, particularly in a covid environment where the entire nation and world will be able to see these candidates publicly talking and making their cases. Really appreciate your time is always. Bloomberg contributor and Political Science professor jeanne zaino. Coverage of the Democratic National convention, bloomberg tv and radio will be simulcasting starting at 10 a. M. In hong kong, 10 p. M. In new york, 12 00 in sydney. Lets get a quick check of the latest business flash headlines. Teslas relentless rally has driven its valuation above that of procter gamble. Will be able to dominate the auto market of the future. The stock closed up 11 that a record with reports of a fallen registration made in cars. Tesla is now more than 300 up this year with a market value of 13 billion dollars. Facing scrutiny from the occ and the fed. The bank is being asked to explain how it managed to send money by mistake to creditors amid a business fight between them and the cosmetics company. The amount equal to the full principal of the loan and found its way into lenders accounts last week. Some paid it and some havent. Citigroup has claimed a clerical error. Epic games is asking California Court to stop apple from blocking the app. Epic is seeking a restraining order to stop apple from removing fortnite from the app store. Last week, epic sued apple and google for removing fortnite. Escalating a tech dispute that has been rumbling for weeks. Legal action by bank of us trailing bondholders and a rescue plan to move ahead has been knocked back. The federal court of australia has sent a request for the administrator for creditors, having already agreed. Virgin australia creditors meet in three weeks to formally approve the deal. Australias secondbiggest bank has cut its dividend as a chores of cash amid the follow fallout. 920 million u. S. For the third quarter. Lower Interest Rates drove its net interest margins slightly, with an impairment charged of 600 million u. S. Coming up next, some of the worst hit states in the u. S. Show signs of easing. Big deals being made among pharma giants. The latest on the Coronavirus Impact next. This is bloomberg. Karina youre are watching daybreak australia. We begin with china. Hitting back at president trumps band on tiktok in the u. S. , saying that i dances close to launching. The president says he is concerned about National Security but beijing rejects that as bullying and the denial of market forces. The two sides are trading barbs as relations deteriorate with planned trade talks postponed indefinitely. House democrats plan to add 25 billion to the u. S. Postal service in legislation set for a vote on saturday. The measure would prohibit cutbacks of the service ahead of the election when millions of election ballots are due to be mailed out. It comes amid a wider stalemate in stimulus measures. Thedemocrats a pioneering political conventions with an event to nominate Joe Biden Kamala harris that will be almost entirely virtual. The speakers will address delegates from around the u. S. , on the internet and broadcast by traditional news outlets. Speakers include michelle obama, bernie sanders, and other democratic leaders. In other news, Satellite Research shows the accelerating melting of ice shelves in an article. Antarctica. There has been enough water melted to fill the grand canyon. The icemelt was relatively small in the 90s but accelerated in the 2000s. Several Research Trips to antarctica have been canceled due to the coronavirus. Global news 24 hours a day on air and on quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. Im karina mitchell. Shery . Nowy to the coronavirus and containment measures in australia appeared to be yielding a welcome side effect. Mask wearing, social distancing and other measures have allowed it to virtually eliminate the flu season which historically peaks at this time of the year. In the u. S. , signs of the surge easing in the sunbelt, while new york will start allowing to reopen. Lets get more from Michelle Cortez. Some welcome news in the u. S. Michelle the number of cases have been falling in terms of the surge that we saw across the south. So, we know now there are some activities opening up. Some people are getting back out there into the public and a number of guests are following. We did it new record in texas, over 10,000 deaths in texas. Adding to that same level in new york, new jersey and california. We are still seeing an increase in deaths, but its happening at a slower pace and that is welcome news. News, we canelcome take what we can get in this pandemic given the onslaught of the bad news, is the impact this social distancing, handwashing and mask wearing measures are having on sin. I want to bring up this chart. It takes a look at starting off this flu season in australia, almost identical to last year. Since then, we have seen a complete flatlining of flu cases. Weve had 20 cases for the first two weeks 50 cases for the first two weeks of august. Is that something we are seeing in Different Health care systems around the world where it is having an intended beneficial consequence . Michelle in australia and in many places in asia, influenza hits first. You guys really setting the stage for what everyone else can expect. I tell you, health care professionals, officials have been terrified at the idea of coronavirus sticking around and influenza coming on top of it. We know that tens of thousands, if not hundreds of thousands of people die every year from influenza and not everyone is willing to get immunizations out there. The idea both of them could hit at the same time and put so many people into hospitals and overwhelm an already burdened system was really frightening. Is idea that australia showing such incredibly low numbers is absolutely welcome news, probably the best Silver Lining we have gotten so far. Haidi yeah, we are also hearing more encouraging news when it comes to Vaccine Availability potentially in australia. Conducting Clinical Trials at the university of queensland and working on a deal with astrazeneca. Michelle it is going to be imperative that Companies Work andther like astrazeneca, they are working with academic labs that are coming up with their own vaccine. It is welcome news we are seeing these companies that normally compete against each other actually work together. Many of them have said even if their individual vaccine efforts fall short, they would be willing to pick up the slack and produce other vaccines if there is positive news there. We are manufacturing these doses. We should have the immunizations we need to get people. Now we need those positive results. Shery Michelle Cortez with the latest on the virus infections around the world. Malaysia and the philippines say they are facing a new covid19 strain which has been the predominant variant in the u. S. And europe. The who says theres no evidence it will lead to more severe disease, but there are fears it is more infectious. Asked whatfstein was the mutated strain means for the fight against the coronavirus. When all viruses mutate. Mutates at avirus relatively slow rate compared to other viruses. One of the interesting issues is theres a variant of the virus that has become quite common in the u. S. And europe. Some virologists think it might be because it is more infectious, it is out competing the other variants. We also have a story on the bloomberg terminal saying basically, Southeast Asia detected this mutated virus strain sweeping the world. What are they talking about . This is the variant we find in europe and the u. S. , but it could suggest it is more infectious than in the past . This particular variant has a slightly different protein on the outside of the virus which may allow it to grab on to receptors tighter and more effectively. As a result, be more likely to cause an infection. We dont know that for sure. Some people think that is the case. It has been detected in malaysian now which would be evident it is spreading around the world. There is no suggestion, as far as i can tell, it is more deadly. That is now virus moving around. I dont think it changes the things people need to do to protect themselves. Where are we on vaccines . We have the russian vaccine. Many people in the world reluctant to take it because they have not gone through the same steps as a vaccine would go in europe or in the u. S. But does it give you hope that antibodies work or is it just too soon to say . They called it sputnik to make it seem like it was a Scientific Achievement but it really wasnt. It was just an assertion that this vaccine is a good one. There is no evidence yet. We will have to see what definitive studies show. We really have to look at the effectiveness and safety of vaccines before you can get them to a lot of people. What do you worry about the russian vaccine . That it has side effects or it does not protect from covid19 . Both. They dont know yet really. They have not done studies. Studies are underway for several vaccines and i think we will get some good data about whether the vaccines work and what their safety profile is. Hopefully, at least one of them, really does have a major impact on the chance someone will get the cure. How do we understand outbreaks in schools . With the resurgence of the virus in certain pockets, even new zealand, is it possible to see how the virus moves, who gets infected and how does that help us reopen schools safely . I think the recipe for reopening schools safely is the same. Take precaution. There seems to be plenty of people who arent following that basic guidance. I think we are likely to see outbreaks as a result. If the Community Transmission rate is very high, it is likely to be quite disruptive as the teachers and kids get sick. Even just from community spread. If you dont take precautions, kids can clearly give it to each other, particularly older adolescents. We will see outbreaks within the schools. We really want to prevent outbreaks in the schools because that can make the whole picture worse and drive up community spread. What can you tell us about younger children . Do they spread at the same way as adults . Or is it more difficult for them to catch it in the first place . There is suggestion it is more difficult for them to catch it in the first place. Less likely to get symptomatic if they do. They have a fair amount of virus and can clearly pass it on. I think theres probably a little bit of benefits to being younger in terms of the chance of getting sick, but it does not really change the need for precautions . Haidi that was joshua sharfstein, Bloomberg School of Public Health vice dean. David lennoxt, joins us to break down result out of bhp and give ius his outlook for the miner. This is bloomberg. Shery a quick check of how the markets are trading at the moment. 1. 7 , at theaining highest level since the second session of gains. Ozzie futures trending higher at the moment. This as we have seen the aussie dollar gaining ground against the u. S. Dollar, broadly on u. S. Dollar weakness but also higher commodity prices. We will be discussing bhp groups earnings soon. We are seeing pressure on japanese stocks. Futures, 1 10 of 1 . We have seen strength on the japanese yen against the u. S. Dollar, strengthening the most in three weeks and also getting past the 106 level. We will be watching what happens to japanese stocks which had been on a tear with the topics. The best major performer so far this month. Kospi futures under pressure. They are away on national holiday. They also snap a nineday rally. We will see what they do when they come back. Haidi yeah, we do have some breaking news when it comes to the coronavirus k situation in the state of victoria and melbourne, which is under the extended Strict Lockdown now. We are seeing the trend of the number of cases slowing somewhat. Reporting 222 cases over the past 24 hours. That is from the Health Department in victoria. Victoria also reporting 19 covid19 deaths 17, i should say, over the past 24 hours. Lesson yesterday which so i record day in australia. Lets get a quick check of the latest business flash headlines. Volvos earnings have reported a fall as the coronavirus shuttered plants and hampered demand. Income through june was 330 million, cutting its annual sales target to about 1. 3 million vehicles, down from 1. 4 million. The pandemic has exacerbated an Auto Industry slump that has been dragging on. Robinhood is now valued at more than 11 billion. It was valued at about 8 billion last month before posting record trading figures for june. 4. 3 million average trades daily, greater than any of its rivals. Wall street critics warn robinhood attract young investors who may not understand the risk. The pension fund of quebec has written off as investment despite doubling its stake with a 75 million sum in february. The decision to buy an extra 10 comes after long discussions with shareholders. Neither about has so far been disclosed publicly. Ass annual 4. 6 disruptions due to the pandemic overshadowed iron ores prices and signs of a rebound. Lets get analysis on the results with david lennox. Great to have you jumping in with us today. We appreciate your time. In terms of the numbers we saw, im a bit surprised because of the bullishness we have seen in iron ore prices as well as cases of recovery in china. Were you surprised by how measured or cautious it was . David if you have a look at what bhp has been saying, yes, they have taken somewhat of a precautionary approach towards the future. But given the environment we are in, one would probably expect that. If you take a look at their actual fullyear result, even though they did somewhat missed estimates, it was a pretty good result given the background we saw across the course of 2020. Haidi right. So, looking forward, obviously, as premuch every company, bhp saying the main source of uncertainty is how subsequent waves of the Coronavirus Impact companies around the world. So, to the best of our assumptions, would you be bullish when it comes to iron ore prices or do you think that the measures of targeting from bhp is more appropriate . David were relatively bullish on iron ore prices going forward, and for that matter, base metal. It is merely on the fact we are seeing significant stimulatory programs. Those programs are firstly going to the workforce. As we see covid continue to roll along, we will see those programs more and more go into infrastructure. When we get funds flowing into infrastructure programs, that is very good for demand for commodities and really that is what we are seeing the markets responding to. That inference we are going to see significant infrastructure and with that demand for commodities. Shery how important is this for bhp that they go ahead with adding both commodities, like cooper and nickel, that have more exposure and use in those industries . David look, theres no doubt that perhaps the older industries we have seen inside oal andources sector, c those types of commodities if the Mining Sector wants to go forward, it probably has to look at those changes that are coming through. Changes in the Auto Industry that are actually impacting on what sorts of commodities are going to be used in the future. So, you really cant sit down now and just say we are in this particular commodity, we will be in it for the next five years because markets are actually shortening and shortening in terms of the time extensions we have seen for commodity uses. Front,on the exploration they have been really tightening their pursestrings. Is this the right approach . David one would have to suggest you do conserve cash because you do want to ensure that, a, you have the cash to firstly sustain your business. B, to then reward shareholders. C, to also ensure that you can cover future growth. So, you certainly would not want any of themg out at at this stage. You want actually quite a cautious approach to how you deal with allocating your cash resources, across particular factors. Haidi as expected, they continued to flag coal as well as thermal coal, continuing to be a pretty dire scenario. Is this just the slow demise we will continue to see . David look, when one looks at caol, especially coal, especially thermal coal, there is a sea change in that particular commodity. Its gripping its future growth, not so much going to stop it, but it will slow the growth. Whereas you look at alternatives such as wind and solar, the growth in those particular sectors are going to be exponential in the years to come. Investors are going to look to those particular sectors rather than the Slower Growth that we will see in coal. Shery david lennox, great having you with us. Dont miss our interview with bhp Ceo Mike Henry later on bloomberg markets. Catch that conversation at 1 30 p. M. In sydney. Coming up, minutes from the rbas latest meeting are due later with the Central Banks views of yield curve control in the spotlight. We will ask what is next. This is bloomberg. Haidi bank of a straley intends to use curves as the Central Bank Releases its minutes of the august meeting later today. Kathleen hays is here with what she is expecting. What is the Bond Buying Program and renewed focused . Kathleen its interesting because, back in march when phil low, head of the reserve bank of australia, really pulled out all the guns, but in the key rate to 0. 25 . They are saying how about the yield curve control not targeting the bond yields . And theny bought bond they took a three month break. They started buying them again, the reserve bank of australia, right after their last meeting on august 4. People are wondering whats going on. Lets look at the chart to give you a sense of where they are. You can see the turquoise line, that is down to 0. 25 . Bondhavent anchored the yield. You can see how well they have done that. The come up a bit lately, australia government five year bond, but it has come down too. The 10 year as well. The purchases of bonds have really helped. The question is when we look at the minutes this is in focus now because it came right after the august meeting that they started buying the bonds and started again. Is there anything in the minutes where they are discussing issuance of bonds . Not just by the Australian Government but by the u. S. Government. The record funding of bonds. They are being sold all over the world. If there some kind of concern, are they starting again because they want to be ready for upper pressure on yields . Those of the kind of hints people be looking for. Shery when it comes to those minutes, what are we expecting them to reveal when it comes to the resurgence in virus cases in victoria . The growth forecast cut last time. Kathleen i think what we are is are for, shery, there any hints as they have had to cut the growth . Thehe outbreak in victoria, second largest state in australia, just took off. Are they going to give us any hint are they thinking maybe there is an eventuality where they might have to do something worse . Phil low has said it since then lockdowns withia the pandemic spiking up again will take two Percentage Points off of the national gdp rate. The rba cut its 2020 gdp from 4 . O 6 it is not just in victoria. It is this sense it will hinder the rest of the country. The rba sees unemployment peaking at 10 in the fourth quarter. No Real Recovery in the job market until late 2022. It is a pretty dire forecast. If theres any discussion of the toolkit, what more they could do, what forward guidance. Could they do something with yield curve control . Negative rates are interesting. When phil lowe spoke to parliament a few days ago, he was asked about negative rates, would it help bring down the Australian Dollar . He said he didnt think that would be the right move. He said he would not rule negative rates out. To see if theres any mention, hint or Something Like that. Shery Kathleen Hays there. Whyng up in the next hour, she thinks Growth Stocks in the north american region will continue. Plus, we preview the Democratic National convention with charles myers. The Convention Set to kick off in a few hours time. Haidi and checking in on markets, we are seeing trading in new zealand underway. We are seeing futures trading in the u. S. Ready flat at the moment after the s p 500 managed to exceed the record high and then retreat. Kiwi stocks up. Positive open ahead, being flagged by sydney futures. About half a percent when we start trading. Ando get those rba minutes the aussie dollar is flat at the moment. This is bloomberg. Haidi a very good morning. I am haidi stroudwatts in sydney. Shery i am shery ahn in new york. Welcome to daybreak asia. Asian markets looks at for gains after tech lifted wall street higher. The s p 500 rose above its february record. Treasuries climbed. The dollar pulls back. Bhp reports fullyear net profit just shy of 8 billion u. S

© 2024 Vimarsana

comparemela.com © 2020. All Rights Reserved.