Organizations that help people impacted by addiction. Is removed,gma people will no longer be ashamed to ask for help and lives will be saved. If youre struggling with addiction, there is no shame in your illness. Please seek help, youre worth it. Next four years as first lady, i will continue to build the bond and lurk with individuals to past legislation to take care of our most vulnerable. I plan to continue the work i have started with children in foster care as well as minority communities and tribal nations. Make sure children are being protected and communities have resources needed to combat drug addiction and child neglect or abuse. I will continue to encourage education that supports a child positive visual needs. It is by for vital the children are given Building Blocks to succeed. I also look forward to continuing my work to restore the peoples health. That is a lasting symbol of pride for our nation. I believe this iconic home is to. E cared for and preserved people in this country and visitors from around the world. I am passionate about this beautiful house, the ground and it represents. Now i have a special message for the mothers of this country. This modern world is moving so fast. Our children face challenges that seem to change every few months. Just like me. Watch howy of you mean social media can be. Just like me, i am sure that many of you are looking for answers. How to talk to your children about the downside of technology and their relationships with their peers. Like every parent in this aretry, as i feel there so many lessons to teach our son. There are just not enough hours in the day to do it all. Fortunate than most and still have days that i look for wisdom and strength to do the very best i can for him. The mothers and parents everywhere, you are warriors. You have and president who will not stop fighting for you and your families. I see how hard he works each day despite thed unprecedented attacks of the media and opposition, he will not give up. If you tell him it cannot be done, he just works harder. Donald is a husband who supports me and all that i do. He has fostered an environment where the American People are always the priority. He welcomes different points of view and encourages thinking outside of the box. For my husband and family when i say we are so trusted that you have the team to be a president. We will be honored to serve this incredible country for four more years. [applause] have you have heard this evening, i dont want to use this precious time attacking the other side because as we saw last week, that kind of talk only serves to divide the country further. Here because we need my husband to be our president and commanderinchief for four more years. He is what is best for our country. We all know that donald trump makes no secret about how he feels about things. Total honesty is whatever citizens deserve from our president. Whether you like it or not. You always know what he is thinking. He wants touse continue to make it better. Donald wants to keep your family safe. He wants to help your family succeed. He wants nothing more than for this country to prosper and he does not waste time playing politics. Almost four years ago, we went into election day almost complete the underestimated. Completely underestimated. Americans will go to the polls family, thef of the economy, our National Security and our childrens future to vote for those ideals is not a partisan vote. It is a common sense vote. Those are goals and hopes that we all believe in. My husbande need possibly to more than ever in order to bring us back once again to the greatest economy and the strongest country ever known. God bless you all. Your families, god bless the United States of america. [applause] you have been listening to the first lady, Melania Trump addressing the rose garden. That audience is giving her a standing ovation. Still with us arvid davis and i wish if washington correspondent. Let me start with you. This is a very different tone. Taught a lot about there he is, kissing his wife. A lot of compassion. Inclusion, it was a fairly impassioned plea. It was against of the drug crisis. You have not heard her talk about the opioid crisis. She said that is something the media should Pay Attention to. That was an element of her speech where she subtly bashed the media like most of the trump administration. She did not use the term fake media but she sort of contributed to the idea that the media is the problem. I would say it is significantly different than the rest of the family and the message they are carrying, including her husband, the president. It was a refreshing change from the attack of the offensive messages we have seen. A classy speech by the first lady, clearly about what she feels her responsibilities are in this administration. Whether that is compelling to anybody as far as the election goes, i dont know. It does help define her as first lady which we had not seen much of. This was a unique opportunity to hear from her as a very private person. Remarks, wele give say who was the audience . There was no question. It was she directly addressed mothers. Calling them warriors. It was clearly aimed at women. We know suburban women are so critical. We have seen the campaign try to make this case to people who are concerned about the president s tone but who were not sold on joe biden to say that he is somebody who is empathetic. He is somebody who gets things done. He is somebody you can count on and turn to. She was there to make those cases. I agree with you. I think she talked longer about the pandemic and more sympathetically than anybody. She also talked about things we have not heard, particularly racial unrest. Insecurityabout this of people dealing with addiction and suicide as a result of the pandemic. She hit a lot of points that we have not heard in the last 48 hours. To connect to those two, the covid19 situation, the insecurities of mothers. A lot of voters are looking at the situation with their kids right now, whether they will go back to school right now or not. Precisely. The first lady really taking it headon to suburban women in her remarks. I am told that is precisely the audience she had in mind. You mentioned this and you are absolutely correct. The School Closures have the potential to bench so much of the u. S. Workforce, 18 million americans might not be able to because of the School Closures. That is why your hearing, whether it is from the first lady or other comments from senator tim scott or republican surrogates throughout the week that reopening the schools is very much an issue that they want to be on the forefront of. Include a school choice. You look at the charts from the bureau of labor statistics and you see women in particular are more negatively impacted economically as a result of this pandemic. And the economic ramifications of that. What you heard from the first lady was trying to win back some of those voters. I think if ivanka trump will speak to that later in the week. They have to make inroads. The polls have them trailing there. Since 2018, many of those districts swung back to democrats. Grid reporting. He will be with us for the rest of the week in the convention. Mike pompeo spoke earlier. These are the grievances that the trumpet administration has against china. The president has held china accountable for covering up the coronavirus. He will not rest until justice is done. He has ended the ridiculous leon fair trade arrangement with china that punched a hole in our economy. Those jobs are coming back home. We would like to get chinas reaction to this remarks. We turn to tom mackenzie. Is the reaction likely to be . Is this more of the same . Become mpeo has since that speech at the nixon library. On monday of this week, you had a blowbyblow rebuttal of that speech by Chinese State media. We will wait to see if they respond to any of these comments. On the trade front, it is worth pointing out that they are keen to keep those lines of fumigation open with the u. S. On the trade front. They dont feel they have given away too much on that phase one trade deal. They want to keep that going. It is worth pointing out in terms of the virus, domestically, there is an argument to suggest that the commonest party of china, the government has. A lot of favor with its systems by the way it has handled the virus quite successfully in the mainland. You only have a dozen or so cases. It is outside of that International Arena where china has paid a price. Most notably with the u. S. And the mood of President Trump. There is a reminder that you have the chinese coming out and accusing the u. S. Of flying a spy plane over northern china during a live fire drill. That is just a reminder that you do have u. S. And Chinese Military assets in quite close proximity in northern china and the south china sea. The chinese saying that was a blatant provocation. That was tom mackenzie, the anchor of the Bloomberg China open. For final thoughts, we bring in rick and jeannie. We have a think little bit more of the same. You had the red meat for the base which was this negative view of what a blighted United States might look like. We heard that from some of the speakers tonight. We also heard an attempt to humanize President Trump which i think we will keep hearing to try to make the case that there is a kinder and gentler trump. Ethically saw on display a really strong use of incumbency. The presentations by donald trump from the white house, it will be debated for some time, whether these were inappropriate use of the white house, the peoples house for political purposes but nonetheless, his power of the presidency was on firm display today. Change the significant of tone from the first ladys speech which was the longest speech we have heard in this Convention Since the start. So different from the previous speeches. Not only of her family members but the other people speaking at the convention tonight. Interesting night. I agree with that. Thank you so much. Coming up tomorrow, we will have night three of the Republican National convention. Mike pence is the featured speaker. He will accept the nomination. This is coverage of the Republican National convention on Bloomberg Television and on radio. Welcome to Bloomberg Markets asia. I am hostile moment i am haslinda. Iqiyi iam rishaad am rishaad. Rishaad i am rishaad. We are having global stocks still the records. Swinging within gains and losses. The china stock is looking pretty cheap. Despite the recent rally. This is breaching 6. 9. This could be a level not seen since january. Down 6 10 of 1 . Investors are getting somewhat nervous at of the be ok Rate Decision. They are cutting the gdp growth estimate and the new surge in viruses. Down by a 10th of 1 . Expected totide gdp pick up to four or 5 in 2021. That is according to the finance ministry. And the benchmark in new zealand , stocks resuming trading after being stalled earlier today as well. They were disrupted after a second day when a cyberattack disrupted productivity. We will have a look at the prospects of the session. Tuesday, where it started. Have a look at what is going on with the bond market. Bank. S the central this is the fed reserve operation twist. A bit of been inflation conservative reserves there. Food prices will be under pressure with the monsoon season. This is just off of fivemonth highs. The dollar was premuch flat there. Ofs get some context on all this. As we get over to the coanchor, david ingles. What is standing out so far to you . Looks to not be an equity story. I will flashing for you. Flashhort that part it for you. Just to pick one part, if we had to talk about one stock, alibaba is standing out. That is on the back of the financial listing. You mentioned the other weakness. Have a look at where the currency is trading. This was 60 or 70 minutes back. We had the latest results from the latest survey on the chinese economy. To summarize, you have slightly more growth. You have a little bit higher inflation, slightly higher rate expectations expected out of the chinese economy. Part of the conversation around the currency might have to move into you know how we talked about u. S. Exceptionalism last year. Just looking at this if it continues. A great visual. Have a look at this chart. Smaller and smaller likelihood and with good reason, down to 13 now. Just put everything into context of china out of this pandemic. Not so much a recession but a downturn. Lets talk about japan. A lot of speculation around shinzo abe held. Is this being reflected in the market somehow . Pinpointdifficult to what people are talking about. Here is what is clear, on friday, they were saying that shinzo abe will be delivering a press conference. That is something on the agenda. Out,e event that he bows if he looks at the dollar yen that will surge to 100. That partly takes away from the whole story. We will leave you with this. Month, dont reflect any jitters in the market. Back to you guys. Just looking at inflation. There is a big debate going on. This is about this issue, inflation. Why talk about it now . Inflation was to the upside. The reason people are talking about this is several angles. We are going to hear from the fed chair. Comether thing that will up, breakevens are actually back to level. Back to levels right before this pandemic started. There is this diverse between bond prices and expectations. That is a strong view on both sides of this. Watch inflation and watch gold. A quick check of the latest business flash headlines. Ipo, offeringo an at least 10 in new shares. That is chinas top online payment. Just over 3 billion profit. This listing could be one of the biggest. 29ould top saudi aramcos billion. Donalds Ongoing Investigation is looking at whether he covered of improper behavior by employees. Intevac it and injective says theyre working with outside counsel and says he may help conceal action for others. He was fired over a consensual relationship with a staff member. He was later told that he had been involved with multiple affairs with employees. One of the most private companies has broken suspension by filing through a direct newening listing in the york stock exchange. They are backed by this tech billionaire, peter thiel. It wont have underwriters. It is expected to be the largest tech listing since uber. Rishaad lets have a look at what is going on overall with regards to the financial markets. A is a mixed bag but it is downer story overall. The nikkei 225 get us back on stream. Lets quickly have a look at shanghai and shenzhen. We are quickly looking at china to turn on the charm. Shun cooperation. We have weakness right across the board. Is can see that the china down 1. 3 . This is against the backdrop of what we will be seeing in this rally of global stocks. Investors are taking stock by the pace of recent gains. There could be other bit of a gut check. Unpacking earnings coming from chinas oil majors. That is on the way, next. Almost 11 30 p. M. Newport 11 30 a. M. In singapore. Currency is down about 1 right now. Property plays under a lot of pressure. Tightened l titan measures. Traveled have recently within south korea in the last two weeks will be required to serve a 14 day notice at all government run facilities. Wednesday, it enters the lion city. Or precautions in this city. Have a look at the first word news. Checking in with United States. It continues to be the focus of the coronavirus. California and ford are an improvement. Arizona has been taken off of new yorks travel quarantine list. New cases slowing down. The spanish Prime Minister rejected calls for a new nationwide lockdown. In germany, infections approaching fourmonth highs. Turning to the Un Security Council where the president of the bodies rebuffed demand to restore snapback sanctions on iran, it prompted the u. S. Ambassador to accuse members of supporting terrorists last week. I pompeo insisted that washington has the right to reimpose sanctions. Members say council the u. S. Move would be illegal. Of ceo of kueng the ceo of huawei loses document bid. The information there is not relevant to her arrest 20 months ago. Canada alleges that she and while weight violated international transactions. A government in wisconsin has declared a state of emergency after violet protest following the shooting of a blackman. Systemic racism and injustice cannot continue. The damage and instruction is not the answer. Says he is paralyzed from the waist down. Messi may be about to quit barcelona. An escape clause in his contract that would allow him to leave for free. They said they would hold out for 700 million euros. That is 830 million u. S. Dollars. They have been known to be increasingly unhappy. The team being thrashed 82 by bayern munich. Markets. A look at the asia remained under pressure. We have global stocks stalling near record. The nikkei is back from its large break in negative territory. Down 3 10 of 1 . Lots of concerns about the health of shinzo abe. Some say jackets japanese markets are going to risk off mode. We are waiting for that Media Conference calling on friday. The hang seng is down. 4 percent. Under pressure as well. We can say that investors are getting kinder numbers ahead of the boj Rate Decision tomorrow. It is expected to cut its gdp growth amid that surge in cases. Anything worse than 1 contraction will be a negative. Losses for the asx right now. Lets look at the oil market right now, it is in focus. We have crude at the moment at fivemonth highs. There is an Industry Report that added to optimism. Hurricane laura has the potential to take the line and disrupt Global Energy flows. According to a disaster model, on its current track, the storm 12 d lead to around 10 and of u. S. Refining capacity being shut down. We will have a look at that on the breakdown. There we go, that is what we have at the moment. He could inflict as much as 18 billion worth of damage to that part of the world. It could shut these refineries down for months upon months. Key, whether it hits refineries, 10 of refineries at risk. 80 of u. S. Oil. A lot at stake. All thelook like shutdowns are just precautionary measures. We have to wait and see the actual impact of them. With the more analysis senior oil analyst. Good to have you with us. What is your own take . How longlasting could be impact potentially be . The shutdown is basically a precautionary measure. A i dont think we are seeing fix. Maybe a week, maybe a couple of weeks. You are right, it is a very significant hurricane. The biggest that has hit since hurricane harvey. What it is also going to do is take out 1. 5 Million Barrels of crude oil capacity. That is 80 of the gulf of mexico. 10 of u. S. Oil production. It will reduce crude oil imports into the u. S. We have probably seen as much impact on supply as there is from demand from this event. We dont see it as a longlasting market. Bute talk about an impact this is a market that is oversupplied. We have 10 Million Barrels of excess supply every day. Market is transitioning from one of oversupply to coming back into balance and coming into deficit. Ist we are seeing, globally inventories, we have seen u. S. Inventories dropped. Drawn. That is what is pushing prices higher. 11 a barrel. T we are at 45 per barrel right now. That is on the back of the supply cuts we have seen coming out of opec. They are more than offsetting. Inventories are falling globally. The market is back into deficit. Is there anything that opec can do . I know that some of the issues in focus would also be the dollar. That is beyond its control. There is a strong correlation between the u. S. Dollar and oil prices. The weaker the dollar goes, the Higher Oil Prices go. What is driving this market is fundamentals. Opec has taken over 7 Million Barrels of the market. It is closer to 9 billion barrels off the market. 9 Million Barrels off the market. In reductions we have seen demand have been very extreme as a result of covid19. We have seen Global Demand returning to levels around 92 or 93 Million Barrels per day. The market is undersupplied, globally. If we continue to see demand growth, depending on the trajectory of covid19, it will allow opec to put a bit more back into the market given the imbalance we are seeing. Tell me, we got the coming from petro china through. What are you expecting from those three companies . What will it show . You are better skewed to the upstream . What is the take . Generally, upstream is best. They are amid teary numbers. Tier numbers. Not an easy task given the six months we have been through. They did that on the back of very good cost control. To effectivelyem deliver a positive margin. Downstream has been hit very hard as well. It is not just the Oil Price Weakness you are seeing, it is also this collapse in demand that has produced refining margins, petrochemical margins. We expect to see very significant losses from petro china. It is probably going to be the toughest six month. Six month timeframe in that companys history. Losses around 20 million for signups. We are starting to see a sign of now. It looks like given the recovery of demand in china, we are ining positive margins again refining. That should help Recovery Efforts in the second half of the year. Petro china, if you are downstream player now, you have to hope that this is better. If we look at global companies, nobody has been driving that much. Particularly the u. S. , very lackluster. Globally, we are seeing air travel down 40 yearoveryear. Covid19 has had a devastating impact on certain air travel. Least recovered to down 40 . In terms of driving, we have actually seen a recovery in gasoline. These are almost flat yearoveryear. Covid19 ismpact of working remotely. More people are not using public transport. They are getting back into the car again. That has been positive for car sales and car use. In terms of gasoline and diesel demand, we are looking at levels that are flat right now yearoveryear. The recoveryed margins in china. Have you got an excellent been inbout how oil has this fairly narrow range. Halfng toward the second of the Third Quarter and the fourth quarter, how much do oil prices appreciate . Our target is 50 a barrel by the end of the year based on how we see supply and demand and inventories moving. I think it is important to stress that even at 45 or 50 per barrel, the industry is not really generating much in the way of positive profit. You really need oil prices to get back to 60 per barrel for these companies to make any significant margin. We have seen Companies Across by 40 or cut the capex 50 . That is starting to have an impact on supply. That will help the recovery demand start to come back. Prices have come back from the lows we have seen, 10 or 15 per barrel. 45 per barrel is visible price for the industry but it is not high enough to generate significant profit or returns for investors. It is not a big enough price for opec to cover their budget expanding. We need to prices to go higher. Given where demand is at the moment, i think it is likely rosie 60 or 70. Be 60 or 70. G to still to come on the show, speculation rises about the health of shinzo abe. We look at who could take over if he decides to resign. This is bloomberg. You are watching Bloomberg Markets. We are counting down to the open in india while the rest of asia is under some pressure as we await Jerome Powells comments from jackson hole. Add avernment looks to second stimulus. These thenfections reporting. They are trading after apple says it is planning to start selling online in the next month. India is trading. This is also for the banking. 1 . , currently of about up about. 1 . Of theat the tail end indian earnings season. Lets look at japan. Shinzo abe is expected to address health concerns. He has been avoiding public appearances. He made two hospitals two trip to the hospital in the span of his many weeks. At what the look speculation is. He has been out of the public over the last few weeks. Visits he paid these two to the hospital without saying what they are for. That comes after the background of him suffering from this longterm Chronic Health condition. That forced him to step down in 2007. That has been a dramatic memory for him over the years. The speculation is that the same thing might happen again this time. Argumentg against that is that both times he has come back from hospital and said i am doing something to improve my health. I plan to work hard. He has not mentioned anything about the possibility that he might step down. We heard from them saying it is too early to be talking about overabe but who might take if he does step down . Right. Is for his tenants to say. A matter of cause. He only has another year or just over a year left of his term in office. I dont think many people expect him to stay be on that. The most popular person with the public is the former defense minister. He has shown a slightly dovish attitude toward china regarding the friction there. That is one possible difference with how the government is run now. Somes also shown dissatisfaction with what he said is increasing in japan. He might be expected to tackle that. Another potential candidate is the current defense minister. Has shown a little more willingness to be hard on china about this dispute they have. Rishaad we have jp morgan saying that if shinzo abe steps down, we could see the yen at 100 against the dollar. We have been down to the 70s before. The thing is that economics has done one thing, that is it has weakened the japanese currency. Absolutely right. That has been one of the main abes easing policy. That has been good in japan. What you have to bear in mind is there is not a lot of room for changing japans Economic Policy the moment with the virus most economists seem to say that even if new people come in and make different noise about this, it wont change much. Any affect like that should be shortlived. Thank you very much, isabel. Lets talk about what was going on in australia. Covid lockdowns do cost money. You have to pay for them. An officer is selling 21 billion of bombs here. It is a recordbreaking sale. The november 2030 bond prices it received more than 66 billion worth of bids. There we go. That was also a record. Plenty more to come. This is bloomberg. Sky Bridge Capital says america because Pandemic Response when it comes to what is driving the markets. Saidterview with bloomberg tensions with washington are not high on his list of market risks. Not anywhere near the top five. Might not be in the top 10. That is a big shift between covid, the prepandemic area. Era. To the point of the comment, if you think about what has been driving markets, it has been the pace of recovery. The fiscal policy has done a tremendous job of plugging that whole. If you thing about what will drive markets going forward, it will be back to whether the fed will do more. And whether we get another round of fiscal stimulus and if rates can stay this low for long enough to drive further multiple expansions. Trade tensions arent high on the list of worries. You said this could be a drag on growth. What type of drag on growth do you see . If you think out two or three we are back at were close to gdp. That is when the focus of policymakers will once again be how you optimize the mix with trade between china and others. The less trade you have, the last productivity enhancement. That leads to overgrowth. It is still not significant. 10 or 50 basis points lower longterm. Even in a world with more heightened protectionism. The shortterm, not that big a deal. Even longterm is not like u. S. Gdp will be 50 or 70 basis points lower this year. Fed needso said the to do more. What more do you need to see . It is curious. The fed Balance Sheet exploded from february 24 onward. Since may, it has shrunk slightly. Monetary or money supply comes to lag. Money supply has actually been flat the past six weeks as well. When you think of one of the key drivers of markets, when we look forward, unless we get another around fiscal stimulus and you keep the trajectory you were going at, we see the fed Balance Sheet expanding. It is going to need to in order to keep the money supply and economy to make sure we get down to that five or 6 range as opposed to staying elevated by seven or eight. Is that expansion . Over compensating for the lack of action on the fiscal side . It is eerily similar to what happens in a crisis, even though the fiscal measures took a while, we did come out and have roughly a trillion dollar stimulus in 2009. After that, fiscal policy completely went away. We carefully went into a time of fiscal drag. Had so much time between mcconnell and boehner and the obama administration. Not that history necessarily repeats but it is youre really similar where after a very muscular response, youre seeing politics and other pedestrian matters interfering in unnecessary fiscal stimulus. This was very similar to what happens in 20102014. We would much rather see an appropriate balance between the two. The fed bonds and Treasury Bonds are not a substitute for direct stimulus checks and enhanced unemployment. That would be a much better approach. If we dont get that stimulus, the fed will have to do more for far longer. Very similar to what they did from 20102014. Speaking to bloomberg right now. Lets have a look at the market check as we go toward the hong kong lunch break. The hang seng is under some pressure here. One of the few things that the market is reporting. Nikkei to 25 reflect and what is happening in tokyo with again weakening. Daybreak middle east is next. Hike Simon Pagenaud takes the lead at the indy 500 coming to the green flag, racing at daytona. Theyre off. In the kentucky derby. Rory mcllroy is a two time champion at east lake. He scores stanley cup champions touchdown only mahomes. The big events are back and xfinity is your home for the return of live sports. The following is a paid program. The opinions and views expressed do not reflect those of bloomberg lp, its affiliates or its employees. The following is a paid presentation brought to you by rare collectibles tv. Announcer in 1792, as a Young Country in its formative stages, the United States of america needed to assert its status as a new global power to the leading countries around the world. As a way to firmly declare to the world that the United States of america was now an independent country that would continue to propel freedom, the first president of the united