Slightly pressured. 650 billion are wiped out in u. S. Equities in one day, yesterday. A lot of it has to do with the dollar. On track for the best week since april. That is hurting sentiment around the region. The aussie dollar is hovering around the july lows. You have more calls for a cut of the cash rate from the rba next month. We see yield heading lower in australia. 105 for yourat offshore renminbi. Slightly stronger for the pboc. Here are where yields are. 67 basis points. We continue to watch whats going on in the aussie 10 year, and the china bond inclusion could happen later on today with that ftse russell. Russell wreste. Could spur inflows into the market. We are watching commodities with the Dollar Strength. The metal is falling off. Silver, copper and aluminum taking the biggest hit in the last 24 hours. The marketre on action we are joined by our mliv strategist in singapore. Question of the day is what i want to start with. What assets suffered most from deleveraging . We are seeing investors rotating and reducing margin and leverage. What is the impact on assets, in terms of which ones are most badly hit . Mark i think you can look across the things i have done the best since march, since risk assets across the world coos in march. There are a number of places i have returned pretty well. Various aspects of the equity space, particularly the tech sector has done extremely well. They will be quite vulnerable. Certain parts of the commodity complex are extremely well. Wethe last 24 hours or so have seen it absolutely battered, which is a sign of people being the most volatile at the best of times. That is a good example of deleveraging going on in precious metals. Could be another one to catch on to that. And then in the currency space, sold off pretty hard, but we see the positions taken back. It is a question of where do these assets move the most since march . Quite a bit wouldve been done on margin and leverage plays. Anyone of those is certainly a or wantl as people get to be more defensive ahead of some of the risks in the next few weeks. We were talking about the technicals with the dollar breaking above the 50 day moving average. Do you see more upside . I think the issue is so many factors are coming together at the same time for people to want to move to the sidelines. Not only that, the calendar ahead of them is accentuating that. China going on a long holiday and then you have the u. S. Collection u. S. Election. There are a number of reasons, apart from things like tiktok and the general situation of global trade. Some a things are coming together at the same time to make people want to say, i need to have a very High Conviction in the next few days and next few weeks that i really want to be involved in risk assets. Otherwise the best thing for me to do is to move aside. All those things are coming together. Its a much easier decision as people say, i dont want to be involved. I want to take what ive got and come back and rethink about this in a few weeks time. Parts of those concerns are around the recovery story that has been reflected in Industrial Metals space. Presumably that continues. The fed changes its tone or we get a vaccine is when that will happen. Mark its not a oneway bet. What we have seen in the last six months or so is chinas domestic economy is so big that its able to help part of the world are we have the pmi data coming up. That itsgoing to show domestic bases not doing too bad. That will provide some support. But if you got europe going backwards because covid cases are increasing, the whole Global Situation is not that great, so china cannot support support the whole world on its own. But in terms of parts of it, maybe china and asia can escape some of the pain. Relatively speaking, people are more concerned that the second wave of covid will do more damage globally and the economics are already not looking good. Most countries are in contraction. A second wave is damaging. You put those things together and the negatives way more than the positives. Eigh more than the positives. Yvonne our am im strategists our mliv strategist joining us from new york. Karina lets get to it. Anger has erected over the decision not to indict Police Officers in the killing of breonna taylor. The officer is accused of wanton endangerment for firing into her apartment during a no knock raid. N march no narcotics were found and it was the wrong address. Protests broke out in kentucky with reports of two officers being shot in louisville. Meanwhile, President Trump says the Supreme Court will decide the outcome of the election, adding the senate should confirm his nomination to break any tide. He says its vital to have nine justices on the court bench in case the result is more political than it should be. The president is set to announce his pick on saturday. 1. 3pac will pay a record billion dollar aussie fine, about 920 million u. S. To settle australias biggest breach of Money Laundering. Its the largest against an Australian Company and is more than they set aside for any potential penalty. Calls for them to settle their own breaches. Accused ofit is 29 million infringement. Antigovernment protesters in thailand are expected to rally as Lawmakers Debate possible amendments to the constitution. Parliament will vote on proposals to review the military written document after the 2014 to. Protestersf gathered, demanding limits on the markey and the scrapping of the army appointed senate. U. S. Judge will hear tiktoks call for President Trump span to be halted thursday as chinas state media called the deal a dirty and underhanded trick. Gangster anda forcing an unreasonable deal on a legitimate company. They called the deal a gambit and accuses washington of extortion. For hours a day, on air and on Bloomberg Quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. Im karina mitchell, this is bloomberg. Tom want to get our viewers up to speed on a story unfolding. South Korean Military has confirmed that the north korean shot and cremated the body of a missing fishery employee. The south Korean Military has strongly condemned what it calls brutality by north korea and have urged the north korean regime to explain the incident and punish whoever was responsible. These lines are crossing the terminal. South korea saying it has determined the north koreans shot and cremated a south Korean Fisheries Ministry employee. We will bring you more as we get it on that unfolding story. Just ahead, more on the back and forth over the tiktok saga. Later in the show we discuss malaysias political prospects with the head of aberdeen standard. He will tell us how he is deploying some of the 530 billion of assets under management. After that, jpmorgan Asset Management tells us how chinese entry into the ftse russell index will affect the bond market. We will also talk about the fed. This is bloomberg. Tom welcome back. Tiktoks chinese owner is asking to temporarily block the Trump Administration from removing it from u. S. App stores. It comes as eu attorney general bill barr expresses doubts about the deal. Our Senior International editor Jodi Schneider has the latest development. The question is, what are the chances of bytedance avoiding having their app tiktok removed from app stores this weekend in the u. S. . Jodi that is a real possibility if this deal is not done. The orders are set to take effect. File thatytedance did request for a temporary block on the band and filed it just yesterday. The request deploys many of the same arguments a group of we chat users made in a preliminary injunction in a similar ban. We will see what happens. President trump has given some conditional blessing to the plan for oracle and walmart to take the stake in tiktok, though that arrangement is not final. As that is moving ahead, perhaps that ban will not go into effect, figuring that they may to what theion soon Trump Administration says our National Security concerns about the app. Yvonne a lot of questions about on who controls what. President trump wants the u. S. To have total control of tiktok. Might they be changing their mind on Going Forward with this deal . Jodi that is the real question. There is significant disagreements over the specifics of the deal, excuse me. The devil is always in the details. Hasinstance, bytedance retained 80 of tiktok global, which is a new company that would result from the deal, where as President Trump wants the u. S. To have a large say in ownership there. And the still has to go through the committee on Foreign Investments and u. S. Needs to sign off. Officials in china do too. The staterun news media Just Announced the plan as an american trap and underhanded trick, after they had earlier seemed to approve of the deal. There is still a lot of disagreements on both sides. That is why this preliminary injunction was filed. At the same time, bytedance has submitted applications to beijing Municipal Commerce Bureau for permission based on chinas technologies control, exports control for the deal. Jodi schneider, our Senior International editor. Lets get to the business flash headlines. Tesla is suing to block the Trump Administration from collecting tariffs on parts the company imports from china. The court of International Trade in new york declared a duty of unlawful and demanded a refund with interest on payments made so far. The u. S. Trade representative is named as a defendant in the case. We work is selling a majority stake in its china operation as it continues to tear back expenses. The existing investor has been there and has put in an extra 200 million for more than half of the business. Co is giving up operating control but will receive an annual service fee for its brand and services. Malaysia airline is seeking to defer interest that it tries to mitigate the impact of a coronavirus pandemic. They are said to be in discussion with banks and Leasing Companies about deferring an estimated 240 million in payments. Trying toirlines was turn this around before covid19 devastated the Global Airline industry. Fromcoming up, we hear aberdeen standards investor about how the political turmoil may affect the markets. This is bloomberg. Yvonne investors in malaysia are bracing for more volatility what the Opposition Leader claiming enough support to form a new government. The claim the current Prime Minister projects. The economy is showing some reshoe, but Second Quarter was rough. Malaysias gdp shrunk 17 , the most since the Asian Financial crisis. Of aberdeens Financial Center joins us from cornwall alum for kuala lumpur. Yesterday was a surprise. If the government has collapsed, what will they do to extend these losses . It was a bit of a surprise. The effect on malaysian assets has been pretty amenable pretty minimal. Politics in malaysia are not about ideology, its about a loose group of people who coalesce and then decoalesce. Claim that anwars he has a fermentable majority. That was a surprise. Inhas said it before back 2012. By independent say i will have a majority, but that never materialized. These people tend to its all about people rather than philosophies. Seems to bet rolling with it without a problem. Yvonne but we are entering into of political uncertainty. Do you think the government can push forward on economic reform to boost growth . We have been in a certain amount of flux since the beginning of the year. Before coronavirus arrived here. In the coalition sort of faded away and there was a bit of a coup in the country. He took over. As far as economic measures are we can get by not having a lot of money after the 1mbd issue and trying to get the budget deficit back to 3. 5 as gdp close up to 7 , 8 this year , which is less than the u. S. At 24 . But we dont have the ability of a reserve currency to muck around and do weird experiences with our economy that the Central Banks in the western world seem to have done. I dont think a change of government will change policy that much as far as the economy is concerned. Tom if markets can largely look through the political shenanigans that are unfolding umpur, what will be the key factors that investors are looking at when it comes to inequities in malaysia . Gerald one thing weve got that most countries dont have is a real return in relatively high Interest Rates. On the equity market you have a number of companies with visible dividends with current prices at around 4 . Government malaysian securities bond gives you 2. 7 . Inflation is negative, more than 1 . That is a decent return a 4 or 5 you can get for stocks. That might be appealing to overseas investors. And if for an investors have sold 4 billion u. S. Dollars worth of funds on a net basis over the last two years. Ass a bit of a rounding era far as institutional indices. The other area weather is growth is in the Electronics Manufacturing sector. Arehave companies that manufacturing for a number of the big players in mobile phones, ipads, the Auto Industry is growing fast. There is a lot more electronic products. These people are not just simple contract manufacturers, they have significant r d. Thats what growth is in our portfolio. I think that has become a large part. Everybody looks at malaysia and thinks of the rubber gloves. There has not been an expansion for these rubber glove manufacturers. Because theaper now outlook has been so great. With average sale prices rising, volumes increasing, costs are relatively stable. Be just a bit of a oneoff, and the share prices moveese stocks tend to around the likelihood of a vaccine at the moment. We have seen foreign investor outflows this year from malaysia. To what extent are the retail flows, that you say are picking up, to what extent could they upset those foreign outflows . Gerald they more than upset them year to date. Ite at 7 on the compass index as opposed to 20 in other benchmark indices. That is partly driven by the glove manufacturers. Retail interest has returned to the market with this moratorium on loans. It was initiated in april. Your have to pay installments on your mortgage, on your personal loans, on your sne debt in some cases, until the end of september. The Prime Minister did not extend that in his speech yesterday, but he did say that banks are speaking to their borrowers to find out if they need special help. I think Something Like a third of those that are currently enjoying the moratorium will be allowed to continue with that moratorium. But that is a key factor for the retail market. People are sitting at home and there has not been any english premier league, and they have not had a lot to do, so they are in the markets. Its great to see investors in the Retail Sector feel that they can make money out of the market. And some have significantly. But they are now up at 40 of daily turnover as opposed to 20 earlier. The big test is in a week time when some people start paying installments on their mortgage, will they use the money they were paying the markets with to pay their mortgage . We might see retail die down a little bit. You mentioned about how malaysia is one of the places where you can actually get some high Interest Rates. But the ftse russell decision, talking about the four hours and they have malaysias bond. Some are accepting outflows of 5 billion. How much do you think this could dent Foreign Investors appetites from malaysian bond . It was pretty binary. Everybody seems to be estimating the passive investors if ftse decides to remove malaysia to the benefit of china. Then there would be 5 billion to 10 billion u. S. Dollars. It will affect things temporarily, just as every single quarter it seems that when there are indices or equities here in malaysia, we get a smaller slice of pie. 1985, it wasere in 26 in the asian equity index. Its now 2. 3 . It there. Ve to leave unfortunately we have run out of time, but we appreciate your insight. That is ceo of aberdeen standard malaysia. Vestors in we will talk to jpmorgan about the outlook for chinese bonds ahead of their respectives. Theyre guaranteed inclusion on the ftse russell index. We will discuss foreign inflows with the Portfolio Manager. Stay with us for that. This is bloomberg. Give you my world how can i, when you wont take it from me you can go your own way go your own way your wireless. Your rules. Only with xfinity mobile. Karina it is 10 29. S p 500 futures opened flat after what many see as a Market Correction with many losing faith in the strength of the u. S. Recovery. However, the u. S. Is playing it down, with jay powell. Sensible, targeted measures. I do not think we need another gigantic multitrillion dollar package. Meanwhile, Johnson Johnson has begun largescale phase three trials of its Covid Vaccine with up to 50,000 volunteers, marking the first big trial that may work after just one shot. J j is the fourth maker to move it to late stage trials come with the company saying they hope to see results by the end of the year. New zealand posted its biggest annual trade surplus in six years. Surplus was 1. 3 billion local after just 51 million in july, the largest annual surplus since august 2014. Monthly trade deficit was over million, less than the revised figure for july. And the u. S. Is tightening sanctions on cuba as President Trump seek support of cubanamericans. Travelers were no longer be allowed to bring back cigars and rum or stay at governmentbacked hotels. To reach ordinary people the island, cubans are a crucial voting bloc in florida. Global news 24 hours a day, on air and on Bloomberg Quicktake, powered by more than 2,700 journalists and analysts in more than 120 countries. I am karina mitchell. This is bloomberg. Yvonne, back over to you. Yvonne thanks. Markets come continuing to see a down slide when it comes to risk assets, with uncertainty when it comes to fiscal stimulus, seeing more of that from congress, and then this roadblock with the tiktok deal once again, so you are seeing asia heading lower, futures in singapore pointing to also a pretty ugly start in singapore. Nasdaq futures have been flat, and we continue to see steady and strong u. S. Dollars, hurting ata fx, and taking a look what the aussie dollar is doing, it is one of the big movers, so was the kiwi, and the aussie dollar, we continue to see more of these rate cuts from banks in australia. Dollar yen. 105. Perhaps the pboc a little more comfortable with the moves we have seen given the Dollar Strength of late. Comes took when it treasuries, unchanged, and we will see a democratic sweep in november . We could see a play where u. S. Treasury yields could spike 30, 40 basis points in a month. We continue to watch the rba, given the calls, and the 10year chinese yield sitting around 3. 07, given the Dollar Strength, tom. And, yvonne, used the word pleading, and we have had the parade of people, calling it critical in reviving the u. S. Economy. The fed vice chairman exclusively told bloomberg the fomc will keep rates near zero until it achieves 2 inflation and full employment, but that will require more help from the government. Are saying quite simply is perhaps in a normal recession, or perhaps if we were back in february, then obviously getting to 2 and moderately exceeding 2 would be within our forecast, but because of the depth of the shot, the economy has to recover, and as i said in our baseline with the last downturn, it will occur within three, threeplus years, but until we get to that point, overshooting is just an academic point, and we actually went to get the economy to 2 , and we think along with fiscal support that that can happen. Meanwhile, fund manager after fund manager has come on the show, saying we are at a risk of creating a bubble if not already. How does that factor into your calculus about this . Clarida that is an important consideration. We get regular briefings on stability and get twiceyearly reports, and we are attentive to that risk, but we have a dual mandate, which is maximum employment and price stability. If hypothetically we were to become concerned that the National Stability put our price stability and employment goals at risk, then we would have to factor that in, but we also believe that the Monetary Policy, raising or lowering rates, is an instrument, and our preference is to work with other agencies on regulations, supervision, bank liquidity, and just dimensions than raising rates to deal with stability. The fed bective can without fiscal support, without another round in d. C. That directs a two companies, to individuals . Mr. Clarida well, as chair powell said, we believe in the power of the executive branch, but when asked, we will say that we think additional fiscal support will likely be needed. That the caresr act, which passed in march, was really a historic government response to a historic crisis, a 3 trillion package that provided significant support to the economy. The economy has made a lot of progress. About 11 million jobs have returned, but there is still a deep hole. We still have a high rate of unemployment and a lot of small and mediumsized businesses that are suffering, so, yes, Additional Support will likely be needed. Yvonne that was the fed vice clara, and therd white house is playing down the whitearida, which house is playing down. Targeted measures might be very helpful. I do not think we need another gigantic come multitrillion dollar package. Pang, aning us is jason Portfolio Manager at j. P. Morgan Asset Management. Jason, always good to get your insights. We heard their the fed officials really pleading for this fiscal stimulus, and it looks like it is not coming soon, and wringing their hands. Are we getting to a point where the fed is going to be forced to take action that it otherwise would have preferred not to take, whether that is yield curve control or negative rates, because that fiscal stimulus is not coming . And if so, how should markets be assessing and readjusting . Jason thanks for the question, comment. I think overall what we see from an asian investor perspective, we have seen this of late. Certainly, this pressure does come from the fact that i guess the expectations are, indeed, receding. I think markets are pricing that in early to flee quickly. I think at the end of the day, you have the u. S. Elections to contend with. There is worry moving in the coming period, november. I think taking that within our region, you can see in has been rather stable. The currencies. I think then, for us, over here, the key things we are looking at is asset inclusion for china, number one, and number two is the Economic Data recovery that we are seeing particularly in the cyclical sectors for asia. Then, ratherr us than this big volatility that we are seeing globally, within the asia components and in the asian region, i think this region is well,g in place fairly broadly speaking. Tom you brought up the index, and we may be getting that after the markets close, the ftse and the russell, and they may be including chinese bonds. How significant would that be for the flow and chinese ownership in this space . Jason i think overall, there has not been a good driver regarding this index inclusion even by chinese bonds, but if you look at the representation, it has increased from a meager 2 now slightly above 9 . That inclusion is an additional catalyst for the influence we have been talking about, around 300 billion usd, and they are still participating and buying. And i would probably say there are the yields that are available right now given what we have seen in china and also the currency, and it is slightly on the more stable basis, so i think those would be some of the drivers. We would not be worried from a volatility aspect. Yvonne getting more access potentially, but how do you manage the Community Concerns also when it comes to hedging options that are quite limited . What sort of challenges does that pose for Foreign Investors, jason . Jason sure. Thank you. I think overall, in terms of the derivative hedging space, i think we have long argued that the accessibility on hedging is quite high. Connect, therend is the vehicle more often than not, and in that context, i think the answer is yes, and judging from what we have discussed with clients or prospective clients, many investors are concerned. That i would probably argue is well managed. On the Interest Rate perspective would expect gradual opening or stabilization of the hedging measures. I think for now, in the cash bond space, onshore is going to be rather liquid, so overall, for us over here, the primary management has been the nonderivative markets and the switching of cash bonds. But overall, there will be additional measures for hedging in the future. And you mentioned how resilient asia has been so far. What do you think about the turbulence of the directions of yield now, jason . Supply pressures that we are going to see . Or will it be about monetary support . Are the Central Banks able to buy up enough bonds and if theyoute rout have already used up a lot of the firepower this year . Jason sure. That is a good question, yvonne. In the context of this region, we have started to see an increase in the policies within asia, as well, so you might have seen a bit of that in india and indonesia. I think to be honest, each country has its respective challenges right now in terms of Monetary Policy, so if we had to put it quickly, the bottom line is you have the yield space, like taiwan and korea, that do have challenges, and i think on the other side of this, you have the high yield. I think the net picture really is this. The fiscal is increasing regionally regardless in most cases. That is true. But what is also true, if you look at it as a regional investor, what are the alternatives that you have . And when you look at it from that perspective relative to your local market, it is not clear that there are a lot of markets, particularly someone with higher yields or mid yield profiles, and china is an interesting space, and currency buys are quite similar. I think broadly speaking, each has their own. This is primarily because the foreign or offshore Investment Options are also quite limited, and at the same time, there is additional measures that are coming through from Central Banks with bonds in some of these markets, which is supporting this suggestion. We are seeing a lot from the pboc to do aggressive monetary easing. How does that factor and for the appetite for onshore bonds . What are you looking at in terms of duration for bond type . Jason sure. Ok. I think overall, the Monetary Policy side of things, we are moving to the quarter ends. It is expected that it will be on of the community tightening basis. One thing we also share is in october, you have the peak of supply from the local Government Bonds and policy bank perspective. A lot of prefunding is being done in this window, and then you have the election. In that regard, the message really is that there will be still some technical supply pressures coming through. But meanwhile then, i think that the message from sort of a more Monetary Policy perspective is they are not looking to actually cause overt tightness in the markets. It is basically to keep it in a reasonable range. Meanwhile, still providing the markets enough liquidity so there is enough confidence to buy up the supply. I think there is a last point to make, just to keep in mind, is that the chinese bond yields have actually become much more attractive. Isyou look at it now, it actually the thirdhighest market in this region, so with that context, we should expect them to continue to participate and absorb some of the supply. Yvonne all right, jason, great to have you with us, from j. P. Morgan Asset Management, joining us from hong kong. Coming up, 17 billion on the hong kong side of a dual listing at a slit with shanghai. We have that coming up. Watching markets, industry , a risk off day. You see the equity benchmarks in the red, especially some of the techheavy winds. This is bloomberg. Bucking the trend in hong kong, listing without large investors, people familiar with the blockbuster pending dual listing, they are confident demand for the hong kong portion of the ipo will be strong enough, and we are joined by stephen engle. Steve, we have seen Companies Take this route before. Why do you think aunt is going this route . Steve demand is strong from institutional and Retail Investors here in hong kong. Keep in mind, in hong kong, they use cornerstone investors often times with these large listings, so they boost confidence, and it really gives momentum to the listing, and in exchange, course, to commit to about six months at least of holding onto those shares, but there have been complaints come as well, that that saps up a lot of the the community in the market. According to people familiar with the situation, it looks as though it alibaba parent will then ask those as though will ask themrent to the fortune. It will be pretty much, according to people familiar with the situation, split right a 35he middle, seeking billion dual listing ipo, 17. 5 billion dollars in hong kong, 17. 5 billion in shanghai, split both ways, and a valuation of billion u. S. , putting them up there among the u. S. Banks, and among them, only j. P. Morgan chase with the market cap be up0 billion would there, higher than citigroup and bank of america. Obviously, ant is very confident, at least in the hong kong trend of this dual listing. Tom steve, while we are talking about alibaba, the parent company, jack ma is the richest man in the bloomberg billionaires index. What does that potentially mean for the fortunes of jack ma . Just built, after i it up, right . It will probably be adding to his wallet and bank account, but, yes. As of valuations last night because of the tech swoon, we chinack mas top spot as s richest man fault with upstart, if you will come a man whose net worth has gained 52 billion this year alone, the chairman of the beijing biological pharmacy enterprise, a vaccine maker. That share has soared this year. Head of a company that had a big ipo, a bottled water maker, there ipo about a month ago here in hong kong. ,o his net worth has soared making him the number one richest man in china for now, and also number two in asia and number 17 globally. Tom our chief north asian correspondent, stephen engle. Coming up, another firm to take legal action against the Trump Administration tariffs on chinese imports, the details on that and also the implications. This is bloomberg. Tesla is suing the Trump Administration for hiking tariffs on car part imports from china, part of a tidal wave of lawsuits being sparked by the trade war. Thats bring in su keenan with the latest on this story. Lets bring in su keenan. They want the tariffs to be declared unlawful and are seeking a refund on tariffs they have already paid. Correct, and tesla seems to be ready to win in a big way, filing in the u. S. Court for International Trade. That is where a lot of these lawsuits are being filed, and that is where the electric car maker and its ceo hope to find relief. The are really challenging the actions by u. S. Trade representative robert lighthizer. In fact, he is directly named as a defendant in this suit. Deniedar, lighthizer them being exempted with the display screen that they use, and they argued back then just as they argue now that the tariff hike if not halted would cut profit by 50 million for tesla. Lighthizers office did not respond to a bloomberg request for comment on this suit, but again, this is part of a bigger picture. About thesu, you talk bigger picture, more than 300 lawsuits filed. What are the details on those . Cases, get this, were filed on 300 on thursday and friday alone, and that is more than were in the trade court all year long, so what we have is a lot of companies, mainly domestic importers, here in the u. S. , challenging the tariffs that are being ramped up by the Trump Administration. Again, the u. S. Court of International Trade, a not widely known court, is where all of the action is right now, and the focus is these tariffs on hundreds of billions of goods that are being exported out of china, and the suit, much like an one filed by tesla, seeks end what are called the section 301 duties, and the statute of limitations runs out pretty much this week, and that is the legal concept that you have to put them into play if youre going to during a certain amount of time, and now there is a big rush to make the deadline. A lot of focus on the trade war as it moves forward. Back to you. Yvonne su keenan there in new york. Of course, we are checking on the markets today. Here is what we are looking at when it comes to some of these techheavy indexes. They are certainly falling the most, but basically you are seeing the aussie yen, the respirometer, and you see the aussie falling, yen gaining, and we are seeing Dollar Strength with silver, aluminum, copper, that took a big hit overnight, and a lot of questions about where this rally is going after this, and we are seeing some issues with the havens and hong kong picking up. Tom yes, lets take a look at some of the individual stocks. We have been talking about the ant group ipo. Alibaba currently down there planning to raise 17. 5 billion, of westpac is also down 8 10 1 . Plenty more Market Action ahead. We are talking about trumps threat to not leave or to accept the results from the election in november. This is bloomberg. It is almost 11 a. M. In singapore hong kong. Welcome to Bloomberg Markets asia. D asia stocks on their longest losing streak. Investors moving faith and the strength of the economic recovery. The white house of the Federal Reserve at odds over new fiscal stimulus plan. Westpac early losses after agreeing to pay one billion. It is the largest fine levied industrial in australia. Rishaad protesters what limits put on the power of the king. Haslinda it is a risk off thursday. Asia pretty much in the red. Tracking losses in the u. S. Overnight. Investor sentiment dented after the fed warned about an urgent need for more fiscal stimulus. Asia pac index down more than 1 . The csi index down 1. 6 . Checlco. Kill theeatening to tiktok deal after what he calls it calls dirty trump deals. We have the report of a killed official by north korea. The honk saying also down. Led by hsbc. Rishaad just looking at thailand as it starts is penultimate trading day. Down, just following the region pattern. Bank of tail and of thailand raised its forecast. That came about just after it up with its Rate Decision in the session wednesday, keeping rates on hold there in thailand. Looking at what else is going on. The 50 1. 9 down. Nifty 1. 9 down. Small businesses reeling through the pandemic perhaps having to repay mounting debts after alone holiday ended last month. Weighing on sentiment. Rupee unchanged as is the thai boht. Left move to new york and have a look at the first word news headlines. Get over to karina mitchell. U. S. Judge will hear tiktoks call for president to halted asb chinesee state media slammed has moved saying the oracle deal is a dirty and underhanded trick. To ain a u. S. Demands gangster forcing unreasonable deal on a legitimate company. The global times calls the oracle deal an unpalatable gambit. Accuses washington of extortion. Meanwhile President Trump the Supreme Court will decide the outcome of the election, adding the senate should confirm his nominee to secede Ruth Bader Ginsburg to break any tie. He criticizes mailin voting accusing democrats of a scam and says it is vital to have nine justices on the court bench in case the result is more political than it should be. The president is to announce his pick saturday. Anger has erupted over the decision not to indict Police Officers for the murder and killing a breonna taylor. Hankinson is accused of wanton endangerment for firing into her apartment during no knock drugs rate in march. No narcotics were found and it was the wrong address. Protests at the decision broke out in new york and kentucky, with reports of two officers being shot in louisville. Tesla is suing to block the Trump Administration from collecting tariffs on parts the company imports from china. The ev maker filed at the court of International Trade in new onk declaring the duties lawful and demanding a refund on payments made so far. The u. S. Trade representatives name is a defendant in the case. And west pac will pay a record 1. 3 billion aussie dollar fine to settle australias biggest breach of Money Laundering laws. The fine is the largest against an Australian Company and is more than westpac has set aside. It tops the 700 million Commonwealth Bank paid. Westpac is accused of 23 million infringement. Global news 24 hours a day on air and on Bloomberg Quicktake powered by more than 2700 journalists and analysts in more than 120 countries. I am karina mitchell. This is bloomberg. Back over to you. Fedaad we got a parade of officials including jay powell increasing calls for further stimulus calling it critical. The fed vice chair jill homan the fomc will keep rates near zero until it achieves full employment but that will require more help from the government. Depth of the the shock the economy has to recover. As i said, that recovery will relative to last downturn within occur within three plus years but until we get to that point, overshooting is just an academic point and we want to get the economy to 2 inflation and we think along with fiscal support, that that can happen. The seb head of pages strategy. What do you make of this sort of set to between the government and the central bank in the u. S. . Good morning. Rish. So, basically this has been an ongoing they need more help as far as fiscal policy is concerned but at this point when you have an election hanging over a has, it is not likely to come near term. Right now the market is really just looking for support, but what we are having in the equity notets, is that were really sure when the selloff of end, because there has been no real significance writer. 0significant driver. The uncertainty of elections is adding into it. Rishaad im going to bring up a chart. Ill tell you what is going on with it. Central banks in this part of the world showing the real Interest Rates and where we are with both. For instance, we have a look at indonesia, the highest real peers. Mong that has the most wiggle room to move on Monetary Policy but then we look at that, a country like 06 real rates. nd the philippines at 0. 4 real rates. How much wiggle room is there for Monetary Policy in Southeast Asia and south asia . Thet this point. , Central Banks in asia have already eased a lot. I believe further easing is very unlikely because what is more important is the fact that the policy transition is very limited. Even if you look at the policy rate, it has decreased so much. The average lending across the region or across the economies have not decreased as much. So, it is a question of the ability of the banks to pass on the cut in the Interest Rates. Rishaad yeah, absolutely. So, the thing is. What does it mean for the currencies in this part of the world . Because many of them have yield advantages but then again, that can also be a doubleedged sword. In deed. So, right now we have the three, the top three economies that have very high its led by indonesia followed by india and china. But, if you look at that point the yieldw, advantage would be supportive of these currencies. Dollar, beyond the weak environment, the fundamentals in asia would be supportive of more gains in the asian currencies. More importantly, external balances have really improved in the last few months. On top of that, foreign positioning is very light. Any improvement in risk sentiment could lead to further inflows into the region. Take a looken you at emergingmarket currencies, and they have pretty much been angered by the chinese yuan. Do you expect the correlation to perceived ordered you see some decoupling, to persist or do you see some decoupling given how strong the yuan has been . Im expecting the yuan to continue to provide a measure of risk sentiment. My expectation is that yuan will continue to appreciate. However, there are some ambivalence as far as onshore yuan is concerned. If onshore corporate swing buy into an appreciation in the yuan, than i would expect the yuan would appreciate even more. At this point, im sure corporate activity is very cautious. Meanwhile, for the rest of the region, fundamentals are very much support of of the currencies, but factors are also playing a big role. And that is the explanation behind the underperformance of the idr and the thai baht. In terms of the trajectory for the u. S. Dollar do you see the rally being sustained . My expectation is that the the dollar is for to weaken into 2021. However, the uncertainty with regards to the u. S. Election outcome would lead to some strengthening of the dollar because its risk off. Haslinda what do you make of the inflation risk going into 2021, and how will that play out in the fx market . As inflation goes, the the domestic demand will keep core inflation a nonissue. However, india is an outlier in is sense that indian cipi above the Central Banks upper bound targets and it is unlikely that the India Central Bank will look through the supply driven price pressure. Its effect o nthe currency, the fact that inflation is going to be a oilssue, barring a surge in prices i expect are very much in favor of the asian currencies. Haslinda of course, the market is pretty focused on the november elections in the u. S. Do you see that impact in the movements in emergingmarket currency her . Indeed. So, we already seeing that. Alreadytember we are seeing a strengthening of the dollar. Thats also been reflected by the pullback in the risk sentiment. So, that would likely lead to some consolidation in the dollar asia. But over time, i would expect that dollar asia will continue to go down into 2021. The countriesf you cover in this part of the world, who are you most bullish on and who are you most bearish on . As far as currency goes i am most bullish on the indian rupiah. I expect the indian rupiah to go by the end ofof 2 2021. And performance in the philippine peso. Indonesialagos, the rupiah and the thai baht to underperform the region as far as laggards go. Rishaad thank you, very much indeed. Just has some breaking news coming through from our broadcaster, abc, which is listed in manila. Has resigned as the chairman emeritus of the director of the board. This coming as background of the company dropping programs. This entityas as tries to rebuild itself in his loss of its franchises over the summer. The director of sky cable and fgen and fphc. An we have the company saying that Mario Bautista will fill lopezs board seat as well. Gabi lopez resigning as chairman emeritus. Still to come we have a look at singapores capital land. Capital menn commercial trust as they plan to merge and what would be asias secondlargest retail, Real Estate Investment trust. Catch our exclusive interview with the ceo tony tan. This is bloomberg. Rishaad President Trump would not commit to a peaceful transfer of power if it shows his opponent wins the november election. When asked he said, well have to see what happens. Trump has been criticizing mailin voting which has been offered and a number of states amid the epidemic. We are looking like we are heading for an almighty november things may not be decided on november the three, unless of course it is a huge landslide for either side. Thats exactly right. Now, there is a scenario in which you have some really early swing states like florida which completely closes the 8 00 and tends to come quickly. That gets decided. Know where it is going and it is done. The other alternative which is looking more likely than the former is that the stretches on for a couple of days as states count and we see what the white house and the senate scenarios are. Now, donald trump has spent a lot of time talking down the security of mailin ballots in the that go beyond what established facts are, but the comments that were made today are really drawing attention, as they should, because they really go quite far beyond what we have seen anywhere else. Now, i lived in miami, florida, during the 2000 recount situation. Im keenly familiar with what that looks like. There are Endless Court challenges that can and probably will be made. You may look at seeing something go all the way up through the courts to the Supreme Court. Eed, donald trump and republicans in the senate have said that moving forward on his eventual Supreme Court pick to replace the late Ruth Bader Ginsburg is an imperative price would because they might be needed to decide some of those court questions. Haslinda thats right. So, he suggested perhaps the court will eventually decide the outcome. That makes the replacement of ginsburg all the more significant. I mean, where do we go from here then, derek . Let me say this. The court right now is 53 in terms of republican appointed justices to democrat appointed justices, but the chief Justice John Roberts has gone away from the gop alignment on some key cases. So, there is some concerns he might not be a reliable trump voter. The problem is if you put this s the and you got trump comments you actually create a case that some democrats have started talking about that whoever gets appointed, whoever gets confirmed might have to acute recuse themselves because donald trump has talked up them deciding on this particular sort of case anyway. So, you get inoto a couple of legal quandaries. I think the key here, though, is there is going to be a lot of attention paid to the mechanics of how this balloting is going out. To the rules. And if all of this attention results in voters paying more attention to the instructions on their ballots, marking them correctly, having a low werror rate, then that is good. To the extent there are legitimate ballots people are trying to find a way to throw out, that is really bad. And it sets yourself up for a really horrible crises that question legitimacy. And those are really, really, really bad outcomes with bad things that follow. Trump has said he is considering a list of five women. Still to come, thai protesters calling for greater democracy are planning to hit the streets again as lawmakers decide on ways to amend the constitution. That is next. This is bloomberg. Haslinda protesters in thailand are planning to hit the streets again today as Lawmakers Debate the constitutional changes. We will talk to reporter rendi. What can we expect from parliament that will placate the demonstrators . Law makers are discussing pathways to amend the constitution. At placating demonstrators that are calling for more democracy and less power for the monarchy. Both the house of representatives and the senate will vote later tonight on various proposals. They have a committee that will recommend changes to the constitution, which is written by military appointed panel after a 2014 coup. Wer the weekend, of course, saw 50,000 demonstrators gathered to push for changes in the constitution. And a few hundred protesters are expected at the Parliament Later today. Randy, what is the big issue that protesters did have with the constitution . It is remarkable that we have got a military government, really, in effect here. Going along with this and actually quite quickly listening to some of the demands of the protesters. Military thatcoup constitution which is thailand 20th says the monarchy ended in 1932 made it easier for the communist and his allies to be in power after an election last year that ended their military rule. The protesters are pushing for changes that would limit the power of the monarchy as well as scrapping the military appointed senate, which played a key role e primereturn of th minister after the election last year. Now, they, the protesters views this charter is one of the main tools that are helping the government. Ked at the moment, the government has no choice but to listen. Randy, what is the likely outcome of the vote and what would that mean for thailand . You would never imagine this would come to this. Randy this is unprecedented times, for sure. The vote in the Parliament Today will be to decide which part of the constitution to make changes to and how. The parliament will likely vote in favor of charter amendments. It could take about a year for the entire process. But thai political experts are expecting that that would be a huge change in the constitution, especially involving the monarchy and the senate, which help the governments efforts to maintain its power. So, this could end up fueling the protest movement in the coming months because these two areas are the key focus of the protesters. And this escalating protest movement which adds to the challenge to the government trying to revise thailands economy. Rishaad thank you very much indeed for that. Joining us there from bangkok seeinge could be further protests against the government. A quick look at the markets. The lunch break. We had some of the stocks which have done rather well of late in new york doing rather badly. They have been doing so for the last couple weeks. Making itself felt in this part of the world. The msci asiapacific index 1. 2 to the downside. Look at the hang seng being driven lower. Between them, they are taking about 75 points off the index at the moment. So, the big big falls. 6 oking at the nikkei 225 0. Down as well. 920 million record fine. China markets looking like this. Weve got declines, chinax down 2 . I have got a tell you the bond market there perhaps in focus currently is china bonds may well get another shot in the arm as the ftse russell at security to the worlds Government Bond index. That is a look at markets. Look here, its your very own allinone Entertainment Experience xfinity x1. Its the easiest way to watch live tv and all your favorite streaming apps. Plus, x1 also includes peacock premium at no extra cost. This baby is the total package. It streams exclusive originals, the full peacock movie library, complete collections of iconic tv shows, and more. Yup, the best really did get better. Magnificent. Xfinity x1 just got even better, with peacock premium included at no additional cost. No strings attached. Lion city this thursday. The sdi falling in line with the rest of the region, down about 1 . The singapore government is easing more measures as a number of communiques is remain pretty low. Still, working from home remains the default. No more than half of workers are in the office at any point in time. They will be allowed to cinemas will be allowed to expand. If you are hosting a wending, you can expect 100 attendees. Some improvements but still a long way to go from the norm. Lets get to first word headlines. We start with a race for a. Johnson johnson has begun large scale stage three shots of trials. Marking the first big u. S. Trial of an inoculation that may work after just one shot. J is the Fourth Company to move into late stage trials hoping to see results by the end of the year. Meanwhile, malaysia looks set for more upheaval as the Opposition Leader said he has enough support to form a government. The Prime Minister rejects that and is challenging anwar to prove his claim. Malaysia has been in turmoil since the government of the then Prime Minister mohammed collapsed in february. The Subsequent Coalition has only a small majority in parliament. Strong majority. Strong, formidable, convincing majority. Not a small majority. We need a strong, able government to run this country and save the country. Posted new zealand has his biggest annual trade surplus in six years. Said the surplus was 1. 3 billion local dollars, up from 51 million in july, the largest annual surplus since august 2014. The Monthly Trade deficit was 353 new zealand dollars. Tightening. Is sanctions on cuba. Travelers were no longer be allowed to bring home cigars and t stay at hotels owned by the government in havana. The president says that the new measures will ensure that u. S. Dollars do not go to cuba and the 30s. Cuban expats are a crucial voting block in florida. Global news 24 hours a day on air and on Bloomberg Quicktake powered by more than 2700 journalists and analysts in more than 120 countries. This is bloomberg. I am karina mitchell. Just having a look at these markets. Southerlyded in a direction. We can have more of the same for india. 1. 9 , the nifty down at the moment. Following original pattern we can see that with the msci asiapacific index at 0. 225 lower. New stimulus has injected more jitters into a weak september. Adding to the gains we have seen of late because the greenback has been rising against major peers over the last few days. In fact, it is up for its best week since april. We have got at the moment the yen at 105. 42. The bureau trading at 1. 16. It is a haven status because of the sullivan u. S. Stocks. The selloff in u. S. Stocks. Treasury yields, they could be democratsher by winning the u. S. Presidency in getting control of both houses according to Goldman Sachs and a note they published wednesday in theu u. S. Has linda . Theinda in tyhe lion city proposed merger of capital mall trust and n marshall and commercial trust may pave the way for more m a deals. Combined it is expected to be the secondlargest reet in the asia pac region and the largest by market value. Both company said it would be to , capitale rerating and more liquidity which would fuel largescale expansion and renovation. Joining ussulli is Capitaland Mall trust ceo tony tan. Joining us exclusively. Not everyone is for this merger. How confident are you of pushing it through because some say they the Exchange Ratio of the sale. They want exposure to just the office space, not the retail space. Can you push it through . Were pretty confident that the experts we spoke to, we can get it, with the rational we put forth through the whole merger. We see the longerterm benefits. I feel pretty good about it. Theinda you talk about benefits of a largescale expansion, largescale renovation. What do you have in mind . Can you lay it out for us . Have look at it, we would across, prettyd much in both the centralized and decentralized locations. Mind, when we put forth alreadyger, there were emerging trend in singapore arising from the users preference and change of use as well as the other laid out what they view the use of space would be like in the nest one or two decades. The trend of decentralization and moving to liquidity is already a trend. So fast track to today, we did theact gloing through pandemic we feel that the [indiscernible] potentially what we see is a move into a different way of looking at use, potentially more than not well be looking at converting single use into a mixed, integrated use. Bothe have that in play, in the centralized location and decentralized location. Medium to longer term we will have a portfolio of assets to tap onto this potential growth Going Forward. When we of course, talk about the pandemic, it accelerated the shift to online shopping. Whats the outlook for retail in your view . Do you, when do you see a return to prepandemic levels . So, we look at what happened during the period. Obviously, the olin online she of the pie has gone up. It went up to the highest 34. 5 in may. It came up 18. 1 . In july, it came down further at 11 person. 11 . Were quite convinced the traditional, you call it traditional brickandmortar stores will stay very relevant, but the use may evolve over time. Retailers are really responding to the trend, and perhaps with the covid19 more retailers will go on the bandwagon [indiscernible] way of tapping the market. And we are also readjusting our strategies. We launched a platform to help the retailer to tap into the deeper market that they may be able to historically may have overlooked. New retail world is no longer so binary. Online, offline. It is a combination of online, offline. Multichannel distribution. We have 34 properties that could prove to be a quite essential part of the retail strategy, especially retail a retailer who was to look at the different switching channels. We have that is part of the solution, as well. Haslinda when you talk about forward would be a combination of units between retail and office space, but the pandemic has forced to shift where work is concerned. More and more people are working from home. How do you take that into consideration . How ar eyou positioning for that eventually . Well, we think the trend i mentioned earlier, the decentralization, will pick up speed. You had a chance to listen to an interview just conducted yesterday with the chief planner of u. R. A. She also talks a little bit about the trending shes seeing and she also feels that the t rend of decentralization will happen. Of the master plan that was put forth by u. R. A. You already can see many different spots of new Regional Center that has been planned out in singapore. In a way, from a broader perspective can see more decentralization of activity. So it could be a few potential scenarios. More and more potential work could move to where people are residing. We see potential Regional Centers with a different theme. And, also, at the same time, youre talking about the regional location. We are trying to encourage more resonants living in the cbd location. So, in a nutshell you actually expand the efficiency usage. Otherwise, compared to the current mode where it is quite segmented. We have the Industrial Zone and cbd location. So, Going Forward, that is a mix of landscapes. And itan benefit the is because like earlier i mentioned the location we will be able to spot potential growth. Perhaps could be another property could be a place for redevelopment into a mixed use or integrated of that nature, yeah. So, i think this is a trend that possibly is possible, yeah. And from a Company Perspective rishaad you, you. Tony, i just want to get to, you know. You say you want to tap different Market Segments by getting this deal done. Will you also be having to tap the bond market afterwards as well . It would make perfect sense with an entity as big as yours, it would make her cost of capital that much cheaper. Tony rish, very good point. The scale. With that, the scale in the debt market. We have a lot more possibility to look at different markets for capital. Currently, cnt, cct respectively we are quite we are just going through the planning within the bond market. With that in play, we possibly can look at the different type of structures Going Forward. Like you mentioned, potentially be a possibility for us to [indiscernible] rishaad yeah. And talking of opportunities here, what opportunities do you see looking ahead . More mixeduse buildings. What have you got in the pipeline with regards to that, and what is your outlook for retail versus commercial properties in singapore and beyond . Tony so, if you look at what is happening in singapore, we just in 19 juen. Reaker we are in the face two now. We have seen the phase two now. Traffic is picking up. Not to a precovid level yet. I still believe we are moving in the right direction. Were see more people coming back to the office. Obviously, we are going nto normalizes quickly as possible. So, currently in the short and medium term you can see trends evolving. Aand it seems to be moving on te right track. You talk about opportunity, think we will be obviously very how you look at how you want to deploy capital. We eventually would have a diversified exposure into three segments. Stock market, you can see it. We are still investing heavily in retail and office and a component into development. Within the piek, potentially will be some moveme, within the pie, you will see some movement. The possibility to repurpose a single purpose thats something we will pursue. Same time we know that the market moves in cycle and by having that and also the expanded mandate to look at not just singapore. Obviously, we have a bit of flexibility to look at overseas markets, not more than 20 . That allows us to tap the opportunity as the market cycle moves. So, we would be very cognizant of how the market moves this cycle. We will focus a lot in singapore, honestly. But, at the same time we will keep our eye on the ground and see where opportunities are. Haslinda right. Tony tan, Capitaland Mall trusts ceo. Westpac trading lower after the us trillion bank agreed to pay a record 920 million to settle a Money Laundering case with regulators. We have the details. This is bloomberg. Rishaad you are back with Bloomberg Markets westpac bank has agreed to 920 million to settle a superb more than what the bank originally set aside for its original fine. The fine is larger that the 900 million aussie dollar set aside for a penalty. Why have they been punished further . So, part of it is that in the settlement that was announced today, westpac has admitted to about 76,000 additional breaches of the law on top of the 23 million contraventions filed in the original suit. Some of those breaches include failing for transactions that were related to possible child abuse. And failing to conduct adequate Risk Assessment of the overseas banks they were dealing with. There was some other issues that westpac had tried to resist from the original claim including not having a compliant antimoneylaundering program in place they admitted to as well. So, all those factors have gone into increasing the fine over and above what westpac had provision for in the first place. Haslinda peter, how damaging has the saga fed for the bank and what is the future looking like . Peter this whole saga has been very damaging for the bank. It for started about 10 months ago when the original suit was filed. In the immediate aftermath we saw the ceo resigned from his job and the chairman bring for his retirement. Westpac shares are down 32 this year and, sure, there is a covert factor in that as well because all of the banks are hit hard but it is the worst performing of the big four banks in australia. The outlook is pretty tough. This really damaged its reputation, particular, the link to child abuse, which was just really, you know, difficult for them to come to grips with and very bad theyhe future for westpac, have got a lot of work to do in terms of restoring their reputation, but beyond that, they also have a lot to do in the bank, getting their risk and their compliance right. Bringing technology up to speed to make sure that Something Like this does not happen again. Haslinda asia investing editor peter in sydney. Lets check in the indian markets. A risk off day in asia. India not getting scared at all. The nifty trading lower. Futures are pointing to a lower open by as much as 2 . Were tracking after a fire at its plant. The fire is now under control. Also keeping a watch getting a u. S. Approval of a hydrochloride drug. And indian oil has been reinstated as hold. Bank index and the nifty 100, all the banks lower by 1 right now. Rish . We take aoming up, look at the philippines where the government is traveling is scrambling to retrain hundreds of thousands of Migrant Workers returning just as the Global Pandemic batters economies. This is bloomberg. Haslinda onto the philippines now where Migrant Workers e economy. R tens of th in a wave of job losses around the world sending hundreds of thousands of filipinos back home with the government squabbling to retrain them for domestic jobs. Our report is in manila with this story. How bad is the impact of the string strain in the global job markets in the Migrant Workers in the home country support . Yes. Migrant workers from ages development asias developing countries have been hit hard by the pandemic. Says the locked, many have gone back on their way home. Actually here, the Philippine Government estimates 300,000 overseas Filipino Workers are going back jobless. Despite this pressure, interesting ly, these workers have managed to send home record amounts of money, and that is helped cushion that Pandemic Impact on their families. Wonder woman one wonder how that is possible. Suspect they are taking any money they have left back home with them. Pacific willasia drop in the second half as temporary support for, from the money, rather, that these furloughed Migrant Workers bring back home with them. So, this is likely going to be a longterm pain for many developing countries, including the philippines which faces record of employment locally. Rishaad a big challenge for the dutarte administration. What is the Philippine Government actually doingn to help to cushion the blow for these people . Manyterestingly, government are being creative and addressing this problem. In the philippines, one of the Novel Solutions is to retrain returning Migrant Workers for jobs as contact tracers, teachers, and even callcenter agents. Is thing we have to remember that while these Migrant Workers largely worked in the Service Industry overseas, many of them are collegeeducated. In the Philippine Government is taking advantage of that education to imported them in industries that have narrowly escaped the downturn, including call centers. I think what is difficult, as i said, is that returning workers will still have some with millions of locals who have lost their jobs but in there is also returning overseas. Once the situation improves, the salary abroad remains higher than what they would make in their home country. Haslinda sig, what is the outlook for Migrant Worker jobs and also for remittances . The outlook is bleak at the moment. The world remains in recession, and that includes many host countries. The rebound will very much change on the containment of the virus among other factors. The other risk is that jobs markets everywhere are under pressure. So, locals are hoping for the government to prioritize them. As many nations look inward, pressure on Migrant Workers job, remittances they sent home in the comments the economies they support are going. Remittances for the Pacific Region will drop 12 in the second half. One finalig, just question. It is not just the philippines. This is a phenomenon which is really hurting economies right across this part of the world. Yes, it is, actually. Our collies in pakistan and india are also writing about the pressure the Migrant Workers face and whether governments are trying to do to sort of alleviate the pressure on these workers, on their families, and on their economies. Because, you know, consumption is one of the biggest drivers of growth in the asiaPacific Region, and the money these Migrant Worker sent back home is a crucial lifeline to their families and their consumption. Rishaad all right. Thank you so much. Joining us there from manila. Take a look at markets. Here we go. This is a look at what is going on with the coskospi the kospi. There we have it. Down 82 . The worse one topping the list, 2. 3 to the downside. A a lot of uncertainties out there. Certainly one of them is down to this spat, if you will, not really a spat, but a difference federalbetween the reserve, which is arguing that they need more stimulus injected into the economy and we do, of course, have an administration in the u. S. Which is dragging its heels as well. Australian dollar just at the moment weakening against it japanese counterparts, the yen a nd gold as well. Has . Haslinda thats right. Risk off here in asia. Lets see how it opens in europe and the u. S. That is at from Bloomberg Markets asia. Daybreak middle east is next. Keep it here with us. This is bloomberg. So youre a small business, or a big one. You were thriving, but then. Oh. Ah. Okay. Plan, pivot. How do you bounce back . You dont, you bounce forward, with serious and reliable internet. Powered by the largest gig Speed Network in america. But is it secure . Sure its secure. And even if the power goes down, your connection doesnt. So how do i do this . You dont do this. We do this, together. Bounce forward, with comcast business. 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 States, George Washington signed