Transcripts For BLOOMBERG Bloomberg Markets Asia 20240712

To the upside. Other news coming through about approvals for future houses as well. The asx up 119 points. Thats move along and look at other Asset Classes. Crude trading yesterday with a 33 handle, hasnt had a huge rally since then. Part of that is down to russia and opec looking like they will not be hiking reduction in january. That news helping to propel oil prices up to over 97 in the last six hours or so. ,old remaining where it was just shy of the 1900 level. Thats ahead of the u. S. Election. The u. S. Dollar index marginally down, the Rate Decision coming expecting a 0. 15 cut in the base rate and we do have in anticipation of all that move slightly higher than that, and thats down to a commodity related currency and the crude price helping that along. Lets head over to new york and join karina mitchell. We start with the latest headlines on the pandemic. Starling fell to its weakest in the month, with an economy already reeling from similar measures earlier this year. France reports record new infections and germany isnt urging people to abide by the rules. Italy with new plans to halt the spread. New york says hospitalizations a newder control with curfew. At least one person is dead and several more wounded in a shooting in vienna. Security officials are describing it as a terror attack. Police a several gunmen were involved. One person was killed and at least one person on the run. People are being told to avoid and trams and buses are not picking up passengers. Oil rose the most in three weeks as russia discussed the possibility of delaying output cuts by opec agreements. U. S. Futures gained almost 2 bouncing back from a five month low earlier in the session. Opecplus was already considering as the coronavirus continues to weaken demand for energy. U. S. Federal and state officials have erected what they call formidable barriers to stop foreign agents from interfering in the election. Cybersecurity experts have formed wideranging efforts to ensure American Voters are the only ones to decide the fate of the white house. Officials acted after reports russia mess meddled in the 2016 election. Global news, 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. Im karina mitchell. This is bloomberg. Just hours to go before the boat, President Trump and joe biden are trying hard to win key battleground states. Post beginning to show biden ahead at the national level, but the swing states remain a tight race. Our reporter ed ludlow is in one of those date right now, arizona. Is critical to the hopes of se campaigns, and arizona polls suggesting biden is in the lead, but this is the state that trump won back in 2016. Ed arizona and Maricopa County are emblematic of what democrats are targeting all across the country, which is suburbanites. Theres a growing population here in chandler where i am but also in the greater metric metro phoenix area. And asianlatino population, an influx of Median Income collegeeducated tech workers, they hope it pans out in the democrats favor. Theres been some bleed in the Republican Party and a republican strategist has told me that some sections of the county or you will see white, College Educated women devoted to trump in 2016 this time voting for joe biden, even if they are registered republicans. Early voting is skewed toward democrats. Met republicans are telling is that they think that trump will mobilize and energize his base, that Trump Supporters will come out and vote in person on election day, and they are putting a lot of faith in that. They still feel they can do well in arizona, but as you said, biden has had a three percentage point lead in arizona for several months now, although both sides tell me there will be a much closer race than the polls suggest. Looking at what is going on in congress itself, what are we looking at for the senate at the moment . Its going to be crucial for both of these parties. Arizona, for example, we could have for the first time in about 50 years to Democratic Senators in washington. The first8 midterm, democratic senator in a long time in the state was elected. Now it martha mcsally, who is again running against mark kelly, a former astronaut and democrat. If she loses, then you have two Arizona Democrats going to the senate. This is something that could be impactful. We know that biden hopes to add a net gain of around three senators. Its incredibly important race here in arizona. On the trumps message has been in focus where you are. Ed with all voting groups, with tino, asian, white, all ages. Prior to the pandemic, the economy was strong here. The republican governor was widely seen as a successful governor. Trumps handling of the virus is now top of mind for voters. He put pressure on the governor in june or july to reopen the economy, then we saw that big spike in cases here in arizona. In recent weeks cases have started to trickle upwards again. Trump was in arizona appealing to latino voters, saying he would bring around 2 million latinos. That is one key battleground. It is the economy and the virus. The democrats are not resting on their laurels. Democratic strategist tell me that even though early voting suggest they have a lead, what theyre going to do over the next 24 hours is appealed to groups that dont traditionally vote. Younger voters, latino communities, maybe 30 of the population will reportedly turn out in that group. Biden has been doing it across ohio today, going after President Trump on his handling of covid and the economy. Ed ludlow they are in chandler, arizona, a key swing state for both president ial candidates. With ahead, an economist her view on how regional economies are recovering from the pandemic. Morenda next, we seek answers to our question of the day. Most onsets will move the Election Results . Thats coming right up. This is bloomberg. Coming live images through from both men of the hour, as it were. Joe biden there in pittsburgh, in the swing state of pennsylvania privet donald trump kenosha,r swing state, wisconsin. Both candidates claiming the inside track to victory. Hotly contested president ial contest. Saying Campaign Manager the path for trump would two of those three states were vote counting is expected to take days or longer, despite donald trump saying he thinks the winner should be declared on tuesday night, even some talk coming through that he would say he was going to declare victory on tuesday night, irrespective of all the vote tallying being counted. Haslinda and in those swing states, emerging market stocks have rebounded from their worst week in more than a month while the dollar is high. Volatility is also high as investors weigh potential outcomes of the u. S. Election. An emerging Market Strategist a lot of anxiety in the market. Concentration for the wilder moves ahead. Thats right. I dont think theres a huge amount of position taking having taken place as we wait for the outcome. Not just when we see clear results, but delays, challenges, etc. 2016. Are memories of many wondering how this is going to pan out. From a dollar perspective, is probably on the back foot after elections and the boat scenarios were looking at. Asian currencies in particular should do quite well out of it. Haslinda theres a lot of talk about a blue wave. As a biden win necessarily mean a weaker dollar . I think thats the central scenario. If the polls are right, a blue we think policymaking shifts would be incumbent, a broader Global Policy perspective would be encompassing more trade bodies and be more trade friendly. Necessarily that pressure on china would ease. It may take a different shape, but it wouldnt ease. Is not going to be clearcut, but overall, we see asia as a bastion of light almost in this environment where its first in, first out in terms of covid. Growth recovery is taking shape. General seems to be in a decent position to capitalize on dollar weakness. Haslinda amid fx volatility, where do you see opportunities . Which pairing seemed to present opportunities to you . Market hasthe balm been interesting in the sense we havent seen big spikes involved. Again would bee the ones to look at. If you really believe the polls, you believe theres going to be a blue wave, you want to be a bullish risk after the election we would you want to be holding generally equities and risk we think the likes of the korean won and the taiwan dollar will also do well. Thats probably the way you want to play it, depending on the outcome of the elections. But thats probably what we will see. Rishaad the question of the day, which assets move the most on Election Results . In other words, which Asset Classes are most sensitive . Given that equities have been on the back foot going into the election, we do see a blue wave, probably see a bit of a shift in asset allocation. Its clear there is concern about valuation and tech stocks, there could be some rotation in equities rather than a selloff or broader based rally. But rally stocks have been under some pressure for some time. One thing to bear in mind, covid is still in the background and thats dampening sentiment for equity markets. Raising the prolonged economic weakness, in our view is going to have a week q4. There still a lot of risk on the horizon. I think em currencies will come out of this quite well. Rishaad i know you are e. M. At the moment, but youve been a developed Market Strategist for years. You mentioned the swiss earlier and the yen. Tell us about some of the others. Sterling very much at the moment moving with regard to brexit. Election play into those currencies, and what else plays into them as well, and what are you forecasting . Its a good question. When you look at euro, a lot of people have wanted to take advantage of postelection dollar weakness. I think it will mean trouble in the weeks ahead. The e. U. Recovery fund is not going to kick in until early next year. The reality is that i dont think it bodes well for a euro recovery. I think the euro might not be the best currency to take advantage of the softer dollar. Might be a shortterm starting rally that will boost us into the 133 region against the dollar, but again, how much upside can we really see when the u. K. Economy could be one the worst hit in terms of the new wave of covid . If growth is already weakening sharply, it could come under a lot more pressure. It goes back to my initial thesis, which is the currency that could take best advantage of dollar weakness could end up being in the e. M. Space. The yen might benefit from risk aversion. I dont think after the elections that will be the case. Much. D thank you very scrutiny, rising ahead ofant trading debut ahead of ants trading debut. This is bloomberg. Rishaad we are back. Chinese regulators in a rare meeting ahead of the worlds biggest ipo trading debut. Institutionalize retail demand for this 34 point 5 billion offering is shooting through the roof. Stephen engle is tracking it at the moment enjoys us is what is going on and joins us with what is going on. What do we know about what occurred at this meeting . Stephen we know that the chinese regulators are keenly interested in this ipo in the development and growth, the mushrooming growth of the group and its industry platforms, whether its payments, asset management, insurance, as well areending, microloans that not so microanymore. They want to control the risk element, obviously. The Chinese Government and regulators, where the securities are banking regulators, the Foreign Exchange, they want to control the risk to this emerging recovery, if you will, tenuous at best from the pandemic. They dont want to add institutional risk to the 49 trillion financial industry. What we do know is what we that there was a supervisory interview, thats what its being called, with those regulatory bodies where they invited jack ma as well as the chairman and ceo of the ant group to meeting to outline whats going to be expected of them on the regulatory front. Will be treated as a Financial Holding company and subject to all the rules and restrictions of that bank space. Not just a technology company, it will be treated as a bank. Weve already seen a number of ant,ictions come down on such as capital a caps on , so iing requirements think it was just a talking to for the officials, that their business as well as their executives are going to be under greater scrutiny. What are we hearing about how demands on the ipo are shaping up . Anecdotally, we hear from brokers who say retail and institutional demand is off the charts. They are having a hard time keeping up with it. Takingk closed on subscriptions early, but we do have data according to people familiar with the situation, saying the gray market opened up for Institutional Investors in their bidding 120 hong kong dollars a share. The list price is 80. The retail trend as well, the numbers there and shanghai, were hearing that the retail portion exceeded initial supply i more than 870 times. People are scrambling to get as little slices of the pie as possible because there banking that this is a oneway bet. Of course there is no such thing as a oneway bet, but things are shaping up to be a possible pop in this 34. 5 billion ipo, the worlds biggest. There. A Stephen Engle heres the latest business flash headlines. Tiktok has secured the rights of sound and recordings in a new deal with sony using that will keep their existing relationship. For the app to collaborate in promoting artists who sign with sony. Sources say its significantly more than its previous deal. The latest in a string of the investment deal has been confirmed by the company. The coo taking on his duties. There were a number of executive resignations this year. Rishaad weve got both donald trump and joe biden final push, with rallies, joe biden on the left there in pittsburgh, pennsylvania. Pennsylvania is a crucial battleground state, as is wisconsin, where donald trump is at the moment rallying his troops, as it were, there in kenosha. Photos the backdrop of a finish perhaps being instore for both these candidates. And the stock market has been looking closely at all of this. The dow this week having its biggest fall in a preelection week in history. This is bloomberg. 1020 9 a. M. Income hong kong and shanghai, 9 29 p. M. Here in new york first word headlines. Our top story, the u. S. Election in the home stretch. In swing states some closing when he for hours and candidates pushing for lastminute votes in an election that will shape politics at home and abroad for years. President trump and joe biden holding multiple rallies in key states. The country gripped by the front of ours. Allegations of fake news and a continuing debate over race relations. The president pitting doubts over the veracity of results. In other news u. K. Government is sending troops to the northwest city of liverpool to organize Virus Testing for half a Million People. The department of health says all residents and workers will the offered routine checks whether they show symptoms or not. 2000 military personnel will be deployed in an operation starting a day after National Lockdown measures begin across the whole of england. Alibaba Group Founder jack ma has been summoned by regulators and china days before his Company Listed in hong kong and shanghai. No details about the meeting have been disclosed. Erik ching and chief executive simon who were there. Ant shares said to be trading at a 50 remain in the hong kong market, with the stock expected to soar on its debut later this week. Car sales in japan hit top gear last month rising at the fastest pace in eight years as the economy recovers from a wrecker contraction. Auto delivers are one of japans earliest Economic Indicators. They rose 31 from a year earlier, partly due to the distortion of a 26 [indiscernible] 12 month ago as a sales tax kicked in. The wider economic expansion is expected to slow toward your end. The number of people known to have died in the strongest storm in the world has risen. The typhoon devastated large parts of the eastern philippines is almost a half Million People move to safety. It was the equivalent of a category five hurricane and is now heading for vietnam. It was the 18th storm to hit the philippines this year. Most patel it is were in provinces south of manila most fatalities were in providences south of manila. Global news 24 hours a day on air and at quicktake by bloomberg. I am karina mitchell. This is bloomberg. Asia in positive territory. Despite anxiety in the lead up to u. S. Elections which some people say is the most important u. S. History. Msci asia pac index up. 7 . The vix easing to 37 from 40 friday per remains elevated dollar easing somewhat today after gains overnight. The dollar has been trading higher against most g10 currencies. The dollar in a month high on haven play. Taking a look at the broader asian market. Australia, hong kong, korea, leading higher up by more than 1 . Japan on holiday. Fg made it, hang sen easier tog seng include ipo listings. Aussie is looking like this but seen rebounding if the rb is his policy as expected. The aussie at 70 55 unchanged. 10 year yields can still fall if the rba increases. You would have to be a troglodyte not to know the u. S. Election is hours away. Joe biden ahead the battleground states remain tied. Investors concerned about a contested result. Lets get to implications for asian economies. Chief asiapacific economist at Citigroup Global markets. Joanna what is the call here . Is a Biden Victory going to affect this part of the world differently to one which involves the reelection of the incumbent . Outcome, having a clear would relate to risk market. There has been nervousness about a contested election. Now polls suggest biden will win and if that happens there is a perception that biden for asia will help restore a rulesbased international order, reduce volatility over the last years especially in u. S. China relations. And that should be marginally positive for the region. The other thing aside from a biden win is what happens to the senate. If the senate ends up becoming a blue wave and you have cohesive policy between the president and senate and house now controlled by democrats, you should expect a larger and more decisive fiscal stimulus from the u. S. And that would be in favor of reflation which would benefit cyclical economies in the region. How do you think the state of the economy is playing out with regard to the election . , theurse it is a pandemic pandemic is seriously derailed what is going on from 10 months ago. Certainly i think, of course the pandemic is a big issue now, catapulting, helping biden support. If we do not have the pandemic earlier this year topless sort of in the late. Now if you look at trump was sort of in the lead. If you look at Global Outlook as you see in europe potentially contraction in the Fourth Quarter because of her servants of covid there and the renewed resurgence of covid and lockdowns and u. K. And germany and france have a Downside Risk momentum. In the u. S. Covid potentially is going to be a drag in the u. S. Although for now activity is holding up relatively well. We are already seeing slowdown in momentum. The key issue calling for u. S. Momentum is fiscal stimulus. A lot of discussions have been derailed because of the between theonflict house and the governnt. The he is we will get a stimulus postelection. Doc and helped some headwinds coming out of covid. The size of the stimulus depends on the electoral outcome especially in terms of the senate. Wiki election, stimulus, the elephant with the stimulus at election, the elephant in the room, china. All the data showing momentum in that economy. Is this a time when perhaps emerging markets regionally are looking to china rather than the United States . And might that make a tectonic shift obally speaking . It has already been happening. The fact that china is leading the rebound on the back of the pandemic is all telegraphed news. The more there is uncertainty dragging down with coronavirus, the more that share of china and economies around china benefiting from the pull of chinas demand in the technology space. Like you are seeing we have at her than expected growth out of taiwan. Also betterthanexpected in hong kong. Korea data also looking better. To the extent this asia or this region is up reporting on the virus outperforming on the virus to the extent that continues to pan out as long as the virus continues to percolate. If we get further resolution on a vaccine we can have resumption of the laggards in the vaccine tried. Right now things are more uncertain. At the moment youre right, the china demand continues to take a lead. Change nextget a dictation about u. S. Policies postelection. Again if we have a biden when, a blue wave democratic senate, then the narrative of the u. S. Mediumterm cyclical outlook improves. Again partly because of the policy cycle. Therefore it is not just going to be pumped but also u. S. I think europe is on it for track. Certainly i think china, asia outperformance is still a theme lingering. Certainly if biden does win and we get potentially, again i do not expect substantial changes in u. S. China foreignpolicy relationship because church edict rival rate is very much in play regardless of who wins. But if we have a less volatile perhaps potentially more orderly that could framework also provide relief on asian assets. For example dollar china you still have onshore Corporate Holding onto dollars. We still see further pent up conversion into mnd rmb if we get an outcome in the u. S. And it moves toward up Biden Administration. Haslinda easing is expected. The recovery. What are you expecting in the policy mix . Different from consensus. We are out of consensus calling for rba to stay on hold in this meeting. Consistence is calling for 15 basis point cut. Our view is the rba is gearing for additional stimulus. We expect including further rate cut, large skill asset purchase program. I think at this juncture we are saying we are not expecting this to happen until february 2021. There is always the possibility it could happen in november. But i think now our view is we can come up because inflation employment in australia has been undershooting rba target since may. That has not pushed rba to ease further. So why do it now . Why not preserve your bullets until february, in the hope further easing can galvanize more easing of financial conditions by then . By then maybe people will start worrying some fiscal stimulus going into First Quarter next year we might have the risk of a potential risk of a fiscal cliff. So you need rba support. So we are thinking, that the direction of policy, we agree with the market is expecting, it is more the timing. We think they might be better off holding off their bullets until february. Again as i set i think consensus even if they decide to get policy on hold in this meeting, we are expect in the guidance, the ford guidance, to still be dovish, Forward Guidance dovish looking forward to further easing. Be onthe rpi decides to hold but the language is dovish, markets will keep rolling over forward based how much rate cut expectations there would be so we are not expecting a big shakeout in the market in australia. Right now that is our view and we are deviating from consensus. Citigroup global markets. Joanna, good to have you with us. The coronavirus is said to dominate the apec meeting later this month as the root gathers to discuss the regions recovery. We spoke with Rebecca Santamaria virusesd about the impact on supply chains and recovery prospects for the group . We will see all the members economies started to downgrade their growth targets for next year. And next year we are going to see more positive growth. That is because we are going from a very low be. Even so we are looking at 5 positive maybe next year. Some are optimistic i think 7 . Aslinda you talk about reliance on chinas growth but china is also looking at its to mask economy more and more as can be seen from its latest fiveyear plan. How do you think this will play out . Collaboration is so important. Course for chart the cshares good and best practices and how we are managing these challenges. The more important thing for me also is the will among the economies to get us moving. To share so we move forward. Haslinda we often talk about disruptive supply chains. At the u. S. China supply trade war we talk about a bipolar world. What are the chances of a tripolar world, asia, north america, europe, all with their own supply chains . , it ishe end of the day businesses sorting this out. It is not about geopolitical influences or geopolitics getting in the way of supply chains. But it is really what makes business sense at the end of the day, you know . Guide policies. Policymakers cannot make policies in a vacuum. They need to hear from businesses. Onesymakers are not the going out and getting Business Done. Rather ones going out to get Business Done and facilitated. Speaking of getting Business Done, when you see the deal getting done . It is something close to my heart. We started this when i was at the ministry of International Trade and industry. Fingers crossed i know that it will get done this year when the ministers and leaders of rc made. Meet. Haslinda do you see india being included, if not when the deal is signed, down the road . I think the door is open. Asean wants to be as inclusive as possible. All economies bring strengths. In multilateral agreements it is so important in a world as connected as we are. This is important, keeping the doors open, being as inclusive as possible. Haslinda i want to look ahead at the apec meeting, what priority is are there as the region navigate to the pandemic . Spottysee nations collectively coming up with a coordinated response nations responding collectively with a coordinated response . We have gone through looking at how we want to move regard to trade and the goals fulfillment of completion this year. What we do next . This is the conversation that has been going on and leaders will take forward. It is an important conversation that will happen this year. Hat to we do post [indiscernible] . A lot of what is going on thinking through the vision for this region going forward. Haslinda the pandemic of course hitting amid rising pressure on globalization. But this is not the first time globalization is under attack. Is it any different this time around . Are the stakes higher this time around . Yes. We have had covid impacting trade and investments. But we need to look, we need to focus on our efforts jointly, jointly, to recover. We cannot retreat into ourselves. On shoring sounds good but at the end of the day it is about job creation. It is about diversification of your value chain. It is about risk management. All this means that you need to have collaboration, International Collaboration and regional collaboration. Someone said no man is an island and it is so true. Our exclusive interview c secretariat executive director. Russia hinting at Oil Output Curbs among a continued slump in crude prices. We look at the implications for Energy Markets on the way. This is bloomberg. Welcome back. News monday that opec and its allies may delay a output hike plan for january. That helped brent and debi jack close higher after three days of close brent and wti higher. Russia and saudi arabia are hinting for weeks they may extend curbs. What is different now . There has been quite a bit of change in market dynamics. President putin said late last month he was open to delaying the groups plan output increase from january. But the Market Outlook has become worse. First leading production is rising faster than expected with the countrys output nearing one Million Barrels per day. Second, that output wrap up comes as the demand outlook is getting worse. Wrap up. Comes at that amount outlook is getting worse. The lockdown in france and europe and the u. S. Situation is knocking better. So private not Getting Better with lockdown. Prices have come down and brent crude trading below 40 per barrel. Prices are not anywhere near the pandemic induced low we have seen earlier this year yet. Of 40 a cyclic logically important level is alarming for many opec plus eight psychologically alarming level for many opec members. Below breakeven production prices for most nations. Rishaad what are people saying about the oil price near term and perhaps longer term . Term, there is room for oil to get more volatile this week. We have the big u. S. Election. Also the outlook for oil prices will depend on how the broader markets react to the election outcome, especially the dollar. However the fact that opec plus is getting closer to delaying the output hike should provide shortterm support. About thising possible delay of the output hike. Monday Russias Energy minister had a discussion with the big Oil Producing companies over there. About the possibility of delaying the easing of opec loss output cuts by three months. But there is no final decision yet about the next move so it remains to be seen. Whether we are going to see an agreement anytime soon. Rishaad thank you. Editor. You can follow on our live blog on the bloomberg terminal type mliv. Full throttle in the vaccine race with questions about safety. Next. This is bloomberg. Chinese drugmakers are racing to beat other pharmaceutical Companies Developing a coronavirus vaccine. That speed has been raising eyebrows and questions about how stringent late they are venting and reporting potential safety issues. Lets get to our asian and Consumer Health care team leader. Rachel, what is going on on the ground with pharmaceutical companies . And why the concern . That is right. Chinese Vaccine Developers have been moving quickly. They are at the front of the pack developing a vaccine. What we have seen with western Developers Like astrazeneca and Johnson Johnson is they have found instances where people in Clinical Trials fell ill and trials were pause to investigate illness. We know the chinese have been injecting premuch hundreds of thousands of people. There has not been any similar instance in any chinese vaccine trial. That is raising legitimate questions of how casual they are being. Or how public they are being with disclosures. In terms of viable vaccine out of china, what timeline are we looking at, realistically . They inhinese have said the midst of phase three, the final stage. We are expecting some of the data or approval to come as soon as this month, november and definitely before the end of the. People arkansas the end of the year. People are concerned this timeline has been compressed. Chinese and western are developers have compressed it in two months. That is why people compressed what usually takes years in two months. Into months. That is why people are asking about what is happened so quickly. Haslinda the latest business headlines. Pilot unions and families of the victims of boeing 737 max cross call for revision for new training for grounded planes. Southwest Airlines Pilots Association Says they f8 checklist is funky at best and should be streamlined. Killed in theople if european disaster go farther seeking design changes, and publications of more details in the training program. Norwegian cruise lines extending the band it introduced at the start of coronavirus until the end of the air. The u. S. Center for disease prevention and control said cruise lines could restart operations from this saturday j all those trickortreat conditions are required. Carnaval suspensions on hold through december. Carnaval keeping operations on hold through december. Rishaad it is election day in a few hours. And the polls opening in the u. S. This is the scene in kenosha, wisconsin at the moment. President donald trump there getting supporters to prepare for a photo finish. Trump is relying on eking out victories in three or four swing states to get four more years which is supporters are calling for given placards there holding. I believe that there for the time being. More to come on Bloomberg Markets asia. Businesses today are looking to tomorrow. Adapting. Innovating. Setting the course. But new ways of working demand a new type of network. One thats more than just fast. You need flexibility to work from anywhere. And manage from everywhere. Advanced technology. With serious security. And reliable coverage, nationwide. Forwardthinking enterprises, deserve forwardthinking solutions. And thats what we deliver. So bounce forward, with comcast business. Haslinda it is almost 11 00 a. M. In singapore and hong kong. Welcome to Bloomberg Markets asia. Rishaad this is a look at our top stories. The u. S. Election in the home stretches. Candidates appeal for support. Msci china i 23 year high ahead of a poll that will shape politics at home and abroad for years to come. Ant groups eminent ipo takes a dramatic turn with jack ma summoned by regulators in china. The companies that are increasing scrutiny. Rishaad bridgewaters ray dalios speaking exclusively to bloomberg saying the yuan will become a reserve currency faster than currently expected. Haslinda japan is closed for culture day. The rest of asia in the money. A couple of index rising by more than 1 , even as we are anxiously awaiting the u. S. Election, hours away. The msci index inching up. 8 . Fyi since trump came to power 65 to the end of october at asia pac stocks have garnered 40 outperforming european peers, the question whether those gains can be sustained. 1. 5 , new york crude up 3683. A look at the thailand open a good game, 1 . At the moment airlines and focus. A Cabinet Meeting taking place in food cap where the phuket where the minister of finance will cement a proposal that includes low Interest Rate loans for the Domestic Airlines according to the finance minister. The prospects of the indian open looking good at the moment the nfte contract to the upside. Any and bonds yelled tiptoeing yieldsan bonds, tiptoeing higher. Into sovereignty. Selling corporate debt as coronavirus herds earnings. Lets take a look at what is happening in first word news. Karina mitchell and new york. We start with pandemic headlines. Sterling held its weakest and month as england enters lockdown this week with an economy reeling from measures earlier this year as well as the looming brexit. Record new infections in france. Germany urging people to abide by the rules. Italy readying plans to halt the spread. In new york hospitalizations under control. Massachusetts imposes a new curfew. The u. K. Government is sending troops to the northwestern city of liverpool to organize Virus Testing for half a Million People. The department of health says all residents and workers will be offered repeat checks, whether they show symptoms are not. 2000 military personnel would be deployed in an operation starting one day after National Lockdown measures begin across england. At least one person is dead and several wounded in a shooting in vienna Security Officials are describing as a terror attack. Police say several gunmen were involved, once had to have been killed with at least one more still on the run. The shootings happened near thes main synagogue on the eve of a onemonth National Lockdown in nostra to halt the spread of the virus. In austria to halt the spread of the mars. Halt the spread of the virus. U. S. Said they have erected formidable barriers to prevent foreign interference in the election. To ensure americans are the only ones who decide that white house race after reports russia meddled in the 2016 boat and musketeer run may have interfered this time. And moscow may have interfered this time. Global news 24 hours a day on air and at quicktake by bloomberg. Powered by more than 2700 journalists and analysts in more than 120 countries. Show joe biden ahead though battleground states remain tight. Lets bring in the executive director of executive strategy at ocbc wealth management. Asian stocks up 2 over two days even as a talk about how we are anxiously waiting for this election. How much has been priced in . How much risk has been tries priced into these priced into these markets . I do not think it is really priced in. The markets have rebounded but do not forget the s p 500 is also down by 6 7 since the middle of october. The markets in some ways yoyoing. We are still try to get a grip of what the election outcome will be. The key thing is, it is not just about whether trump wins are biden wins. What is more important is number one, whether we will know the outcome in the next few days at all. Whether it will be a contested election. I think this is what plays on the minds of investors. The way the markets are responding the last couple of days, perhaps investors are hopeful we will not see a contested election the outcome will be clear, whether a bonded victory or a trump victory, as long as we have a clear outcome there will be some relief among markets. We could see a relief rally. Haslinda what are you see in terms of risk tolerance now . What are you advising clients to position . How are you advising clients to position . At this juncture, we are cautious, to be frank. Because the outcome is still unclear. Yes thelsate that polls say it but it will win and the democrats will have a clean sweep. The pulse can get it wrong but lsis time it looks like pol can get a wrong but this time it looks like by the moment. If biden wins we are likely to up grade equities from neutral to overweight. Because we think biden is good for risk assets in that medium to longterm. In the shortterm the markets will worry about higher taxes. But mediumterm we think he is reflationary, to increase taxes but also spending substantially. And that will be good for risk assets. Asequity markets as well perhaps highyield bonds. So we are telling clients wait, watch. At this juncture it is too close tothe finishing line, not take any significant bets at this juncture. Lets have clarity and we will make call after we make get clarity. If it is a Biden Victory and a clean sweep think that will be good for equity markets and risk assets in the mediumterm. Haslinda i want to pose a question of the day to you. Which assets will move most with the Election Results . [laughter] haslinda. Hard one, my guess is it depends on the outcome. If we have a Biden Victory, clean sweep, i think equity markets will do fairly well. Equity markets have been in a holding pattern. They could do fairly well, especially if biden announces a sizable fiscal stimulus. Uncertainty we have been having a lot in the last few months. I think it would be good for risk assets, equities and possibly asian equities, emergingmarket equities. With a Biden Victory and a clean sweep, the u. S. Dollar could typically asian markets, emerging markets do fairly well. Looking at your research, you have one thing tantalizing, markets versus the polls, are we missing something . Did you find out what we might be missing . [laughter] well, you know, i mean, the polls have got it wrong before about the markets have been correcting in the last few weeks. The s p 500 rebounded the last couple of days but in the last few weeks and has been correcting. I think typically when that happens historically, when markets are correcting the way they have since the 12 october, the s p 500 that is, it indicates the incumbent stands a bigger chance of losing the election. So it is more than just about the polls, it is also about the market. We have had four years of trump. His handling of covid has been quite disappointing. That might move the needle in terms of helping biden to walk past the finishing line. To walk across the finishing line. Rishaad narratives we have been able to glean from various people it does seem there is money being taken out of the market that it is waiting on the sidelines. The question is what are those investors waiting for . I think there waiting for clarity. That is a key thing. It is not just about a Biden Victory or a trump victory. As long as we have clarity. Dont have au close contest at we have a clear winner. I think markets will sigh with relief. And markets will rally so the markets are waiting for that. What the markets are worried about which is why money is on the sidelines is you will have a contested elections like we had in 2000 between al gore and torched bush. At that point the markets corrected close to 12 of the s p 500 in a 1. 5 month. Before al gore get in and george bush took over the presidency. I think the markets are worried about the contest, close fight, i think that is what the money is sitting on the sidelines for. Haslinda our bonds at risk matter who ones . Who wins . Because the fed will likely hold off on bond buying . You know i think the fed will get back into action after the elections. It might sit on the sidelines for now. Worriedfed is clearly about covid19 and its impact on the economy. The fed has done so much already. Thanks could have gotten things could have gotten worse if not for the fact that the fed acted earlier. I think the fed will send further messages in the coming weeks that it is ready to provide that backstop, act more aggressively. Encourage u. S. Politicians to launch more stimulus. The fed could do more in terms of qe and cuts. I think that is what is providing some comfort early for markets. Despite that covid19 has surged in many parts of the world especially the u. S. And europe, you have not seen markets collapse because markets have comfort that the fed will be back when necessary. Rishaad all right. Just having a look at gold, pretty steady at the moment. Does that surprise you we have not seen so much of a move as people put money into somewhere safe amongst all this uncertainty . I believe you got a call for gold to be up to 2150 the ounce, this time next year, a 12 gain. Feasible but contingent on uncertainty and people finding golder haven . Youre right. Gold is now taking a breather. It has done very well already. So far this year it is up 26 . It is one of the bestperforming Asset Classes. It has done better than equities and bonds. So im not surprised gold is taking a breather. If there is a biden when any Democratic Party clean sweep for congress, risk on risk assets will do well. In that environment gold could take a bigger breather. But we think the structural authority for gold is still there. Interest rates will stay low at least tilt 2023 for the next five years. Gold is emerging as an asset class. The u. S. Dollar weakens will be beneficial for gold as well. We think gold getting toward 2150 is very possible, not just because of uncertainty but also because you are seeing retail and Institutional Investors starting to increase their holdings of gold. Central banks can print all the money they want, theres no way they can print gold. Is limited of gold the supply of gold is limited and it should help get her the target we have. Bank, we thank you for your insight. Biden and trump making their final push hours to the election , we have been counting down. Trump a run of five allison four stay. Biden in pittsburgh, pennsylvania. In statestrump critical to deciding the outcome of the election which some say is the most important and market history. , the u. S. Economy. You see trump and kenosha, wisconsin there you see trump in kenosha, wisconsin. Rishaad more on elections coming up. Speaking with a university of chicago professor. He says the American Election is much more than a choice between a liberal and a conservative. Ant groups Top Executive gets a warning from chinese regulators about its rapid expansion ahead of a blockbuster ipo. We have the details. This is bloomberg. Haslinda welcome back. Chinese regulators summoned jack ma and and roop executives for a groupeeting ant executives for a rare meeting. The 34 billion dollar offering demand is shooting through the roof. Stephen engle joins us from hong kong. What we know of this meeting, a reflection of greater scrutiny . Absolutely. Regulators in china do not want to see risks popping up in the fragile recovery in the economy, coming from the Financial Services industry. Ant group is a large, diversified Financial Services group. It has online payments. It has lending. It has asset management. Of course it has insurance. That is the other may cornerstone of the ant group which is going to start crating in this worldbeating ipo this thursday, november 5. We do know the main regulatory body, the banking regulator, as well as the securities thelator, the fx regulator, state administration, Foreign Exchange under the peoples bank of china, met or invited lets say, invited jack ma as well as the chairman and ceo of ant group, for what i guess you could call eight talking to. Basically explaining your group is going to be regarded as eight Financial Services group, holding company, a Financial Holding company. And therefore will be subject to the restrictions and regulations that are applied to the banking sector. It will be treated as a bank, not necessarily just a new economy Financial Services or technology company, but a bank. At already we have seen regulators come down with some stricter regulations on ant and others in the letting lending space. Smaller lenders including capital and license requirements, a cap on loan rates, a limit on its use of Asset Backed Securities to find quick consumer loans, and the like. It is a bit of a damage or just a bit of eight dampener a bit of a dampener ahead of the ipo, something to keep an eye on. People familiar at the situation telling us because the announcement from regulators from weibo social media say it was a supervisory interview with jack ma and others, it did not give details. We relied on people familiar with the situation telling bloomberg news. Rishaad steve, we have heard about soaring demand for this ipo. Fear is a sense of fomo, of missing out. On top of that gray market trading suggested huge gains when the stock does, when stock trading does kick off . Thats right. The gray market opened yesterday. People familiar again saying some of the Institutional Investors bid up to 50 higher than the list price of 80 hong kong dollars. They were paying 120 hong kong dollars, that 50 premium. Tomorrow we should see a gray market open up for the retail tranche. Absolutely. Anecdotally we are hearing from brokers they are having a difficult time meeting demand. The retail tranche in shanghai alone looking at exceeding initial supply by 870x. One of the most anticipated ipos ever attracting at least 3 trillion u. S. Dollars in orders for this dual listing in shanghai and hong kong. You know, and it looks as though given the gray market indicators from sources that it could see indeed, i am not predicting, but it could see a pop on day one. Chief north asia correspondent Stephen Engle. Up next we look at top Analyst Recommendations across asias markets. What people like and what they dont. This is bloomberg. Rishaad business headlines now. Paypal falling in extended trading after lowering its fullyear revenue forecast saying growth slowed in the Third Quarter from the first half lit blistering pace. Adding 15 million new accounts in the 15 months to the end of september forecast down from 22 million in the second quarter. It had added 17 70 million new accounts this year and share price up 70 because natalie. Twitter reversing losses in extended trade announcing it is working the co jack dorsey to update success in planning following comments from an independent panel. The committee expressing confidence in current management recommending the structure stay in place. The independent review a set up in cooperation with activist investor elliott management. Apple will begin to unwind its 15 year long relationship with intel next week new Mac Computers featuring inhouse chips. It will host an online event on the 10th on one more thing that will show up max with main processors designed by apple for the first time. Pcle is less than 10 of the market so analysts say the impact on in patel on intel maybe small. Intel chips have been it mainstay for apple since 2006. Virgin galactic says preparations for the first faiths flight from new mexico are first space flight from direct go progressing. The first time into orbit and one pilot his sixth journey. Virgin needs more data to move to the next stage to become a commercial operation. Four Mission Specialists in that cabin plus more details. Haslinda time for morning calls. Markets reporter Sophie Kamaruddin tracking top calls and recommendations. Ahead . Ections, e. M. Debt Sophie Morgan stanley turned bullish on e. M. Credit and currencies and anticipation of a blue sweeps and aro which they say will lead to rising u. S. Yield led by breakevens not real rates. Market conditions which Morgan Stanley says a favorable outcome for e. M. Out outlook. Compared to the 168 we see now. Morgan stanley says a treasury selloff would be a risk to their bolus few, a strategist said this time emerging markets can handle higher yields on the back of stronger u. S. Growth and rising inflation risk. Sophie, while gyrations on oil markets. As usual, supplydemand conundrum. What are people saying about 2021, we see a lift in production by opec plus . . Nnan opec meeting as well sophie i want to highlight a mode by jp morgans level Commodities Research team. They cut their brent price forecast for the Current Quarter to nine dollars a barrel from 41 on a deteriorating balance 39 a barrel. Awaiting clarity from the u. S. Vote for 2021 projections. Reversed mobility a key factor for the u. S. And europe slowing Global Demand for road and jet fuel. Early next year before a strong recovery kicks in and the back half of 2021 on vaccine distributions. Downside risk prevail on this outlook with the market likely to find surplus given libya is ramping up production and j. P. Morgan also considering opec plus may delay increasing production. Rishaad thank you, Sophie Kamaruddin, markets reporter. A quick check on Companies Moving markets in asia pacific. Brambles biggest gain or on asx in sydney. Lifting up their outlook to the upper end of guidance. Samsung according to many reports likely to introduce its galaxy 12 earlier than anticipated. China markets going on the lunch break. It is green across our screens. This is bloomberg. 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Com. Haslinda we are counting down to the rba decision, while expected to cut rates to help the economic recovery. The rba held off policy action last month to allow air for the governments budget. The rba expected to at a shot of stimulus this time around. Looking at where assets are trading, stocks trading higher and the aussie flat, the aussie up 22 from its lows in march. It has been weakening by 5 in recent days, to account for the rba decision expectations it will continue to ease. Rishaad that decision any second now. On a knife edge looking what is likely to happen on the australian dollar. Expectations are so high according to garfield reynolds, editor, he is suggesting they are a must having to do something as well given the whole weight of expectation. Looking at the cash rate to be reduced to 10 basis points. There we have it, that is exactly what we have got. 10 basis points. A 15 basis point cut taking place for the cash rate. The same for the three year yield target. Broadly in line with what people were anticipating. Lets have a look at there has been reaction with regard to the aussie dollar. People have been saying this is largely baked in here. And indeed very little going on with regard to the currency. In the smart and the stock market where it was as well. What about other Market Reaction . In thea pretty much positive for most of asia. We see strong gains in hong kong as well as korea in the lead up to that election. , markets adding to gains to the past two days up to percent in todays. Factored in the rba decision, up at 70 forrba steady 58. 7058. The rba saying it is not expected increase its cash rate for three years. This is also expected, cutting its three or yield target 15 0. 1 . Points 20. 1 to rishaad rba planning to purchase 100 billion australian dollars of australian bonds annexed six months. A cute in the next six months. A qe program. By the same amount as they cut the cash rate to. 1 . At the moment recent data hit harder than anticipated and monetary and fiscal support will be needed for some time, suggesting also the followup from the pandemic is likely to go on longer than had been initially thought. Policy actions they are saying will contribute to a Lower Exchange rate. We are not seeing that at the moment with regard to the aussie dollar. But we have seen weakness of late though at the moment this is against the backdrop of a federal, a very federal or commonwealth opening up again, victoria certainly as well. The reserve bank to buy federal bonds in a 80 20 split and they will not be raising the cash rate until inflation is in that 2 3 range. Dr. B a while to come. We have now interestrate that could be a while to come. Interest rates now in australia at record lows in common with many Central Banks and countries around the world. With that in mind let us get you over to new york. The first word headlines with karina mitchell. Karina the eyes of the world turn to the u. S. On the eve of a historic president ial election in less than 24 hours, polls will have closed and all but six states. Ahead of that boat candidates making lastminute pitches in a referent ahead of the vote candidates making lastminute pitches. President trump and Joe Biden Rally in key swing states with a country gripped by the coronavirus. Allegations of fraud and fake news and strained race relations. In other News Alibaba Group regulatorsmoned by before has Fintech Company listened china and shanghai. No details of the meeting discos. Of the meeting disclosed. Shares said to be trading at a 50 premium in the Hong Kong Gray market with a stock expected to soar on its debut later this week. Car sales in japan hit top gear last month rising at the fastest pace in eight years as the economy recovers from a wrecker contraction. Auto data at one of japans earliest Economic Indicators. They rose 31 from a year earlier partly due to the distortion 12 month ago as a sales tax kicked in. A wider economic expansion is expected to slow toward your and. The number of people known to have died in the strongest storm in the world this year has risen to 16. Devastated, the equivalent of a category five hurricane. Ed is now heading to vietnam. Facilities were in provinces south of manila. Global news 24 hours a day on air and at quicktake by bloomberg. Hkepowered by more than 2700 journalists and analysts in more than 120 countries. I am karina mitchell. This is bloomberg. Recapping rba headlines, it is not expecting to increase cash rates for three years after cutting the cash rate target 15 basis points 20. 1 . Also it is prepared to do more if necessary after announcing a qe program of 100 billion aussie dollars. At plans to purchase 100 billion aussie dollars of bonds of 510 years over six months and will keep the bond program under review. All the moves pretty much boost australias economic recovery. Yes and economic recovery is what they are predicting as well. Gdp growth of 6 to the end of june next year as well. They say unemployment peaking below 8 . We are getting an extended Bond Buying Program, longer maturity than State Government bonds, all in the mix here. A cut in the official cash rate. A big cut and the three or yield target as well. All of that does paint this picture of a central bank which is very dovish. Big moves by the reserve bank of australia. Now back to the top story. The u. S. Election. Our next guest has written widely on separation of power issues and american political institutions. He says the election presents more than a choice between a liberal and conservative candidate. Lets. William howell from the university of Chicago Harris School of public policy. People are calling it the most important general election or president ial election in history or in living memory. Is it . And what is really [indiscernible] joe biden is saying it is for the soul of the nation. Is it that important . I think it is. I would not argue it is the most important election in our nations history but it is in modern history. And it is because it is not just about a presentation of candidates. They clearly differ on a host of issues and that matters. Theres a real sense our democracy is at a precipice. And that with populism rising in our country and racial strife, and rising inequality between rich and poor, and all kinds of attacks on democratic institutions, by the incumbent president , that there is more at stake than policy choices. It is about the health and wellbeing of our democracy very much hangs in the balance. Rishaad also about americas place in the world here. Perhaps unilateral is him versus multilateralism . In the last four years we have seen and administration which is really not going to its allies. And gone to his enemies at times as well. Using allies in the multilateral sense. That is exactly right. We have withdrawn from international treaties. We have taken a more aggressive posture toward allies. And we have courted and flirted with longstanding photos fo es for the last four years. It is not clear what those positions are in the service of some larger objective . What grand strategy played out . Rather, this is about Us Withdrawing from the world over the last several years. And taking a more aggressive unilateral posture as you have set. We will see. This is a case where there clearly are policy differences, Foreign Policy differences, between the two choices put before us. But the relevance of the democratic stakes player not just at home but also brought. Josh also abroad. This beacon of democracy of the United States flagging has real implications for our ability to meet and relations with the rest of the world. Rishaad way and you anticipate we will and see a result which will reflect what happened in 2016, indicative of a polarized nation . I think we are a polarized nation. Get one. Re, if we i think the only candidate that has a chance of winning big here is biden. If the polls have any semblance of truth. Even in a world where he loves out trump and electoral where he blows out trump in the Electoral College, there still will be 45 of the country and they disagreed vehemently. We are a polarized country. There is no getting around that. Haslinda help us understand the election dynamics. Have voters been better off . Trump we seent wages higher at home Prices Higher and the Stock Marketing better. And even though unemployment as rising it is Getting Better and swing states. Is the point of comparison rising in the last several months . Or the point of comparison rising since march . When we have the followup of the economy . Do we want to play out the last 3. 5 years, in which case the trendlines are linear projection of what we observed under obama. There are Economic Indicators that are strong. No small part trump was upset about the pandemic interrupting what was going to be exhibit a for his case for reelection, that the hit the pandemic has had on our to domestic economy has been profound. And he sees that is taking away his guest argument for reelection. Have a legal action shape this election . [laughter] it is a good question. A lot depends on the clarity of the results we observe tomorrow. Blowout, if it is a then, and there is no room for trump to push back, that is one sort of scenario. Most likely though, it is going to be pretty close. And it a world in which it is pretty close it will get down to a handful of states. And trump has been laying the groundwork over the last several months to push back against early voting to raise questions about the efficacy of our elections, to suggest all kinds of fraud, all evidence to the contrary. But raising all kinds of questions about it. I think are concerned he might prematurely declare victory, that he would launch a host of legal challenges in a number of key states. Chance 24 hours from that we will know who the next president is. Theres a larger chance though that this is going to play out for three or five days. If it goes longer is going to be because there are legal challenges and play. But the democrats and republican lawyers are lining up in droves, ready to challenge all sorts of aspects about this election. Haslinda william howell, the university of chicago for your insights today. The rba decision. Go ahead. What the rba is saying at the moment the size of the initial Government Bond buys are 2 billion australian but dollars. Two been a strong dollars. Aussie bond futures have jumped higher, the rba did make the cut in the cash rate. Interest rates at record lows, 10 basis points. The cut was 15 basis points. Also employment as a National Priority and the size of its Bond Buying Program dictated by the outlook for jobs and inflation. At the moment headline suggesting they will not be doing anything with Interest Rates until inflation is at 2 or 3 . Also a three or window with regard to that. Seeing thed we are central bank with its new Bond Buying Program. To ensure a rapid trying to enter a rapid recovery across an economy that is now free of lockdowns. Haslinda the aussie down. 2 on the back of the rba decision. Still to come on the show, a shift in global currency power. White ray dalio says that you want will be a reserve currency it faster than expected. Dont miss that exclusive. This is bloomberg. Haslinda navigating washingtons relationship with beijing will be a crucial task for whoever wins that u. S. Potential test president ial race as relations between two sides continue to worsen. BridgeWater Associates found it ray dalio on how the outcome could affect the direction of u. S. China ties. I think that, well, so many thoughts. [laughter] powerk there is a rising dealing with a power that is having problems. Has happened many times in history. Over the last 500 year that is happened 16 times. 12 of those times ended up in war. I am not saying we are going to go and to war and god help us if we do because it would be the worst where we have ever had. But there is that element. For example, the United States is in the pacific. Is in that region as a result of world war ii. Then there are territorial issues such as that which exist with taiwan and so on. And each can view the other as a threat, or a cooperation. If itould say that requires one to realize that these conflicts could be terrible beyond imaginable. The capacity to do each other harm in any one of these dimensions. So when we come into the new Biden Administration, you are still going to have that. And then you will have Different Things to argue about. The Biden Administration is more , has a different set of priorities. For example, the human rights issue is a big priority for the democrats. In the case of china, sovereignty is there important think. They do not want, the human rights issue, they view it as an internal sovereign issue. So i think the big picture is, youre going to have the same setting. You are going to. Have the same issues. Now, will you have a more reasonable approach . I cannot say. But i think the same fundamentals of the rising power challenging the existing power in the ways we have described and issues will remain. That was ridge Water Associates found it ray dalio. A check on the markets it is a risk on day with asia rising fourth second day. India joining in the rally, currently up by. 5 . For sensex. The nfte also up. Reliance industries is under pressure extending losses for the second day. Investors lockedin gains punishing the stocks rally this year after the Company Reported tepid earnings. Now indexes across india are in the money, in line with the rest of the region. Nfte bank index currently leading gains, up almost 2 now. Still to come, inside tiktok deal, users will continue to be able to enjoy it songs from top artists including beyonce. This is bloomberg. Rishaad you are back with Bloomberg Markets asia. Tiktok is cementing its importance in the Music Industry to a deal with sony. The deal will ensure users continue to enjoy songs with thousands of artists including beyonce. Better compensation for musicians. Our asia tech reporter has the story here. Ultimately, give us an idea of the nuts and bolts of this deal and on top of it how does it fit into this narrative of tiktok being kicked out of the u. S. For being labeled as an entirely u. S. Centric company . What happened is tiktok renewed it still a sony music, which means its users renewed its deal with sony music which means its users, 100 million and the u. S. Alone, can continue using songs from sony superstars like beyonce in their short video clips. Thehat will definitely help remaining users in its ecosystem. Thinke Music Industry, i it is a sign that tiktok is more and more becoming a major distributing and marketing platform for big record labels. Because currently has deals with all of the big three labels. Toartists are coming up distribute their latest singles and albums. Mentioned, the timing is interesting for tiktok. Because in the u. S. It is fighting in the court against a potential ban of the app. Meanwhile it is trying to negotiate a deal with u. S. Buyers. Anything could happen post the election. As to whether trump will give a nod or block the deal. So that means from the business perspective, things are going as usual for tiktok. Haslinda both sides have been working on this contract for months now. Is there any clarity, any details of how much this contract is worth . Right. The two parties did not disclose the transactions, how much money involved. But we do note that tiktok is going to pay sony a much higher amount of money than the previous deal, according to a person familiar with the story. You mentioned, the discussion has been going on for months. It has been a complicated matter because labels and the Music Industry players have in the past complaint that tiktok gave them too little money, depending on how big the platform is making money from advertisers. So now the artists and label companies to be able to get a bigger share of the money tiktok makes. Force it that will enforce a better relationship in the future in the between the two parties. Rishaad lets have a quick look at the latest is this flash headlines. Soaringtesla rival neo after delivering 2000 carson october,set cars in its market value 44 billion tops traditional carmakers such as ford and gm. Tesla by comparison currently valued at 376 million. China wants 50 of new car sales to be new energy powered by 2025. Softbanks vision ceo has retired. Departure has been confirmed by the company with the chief of staff. Rajiv misra taking on his duties. A number of executive resignations this year as well as losses and some highprofile investments. Of victimsn families of the boeing 737 max crash conquer revisions to proposed training for the grounded plane. Associationt pilots says the faa checklist is come line clumsy at best and should be streamlined. Families of the People Killed in the ethiopian disaster go further seeking design changes and the publication of a detailed training program. Off to grand Rapids Michigan now. Haslinda that is where the u. S. Vice president mike pence is campaigning. To the u. S. Mes down election, said to be the most important in u. S. History. Mike pence in grand rapids, michigan, just hours to go. Biden making a final push for the campaign as well. Both sides trying to drum up support. When you take a look at polls, biden is leading. When you look at swing states it is still very tight. Rishaad their ego. There we go. After the Electoral College votes in swing states, we have been hearing from joe biden campaigning in pennsylvania. We also heard from donald trump in kenosha, wisconsin. The polls open in the u. S. In a few hours. Full coverage from bloomberg. Daybreak middle east. Hope it doesnt cost too much. I hope my insurance pays for it. Can you tell me how much this will be . [cashier] 67. Sorry. Wait, have you heard about goodrx . Goodrx finds free coupons to help you save up to 80 on your prescriptions. Wow, i had no idea. [announcer] goodrx, stop paying too much for your prescriptions. Our top stories this morning, the u. S. Election is in the home stretch as candidates appeal for support. The vote will shape politics at home and abroad for years to come. Iran raises the stakes with washington. Lawmakers threatened to end Nuclear Inspections if oil and banking sanctions are not lifted. Oil gives