Covid vaccine trial has been put on hold after a patient suffered a serious reaction. Australian corporate earnings set for a tough recovery after their worst slump. Will be asking about the challenges ahead including tensions with china. Shery lets get a quick check of how markets are trading. We are seeing u. S. Futures again under pressure. Down 7 10 of 1 . This as we continue to hear more reservations coming from these vaccine makers. We heard from astrazeneca after the close. We already had some skepticism over what happened to those vaccine approvals. We also had the text selloff accelerating. We saw the s p 500 sinking to a four week low. Not to mention ongoing u. S. China tensions. Every sector on the s p 500, 11 of them were down, led by tack and energy. We had the nasdaq composite losing more than 4 during the regular session. Take a look at some of the biggest decliners. We have tesla sinking almost 20 . This after shares were not added to the s p 500. A had news that rival gm took 2 billion equity stake in nikola. 6 ,e losing more than wiping out more than 120 billion in market value on tuesday. These tech champions of the u. S. Equity valley equity rally under pressure. Wti continuing to fall toward that 36 a barrel level. We have already seen the biggest fall in about five months. Now trading at the lowest in 14 weeks. Lets see how things are shaping up with asian markets. Sophie stocks in asia are said to decline. Panic may be unlikely as markets assess the developments on the u. S. China risk. Moreas markets turn conscious. Futures in sydney off by more than 1 . In korea, where keeping an eye on samsung. A local media reporting they will hold shipping supplies to huawei. Some profit taking may be on the cards. Footing the board, on tuesday, tech was a drag in hong kong and china with shao me losing 7 . Star board extending a five day decline and made a rotation into cyclical and value placed in out of the years top performers. Financials were a boost for the hang seng and the csi 300. Cheap chinese banking stocks have been a value trap for years. E strategist are saying some strategist staying upbeat. The csi 300 trading at a similar discount that we saw in early 2015. Market breadth staying elevated. Increasing exposure on Growth Prospects on the mainland with stakes in icbc and alibaba. Ecommerce opportunities in china will continue to be attractive with more players planning share sales in hong kong. Shery staying positive on the digital and ecommerce space amid the latest pullback. Lets bring in the president of pence wealth management. Take a look at the gtv chart. We are seeing the nasdaq 100 really around the 50 Day Moving Average levels. If it falls below, what could it mean as we continue to see the tech selloff accelerating . Are we taking the froth out of the markets are this a more serious selloff or is this a more serious selloff . I think we are taking the froth out of the market. The market went up so fast. This is a welcome correction that we think is going to be shortlived. Shery does that mean that investors should be taking this chance to go into these stocks, especially those companies that have strong Balance Sheets and may act as a safe haven given the uncertainty out there . Absolutely. Tohink investors need average in. This could be we do not know if this is the bottom. There could be more volatility. If you do not have exposure, this is a good time if you want to have a 5 allocation going with a 1 , a 2 , these valuations, the market and especially the nasdaq is the only place in town. We have very low Interest Rates everywhere else. We have been looking for this for a while. Much of the that so u. S. Exceptionalism story has ,een driven by the heavyweight you should beink looking outside the u. S. Because valuations are so much lower than us. We do think a good justification there. You cannot abandon the u. S. The u. S. Is where the growth is. It would be prudent to look for some lower pe evaluations outside the u. S. For now. Haidi in particular, china. Where do you see the opportunities and is it worth going into that market given the enormous amount of uncertainty we are going to get possibly beyond even november . Isla we think that china undervalued compared to the u. S. We think that covid did not hit them as hard as us. Ecommercey have 25 where the u. S. Only has 16 . Is itnk that china is probably the only area that is going to have a positive gdp by the end of the year because it did not go down as much. We do think it is a good place even though there is a lot of uncertainty with the political arena. We do still think this is a good place to add some funds. Shery are there any sectors you should avoid . We consider we continue to see the tech tensions. At the same time, we are getting more news we could even see the cotton and textile industry under pressure as well. Laila you have to be selective of what area to go into. We still Like Technology and internet in china. It is still dominant. It is similar to the u. S. The way that covid is, it could last a little longer. You need to be in areas you can count. Haidi really appreciate your time with us. Us. A pence joining lets get a check of the first word headlines. Study of the Coronavirus Vaccine has been put on trial put on hold. The trial was paused after a suspected adverse reaction in per dissipate in the u. K. The astrazeneca vaccine is being developed with Oxford University and is seen as a frontrunner for any potential treatment for covid 19. Mitch mcconnell is hoping for a vote on the latest u. S. Stimulus package as early as this week. The republican proposal is expected to cost between 500 and 700 billion. The democrats are looking for at least three times that. Nancy pelosi told bloomberg the cylinder down packages nowhere near enough. What they have is so meager that it insults the intelligence of the american people. It does not solve the problem. Again, we know that we have to compromise. We know we have to negotiate in order to region agreement. We all want an agreement. Make no mistake about that. Get real, mitch mcconnell. Karina in other news, up to half a Million People in california have been affected by power cuts as heat waves and power cuts affect the state. Portland General Electric have to some off power customers in oregon. China has made its first, its about an australian journalist held in china saying the journalist is suspected of carrying out criminal activities. The journalist worked as an anchor. Month. Detained last the allegations are among the most serious ever brought against a foreign journalist in china. Global news, 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. Im karina mitchell. This is bloomberg. We are going to get more on the tensions between australia and china later on in the show. Us. Fferies analyst joins plus, we will be speaking with one of the worlds top experts in Global Health governors about the price the world pays when foreign interest drives the vaccine. This is bloomberg. Haidi the Trump Administration has banned imports from three companies in china over beijings alleged repression of uighur muslims. Tom mackenzie joins us from beijing with the details. Wireless in this action out of the u. S. . It follows the drumbeat of pressures on china. Tom that is right. These are measures put in place by the u. S. Customs and border protection, which is using a law and a set of measures that target forced labor in supply chains to focus on these three companies. One company is involved in the reduction of garments. The other two are building and producing hair products. Three companies in total, but there will be an additional six that will be added to the list by the end of the year. Again, according to officials in the United States. The reason is they are concerned about allegations of forced labor in the region. And also, more broadly, the u. S. And others have claims china has rounded up at least a million muslims and detained them in detention camps. China calls them reeducation camps. It is tied. To the human rights abuses the u. S. , the United Nations and others have been talking about for some time. Theerms of context within sector, the cotton producing world, the region produces 80 of chinas cotton. The United States imports 30 of its garments from china. There is a view any the trumpet administration that you get that and endinguced there up in the supply chain and garments the end up in the night states. The United States. Say, it does ratchet up the tension and potentially some broad implications for the textile industry globally. Shery we are continuing to see the pressure in the u. S. On bytedance and we chat. There is a new study that found that tiktok and we chat do sensor content beyond china content beyond china. Tiktok,n it comes to they found according to the study, which they described as being sophisticated, often suppressed certain hashtags and words and language around for example, political movements, gender, Sexual Orientation and religion in certain countries. They also point to an example of criticism of russian president Vladimir Putin being censored in russia. When it comes to we chat, this study found the app sensors content, particularly they said content around prodemocracy activists. Done re studies around that National Security law in hong kong being censored on we chat. Other reports by the yard times has found we chat is used by chinese officials to hound dissidents overseas. All of this will add fuel to the fire within the trumpet administration in terms of their push the Trump Administration. Tiktok and bytedance are in negotiations with Companies Like microsoft and oracle to see if they can spin off the app. It is likely tad ammunition to the trump likely to add ammunition to the Trump Administration. Coanchor, tomkets mackenzie, in beijing. Lets turn to singapore. Assets surpassing the home market of singapore for the first time ever. Chinese holdings rose to 29 of assets compared with 24 for singapore. Our chief International Correspondent for Southeast Asia spoke to the cio. China has the largest part of our portfolio. Teams are very domestic market oriented and we think will continue to be a strong theme for us. The point you made about the alibaba swap, that is a nonissue. It is basically, we had most of our shares for the hong kong listing and have divided them between hong kong and the u. S. Influence anything you are talking about. [indiscernible] consumption,l around fintech are all teams we like and we can be positive about them. How do you assess the risk in hong kong with the National Security law and greater security of hong kong greater scrutiny of hong kong by beijing . Hong kong is going through its own challenges. The investments are not hong kong centric. Our investments are focused on china. The significant market that china is. The growth and consumption, the growth in the economy. You are seeing it is the only [indiscernible] particularly in the areas we are focused on in china. One of the themes that came through is that Southeast Asia could be muted. What will that mean for temasek . Will that mean fewer Investment Opportunities . As you know, we are investing globally across all markets. Southeast asia is an area we think is an attractive estimation partly because of the rapid increase in digitization as far as the economy, the use of the internet across various business as. It is not a traditional ecommerce and gaming. We are seeing opportunities in Digital Health and financial services. An area we are looking at very closely. [indiscernible] you are encouraged by opportunities in the region. Outside of singapore, indonesia, vietnam, two very active economies. We published this report with google on the Southeast Asia economy. We highlight these two as having the largest potential markets in the internet economy. Those are the two markets accordingly were received a maximum opportunities. There could be other areas like india, thailand etc. sidi that was temaseks chief investment strategist. Concerned beijing is is being held for National Security. This is bloomberg. Haidi who have some breaking numbers when it comes to case numbers for the coronavirus coming out of pretoria state, the australian epicenter of victoire you stay, the australian epicenter. Deaths in11 covid19 24 hours. We see the bulk of those deaths in the past few weeks being linked to aged care facilities. Theas been maintained under 100 level. We know that currently, the roadmap to a full listing of the lockdown situation in victoria requires less than five daily cases and a low level of Community Transmission over 14 days. Lets get to our top story. China has released details of everyday over the detention of a Chinese Television anchor. She has been held over the suspicion of endangering chinese National Security. This seems symptomatic of worsening relationship between china and australia. That on the face of it is quite vague. It is. What we know is a very small amount. That is something at least because she was detained in august the 14th. The news of the detention only broke last week. Chinas Foreign Ministry did speak to the media yesterday and said she is expected is suspected to have carried out activities endangering chinas National Security. This is one of the most serious allegations ever brought to a foreign journalist in china. Newscaster for the state tv. The allegation gives them power to hold her from months without charge and prevent her from having access to a lawyer. The Foreign Ministry says the case is being followed according to the law and china does welcome foreign journalist and the country is still committed to opening up. Shery we have seen this week, the last two journalists working for australian Media Outlets leaving the country being wanted for questioning for chinese authorities. What is the story . , one ino journalists beijing and mike smith was in shanghai. Each got a knock on the door at 12 30 in the morning last week with uniformed officers standing outside telling them they were wanted for questioning and they were forbidden leaving the country. And attributed take place an interview did take place while under consulate protection. Mike smith said the interview was benign and polite. After five days of negotiations, both were allowed to leave china and the arrived in australia yesterday. It is the first time in nearly 50 years australian Media Outlets have had no accredited journalist working in china. This is all happening against the backdrop of declining relations, which dates back to the banning of huawei from buildout. S 5g more recently, calls for an inquiry into the origins of the coronavirus. Be backth, was glad to home after day and because this incident political. Shery paul allen in sydney. Lets get a quick check of the latest business flash headlines. Tesla shares have their worst day since the company was listed 10 years ago. The plunge followed the decision by the s p 500 not to include tesla on the index and the completion of the companys 5 billion share sale. 500 . Mpany is still up teslas fortune was not helped by dm taking a 2 billion stake in its arrival, nicola. Rival, nicola. Gm will start production on the First Electric truck by the end of 2022. Apple is set to hold an online event next tuesday, telling customers only that time flies. While that may indicate it is about a new apple watch, some analysts think the new iphone could be made public. The company had said earlier the new handset will not be released until october because of supply chain issues with the pandemic. Here is a quick check of how markets are looking across asia. We are seeing u. S. Futures under pressure, down 7 10 of 1 . Does as we saw the u. S. Stock continuing after the long weekend with the s p 500 sinking to a four week long we low. Do watch out for the nasdaq 100 tomorrow because it is getting to the 50 Day Moving Average. We also saw the volatility on the nasdaq 100. Willa sign the tech abate. Up next, the bank of thailand governor is pointing to a bigger role for the government in stimulating the economy going forward. Are exclusive interview just ahead. This is bloomberg. Our exclusive interview just ahead shared this is bloomberg. Thailand public debt restriction should be eased to allow the government to spend more. That is according to the bank of thailand governor who has been looking at options to prop up the economy at a time when Interest Rates are at an alltime low. The policy rate is quite low, historic low. If you look at the liquidity from the macro perspective, we believe that is ample liquidity. The challenge now as i have mentioned is moving away from liquidity problems to insolvency problems and the combination of policy. Military policies, financial policies, financial institutional policies. It is fair to say that for doneear, the bot is for rate cutting . Know, we keep our policies on the table. By lowering the policy rate alone, with the transmission mechanisms not working in normal times because the credit costs have come up substantially, it will not pass through doors that are in need of financial assistance. By looking at some forms of the last two policies [indiscernible] we provide funding at a very low rate to the bank so the bank can lend to the snb. Se policies have the rate can be more appropriate. Gains 4. 5 he ver