The opening numbers, 3071. Ore, 3071. I will talk more about the open there in singapore. That being said, with the guide, is talking parliament. You look at the balance, do we go up or down from here . It is balanced at the moment. , he we dollar is on the way down. That is really standing out. Not reallyelse is much conviction. Have a look at the bond markets. The rally continues. Massive moves down in yields over in europe. We sought it down about 2. 3 percent. A little higher on the 10 year yield. There is your move. Were back below. 1 here. On the japanese 10 year bond, and in 10 years time we will get best 10 minutes time we will see if it will help support the market and anchor this. Look at the equity markets. We talked about singapore at the moment. Taiwan is also opening up a fifth of 1 to the upside. Said, not a lot of conviction. Just wrap things up with a look at the touchy here hitachi here. The deals. Do long story short, they have a project in south africa. There is a disagreement over who pays who how much and mitsubishi now demanding double the amount that was previously expected. 6. 8 billion now. Were going to go from singapore over to sydney. Haidi lun is there with the latest first word headlines. The senate has confirmed Jeff Sessions as attorney general after more than a day of contentious debate. The 5247 vote in the republicancontrolled chamber falls 30 straight hours of debate. Say the senator democrats say he was too close to dump truck. Sessions would put enforcing the law above politics. British Prime Minister teresa may is a step closer to triggering brexit after the lower house of parliament gave approval to begin the formal process of leaving the eu approved. Lawmakers will the lagos to the house of lords for the final vote expected on march 7 grade intense competition squeezes profit at singapores biggest phone company. Profit narrowing to 456 million u. S. Dollars down from 472 million. Higher costs for australian content and investments to build out. Global news 24 hours a day powered by more than 2600 in morests and analysts than 120 countries. Im haidi lun. This is bloomberg. Rishaad boeing is said to be the frontrunner as Singapore Airlines closes in on an order as it least 35 aircraft takes on rivals from china and the middle east. Our correspondent joins us now. A pretty big deal. The fleet has been aging, so you can expect it. Yes. Also because of the competition, it needs to do this. The deal was 14 billion. Were talking about a huge deal. Matterfamiliar with the say theyre looking at two different models. Jets are the long range set to debut at the end of the decade. The 78710. This is the most expensive dreamliner yet. Than 300st more million. You said that earlier, a way to win back business. Firstclass customers in particular from the like of emirates. Singapore air has a ways tried to be a trailblazer. It was among the first to rollout the for lee flat back in firstclass the fully flat back in firstclass. Was the first in the why in the world to fly the a3 80 jumbo. It is now hoping to win back fans and loyal customers with its latest fleet intentions. This is a critical order from Singapore Airlines. Reticle for boeing as well. Why . Saidspondent boeing has it will cut output of its current bottle. Understandably, it has been trying to secure sales of its new aircraft. If and when Singapore Air signs the dotted line, it should give boeing the room it needs. Even those who are trying to be part of it are set to debut is made in china just this year. It is a narrowbody c 199 in the making. It has a lot of problems with it. Was scheduled to take to the sky back in 2015. That got pushed back several times. Set to faceirbus more competition. It is a battleground. Rishaad thank you very much. May have gotten the yuan into its sweet spot, boosting the countrys competitiveness. New claims from washington about deliberate undervaluation. K, or designk luc here . How did policymakers pull this off . Correspondent a bit of both, probably. The honeymoon period you talked about is pretty well illustrated by this chart. Since the beginning of this year, you will see that your wan versus the bulk of the land the yuan that has strengthened almost as much as it has weakened. Competitiveness for china and exports to countries that use that basket of currencies. We are going to get export numbers out tomorrow. The other thing it does is make it much more difficult for the Trump Administration to follow through on threats to label china a currency manipulator, saying china is undervaluing its currency. Articulately when we have seen it versus the dollar so far this year, up around 1. 4 . There has been something of a lack of clarity from the Trump Administration on this policy, as on many. ,e have heard from the nominee the u. S. Ambassador to china, saying trump was actually surprised at the strength of the yuan. Current honeymoon period again is going to make it difficult for that label. We are going to get some more clarity in april when the u. S. Treasury publishes its Foreign Exchange reserve report. That is when we should get more details on where they stand on this. Rishaad the question is, how long does this honeymoon period actually last . That will be key here. Correspondent absolutely. We have heard from the likes of a group who says it will be a nearterm honeymoon. They expect the u. S. Dollar to continue to weaken until there is more clarity around any potential fiscal stimulus in the u. S. They say the fact that demand that you and could see a rally could play an Important Role in that. We know that you and yuan fell last quarter. It has seen that pick up so far this year. Other thing to bear in mind is there is a gathering of the legislature here in china in march. It is an important annual event and is unlikely policymakers ofl want to see a lack volatility. Expect them to stabilize the inn until that meeting march. Still ahead, efforts for hong kong governments to stave offs while they a buying frenzy. Senior investors come a strategists looking at what is really making waves on the markets and beyond. This is bloomberg. Rishaad a quick check of the latest headlines. We have been told wells fargo may withhold bonuses for top executives, including the chief executive tim sloan. They were slammed by last years fake account scandal, which bonuses inliminating january. For opening new customer accounts without permission. In a 10k filing, the company says it has been asked for information and is unable to billions inme transactions last year. Saying the Danish Company is interested in buying 1 of a chinese company. Fine 20 on a chinese company. Do r that one quickly 1. 2 billion is based on it owns 60 of thing thousand rivaluber tsingtaos brewer. Advisingguest investors. He is with me now. You are thinking first of all . Schematic is about if it. It e advising about it. Rishaad if i remember it is about that reflation pivot as well. Wayhis year we are all the to equities. There is potential uncertainty arising from Donald Trumps rhetoric and policies. As we have seen over the last two weeks. I think wee point is are in a bit of stasis at the moment. It is a most like we are waiting for the next thing to come. We are waiting for something on the fiscal policy, something on stimulus. Arehat is the reason why we maintaining some exposure with bonds. They are doing quite ok. Also bond yield has been dropping. Weh the Bond Exposure here are talking about has to be different from the year before. This year, we are advocating investors to be exposed to floatingrate bonds, and also to highyield ors, in hi highyielders. Not so much in sovereigns. That is underway to. Underway did. Yields heading down to 2 . That is another story altogether. Tell me something. What do you envisage when it comes to u. S. Stocks . We have seen financials go up so much recently. They are pricing in so much. Withdrawal of regulation, doddfrank, etc. In fact, when we were formulating our view, we like the financials. We cannot push the trade at this right in time. That supportwe see will be around 2. 2. For that moment in time, perhaps to look at financial stocks. We have talked u. S. The danger there is if we get a move in the dollar in the wrong direction. Again, this is like a momentum there. Tell me about it. The weak dollar is helping equities. Weak. Not that week first toto win went trump first won the elections. We have to take into consideration chinese domestic consumption. A weaker dollar will be for equities. Because china has the internal transition as well as facing protectionism, the need we are advocating plants to be exposed to new stocks in china. Rishaad what else is in the emerging market universe . We like india and indonesia. We are very wary of protectionism. Orse are more domestic insulated from external factors. Rishaad the dollar can play havoc here. There has been a change in sentiment with emerging market currencies. Perhaps they will do all right, especially indonesia and malaysia as well. We do notice that the pickup for growth is happening. We do believe that in terms of variation, it is cheaper than the u. S. These factors are helping em equities. Rishaad lets talk a bit about gold now. Gold has been ratcheting slowly because people are seeking that haven, arent they . Guest they are. Rishaad do you have a view on that . Guest we are neutral on gold. Technically, it seems that it have 1300. Tially we are getting little shoots everywhere. Even there, there are some signs. Are we out of the woods . Tough to say, but we are having a change in direction. Everythingeally bet on the reflation story. Last year we were defensive, this year we are pivoting one foot in the ground, one but to the other. Approach inanced equity response, we do believe that will do ok this year. Europe for equities, we are neutral. Euro, the kearney itself the currency itself, we leave it can have some downside this year, given the fact qe is still down. Etting back into the zone rishaad we shall see. Thank you very much. Pretty much unchanged. Is because we have had such little action. 2 10 of 1 move. That is the most in two weeks, if you believe it. The british Prime Minister is a step closer to triggering exit after clearing the latest parliamentary hurdle. Rishaad the u. K. Is one step closer to leaving the European Union after parliament gave approval for Prime Minister theresa may to formally trigger the process. What has happened, and indeed, where do we go next . Correspondent there is a lot going on around this brexit vote. The house of commons has approved a draft brexit law, without insisting on passing amendments to alter it. Next, it goes to the house of lords, the unelected house of lords. They also have to vote to approve it. Next, if that happens, theresa may will be able to go ahead and sugar article 50 of the lisbon treaty. That is when the whole process gets underway. Minister, david jones, had to make some concessions. He promised lawmakers of vote on the final deal of the eu to stave off a revolt in his own parties among the conservatives. On a lighter note, the Scottish National partys reprimanded for singing the eu anthem after the boat. After the vote. Rishaad does this week and or strengthen Prime Minister mays hand with the European Union . Guest there has been so much backandforth. This is definitely both parties, the conservative and labor parties. She gave an interview and said i dont feel i have a we. She points out the eu values the trade relations with the u. K. And other parts of their strategic partnership, alluding to security relationships. Supporters point out the eu needs the u. K. As much as the u. K. Needs the eu. Now that Boris Johnson is the foreign secretary, he has made that point loud and long. May says she is making a deal that works for everybody. The u. K. Labor party led by Jeremy Corbyn is in a bit of a crisis itself. Whenst a key ally today the standing cabinet business along with 17gned other front ventures front b enchers. Jeremy corbyn has been compelled but all this to say it is not true, im not residing. You wonder at what point dost thou protest too loudly . A lot of political reverberations in the u. K. Rishaad the relationship with europe, how deep is it an rest of these trade ties . Correspondent they are the uks biggest trading partner. You can see the blue block that shows you the u. K. Trade is about that is reliant. They rely on 50 of trade. In other words, this is very important. , getting things for the bank of england, inflation is rising. Again, the vote is moving ahead and we will be watching very closely on bloomberg television. Rishaad thank you. , rewards from the iron ore rally. Proposals the miners should take a few more risks. Rishaad shanghai and hong kong are just about to open. No momentumy had out of new york, where the Dow Jones Industrial is about 2 10 of 1 gained against this backdrop of another session in europe which did very little in europe. , we are just waiting for something on fiscal stimulus. We are waiting for something in terms of reflation. At least, that is the sense out there. Lets find out what is happening at the start of the trading day. Here is david england. Correspondent we have to talk about the banks. There is an argument to be made that markets have been overshooting when it comes to the banks and reflation. Have a look at the hang seng index. Nothing out of china. Comes topecial when it the six income the fixed income from the pboc. News that carlsberg made be looking may be looking perhaps to buy a 20 stake in a Company Currently owned by asahi. Markets looking to maybe adjusted to that. Let me just check. 11 month high for the fourth straight day. Philippines. This is the other one im having trouble with. Rates are coming up later. The reason we mentioned that, were not expecting anything as far as change. Lets get into my terminal. Have a look at this chart. Essentially what it is saying is that we are likely going to see the Banco Central adjust policy north of 50 basis points this year. The reason that is important is because if you look at where reflation has come from, there is a possibility it may actually turn negative. 50 basis points basically takes us here, 3. 5 here. Back to the here and now. Split the board and have a look quickly here at what else we are following across the region. In terms of a lead, nothing much equity wise. Looking at currency and on markets, that is the story. Massive drop in bond yields over europe. Euro still below 107. Wrap things up with a look at the kiwi dollar. Rates will remain lower for longer. View that whens you look at risk, it is equally valid to the upside or downside. Rishaad thank you very much. But to the first word news courtesy of haidi lun. President trump says his authority to limit immigration should not be challenged in the courts. Law enforcement officers, he argued he has the power to stop the entry of any fortis. Judges any foreigners. Judges may determine whether to lift the temporary ban. The losing side is almost certain to appeal to the supreme court. Chinas war on that debt, smaller you smaller users have fueled growth. This is raising concern that weaker lenders could face cash crunches and missed payments. It is making things very painful for small banks. 1. 75 for a prolonged period. International outlook remains uncertain and that is restricting the Central Banks options to change policy accordingly. New zealands economy is growing at an annual clip of more than 3 . Headline inflation has returned. It is expected to return to the midpoint of the target then to gradually. Longerterm Inflation Expectations remain well anchored at around 2 . Monetary policy will remain a accommodative for a considerable period. Numerous uncertainties remain, particularly in respect to the International Outlook, and policy may need to adjust accordingly. Takataondent shares in are down in tokyo after reports they will have a charge of up to 1 billion this year. This is the result of the companys settlement with the u. S. Department of justice. They had forecast a profit for the year, but discharge could now leave that to being revised down to a loss. Global news 24 hours a day powered by more than 2600 journalists and analysts in more than 120 countries. Im haidi lun. This is bloomberg. Investors are rewarded with a dividend that is much higher than expected. With by back 500 million of shares after its first gain in profits since 2013. The worlds second worlds second biggest miner after province came at the 5 billion mark as iron ore prices surged 81 . David is making a case here about perhaps them looking at taking over the american aluminium producer all, producer alcoa. I think you are saying he should be a bit more imaginative. He gave an answer about consolidation in the industry and beyond. Correspondent the position has no change. It is all about build and small by. The threshold is very high. The alignment has to be the right one to ensure. The last big aluminium deal was not quite a success. Guest no. It was pretty much regarded as the company killer back in 2007. A 38 billion deal for that canadian aluminium producer just before the Global Financial crisis left rio with far too much debt. There was a big investment from the Chinese Government to aluminium prices never really recovered. Since then, they have never regained the price at which that deal was done. Too many chinese aluminium sellers, too much aluminium on the market. You might say you want to avoid this. I think alcoa has good qualities that we should Pay Attention to. Rishaad that brings us nicely to what those qualities are. Guest sure. I think the think you have to aluminiumnd is that problems have not changed, but alcoa has. Upstreams very much an inducer of some of the Raw Materials in the aluminium industry. It produces less aluminium industry alan you metal band rio tinto. You can then transform that and heated and apply electricity to make aluminium metal. Aluminium metal is really having a bad time right now. Of rio t