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tv   Bloomberg Daybreak Australia  Bloomberg  July 20, 2021 6:00pm-7:00pm EDT

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>> a very good morning and welcome to debris ghost really appeared -- welcome to us -- welcome to daybreak australia. >> the top stories this hour. driving wall street to its biggest event since march with cyclicals and small caps leading gains. >> the first lockdown -- the
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postal account hangover continues for netflix. shery: jeff bezos calls it his best day ever. we origin's first ever human spaceflight is a success. we will be live on the ground in west texas. this is the picture across wall street. this after we saw those gains on the s&p 500 reversing from those declines and selloff we saw in the previous session. we have those cyclicals leading the gains. it was all of the energy stocks leading the gains. staples and utilities underperforming. the 10 year yield above the 1.2 percent with treasuries reversing course and with the equity gains, we sell wti -- we saw wti getting ground and rebounding from the eight week low. a little bit of pressure in the asian session. it has all been about those automakers as well given we are seeing a little more optimism about the semi conductor space
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coming from the biden administration. haidi: this has been such a huge story when it comes to tech, autos and more broadly across this part of the world when you take a look at the market performance and economic trajectory for places like south korea and taiwan, will be interesting because a lot of analysts say as a number of these countries, chip wars trying to set up their own production for the future. that bottleneck is set to continue. we are hearing some comforting words for the biden administration on their strategy. we have breaking news at the moment. we are hearing from autodesk the acquisition talks have been terminated. autodesk saying while we did verbally improve our proposals, we are unable to agree on the basis to advance discussions. we are hearing autodesk has terminated the acquisition talks. autodesk shares up the most in
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more than six weeks in the overnight session. altium saying they had not received any further offer from autodesk. staying on the chips, our next guest has intel as one of his top pick. does the overture of the budget administration when it comes to chip supply change? >> i think that has been helpful, the $52 billion commitment to help the chip industry. when you look at taiwan semi conductor, they have said recently they think the chip shortage will start to alleviate over the next couple of quarters. we are starting to see prices come off extreme levels. we have not seen the stock start to build. demand is stout -- demand is certainly there. supply is coming back online. in the case of intel, they are investing $20 billion in a plant in arizona. there are a lot of positive things. what today shortage may be three
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or four years from now. a tremendous amount of investment coming into the space and we are going to catch up sooner may they die sooner than we make -- catch up sooner than they may think. it would be phenomenal except for the fact the ceo of global foundries was on this morning dismissing the idea it was going to happen. even in the face of that attentional acquisition being scuttled, it would have been promising for intel. they still have the lion's share of the pc and server processor market. and sales in the processing market. that is going to be a key catalyst for growth. in this type of market, 1.6% off its recent highs. where you find value? intel is trading at 11 and a half times next year's earnings.
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over the last 15 years, the average pe has been 15 times. it pays a 2.5% dividend yield. shery was talking about the 10 year yield at 120 basis points. it is not just the current yield. it is the fact the increase the dividend almost every single year. intel is a regular dividend grower. they're going to continue to grow and maybe they will have some of these major acquisitions. shery: is that search for value why you are going into china? this chart shows how the golden dragon nasdaq index has underperformed with the csi 300 given the tech crackdown. >> yeah, there is no question about it. it has created a tremendous value and risk at the same time. there are legitimate risks investing in china. alibaba has become our top position over the last month or so. we have been adding aggressively in the range between $199 to 210
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bringing our basis below $210. we think the key risk people are scared about delisting. you have 248 chinese companies listed in the u.s. with $2.1 trillion of market cap. we are betting cooler heads are going to prevail. it is not in the chinese government interest to limit access to the robust capital markets of the world should that would impair their ability to grow jobs domestically. it would impair their ability to innovate domestically. for those people saying institutional managers would buy the shares in hong kong, we recently got a warning that hong kong is not the safest place to do business. i think it puts the chinese government in spot we are going to have to come to the table between dz and beijing to get this resolved.
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shery: what is your timeframe when investing in these chinese tech stocks? i do get that perhaps these are bargains right now but at the same time, many wonder that we will see more regulatory crackdown down the line with beijing. why would you get into the market later on instead of right now? >> our timeframe is 12 to 36 months. if things go well, it could be much sooner. what we saw on july 8 is a lot of the larger chinese stocks bottomed. the catalyst was when the chinese regulator approved tencent's purchase of so grew. the message that sent is they are not just going to say no to everything and punish them if they are a big tech company. they are going to look at a deal by deal basis and that approval said the regulator was being reasonable. when you look at these valuations, alibaba is trading
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at 17.5 times next year's earnings. it has average multiple since going public in 2014 is 28 times. you can buy this stock at july 2018 pride is in july 2021. it is the same price except they have doubled earnings-per-share. they have doubled cash flow per share. doubled the business for the same price and when you look to valuation, when you look at the compound growth rate of revenue, 44.1% before going public, ebit, 23%. enterprise value is only 13% to that gap is going to be filled. over the next 12 to 24 months, this could be a 12 to $300 stock on the adr. shery: thank you for your insights. we are waiting the china open as well as other major markets across asia. let's turn to sophie for what to watch. sophie: you may see some dip
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buying emerge this wednesday after asian stocks were led lower by cyclicals. switching out the chart ahead of the olympics, kicking off this weekend, the nikkei entered a correction following the 10% we saw. we are watching to see if the index can snap a five day decline. morgan stanley cautions rising infections in japan may delay the recovery in earnings and growth. local media report and the government may extend the employment subsidy program to the end of september. pulling up the board in australia, half the population is back in lockdown. bill evans are ordering the economy will shrink .7% this quarter. the growing reach of the delta variant has some strategists rethinking their chinese bets .
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we are seeing the kiwi dollar hold below 70 this morning. we are seeing kiwi stocks gaining a third of a percent higher. haidi: sophie with the set up for the day ahead. let's you get -- let's get you over to su keenan. su: we start with the delta variant, which now makes up 83% of all covid-19 cases in the u.s. that is up from 15% at the beating of the month. the centers for disease control and prevention director made the announcement in the senate hearing. she said areas of the country with limited vaccination coverage are allowing the spread of the highly transmissible variant. a day after tokyo announced the top executive will not attend the tokyo olympics opening ceremonies, more japanese companies are following suit. senior officials from fujitsu will skip the event, given
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organizers decided to hold the games without spectators. the event will be held during a state emergency. colony capital founder tom barrack has been arrested on charges of acting as an agent of a foreign government. he was arrested on tuesday in california. he is a former top fundraiser for donald trump to a spokesperson says he is not guilty and will be entering a plea of not guilty. jeff bezos and three other amateur astronauts have landed safely after blue origin's first passenger flight to space. a like that lasted about 10 minutes. it is a milestone under the company's effort to make space tourism effort. he spoke to bloomberg first after his return to earth. >> it is just this thing.
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there is one place. during a boundary's. no national lines. there it's atmosphere is so big. we live in it. when you get up there, it is this tiny little thing we need to protect. from may, it was definitely incredible. su: 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. i'm su keenan. this is bloomberg. shery: still ahead, tensions are rising between the u.s. and china as beijing has rejected allegations of cyber hacking. we will get insight from the gms program director. first, shares of leslie fell -- of netflix fell. we will get you the numbers and the latest of the ongoing earnings call. this is bloomberg. ♪
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haidi: let's get a look ahead for australia and new zealand today. half of australia's population is back in lockdown after south australia joined torrey a and new south wales in ordering residents to stay-at-home as the delta variant leaks across the country. dividend payoffs for most really is biggest companies are expected to bounce back to pre-pandemic amounts in 2021. a bloomberg's group. php is said to be considering to get out of the oil and gas business in a multibillion-dollar is this that would accelerate its exit from fossil fuels. netflix shares falling in post market-rate after the company's forecast missed analyst expectations. our senior analyst believes
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netflix needs a fresh add. netflix saying they are committed to growing profit and cash flows, saying they are not worried about growth slowing in the long term. this is why there's so much focus on the gaming foray. does it seem like the core business is plateauing? >> i think there is definitely a palpable slowdown. some tremendous blowout gains happened last year. the company added 40 million subscribers and one year. that is kind of leveling off and the sentiment has been muted. to your point, gaming is obviously expected to be a catalyst. this is a natural extension of the content strategy. they are going small. i think it can be a real catalyst in terms of attracting more subscribers and potentially down the road, justifying
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increases as well. shery:shery: the price action has been interesting. what are analysts paying attention to or investors and traders? the forecast was not optimistic. >> the forecast was definitely soft but i don't think it was totally unexpected. having said that, we know that netflix has talked about subscribers starting from four q. the community banking on that. there are lots of other positives. we look at the financial metrics. they are really strong. the operating margin came in at 25%. again on the pre-cash flow guidance, they are reaffirming the fact there pre-cash flow to youtube, a huge milestone for them. they bought back $500 million of their share. lending freedom to that
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strengthening financial profile for the company. shery: bloomberg intelligence senior media analyst with her take on netflix's second quarter earnings. you can follow more on the results in tliv . that is your function to get commentary and analysis. still to come, blue origin pulls off its first crewed flight to space. this is bloomberg. ♪
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haidi: amazon founder jeff bezos and three other passengers successfully pulled off the origins first crewed flight to space.
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jeff described the experience to emily chang. >> welcome back to earth. how do you feel? >> i feel really good. >> wow. this is your first interview since lending. we want to know, the reality of seeing the earth from above. did it leave up to the dream -- live up to the dream? >> i'm not talented enough to describe this in words. i cannot figure it out. it was much more than i expected. do you have words? >> i don't have words. >> it was one of the most full sites i have ever seen. >> now you have accomplished this, what is the next move? how does this fit into the long-term vision? >> the long-term vision as we are building an orbital vehicle. this vehicle we just flow is our sub-orbital tours and vehicle. we are going to fly that over and over. it is practice for the orbital mission. it gives people a chance to see what we just saw, which is this
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fragile beautiful earth that you cannot imagine. people can tell you about it but until you seen it -- you have seen it with your own eyes -- maybe we need to send a poet up. it is this thing -- there is one place. no boundaries. no national lines. it's's atmosphere is so big. it seems gigantic. when you get up there, you see it is this tiny little thing we need to protect. for me, it was definitely incredible. >> i was surprised at how he's he it was -- at easy -- at how easy it was to move around zero j. >> it felt almost normal. it felt like we evolved it felt so good. >> for people on earth who are wondering why we are investing all this money into space, talk to us how you believe this will benefit us on earth. >> what we are doing is we are building infrastructure. we are building a road to space
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to future generations can build the future. we live on this beautiful planet. it is the most beautiful planet and of the solar system by far. we have to keep it safe and protect it. the way to do that is over decades to move all heavy industry, all polluting industry into space. that is what we are going to do so we can keep this planet the gym it is. -- the gem it is. we have got to practice. that is what this tour is a mission is about. > we so your kids greet you on the ground. i have four kids. for the kids watching, how do you want this to inspire them? >> kids -- every kid has so much potential inside of them. what i hope we are doing a little bit is unlocking that. for kids everywhere, the way you unlocked potential is with inspiration. i was inspired as a little boy by the apollo astronauts. this is the next phase of commercial space development and i hope that inspires little
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kids. shery: let's ring in emily chang who is on the ground in tech -- let's bring in emily chang who is on the ground in texas. what was it like being on the ground? we know vanhorn is a really small town. >> it was surreal. just as a spectator, it was a breathtaking experience. it was nerve-racking. maybe it is in the -- it is the mom in me. i was definitely anxious. even talking to them after the trip was also surreal because you felt like you are part of this history making moment. there has been criticism. there are people out there saying these are frivolous pursuits. we should be focusing on the problems on earth. everywhere you look at this, this was a huge success for blue origin. it took a long time. it was 21 years in the making. jeff bezos and the team pulled it off, which means this future space economy, space ecosystem he talks about is one big step
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closer to the possibility. haidi: one of the biggest highlights for me it that huge grin on the face of wally funk. 82 years old. she has been training for this moment for decades. she finally made it into space. it was one of the many incredible moments. what comes next? more trips? >> she asked for a little more space on board. there is six feet on-the-fly. -- there are six seats on the flight. only four were filled. we know jeff bezos is all about improvement. there is this question of how big is the market for space tourism and for blue, bringing tours to space is one part of the story. that is going to be how they find future missions. they say they have already raised almost $100 million from
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paying customers. the next step is getting to the orbital rocket like jeff bezos talks about. that will nibble them to be a bigger player among spacex -- that will enable them to be a bigger player among spacex. beyond that, he is talking about a generation. a vision that is generations out. weaving industry to -- moving industry to space. capping energy and the resources to space. that is not going to happen in our lifetime or our kids lifetimes but he wants to pave the way for that. because he believes it is too costly. it is too difficult right now for so many aspiring entrepreneurs to build out their big space ideas. if he can help build that road to space, so much more of that is possible. haidi: an incredible day. emily chang from bloomberg technology. be sure to catch our special
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report on the business of space. let's get you a quick check of the latest headlines. the credit suisse -- financial institutions of banker met leslie is heading to perella weinberg. david lewis is heading to morgan stanley. another will be cfo at lot 11 cup. these departures come in the aftermath of the archegos scandal. deutsche bank is said to be boosting pay for investment banking analysts. we are told analysts in the advisory arms will be paid $100,000. u.s. analysts promoted to associate level will see their pay rise to 150,000.
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coming up next on daybreak, we will be taking a look at the rising tensions between china and the west. this is bloomberg. ♪
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>> you are watching "daybreak australia." i am su keenan with the first word headlines. we start with the biden administration which says it is starting to see signs at the global semiconductor supply shortage is easing. the secretary has led white house -- increasing chip supply for a series of meetings between chip manufacturers, suppliers, and customers. do not officials say those meetings alleviate mistrust over a chip supply and allocation, translating into gradual relief
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for automakers. to singapore, where the virus surge will see restrictions tighten from thursday. dining in will be suspended and group gatherings cut to just two people through august 18 with a review after two weeks. singapore will unveil a virus support package in the coming days. an earlier aid package was worth 878 million dollars. hong kong lamb acres -- lawmakers will -- stock seeing -- doxxing offenses. the legislative council will discuss creating two types of offenses punishable by up to five years in prison. last month, companies including facebook, google, and twitter detailed objections to the new rules. bmt is considering getting out of oil and gas in a
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multibillion-dollar exit that would accelerate its retreat from fossil fuels. the mining giant is reviewing its petroleum business and considering options including a trade sale. the business could be worth $15 billion or more. we are told bhp wants to avoid getting stuck with asset that may become more difficult to sell. global news, 24 hours a day, on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i am su keenan. this is bloomberg. shery: tensions between china and the west continued to escalate with beijing rejecting allegations of cyber hacking and saying the u.s. and its allies are gaining up -- ganging up. we are joined by bonnie glaser, director of the asia program and the german marshall fund of the u.s. this was a coordinated action by the u.s. and its allies but not
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necessarily the exact same action or worse coming from all of them. how significant were these moves by allies? bonnie: very significant and emblematic of the biden administration's approach to china, in contrast to the trump administration doing much of its actions unilaterally. the biden administration is determined to work with like-minded countries and they are not always 100% aligned but in this case, there was a judgment made by the five eyes countries that the chinese government had been in some way involved in the breaching of microsoft email systems. i think the e.u. felt may be attackers on chinese territory and the chinese government looked the other way, whereas the united states believed there was a high level of confidence that the chinese government had actually been involved.
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the u.s. did indict four chinese nationals. the europeans did not take that action, but they did coordinate very closely and rolled out their announcements at the same time. shery: given the rise in tensions between the u.s. and china, how important are these potential talks from wendi sherman? we hear from local media that perhaps she is actually going to changing after reports she was not stopping by china. how important are these, given how badly the alaska talks went? bonnie: the public part of the alaska talks may have been a little bit tough and nasty but behind closed doors, they got some business done. we have not really seeing dialogue between high-level officials since that time. there's been some working level officials engagement on iran, afghanistan, myanmar, but not
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really talks about the overall bilateral relationship. i am also hearing that secretary sherman may in fact be going there. if they do actually meet, i think they will talk about areas where the two countries might be able to work together and begin to prepare for what might be a meeting between xi jinping and president joe biden in october on the margins of the g20 meeting. haidi: of course, we have seen middle countries like australia really, under fire and economically suffer as a result of sticking the next out against china. does it help or hinder them if there is a broader alliance in the asia-pacific against beijing? bonnie: i don't think anyone is talking about an alliance against beijing but the goal is to demonstrate to xi jinping that his actions are actually developing some antibodies
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around the world, not just in washington, d.c. so i think that it helps countries, small, metal powers, and larger countries like the united states, to work together, to protect their values and their political system, and yet they should also be talking with china about how to solve some of the problems that have emerged. i think that australia is better off working with the united states and like-minded countries than it is just trying to deal with beijing alone. >> given the slide economic slowdown we are starting to see in china or at least a plateauing of the post-pandemic recovery, does that give western nations a little bit more leeway? is there more willingness to this level of damage control? bonnie: the united states is
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always trying to assess what leverage it has an the biden administration says it wants to build leverage against china. the chinese see themselves as in a strong position and have talked about how the east is rising and the west is declining so they see themselves as having some leverage so this is a matter of positioning each country to try and gain what they can to serve their own national interest, but i do not think that the united states is overestimating its position vis-a-vis china. we recognize china has problems and the united states does, too. when it comes to economic problems, i would rather have the u.s.'s problems and china's problems. haidi: bonnie glaser, always great to have you with us. we are taking a look at this ahead of the start of trading in sydney, taking that $728 million charge on coal assets.
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new south wales made the decision to refute an application for the next life extension project. scaled-back activity on the project is happening and alternatives are being sought including looking at judicial review of that decision but in the meantime, they are taking that impairment charge on his assets on this expectation of increased approval uncertainty as well. tom barrack has been arrested on charges of illegally lobbying the united arab emirates. prosecutors say he unlawfully influenced the foreign presidents policy position. erik schatzker spoke to him about his time with the trump campaign last week before his arrest. >> from my simple beginnings of where i came to have the gift an opportunity to be next to a
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president of the united states and have the honor of running an inauguration, to be up close and personal on some issues that affect the world order, i paid a personal price for it. the adversarial this of america, squaring off on both sides. it is something i still do not understand. shery: this is a similar allegation that we have seen prosecutors successfully push to other former trump associates. what do we know? >> we know that tom barrack has a long relationship with the united arab emirates. many of its leaders including the conference of abu dhabi, he is also friendly with the
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current ambassadors family of the uae to washington and deep ties throughout the middle east. this indictment cuts to the heart of the business that tom barrack has built on the strength of relationships in that part of the world. when he ran the company from 1991 to earlier this year, he repeatedly went to investors in qatar and the uae and saudi arabia to fund his investments and now that he is starting a new investment business which i talked to him about this last week, he was also counting on the mri to use as major financial backers as well as the qatari's and saturdays. shery: now that he has been charged, what could be the repercussions for him and his business? erik: if charges are proven, if he is found guilty of
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functioning as an illegal lobbyist for a foreign government, it is probably somewhat careless for his business. not necessarily because his friends in the middle east would abandon him, but because the nature of the business he was trying to start is one that depended on being able to gain access to unusually complex and rare transactions, transactions that might in bold investment firms or investors here in the united states, and a guilty finding in a case of illegal foreign lobbying would probably be quite toxic to those investors here in the united states, even if it did not necessarily dissuade others in the middle east. haidi: what do we see as the
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ripple effects from what could potentially be such a judgment? erik: well, beyond affecting tom barrack himself, honestly, probably not that wide and i say that because he is no longer deeply involved in the company. it was at 1.1 of the largest real estate investment firms in the world. it has since been renamed digital bridge and has investments in digital infrastructure, cell towers, and the like. his role is limited to being a board member now so it would almost certainly cost him his seat on the board book yawn that does not really have any impact on digital ridge. he does not function as a fiduciary any longer. and he does not really have, you know, much of another business yet. he was starting one. he plans to have a very lean staff, only five people, and
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using the relationships that he builds over 40 years as an investor to find these transactions he wanted to participate in, so the ripple effects could be quite limited. he does not have that much going on right now. shery: erik schatzker with the latest. coming up next, a bloomberg scoop. bhp said to be considering an exit from its oil and gas business. more on that, next. this is bloomberg. ♪
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>> you are watching "daybreak australia." time for morning calls. at bank of america, they are recommending rotating into growth and new tech sectors outside of china. there is decent market cap, robust fundamental metrics, and most importantly, less regulatory overhang compared to china. b of a cautioning that dip buyers of chinese tech stocks are erroneous in assuming there will be a return to an easier regulatory environment. turning to australia, pulling up a chart ahead of the august reporting season, lower dividends are expected the in pandemic hit sectors but miners and banks are seeing raising payouts to forecasters.
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dividends and jumping by a third. you are seeing dividends beating other peers when it comes to australia across the world. there will be resource companies on the list. they are literally overflowing with cash flow, haidi. haidi: let's get to our bloomberg's group. sources told us that bhp is considering getting out of the oil and gas business and the exit could be worth $15 billion. the giant wants to exit while it can still get a good price for these assets. for more, let's bring in our guest. talk about the logic of them looking to sell off these assets now. >> good morning. if you consider where brent prices are right now, skirting around the $70 a barrel level, it is clear to see why there
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might be some rationale behind them having another look at these assets. it has long been a rumor that bhp would be a seller if they found the right price for these asset. when covid hit last year, we saw an absolute rout in prices for oil and gas so that sort of took any sale off the table at least in the short-term but without rally, people are starting to look at these assets again and i would also point to news of a potential major m&a deal with two big gas producers here. m&a activity is starting to pick up and this move is probably reflective of that. any decision, they may have one eye on the future and that is no secret that there has been a transition well underway and the shift away from fossil fuels is an ongoing process and it could be that bhp is eyeing a pivot away from fossil fuels. shery: what are some of the
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potential obstacles that they could face to a sale? james: it goes back to the point i just made. the global energy companies, it is not as for them to do big m&a in the sector because they are under pressure from investors to explain their greenhouse gas emissions, what they are doing to lower those, and adding a load of that that in the sector. it is problematic. they have to give a good reason for it because investors otherwise will be asking questions so that could potentially take some would be in poorer's -- inquirers out of the decision. they might be looking at these assets. a strong producing area for bhp. it has long been a really lucrative thing for bhp so there is value in these assets.
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there will be some bias somewhere but as you mentioned, the pool might be a little smaller than it was five or 10 years ago. haidi: what about the longer-term strategy and outlook? what happens after they get out of fossil fuels? what does the future look like for their business model? james: we cannot really make any -- it's hard to make too many conclusions but we know that bhp is looking to end its coal business. they have been very public that they would like to exit coal so getting out of oil and gas would be the next logical step if they want to exit fossil fuel. the ceo, one of his favorite talk it's -- topics is minerals, how he would like or capital exposure to those and i'm talking about copper, nickel, cobalt, the sort of minerals
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that are a critical component in battery manufacturer, renewables, that sort of thing. bhp looking to boost its exposure there. we have a big decision coming up in canada, where they have been developing a potential project. that will involve a $5 billion investment to really expand their portfolio into pro tash, which is seen as a vital ingredient as the world moves its population. shery: james thornhill there. staying on the sustainable theme, honda became the first japanese automaker to publicly say it will go all electric by 2040. new president and ceo of honda -- he told bloomberg how the company is positioning itself among its chinese rivals and tesla in the ev market and how it plans to achieve its carbon
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neutral target. >> [speaking japanese] >> our goal is to achieve complete carbon neutrality by 2050. we must make our new cars all non-gasoline by 2040. we pride ourselves in our engines but we are now focused on our new target. we are putting our resources into tv and fuel cell technologies. i realize u.s. and european carmakers are leading the way in the global markets but we still have time. we are well-positioned to compete with our arrivals as we consider the best ways to achieve our goals. >> when you look at other global auto giants, do you think honda's goal of going all electric a 2040 enough? >> earlier targets were set by the e.u. and other countries after we set our target to be carbon neutral by 2050. you may have to reconsider if we have to achieve it earlier but for now, we intend to stick with
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our scenario for the 2050 carbon neutrality target. >> partnership with gm to make electric cars and plans to roll out two new models which have battery platforms in 2024. could you give us an overview of how you plan to utilize the partnership? >> we are talking the possibility of combining our technologies. general motors leads in larger election vehicles so that is where gm takes the initiative. for smaller ev's, honda takes the initiative. we are in talks with all kinds of scenarios and hope to benefit each other. >> you have shown a pretty open attitude towards forming alliances to ride out the once-in-a-lifetime shift to next-generation cars. what kind of companies are you interested in talking to and what kind of new alliances are you seeking to further
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strengthen honda's position in the global market? >> there is no specific names or companies in mind as we want to discuss from different areas. we can create new value by automotive and entertainment coming together. >> are you talking to any i.t. giants like google or apple? >> we are not in talks with companies we can name here specifically. >> the president and ceo of honda speaking to bloomberg's representative. do not miss more big guests coming up later on. we will be hearing from carlos domingues plus the founder of indian agro foods. tune into bloomberg radio as well. you can get in-depth analysis from the daybreak team and we are broadcasting from our studio in hong kong. you can listen in via the app, radio plus, or
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lots more to come. this is bloomberg. ♪
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haidi: a quick check of the latest business flash headlines. china evergrande shares hit new lows on tuesday with fresh signs of a cash crunch stoking fears. it's not stock fall to the lowest in more than four years and one of its dollar notes
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dropping to as low as $.54 area talks about its health intensified this week after it had a bank deposit frozen. the company has $301 billion in liabilities. a company is set to expand for the first time in 70 years as spending recovers. the biggest provider of fracking services saw earnings rebound, posting its biggest north american sales in over a year. the ceo, jeff miller, says spending by halliburton customers wooding significantly over the next couple of years. >> i describe them as short cycle. we don't see a lot of the multibillion dollar. we see a lot more producing quickly. we will focus more with national oil companies around the world. >> that is just about it for
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"daybreak australia." "daybreak asia" is next. looking like a recovery rally as investors by the dip. ♪ -- buy the dip. this is bloomberg. ♪ (announcer) back pain hurts,
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haidi: hello and welcome to "daybreak asia." i am haidi stroud-watts in sydney. sophie: i am sophie kamaruddin in hong kong. shery: good evening from bloomberg's world headquarters in new york. i am shery ahn. asian stocks look set to snap a three-day losing streak after investors on wall street buy the dip with cyclicals and small caps driving the rally. the post lockdown


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