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tv   Bloomberg Markets Asia  Bloomberg  October 18, 2021 10:00pm-11:00pm EDT

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and an exclusive interview. >> we need to restrict the growth in temperatures to 1.5 degrees by the end of the century. we think we see commitments and we could do it, but we are going to need to see some real action. >> of have a look at what's going on market rise. benchmarks getting across in the dow is down a little bit, but we also have gains for their futures right now for the u.s. looking positive. in that has some support as debate raises for inflation. hang seng is the clear winner at the moment, 1.1% to the upside. nikkei being dragged up, even if we do have the yen currently at these retro low levels, which do support the exports. jakarta is coming on stream. we have an interest rate decision of its late run. not expecting any change there.
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and we have a surprise. there we go, let's look at those bond yields. yvonne: you are seeing when it comes to the global bond selloff, we are taking a pause. we are still tracking that yield curve. still when it comes to that spread, the tightest we've seen since april of 2020. sightly off that right now, but does that lead to some of the growth worries that the market is pricing in if they are right in pricing and that we will see some tightening by the end of the year. because we are seeing that globally. not just the u.s. and the fed, you have the boe in new zealand had the one that fell off yesterday. at least things are looking a the bit better today, we did see volatility when it comes to the commodities market. that rally of metal stalling is helping sentiment overall. rishaad: just having a look at that graph and that chart and seeing that spread between five and 30 year yield. raising concern that it signals
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are coming slowdown in growth. the spread is at its highest since april of 2020. that is when the pandemic brought the global economy effectively what the shutdown. maybe inflation may turn out to be temporary after all and that would make it rather premature for the fed to be increasing the cost of borrowing. yvonne: if you take a look at what this means for yields, jeff came out with this interesting chart. the copper delivery and how that tracks treasuries quite well. that's the correlation. copper has more expensive -- has been more expensive than gold given these metals rallies. if you track to where treasuries are, it looks close. potentially there is a sense that higher rates are still ahead right now. that's still the question of whether these inflation concerns could spark enough of the bond selloff. let's bring in the head of bank of america securities.
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do you agree with what the market is saying that they are questioning the whole transitory thesis when it comes to inflation and that central banks are just going to have to focus on flight -- fighting inflation versus sustaining growth? >> no, i don't. the inflation concerns right now are on the supply side. they are well-known supply-chain issue that we all talk about. and i think those are linked to covert shutdowns and many asian countries, people not wanting to return to work. obviously people underestimated the massive v-shaped recovery and product and on services. therefore, the inventories are low, they had to scramble and double order. so it's like this bad influence of stories. i don't think central banks have anything to do with this. central banks don't do covid, they don't do getting people back to work. so, i really think that, if
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three to six months from now, we probably won't be talking about this. we will talk about how slow is china, have you noticed? what happened to the credit cycle that was supposed to pick up. we are in a disinflationary world, we have been for 40 years. and i have been hearing for 40 years that inflation will pick up and bond yields need to pick up right now. but as i said, the equilibrium israel interest rate and has fallen for 40 years. and there are very good reasons for that. this is one of those theories interest rate bond yields that don't mean reversed. the drivers are getting more disinflationary. we are order -- older, we are more tech savvy. we have a competition between the u.s. and china, which means military research will pick up. it's very productive with the enhancing. so i think we are in a very
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disinflationary world. and what's going on right now is a covid driven aberration. yvonne: despite what we are seeing in the bond market, the supply chain woes are real. how does that impact marches and how will the impact earnings? >> our earnings models are dichotomous. in other words, we think shining -- china earnings, 15% for the next 12 months are unanimous, but the top down models that look at the cycle and china in the financial condition index are at 0% growth or maybe even negative. so my models are very far from the consensus. we have the lowest gdp forecast for china. our china economist, last evening she said it will be forced. china is in a one story, but the rest of the world and the rest of the country looks ahead as august they are not too correlated with china, the earnings will be pretty decent.
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why, because the world economy is doing reasonably well, europe is good, a lot of these countries had severe covert problem which is getting better now. so i think x china earnings will be very good. rishaad: you say we have been living in a disinflationary world. you are absolutely right, nothing last forever. with various chart showing how china produces the factory gate prices that are so correlated with u.s. cpi, they are intertwined in effect. what you say to the prospect of that huge leap up and china's producer price numbers in their inflationary impact in the u.s.? you can't ignore that. >> i don't think we should ignore it, but all that chart tells me is the cycle that's correlated. to me, those charts look peaky. it's a very service driven economy. it's not a widget driven economy. so prices are probably picking
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up, but the whole concept of commodity prices are going up so inflation should pick up, it's a 1960's view of the world. our market intensity of the stock market has dropped dramatically to report -- two or 3% of various indices. with the service economy consumes his human beings. it's not copper and iron ore its humans. so you have to look at the adjusted cost of human beings, unit labor costs, and unit labor cross -- cost across the developed world are exceptionally contained. if you look at the u.s. labor costs second-quarter is rising to a -- .2% year. and that's because productive areas picked up quite dramatically. i think that's what people tend to ignore. they talk about wage growth is high. but they forget to account for how productive workers of become , i guess because of the use of
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technology. rishaad: just very quickly. you could've called me a 1960's men. >> i would have. rishaad: let's have a look at possibilities of policy missteps because we have not been in this territory before. >> i think the policy missteps, which i think is unlikely, is for the central banks to somehow confuse themselves by saying, the inflation is because of us, because the aggregated amount is way too strong. so let's fix a supply chain, covid driven pickup and cost by typing monetary policy by killing aggregated demand. that would be a horrific policy. the bankers are smart enough not to do that. they have been telling us they get it and i'm pretty sure they do. that would be a classic schoolboy error.
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rishaad: hold that thought, we will bring you some 1960's isl m analysis as well. let's sort some things out and have a look at what's going on with the first word news with vonnie quinn. >> u.k. prime minister boris johnson says he's not about to reject chinese investments, despite the concerns from lawmakers. decisions to bar chinese companies from the fifth-generation communication and nuclear power, and condemnation of china's human rights records have soured relations with aging. in an exclusive interview, johnson told us he remains pro-china. i'm not going -- p.m. johnson: i'm not going to tell you the u.k. government will pitchfork away every overture from china now. of course not. china is a gigantic part of our economic life and will be for a long time, for our lifetimes. that does not mean that we
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should be naive. vonnie: china's communist party will convene for the first time in more than a year from november 8 to november 11. the sessions are typically the most important part of the country's political calendar. they bring together 400 state leaders, military chiefs, and top epidemics in x expected to pave the way for extending xi jinping's term as leaders. china has become a -- be young marketing dollar bond for the fifth straight year. it emerges in the nations credit market. the mistry of finance says it's selling $4 million of dollar bonds through a deal. indicated pricing is as shown. colin powell, the first african-american to become secretary of state and chairman of the joint chiefs of staff has died from covid-19 complications. he was born in harlem to
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jamaican immigrants. in a 2003 speech to the u.n. he claimed iraq's saddam hussein had weapons of mass destruction. he later acknowledge this blemished his military into poetic career. he was 84. mobile news, 24 hours a day on air and on bloomberg quicktake, howard by more than 20 700 journalists and analysts in more than 120 countries. i am vonnie quinn. yvonne: later on, former australian trade minister stephen analyzes the contentious relationship with beijing, which is bidding to join the transpacific trade deal. rishaad: southeast asia start is taking off with a recent surge of investments falling away from unicorns across the region. this is bloomberg. ♪
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yvonne: breaking news here, alibaba unveiling itself design five millimeters server chip and unveiling it. it's a way to promote the wholesales -- the wholesale that china is aiming for when it comes to their own tech players, making their own semiconductors. this puts them in play. some of the big global rivals like amazon and google, and replacing silicone from their -- from these traditional chipmakers. you see the stock there already up 1.5%. rishaad: let's get to what's happening in china. more signs of beijing dialing back with a sweeping economic regulatory overhaul. it is something starting to hit the ordinary citizens. let's find out more as we bring in our asian government editor.
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>> we saw the economic numbers yesterday, pretty grim. over the past week, the government has thing questioning the transition, the energy transition, basically saying that they needed to rethink their pace of how that actually works, make sure homes have enough: stay warm. central-bank with evergrande on friday telling the key lenders to keep credits in the real estate sector stable and orderly. this shows, potentially, that the governments confirm that this campaign could hit to air -- ordinary citizens, which could affect the legitimacy of the communist party itself, particularly ahead of key political meetings next month, and the party conference of next year.
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>> do you think that is where the red line is, if this starts to impact social instability and it starts affecting everyday people in china, then that's when we are going to see beijing blink a little bit more? >> yes, that seems like one of the guard rails that is being put on the crackdown of the hold. there is the speech that state run media published that was given last month, or in august, sorry, in which she really explained more of what the thinking behind it was. and a lot of it was geared towards the common prosperity, making sure we could get everybody to grow the middle class. get people out of poverty. so anything that would increase it for them is not what they wanted to. so they are trying to balance keeping the public sector supreme, boosting entrepreneurs
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and enthusiasm from entrepreneurs, cutting down monopolies and transitioning to the carbon neutral economy. so this is a lot of things on the agenda, but the overall picture is this balance between trying to fix the economy in a way that doesn't cause too much pain for ordinary folks in china. yvonne: thank you. asia government managing editor on the latest there. several banks also on the back of all this, they are starting to downgrade their forecast when it comes to china's gdp. you saw the likes of our clays, just after that third quarter print yesterday. they are still expecting their for your projections closer to 8%, but they had lowered that 8% or lower. that's still quite high, 6% is still a target from china, but we did hear from him saying 8% is still achievable. rishaad: was a beat on retail sales, we should not forget
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that. and that is part of the whole story because china move towards domestic demand and retail is fundamental in many ways. but again, we had construction and housing, all of these sectors really feeling it, the question is, how did that all play out. there was one bank that was missing there in regards to downplays and that was bank of america. now let's get to the head of great -- apac at bank of america securities. you probably did not meet -- need to but you mentioned you had the lowest projection for chinese growth, right? kirk sets correct, our china economists last evening lowered her forecast next year to 4% from 5.3% earlier and i completely agree with that kind of pessimism. my job is to predict the predictions and see if they are
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being discounted by the markets. so i think the index on the chinese credit impulse, all of what we usually track have been weakening for almost one year now. that's why i say, from an earnings perspective, i think next year is likely that the eps growth of china could be zero or lower. the consensus is that 15%. rishaad: we are also just talking about how they may be dialing back on the reglet tory landscape. the thing is, is it about changing the structure of china's growth model in essence? there will be pain associated with that, and i suppose you have to manage that. >> absolutely, right. we probably got a bit spoiled in the last 15 years where, whenever there is any deceleration in the chinese economy, we normally predict a huge credit up cycle, which
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normally shows up. for example, 2009, 2013, 2016, 2017 or 2019. there might be some easing up here and there, but the general direction of travel is a restructuring of the economy. this happens once in 20 years. the last time it happened was under the paris are until 2002 where there were tens of millions of soe workers who were laid off. the financial system was restructured. the banks were then privatized, partly, and prior to that it was -- between 1970 and 1982 but the full modernizations. so i think this is one of those once in a 20 year restructuring of the economy where they want to get away from just exports and just the property sector, which i think is massive, and move into the fourth industrial revolution. they talked about it openly, obviously a won't be painless,
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but i think it makes a lot of sense. 80% of household wealth is strapped in property. that's just a very high number, that number should be lower and they should allocate capital with the capital markets in the bond markets. and i just think that that much capital in one sector with the local governments are reliant on the property sector for their own revenue, and therefore there is an excess supply of property doesn't make sense for a country where the population processes week. yvonne: you're starting to see some say, i think it's all in the price right now already, and these valuations are looking quite good. you are saying the valuations are not appealing. >> just because something has fallen, doesn't make it cheap. i know a lot of guys who, late last year, and announced the financial story and wanted to buy. you can see that was very early.
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on a very simple measure, chinese equities are almost in the 80th percentile. also in the 80th percentile. these are high numbers. rishaad: we have some breaking news. thank you for joining us, always a pleasure, never a chore. we've got the prime minister of japan talking here at the moment, talking about these launch of two ballistic missiles a submarine. it was fired by north korea. he is saying that these are extremely regrettable and they are gathering more information. once we do have more, we will bring it to you. we've got a lot more on the way, we will have a look at this story in more detail. this is bloomberg. ♪
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yvonne: here's your latest business flash headlines. iron ore headlines slumped 4% in the september quarter due to a september maintenance work and labor shortages. the world's biggest miner reported total sales of 71 million tons lower than the previous quarters 74 million. top iron ore miners have struggled to maintain shipment levels given global supply chain disruptions and operational challenges. the insurance company owned by the hong kong billionaire is said to be facing increased scrutiny by u.s. regulators. following the plan to new york listing. sources say the insurer has not been able to secure approval for the u.s. ipo with the sec asking about risks, such as chinese regulations. bloomberg has been told it is unlikely to be completed this year. apple has upgraded its audio lineup, including its first revenue of its entry-level airpods. the auto -- the airpods will be water resistant, but features
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like noise cancellation has unveiled a cheaper apple music plan, which only works through syria, as it tries to get a subscription. rishaad: let's check in with markets as we look at what's going on with korean peace talks. a bit of a mixed bag. we've got these two ballistic missiles fired by the north according to a various newspaper report being addressed by the eu japanese minister. having a look out all that, tech is in play. tech stocks have been doing well. 1.6% from alibaba. it has a new chip they are designing. jd.com at 1.3%. it's weaker. baidu, a feeling that tech will come back given what happened at the u.s. on the basis of strong earnings. one of the things responsible for the japanese markets, japanese markets are moving to the upside. about half of 1%.
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it is tech again responsible for this. tokyo is one of the biggest gainers along with retailing. we have that as we going into the lunch break and tokyo. up next, our exclusive interview that
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vonnie: is 10:29 a.m. in china and hong kong. i'm vonnie quinn with the first word headlines. korean stocks prepare early games after japan said north korea fired would appear to be to ballistic missiles. the japanese prime minister calls the launches regrettable and says his government is seeking more information. it comes hours after u.s. envoy met south korean diplomat in washington and told reporters washington has no hostile intent towards north korea.
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the fda's planning to allow a mix-and-match approach of covid booster shots. the agency may act this week on the plan. the fda will not recommend one vaccine over another, but may say it's preferable to use the same vaccine when possible. moderna ceo told bloomberg television the company expects the fda's decision soon on its covid booster shots. >> we expect this week, potentially the authorization of a booster with a cdc meeting scheduled this week to make a recommendation. i'm hopeful by the end of the week everything is wrapped up in by next week americans can get the booster. >> india is nearing a milestone of one billion vaccine doses powered by the gaps widening for people still inoculated and those who have one shot. bloomberg data shows the population is double does 1251% has had a single dad.
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they point to a mix of factors including less urgency given case numbers. >> the executive carrie lam is in the hospital after suffering a right elbow fracture. officials say she fell on monday night. his statement confirms she will remain in hospital under observation. the chief secretary will act as leader in the executive council meeting scheduled for tuesday has been canceled. global news, 24 hours a day, on air and on bloomberg quicktake, powered by 2700 journalists and analysts in more than 120 countries. rishaad: let's get to british prime minister boris johnson. he has issued a rallying cry for reelection on climate change. he sat down with bloomberg's editor-in-chief and they wait for an exclusive wide-ranging conversation that cover china and brexit. yvonne: they began by discussing
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whether britain's departure from the eu has threatened things for international investors. p.m. johnson: the u.k. remains number one destination for fdi. we are an attractive place for people to come and invest. you have seen massive investments just in the last few weeks. yes the summit we are having, the global investment summit is already a success with 10 billion going in. a lot of it in green technology. that's on top of 5.8 billion that was triggered by the 10 point plan that i set out for. the green industrial revolution. the long-term reasons why the u.k. remains attractive and shortened, the medium-term reasons with all the fundamentals remaining the same. the language, the rule of law, the deep pools of liquidity in the city of london, the attractions of having the best universities in the world, but
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this is also the moment. it is the moment because we've got a series of things coming together. the u.k. is deciding to make a big bet on green technology. so the government is going in, setting regulatory framework to encourage the private sector to come in and the way that they are, i credit some of the numbers for the investment we are seeing. we are making a big bet on the hydrogen, on electric vehicles, on carbon capture, all those things. and that's driving a lot of the investment. we are also seeing a government that is creating the bed were rock for industry investment across the whole of the u.k.. so we are investing in huge quantities of new infrastructure , which we have long needed in this country to address our
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productivity gap. so we are putting about 640 billion pounds into infrastructure and into technology and into skills. and that's different then the approach and leveling up our agenda. the third thing we are doing that's different and new is that we are taking advantage of our regulatory freedoms. so the u.k. will be even more attractive as a place to invest and do business because we are going to be making sure that when it comes to the growth areas of the 21st century, when it comes to fiber, aia or jean editing, quantum, all these tech of all kinds, the uk's the place to put your dollar, your yen, or whatever happens to be. >> he made the case very strongly for these things.
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i i think we will come back to green tech and their regulation. you look at regulation, many of the people coming here wednesday, it was in margaret thatcher's old study. used to be an economic liberal. we now have the highest tax take in terms of national income since 1969 going to the government. you have all these new regulations. people expect that you to come in -- p.m. johnson: our regular viewers would not have missed that we have been through a colossal pandemic which has necessitated the extents -- expansion of's date activity into all sorts of fields that neither new -- neither you nor i would have wanted. john: you are putting up corporate taxes from 19% to 25%. p.m. johnson: they remain amongst the lowest in the g7.
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john: will you reduce them? p.m. johnson: i don't want to say any decisions that the chancellor may make on the fiscal side, but you can take it sooner. as mis is a staunch low tax, conservative. he believes in an enterprise economy. that's why we are doing all the things we are doing. in one of the things we're doing to make this country more attractive to investing, is talking about tax, super reduction for companies to invest in capital and plant. and write that off against tax. in order to deal with that productivity issue that we face, you have an incredibly successful economy given we basically don't exploit the potential of so much. that's what the whole leveling up our agenda is all about. john: can we talk about the most
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successful part of british economy. yeah blackrock, goldman sachs, j.p. morgan, they are all coming to the conference and would say the same thing. they like the city of london, but they are hedging their bet. putting some jobs and power. they would say, we are an industry, finance insurance is an industry that brings in 160 billion pounds a year to the british economy. you tip your energy and arguing with the french about this issue of finance. p.m. johnson: in 2008 and 2009 there was only one politician that spoke up for the city of london bankers, and that was me. i know that the city of london is crucial, not just for our country, but for the whole of europe in this hemisphere.
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and that's why i think it is profoundly an interest of our partners to ensure that we do have good relations, we do continue to see proper flow of capital and services between london and parts of europe. and i'm sure it will continue. if you want to raise money around europe and financier merger, london is still the place to come, and always will be. but i think the interesting thing about the way finance is going is so much as in fintech. it's the tech side that is developing so fast. you have to admit that the u.k. has an extraordinary kind of mixture of things that make it propitious for that kind of development. we've got 106 or more tech
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unicorns for the benefit of the bloomberg viewers that don't know. unicorn being, not a mythical beast, but a company with $1 billion in revenue. there are 106 in the country, there are other european nations add modesty for bids me from that. john: just to use that point, that is exactly what the hardheaded capitalism industry would say. they would say you are stuck in arguments with france about fishing. you are blocking the city of london's ability to create trade . it's a time to fix those squabbles?
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p.m. johnson: of got great relations with the french government and emmanuel macron. sharing the private causation. u.k. in france have been there for a long time. we are very close partners, friends, it's vital. it's the deep will of our populations that should remain the case and we will continue to do great things together. is there a problem with the northern irish protocol? yes there is, but we will fix that. john: you lived around the world, the biggest source of
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investment in fti's is china. $130 billion investing at the moment. you have come up with a strategy saying you will let them invest in nonstrategic assets which is not huawei, technology or nuclear power. i wonder what sort of things will they be allowed to? you talk about the infrastructure. p.m. johnson: when i was running london, i went out several times to china and had fantastic trips. john: things have changed. p.m. johnson: there's no stopping investment that drives growth in this country and in development. look at what's happening in greenwich.
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things have taken off there because of chinese investments. i'm not going to tell you that the u.k. government is going to pitchfork away every overture from china, of course not. china is a gigantic part of our economic life, and will be for a long time, for our lifetime, but that does not mean that we should be naive in the way that we look at our critical natural infrastructure, the way we look at nuclear power, you mentioned 5g technology, those are all legitimate concerns of many governments around the world. but i have said this many times, it's worth repeating. i am no xenophobic. >> do you think you are the last in the capital? p.m. johnson: i suspect there are lots.
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china is a great civilization. john: would you let them by offshore wind power? p.m. johnson: p.m. johnson: -- p.m. johnson: he would have to look at what you are defining our strategic or critical. we have a trading relationship with china. in spite of all the difficulties, in spite of all the angry conversations and difficult transitions about the dalai lama, hong kong or the uighurs, we will continue to stick to our points. we will continue to stick to our views. but trade with china has continued to expand for a very long time. i think you probably will continue to expand for the rest of our lives. that doesn't mean that we should be cautious about how we handle
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fdi from china. that's why we brought in legislation that we have. john: xi jinping looks unlikely to come at the moment, what is your personal goal in terms of cost? p.m. johnson: i think there were always going to be extremely tough. we are hoping we will get a good turnout in spite of the pandemic , but what we want to focus on his their contributions and reducing that co2, making those hard pledges. plus we want commitments on coal, cars, cash and trees. we want the world to move away from coal by 2040, 2030 would be further developed nations. we want to make sure that everybody stops using hydrocarbon fuel, internal combustion engine cars, and the uk's in the lead. we said we would stop that by 2030. we want at package to help
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countries that haven't been historic emitters to cut their carbon. we need that $100 billion a year. in the last thing is, we want to make sure we plant millions and millions of trees to help the fix the carbon and restore balance of nature. so we need to keep one point five alive. we need to restrict the growth in temperatures to 1.5 degrees by the end of the century. we think we would have these commitments. we could do it, but we will need to see some real action from the participants. rishaad: that's british prime minister boris johnson speaking exclusively to bloomberg news editor in chief. let's have a look at the market action. chinese tech companies are doing very well. tech is making a bit of a comeback today. we have to add that growth
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that's expected to drive third-quarter growth that's helping the company up 13%. looking elsewhere, they are all in the plus column. let's look at what's adding drag and casinos right now, we have them in china, galaxy entertainment under pressure. this says we have casino operators expected to see third-quarter operator slump at $62 billion. that is in the earnings report. that's a look at what's going on under a bit of pressure. gaming stocks have been there. yvonne: it does not look like it will look that better, given that we see restrictions when it comes to travel, also when it comes there with the regulatory side of things. uncertainty for the 45 day grace period that ends in a couple of days. keep watching that one. you mention the downgrade from
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j.p. morgan, thou and going here. with the downgrade from moody's. we discussed a new report from credit suisse, highlighting the booming startup scene. analysts will discuss where the money is going and affect the outlook for the coming months and years. this is -- this is bloomberg. ♪
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rishaad: let's have a look at
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what's happening with the rupiah in indonesian stocks as well as state trade and jakarta. just ahead of the interest rate decision later on. we are seeing all 30 economists surveys keeping the interest rates near the repurchase rate at 3.5%. this is some of the action elsewhere. a bit of a mixed bag. no trading in malaysia today, and we've also got the nifty prospects that will be open in india, looking at the indonesian tech stocks because that will be the topic of our next conversation. this is a look at some of those, if we could have it, -- we don't have it. we do have these start ups very much and focus in southeast asia. yvonne: there's so much interest in this space. they are maturing in scale and size. others are ready to go public. that's prompting investment banks to increase tech hirings
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while southeast asia's old money tycoons are boosting investment as well. the tmt teams is like an animal that keeps giving birth. public markets will soon follow private enterprises and capitalizing on the opportunity offered by aussie on tech. thank you so much for joining us. we talk about all this old money going into the sector. all these banks hiring. what he think is the ultimate thing driving these investments right now. >> what we have seen is the pandemic that has options. it was strong in the investment. over the last few months we have this high-growth with valuation that has increased a lot. you look at the graph also and there are 39 unicorns out of
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which 50% has happened over the last year. clearly i think it is a lot of growth. i think that is where some of the money is heading for growth opportunity. yvonne: i'm just taking a look at the indonesia tech sector index. it searched quite a bit on what you have been talking about. all this interest in money going into it. there actually has been some decent decline in its losing its decline. what are some of those names with evaluations were just a little bit too lofty. these companies still can't generate a decent profit as well. i the certain test cases for you on just kind of what the overall demand for what these tech startups are right now? >> some of these companies will
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have to prove the business model and i think the public market will have to adjust to see how it is. even in india there is a demand phone call happening. you can look at regulations to facilitate the listing. the business model in the market around that for a successful listing to happen. rishaad: tell me, when we look at indonesia or other southeast asian countries, you are looking at the perfect demographics, you are looking also at the money that's on invested. >> it is a strong demographic in
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a young population with growth gdp. there is what has happen for the last few years, what has changed is delivering smartphones, especially with it coming across the countries. that has changed the landscape completely in emerging markets with the internet. whatever challenges have been here with all the years being addressed, i think what it is placing is in terms of infrastructure and e-commerce. as these things get addressed, the digital economy will be talked about over the coming years. the emerging market landscape
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because of the pandemic. rishaad: is there any particular company or sector which you think remains still a screening by their? >> as i mentioned, i can't say specific companies, but we have highlighted the last 35 that have been highlighted unlisted. and out of it, 26% and 30% is around commerce and logistics. these are the few sectors that a lot of activities are happening. e-commerce has seen a strong boost, but there are other companies that are seeing growth. e-commerce and fintech offers a lot of opportunity. there are upcoming sectors that i would highlight, education is gaining a strong boost during the pandemic, and health care.
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so we have some growth sectors. yvonne: real quickly, do you think a lot of this money and interest is really just based on a place to shield the money given what we have been seeing in the china tech crackdown? >> i have been talking to investors over the last few months, where china people are looking for opportunities in southeast asia and india. that is one of the factors, but also if you look at what has happened where they have been facing these companies. valuations are becoming very high when it comes to the public. so that is one of the factors that the public is looking at for investing in the private sector. rishaad: great to have you on the show. thank you very much.
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from credit suisse. start ups at the four of things. we will hear from one of the most valuable indian crypto space start ups. the founder and ceo joins us in under an hour. we will see what's going on with equity markets on the rise. ♪
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>> this is bloomberg technology with emily chang. ♪ emily: coming up in the next hour, apple showcased new devices at an unleased event and we're looking at the up and its most dramatic move yet. or tha

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