>> welcome to daybreak australia. i am highest-rated loss incident. >> asia getting a positive

leading from wall street's solid top earnings. tesla soaring on china's approval for his driver assisted system. christ depends government will need sustained intervention to prop us up after monday's sharp move. >> samsung headlining edges and is today. the first-quarter profit, seen surging more than 300%. we are just getting some breaking news out of south korea at the moment. industrial production numbers for the month of march. a bit of a disappointment here. we had three straight months of increases. a pretty sharp decrease this time. deceleration of 3.2% for industrial production in south korea. an annualized figure of .7%.

that is a pretty hefty ms. there. those have been revised down as well. the focal fleeting just awaiting her break of chip numbers as well. semiconductor output with that detail not available. please take a look at how we are shaping up in terms of the open. australia and japan returning from a public holiday. futures for the nikkei are currently looking a little bit soft. we'll see what happens vis-a-vis those impressive numbers for the end.

we haven't had confirmation of that yet. plenty of speculation. that is what happened. we will be looking at a lengthy conversation. australia hired to the tune of a 10th of 1%. >> there is a little bit of jay powell waiting for the fed. we get closer to that meeting. look at how your futures are setting up. nasdaq 100 futures looking just modestly to the upside. we are seeing that set up a positive year in asia. the urgency season kicking off in a pretty good note. the company is continuing to show leadership there. this is a picture cross u.s. bonds. yields have been trending lower. we are just waiting for the fed.

we are potentially watching the rba. now that the cba have pushed back at first rate cut to november. we are watching through looking pretty flat. the big story has been currency. trainers warning that governments may need to ask repeatedly. that's of the surge fuels speculation of intervention. paul joins us now. the question is still out if it really matters in that sense. what are the expectations in terms of where the momentum and trade goes from here?

question morning heidi. i think the signs in the oven is .2 strong suspicions that the doj and the mof were in the market. they have done so given the pressure that the committee has been under of late. the fact that they needed to do something in order to bolster their credibility somewhat having made so many noises and threats over recent weeks and even gone to washington dc. it felt like there was definitely an opportunity to spot something of a reversal that.

the sentiment is that in order to keep these levels, it will require more, it will not be a woman done exercise. >> we have been hearing from japan past ethics chief. we will take appropriate action and we will disclose the results at the end of next month.

we will get confirmation. let's talk a little bit about what has been going on in u.s. markets as well. really stronger earnings season. this has what has been driving. there are two things going on. not just the fed's decision but also the funding announcements. they could push up those yields again and have those cross market reverberations in terms of strengthening the dollar and the pressure on the yet and other currencies.

we have seen beats and people up there forecast. >> all right. the executive editor for asian markets for dobson there. elon musk secured approval enchanted to deploy the driver assisted system. adr is also getting. let's go to the global business editor. this elon musk has gone all in

on autonomous driving. you have to be able to offer it in more than just the u.s.. china clearly a key market for tesla. it has been facing some problems here. the industry is going from some pretty rapid growth. it is facing stiff competition from the likes of uid. they are sort of tech laden. i'll tesla has had is a strategy to/prices. that gives tesla a new competitive edge in that market

that they have been desperately looking forward to. >> it came at the expense of a trip to india. does this signify a change in strategy? >> maybe not so much a change in strategy. it has a presence in china, it has sales. this is an investment and a cost. tesla doesn't have a presence in china yet. it doesn't import cars here. it seems like musk is happy to play along with that but still maybe a little cool on definite plans to get into india.

we are also watching sansom earnings. the chapter vision in the march quarter. let's bring in mark ehrman. always great to chat with you. what are you looking for in this set of numbers? >> thank you for having me. samsung like many of the other companies we've been discussing for weeks is writing that ai wave. they have this massive chip division. but into server infrastructure. and given that a lot of these companies want to play large amount of server infrastructure to power this ai evolution -- new online services -- you are seeing a big boon here.

that is one of the most important divisions here. a very big part of that is not only on the processor but in the software is. >> samsung is really diversified. they have their fingers in many pies. >> in terms of the other divisions like the components come displays," you're not seeing big increases there. you are seeing samsung being hit

for the general slow down this market for non-chinese brands. 19% according to counterpoint research. you are seeing some shifting. this is not only impacting samsung's funds -- and that apple is coming out with a new ipad pro. things were probably heat up again towards the fall. still to come, we are going to

get this in the next 20 or 30 minutes. we will have more analysis on the end. a sharp rebound that will have market speculating. when you automate sales tax with avalara, you don't have to worry about things like changing tax rates or filing returns. avalarahhh ahhh

>> take a look at how the yen is trading. this after the dalian swung through that fairly rare seven and on monday. a downward bias against the n. young traders are really seeing the uphill battle for a more sustained halt of the slide that we had seen in the end. and that any intervention would need to be sustained. we are in summer months from the currency chief. there will disclose result at the end of next month. some reiteration of the same messaging we've had over the past few months. this is the head of ethics

strategy. great to have you with us. we have some comments that this is being seen as a subtle confirmation. >> i think the diplomat's mission would be -- they are more likely to be buying intervention.

>> going forward it does not seem like traders if you look at monday's trading action are particularly afraid of pushing back and fighting against the mof. why should they? after the broader economic data between the u.s. and japan changing. >> is increased somewhat over intervention. there could be some movement for the time being. also on monday. to avoid any of this, i think it by big sense to intervene again sometime this week.

this is not the short position at the moment. but still, it is medium-term. especially this time around. i have concern about the dovish doj. we suggest japan may not consider this. i think in the short term, maybe the japanese yen. >> yes.

we are deep in the realm of speculation here. yesterday was so interesting because we saw that subtle move up to 160. do you have any theories on what caused that moved 160? >> i think this was very important. also, about a month ago there was a 2% will within the two weeks. speed actually matters.

that could encourage intervention. also, i believe the finest government is positioning the market. it is acclimated as of tuesday. >> the money for interventions comes from japan's foreign reserves. is it possible to estimate how much firepower the ministry of finance and bank of japan have left for future interventions? >> i think intervention is quit possible. what was surprising to us is

actually security holdings. the quantity they can use is quit significant. we did not hear anything about the prez actually yesterday. this could be about an intervention market. >> it is interesting that in the sessions leading up, a big topic was the timing of intervention. there was dispossessed -- this

idea they were trying to pick the right time. is it the right strategy to try to run the five given we are expecting a hawkish pivot? >> yes," that is the question. any intervention will be offset by dovish communication. this is during the asian time zone yesterday. timing wise, this intervention was relatively good but surely it all depends on how they communicate.

u.s. data events are still why significant. this year, the market price is only four times the rate cut. this is somewhat more hawkish than previous comments. it could be limited. next week, much stronger. they may need to intervene again. >> the head of fx strategy in japan. take you so much for joining us. we have plenty more to come on daybreak australia.

bloomberg. music note

>> we are standing by for numbers from samsung. this will be the first quarter profit preliminary. the suggested we could be in store for something pretty special. though samsung earnin

>> we do have some new market data for japan just crossing the bloomberg. rising to 2.6%. the job applicant ratio still

pretty -- still pretty steady at this point. rising from that 1.26 figure we saw in february. a little bit of tightening had been expected in this market but we actually had more or less steady that jobless rate staying at 2.6%. we have seen labor demand across manufacturing in particular in japan. we see some automakers in the country increasing output to make up for losses after we saw the japanese industry suffered a setback after setback due to the safety scandal. bloomberg economics had been expecting more or less these numbers but the job applicant ratio was the one that shows a little bit of tightening. the labor market will continue to tighten. that positive turn is likely to bolster hiring when it comes to semiconductor related sectors as well as services.

stock markets in japan are to be closed on monday. it was an eventful holiday, to see that pass through to equities? >> currently this is deafly something people are watching but they actually swung back to the level around the friday closing level. the market seems quiet, and people seem to be going on to buy on samsung relief. that correlation has actually weakened a lot in the past two weeks or so. people are setting the excessive weakness in the yen might actually way on japanese markets because the increase in the real

wages might not be able to keep up with the pace of the increase in price. hence it will actually dampen domestic demand and the domestic demand related stocks as well. we are still watching their correlation to develop. at the same time, exporters that benefit from the weakness of the end could still see some upside as we see that inflected in their earnings. >> yes. on the subject of earnings, what are we watching this week? >> we are in the middle of earnings. we will see some trading companies announce their earnings. one key company we are watching is from just a couple days back. we reported that they are said to have a large stake in the company. citing the people familiar with the matter -- they say they hold

tens of billions of yen in the company and then they have engaged with the company. improving shareholder returns. we see from the previous engagement that they tend to do that before the company brings up these plans. we saw the stock price served for the companies after they announced shareholder returns and buybacks. that is so that we can potentially expect to see when they announce their earnings and their medium-term plan on thursday. especially after their competitors both announced pretty vague buybacks earlier this year. >> that was when these there. they are investing directly in crypto.

they will debut in hong kong today. the launch means potential competition for bitcoin products his popularity was there in the digital asset. this is a significant step for hong kong. >> that is right. this is a really big morning here for hong kong. we know it has really been pushing ahead with plans to not just become a digital asset regionally across asia but this is really global. what it sees is a future growth driver. we are actually making some final preparations this morning. that is for the three different issuers bringing these to markets. this china amsi which is the biggest. what is significant is not just that they are bringing spot bitcoin he taps online but -- you have something very significant to track.

it does perhaps underpin the next leg of the crypto rally. >> numeral ambience there as we go toward this momentous launch. what sort of demand is being expected? >> that is the big question. what bloomberg intelligence is saying is it could be around the $1 billion mark over the next two years but you compare that to what we have seen for the u.s. etf's. they are currently tracking north of 50 billion. that is a big gap. harvest global is one of them. that number, that prediction you can see is underselling. there are a lot of big question marks around looking document and one of the key questions

will be whether or not we could see these etf's be included in the etf connect program. if that would happen, it would give mainland chinese investors access to these etf's and that is significant because crypto training is currently banned in china. >> we are speaking with the three issuers. plus we are also speaking with the hong kong stock exchange, and equity product development later on this morning as well. she >> there is piano a compliment and of these etf's making their debut. paramount global has replaced its ceo.

the media giant is investigating a possible merger with this guidance led by david ellison. the first quarter earnings beat estimates about super bowl ad sales and improving results from his streaming service. this billionaire owner is offering 34 hong kong dollars apiece for shares he doesn't already own. the deal values the company at over $6.5 million. external debt will also be provided. the embattled developer posting a net loss for the second straight quarter. it comes as they are having a cash crunch. the second largest developer by sales last year. the dollar bonds have been sliding over concerns of the financial condition. they are not escaping the impact of the property prices.

the everett -- recorded their first decline. think of china also delivered a lower first quarter net income. chinese lenders are facing a prolonged squeeze that has narrowed margins to record lows. we work and they have struck a new restructuring deal. the senior lenders have agreed to provide $450 million in financing. morehead here on daybreak australia. this is bloomberg. music avalarahhh ahhh

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with godaddy airo >> we are awaiting first-quarter earnings from samsung. the world's largest memory chip maker. right on time we are getting them. here we are. first-quarter sales from samsung. 71.9 2,000,000,000,001. the first quarter operating profit is 6.6 one trillion there. that is a narrowness. also it's on first in order --

first-quarter net profit. that was for 5.6 3,000,000,000,001. we will continue to get some of those drip feeding across the bloomberg terminal as they are released but for now let's bring in sk kim. the executive director and analyst. we do get pulmonary numbers from samsung in it -- in advance of these final numbers but at first take away, what is your reading of this? quick samsung just announced the number. i see the private semiconductor. 1.9 of their operating profit. that's including the foundry

business. this is a surprise. this is a little bit disappointing because of damage in the global stage. it looks like there was some cost burden from the component pricing. >> yes. and those numbers continuing to cross the table. it does appear to be a mixed bag at this stage. that is a narrow beat. .500. 30,000,000,001 verses 518.

i am just wondering what your take away is on samsung's efforts with high-bandwidth chips? >> i think that they are maintaining this. the thing is samsung already delivered next-generation product. they deliver that to nvidia. i think there is some qualification from customers. they can catch up.

>> what is the risk of a delay? >> i think that some of the potential is from the robotech giant. and then microsoft, they devalue this for this year. the 150% level. and for the generous offer.

>> the investor reaction has been interesting. 17% up over the last year. nvidia has about tripled over that same time. we saw the samsung stock price come down 10% since the april peak. we will know a little bit more once the stock gets underway. is there a reason why investors are not sold on this recovery? >> yes. i think that as you mentioned, samsung is lagging behind. they are struggling. i think that is the main reason for the disappointing stock performance but especially this

quarter, we have seen the progress, the qualifications if samsung does not get approval from nvidia. we included hbm and the ai foundry and cost. i think they expanded their engagement.

>> this is a notoriously fickle business in terms of ethics benefits, in terms of the ram demand. can you see these trends continuing? >> yes. i think for ai demand. but recently we have seen very strong demand for enterprise. they have not benefited from the

ai demand. but recently there was some demand for high density. the hike is higher in the second quarter. q1 and q2. there would be some additional upside. >> great to have you with us. they are going through the samsung numbers. you can get more analysis on your bloomberg for more on these earnings. you can get commentary therefro.

>> we do have more japan data crossing the bloomberg. does get you to retail sales. there is that you're on your number. that is a pretty significant as of 1.2%. 2.4 percent was contentious for the march meeting. that is a steep decline for that

4.6%. they see a contraction of 120 -- 1.2%. much deeper than expectations. reversing the 1.5% gain we saw in the previous month. department stores and supermarket sales, a little bit of a slowdown from february there. let's get you to the industrial production month. these are the ratings for the month of march. 3.8%. that is a bead on expectations and bouncing back from the contraction we saw of six point -- .6%. the final number for february. that is more or less slightly worse than expectations in the fall of 6.4%. we see the incremental chipping away. >> let's turn to the latest in geopolitics now.

the secretary of state exited lincoln was speaking in saudi arabia. the new york times quotes unnamed officials. >> we wrote a proposal that is extraordinarily generous. and in this moment, the only thing standing between the people of gaza and a cease-fire is hamas. >> the chinese president she's in pain will visit the european union next week for the first time in about five years. they will visit france and hungary on the visit. tensions have been mounting over issues including trade, spying

allegations and beijing support for russia. a little bit of easing back in the oil price. we are seeing a bit of a recovery in the oil price recently. we have singapore futures for 62% iron ore. trading a little bit higher. the demand picture has been improving somewhat. we are going to get to pmi numbers for the month of april coming up shortly. expected to show a little bit of a slowdown. >> we did expect that momentum would not necessarily be maintained. profitable for the first time since 2022. the part of this broader positive turn.

6.2 trillion one. about $4.8 million in the march quarter. roughly 40 on the company's earnings from a year earlier. we are expected to see a limited growth in the second half. >> we will be watching some of these related adjacent stocks. we are watching the asian chipmakers.

this really underscores how the demand for memberships goes thanks to ai. watching those names particularly when it comes to the real thing in japan on the public holiday, we can see that reversal of momentum in terms of local chipmakers there. also watching tesla suppliers soaring on the news that is secured a tentative deal in china thanks to bayview. we are watching those names. we will be speaking to jeffrey's with their outline on china's property and banking following some weak earnings. this is bloomberg. he's ignorant

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with a huge moves we saw on monday. potentially subtle confirmation of intervention we saw on the comments from the currency chief this morning. it is also just one part of a story of a big week that lies ahead going into the fomc decision. paul: and interesting coming from the ministry of finance. we will get a chance to see how markets react in a moment. unless the macro picture chains drastically. haidi: it is not just japan but we have seen the impact across asian currencies. we had samsung numbers and it also just mentioned in some commentary of getting positive boost as a result of the policy effect. take a look at the samsung heavy weight will be the name of the game today not just for the korean markets but for some of the regional chipmakers as well. the kospi is not by just over 1%. still waiting for samsung to come online with earnings