China, Australia, New York City discussed on Bloomberg Daybreak: Asia
Pushing higher, particularly in Australia, where the ASX 200 is up about 1.1%. We had a risk on day in the U. S. Some of it was tied to this idea that we're closer now to some kind of federal relief coming out of Congress, and we should point out as well that the vaccine roll out in the U. S continues without Any major disruptions. To be fair, though there are the risks of a much tighter restrictions, particularly here in New York City, where the mayor was saying residents can expect a shutdown of all but essential businesses soon after Christmas, and we know the story in Europe. Is that governments have been tightening measures. For the moment, though it was all about the higher stocks today, particularly small caps in the states, where the Russell 2000 was up about 2.4%. The Dow up more than 1%. And where the S and P and the NASDAQ or each concern gains of about 1.3% crude oil right now, 47 60 in the Elektronik session. Some of this move up and crude is tied to the positive outlook for fiscal support. But at the same time reports out of Saudi Arabia indicating that the government and officials there are working with OPEC plus producers to stabilize the market. Right now. In Tokyo. The Nikkei is up more than 3/10 of 1% similar story in Seoul in Sydney as sex 200 had more than 1.1%. The dollar right now recovering after some New York weakness in the New York session, We had the Bloomberg Dollars spot Index down 4/10 of 1% right now, a gain of 1/10 of 1%. All right, that is market action. We moved to global news. Mark Mills is in the Bloomberg News remark. Doug. South Korea reported a record jump in covert 19 cases over a 24 hour period. As the nation seeks to contain a third wave of infections. Hong Kong is considering extending social distancing restrictions on dining beyond Christmas. And is planning more relief spending for affected businesses, according to local media reports. As cases surge in California Governor Gavin Newsom is looking overseas toe higher, temporarily medical personnel, he said, the state may ask the U. S navy to send back the hospital ship mercy and has sent 5000 more body bags, two hard hit counties. Governor Andrew Cuomo said New York recorded 128 deaths from covert 19, the most since mid May. The state also had 5982 patients hospitalized with the virus approaching the 6000 market hit last May, 15th President elect Joe Biden has picked former EPA chief Gina McCarthy as his climate policies are and a foot or more of snow could blanket the mid Atlantic and Northeast starting Wednesday, snarling traffic and sparking power outages while bringing New York It's worse December storm in 10 years Global news 24 hours a day on Erin on quick. Take my Bloomberg powered by more than 2700, journalists and analysts in more than 120 countries. I'm Mark Mills. This is Bloomberg. Juliet. Thank you so much Mark, just getting some breaking news across the Bloomberg as the Australian Trade minister Salmon Birmingham speaks in camera that Australia will take the China barley tariffs to the World Trade Organization. They're saying this is a logical and appropriate next step as they see this trade war, I guess. Heat up. With China so Australia to make a request here to the WTO's after China's barley tariff. Let's get more on this with Steve Breast chief investment strategist at Standard Chartered Private Bank, because I guess it is just a reminder that the trade war whether it's between the US and China or Australia and China is still something very much of the four and still could be something that would be a big risk to 2021. Yeah, to see if you're looking at the risks that they're out there. I think you'll see that the vaccine being dispersed in an efficient manner is one thing that we need to watch but also then Relations with China just generally, you know, everybody's assuming a czar, we that you know the U. S on DCI China that they'll still have issues that they sold, but they'll work together to try and solve them border than the previous administration. But you know, it's just hot lights. It's still going to be tricky on. Therefore, we may see risk of metal bands of risk off environments around trade tensions from time to time. Yeah, when it comes to the new but an administration as you say, perhaps not a potential reset exactly on January, 20 do you expect, though, that we will see a guess a better relationship than what we had seen under the Trump administration. Well, I think it would be more predictable, which I think is, you know, T China, even if it's still quite company, confrontational in terms of having different objectives and trying to you know they're trying to achieve or modify those that's still going to be the case, but at least it will be done in a way that not through Twitter and 31 arm of the government. I'm saying one thing, and then the president saying something totally different 24 hours later, so I think it will still move in a similar direction. Just be less uncertain Day today. It's a kind of tricky question to ask, because obviously blacks, one events of things that we don't see coming. But what else could they put in risk to this global economic recovery? Because if we think about where we were this time last year, we were certainly not expecting a pandemic on the horizon for 2020. Yes, sir. That clearly I mean, overseers. You mentioned that there is a vaccine doesn't work doesn't get distributed. It doesn't get deployed. For whatever reason, that would be a number one risk for everybody. But we still have the risk of a credit default cycle s o, you know, And that's actually one of the things they're trying to address on the fiscal policy front, and we're all assuming that they're managed to avoid that. But if for whatever reason that that did eventuate Clearly that would be very, very challenging for the global economy and vanquished back into recession, Probably a low probability event that very high high impact event as well. And how, I guess. Would you try and hedge against that? I know that when you're looking in within the bond market, for example, you're looking at some of the high yield in the developed markets is attractive place here. Yeah, It's not really a hedge against that environment. Of course, one of the areas of insanity hit Yeah, I suppose different areas being an actual enough environment would not be a bad place to be. Gold actually just downgraded our view on gold because of this risk on environment on the recent were on the expectation that real yields went won't go significantly lower from here. But in that environment off, see, central banks were becoming huge amounts of liquidity into the financial system. And gold would do pretty well. In that environment. I would reckon All right, Steve. Always great to get you inside. Thank you for joining us. Steve Price is chief investment strategist at Standard Chartered Private Bank on the line for us from Singapore and just reiterating this breaking news that we are getting from the Australian Trade Minister Simon Birmingham, speaking in camera, saying that Australia's chase to get case rather against China is incredibly strong and Australia will take Thebes Bali tariff issue with China to the World Trade Organization. Saying Australian grain growers and farmers and not subsidized they don't dump their products on global markets, and they clearly have the evidence to mount a strong case will continue to keep you updated on all the top. Business headlines and market news. Stay with us. This.