haslinda: almost 11:00 a.m. in singapore and shanghai. welcome to bloomberg markets: asia. here are the top stories. stocks in asia struggle for direction following a sluggish u.s. session as investors split on whether the market can sustain this months rally. the u.s. revokes licenses allowing huawei to buy semiconductors from qualcomm and intel, further tightening the screws of chinese tech giant. in indian stops -- stocks jumped to a tiredness -- highest on signs that modi's ruling priority may win fewer seats than expected in national elections. let's get you to markets and how markets are faring in asia. avril hong is on top of it. it seems that markets are looking for catalysts to go higher and finding none. avril: they are looking for something that will push the momentum as you well know. in the month of may asia stocks have done a pretty decent job in

recouping that april route. this is thanks to fed optimism, as well as pretty solid earnings out of the u.s. as we saw overnight, u.s. stock string of gains has stalled. asia stocks, a struggle for direction and the clients are being led by japan where we are seeing strength is in the u.s. dollar. that's putting pressure on u.s. currencies. put the board. i wanted to show you some of the stocks we have been putting it -- keeping this is a repair firm in south korea, and it made its trading debut today and a splash. 45% gain at one point. this really helps to cement south korea's presented -- position as one of asia's busiest venues for fundraising, especially after a slew of reforms to unlock shareholder value. the other stock we have been watching, nintendo, we got earnings in a week outlook slumping by the most since february. but in general, tech shares in

asia have been under pressure today as their u.s. counterparts struggle for gains overnight. that's what the board because as we search for signs of recovery in the asia-pacific, we have been seeing the msci china in overbought levels. where it goes from here it will depend a lot on the chinese seven mac seven tech eights. we see a how they have an outsized impact on these chinese benchmarks. but at a discount. this will be key to watch going into next week as we keep an eye on some of the earnings tencent, alibaba, baidu and jd.com. haslinda: morgan stanley says if you are chasing the tech rally in china, follow the themes, not the indexes. avril hong, thank you for that. the u.s. government is further tightening its export restrictions in chinese telecom giant huawei. we bring in our chief north asian correspondent stephen engle. what new action from d.c. are we talking about here?

stephen: earlier you said tightening of the screws, that's a good way of putting it because these biden administration expert controls have been targeting a number of companies, but more precisely i guess you could say, huawei. we are hearing from sources that the biden administration has essentially revoked licenses allowing huawei to buy semiconductors from qualcomm and intel, affecting u.s. sales of chips used to give huawei phones and laptops. the u.s. commerce department has confirmed the withdrawal of certain licenses for exports to huawei but declined to offer specifics. pope what we do know is one congressman that is michael mccaul, a republican from texas, he says they are essentially going to block all semiconductors sales to huawei. he said qualcomm and intel have

gotten a little too close to china. that might not be the total effect. qualcomm has said that their shipments to china and huawei have two in two a trickle. in the future, they see a getting less. but nevertheless, the u.s. really focusing on huawei not getting advanced chips. right now qualcomm can sell, has been able to sell chips that go into 4g phones, but not more advanced like 5g. you are going to see, according to the sources, potentially the u.s.-biden administration going after six chinese companies with sanctions for providing ships and chipmaking equipment potentially through a third in huawei. yes, it's tightening of the screws on huawei by the biden administration. haslinda: you have to wonder if huawei will push back. chances are it will.

what form might that take? stephen: this has been something that huawei has been phased through the trump administration and the biden administration. there have been ways that we saw this, and we have the video. i believe it was last year when the bloomberg investigators un tightened the screws of one of those huawei phones and essentially found a 70 -- a seven millimeters semiconductor in the semiconductor manufacturing international or smic in the allegation there was that perhaps those chips were made with u.s. equipment, which would essentially the way the export controls and sanctions have been written, would be in violation. that's where it comes back to the potential sanctions against those six other chinese companies. but again, huawei obviously will be looking to the domestic market, it will be looking to other markets, not the u.s. market, but it's another hick

up, if not, speed for huawei if it gets further sanctioned and restricted access to those lesser advanced chips from qualcomm and intel. haslinda: tiktok focus today. his chinese parent bytedance launching a former legal challenge to the u.s. law forcing it to divest her face of man, what do we know about this lawsuit? what we know is that it will take a long time. stephen: that's right. essentially tiktok is not going to roll over and just willingly divest, talking about the parent company, bytedance, divest its stake in tiktok. they will fight this through the legal courts. the biden administration, by and sign the long -- law that had bipartisan support in congress that essentially forces tiktok to divest its chinese ownership stake or face a band, and that ban would come into play if it

had not died vested that space on january 19, 2020 five. still more than eight months ago and essentially in this legal filing, tiktok is essentially saying, we are not going to comply, we are not going to sell, and they are going to take legal action, essentially declaring that the band by biden is unconstitutional, it violates first amendment rights of free speech and represents an illegal punishment without due process. it singles out a single company. and there was not any evidence that was provided by the biden administration, essentially outlining why tiktok is a national security threat. and that's a key point because if this does go through the court, which could lead to the supreme court, the owners perhaps will be on the biden administration to provide that evidence of how tiktok is potentially a national security threat to the united states. haslinda: steve, great insight, chief north asia correspondent

there. speaking of tiktok, former u.s. treasury secretary steven mnuchin says he still interested in buying its u.s. operations from bytedance. he spoke with us at the milken institute global conference in beverly hills. >> i'm still very interested in buying get to the extent they want to sell it. we very much want to pursue that. i support that congress passed the bill and it has now been signed into law. i will say this has had incredible, overwhelming support with republicans and democrats. this may be the only thing that everybody agrees on. the fact that it's on 160 million phones, i do think it is a security issue. >> does the deal still work if the algorithm doesn't come with tiktok? >> the chinese government has been clear that won't give an export license on the algorithm and i understand that. we have sensitive technology that we don't want to transfer

to them and they will don't want to transfer this to the u.s. i have actually spoken to a lot of tech companies, they are working and rebuilding this. i do believe the algorithms could be rebuilt. my plan, if we were to purchase it, would be to rebuild the technology under u.s. leadership , make sure that it's all disconnected from bytedance going forward, and that it is very robust and secure. haslinda: former u.s. treasury secretary steven mnuchin speaking to wall street week anchor david westin. still ahead, a deep dive into india's economy with the institute of development research discussing the main risks to growth in markets later this hour. but first, here wife pinebridge investments believe japan has no formal policy to support the yen, which may not be a bad thing. more on the market outlook coming up. this is bloomberg. ♪

haslinda: welcome back, minneapolis fed president neel kashkari things is likely the u.s. bank will hold rates until officials are confident inflation is under control. speaking with bloomberg tv at the milken institute global

conference, the fed will do what's needed to hit its 2% target. >> the second half of 2023 surprised us at how rapid the inflation fell. it was really good news in the economy remains strong. we all hope that was going to continue. the first quarter of this year it seems it stalled out. it is a little too soon to declare that we are definitely stalled out and it's taking more time. labor market is still strong. we could get more data to see if disinflation is going to continue, and if it does great, if it doesn't, we need to take this on board. >> what is the complexion right now of disinflation? what drove us down to the level we are at now? >> most of the gains were supply-side improvements. supply chain's getting better, americans coming back to work. a lot more workers entering the

workforce. that's really positive. i don't think monetary policy brought demand down that much. so most of the gains were because of the supply side. if monetary policy has to take us the rest of the way there, is it tight enough to do that. i'm not sure how tight monetary policy is, we need more data to assess it. >> how do we know the disinflationary process as some way to go. how do we know that this is it or the new normal? >> is not the new normal. the fed can and will achieve 2%. the question is, if disinflation is still underway, then maybe it will continue on its own. we can then take that on board. if we need to hold rates where they are for an extended time to tap the brakes on the economy, or if we need a raise, we will do what we need to do to get inflation back down. >> i will ask about 2% and i no

one of the fed stands 52%. i talked to people and their cost of capital, they are basing it on close to two or 3% rate. they are saying, the 2% target, that needs to come up, that is not the reality long term, at least not for the folks in this room. >> i disagree with that. ultimately the central bank, whether the fed, ecb or the bank of england can determine whatever the inflation rate is. over time, if they conduct their policy appropriately, people will come to understand that it will adjust their behavior. we are committed to two percent. we will get to 2% and get the interest rate environment necessary to achieve two percent. haslinda: minneapolis fed president neel kashkari speaking with our colleagues carol massar and romaine bostick. joining us is pinebridge investments co. ahead of asia fixed income. is the market too optimistic or

too pessimistic about rate cuts right now? >> i think the market was too optimistic about the number of cuts at the beginning of the year and the timing of the cuts. my sense now is that the market is a bit more balanced. the fed really -- the economic data really brought us here and i think the fed, particularly the press conference of chair power was very interesting. in the sense that it narrowed the probability or the range of outcomes for the fed. essentially they are saying they are not going to hike unless there is really significant upside surprise in inflation and they will be waiting. i think that's what the market is positioning now. the short answer to your question, the market is probably more balanced now than we were aware at the beginning of the year. haslinda: are you doing anything differently? >> we thought that the market was getting ahead of itself in the beginning of the year,

particularly in terms of the timing of the cuts, the number of the cuts. so we adopted a position that was a bit more defensive when it comes to duration. i think it worked quite well in the past month and a half or so. i think now the rates will probably gravitate towards a lower yields. i think it's a conducive environment. i think generally, within the fixed income market, we lack some of the short end in the long end. it's a bit of a barbell approach. it has been a good strategy for the past year. haslinda: duration makes sense if the assumption is the fed will cut. we know markets have been wrong for a very long time now. how do you hedge against that? how do you play that? >> it's a great question. the market generally has been wrong in the fed has been wrong when you look at the dot plot and the projections and so on. i think that's what creates

opportunity to trade duration. one of the reasons why i said it, i thought that the cuts would be in the markets he said at last year. in the cuts would be less than expected. making sure they don't make a mistake that proves to be wrong. i think now we are in a conducive environment for trading. haslinda: credit market, spreads are so tight, why bother? >> that's a good question in the sense there are vulnerabilities when it comes to spread. that's for investment grade market. if you look at certain markets, particularly develop markets, high yield for instance, half of the market is trading in ranges that are typical of investment-grade markets, less than 200 basis points to the treasuries.

i think the spreads are vulnerable and i wouldn't disc out the back up in terms of spread. having said that, i do think that generally investment-grade markets will be resilient because of the overall yield levels and because of corporate fundamentals. haslinda: when it comes to fixed income, is the right strategy still to change yields? >> no. it hasn't been the right strategy for a long time. the short and definite answer is no and do not go after carrie or to yields. i think you need to have a very important driver, which is have a view in terms of duration, particularly when it comes to the investment-grade market. including in asia where we do some up -- some opportunity. the short answer to your question is, no. haslinda: i think market has been taken by surprise by the persistent ust strength and it is posing risks when it comes to it a possible new default cycle.

how are you assessing that? what are you seeing in the market? >> that's a good question when it comes to local currency bond markets and for some of the two g, 3d currencies. we could talk about the energy as well. the way to answer that question is two ways. the first one is we think the regional central banks will just wait and see the fed move first. as such there are price takers and that creates vulnerabilities in terms of the local currencies and some defensive hikes like what we saw in indonesia, for instance, recently. in terms of defaults per se, i think when we shot some of the corporate issuers that we follow on the credit market, we saw that the vulnerability is there, but it's there, but it's therefore a specific segment where there is a bit of a mismatch between the revenues of my abilities and so on and so forth. i think that has been a trend over the past few years because

of the increase in growth in terms of the local currency bond market. yes there are vulnerabilities and it might lead to some hick ups, perhaps not defaults as much as one would expect, but i think the growth of local currency bond markets mitigated that weakness. haslinda: india has been front and center, how attractive indian bonds are, bearing in mind of -- or has the story been played out already? >> the good news it's a good story and also what needs to be factored in is that it is also in the price already because india has been the darling of the market for some time. and that's a focus on the fixed income market but whether you talk about the equity side of the fixed income market side, whether you talk about the local currency side or the dollar side, india has been a bill of a

country by the market. that's, to a certain extent, priced in. we are a bit weary of valuation when it comes to the bond market. haslinda: before we let you go, we have to talk about the yen. there are murmurings we could see a rate hike perhaps governor ueda under pressure to adjust the weak yen. >> was happening in japan is an interesting story. we spoke about that a few times on your show. i think it's really interesting at this point is to realize that i think the japanese policy markets have been very halfhearted about supporting the yen. and that's one because they really cannot accept if they do a very aggressive hiking cycle, which i think is very unlikely. they might hike, but it's unlikely that they hike aggressively. and two, this is an important question, the weekend is not that detrimental to japan.

i think they have this kind of policy of really letting it go while saying something else, particularly by the ministry of finance. i think it slightly incoherent. but my view is that the yen would continue to be weak and then interventions would only be somewhat effective in making sure the markets are orderly but not propping up the yen. haslinda: the weekend beneficial to japan but less beneficial than before. pinebridge investments cohead of asia fixed income. we have breaking news right here. it is from bloomberg scoop. jp morgan paring down its exposure to the sick empty after insider allegations. jp morgan limiting its dealings. siggy empty capital management -- segantii charged with insider trading according to people familiar with the matter. plenty more ahead.

keep it here with us. this is bloomberg. ♪

haslinda: we are keeping an eye on apple supplies in asia after the tech giant unveiled a new ai focused ipad pro and a larger ipad air. the pro revamp includes a faster and for chip. apple aiming to re-immigrate a tablet lineup that has languished over the past two years. the company has little change in new york after that announcement. though supplies are pretty mixed. it is down. aac surging about 5% right now. also keeping an eye on high-end

day marine on the back -- hyundai marine on the back of that ipo. jumping as much as 45%. now up almost 50% in its debut in korea after it being 200 times oversubscribed. it is the largest ipo in korea since 2022 and it makes korea's asia second largest ipo market at 2024. kkr remains one of the bigger holders, a 24% stake in the firm even after the listing. take a look at where we are in terms of chinese self driving tech stock. surging at this point in time on the back of news on tesla. plenty more ahead. this is bloomberg. ♪ and they're all coming? those who are still with us, yes. grandpa! what's this? your wings. light 'em up! gentlemen, it's a beautiful...

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heading to lunch. csi 300 index down 7/10 of 1%. chinese markets taking a breather of the msci index jumped 24% from january lows. morgan stanley saying if you are chasing that rally, chase the themes, not the indexes. they may also have near-term technical overbought signals that could deter global buying. shanghai comp down. in terms of the yuan, 72246 weaker versus usd by the 10th of 1%. let's get to japan which is coming back from lunch break and avril hong is on top of that. avril: we are returning from lunch break from japan today were we have been seeing the bleed in the region. that market is leading the declines in the asia-pacific and it is being dragged by some of these tech names after their u.s. counterparts struggle for

gains overnight. the focus now shifting to earnings. we have the likes of toyota reporting today, but remember later in the week nissan, honda. i will talk about them, but among the things we are watching you japan is the view of how ua the meeting could add to the expectations at the boj will make a move in june. this could include reducing bond purchases and this is the view of s&p see. also keeping an eye on a 10 year auction today. it's unlikely to go smoothly. among the headwinds for japanese bonds, although we see gains on the 10, dollar-yen moving past 155. let's take a look at the ends impact, the weakness of the yen and how it has played out for newsmakers as newsroom colleagues pointed out this is a good thing because it helps to inflate -- inflate the overseas values of profits and sales and prices the exports more

competitively. we see that relationship broken down this quarter as the yen weakens 2%, we see the automaker index slide 4%. that will be key to watch as those earnings are revealed. something else we are keeping an eye on is msci china. you spoke about how it has been seeing that surge since january lows. the reason for this include the rotation out of japan and how things have just gotten so cheap. the other final piece potentially of the puzzle when it comes to run up to msci china will be key to watch for tech a earnings as they have an outsized impact on the chinese benchmark. haslinda: let's bring in mark cudmore. we talk about the move over mac seven.

you have to wonder whether that rally is really sustainable. >> i love the idea of something finally to shift, which has been impossible. it gets distorted with the indexes so much. in some people like myself are slow to realize that when we talk about u.s. equity indexes, you need to talk about the magnificent seven, not the broader index likely use to. it's an excellent piece. it talks about the fact that chinese stocks to have their own tech component to compete with the magnificent seven and that because they are discounted by 30% to 40%, this might provide momentum to the rally. my team believes that the overall bull market in china and hong kong starbucks is sustainable. i don't think short-term was particularly excited but is it sustainable?

haslinda: how much more upside because we have seen them rally and when you take a look at mid spun, bob latta, tencent, they are looking really cheap. >> i think the potential upside here is massive. first of all, as you say, really cheap. not only really cheap, but the whole world is massively under infested to the china story. you're getting signs the chinese economy is slowing down. it has upgraded only by .3 percentage point above 4.8% for this year. quote for next year's been upgraded. we're seeing a turn of the narrative. the housing market collapses not going to suddenly bounce, but we've gone through the collapse and now there's a long bottoming process. and you get the government turning supportive on structural form. a load of narratives are turning at once. i think there is massive upside.

you're talking about double digit gains potential. the big qualifier is, the problem with chinese stocks the last few years has been the leadership and the sudden change of policy from the top. she sinking at its policy are in charge and the risk will not go away. there's a chance we could go up 30% to 40%. i think there is massive potential upside but the risk is not going away. haslinda: lots of upside including the increasing buyback since 2021 supporting shareholder return. the question is, if you want to get in, when do you get in, considering the risk you just mentioned to us. market: any wealth manager would tell you, it's probably a harder one to pick exact timing. you have missed the accelerated rally, wait for pullbacks. there will be pullbacks along the way. this moment is less exciting. i think if you didn't buy a few

months ago, wait. as the wealth managers say, this is a story you have increased exposure to. you are going to get that volatility from renter head -- random headlines. haslinda: we have been talking about the yen all month long, are you seeing a ton of pivot from the governors saying perhaps it is time to have a rate hike? mark: people seem to be dismissing a little bit and not saying much. ultimately, i'm a young -- long-term yen pair. haslinda: and you say fundamentals are not supporting. >> is not about dollar-yen, but i think that yen depreciation will force the boj likely to hike. i think the boj, no rate hikes, i think they are likely to hike another couple of times.

that's why the yen story will get harder. even though i bears the yen, it will be volatile. i don't think dollar-yen is as easy. haslinda: mark cudmore, thank you for your thoughts today. india has pulled off an impressive recovery post-pandemic and we discuss the main risks facing the economy. keep it here with us. this is bloomberg. ♪ ♪♪ ♪♪ ♪♪ ♪♪ sandals jamaica sale is now on! with rates from $199 per person per night. visit sandals.com or call 1-800-sandals

haslinda: welcome back to your bloomberg markets: asia. watching india and we count down to the india open in about six minutes. futures pointing to a lower opening. pretty much in line with the rest of the region. his a look at the india vix index showing a surgeon volatility over the past nine days after relative calm. let's bring our equities reporter, cj in mumbai. what is stoking these market fears? cj: at this point, it seems like there is an expectation happening with respect to the ongoing general elections. the market ran into this when modi started back in april. but expectation that the led

coalition of parties were in the majority. the coalition itself has doubted that they want 400, the market was pricing in their expectation. after the first couple of phase of voting's happening, it seems like they are hanging on those expectations. as we inched closer to the election counting day on june 4, the market is showing some appetite to buy some insurance on the downside. let's not forget valuations are expensive for indian stocks. the benchmark indexes here, the nifty is sitting close to the record highs, therefore the downside seems more larger than the upside from any positive news. therefore we are seeing the volatility they're going higher option pricing is also, if you look at the implied volatility for option expiring in june, late in june, it is also inching

higher, so there is just a bit more that the market is reflecting than what was the case of a month ago. haslinda: you talk about market expectations for the election are changing, yet we haven't seen a significant selloff, why is that? >> i think one factor to look at that could explain that is that earning so far have been doing ok. if you look at the 28 companies that have reported earnings, a little more than 50% of them were surpassing analyst expectations. if you look at 2024 overall, msci, the future of it for the forward of india has been seeing of grades. a has been surpassing upgrades that we have seen in other markets in asia, particularly in china, korea and taiwan.

while the politics of it all becomes a little less in terms of the outcome, the earnings, which are always the major driver of the market's long-term, that will provide some investors. that is why may be the price is not reflecting what we see at this moment. haslinda: our equities reporter in mumbai, thank you so much for that. india is into its final round of election, the associate professor of economics at the institute of development research. thank you for joining us. what are your thoughts on how the elections are going right now, and the impact that may have on the economy? >> i don't particularly want to, on elections, i think they are going as expected, there could be a little bit of sureness about the margin with which the current ruling party might win, but i don't think there is a

whole lot of doubt about the probability of them winning the elections. we will get to know soon about it. in terms of the consequences of the implications of it, i think from an economic stability stand port, it's not a bad idea to have the same government continue in terms of continuing policies and reforms, i think that would be an economic pollack -- positive and that's with the market is looking forward to. they do have some promising points. continuing on the past -- on the path of fiscal prudence. we do have a high fiscal deficit at 6% and the government plans to bring it down the must .4 .5 percent. they will continue on fiscal prudence, promoting exports. these are the policies that continue postelection it and we will see how it all turns out.

haslinda: in terms of policies that can be expected, what would you like to see in terms of priorities. what are the low hanging reforms that the next modi government can implement? >> there are two different ones. when i would like to see as an economist on the second is what you expect the government to be implementing. in terms of what economists would like to see a structural reforms. we had resilient recovery from the pandemic. it we need to sustain the 70% for a long time if you want to achieve economic status, which is what the government promised to achieve. for that we need structural reforms, land reforms, labor market reforms, financial sector reforms, analysts will not see the kind of productivity boost to be able to sustain a high growth for a long time. as an economist, that's what i would like to see on the table, also boosting exports significantly because it's a historic opportunity for india

and a lot of companies are trying to look at other alternatives from china, india could offer a very real alternative. we need to implement more stable and predictable policies in order to be able to encourage those companies to come and set up shop in india. that is also something that i would like to see. in terms of what the government might be looking at in terms of reforms, simplification in terms of commercial laws is probably something they would look at because it would definitely improve the ease of doing business. also entering into more bilateral free trade agreements with other trading partners, that might also have exports. and remaining on the path the fiscal consolidation is again something that they would look at. i'm not so sure about how much they would prioritize structural reforms because we haven't heard about that. so that is sort of the missing gap, i would say. haslinda: we know there has been weakness in the rule sector. i'm wondering if the abundant

monsoon season will help turn things around? >> the agricultural sector has not been performing very well, and that is a big problem for us, not only because the rule sector is a big source of demand but because inflation has been a persistent problem over the last few years or so. there is the forecasts of monsoon being stable and good for this year and it might help the rule sector. in general i think that sector has been affected by a lot of shock, starting from the monetization and informal part of the ruling sector in the pandemic. the forecast might definitely help, we also need agriculture and reforms in order to boost productivity and minimum support that had been happening. so all of those things would have to be put in place above the monsoon. a combination of multiple factors is what is needed to get

the rule sector back to where it was before the pandemic. haslinda: this is an economy that is still facing inflation risks and food and oil. might that prompt the rbi to delay great moves also given where the fed is right now, pretty much undecided with the next move might be? >> it has come down from 2% to 6%. there are risks to inflation from food places and potentially oil price increase for tensions in the middle east. to that extent it might hold the rate at 6.5% for a while because unless they see the inflation moving to the target of 4% in a sustainable manner, they probably will not start cutting rates. but it is also true that when the u.s. starts cutting rates, the rbi won't lower rates either

because there are applications to reseed. which then the central bank might want to avoid. so maybe it will be a combination of both that they are waiting to see headline inflation that will start moving in a sustainable way. and also, if you are lucky enough, the timing with the fed cutting rates as well because i think it's very unlikely that the rbi will cut rates before the fed does, given the exchange rates application of it. i think that's basically what would guide our be in policy. haslinda: waiting on the fed. associate professor -- professor at the development research center. india has been trading for about two minutes. let's do a check on how markets are doing. asia under pressure, so is india, the index is down. losses for the rest of the benchmark. the rupiah 8340 962. we have talked about how the common the indian market is

getting shattered by speculation. modi's party may win few receipts and expected in the ongoing national elections. still to come, we discuss a new report on the world's wealthiest cities. find out why hong kong has seen a decline in its millionaire population, what's the story for singapore? that is next. this is bloomberg. ♪ you know what's brilliant? boring. think about it. boring is the unsung catalyst for bold.

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haslinda: welcome back, hong kong and singapore have been hailed as among the wealthiest cities in the world, but the immigration consultancy firm notes a decline in hong kong's millionaire ranks as wealthy experts leave for singapore. let's bring in our wealth reporter, claire valentine and hong kong. hong kong's loss, singapore's gain. >> we have seen millionaires move away from hong kong and into singapore. it has affected the latest wealth surveys. the has kind of been the trend. in the past 10 years hong kong's number of millionaires has decreased 4% while at the same time we have seen singapore's number of millionaires increase. it speaks of the trend in the rivalries between the two cities and seeing how people are

departing hong kong. haslinda: can singapore sustain its position? >> we will have to see, a lot of the wealth gains have been driven by global equity market gains. financial markets around the world have increased in the past decade, but you have these geopolitical issues in these other reasons that people move in change locations. right now we're still seeing new york as the city with the most millionaires. one and 24 people in that city are millionaires, which is pretty striking, but we also see increases in singapore, tokyo doing well in terms of millionaires, so is the bay area, we sort of have to see where people want to move in what becomes more attractive in terms of location. right now we see hong kong on the decline in singapore rising.

haslinda: how about china because we know the economy has been under a lot of pressure. >> in terms of china, cities on the rise include china's shenzhen. the number of millionaires has surged over 140% in the past decade. they haven't really delve too deeply into the different cities in china, but in terms of shenzhen, really on the increase. haslinda: our wealth reporter, claire valentine and hong kong. we know that london has lost 10% of its millionaires over the past decade. here are some top geopolitical stories we are following. donald trump's criminal trial for allegedly mishandling classified documents has been postponed indefinitely. it is a significant victory for the presumptive republican presidential nominee who is facing for criminal charges and

seeking to avoid multiple trials before the november election. trump is currently in short -- in court for charges he concealed hush-money payments to a point star. chinese officials are threatening to release audio of a philippine military official that beijing claims is evident of a disputed territory in the south china sea according to a transcript seen, the head of the philippine ministries western command agrees to a new model in handling resupply missions in the area. miller lite has previously denied such deals. the u.s. as israel and hamas should be able to resolve their differences given the proposed cease-fire in gaza. a contradicts talks with israeli officials who say the two sides remain far apart. israeli forces edge closer to the city of rafah. meanwhile, president biden has used his speech remembering holocaust victims to condemn anti-semitism. president biden: that hatred was

brought to life on october 7, 2020 three. on the sacred jewish holiday, the terrorist group hamas unleashed the deadliest day of the jewish people, i have not forgotten, nor have you. haslinda: in the markets, we are tracking some move as nintendo is currently down by more than 5%. shares of nintendo tumbling the most in over a month after the company warned of a shot profit fall. it also signaled a next generation switch wouldn't arrive until 2025. following shy of expectations, even with week -- that weekend boosting. currently down more than 1%. mitsubishi have big grafting of the opposite direction. these are some of the companies that will be reporting earnings later on. nintendo in the opposite direction, down by more than 5%. we are also tracking the likes of xiaomi and other apple

suppliers that's on the back of b.i. suggesting that lenovo, xiaomi will live sales as well way ships curves, looking at where we are in terms of display. huawei is up by more than 6%. lenovo in the opposite direction down by .5%. in the wider market, asia looking for a catalyst to go higher but finding none today, the fed is front and center, trade is pretty much divided on what the fed will do with rates this year. take a look at where we are in terms of the yen, that is one currency that is under some pressure. that is it from bloomberg markets: asia, horizons middle east and africa is next. keep it here with us. this is bloomberg. ♪

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