Rishaad the jobs report in the u. S. Is better than expected. You have to drill down into some of it. What i want to bring up. This is the rate for those who a mainss educated with beneficiaries of the job creation taking place in the u. S. Recovery has been Strong Enough, even people struggling in the labor markets are doing better. Others are taking another view, saying most of these jobs are not creating that much value. 51,000 ofking about them are created in the food and beverage agency. Hotels and bars as well. Waiting staff and bar staff as well. That is what we have if you are drilling into that data. Are seeing this reaction on the markets, equities are pushing higher with a little bit of a recovery in the bloomberg dollar index. That is back to trading flat in the Asian Session today. It did not move the needle when it comes to fed expectations. That is what we are watching for with the cpi numbers in the u. S. There is commentary from this fed president towards the end of the week. We are 30 minutes away from the opening in china and hong kong. We are seeing a rally with malaysia just coming online. Lets get a look at the early session. Asia and investors are taking their cues from wall street. We have equities across the board on the rise. Asx 200 down in sydney, gaining almost 1 this morning. Regional stocks are set to halt a two day drop. Looking mixed. We are seeing treasury continue to fall. That is holding on to fridays gains. That is something to contend with today. We do have the yen extending, easing up on some of the losses. That is giving a boost to tokyo shares, along with earnings. Nikkei 225 trading a half of of percent higher. It could be set to move past the 20,000 area that it has been stuck in for the past two months. On that yen we have Asset Management saying it may strengthen to 100 a dollar as soon as september, if u. S. Political risks or fed prompts traders to cut short. The u. S. Job support could provide relief of the aussie dollar. It is getting a third of a percent, its first gain in four days with the one yuan falling 2 10 of a percent. Steel is surgingsteel is surgina half percent in shanghai. Winter curbs for steel in china standby 9 10 of a percent, we showing you what is going on with oil. We have crude swimming to gains. 50 ajust below that barrel mark. We have Major Oil Producers set to meet in abu dhabi on monday to discuss noncompliance by sub producers when it comes to out cuts. I want to show you some movers that are watching in asia, when it comes to stocks. Toshiba rising almost 9 to halt a three day drop. Local media reporting its annual report may be endorsed by its auditor. It continues to heat up. Toyota going up and softbank is up ahead of its report card. Commonwealth bank snapping a three to decline. Lender says issues with the deposit deposit machines responsible for erroneous transactions. Under scrutiny, given the surge around potential Money Laundering. Kamaruddin,hie lets get you to the latest events taking place in the troubled country of south america and the arrest of the first word news. Tom mackenzie. Venezuela claims to have defeated a u. S. Banks attack on an army bank in the central city of valencia. Several people were arrested after social media showed images of shoulder soldiers declaring a rebellion. Security has been tightened across the country, with military check points. Independent observers say the alleged attack on another base earlier this year. Foreign deposit banks in qatar dropped the most in almost two years in june. Sources say some golf lenders are refusing to roll over lenders when they mature for the saudi led diplomatic isolation. To benks are said concern, they could face repercussions for their governments, but continue to do business with qatar on june 5. The man who appointed the special counsel to investigate russian meddling in the nosidential election, it is mere fishing expedition. Rod rosenstein said that if Robert Mueller finds evidence of criminality, he can pursue further. He appointed a grand jury in washington, a move that some say he has found something. New diversity chief has pushed back against a memo from a male engineer complaining the company has a politically correct a monoculture. President said the memo advances incorrect assumptions about gender. She wrote to employees saying google remains unequivocal in its leaf that diversity and inclusion are critical success. Global news 24 hours a day powered by more than 2700 journalists and analysts in more than 120 countries. This is bloomberg. China says it is confident that the new u. N. Sanctions on north korea will bring the state that to the negotiating table. The issue was discussed at the foreign minister meeting in manila. Our chief International Correspondent of Southeast Asia was there. How realistic is it to expect we will get new talks that this will draw pyongyang back to the table . That they wereow sitting on ads following the two missile launches in generate. Launches in january. They released a statement over the weekend saying that they are concerned about those launches. It is a very grave concern and it jeopardizes perspective prosperity in asia and the world. China came up with a strong response. It says it is confident that the sanctions will put a stop to the new Weapons Program in north korea. It also cautions that it could take the tight take the tensions a step further, take it to a critical phase. It is important to realize that the sanctions are not the end goal. It must come through negotiation talks. We know that Chinese Foreign minister has been in touch with. Outh koreans he has urged his counterparts to react calmly to those sanctions. The question may have right now will the sanctions being imposed by the un security ncil in the last 18 months and that is the exact question to the foreign minister of australian with an exclusive interview with bloomberg. It is a step in the right direction. The United States has been calling on all nations to uphold the Un Security Council resolution on sanctions. Overnight we have seen great progress. Not only the members of the unanimous oncil this point, but there are quite extensive sanctions. Haslinda the sanctions imposed by the u. N. Security council have not been imposed yet, but north korea has diebold states pretty advanced and nuclear Weapons Program. There is some doubt that that wont be stopped. China has been discussing all these tensions in the South China Sea. A always have to do that, but it seems like was anything achieve this time around . Haslinda [laughter] skeptic in you. Sign a code of conduct in the child set South China Sea. This is nothing new. It brings forward the agreement that was abducted in 2002, but was ignored by all claims of the South China Sea, especially china. Hashat timeframe china built seven islands, some with runways and others with satellites. Certainly gone all out to build up in the South China Sea. What is with noting is that the framework of code of conduct is nonbinding legally. There is no way of taking any action of any claimants that go against the agreement. There is no mechanism for resolution. That led to some critics saying that china is just buying time by adopting this. Talk about timing. It comes at the time when the u. S. Is distracted with a lot of issues. With russia, with syria, with its own domestic issues. China is buying time to implement all of its strategies in the South China Sea. Has. Ad thanks for that howill be looking at realistic chinas hopes are in bringing north korea to the negotiating table. Next, how the asian markets have been so far to the strong u. S. Job support on friday. This is bloomberg. Rishaad you are back with Bloomberg Markets. Haidi a quick check of the latest business headlines. Taking a look at should link commodity house. Off the weekg looking a little bit unchanged at the moments. The Company Making its first comments on the latest. There were no comments last week as they were destined to fail. They should address the claim or the money and openly. They have responded to earlier allegations and has nothing more to say. Toshiba is taking another stab at its u. S. Partner saying Western Digital has no rights to new production that is crucial to both companies. T concerns a new facility toshiba says it will be built with no input. Cutting the company off from new technology. Western had a stake in the venture when it bought toshibas partner. U. S. Employees have dealt the auto workers a blow by voting down its attempt to organize production plants. They voted almost 21 against joining to joining the union. That is against japanese, korean and german complex in the u. S. It is a setback. The total share workers who belonged to a union fell to a record low last year. Rishaad asian markets, they are not on their way up after the strong yield report on friday. Equities will continue to have bonds in cash as it broadens out. Give us an idea of where this optimism is coming from. The Global Economy continues to be at an upturn. You have seen from the jobs from the u. S. Last week, drug job growth is strong in the u. S. The u. S. Economy is on its way to the Earnings Growth we expect from the u. S. It shows no signs of slowing down. In asia, china is a economy continues to grow at 6. 9 . The market was looking at 6. 5 at the end of the year. The economy is on the right. That is why the markets continue to do well. Rishaad lets have a look at what has been happening. There is a bond storming year. We see a few of the big players that are hoping to drive things. At the same time we have had ashares where china, those of the main ones listed here in hong kong. Between the gap even though we have had so much money coming in through the stock connect between shenzhen, we still have this premium on the mainland, the asias. Why will this not go away . Kelvin go away . Kelvin this is because there is a supply of new stock on the market, as well as the typing by the Chinese Government on credit growth in the mainland. Dont forget the chinese economy is still up performing. Where the asian market and economy is concerned, it is diving away. The Chinese Companies listed in hong kong are driving the gains right now. China rightan sbi now, it is up close to 35 compared to the performance asia is concerned. This does not need to go anytime soon. Government linked companies and stocks were as msci china is being powered by the internet companies. Anyone isont think expecting anything dramatic to happen ahead of the congress that we are waiting for. Think china can actually manage this balancing act, with trying to balance keeping growth at a certain level, addressing systemic risks in the Financial System . At least at face value they get down. Can made do all that and leverage at the same time can they do all that and leverage at the same time . Markets cantock be going up forever, this is an us unsustainable. There has to be some reckoning. On balancing the economy they did a good job. So far, they started deliver it. We have not had impact on the economy but doomsdays are predicting it should have that doomed stays are predicting they should have. So far we have seen that consumption is not picking up a bigger chunk of the chinese economy, which is great news for all of us. On a longerterm basement basis, it will pick up as the soe reforms will go up. That could actually put the dampening on sentiment as we move forward to 2018. The chinese economy, stock market, jobs market, employment growth will be stable because we do not want anything chaotic to happen before october. Where theterms of asia rally goes from here is what the u. S. Dollar does. You think what happened on friday is a true reversal, or is it just a brief correction within a further downed trend . A blissi think it is because, as long as the dollar weakens, japan will do well. Considerably against asian currency. Uan as far as it is concerned. If the dollar reverses and strengthens, asia might see a pass to its strong rally. On that note, i think we do expect the dollar to be measured in its weakness against the asian currency. Recordedrency has sharon gains against the u. S. Dollar. Pleasure. Ays a joining us there from singapore. Coming up, tech takes time. They are reaping the reward after five years of investment. This is bloomberg. Southeast asias largest lenders spending billions of dollars for the technological transfer information. They say it is already paid off. We are seeing impact on our. Market business, for example. Importantm are seeing in revenue. We have digitized the ways customers engage with us. We are seeing improvements on the expense side. The acquisition is lower when we do it digitally, as well as our Transaction Processing costs lower because we killed a paper, it just goes straight through. And 46 a couple of years ago, to 43 now, our testament to the improvement aboard the income line and cost line. I would say the other place you see benefit is to look at expanding into markets in indonesia at some scale. X digital, we were finding it very hard to expand into those markets. You were the first one to identify alibaba as a potential competitor for lenders in singapore. What is your Digital Transformation . Are you prepared to face alibaba head on . Piyush i think we have made important improvements, but the quality is slowly lending their a lot more. It is becoming more startup like. I have to say there is formidable competitors. One of the advantages we have of the, half a dozen Platform Companies have is that the cost of Customer Acquisition is low. Sitting on ays massive pool of hundreds of millions of customers who they could cross sell Financial Products very quickly. That is different from the 99 of syntax who are small, but have to spend a lot of money finding customers. Alibaba has that. Haslinda what now . They have said they are prepared to ease regulations to allow banks to acquire digital platforms. Is that enough, will that level the playing for . Piyush the thing to do is make the bank invisible. What does that mean . That means that people do not really want to go banking. People want to do Something Else with their lives. They want to buy a house, a car, they want to go on a holiday. It is hidden in Something Else that you want to do. Partners, wek with can hide the Banking Service and Something Else that the partner provides. That would be a big step in the direction we want to go. They are encouraging. Haslinda are you in talks to acquire any digital presence . We are in talks all the time to look for partners. If you look at did you bank in india, one third of our acquisitions come to china and not directly. That is the big difference of our approach. Banks used to be what i call, pipeline companies. Its true from the bank to the customer. Beay we are trying to Platform Companies so that we can in gauge in an ecosystem of relationships and bring customers into chinas partners. To use china partners improve our offerings. Piyush. That is 9 20 9 a. M. Here in hong kong. We tell you down to the start of the session. Taking a look at what is going on to the start of the trading week across asia. Expected report on friday. The dow up is for a ninth Straight Record high. Bit of an overlay in north korea. Supporting sanctions against the north. South korean president putting too donald trump in a tweet just being released in the last 10 minutes. The president is very happy with the sanctions. Is bloomberg this asias headquarters. Some we are just getting of these lines through from foreign minister of china saying that a trade war is meaningless to china and the u. S. China and the u. S. Has a lot when it comes to trade. Perhaps settling some of these concerns we are seeing over tensions between these two superpowers. Hong kong markets just getting over. Lets get it over to sophie to see if they are joining this equity rally we are seeing here in asia. Ishie the honk saying joining the upside momentum, giving about 4 10 of a percent to continue gains. We have chinese stocks falling about 1 10 of a percent. This is extending a three date drop ahead of july 4 reserve. We have a barrage of chinese data. Trade data due on tuesday, followed by Inflation Numbers on wednesday. We did have the yuan coming in at 6. 7228. Weaker by 4. 1 . The most since july 4. The onshore rate is 2 10 of a percent after that fix. 6. 7289 right now. Now the front page of the China Securities journal over the weekend, there was a piece saying the yuan was expected to increase its twoway fluctuation, with a lower possibility of a one wage depreciation. We have a dollar strike in the backdrop for now. There are moves i want to highlight in the commodities complex. We have called copper shifting gear. While thats on steel have fallen, the metal that is continuing to rally in shanghai, surging by the daily limit. We did see steel rise to the since 2008. Steelmakers from benefit from more output cuts. Curves inng winter china could reduce daily out by 8 . Last friday we had chinese steelmakers among the biggest. We do have materials up about a half of a percent. Just to show you what is going on with steel players, up about 2. 7 . Take a look at the breakdown, you have been gaining almost 10 . Steel in focus, given that rally in the metals price. Rishaad lets head back to beijing, Tom Mackenzie is there with the first word news. Tom samsungs de facto chief return to court today for a final hearing on charges of bribery and corruption. Formaltion will make a deman