14/01/2016 BBC Business Live

This is Business Live from BBC News with Ben Thompson and Sally Bundock.

As oil falls below $30 a barrel, global stock markets slump

Live from London, that's our top story on Thursday

The big fall in the US has dragged Asian markets lower.

But is the sell off a correction or the beginning

Also in the programme, a series of explosions and gunfire

have rocked the Indonesian capital, Jakarta.

At least seven people have been killed.

We'll keep you up to date with the latest.

And here's how the European trading day has begun.

Nervousness and volatility the order of the day for investors.

Website Etsy puts sellers of handcrafted goods in touch

with buyers around the world in a business model that made it

we want to know what is the best thing you have ever bought online,

something original was something that changed your life that you mark

For anyone hoping for a turnaround on the markets this weeks -

The Dow Jones lost over 2% in trading yesterday

The S is now down 10.4 per cent since its recent high in November.

A fall of more than 10% is known as a "correction".

It can be a big blow to confidence in the markets,

and often a signal of bigger falls to come.

And as we mentioned, oil prices dipped below $30 a barrel

too, with market watchers now eyeing the $28 mark.

Nada Tawfik is in New York, and explains how significant

if we look particularly at oil that has been down roughly 18% this year

will stop it had a brief rally on Thursday before prices fell again.

We have heard that this could be an issue throughout 2016. Really

weighing on the market. On the erratic view we heard was from

investment strategist in London, Albert Edwards, who has warned the

world could be heading for a financial crisis as severe as that

of 2008. He is just one and no that at one analyst but it does show

continued uncertainty. And amid all that uncertainty comes

the breaking news we've been A series of bomb blasts

in the Indonesian capital, Jakarta. There is continuing gunfire

and reports of further explosions. Police say at least seven

people have been killed, It's unclear who was

behind the attack. Sharanjit Leyl is in our

Asia hub in Singapore. As we have said, on top of the

nervousness in markets this attack, details still emerging but that will

serve to add to the nervousness and uncertainty? And it is indeed, most

of the markets here have started to close and they have almost all

closed lower. Explosions and gunfire in Jakarta actually hit things like

the Indonesian market which touched on. The Indonesian central bank

meeting this week have cut their benchmark interest rate for the

first time in 11 months, about 7.25%, that was a bit of a surprise,

certainly earlier than expected. We also sought the Jakarta deposit

index just about to close for the day. It has actually pared some of

those losses now and is trading down 1.3%. Bear in mind that in the

series of many terror attacks Indonesia has suffered the Jakarta

stock exchange was a target in 2000 when some 15 people died. Over the

years we saw the attacks in our league in 2002, the most recent was

in 2009. All of that -- in Bali. That all have an impact on tourism

and investment. We have seen other markets falling as well, in Japan

the Nick -- the Nikkei closed two alone, and in Australia down 1.5%.

The bright spot has been in China with the Shanghai Composite actually

closing up. And a reminder, there's continuing

coverage of events in Jakarta We'll have it right here on BBC

News, but also on our website. And those events adding

to already nervous markets. US crude prices dipped below

$30 a barrel yesterday, Brent prices soon followed

hitting their lowest levels The big question is how

far they can fall. A move towards the 2004 lows of $28

a barrel is now in sight. For the first time this year

the FTSE 100 yesterday managed to see two positive days

in a row, buoyed by a rebound in oil prices, as well as an improvement

in the latest Chinese trade But that is not lasted. Down already

this morning. That fall in oil prices

dragged on European markets Here's how they've

opened this morning. We'll get an update on interest

rates at middday in London today, with the BoE decision and statement

but no change to rates is expected Sue Noffke, UK Equities Fund Manager

at Schroders is here. Everyday I feel like am having this

conversation and we thought there was a bounce back yesterday but now

we are worse off than Monday. That is interesting, yesterday we saw

markets starting to rally and the US opened up but really nervousness too

cold. What caused the change of mood on Wall Street? The Chinese news

yesterday was really positive. I think it comes down to oil and that

is the fear about the strength and sustainability. We are having

growth, it is more volatile and patchy and not high enough to get

people comfort that the world is in a sustainable place. You talk about

sustainability and with all of these anecdotal bits of data and

statistics, everybody trying to piece them together to get an idea

of the economy. That is notoriously difficult but I suppose it is about

whether it adds up to a bleak picture and there is not much to get

excited about. Sadly touched on the Chinese data yesterday that was

better but it was not really enough to spark any sort of excitement.

That right, in the US we have seen sufficient growth on the Federal

the emergency levels from 2009. That the emergency levels from 2009. That

is good, but more recent data has suggested a little bit of a

slowdown. The question is, it is this a rolling over or just a pause?

If you are taking the heat out of the strongest areas of the global

economy it does not need much else to take its place. In the meantime,

some companies and industries are doing really well, like US

car-makers. General Motors upgrading car-makers. General Motors upgrading

its outlook for this year saying they are having a bumpy time, US car

sales with a record last year. People buying brand-new gas

guzzlers. That's right, finance is still cheap and running costs are

cheaper. Housing as well, that tends to be correlated with the

availability and Jenas, we have seen that in the US and the UK. Thank you

very much. We will keep you up-to-date on those markets as the

A reminder of the news from day progresses.

A reminder of the news from Indonesia, is series of bomb blasts

have rocked the capital, followed by gun battles on the streets. Police

say five suspected attackers are among at least seven people who have

been killed. They say they are now in control of the situation. The

blasts were centred around a major shopping and district near the

international business centre, and UN offices. It is not yet

which group is behind the assault and the president has urged people

not to speculate on who might be in bold. TRANSLATION: We give our

condolences on the occurrence of these events. We condemn actions

that disrupt public security and disturb the peace of the people and

so terror. -- sew terror. I have instructed the police chief and the

coordinating Minister for political, legal and security affairs to pursue

an arrest for perpetrators and their networks. The people do not need to

be afraid. And should not be defeated by these terrorist acts.

And I hope that people remain calm because it is all controllable. So

you can keep up to date with what is happening, take a look at the page

on the Germany will release growth figures

for last year within the hour. Europe's largest economy is expected

to grow 1.6% over 2015, despite the sharp slowdown in one

of its major export markets, Two thirds of the growth is expected

to have come from domestic consumer UK luxury brand Burberry has posted

a 1% rise in third-quarter for the luxury sector

but it says the outlook Shares have slumped 43%

since their peak last February amid the slowdown in China

where Burberry makes more than a third of its revenues,

piling the pressure on chief Auto giant General Motors

is bucking the trend, its shares have risen after the firm

said it would be more profitable and return more money

to shareholders. Shares in the biggest US carmaker

closed 0.6% up after it The World Health Organisation

is about to announce that that

started at the end of 2013. The region, though,

will likely feel the economic Liberia, Sierra Leone and Guinea,

lost $1.5 billion last year alone, that's nearly 5%

of their combined GDP. The UN Development Group,

says that West Africa may lose That's mostly because of

between 2014 and 2017. as the stigma of ebola

persists even if the virus And local people are

feeling it keenly. In neighbouring Cote d'Ivoire,

the UN says the poverty rate has risen by at least 0.5 percentage

points because of Ebola. Manji Cheto, Africa analyst

at Teneo Intelligence, lovely to see you again, one

statistic we did not mention is the human cost. Over, I don't know the

top of my head, how many thousands died. Over 28,000 affected, about

11,300 deaths. Quite significant if you just think about it being

technically a peace Time crisis. We talk about the money that still

terrible times for those countries affected by this and the impact it

has had at a personal level. But just talking about the situation

now, of course, brilliant that the world help the organisation says it

is over but we do not want history to repeat itself and there is work

to do. One thing we will see this year is we will see a rebound in GDP

growth in a lot of these countries. As you rightly pointed out there is

a social factor, livelihoods have been hit significantly. Border

closures, and household incomes have gone

down. We had a contraction of 22% in growth in Sierra Leone, we have

quite similar numbers coming out of Guinea and Liberia. I think we will

see a positive impact because businesses will reopen so you get

that sharp rise in GDP growth but beneath those numbers we are really

looking at very worrying statistics like inflation, we already know that

there are major food shortages and there

also in neighbouring countries as well.

Where do they start more water they need to do? We know already that

places like Sierra Leone did have a posted bowler recovery plan during

the peak of the outbreak, they be taking stock of those plans to

see if they were overestimated underestimating the risk, where

things start, it. To help their sector, particularly Liberia which

has been hit significantly, the one thing that people will be keen is

not to see a repeat of the outbreak. We will see a boost in the

infrastructure spending particularly. They will be receiving

some investment, all of these countries, from international donors

as it were, it is just a question of how that investment money is

managed? So far we know that about $3.4 billion has been earmarked in a

post-recovery plan. How it is earmarked will be largely determined

by the donors, thank you for coming in. It is good to hear what is going

on. Still to come, shopping in the world for handmade goods.

The website Etsy has revolutionised how artists

and designers sell their wares to the world.

And made itself billions of dollars in the process.

You're with Business Live from BBC News.

Tesco has hailed what it calls a "strong Christmas" after its UK

sales rose 1.3% on a like-for-like basis in the six weeks ending 9

So cruelly does depend on what you look at, is it just Christmas they

are focusing on, or are we going to take the figures as a whole? It is a

very mixed picture, they are still comfortably the biggest retailer.

Not a bad Christmas, sales up 1.5%, better than pretty much all of the

rivals and we knew that with a have got gains in market share. If you

look at the court as a whole, down 1.5%, they have put that down to the

fact that they did not do lots of cheap promotions which they did last

year. They have put a stop to that and that hurt them over the quarter

as a whole. Well what do the market thing? The story for Tesco has been

one of gradual decline, this is the story over the last six months. In

the last couple of days, the big four have surprised us, the

investors really like it. Is this the Christmas where the big four

fought back against the discounters? Maybe not, because little sales were

up 18%, it certainly looks like they have managed to stop the rot so as

you can see, on a day when most other stocks are down, this is a

chink of light in otherwise a pretty grey day in the market. Just a brief

word on the wholesale gas and then a trustee prices. Talking about oil

falling sharply, a big question as to whether that is passed onto

consumers? There is not a big correlation, but wholesale prices

have gone down. reiterated that common complaint,

that when wholesale prices go up, they go up like a rocket and come

down like a feather and I expect a lot of political action on that.

Thank you very much. Is that an old analogy? It is new to me. I may have

been here for too long. Tesco, you can look on our website, all of

their figures and past performances. Down like a feather and up like a

rocket. our top story, live, turmoil

live, on the markets deepens -

US stocks plunge as crude dips below Now, how to turn a hobby

into a bit of extra money? It's an online market place for hand

made arts and crafts that

allows ordinary people Founded in Brooklyn in 2005,

the company now has offices across Europe and in

Melbourne - Australia. Etsy's annual turnover last

year was around 1 point It charges a small

listing fee and a 3.5 There are a million and a half

active sellers on the site - But its not been plain sailing

for the company following its market listing in New York

in April last year. The share price has fallen

over 70 percent since. Nicole Vanderbilt,

VP of Etsy, is here. good to have you with us in the

studio. I must admit, it is right up my alley, I like doing crafty stuff

but you can never sell anything that I make. Nobody would buy it. Just

where did this idea come from? It was founded in Brooklyn in 2005,

primary because there was a community of people online doing

crafting and they wanted a place to sell their goods that was a great

environment, they recognise the value of craftsmanship. When we talk

about the niche market, it is one that connects sellers with buyers

and it allows you to have a market much greater than perhaps your local

community where you might be able to sell things traditionally and that

opens things up to a global marketplace but at the same time it

is up to global competition, I know that Amazon is getting in on the

act. How do you take on the power of Amazon? So all is take a look at the

marketplace, and we listen to our sellers. We know that these people

sell on multiple platforms, and we have been in the business for ten

years of trying to meet the need of these incredible entrepreneurs and

so we pride ourselves on keeping that laser focus, which is a new and

different type of business to what you typically see. You came on board

to increase its international presence, to oversee that, that is

quite a big job to take on. When I was booking and researching into how

the company is doing, some of the things that were coming out were

reports about concerns, questionable authenticity about some of these

goods? One report said? Do they actually exist? Magic spells was one

that was quoted. Do they exist? Is this actually the real Deal or is it

something that is being peddled in a way that is not really authentic?

Sure I think these are challenges that any marketplace faces,

connecting buyers to sellers, our role is to try and make it safe and

comfortable for both to interact. So we do try and mediate. How do you

check, you say that you try and manage it all, but with sellers from

all over the world, how do you make sure that they are authentic? There

is a combination of different things that you do, there are lots of

systems, smart algorithms that notice things that

shop potentially suspicious and we will take a further look at it, but

in addition, our community is an incredible force, and they will flag

things that they find worrying and that is another great source of data

for us. Just a word about the share price, floating, it is currently $6

99, down about 56%, how closely do you watch that, are you troubled by

the fact that investors seem to be market and the dead know how they

will play this and I do know how it will

Complete. The I cannot really comment on the stock price, we focus

for the long haul on building a company that reimagines commerce in

a way that is more fulfilling and lasting and that is about really

listening to our sellers and what they need and that is what we spend

all of our terms of what is next, what is the

next step from your point of view, looking at the International

expansion of this company? Obviously we know what it is and what it does

but you need to keep innovating? From my point of view there is a big

world out there and one of my biggest challenges is to prioritise

where we spend our time. There are 1.5 million sellers representing

every country in the world and so we are constantly trying to find

to find better support through services or throughout product, as a

company has a whole we continue to innovate as many as we do, we have

been very focused on mobile, 60% of the traffic comes from mobile, and

we have been focused on what we call the Etsy economy, rather than just

connecting buyers and sellers, we have launched Etsy manufacturing, so

we help people source ways of building their goods, and also we

have Etsy wholesale, which allows people to get a presence in high

street stores. Thank you very much for coming in. If you want to get

involved in any of the conversations that we have with company bosses,

here is a quick reminder of how you can do that. The businesslike pages

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news. Business live, TV and online, news. Business live, TV and online,

whenever you need to know. And today because of the events going on and

developing in Indonesia and in Jakarta, we have set up a special

live page online for you to take a look at. You can keep across every

single development. These is now under control of, there were seven

attack as they say, three have been killed and four had been captured.

It happened around a major shopping and business district close to the

embassies and the offices of the United Nations. Yet

-- let us look at what is happening on the Jakarta live page, and also

this is a look at the other analysis we have online, do stay with us as

we keep you right up to date. Full headlines at the top of the power,

we will see you soon. Can you scroll back, and I will see where I need

to?