09/03/2016 BBC Business Live


09/03/2016

Similar Content

Browse content similar to 09/03/2016. Check below for episodes and series from the same categories and more!

Transcript


LineFromTo

This is Business Live. Trump wins big and Clinton suffers a surprise

:00:12.:00:18.

defeat in the key State of Michigan. We bring you the latest in the race

:00:19.:00:22.

to the White House and the lead of Britain's biggest, of the world's

:00:23.:00:27.

biggest economy. Live from London, that's our top story on Wednesday,

:00:28.:00:29.

9th March. Donald Trump and Hillary Clinton

:00:30.:00:49.

increase their leads, but the race is far from over. We will be looking

:00:50.:00:53.

at the economic goals of the main contenders. It has been a bad week

:00:54.:00:58.

for the energy giants. Today, it is the turn of the German power company

:00:59.:01:04.

E.ON to unveil a multibillion dollar loss, warning of tougher times

:01:05.:01:07.

ahead. And for financial markets, it is a really mixed day. They're up,

:01:08.:01:11.

they're down, where are they going to head next? We will tell you all

:01:12.:01:16.

you need to know. What do you think was voted Europe's

:01:17.:01:19.

best attraction? Buckingham Palace maybe? The Eiffel Tower? The

:01:20.:01:27.

Coliseum in Rome, perhaps? No, it was this, the Guinness Store House.

:01:28.:01:31.

We will be talking to the man who set it up and runs it to this day.

:01:32.:01:35.

Today, we want to know what you think of how big business is

:01:36.:01:41.

treating Maria Sharapova after her revelation that she failed a drugs

:01:42.:01:45.

test. Within 24 hours she has been dropped by Nike and Tag Heuer and

:01:46.:01:50.

Porsche, was it the right decision? Just get in touch with us use.

:01:51.:02:02.

-- use the hashtag. It has been another big night

:02:03.:02:06.

in the US with several key states voting for

:02:07.:02:11.

the presidential candidates. For the Republicans,

:02:12.:02:13.

the momentum behind Donald Trump is gaining after he swept to victory

:02:14.:02:18.

in Mississippi and the key industrial State of Michigan

:02:19.:02:27.

which has suffered a prolonged Democratic front-runner

:02:28.:02:29.

Hillary Clinton won her party's primary in Mississippi

:02:30.:02:34.

with Bernie Sanders Now, let's turn the spotlight

:02:35.:02:39.

on the policies for the front-runners of both parties

:02:40.:02:50.

in this election. Many believe Ted Cruz has a chance

:02:51.:03:06.

despite the fend nom ma of Donald Trump.

:03:07.:03:11.

What will it mean for the relationship between the US and the

:03:12.:03:12.

rest of the world? Victoria. With us is Professor

:03:13.:03:31.

Peter Trubowitz. He's the director of

:03:32.:03:33.

the United States Centre At this point in the electoral cycle

:03:34.:03:41.

people are not looking for somebody to sketch out the details. They are

:03:42.:03:46.

looking for somebody to shape the etch a sketch and that's what Donald

:03:47.:03:51.

Trump is doing. He is offering, he is tapping into an anger, I think a

:03:52.:03:55.

resentment, a frustration in the United States, especially, on the

:03:56.:04:00.

Republican side about the status quo, about what is happening in

:04:01.:04:04.

Washington, what is happening in the federal Government. If you look at

:04:05.:04:09.

the exit polls, from yesterday, about 50% of those Republicans who

:04:10.:04:13.

went to the polls expressed frustration with what is happening

:04:14.:04:15.

in Washington. They want a change. That's what Donald Trump is trying

:04:16.:04:19.

to offer them. OK and particularly this is all about trade and in

:04:20.:04:24.

Michigan, manufacturing and the auto sector and jobs. Irrespective of

:04:25.:04:30.

whether we may get Hillary Clinton, we may get Donald Trump, to what

:04:31.:04:34.

extent do you think we might see a more protectionist America in the

:04:35.:04:38.

future if the feeling is that actually people are afraid and

:04:39.:04:39.

people are really annoyed about what people are really annoyed about what

:04:40.:04:43.

is going on with trade in the US? Yeah, well, it is a great question

:04:44.:04:48.

and again if you look at the exit polls, last night in Michigan, 60%

:04:49.:04:51.

of those who went to the polls expressed frustration with free

:04:52.:04:55.

trade, believing that it takes American jobs. Jobs are disappearing

:04:56.:04:59.

from the United States because of deals like the TPP and I think what

:05:00.:05:04.

that means, kind of going forward, is that whoever becomes the next

:05:05.:05:08.

president, is going to be under pressure to put a damper on trade. I

:05:09.:05:14.

don't expect it to be kind of at the top of anybody's aagained da, serge

:05:15.:05:21.

not in the first year. For the current president, Barack Obama,

:05:22.:05:25.

many are saying part of his legacy is the big trade deals that he has

:05:26.:05:32.

been pushing with Asia, Europe, TTIP and the various acronyms. Will that

:05:33.:05:37.

be unravelled to a degree regardless of who gets the new job? Well, we

:05:38.:05:46.

will find out this spring about TTP because it will go up for a vote.

:05:47.:05:51.

Whoever is the next president, they are fortunate that the ground will

:05:52.:05:55.

be cleared. It will get nailed or it will go through and Obama will own

:05:56.:06:00.

it. Think the thing is that what Democrats and Republicans are

:06:01.:06:04.

hearing, the candidates are hearing, people are frustrated with free

:06:05.:06:09.

trade and so I just think that the agenda, if I was looking at say if

:06:10.:06:13.

it was Clinton who comes in, I don't think trade will be front and

:06:14.:06:18.

centre, I think what she will focus on when it comes to economics,

:06:19.:06:23.

losing the tax loopholes and raising the minimum wage which is $7.25 an

:06:24.:06:28.

hour and what she is talking is about bringing it up to $12 and $15

:06:29.:06:35.

an hour, that's a heavy lift and to get that through Congress she would

:06:36.:06:39.

have to make deals, because she will be dealing with the Republicans.

:06:40.:06:50.

Thank you very much for coming in and taking us through that. We have

:06:51.:06:55.

a long way to go. Yes. We are enjoying it. Every twist and turn

:06:56.:06:58.

provides so much entertainment. E.ON preferred 7 billion euro,

:06:59.:07:15.

that's 7 billion euro boss. It is warning the course will be longer

:07:16.:07:18.

and tougher than anticipated. E.ON is saying as a result of its planned

:07:19.:07:24.

spin off of its convention oil and gas fired activities, it expects the

:07:25.:07:26.

outlook to be lower than it previously

:07:27.:07:33.

France faces a wave of protests on Wednesday against labour reforms,

:07:34.:07:35.

that aim to change working hours and rules about days off.

:07:36.:07:38.

The reforms have divided an already fractured Socialist government.

:07:39.:07:43.

The protest coincide with a separate 36-hour Rail strike that's set

:07:44.:07:46.

to disrupt train traffic across France.

:07:47.:07:59.

European prosecutors are tightening the screw on car gaint VW

:08:00.:08:01.

in the wake of the emissions scandal spread.

:08:02.:08:03.

France has opened a formal probe into "aggravated fraud",

:08:04.:08:05.

while in Germany, the number of VW employees under

:08:06.:08:07.

VW's boss warned the firm would suffer "substantial

:08:08.:08:10.

and painful" damage to its reputation and finances.

:08:11.:08:23.

You might be familiar with this. This is one of cases you see a lot

:08:24.:08:31.

in airports across the world, they are Trunki, but they are known as

:08:32.:08:34.

Kiddy Case. This is a case that's Kiddy Case. This is a case that's

:08:35.:08:37.

gone all the way to the Supreme Court and a judgement is due on that

:08:38.:08:42.

later on today. It is interesting because I was loaned a Trunki to use

:08:43.:08:47.

on a holiday with my little boys. The idea is they can pull it along

:08:48.:08:53.

themselves and they can sit on it. It is a seat. It was a nightmare.

:08:54.:09:02.

This idea was pitched on dragons Den and they said no. You see them the

:09:03.:09:06.

whole time. Don't believe what you see all the time on television.

:09:07.:09:17.

Let's talk about Cathay Pacific, its annual profits nearly doubled last

:09:18.:09:21.

year, going up by 90%. Boosted bypass injury numbers going up and

:09:22.:09:25.

also huge savings, of course, on fuel because oil prices, we know,

:09:26.:09:27.

have tumbled. Profits beat expectation and this is

:09:28.:09:44.

due to the low oil prices so we saw crude collapse from more than $100 a

:09:45.:09:49.

barrel to $30 a barrel over the last two years. This had an impact across

:09:50.:09:54.

the aviation industry and this helped Cathay Pacific by reduce

:09:55.:09:57.

their fuel costs by nearly 40% last year. Jet fuel is their biggest

:09:58.:10:03.

expense. They spend $4 billion a year on it, last year they lost $1

:10:04.:10:07.

billion in something called hedging contracts. This is something very

:10:08.:10:11.

similar to insurance and it is aimed at reducing fuel volatility, but it

:10:12.:10:14.

locked them into the higher oil prices and they have all come down.

:10:15.:10:19.

But now, we are going to see Cathay Pacific bring in 17 new planes which

:10:20.:10:23.

are more fuel efficient and investors are happy because their

:10:24.:10:26.

shares rose more than 3% in Hong Kong on the results.

:10:27.:10:33.

It is a downbeat day. That's the US last night of the that's how things

:10:34.:10:39.

ended in Asia today. Let's look at Europe quickly. We have got China.

:10:40.:10:42.

The national people's congress is underway. They're discussing toxic

:10:43.:10:46.

debt, that was on the agenda today. This is how things are going in

:10:47.:10:50.

Europe. For the global markets, investors, they are looking ahead to

:10:51.:10:55.

the European Central Bank. Mario Draghi and his team meet today.

:10:56.:10:59.

Michelle Fleury has the details about what's ahead on Wall Street

:11:00.:11:01.

You may not have have heard of Square, but you may have heard of

:11:02.:11:14.

its boss. It is known for its coop shaped plug that attaches to

:11:15.:11:18.

smartphones and tablets to allow them to accept credit card payments,

:11:19.:11:23.

it was one of the highest profile companies to go public last year and

:11:24.:11:28.

it reports its first set of results since the stock market debut. The

:11:29.:11:32.

company is expected to turn in a slight loss, not because it is not

:11:33.:11:38.

making money, but because it had to invest heavily in new hardware. What

:11:39.:11:42.

has that meant for its share price? Well, it has been fairly volatile

:11:43.:11:45.

since it began trading last November. Another reason for that is

:11:46.:11:53.

investors worry Square's founder maybe stretched thin running both

:11:54.:12:02.

Square and Twitter. Joining us is James Quinn. Welcome

:12:03.:12:06.

to the programme. We have seen for sometime haven't we, we have seen

:12:07.:12:09.

commodities really tell the story when it comes to equities, they ten

:12:10.:12:15.

to follow each other. We saw a big jump in iron ore prices recently.

:12:16.:12:21.

They have come down somewhat and you think you know what's going on? Yes.

:12:22.:12:25.

A great story overnight out of China. A flower show, courtesy of

:12:26.:12:31.

the financial times this morning, a rival paper suggesting that the

:12:32.:12:37.

spike in iron ore, the biggest spike in 20 years was courtesy of a flower

:12:38.:12:41.

show, expecting ten million visitors over a week and therefore, all the

:12:42.:12:46.

steel plants were bulk buying iron ore ahead of the flower show because

:12:47.:12:50.

they were told to stop producing to keep the skies clear because of this

:12:51.:12:55.

exhibit! The idea is that supply is constrained so therefore, the price

:12:56.:12:58.

goes up? That's right. That's right. That's why it was a volatile spike

:12:59.:13:02.

that came back. A flower show. It is incredible. All these little quirky

:13:03.:13:07.

events and facts that move markets and yet it is fun yu because us as

:13:08.:13:11.

financial journalists try and figure these things out. Yeah, that's

:13:12.:13:15.

right. It is incredible. It is about sentiment and trying to guess what's

:13:16.:13:18.

happening as opposed to always happening as opposed to always

:13:19.:13:20.

knowing what's going on. European Central Bank... We have got the ECB

:13:21.:13:27.

meeting starting today. The press conference Tom, Mario Draghi

:13:28.:13:32.

expected to intervene in the potential for more QE, it could be

:13:33.:13:37.

interesting tomorrow. It will move the markets up and down. The euro is

:13:38.:13:41.

preparing itself. It is moving around. Traders wondering not if,

:13:42.:13:46.

but how much the stimulus we're going to get tomorrow.

:13:47.:13:50.

What makes a successful tourist attraction? We will be hearing from

:13:51.:13:55.

the man who set-up the Guinness Store House in Dublin which

:13:56.:13:58.

attracted more than 13 million visitors.

:13:59.:14:00.

You're with Business Live from BBC News.

:14:01.:14:04.

Now a look at some of the stories from around the UK.

:14:05.:14:07.

Plans to relax Sunday trading laws in England and Wales could be

:14:08.:14:13.

blocked after the Scottish National Party said it would join

:14:14.:14:15.

Conservative rebels in voting against the proposals.

:14:16.:14:19.

It could mean the Government plans are defeated.

:14:20.:14:21.

The SNP said it wanted to defend workers' pay and conditions

:14:22.:14:24.

in Scotland as Eleanor Garnier reports.

:14:25.:14:28.

Small shops can stay open on Sundays all day if they like but in England

:14:29.:14:38.

The Government wants to relax the rules and give councils the power to

:14:39.:14:44.

set opening hours in their own areas. They say it will boost the

:14:45.:14:49.

economy and help high streets to tackle competition from the online

:14:50.:14:54.

market. In Scotland, shops can open when they like and staff there are

:14:55.:14:58.

paid more for working on a Sunday. But the SNP argue that if the law is

:14:59.:15:03.

changed in England and Wales, that could affect the wages paid in

:15:04.:15:10.

Scotland too. Despite promising not to interfere in laws that only cover

:15:11.:15:13.

England and Wales, it will vote against the plans. This is about

:15:14.:15:23.

protecting premium pay. If the UK Government were serious they should

:15:24.:15:26.

have come forward with a plan which protected premium pay in Scotland

:15:27.:15:33.

which is deliverable across the UK. The government is calling the SNP

:15:34.:15:37.

hypocritical for denying people the freedom is to shop already available

:15:38.:15:42.

in Scotland, and a letter signed by more than 100 Conservative council

:15:43.:15:46.

leaders urges the government to push ahead with the changes. With the

:15:47.:15:52.

SNP, Labour and around 20 Tory MPs opposed to the plans it will

:15:53.:15:57.

struggle to get the changes passed unless compromise is reached. We

:15:58.:16:06.

will keep an eye on that as it develops. Quickly looking at some

:16:07.:16:12.

other stories. This is from G4S, the security firm, reporting a slump in

:16:13.:16:21.

profits. Of course, they are in the middle of a massive overhaul,

:16:22.:16:27.

including overcharging the government for tackling criminals

:16:28.:16:32.

who were not even alive. No surprise to see a fall in the share price.

:16:33.:16:37.

Not coming out with good numbers at all. More details online. You are

:16:38.:16:46.

watching business live. We are focused on the results coming

:16:47.:16:50.

through overnight from the United States, with several key states

:16:51.:16:55.

voting for the presidential nominees. Let's move on. When you

:16:56.:17:07.

think about leading US tourist attractions, you might think about

:17:08.:17:10.

the Eiffel Tower in Paris, the Colosseum in Rome, but think again,

:17:11.:17:14.

according to the world travel awards they voted on the Guinness score

:17:15.:17:21.

house -- Storehouse as the top attraction. They say it proves brand

:17:22.:17:26.

names can be big when it comes to pulling in tourism. 1.5 million

:17:27.:17:32.

people visited it in Dublin. They say that half of all tourists in

:17:33.:17:40.

Dublin make the trip. It is a chance to sample some of it. Paul Carty set

:17:41.:17:53.

up the tourist attraction, and he is the managing director. He joins us.

:17:54.:17:58.

It shows you the pulling power of brands. Who would have thought the

:17:59.:18:02.

Guinness Storehouse would be so huge and would be rivalling some of the

:18:03.:18:11.

biggest names across the world? It is the nominal. Sometimes I've got

:18:12.:18:15.

to pinch myself that we have 1.5 million visitors every year. Quite

:18:16.:18:20.

incredible. The reason is we have become an iconic, must see part of a

:18:21.:18:27.

trip to Dublin. People love the brand and they associate it with

:18:28.:18:34.

Dublin. Not necessarily the taste. It is almost the Marmite of the

:18:35.:18:39.

drinks world. So it is interesting that the product itself is not

:18:40.:18:43.

universally loved yet the brand has this cachet. 20% of the visitors

:18:44.:18:50.

have never tasted Guinness. Quite extraordinary. It is a beautiful

:18:51.:18:56.

tasting beer and we show people how to taste it. That goes down

:18:57.:19:02.

particularly well with female audiences. We show people how to

:19:03.:19:10.

pour the perfect pint and give them a certificate. The thing about

:19:11.:19:20.

Guinness, it is a 2-part port. It is hugely popular around the world.

:19:21.:19:28.

When you started this in 2000, you were not working for the company or

:19:29.:19:32.

the brand. You would in the hotels business around the world. You were

:19:33.:19:39.

headhunted, you arrived, it was just you and an empty building. How did

:19:40.:19:50.

you make this happen? You are right, I started by bringing in creative

:19:51.:19:57.

people from the hospitality and hotel industry because I felt they

:19:58.:20:07.

possessed the right skills. They have every other aspect of it. I

:20:08.:20:22.

think they work but I could not have done it without the help of

:20:23.:20:33.

fantastic staff who generate a warm welcome for the visitors. Thinking

:20:34.:20:42.

more generally about Ireland and the uncertainty it is facing, can Dublin

:20:43.:20:47.

cope with the numbers you're receiving? Dublin is brimming with

:20:48.:20:55.

tourism at the moment, in fact, as we speak, they are creating another

:20:56.:21:06.

5000 hotel bedrooms. Yes, it is great, it is a great place to be. We

:21:07.:21:12.

are constantly reinventing and adding to it and listening to our

:21:13.:21:17.

visitors and refreshing the product. We've got a great future ahead of us

:21:18.:21:25.

in Ireland. To Riz and supports 20,000 jobs and brings in ?7 billion

:21:26.:21:31.

for the Exchequer. He looks very good. Apparently the routes between

:21:32.:21:38.

Heathrow and Dublin is the second busiest. You can get a flight to

:21:39.:21:50.

USA are our biggest market by far. USA are our biggest market by far.

:21:51.:22:04.

In a moment we will be looking at the

:22:05.:22:07.

other stories but first, a reminder how to get in touch. We will keep

:22:08.:22:17.

you up-to-date with insight and analysis from the BBC's team of

:22:18.:22:22.

editors and we want to hear from you as well. Get involved. We are on

:22:23.:22:31.

Twitter and Facebook. Let's have a quick look at some of

:22:32.:22:47.

the stories the media is taking an interest in. We've been talking

:22:48.:22:54.

about Maria Sharapova and the decision by lots of the big brands

:22:55.:22:58.

to pull away from her after this revelation. We've been asking for

:22:59.:23:12.

some inside. This is something that happens, big brands don't want to be

:23:13.:23:18.

involved with people in corporate scandal. We saw that with Lance

:23:19.:23:24.

Armstrong, Tiger Woods... Don't you think that they are very quick to

:23:25.:23:31.

react? They have learned lessons. They would linger for a bit longer

:23:32.:23:36.

before but now they are just out. They've learned the lessons of the

:23:37.:23:41.

past. When previous athletes have been involved in scandals. It is

:23:42.:23:50.

super important to Maria Sharapova. She is worth $170 million. She will

:23:51.:24:00.

be out-of-pocket significantly. We've got some tweaks in -- messages

:24:01.:24:07.

in saying, it is the right decision, if you're not playing in the correct

:24:08.:24:12.

way you will pay the price because you are a brand idol. We got another

:24:13.:24:19.

one saying she should have distanced himself when the initial story

:24:20.:24:21.

broke. They are partly owned... Just to say

:24:22.:24:47.

there are differences between the stories in the sense that what she

:24:48.:24:55.

has done has enhanced performance whereas with Tiger Woods that was

:24:56.:24:58.

just a indiscretion. It is different in terms of how the sponsors decide

:24:59.:25:01.

what they are doing next. If you are a young person who wants to emulate

:25:02.:25:03.

Maria Sharapova, maybe don't... Let's move on, this story is in all

:25:04.:25:06.

the papers. I think he did a great job at not coming down on either

:25:07.:25:12.

side. Both camps looking to pick holes in him. He was saying that the

:25:13.:25:17.

EU except would be the biggest domestic risk but not the biggest

:25:18.:25:25.

risk in total. He gave an extraordinary performance, long

:25:26.:25:32.

answers, very considered, trying not to come out on either side. He needs

:25:33.:25:39.

to sit in the middle and provide information. He managed a lot of

:25:40.:25:54.

doubt and no definite. That is it from business live.

:25:55.:26:05.

Download Subtitles

SRT

ASS