27/09/2016 BBC Business Live

have gone head-to-head in the first live televised debate

Live from London, that's our top story on Tuesday, 27th September.

Protectionism is again proving to be a key battleground in the race

We'll hear from both sides of the debate.

Also in the programme, confounding the critics.

The Asian Development Bank says China will grow faster

than expected, despite widespread fears of a slowdown.

And the European markets are open for trade.

They are all trading up in the green.

There is lots to discuss throughout the programme.

Cracking the code of entrepreneurial success!

Later in the programme we'll get the Inside Track on a business

which is giving a boost to London's whiz-kid programmers.

And Sainsbury's want to bring back grocery

It's all about keeping up with Amazon.

We want to know has the online giant changed the way you shop?

Hilary Clinton and Donald Trump have faced off in the first

Both presidential candidates have put forward their competing visions

When Hilary Clinton started talking about how well the United States

performed under her husband in the nineties, Mr Trump pointed

to what he described as the economic devastation that resulted

from the North American Free Trade Agreement signed by Bill Clinton.

Go to New England, Ohio, Pennsylvania, anywhere you want,

Secretary Clinton, and you will see devastation, where manufacture is

turned 30, 40, sometimes 50%. NAFTA is the worst trade deal, maybe, ever

signed anywhere, certainly in this country. You want to improve

transpacific partnership. You are totally in favour of it. You heard

what I said about how bad it was. He said, I can't win that debate. If

you won, you would approve that, it would be almost as bad as NAFTA,

although nothing will top that. Hillary Clinton defended her views

but went on the offensive, attacking Trump on taxation. She said that the

extensive tax cuts proposed by him would not help the US economy.

We need smart, fair trade deals. We also need a tax system that rewards

work and not just financial transactions. The kind of plan but

Donald has put forth would be trickle-down economic 's all over

again, it would be the most extreme version, the biggest tax cuts for

the top percent in this country that we have ever had. I call it trumped

up trickle-down, that is exactly what it would be. That is not how we

grow the economy. That gives you a snapshot of 90 minutes of debate.

Marianne Schneider-Petsinger, US Geo Economics Fellow

Hello, what did you make of it? Overall, I think Hillary Clinton had

a very strong performance. I think that, overall, she won. Segment by

segment, I would say Donald Trump did quite well during the first

third of the debate, which focused on the economy and jobs, then as we

move towards national security and race, he became much more

incoherent, made incorrect statements and interrupted Hillary

Clinton. Overall, I think Hillary Clinton won. The financial markets

and exit polls show that. Listening to those Mbytes, talking about

trade, Donald Trump was quite specific about that, talking about

how Hillary Clinton has changed his stance on PPP, for example. It seems

to be an easy way of beating each other up, to what extent is the

voter that keen on the discussion about trade and the economy? I think

it is interesting that trade has played such an important role but,

overall, looking at the concerns of voters, the economy and terrorism

are numbers one and two macro, trade only really plays out at the bottom.

What we have seen in the campaign and the debate, trade plays a role.

Donald Trump has said that NAFTA was the worst agreement ever negotiated.

As we saw in the clips, he pointed out that Hillary Clinton has changed

his stance on PPP. Interestingly, nobody mentioned the Transatlantic

Trade and Investment Partnership that is currently being negotiated

with the European Union. Trade comes up, because there is an anti trade

environment on both sides of the Atlantic. We saw some market

reaction, the Mexican peso surged, interestingly. Clinton is seen to

have won this one, there are two macro more to go. How influential

are these debates in helping voters decide? Overall, I think the impact

is overhyped. They might change on the margin, but overall I do not

think that a lot can happen in the last 42 days that we have between

now and November. We will see. In terms of how this debate has played

out, we will see polls in the next couple of days. As I mentioned

before, we have seen so far that Clinton won this one, but going into

the debate, expectations for her were quite high, the once for Donald

Trump were much lower. There is a debate about whether he even met

that low bar. There is still a long way to go.

Thank you for coming in, Marianne The big event is in November.

November the 8th. The Walt Disney Company

and Microsoft could both be joining a list of potential suitors

for Twitter - according Twitter shares were up more than 2%

at $23.36 in after-market trading. The microblogging service has

reportedly started talks with a number of technology

companies to sell itself, Disney is said to be working

with a financial adviser to evaluate The US Labor Department Secretary

Thomas Perez has pledged to conduct a top-to-bottom review of all cases,

complaints and other alleged violations that the department has

received concerning Wells Fargo The announcement comes after calls

for an investigation into possible wage and working-hour law violations

involving Wells Fargo staff, who may have stayed late

to meet sales quotas. Saudi Arabia has cut the salaries of

Cabinet ministers by 20% and frozen wages of lower ranking officials,

this is in response to lower oil revenues. 160 members of the council

will see a 15% drop in annual allowances for housing, furniture 's

and cars. They did not say how much money would be saved overall.

Some interesting news from the Toolis industry, something we have

followed here, they have had a very difficult year because of various

events going on in popular destinations around the world.

Turkey has experienced several terrorist attacks, not to mention a

military coup. That has really affected Thomas

Cook. The trading update, interestingly, says that summer 2016

bookings are down 4%, excluding Turkey they are rubber 8%. So Turkey

is tracking down the Thomas Cook results.

Thomas Cook shares are trading in London at double over 1%, but over

the year they are down something like 41% on the year. Although the

shares are jumping up a tiny bit today, on the year they have had a

very difficult year. Now we can go and speak to Sharanjit

in Singapore. The Asian development bank came out with Outlook today. It

essentially counters what we have heard about China's slowing economy.

They raise their growth forecasts for China this year to 6.6% from the

last Testament of 6.5%, they say it is down to fiscal and monetary

stimulus. I spoke to the Assistant chief economist of a bank in Manila,

who told me that while the external environment in China remains weak,

growth continues to be driven by consumption, and he sees an uptake

in the amount of services contributing. He says there is an

easing of growth, but not a hard landing. They have kept their growth

estimates this year and next at 5.7%, they are basically saying it

is thanks to China and India, they are upsetting the slowdown

elsewhere. Projections for India were capped at 7.4%. Essentially,

they say that is down to the strong consumption and investment revival.

They warning huge possibility of an interest rate hike, which could undo

all that by disrupting capital flows and contemplating macroeconomic

management in the region. Thank you, Sharanjit.

Asian stock markets were mostly higher today -

Then OK was up, the Hang Seng was up just over 1%. The Dow close-down

almost 1%. Traders in Asia were following the US presidential debate

between Hillary Clinton and Donald Trump.

Let's look at European markets and it's worth noting the FTSE

closed down 1.3% yesterday, its worst one-day percentage decline

since late June when Britain voted to leave the European Union.

And Michelle Fleury has the details about what's ahead

There is plenty of economic data on housing and consumer confidence to

catch investors' attention this Tuesday. There is concern about the

underlying strength of the housing market, we will get a clearer

snapshot when standard pullers releases its home price index for

July. It looks prices in metropolitan areas and it is

expected to remain steady at 5.1%. A separate report is likely to show a

slight dip in consumer confidence in September. Nikkei reports

first-quarter results, the world's largest footwear maker is expected

to report a rise in revenue -- Nike reports. Sales at home have been

tepid but they continue to grow in Asia-Pacific.

Aviation negotiators will try to reach an agreement to limit future

aviation emissions at a conference in Montreal.

That is Michelle Fleury, who has had a very busy time. I spoke to her

about four hours ago about the big US debate.

Joining us is Michael Hewson, chief market analyst at CMC Markets.

Good to see you. Did you stay up all night and watch the debate, or had

he been soaking it up this morning? I've been soaking it up, as I was

waiting in the Green room, chewing on it. What did it tell us about the

candidate that we don't already know? Not very much. We have seen a

muted reaction and markets, slightly up, I don't know if that is more of

a result of the big declines yesterday than anything else.

Ultimately, the polls are neck and neck and I think they are likely to

remain that. Let's talk about Deutsche Bank, over

the weekend there was speculation about whether or not they would

receive state aid if they needed some. As I spoke to you earlier, he

said that is always dangerous, the minute simply says we will not help

them. Apps nobody had been asking the question. Shares were down

significantly yesterday, this morning they are up a little. I

would not treat too much into that. There significant parallels to 2008,

the Royal Bank of Scotland and concerns about bad bank. They

announced a rights issue in response to concerns about their fiscal

position. It is a similar situation at Deutsche Bank, the fine from the

US Department of Justice, $14 billion. Its market cap is 14.5

billion euros. So they could not meet that. They will not be able to

provide the full amount, they have only provided about 5 billion new

rose for various litigation cases currently under way. Mat about 5

billion euros. There were significant concerns about how they

would pay any fine. They are such a huge bug, it is so crucially

important, why do you think Angela Merkel has said they will not give

them state aid? I think it is more political. She has an election,

there is what is going on in Italy. Germany are insisted that Mr Renzi

does not bail out the Italian banks, so they cannot say that they will

bail out Deutsche Bank but they cannot bail out the Italian banks.

They are in a cul-de-sac of their own making. I like that phrase.

Michael, you will be back in around five minutes, we have more stories

to discuss with Michael, but we have lots more to come.

Still to come, cracking the code of entrepreneurial success!

Later in the programme we'll get the Inside Track on a business

which is giving a boost to London's whiz-kid programmers.

And now a look at some of the stories from around the UK

and the first shipment of US shale gas is arriving in Scotland.

A tanker is bringing ethane to the Grangemouth refinery,

run by the petrochemicals firm Ineos.

Victoria Fritz is by the Firth of Forth to see the tanker arrive.

Why are they shipping gas from the US?

And also are you warm enough? I'm very warm. Good morning to you

both. Good morning, Rachel, good morning, Sally. Well, you can just

see it. This is the boat arriving. It has made its stop at Grangemouth

Port just a little way up the river and it is now heading back out to

the ocean already. This is the very first shipment of US shale gas to

Scotland and the reason it is coming from the Atlantic is because there

is a moratorium on fracking in Scotland and despite a lot of

political discourse in England as well, there has yet to be a green

light when it comes to fracking in England either. So at the moment the

only place the company says it can get its shale gas it is from the

United States. It seems like a very big move, but they say the gas is

crucial for the health of the Grangemouth plant where it processes

pet tro chemicals used for the manufacturing of food packaging and

plastics that are used in bottles and pipes as well. So they say they

need this gas and if they have to go to the US to get it, that's where

they will go. At the same time, Victoria, it is

very controversial, isn't it? Many are arguing we shouldn't be going

down this road at all? Yeah, exactly. Some people are saying

perhaps this is the solution to our energy problem in the UK. Others are

saying that it sets a dangerous precedent. There have been reports

of environmental concerns over in the United States, things like

leaching of chemicals into the ground water system. Even earth

tremors as well. Now, there is tighter regulation that is proposed

around the industry in the UK than in the US. But lots of people saying

there is not the reserves here in the UK that there is in the US. So

until such time the reserves are proven, it seems that fracking here

in the UK is going to be on hold and we're still going to see more of

these tankers going back and forth across the oceans, well at least for

sometime to come. Victoria, we will you soon, probably

in the studio. Hopefully, a bit warmer.

Boohoo posted better results. Sales fuelled mainly by Sally Bundock!

Our top story, the two US have faced off in the first

Hillary Clinton attacked Donald Trump's policies on tax,

while the Republican candidate pointed to what he described

as the "economic devastation" that resulted from the North American

Free Trade Agreement signed by Bill Clinton.

Yes, two more debates to come. Yes, no more to say about that really,

now, is there? No! We have said enough. The markets

quite a different picture to yesterday. We're seeing upside for

most of the main markets in Europe. Germany closing down 2% on Monday.

So at the moment the DAX is up by a quarter of a percent. We were hoping

to show you figures, but we can't. They are all up across Europe.

And now let's get the inside track on Europe's tech sector.

It may contain some of the world's leading economies, but Europe is not

keeping up with countries like the US and China when it comes

So how can Europe help cultivate the next Google or Facebook?

Entrepreneur First is an accelerator company which helps high growth tech

The firm mainly takes talented individuals before

they have a team or an idea, spending six months with them to get

them to the point where they can take on serious seed funding.

The founders of Entrepreneur first have also set up Code First: Girls

which works on attracting more female talent to the programme.

Entrepreneur First were initially solely located in London

But they've just opened a new office in Singapore which hopes to emulate

Joining us now is Alice Bendinck, co-founder of Entrepreneur First.

Good morning. Good morning. Welcome to the programme. Thank you. Just

tell us how did this begin? Five years ago, if you looked at the kind

of people that were starting start-ups in London and in Europe in

general, it typically wasn't individuals with a technical

background. So in particular a computer science or engineering

background. Over the last five years we have tried to highlight the

founder of a start-up can be one of the most exciting career paths for

those with a technical background. If you look at many of the biggest

start-ups build in the US, if you think about Microsoft or Facebook or

Google, those founders come from computer science backgrounds

typically and typically what we were seeing in London was people with

computer science and engineering backgrounds were going to the

financial sector or more traditional companies. Why weren't they starting

start-ups then? If you look back five years ago, there wasn't really

an awareness that you could start up a start-up, straight out of

university or straight out of a couple of years in a job, there

wasn't really a culture around starting a start-up. Technology, it

is easier to start a start-up almost from your bedroom in terms of being

able to access millions of users with little capital to get started.

You set up Code First: Girls Because you felt there wasn't enough females

coming through. It starts on university campuses. Is that not too

late to reach girls who have given up maths and given up on sciences.

The issue with girls we go down the arts route. Is university not too

late, should you not be aiming for schools? We should be aiming for

schools, but it will be a decade before we see those young women

joining the workforce. Many of them come from arts backgrounds, history

or Spanish and they are not necessarily from these backgrounds,

but that doesn't mean they can't learn to you to programme and build

their own apps and own software. You don't need a maths background. If

you are one of these people who want to start something as it were, you

join your programme, Entrepreneur First, you're in this incubator for

six months. Talk us through how that works. What do you want from that

individual? Do they have to sign up? Do they have to pay? How does it

work. We take them before they have a team and before they have an idea.

We make an investment in their company. We invest in their company

as they go through the programme. We help them find a co-founder and

build their team around them. We help them build their first product.

You have got to believe in their company, whatever it is you think

they're going to start, you need to take that on board knowing it will

become a success? No, no, we take them just based on their individual

talent. We are looking at the quality of their technical skills

and founder skills. We are a company builder rather than a company

investor. Does that mean that you own part of what they create? Yes,

we do, yeah. We take 8% of the companies that come through and we

invest in them at two points during the programme. So how did you get

involved? You look very young to me. Has that been a barrier for you at

all or not? The tech industry is a relatively young industry. And I

suppose one of the things that I think helped me and my co-founder

and we see helped the people go through EF is naive optimism. Not

necessarily knowing how things are meant to work and what the status

quo are and saying things could be done differently, why are they done

this way? Some of our most successful companies have come from

that naive optimism where they don't know anything great. That's great. A

bit of naive couldn't meusm and we'll get to the cul-de-sac later!

Thank you for coming in, Alice. In a moment we'll take a look

through the Business Pages but first here's a quick reminder of how

to get in touch with us. Wep keep you up-to-date with the

latest news. And we want to hear from you too. Get involved on the

BBC Business Live web page at: On Twitter, we're at:

And you can find us on Facebook at: Business Live, on TV and online

whenever you need to know. Michael Hewson from CMC Markets

is joining us again to discuss. We want to look at this story we saw

about, my Mandarin maybe questionable. It is a Chinese hunger

for Australian foods. So people in for Australian foods. So people in

China are wanting products sold in Australia, baby milk, beauty

products, fashion items, this sort of thing, and they are commissioning

people in Australia, who are called the Daigou and they are buying the

products, charging 50% mark-up and shipping them to China and the

Australian Government said they think they are missing out on 1

billion in tax. This story speaks to Chinese tourists hunger for overseas

goods. It is cheaper to buy fashion goods, but also food stuffs overseas

because of import tariffs imposed by Chinese authorities. And also I

think there is, I think there is an issue of what I would call

authenticity, koufrt goods. Counterfeit goods. US manufacturers

in China manufacture typical brand names, but they are of a lesser

quality than the goods you get in Australia or Hong Kong. The Chinese

tourists go abroad and buy them and ship them back and the mark-up is

such that ultimately it still works out cheaper. And our shopping habits

are changing and a lot is down to Amazon. Sainsbury's one hour

delivery service on a bike trying to compete with Amazon. We have had a

lot of viewers come in with their tweets. Tell us about this, Michael.

It is a one hour delivery service. Shoppers can order 20 items to be

delivered within an hour. Sainsbury's are going back to the

future with this. They last made deliveries on a bike 130 years ago

this. Is trying to kate tore a need that's not there. They are trying to

take on Amazon. We are talking about fresh fruit and vegetables. I don't

know about you, but me, I like to feel the fruit and veg before I buy

it. And smell it! Catering to a need that's not there. Agree with that

Michael. Emmanuel says, "One day delivery, that's his favourite thing

all the way. ." Thank you for watching. We will see you again

tomorrow. Bye-bye. Hello some sunshine on offer across

the northern half