18/08/2011 World Business Report


18/08/2011

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recovery might be too slow to deal with the country's unemployment

:00:03.:00:06.

crisis. Those are the latest headlines from

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BBC World News. Now for the latest financial news

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Hello and welcome to World Business Report.

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Our had headlines: Venezuelan nationalises...

:00:29.:00:39.
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SILENCE Here in Asia, the lingering effect

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of the March quake. Japan's exports fell again in July.

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Hello and welcome to World Business Report.

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President Hugo Chavez announced on Wednesday he's nationalising

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Venezuela's goldmining industry. The move comes after a quarrel with

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foreign companies, who complained that limits on how much gold they

:01:13.:01:17.

could export hurt their efforts to secure financing and develop

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projects. The President said the government aims to fight mafias

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that have been taking some of the country's gold. He also said he

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intends to bring home $11 billion in gold reserves currently held in

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the US and European markets. The recall of the gold reserve is

:01:32.:01:36.

intended to help protect the oil- producing country from the economic

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woes seen in the US and in Europe. Gold remains very much in the

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spotlight today. The world gold council is expected to announce

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this morning that the outlook for the price of gold remains strong,

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despite its record levels. The precious metal is still trading

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within a whisker of last week's record high of just under $1,800 an

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ounce. The price is being driven by continuing demand from central

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:02:09.:02:09.

banks, a well as customers in Across the world the gold industry

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enjoys a boom with merchants refining it as fast as they can.

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Investors in China and India are convinced it is the best store of

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long-term value. People buy it as soon as it has had time to cool.

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Bars like these currently worth $60,000 each are a popular choice.

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Small gold bars through to large onces. Bullion in any form. They

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are filling their boots and the space under the bed. Every week

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seems to bring a new price record. Since July gold has risen by 20%

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having doubled in the last two years. Last week it briefly over

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took the price of platinum. But where is the price of gold headed

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next? Certainly some think a correction is due soon but remember

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back in May the price of silver suddenly collapsed. But gold is not

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silver and as the World Gold Council confirmed Central Banks

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from Thailand to Mexico are still buying up hundreds of tonnes of it.

:03:19.:03:25.

Not only is that trend likely to continue it says but while the US

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and European debt crisis grip the markets there is little danger of

:03:30.:03:40.
:03:40.:03:40.

the gold price overheating in the future. Over in Asia we have had

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some trade news from Japan, mixed news from the Japanese economy?

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That is right. It is not good news in terms of exports, they sell

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again in July for the fifth straight month, they fell. Down

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about 3% from a year ago level. There is still the effect of the

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March earthquake which disrupted production of cars and electronics.

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The yen continues to head exporters because it makes products more

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expensive overseas and when they convert them back into the Japanese

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currency it is bad news for the economy because exports on the

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account for 30% of the country's GDP it is the key driver for growth.

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Last week we saw Japan's economy shrink for the third straight

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quarter between and and June even though the contraction was smaller

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than expected. They say the economy is recovering much quicker than

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expected but we are likely to continue to see some smaller

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figures going forward. Some good news out from Linovo, computer

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maker? That is right. Profits nearly doubled in the first quarter.

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The company made $100 million, much better-than-expected. Linovo one of

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the most largest companies from China is the third largest PC maker.

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China accounts for half of total sales and another 20% comes from

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other emerging markets so even though the slowdown in the US and

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Europe will affect the company's performance it is likely to be

:05:23.:05:29.

smaller compared to its bigger rifle Dell which has already

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slashed its revenue forecast for next year. Homes sales data comes

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out later and while the number is expected to increase it will not

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begin to erase the glut of repossessed homes dragging down

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house prices in the US. The Obama administration has asked for input

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on proposal the rent out the more than 20,000 properties it owns by

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mortgage finance giants Fannie Mae and Freddie Mac. We went to New

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Jersey to look at one community that could benefit. The great falls

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is one of New Jersey's natural wonders but across tonne the view

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is not as scenic. These are all empty lots t value has deteriorated.

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Foreclosures are destroying some of the neighbourhood. One local

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residents shows us one block where all but two houses are abandoned.

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People who live here took care of their property and looked after

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each other. The problem is that now you have so many empty properties

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you get squatters, a lot of crime going on. This is not just at local

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problem. The US government owns around 250,000 fore closed

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properties which it wants the get rid of. It is considering turning

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some into rentals. There are some markets in the US that - in which

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rental is in high demand and there may be more demand for rental units

:07:03.:07:10.

than there are units to rent. mayor says he embraces any proposal

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that saves neighbourhoods and stabilises house prices. I welcome

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anything that will take a look at keeping families intact in their

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homes, that keep neighbourhoods up and viable. For years the Gate

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False here have powered local industry. Now there are plans to

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turn this area into a national park. Dreams of another economic revival

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will only be fulfilled if the

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the day's other business news. Boeing has reaffirmed a September

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delivery of its 787 dream liner to Japanese Nippon Airways is on track.

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The testing approachs the final stage. The dream liner used Rolls

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Royce engines. Boeing is three years behind schedule in delivering

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the first thanks to snags in the complex global supply chain.

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Consumer price data is likely to confirm a relatively tame inflation

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outlook in the US. The data due out later will give policy makers a

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tense of how much room they have. US consumer prices have risen 0.2%

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in July. Prices outside food and energy the US Central Bank's preare

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preferred way of looking at inflation will rise 1.7% arguely,

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that is a comfort range but too high for many policy makers to

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allow for traditional easing. A and F is offering the pay the cast of

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US television show to stop wearing its problems. They say the brand

:08:57.:09:04.

could be damage food the cast of jersey Shore continue the wear its

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clothes. The station which broadcast the reality show is not

:09:12.:09:17.

commenting. A mixed picture in Europe after Nicolas Sarkozy and

:09:17.:09:22.

Angela Merkel came up with a few policies for investors. Markets

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ending on a mixed session,, as far as the Asian market is concerned -

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the Hang Seng not moving. Asian markets mixed looking out to the

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inflation figures out in the US. That is a round-up of all the

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latest business from me on world business report. Stay with us for

:09:43.:09:53.
:09:53.:10:01.

the newspaper review in a few More news from the UK. August is

:10:01.:10:05.

the busiest time of the year for many rescue services. In Cornwall

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more than 900 lifeguards have been employed by the RNLI but the

:10:10.:10:20.
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service can be costly and it is now facing budget cuts. Famous for one

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of kourpb wall's most lively resorts one of the county's busiest

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lifeboat stations. All the crew are volunteers from families who have

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worked here for generations. Day jobs range from paramedics to fish

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mongers. This year has been busy. We will a busy winter and spring

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period and that rolled on now. It has not gone into the summer.

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lifeboat deals with different incidents. The most common here is

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tourists trapped by rising tides. Another is looking for people in

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the water which requires regular training. Easy in the daylight but

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half the crews rescued happen at night. If you think you see someone

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in trouble in the water, dial 999 and ask for the Coast Guard and

:11:09.:11:14.

they will coordinate the rescue services. Here they not only

:11:14.:11:19.

monitor the Cornish coastline but respond to shipping emergencies

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1200 miles out in the Atlantic. the summer we go from 350,000 to a

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couple of million people visiting the southwest. It does not put a

:11:31.:11:35.

strain on us but there is a huge spike in the incidents we deal with.

:11:35.:11:43.

The coast guards are a government organisation and face budget cuts.

:11:43.:11:49.

Foulmouth will remain staffed 24 hours a day but some stations will

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close. Unions argue despite government reassurances lives could

:11:52.:12:01.
:12:02.:12:13.

- severe Syria's President has told the UN Secretary-General Ban Ki-

:12:13.:12:17.

moon that military and police operations against protesters have

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stopped. The Indian anti-corruption campaigner Anna Hazare says police

:12:24.:12:29.

have agreed to let him go on a hunger strike. India's government

:12:29.:12:32.

has backed down. Earlier in the week the police had banned this

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protest from going ahead and they said it could only last for three

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days, there could only be 5,000 supporters. Then they arrested Anna

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Hazare when he said he would not accept the terms. Now they have

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backed down and accepted, they have dropped the conditions. He is going

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to be - he will leave prison soon in the next few hours stkpwhrfrplts

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The Pope arrives in Spain in a few hours for World Youth Day after

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thousands took the streets of Madrid to protest the visit's cost.

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President Obama says the US is not in danger ever falling into another

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recession but warn this the economic recovery might be too slow

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to deal with the country's unemployment crisis. Time for the

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newspaper review where we look at the stories making headlines around

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the world. The aftermath of the euro crisis summit in PAris, it is

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still on the agenda for many international newspapers. Gulf News

:13:30.:13:35.

analyses how European markets have reacted to the re-emergence of the

:13:35.:13:38.

financial transaction tags. The daily Telegraph has an interview

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