:00:07. > :00:09.This is Business Live from BBC News with Ben Thompson and Sally Bundock.
:00:10. > :00:18.As oil falls below $30 a barrel, global stock markets slump
:00:19. > :00:23.Live from London, that's our top story on Thursday
:00:24. > :00:40.The big fall in the US has dragged Asian markets lower.
:00:41. > :00:41.But is the sell off a correction or the beginning
:00:42. > :00:49.Also in the programme, a series of explosions and gunfire
:00:50. > :00:57.have rocked the Indonesian capital, Jakarta.
:00:58. > :00:57.At least seven people have been killed.
:00:58. > :00:59.We'll keep you up to date with the latest.
:01:00. > :01:06.And here's how the European trading day has begun.
:01:07. > :01:15.Nervousness and volatility the order of the day for investors.
:01:16. > :01:17.Website Etsy puts sellers of handcrafted goods in touch
:01:18. > :01:22.with buyers around the world in a business model that made it
:01:23. > :01:33.we want to know what is the best thing you have ever bought online,
:01:34. > :01:45.something original was something that changed your life that you mark
:01:46. > :01:49.For anyone hoping for a turnaround on the markets this weeks -
:01:50. > :01:57.The Dow Jones lost over 2% in trading yesterday
:01:58. > :02:16.The S is now down 10.4 per cent since its recent high in November.
:02:17. > :02:20.A fall of more than 10% is known as a "correction".
:02:21. > :02:22.It can be a big blow to confidence in the markets,
:02:23. > :02:27.and often a signal of bigger falls to come.
:02:28. > :02:30.And as we mentioned, oil prices dipped below $30 a barrel
:02:31. > :02:36.too, with market watchers now eyeing the $28 mark.
:02:37. > :02:36.Nada Tawfik is in New York, and explains how significant
:02:37. > :02:51.if we look particularly at oil that has been down roughly 18% this year
:02:52. > :02:55.will stop it had a brief rally on Thursday before prices fell again.
:02:56. > :03:00.We have heard that this could be an issue throughout 2016. Really
:03:01. > :03:05.weighing on the market. On the erratic view we heard was from
:03:06. > :03:09.investment strategist in London, Albert Edwards, who has warned the
:03:10. > :03:20.world could be heading for a financial crisis as severe as that
:03:21. > :03:24.of 2008. He is just one and no that at one analyst but it does show
:03:25. > :03:28.continued uncertainty. And amid all that uncertainty comes
:03:29. > :03:31.the breaking news we've been A series of bomb blasts
:03:32. > :03:37.in the Indonesian capital, Jakarta. There is continuing gunfire
:03:38. > :03:40.and reports of further explosions. Police say at least seven
:03:41. > :03:45.people have been killed, It's unclear who was
:03:46. > :03:51.behind the attack. Sharanjit Leyl is in our
:03:52. > :04:03.Asia hub in Singapore. As we have said, on top of the
:04:04. > :04:09.nervousness in markets this attack, details still emerging but that will
:04:10. > :04:15.serve to add to the nervousness and uncertainty? And it is indeed, most
:04:16. > :04:21.of the markets here have started to close and they have almost all
:04:22. > :04:29.closed lower. Explosions and gunfire in Jakarta actually hit things like
:04:30. > :04:32.the Indonesian market which touched on. The Indonesian central bank
:04:33. > :04:39.meeting this week have cut their benchmark interest rate for the
:04:40. > :04:46.first time in 11 months, about 7.25%, that was a bit of a surprise,
:04:47. > :04:48.certainly earlier than expected. We also sought the Jakarta deposit
:04:49. > :04:56.index just about to close for the day. It has actually pared some of
:04:57. > :05:02.those losses now and is trading down 1.3%. Bear in mind that in the
:05:03. > :05:07.series of many terror attacks Indonesia has suffered the Jakarta
:05:08. > :05:13.stock exchange was a target in 2000 when some 15 people died. Over the
:05:14. > :05:24.years we saw the attacks in our league in 2002, the most recent was
:05:25. > :05:27.in 2009. All of that -- in Bali. That all have an impact on tourism
:05:28. > :05:40.and investment. We have seen other markets falling as well, in Japan
:05:41. > :05:44.the Nick -- the Nikkei closed two alone, and in Australia down 1.5%.
:05:45. > :05:46.The bright spot has been in China with the Shanghai Composite actually
:05:47. > :05:48.closing up. And a reminder, there's continuing
:05:49. > :05:54.coverage of events in Jakarta We'll have it right here on BBC
:05:55. > :06:04.News, but also on our website. And those events adding
:06:05. > :06:08.to already nervous markets. US crude prices dipped below
:06:09. > :06:11.$30 a barrel yesterday, Brent prices soon followed
:06:12. > :06:16.hitting their lowest levels The big question is how
:06:17. > :06:22.far they can fall. A move towards the 2004 lows of $28
:06:23. > :06:30.a barrel is now in sight. For the first time this year
:06:31. > :06:33.the FTSE 100 yesterday managed to see two positive days
:06:34. > :06:36.in a row, buoyed by a rebound in oil prices, as well as an improvement
:06:37. > :06:39.in the latest Chinese trade But that is not lasted. Down already
:06:40. > :06:49.this morning. That fall in oil prices
:06:50. > :06:51.dragged on European markets Here's how they've
:06:52. > :07:00.opened this morning. We'll get an update on interest
:07:01. > :07:05.rates at middday in London today, with the BoE decision and statement
:07:06. > :07:08.but no change to rates is expected Sue Noffke, UK Equities Fund Manager
:07:09. > :07:29.at Schroders is here. Everyday I feel like am having this
:07:30. > :07:35.conversation and we thought there was a bounce back yesterday but now
:07:36. > :07:39.we are worse off than Monday. That is interesting, yesterday we saw
:07:40. > :07:46.markets starting to rally and the US opened up but really nervousness too
:07:47. > :07:53.cold. What caused the change of mood on Wall Street? The Chinese news
:07:54. > :07:59.yesterday was really positive. I think it comes down to oil and that
:08:00. > :08:07.is the fear about the strength and sustainability. We are having
:08:08. > :08:11.growth, it is more volatile and patchy and not high enough to get
:08:12. > :08:18.people comfort that the world is in a sustainable place. You talk about
:08:19. > :08:24.sustainability and with all of these anecdotal bits of data and
:08:25. > :08:27.statistics, everybody trying to piece them together to get an idea
:08:28. > :08:31.of the economy. That is notoriously difficult but I suppose it is about
:08:32. > :08:36.whether it adds up to a bleak picture and there is not much to get
:08:37. > :08:39.excited about. Sadly touched on the Chinese data yesterday that was
:08:40. > :08:44.better but it was not really enough to spark any sort of excitement.
:08:45. > :08:50.That right, in the US we have seen sufficient growth on the Federal
:08:51. > :08:56.the emergency levels from 2009. That the emergency levels from 2009. That
:08:57. > :09:00.is good, but more recent data has suggested a little bit of a
:09:01. > :09:05.slowdown. The question is, it is this a rolling over or just a pause?
:09:06. > :09:09.If you are taking the heat out of the strongest areas of the global
:09:10. > :09:16.economy it does not need much else to take its place. In the meantime,
:09:17. > :09:17.some companies and industries are doing really well, like US
:09:18. > :09:24.car-makers. General Motors upgrading car-makers. General Motors upgrading
:09:25. > :09:30.its outlook for this year saying they are having a bumpy time, US car
:09:31. > :09:32.sales with a record last year. People buying brand-new gas
:09:33. > :09:40.guzzlers. That's right, finance is still cheap and running costs are
:09:41. > :09:46.cheaper. Housing as well, that tends to be correlated with the
:09:47. > :09:52.availability and Jenas, we have seen that in the US and the UK. Thank you
:09:53. > :09:53.very much. We will keep you up-to-date on those markets as the
:09:54. > :09:57.A reminder of the news from day progresses.
:09:58. > :10:02.A reminder of the news from Indonesia, is series of bomb blasts
:10:03. > :10:06.have rocked the capital, followed by gun battles on the streets. Police
:10:07. > :10:08.say five suspected attackers are among at least seven people who have
:10:09. > :10:14.been killed. They say they are now in control of the situation. The
:10:15. > :10:20.blasts were centred around a major shopping and district near the
:10:21. > :10:29.international business centre, and UN offices. It is not yet
:10:30. > :10:33.which group is behind the assault and the president has urged people
:10:34. > :10:40.not to speculate on who might be in bold. TRANSLATION: We give our
:10:41. > :10:46.condolences on the occurrence of these events. We condemn actions
:10:47. > :10:57.that disrupt public security and disturb the peace of the people and
:10:58. > :11:01.so terror. -- sew terror. I have instructed the police chief and the
:11:02. > :11:08.coordinating Minister for political, legal and security affairs to pursue
:11:09. > :11:13.an arrest for perpetrators and their networks. The people do not need to
:11:14. > :11:17.be afraid. And should not be defeated by these terrorist acts.
:11:18. > :11:33.And I hope that people remain calm because it is all controllable. So
:11:34. > :11:34.you can keep up to date with what is happening, take a look at the page
:11:35. > :11:55.on the Germany will release growth figures
:11:56. > :12:00.for last year within the hour. Europe's largest economy is expected
:12:01. > :12:02.to grow 1.6% over 2015, despite the sharp slowdown in one
:12:03. > :12:05.of its major export markets, Two thirds of the growth is expected
:12:06. > :12:09.to have come from domestic consumer UK luxury brand Burberry has posted
:12:10. > :12:19.a 1% rise in third-quarter for the luxury sector
:12:20. > :12:24.but it says the outlook Shares have slumped 43%
:12:25. > :12:25.since their peak last February amid the slowdown in China
:12:26. > :12:27.where Burberry makes more than a third of its revenues,
:12:28. > :12:30.piling the pressure on chief Auto giant General Motors
:12:31. > :12:39.is bucking the trend, its shares have risen after the firm
:12:40. > :12:43.said it would be more profitable and return more money
:12:44. > :12:45.to shareholders. Shares in the biggest US carmaker
:12:46. > :12:48.closed 0.6% up after it The World Health Organisation
:12:49. > :12:59.is about to announce that that
:13:00. > :13:01.started at the end of 2013. The region, though,
:13:02. > :13:03.will likely feel the economic Liberia, Sierra Leone and Guinea,
:13:04. > :13:18.lost $1.5 billion last year alone, that's nearly 5%
:13:19. > :13:20.of their combined GDP. The UN Development Group,
:13:21. > :13:22.says that West Africa may lose That's mostly because of
:13:23. > :13:33.between 2014 and 2017. as the stigma of ebola
:13:34. > :13:35.persists even if the virus And local people are
:13:36. > :13:42.feeling it keenly. In neighbouring Cote d'Ivoire,
:13:43. > :13:44.the UN says the poverty rate has risen by at least 0.5 percentage
:13:45. > :13:51.points because of Ebola. Manji Cheto, Africa analyst
:13:52. > :14:05.at Teneo Intelligence, lovely to see you again, one
:14:06. > :14:08.statistic we did not mention is the human cost. Over, I don't know the
:14:09. > :14:16.top of my head, how many thousands died. Over 28,000 affected, about
:14:17. > :14:22.11,300 deaths. Quite significant if you just think about it being
:14:23. > :14:27.technically a peace Time crisis. We talk about the money that still
:14:28. > :14:32.terrible times for those countries affected by this and the impact it
:14:33. > :14:39.has had at a personal level. But just talking about the situation
:14:40. > :14:45.now, of course, brilliant that the world help the organisation says it
:14:46. > :14:49.is over but we do not want history to repeat itself and there is work
:14:50. > :14:55.to do. One thing we will see this year is we will see a rebound in GDP
:14:56. > :15:00.growth in a lot of these countries. As you rightly pointed out there is
:15:01. > :15:01.a social factor, livelihoods have been hit significantly. Border
:15:02. > :15:08.closures, and household incomes have gone
:15:09. > :15:12.down. We had a contraction of 22% in growth in Sierra Leone, we have
:15:13. > :15:17.quite similar numbers coming out of Guinea and Liberia. I think we will
:15:18. > :15:22.see a positive impact because businesses will reopen so you get
:15:23. > :15:25.that sharp rise in GDP growth but beneath those numbers we are really
:15:26. > :15:27.looking at very worrying statistics like inflation, we already know that
:15:28. > :15:32.there are major food shortages and there
:15:33. > :15:48.also in neighbouring countries as well.
:15:49. > :15:57.Where do they start more water they need to do? We know already that
:15:58. > :15:58.places like Sierra Leone did have a posted bowler recovery plan during
:15:59. > :16:05.the peak of the outbreak, they be taking stock of those plans to
:16:06. > :16:11.see if they were overestimated underestimating the risk, where
:16:12. > :16:15.things start, it. To help their sector, particularly Liberia which
:16:16. > :16:18.has been hit significantly, the one thing that people will be keen is
:16:19. > :16:21.not to see a repeat of the outbreak. We will see a boost in the
:16:22. > :16:27.infrastructure spending particularly. They will be receiving
:16:28. > :16:31.some investment, all of these countries, from international donors
:16:32. > :16:37.as it were, it is just a question of how that investment money is
:16:38. > :16:42.managed? So far we know that about $3.4 billion has been earmarked in a
:16:43. > :16:48.post-recovery plan. How it is earmarked will be largely determined
:16:49. > :16:53.by the donors, thank you for coming in. It is good to hear what is going
:16:54. > :16:57.on. Still to come, shopping in the world for handmade goods.
:16:58. > :16:59.The website Etsy has revolutionised how artists
:17:00. > :17:01.and designers sell their wares to the world.
:17:02. > :17:03.And made itself billions of dollars in the process.
:17:04. > :17:09.You're with Business Live from BBC News.
:17:10. > :17:11.Tesco has hailed what it calls a "strong Christmas" after its UK
:17:12. > :17:15.sales rose 1.3% on a like-for-like basis in the six weeks ending 9
:17:16. > :17:35.So cruelly does depend on what you look at, is it just Christmas they
:17:36. > :17:43.are focusing on, or are we going to take the figures as a whole? It is a
:17:44. > :17:48.very mixed picture, they are still comfortably the biggest retailer.
:17:49. > :17:52.Not a bad Christmas, sales up 1.5%, better than pretty much all of the
:17:53. > :17:54.rivals and we knew that with a have got gains in market share. If you
:17:55. > :18:00.look at the court as a whole, down 1.5%, they have put that down to the
:18:01. > :18:06.fact that they did not do lots of cheap promotions which they did last
:18:07. > :18:11.year. They have put a stop to that and that hurt them over the quarter
:18:12. > :18:17.as a whole. Well what do the market thing? The story for Tesco has been
:18:18. > :18:22.one of gradual decline, this is the story over the last six months. In
:18:23. > :18:25.the last couple of days, the big four have surprised us, the
:18:26. > :18:33.investors really like it. Is this the Christmas where the big four
:18:34. > :18:35.fought back against the discounters? Maybe not, because little sales were
:18:36. > :18:41.up 18%, it certainly looks like they have managed to stop the rot so as
:18:42. > :18:46.you can see, on a day when most other stocks are down, this is a
:18:47. > :18:51.chink of light in otherwise a pretty grey day in the market. Just a brief
:18:52. > :18:55.word on the wholesale gas and then a trustee prices. Talking about oil
:18:56. > :19:02.falling sharply, a big question as to whether that is passed onto
:19:03. > :19:04.consumers? There is not a big correlation, but wholesale prices
:19:05. > :19:09.have gone down. reiterated that common complaint,
:19:10. > :19:14.that when wholesale prices go up, they go up like a rocket and come
:19:15. > :19:23.down like a feather and I expect a lot of political action on that.
:19:24. > :19:33.Thank you very much. Is that an old analogy? It is new to me. I may have
:19:34. > :19:36.been here for too long. Tesco, you can look on our website, all of
:19:37. > :19:38.their figures and past performances. Down like a feather and up like a
:19:39. > :19:47.rocket. our top story, live, turmoil
:19:48. > :19:59.live, on the markets deepens -
:20:00. > :20:01.US stocks plunge as crude dips below Now, how to turn a hobby
:20:02. > :20:08.into a bit of extra money? It's an online market place for hand
:20:09. > :20:15.made arts and crafts that
:20:16. > :20:20.allows ordinary people Founded in Brooklyn in 2005,
:20:21. > :20:23.the company now has offices across Europe and in
:20:24. > :20:25.Melbourne - Australia. Etsy's annual turnover last
:20:26. > :20:28.year was around 1 point It charges a small
:20:29. > :20:38.listing fee and a 3.5 There are a million and a half
:20:39. > :20:42.active sellers on the site - But its not been plain sailing
:20:43. > :20:46.for the company following its market listing in New York
:20:47. > :20:48.in April last year. The share price has fallen
:20:49. > :20:51.over 70 percent since. Nicole Vanderbilt,
:20:52. > :21:05.VP of Etsy, is here. good to have you with us in the
:21:06. > :21:08.studio. I must admit, it is right up my alley, I like doing crafty stuff
:21:09. > :21:16.but you can never sell anything that I make. Nobody would buy it. Just
:21:17. > :21:22.where did this idea come from? It was founded in Brooklyn in 2005,
:21:23. > :21:24.primary because there was a community of people online doing
:21:25. > :21:29.crafting and they wanted a place to sell their goods that was a great
:21:30. > :21:35.environment, they recognise the value of craftsmanship. When we talk
:21:36. > :21:39.about the niche market, it is one that connects sellers with buyers
:21:40. > :21:43.and it allows you to have a market much greater than perhaps your local
:21:44. > :21:46.community where you might be able to sell things traditionally and that
:21:47. > :21:50.opens things up to a global marketplace but at the same time it
:21:51. > :21:59.is up to global competition, I know that Amazon is getting in on the
:22:00. > :22:02.act. How do you take on the power of Amazon? So all is take a look at the
:22:03. > :22:06.marketplace, and we listen to our sellers. We know that these people
:22:07. > :22:10.sell on multiple platforms, and we have been in the business for ten
:22:11. > :22:15.years of trying to meet the need of these incredible entrepreneurs and
:22:16. > :22:19.so we pride ourselves on keeping that laser focus, which is a new and
:22:20. > :22:24.different type of business to what you typically see. You came on board
:22:25. > :22:30.to increase its international presence, to oversee that, that is
:22:31. > :22:33.quite a big job to take on. When I was booking and researching into how
:22:34. > :22:38.the company is doing, some of the things that were coming out were
:22:39. > :22:43.reports about concerns, questionable authenticity about some of these
:22:44. > :22:52.goods? One report said? Do they actually exist? Magic spells was one
:22:53. > :22:56.that was quoted. Do they exist? Is this actually the real Deal or is it
:22:57. > :23:04.something that is being peddled in a way that is not really authentic?
:23:05. > :23:06.Sure I think these are challenges that any marketplace faces,
:23:07. > :23:11.connecting buyers to sellers, our role is to try and make it safe and
:23:12. > :23:16.comfortable for both to interact. So we do try and mediate. How do you
:23:17. > :23:21.check, you say that you try and manage it all, but with sellers from
:23:22. > :23:25.all over the world, how do you make sure that they are authentic? There
:23:26. > :23:30.is a combination of different things that you do, there are lots of
:23:31. > :23:34.systems, smart algorithms that notice things that
:23:35. > :23:38.shop potentially suspicious and we will take a further look at it, but
:23:39. > :23:42.in addition, our community is an incredible force, and they will flag
:23:43. > :23:49.things that they find worrying and that is another great source of data
:23:50. > :23:56.for us. Just a word about the share price, floating, it is currently $6
:23:57. > :23:58.99, down about 56%, how closely do you watch that, are you troubled by
:23:59. > :24:05.the fact that investors seem to be market and the dead know how they
:24:06. > :24:10.will play this and I do know how it will
:24:11. > :24:17.Complete. The I cannot really comment on the stock price, we focus
:24:18. > :24:20.for the long haul on building a company that reimagines commerce in
:24:21. > :24:23.a way that is more fulfilling and lasting and that is about really
:24:24. > :24:26.listening to our sellers and what they need and that is what we spend
:24:27. > :24:33.all of our terms of what is next, what is the
:24:34. > :24:37.next step from your point of view, looking at the International
:24:38. > :24:42.expansion of this company? Obviously we know what it is and what it does
:24:43. > :24:46.but you need to keep innovating? From my point of view there is a big
:24:47. > :24:51.world out there and one of my biggest challenges is to prioritise
:24:52. > :24:54.where we spend our time. There are 1.5 million sellers representing
:24:55. > :24:58.every country in the world and so we are constantly trying to find
:24:59. > :25:01.to find better support through services or throughout product, as a
:25:02. > :25:06.company has a whole we continue to innovate as many as we do, we have
:25:07. > :25:12.been very focused on mobile, 60% of the traffic comes from mobile, and
:25:13. > :25:17.we have been focused on what we call the Etsy economy, rather than just
:25:18. > :25:19.connecting buyers and sellers, we have launched Etsy manufacturing, so
:25:20. > :25:25.we help people source ways of building their goods, and also we
:25:26. > :25:30.have Etsy wholesale, which allows people to get a presence in high
:25:31. > :25:34.street stores. Thank you very much for coming in. If you want to get
:25:35. > :25:41.involved in any of the conversations that we have with company bosses,
:25:42. > :25:47.here is a quick reminder of how you can do that. The businesslike pages
:25:48. > :25:51.where you can stay up to date with all of the latest details, insight
:25:52. > :25:55.and analysis from the BBC team of editors around the world. And we
:25:56. > :26:03.want to hear from you too, get involved with the BBC business live
:26:04. > :26:05.web page, on twitter, and you can find us on Facebook, BBC business
:26:06. > :26:13.news. Business live, TV and online, news. Business live, TV and online,
:26:14. > :26:16.whenever you need to know. And today because of the events going on and
:26:17. > :26:20.developing in Indonesia and in Jakarta, we have set up a special
:26:21. > :26:27.live page online for you to take a look at. You can keep across every
:26:28. > :26:37.single development. These is now under control of, there were seven
:26:38. > :26:42.attack as they say, three have been killed and four had been captured.
:26:43. > :26:45.It happened around a major shopping and business district close to the
:26:46. > :26:49.embassies and the offices of the United Nations. Yet
:26:50. > :26:56.-- let us look at what is happening on the Jakarta live page, and also
:26:57. > :27:00.this is a look at the other analysis we have online, do stay with us as
:27:01. > :27:11.we keep you right up to date. Full headlines at the top of the power,
:27:12. > :27:12.we will see you soon. Can you scroll back, and I will see where I need
:27:13. > :27:16.to?