:00:00. > :00:00.This is Business Live from BBC News with Jamie Robertson
:00:07. > :00:15.It's likely the biggest cyber breach in history -
:00:16. > :00:17.after half a billion Yahoo users' accounts were hacked.
:00:18. > :00:35.Live from London, that's our top story on Friday, 23rd September.
:00:36. > :00:39.The breach happened two years ago - so why has it taken the tech company
:00:40. > :00:47.and the tit-for-tat over accusations of state funding.
:00:48. > :00:54.Now the World Trade Organisation is stepping in.
:00:55. > :01:01.The markets are down, but bear in mind the last three days we have
:01:02. > :01:03.seen markets around the world rising. Still a breather going on.
:01:04. > :01:06.And how will this week's decisions by a number of central banks around
:01:07. > :01:13.We'll be asking our economics editor later in the programme.
:01:14. > :01:19.Are you concerned about historically low interest rates?
:01:20. > :01:23.Are you unsure what to do with your savings?
:01:24. > :01:25.Send your questions to us and Kamal Ahmed and we'll
:01:26. > :01:42.We start in Silicon Valley, where there are some very red
:01:43. > :01:46.Internet giant Yahoo has admitted it has been the victim of the biggest
:01:47. > :01:54.It says back in 2014 the personal details of 500 million -
:01:55. > :01:57.that's half a billion - of its users were stolen.
:01:58. > :02:02.And it describes the attacker as 'state sponsored'.
:02:03. > :02:05.If you use, or used, Yahoo, how worried should you be?
:02:06. > :02:09.The company says hackers may have stolen users' names,
:02:10. > :02:12.email addresses, telephone numbers, dates of birth, encrypted passwords
:02:13. > :02:24.They may have, the word may is important.
:02:25. > :02:29.The good news, according to Yahoo, is that they may not have obtained
:02:30. > :02:32.some of the really important stuff - unprotected passwords, payment card
:02:33. > :02:37.Still this is hugely embarrassing for Yahoo.
:02:38. > :02:43.And more than a little annoying for US telecoms giant Verizon,
:02:44. > :02:45.which agreed to buy the internet company in a multi-billion dollar
:02:46. > :02:53.James Turner specialises in cyber security and risk
:02:54. > :03:07.My hometown. James, great to have you with us. This story beggars
:03:08. > :03:13.belief and beggars belief that Yahoo, surely, they knew that they
:03:14. > :03:18.were hacked two years ago? I am not clear on when they found out about
:03:19. > :03:23.it but they have been had to for two years and if they have just found
:03:24. > :03:26.out about it it raises questions about how that happened. Or they
:03:27. > :03:33.have known about it for a period of time, and that is horrible. I have
:03:34. > :03:38.received tweets this morning about this story and hearing from experts
:03:39. > :03:47.like yourself. Some have said be wary, because the information the
:03:48. > :03:51.hackers did get is, or could be more valuable than the information they
:03:52. > :03:55.did not get, such as credit cards. Getting your birthday gives them
:03:56. > :04:02.access to all sorts of things, doesn't it? We don't want to get
:04:03. > :04:06.caught up in who actually did this, what is more important for consumers
:04:07. > :04:11.is understanding how they can protect themselves. If a nation
:04:12. > :04:15.state went after this they would be likely interested in specific
:04:16. > :04:20.individuals and those individuals should be concerned. If it was
:04:21. > :04:24.organised crime and identity theft, that is something the wider
:04:25. > :04:30.community should be concerned about. The timing is odd. It comes not long
:04:31. > :04:43.after the takeover. Will there be harsh words said by the rise -- by
:04:44. > :04:47.Verizon? I am reminded by other cases with companies being taken
:04:48. > :04:52.over and it ended up with a legal case. It raises an interesting point
:04:53. > :04:57.about how long it had been happening before people found out about it and
:04:58. > :05:00.how long it took to discover. If attackers have compromised the
:05:01. > :05:06.network and it has been like that for two years, that is appalling,
:05:07. > :05:11.because it shows an oblivion to potential impact on customers and no
:05:12. > :05:15.real care that customers could need to protect themselves and the
:05:16. > :05:23.likelihood of this completely foreseeable event. The worst-case
:05:24. > :05:26.scenario is executives knew about this and have been doing nothing for
:05:27. > :05:32.a period of time. Viewers watching this around the world possibly used
:05:33. > :05:38.to use Yahoo and still do, what do they do? Change your password. The
:05:39. > :05:47.second thing, consider, if you use your Yahoo will e-mail -- Yahoo
:05:48. > :05:50.e-mail address, if you use that address somewhere else you might be
:05:51. > :05:53.using the compromised password as well. Change it again to the one you
:05:54. > :05:58.are now using with Yahoo. Thanks. 36 Rafale jets in a deal that could
:05:59. > :06:07.be worth close to $8.7 billion. India has become the world's fourth
:06:08. > :06:10.largest spender on defence, after The global trade is predicted to hit
:06:11. > :06:17.a record $69 billion this year, with France set to overtake Russia
:06:18. > :06:19.as the biggest exporter It feels like everybody is boring
:06:20. > :06:37.up, JB. -- warring. Maersk, the Copenhagen-based
:06:38. > :06:39.shipping giant, is to be split up. The 120-year-old Danish conglomerate
:06:40. > :06:41.is the world's biggest shipping line It's got an oil business which has
:06:42. > :06:46.been hit by the fall in oil price. And there's a slump in international
:06:47. > :06:49.trade which means there less The World Trade Organization says
:06:50. > :06:53.the EU has failed to comply with rulings that it should cut
:06:54. > :06:55.subsidies to Airbus. Rival Boeing says it could be
:06:56. > :06:59.the start of a trade war with the US imposing up to $10bn worth
:07:00. > :07:01.of tariffs on European goods. It follows years of mud-slinging
:07:02. > :07:04.between the two aerospace giants, each accusing the other
:07:05. > :07:22.of taking state funding. We can see what is on the website, a
:07:23. > :07:27.cracking website. I just found this. Things to do if you are on Yahoo.
:07:28. > :07:38.It is the top ten previous cyber briefs. Yahoo, half a billion. The
:07:39. > :07:43.closest was MySpace, almost 360 million. LinkedIn. Check it out.
:07:44. > :07:46.The former chairwoman of Hanjin Shipping is under investigation
:07:47. > :07:56.It comes as the company filed for bankruptcy protection.
:07:57. > :08:09.Good to see you, happy Friday. What is the story, she sold the shares
:08:10. > :08:14.the company? That is what is alleged. Regulators confirmed that
:08:15. > :08:20.the former of this shipping company we have heard so much about is being
:08:21. > :08:25.investigated for selling shares in the company in April, days before
:08:26. > :08:31.the firm filed for a credit to lead debt restructuring programme. It is
:08:32. > :08:35.reported that the shares she and her daughters owned were worth $2.7
:08:36. > :08:40.billion and she is under suspicion for selling the shares after
:08:41. > :08:45.receiving internal information about plans to restructure. And
:08:46. > :08:56.prosecutors are investigating that by doing this she avoided paying a
:08:57. > :08:59.large sum of money. It was offered a lifeline of the loan, but today the
:09:00. > :09:06.company shares are in negative territory. We can look at what is
:09:07. > :09:08.going to happen. Here are the details about what is ahead on Wall
:09:09. > :09:12.Street today. Now that the latest Federal Reserve
:09:13. > :09:15.meeting has come and gone, several members of America's central bank
:09:16. > :09:17.will be giving post-meeting speeches on the economic outlook for the US
:09:18. > :09:20.and the best way forward for Earlier this week, the Fed
:09:21. > :09:27.left interest rates unchanged, but three
:09:28. > :09:28.of the ten members felt that now really
:09:29. > :09:30.was the The US Treasury Secretary
:09:31. > :09:36.will be speaking at a forum that looks at ways to increase
:09:37. > :09:40.cooperation between the public, private and nonprofit sectors,
:09:41. > :09:42.to try to build an economy that Finally, the hotel
:09:43. > :09:49.chain Starwood will no longer be trading on the
:09:50. > :09:52.New York Stock Exchange. That's because its merger
:09:53. > :09:54.with Myriad passed its final The combination of the two
:09:55. > :09:59.will create the largest hotel company in the world,
:10:00. > :10:18.with 1.1 million rooms. We can stay with the markets. Our
:10:19. > :10:23.business Economist joins us. Good to see you, happy Friday. When we talk
:10:24. > :10:29.about markets, I know later we will talk about the US Fed, but in terms
:10:30. > :10:35.of the markets, they liked what they saw the other day at first. Is it
:10:36. > :10:41.because now the American central bank is saying interest rate,
:10:42. > :10:48.possibly December for a rise? I think it is both the bank of Japan,
:10:49. > :10:52.they have qualitative and quantitative easing and have tweaked
:10:53. > :10:58.it a bit. It means that the sedative, pumping in money, keeping
:10:59. > :11:05.interest rates low, the markets like that, they just like it, because it
:11:06. > :11:11.is pushing more money into assets. That is how the markets responded.
:11:12. > :11:18.Only two more months of playtime. Is it? I am not sure people believe
:11:19. > :11:24.rates are ever going to go up. It is not just the third, it is everybody,
:11:25. > :11:29.saying rates next year will go up. That has not happened. For those who
:11:30. > :11:34.do not follow this, because the interest rates are low everywhere
:11:35. > :11:39.and in some places negative, you do not get a return on your savings.
:11:40. > :11:46.That is why the markets, people put money on because you get better
:11:47. > :11:53.returns? The idea is that if rates are low you put your money either
:11:54. > :11:59.into stocks, housing, or something else, or you borrowed to do that.
:12:00. > :12:04.What they would like to see is companies borrowing to invest. A lot
:12:05. > :12:09.of companies are not doing that, they are borrowing to either make
:12:10. > :12:16.buy-backs, or buying in other companies. Everything you said
:12:17. > :12:21.points towards a massive bubble because it is not looking at real
:12:22. > :12:25.valuations that should be put on stocks and properties for that
:12:26. > :12:31.matter. It does seem we are in that territory. It is always hard to
:12:32. > :12:35.judge but when we have money... When the US Fed starts putting rates up,
:12:36. > :12:43.perhaps if we saw an oil price spike. There is an oil meeting next
:12:44. > :12:48.week, but I expect prices to stay around the $50 level. But you'd
:12:49. > :12:53.never know. It is the shock. The markets are not prepared for any
:12:54. > :12:59.sort of shock. You will come back and take us through the papers. And
:13:00. > :13:00.the WTO decision on the Airbus and Boeing battle. We will see you
:13:01. > :13:03.shortly. Still to come - what the central
:13:04. > :13:07.bank super Wednesday means this And in the days to come -
:13:08. > :13:12.we'll be asking our economics guru The chief executive of Sports Direct
:13:13. > :13:21.has resigned and will be replaced by the company's controversial
:13:22. > :13:23.founder and controlling The retailer has been heavily
:13:24. > :13:29.criticised for the way it treats its workers and for its corporate
:13:30. > :13:36.governance practices. Our economics correspondent
:13:37. > :13:53.Andrew Walker joins us now. -- Rob, good to see you. This is the
:13:54. > :13:56.bloke with a bunch of ?50 notes. Mike Ashley, memorably, when he
:13:57. > :14:02.showed journalists around his warehouse a few weeks ago put a wad
:14:03. > :14:07.of ?50 notes in the trays as he went through security. He is the founder
:14:08. > :14:15.of Sports Direct, taking over with immediate effect as chief executive
:14:16. > :14:20.after the person who has been at the company for 32 years, Dave Forsey.
:14:21. > :14:25.He has decided to go, we do not know, but Sports Direct has been the
:14:26. > :14:29.subject of criticism over the past year from MPs, unions and
:14:30. > :14:35.shareholders. Sports Direct admitted he had in effect paid workers --
:14:36. > :14:39.some workers less than the minimum wage, in effect. That led to some
:14:40. > :14:49.saying it was like a Victorian warehouse. -- workhouse. Sports
:14:50. > :14:53.Direct has instituted a review of its governance process. Some saying
:14:54. > :14:57.they do not think Mike Ashley as controlling shareholder and founder
:14:58. > :15:02.is necessarily the best person to turn around Sports Direct, but he
:15:03. > :15:07.has taken over as chief executive and shares this morning have gone up
:15:08. > :15:12.by 1.5%, suggesting some investors think he can turn the company
:15:13. > :15:18.around. In the past year they have not been happy with more than a 50%
:15:19. > :15:28.fall in the share price. Thanks. We can look at the web page. The BBC
:15:29. > :15:37.has been looking at what the UK needs to do to compete in the global
:15:38. > :15:43.tech industry. ?5.5 trillion. A venture capital guys said the record
:15:44. > :15:47.of venture capital into tech funding was absolutely appalling. Nowhere
:15:48. > :15:52.near enough? And much more is needed to be done.
:15:53. > :15:59.Our top story - the biggest cyber breach in history has been revealed.
:16:00. > :16:04.Half a billion Yahoo users had their details stolen.
:16:05. > :16:12.A quick look at how markets are faring.
:16:13. > :16:18.This is how they are starting in the UK and Europe. We have had three
:16:19. > :16:23.days of rises on all markets, really. The Federal Reserve has
:16:24. > :16:31.decided not to put up interest rates quite yet. The markets are taking a
:16:32. > :16:37.breather after all that excitement. Yesterday, we saw the oil companies
:16:38. > :16:39.moving up, the miners moving up. Today's movement is down, but not
:16:40. > :16:41.huge. And now let's get the inside track
:16:42. > :16:44.on this week's economic events. And it's been a central
:16:45. > :16:46.bank bonanza. The US Federal Reserve decided
:16:47. > :16:51.to keep interest rates on hold at it's meeting Wednesday,
:16:52. > :16:54.but it was not a unanimous decision. In fact three of the ten votes
:16:55. > :17:00.were for a rate hike. Economists seem to take this
:17:01. > :17:03.as a sign we will see a hike in US The Fed still has two
:17:04. > :17:07.meetings left to do this. Our Economics Editor
:17:08. > :17:21.Kamal Ahmed joins us now. Always good to see you. Happy
:17:22. > :17:25.Friday. There is supposed to be one unified voice when a decision is
:17:26. > :17:31.made, but this was a mixed picture. The chairman of the Federal Reserve
:17:32. > :17:36.has always wanted consensus. You are right, whether it is the Bank of
:17:37. > :17:44.England, the Federal Reserve, unified voices are better. This
:17:45. > :17:50.split shows a trajectory of movement towards an interest rate rise. The
:17:51. > :17:54.fact that three members of the committee voted for a rate rise this
:17:55. > :17:58.time is telling the markets and the world that clearly be fed is moving
:17:59. > :18:04.towards that rate rise, probably at the end of the year. At the
:18:05. > :18:08.beginning of the year, we were talking about the problem of the
:18:09. > :18:12.great divergences of the what happens if in America because of
:18:13. > :18:16.their stronger economy they start to increase interest rates at the same
:18:17. > :18:21.time as the Bank of England, the European Central Bank, the bank of
:18:22. > :18:25.Japan are reducing rates. What does that do for capital flows? It makes
:18:26. > :18:31.America more attractive. Capital moves into America, leaving UK,
:18:32. > :18:39.Europe and Asian markets with problems. If capital flow is looking
:18:40. > :18:44.for yield and it starts moving back to America, these huge movements of
:18:45. > :18:47.money can cause problems when you are trying to finance huge debts.
:18:48. > :18:50.The financial policy committee of The financial policy committee of
:18:51. > :18:55.the Bank of England yesterday raised the issue about huge debt in China,
:18:56. > :19:08.for example. These have to be serviced by capital flows, and it
:19:09. > :19:12.can cause tension. Viewers have been saying they are unsure of where to
:19:13. > :19:23.put savings. Interest rates, a concept of the past - do we need to
:19:24. > :19:30.get used to renewed market dynamics? It is thought that the target of 2%
:19:31. > :19:34.was from an era when we were fearful of inflation. We are now fearful of
:19:35. > :19:38.the flesh on. So maybe there does need to be a rethinking of how we
:19:39. > :19:44.use interest rates to target low inflation, when we need more
:19:45. > :19:56.inflationary policies. This is slightly under the radar, from
:19:57. > :20:04.Bratislava. We want to talk about the EU- US and TTIP. It seems to
:20:05. > :20:10.have run into a wall. Both Hillary Clinton and Donald Trump have said
:20:11. > :20:15.they don't agree with the present structure of the TTIP arrangement.
:20:16. > :20:21.For the moment, that is a pretty moribund discussion. What is
:20:22. > :20:26.important for the EU is the big deal with Canada, and the big Canadian
:20:27. > :20:29.free trade deal, which has taken seven years to put together, they
:20:30. > :20:35.want to sign that before the end of the year. These a big signal because
:20:36. > :20:44.Britain is leaving the EU. Is the EU able to sign a great treat -- a free
:20:45. > :20:50.trade deal with our country the size of Canada? That will be the key
:20:51. > :20:55.debate for the Bratislava meeting. How big is Canada in terms of EU
:20:56. > :20:59.trade? It is nowhere near America. It will be the largest free-trade
:21:00. > :21:05.deal the EU has signed with an outside country. It is an important
:21:06. > :21:09.signal. Canada is a country... Quite frank way, if you can't do a deal
:21:10. > :21:16.with Canada, who can you do a deal with? You have to have a vote of all
:21:17. > :21:20.27 members of the EU and some regional governments within the EU,
:21:21. > :21:26.so actually, over 30 agreements have to be signed to get this deal
:21:27. > :21:34.through. I think it shows the complexity of free-trade deals at a
:21:35. > :21:37.time when we have had demonstrations against TTIP in Germany and the
:21:38. > :21:43.public are quite negative, thinking it is about big business and not
:21:44. > :21:50.real people. It is unlikely that Obama will put pen to paper for
:21:51. > :21:55.TTIP. It is not TTIP, it is for the deal and the Pacific. On TTIP, there
:21:56. > :22:01.is no chance of that happening before he leaves office. A chance of
:22:02. > :22:05.the Pacific one? I think it is unlikely but he has said he wanted
:22:06. > :22:08.to happen before he goes. Thank you for joining us.
:22:09. > :22:10.In a moment we'll take a look through the business pages,
:22:11. > :22:47.but first here's a quick reminder of how to get in touch with us.
:22:48. > :22:49.What other business stories has the media been
:22:50. > :22:55.Bronwyn Curtis is joining us again to discuss.
:22:56. > :23:06.Let's start with the Financial Times. The WTO is saying that Europe
:23:07. > :23:15.cannot be giving subsidies to help us. That is given a lift to Boeing,
:23:16. > :23:20.hasn't it? For the moment. It relates back to decisions made by
:23:21. > :23:25.the WTO in 2010-11th. It is an ongoing, contentious dispute between
:23:26. > :23:34.the biggest two airline companies in the world. In the next couple of
:23:35. > :23:42.months, we're going to have the rulings on Boeing coming out. First,
:23:43. > :23:47.Airbus, and what could happen if these illegal subsidies, because the
:23:48. > :23:53.ECU says they are not but the WTO says they are, are not taken off
:23:54. > :24:05.within six months, the US could impose levies of up to 10 billion
:24:06. > :24:14.dollars on EU goods. The big Boeing plane, they are worried about the
:24:15. > :24:23.subsidies. The counterargument is, the EU get big tax breaks, and that
:24:24. > :24:27.-- you get big tax breaks, and that is a subsidy. In the last few weeks,
:24:28. > :24:37.we have had Apple, the EU going after them for tax, then we have had
:24:38. > :24:42.the US going after Deutsche Bank. What is weird about this is, surely
:24:43. > :24:46.we are meant to be talking with one voice and saying, yes, all countries
:24:47. > :24:50.should be able to get these big multinationals to pay the tax they
:24:51. > :24:55.are. Should we not be talking about it together rather than saying, we
:24:56. > :25:00.want that money, and we want that money. The problem is, people down.
:25:01. > :25:07.The air bus one is just the tip of the iceberg. We have about 45
:25:08. > :25:10.seconds. Japan, apart from leading structural reforms to its economy,
:25:11. > :25:18.needs new blood on the ground, more people to work, because of its
:25:19. > :25:27.ageing population. They really don't have enough people. Shinzo Abe is
:25:28. > :25:32.saying, I can't let the population go below 100 million. It is 127
:25:33. > :25:38.million now. They want more foreign workers, and they only have 90,000
:25:39. > :25:42.at the moment. They have not been great at letting foreigners in. It
:25:43. > :25:54.is a fairly closed society, shall we say. Whether this will work, we will
:25:55. > :25:56.see. Have a great weekend, season. That is all we have time for today.
:25:57. > :26:00.There will be more business news throughout the day on the BBC Live