30/10/2017

Download Subtitles

Transcript

0:00:03 > 0:00:07This is Business Live from BBC News with Ben Bland and Sally Bundock.

0:00:07 > 0:00:11The world's biggest economy looks for a new banker-in-chief.

0:00:11 > 0:00:14President Trump says he'll pick a new Fed chair this week.

0:00:14 > 0:00:16We'll tell you who's in with a shout.

0:00:16 > 0:00:20Live from London, that's our top story on Monday 30th.

0:00:37 > 0:00:40Janet Yellen's four years running the Federal Reserve are nearly up,

0:00:40 > 0:00:43so will she get another go, or will financial markets be hanging

0:00:43 > 0:00:49on the every word of someone else?

0:00:49 > 0:00:51Also in the programme, appreciating Asia.

0:00:51 > 0:00:53Europe's largest bank, HSBC, sees a huge jump in profits

0:00:53 > 0:01:02after doing far better in the Far East.

0:01:02 > 0:01:05This is how the markets look across Europe at the start of the trading

0:01:05 > 0:01:11day, interesting moves following the record highs from the US on Friday.

0:01:11 > 0:01:13Spinning a profit out of silk.

0:01:13 > 0:01:17We'll speak to the company creating sythetic spider threads

0:01:17 > 0:01:21to make stronger and more sustainable fabrics.

0:01:21 > 0:01:24As Nikon announces the closure of its camera production factory

0:01:24 > 0:01:33in China, we want to know, do you still use a camera?

0:01:33 > 0:01:35Or is it all about taking snaps with your smartphone?

0:01:36 > 0:01:38Just use #BBCBizLive.

0:01:47 > 0:01:51Photos and a smartphone? You would never catch me taking a selfie!

0:01:51 > 0:01:54Hello and welcome to Business Live.

0:01:54 > 0:01:55Janet Yellen is currently the world's

0:01:55 > 0:01:56most powerful central banker,

0:01:56 > 0:01:58but her days could be numbered.

0:01:58 > 0:02:01That's because US President Donald Trump says he will tell us this week

0:02:01 > 0:02:04who he wants to be the chair of the Federal Reserve come February.

0:02:04 > 0:02:06Whoever gets the job will have a huge influence

0:02:06 > 0:02:07on the world's biggest economy,

0:02:07 > 0:02:09and therefore the rest of the world too.

0:02:09 > 0:02:13And they will also be vital to Mr Trump's plans for the US economy.

0:02:13 > 0:02:15Ms Yellen could get another four year term

0:02:15 > 0:02:19but seems likely to be replaced, so who are the front runners?

0:02:19 > 0:02:22John Taylor is a Stanford University economist and always on the list

0:02:22 > 0:02:27of potential Fed chairs but never gets the job.

0:02:27 > 0:02:30He's a hawk and thinks interest rates should be much

0:02:30 > 0:02:31higher than they are.

0:02:31 > 0:02:35Next up is Jerome Powell - he's a Republican,

0:02:35 > 0:02:36a current member of the Fed board,

0:02:36 > 0:02:40and he has experience in the private sector.

0:02:40 > 0:02:43But he's voted in favour of post-financial crisis rules

0:02:43 > 0:02:46that President Trump doesn't approve of.

0:02:46 > 0:02:49And then there's Kevin Warsh.

0:02:49 > 0:02:53He's been on the Fed board for more than a decade, so he is experienced,

0:02:53 > 0:03:00but he may want to see too fast a rise in interest rates.

0:03:00 > 0:03:02I'm joined by Simon French,

0:03:02 > 0:03:08chief economist at the investment bank Panmure Gordon.

0:03:08 > 0:03:14Good morning. So Ben talking through the various candidates, no sign of

0:03:14 > 0:03:19Janet Yellen among them.No, the markets have responded well to the

0:03:19 > 0:03:23four years of Janet Yellen, if you see the challenge she had on hands,

0:03:23 > 0:03:28the US economy recovering from its biggest financial crisis in 70

0:03:28 > 0:03:31years, she started the normalisation of monetary policy, bringing up

0:03:31 > 0:03:36interest rates, and this month is reducing the balance sheet, the $4

0:03:36 > 0:03:42trillion held by the Federal Reserve. So that is a skilful

0:03:42 > 0:03:47balancing job, but she does not appear to be currying favour with

0:03:47 > 0:03:50the president.So if she is not nominated again, who do you think is

0:03:50 > 0:03:55the most likely to take the job, the most powerful central banker in the

0:03:55 > 0:03:59world?I thought the introduction was really good, it laid out the

0:03:59 > 0:04:02argument for all the candidates who remain in the field, Jerome Powell,

0:04:02 > 0:04:08talking about continuity, he has a similar view on interest rates, a

0:04:08 > 0:04:14similar sort of path as Janet Yellen has delivered, and so he is the big

0:04:14 > 0:04:18favourite with the market. I think the thing to balance that against is

0:04:18 > 0:04:21John Taylor, who may have a more aggressive you on interest rates, or

0:04:21 > 0:04:26at least his rules based approach has, but he is very popular with

0:04:26 > 0:04:29Congress, and of course in the background to all of this is tax

0:04:29 > 0:04:33reform. We'll Donald Trump think there is a trade to be done? He

0:04:33 > 0:04:37provides the candidate Congress wants, and in return they will be

0:04:37 > 0:04:40more amenable to tax reform going forward? Advice and that it's

0:04:40 > 0:04:44important for President Trump, because he wantsto make a change,

0:04:44 > 0:04:48he doesn't want Janet Yellen in the post again, Barack Obama's choice,

0:04:48 > 0:04:52but he also wants someone in that position who will be the person to

0:04:52 > 0:04:59help him through with his economic programme, which is fairly important

0:04:59 > 0:05:03to him.Yes, and he is on record as saying he wants persistent 3% - for

0:05:03 > 0:05:07GDP growth, and that means running the US economy quite hot, and

0:05:07 > 0:05:11normally supported by low interest rates, and therefore as a candidate,

0:05:11 > 0:05:14Kevin Warsh, John Taylor, historically they have talked about

0:05:14 > 0:05:19higher interest rates, and that is not consistent with that thesis.

0:05:19 > 0:05:23Simon, thank you for coming in, as soon as we get any whiff of who has

0:05:23 > 0:05:26got the nomination, we will let you know. I might even the slightest

0:05:26 > 0:05:28whiff!

0:05:28 > 0:05:32Let's take a look at some of the other stories making the news.

0:05:32 > 0:05:34Kobe Steel has announced it won't be making a profit forecast

0:05:34 > 0:05:36for the rest of year, because it can't predict

0:05:36 > 0:05:41how its data fabrication scandal will hit its earnings.

0:05:41 > 0:05:43The steel maker has also scrapped its half year

0:05:43 > 0:05:44dividend to shareholders.

0:05:44 > 0:05:45Kobe Steel shares were trading 2% higher

0:05:46 > 0:05:49after the announcement was made.

0:05:49 > 0:05:52EasyJet has confirmed a $46 million deal with Air Berlin

0:05:52 > 0:05:54to buy part of the insolvent German airline's operations, in

0:05:54 > 0:05:57a move that will secure 1,000 jobs.

0:05:57 > 0:05:59EasyJet will buy some of the company's assets

0:05:59 > 0:06:01at Berlin Tegel Airport, including landing slots,

0:06:01 > 0:06:03as well as leases for up to 25 A320 aircraft.

0:06:03 > 0:06:06The UK airline said it plans to take on 1,000 German

0:06:06 > 0:06:10pilots and cabin crew.

0:06:10 > 0:06:13Nintendo has raised its yearly profit forecast of the huge demand

0:06:13 > 0:06:17for its Switch console. The Japanese games maker says and recently

0:06:17 > 0:06:21increased production and now expects to make an annual profit of more

0:06:21 > 0:06:26than $1 billion. It also expects to sell 14 million Switch consoles this

0:06:26 > 0:06:29year.

0:06:29 > 0:06:33It is a big day for earnings today, and among the stories is banking

0:06:33 > 0:06:39giant HSBC, Europe's biggest, reporting a massive jump in profits

0:06:39 > 0:06:43for the three months to the end of September. Yes, doing much better in

0:06:43 > 0:06:47Asia, Karishma Vaswani is in Singapore, tell us more about this,

0:06:47 > 0:06:50then.

0:06:50 > 0:06:57Well, HSBC reported a pre-tax profit of $4.6 billion, up more than 400%,

0:06:57 > 0:07:02but it has to be said that this is from a pretty low base of $843

0:07:02 > 0:07:07million in the same period last year, so that spectacular rise needs

0:07:07 > 0:07:12to be put into context. The reason for coming off that low basis,

0:07:12 > 0:07:17because HSBC lost almost $2 billion from the sale of its Brazilian unit

0:07:17 > 0:07:22in the third quarter of 2016, and also because of volatility in

0:07:22 > 0:07:29foreign currency movements. Now, the group chief executive said that this

0:07:29 > 0:07:32quarter's strong performance was as a result of the bank's continued

0:07:32 > 0:07:36pivot to Asia. We have known about this for some time, particularly in

0:07:36 > 0:07:39areas like Hong Kong and parts of southern area they have become

0:07:39 > 0:07:43really important for the firm's expansion going forward, and it is

0:07:43 > 0:07:47likely that we are going to continue to see that in the future, as

0:07:47 > 0:07:52analysts say the bank's continued bad Nader has been part of its

0:07:52 > 0:07:56strategy to grow the business and make up for losses elsewhere. --

0:07:56 > 0:08:01continued growth in Asia.

0:08:01 > 0:08:03A big story for the markets will be interest-rate

0:08:03 > 0:08:05setting decisions this week - by the Federal Reserve

0:08:05 > 0:08:08in the US on Wednesday, the Bank of England on Thursday,

0:08:08 > 0:08:10and the Bank of Japan as well.

0:08:10 > 0:08:13Tokyo stocks ran out of steam to end virtually flat on Monday

0:08:13 > 0:08:16but still at a 21-year high.

0:08:16 > 0:08:21The Nasdaq closed 2.2% higher, spurred on by impressive results

0:08:21 > 0:08:27from Apple and other tech companies a quick look at the European market

0:08:27 > 0:08:38at the start of the trading day, the trading week. I noticed that the

0:08:38 > 0:08:42Ibex in Spain doing better than it has in recent days, the Catalonia

0:08:42 > 0:08:45crisis rumbles on. We can look at the day ahead on Wall Street with

0:08:45 > 0:08:48Michelle Fleury.

0:08:48 > 0:08:51Investors with have little time to catch their breath this week

0:08:51 > 0:08:53between all the economic and corporate news due out.

0:08:53 > 0:08:56Now, the big events of the monthly employment report on Friday,

0:08:56 > 0:08:57and the Federal Reserve's interest-rate setting policy

0:08:57 > 0:08:59meeting taking place on Tuesday and Wednesday.

0:08:59 > 0:09:04Of course, many Wall Street traders are engaged in a parlour game,

0:09:04 > 0:09:07trying to guess who will be the next head of the Fed.

0:09:07 > 0:09:09President Trump says he is close to deciding who will replace

0:09:09 > 0:09:13Janet Yellen when her term ends in February.

0:09:13 > 0:09:19Kicking the week off, though, is personal income data,

0:09:19 > 0:09:23for September, due out on Monday.

0:09:23 > 0:09:25Now, this includes the Fed's favourite measure of inflation,

0:09:25 > 0:09:30and it's not clear to what extent numbers, which inched up

0:09:30 > 0:09:32in August, will be affected by the recent

0:09:32 > 0:09:33hurricaneshere in United States.

0:09:33 > 0:09:36On the corporate side of things, well, the focus on technology

0:09:36 > 0:09:39continues, with Facebook and Apple

0:09:39 > 0:09:41both turning in profit figures later this week.

0:09:41 > 0:09:42Mike Bell is global market strategist

0:09:42 > 0:09:46at JPMorgan Asset Management.

0:09:46 > 0:09:51Good morning, what are you watching? We have got our eyes on the Bank of

0:09:51 > 0:09:54England, whether they will put interest rates up, we think they

0:09:54 > 0:09:58probably will, but we have seen some signs that perhaps a few of the

0:09:58 > 0:10:04members of the MPC are starting to wonder whether this is a good idea.

0:10:04 > 0:10:07So very focused on whether aren't they will be concerned that wage

0:10:07 > 0:10:14growth has not picked up another. -- whether aren't they will be

0:10:14 > 0:10:21concerned. In real terms, wages are still an issue.The other thing that

0:10:21 > 0:10:25we are watching, the big decision at the Bank of England, but perhaps not

0:10:25 > 0:10:32so closely watched, the bank of Japan meeting, I mean, the Nikkei,

0:10:32 > 0:10:37although it has taken a bit of a pause today, it is still riding this

0:10:37 > 0:10:45global equities wave.Japanese equities are doing very well on the

0:10:45 > 0:10:49back of this global growth, exports recently up 18% year-on-year, and

0:10:49 > 0:10:53that is feeding through into strong earnings for Japanese companies, and

0:10:53 > 0:10:56the other thing you are seeing, on a relative basis, they tend to

0:10:56 > 0:11:02outperform when the yen has been weaker.What about the situation in

0:11:02 > 0:11:06Spain? We have seen the euro come up a bit today against the dollar, are

0:11:06 > 0:11:10you watching that closely, or are you less concerned about that now?

0:11:10 > 0:11:14We are not concerned about it. As we have seen it play out over the last

0:11:14 > 0:11:18couple of weeks, they are not in a position to leave, so it seems

0:11:18 > 0:11:21unlikely to us that there is a majority of people within Catalonia

0:11:21 > 0:11:25who want to leave, and even if they did, there is no clear mechanism for

0:11:25 > 0:11:31them to do so.All right, thank you, Mike will return, we will find out

0:11:31 > 0:11:40how much he uses a camera later. Keeping it snappy today!

0:11:40 > 0:11:43Still to come, spinning a profit out of soap, a company looking to

0:11:43 > 0:11:50spiders to make more sustainable fabrics. Not a Halloween joke, will

0:11:50 > 0:11:52explain all in a few minutes' time!

0:11:52 > 0:12:02You're with Business Live from BBC News.

0:12:04 > 0:12:08Advance to digital technology could give UK manufacturers a massive

0:12:08 > 0:12:12boost and create hundreds of thousands of jobs. That is according

0:12:12 > 0:12:16to an independent review which highlights the benefits of robotics,

0:12:16 > 0:12:203D printing and artificial intelligence.

0:12:20 > 0:12:23Its recommendations should help inform the Government's industrial

0:12:23 > 0:12:31strategy plans. The review was chaired by the head of Siemens UK,

0:12:31 > 0:12:35who joins us now, what were the recommendations you would pick out

0:12:35 > 0:12:40as key takeaway points, then?Well, first of all, the overall

0:12:40 > 0:12:45recommendation is that Great Britain needs to have much stronger ambition

0:12:45 > 0:12:49and leadership in this fourth digital industrial revolution. We

0:12:49 > 0:12:53really need to drive it hard and make sure that we have the right

0:12:53 > 0:12:58mechanisms for British manufacturing companies to be able to adopt these

0:12:58 > 0:13:02technologies enable much simpler and easier way. And another key

0:13:02 > 0:13:13recommendation is to upskill our people, we need to hit that head-on,

0:13:13 > 0:13:16we need to give our people the skills so it becomes something which

0:13:16 > 0:13:22is less of a topic we are scared of than one we embrace and transition

0:13:22 > 0:13:27to this revolution.Another topic that some may be scared of, Brexit,

0:13:27 > 0:13:30you talk about strong leadership in this area - right now all the

0:13:30 > 0:13:34leadership in this country is trying to negotiate a trade deal with

0:13:34 > 0:13:38Europe when the UK does exit, something that manufacturers are,

0:13:38 > 0:13:43for very good reasons, focusing on at the moment.Well, indeed, and as

0:13:43 > 0:13:48a manufacturer in the UK, it is absolutely clear that we are looking

0:13:48 > 0:13:53for a deal which, at the end, has the least possible friction for us

0:13:53 > 0:13:58being able to trade with the EU. But I am realistic, and there is going

0:13:58 > 0:14:05to be some increasing friction and increasing costs towards transacting

0:14:05 > 0:14:08business here post-Brexit. Hopefully not that much, but it is another

0:14:08 > 0:14:13reason why this review is so important, because what we need is

0:14:13 > 0:14:17some optimism, and we need some positive things which will encourage

0:14:17 > 0:14:21companies like ours and many other companies to invest in the UK,

0:14:21 > 0:14:28despite what will happen on Brexit.

0:14:28 > 0:14:29More business despite what will happen on Brexit.

0:14:29 > 0:14:29More business news despite what will happen on Brexit.

0:14:29 > 0:14:29More business news for despite what will happen on Brexit.

0:14:29 > 0:14:29More business news for you despite what will happen on Brexit.

0:14:29 > 0:14:30More business news for you on despite what will happen on Brexit.

0:14:30 > 0:14:30More business news for you on the despite what will happen on Brexit.

0:14:30 > 0:14:32More business news for you on the Business Live web page. Right there

0:14:32 > 0:14:39All Saints is looking to expand into China.

0:14:41 > 0:14:46Hello. You're with Business Live. Our top story, financial markets

0:14:46 > 0:14:50worldwide are waiting on a decision by US President Donald Trump, he

0:14:50 > 0:14:54will decide on who he should nominate to be chair of the Federal

0:14:54 > 0:15:01Reserve. That's the job, some say, is the world's most important

0:15:01 > 0:15:05Central Banker. Let's look at the markets. This is the picture across

0:15:05 > 0:15:11the main European indexes. Frankfurt and Paris outperforming London. The

0:15:11 > 0:15:16Spanish eye becks is up more than 1% this morning, doing better than it

0:15:16 > 0:15:24has in recent days as the Catalonia crisis continues.

0:15:24 > 0:15:30I promised we would have a Spider-Man in the studio!

0:15:30 > 0:15:35You wondered what Ben got up to.It was Hallowe'en!

0:15:35 > 0:15:37Now let's get the inside track on spider silk.

0:15:37 > 0:15:40Yes, it may be five times stronger than steel,

0:15:40 > 0:15:43but the mass of production of spider silk will never become a reality.

0:15:43 > 0:15:46And if the thought of all of those spiders is making your skin crawl,

0:15:46 > 0:15:51the California based start-up, Bolt Threads, may have the solution.

0:15:51 > 0:15:53The company uses gene splicing technology to modify yeast and this

0:15:53 > 0:15:59enables the mass-production of silk protein.

0:15:59 > 0:16:01Bolt believes that this is much more sustainable than the conventional

0:16:01 > 0:16:03method of producing textiles which typically uses petroleum

0:16:03 > 0:16:05as the key ingredient.

0:16:05 > 0:16:15Dan Widmaier is co founder and CEO of Bolt Threads.

0:16:15 > 0:16:19So this is the Spider-Man I have been talking about! But you're not

0:16:19 > 0:16:22really, are you? Just tell us about this. This is something that you and

0:16:22 > 0:16:26two others worked on whilst you were still studying at university for six

0:16:26 > 0:16:30years and then you got more funding to establish it further. Just tell

0:16:30 > 0:16:34us about the beginning of this story?Something we told our friends

0:16:34 > 0:16:40that we didn't want to get real jobs so we started our own company and

0:16:40 > 0:16:43probably a crazy idea, no idea that it would go for seven years and work

0:16:43 > 0:16:48as well as as it does today.And you are a scientist and you're creating

0:16:48 > 0:16:53this spider technology to create silk, but it's done in a much more

0:16:53 > 0:17:07sustainable way?We take the DNA from an organasm and puts in a

0:17:07 > 0:17:13protein powder and then we spin it into fibres.You have done a deal

0:17:13 > 0:17:20with the Stella McCartney fashion line for some products?We have as

0:17:20 > 0:17:25well as doing outdoor and we have a brand in the United States called

0:17:25 > 0:17:31Best Made Company. . Speed is everything. This is one of the

0:17:31 > 0:17:36things we've learnt coming from Silicon Valley. Same thing, go

0:17:36 > 0:17:40really fast and learn what it is good for and bring the product to

0:17:40 > 0:17:44market.I'm sure president Trump would be happy to hear you are

0:17:44 > 0:17:48keeping it all in the United States, you are not making the tie, you have

0:17:48 > 0:17:52got a tie here for example, in Vietnam or anywhere like this. But

0:17:52 > 0:17:56in terms of the take-up, you have seen a massive, massive take up, you

0:17:56 > 0:18:00cannot respond to the level of demand. Just talk us through that

0:18:00 > 0:18:03challenge because that could be very critical for you?This is a

0:18:03 > 0:18:09technology where we have designed down the molecular level what it is

0:18:09 > 0:18:12and had to build the technology to scale it. We are working on building

0:18:12 > 0:18:17more scale. We commissioned a factory until California two blocks

0:18:17 > 0:18:22from our office that can make this fibre. There is 50 million tonnes a

0:18:22 > 0:18:28year.Pass me the tie a second. I want to feel it. I spend quite a bit

0:18:28 > 0:18:32on ties. We have to keep the variety. How much would one of these

0:18:32 > 0:18:37set me back? Sustainable, but is it going to cost me a lot more?Cost of

0:18:37 > 0:18:40making materials we are getting there on the cost of silk.He has

0:18:40 > 0:18:47got it! He has got it. How much?So that one is only a limited run of 50

0:18:47 > 0:18:56units. $314. It's a scientists joke not about bringing the product to

0:18:56 > 0:19:05market.Is it affordable? People hear the big fashion labels and

0:19:05 > 0:19:11think I'm priced out?We are not too far off the price what silk worm

0:19:11 > 0:19:16costs. Over time this could be as cheap as polyester.Fashion is a

0:19:16 > 0:19:20second dirtiest industry in the world after oil which I was quite

0:19:20 > 0:19:24astounded to learn today. That was something I didn't know prior to

0:19:24 > 0:19:27researching your company. How quickly will this take on? I know

0:19:27 > 0:19:31you're doing it, but the uptake is not out there to have a real impact

0:19:31 > 0:19:37on the fashion industry, is it, in terms of making it cleaner?You're

0:19:37 > 0:19:40talking about 80 billion garments this year. I think all of our

0:19:40 > 0:19:44closets have too many. It is a problem of giant scale and we are

0:19:44 > 0:19:48moving as fast as we can. When the demand is huge the appetite to

0:19:48 > 0:19:52finance great expansion is huge.All right, Dan, it has been fascinating

0:19:52 > 0:20:01to hear about your company. Thank you for coming in.

0:20:01 > 0:20:14Let's gets the latest in our CEO secrets.

0:20:15 > 0:20:17Cecile Rein of Seraphine, the UK's first line

0:20:17 > 0:20:18of fashionable maternity wear.

0:20:18 > 0:20:20Coming to London from France, she started the business

0:20:20 > 0:20:21as a one-woman company.

0:20:21 > 0:20:24She now has sales of $26 million worldwide and employs 100 people.

0:20:24 > 0:20:26But her biggest problem was finding the right staff to hire

0:20:26 > 0:20:27as her business grew.

0:20:27 > 0:20:29When recruiting don't look so much at the CV,

0:20:40 > 0:20:44It's very hard for a new entrepreneur to take on new people

0:20:44 > 0:20:47and to give them the trust so that they can start looking

0:20:47 > 0:20:50after parts of your own business.

0:20:50 > 0:20:53Many times I felt I have failed dismally and I didn't kind of sense

0:20:53 > 0:20:57that person correctly.

0:20:57 > 0:21:00At times I have recruited people from much bigger brands and I found

0:21:00 > 0:21:07that they were really difficult to adapt.

0:21:07 > 0:21:10"We can't do this".

0:21:10 > 0:21:11"We can't do that".

0:21:11 > 0:21:14I think when you are an entrepreneur you have to have a culture

0:21:14 > 0:21:16which is a kind of yes culture.

0:21:16 > 0:21:18I really learnt that don't just look at the piece of paper

0:21:18 > 0:21:20and the CV and the experience.

0:21:20 > 0:21:22You want to really look at the person.

0:21:22 > 0:21:25Some people have got less perfect CV and will be better for your company.

0:21:25 > 0:21:33Look at their true skills rather than what is written on their CVs.

0:21:37 > 0:21:41Mike is back to look through the papers.

0:21:41 > 0:21:50Good to see you Mike. The first one that caught our eye was Nikon to

0:21:50 > 0:21:54close its digital camera plant in China because we are using our

0:21:54 > 0:21:58smartphones?The compact cameras are being shut down, but they will focus

0:21:58 > 0:22:03on digital SLRs. Clearly, people are using iPhones and other smartphones

0:22:03 > 0:22:08to take their photos in a compact way, but there is demand for the

0:22:08 > 0:22:11larnler SLR market.I am that person. Ti cannot remember the last

0:22:11 > 0:22:16time I picked up a, I call it a proper camera, I know they are

0:22:16 > 0:22:21proper cameras, compact camera.I bought one before going on holiday

0:22:21 > 0:22:23because I wanted good quality photos, you miss the chance to take

0:22:23 > 0:22:28photos because it takes longer to get it out of the bag. The phone is

0:22:28 > 0:22:31out, you swipe, you snap. It is really quick. We are asking you for

0:22:31 > 0:22:35your tweets on this. Do you still use a traditional camera or do them

0:22:35 > 0:22:40on the smartphone? Quite a differing opinions. Luke says, "I prefer to

0:22:40 > 0:22:44take photos on my phone because it's easier. We have Liam saying I use

0:22:44 > 0:22:49both.A viewer says she was never good with the camera, but good with

0:22:49 > 0:22:58the mobile phone.You can focus. What about you Mike?I bought a

0:22:58 > 0:23:04digital SLR a year ago.Have you used it?A little bit. I would say

0:23:04 > 0:23:07that I use my iPhone most of the time for photos of people.It's

0:23:07 > 0:23:12there all the time.Easier to use, but for things if you are trying to

0:23:12 > 0:23:18take a landscape photo of light, sunsets, it is not as good as if you

0:23:18 > 0:23:23use a digital SLR.Technology can make leaps ads bounds and sometimes

0:23:23 > 0:23:26what you gain in terms of compact and convenience you lose in terms of

0:23:26 > 0:23:30quality.American Express is basically changing the bay it does

0:23:30 > 0:23:35things. What's going on?Well, there is this competition in the card

0:23:35 > 0:23:39industry at moment, trying to get the high end consumers, who spend

0:23:39 > 0:23:43lots on credit cards and there is a battle around rewards going on and I

0:23:43 > 0:23:47should say in full disclosure that JP Morgan I work for are one of the

0:23:47 > 0:23:50companies involved in that battle with our credit card products in the

0:23:50 > 0:23:54US and you know, we and various other large banks are competing with

0:23:54 > 0:23:58American Express to try and take some of that business of the high

0:23:58 > 0:24:07end spenders.And that's it.The Fings Times calls it a rewards war?

0:24:07 > 0:24:11I suppose people are looking for benefit. If they are going to get

0:24:11 > 0:24:19rewards on flights or cinema. The other thing is hard to get tickets

0:24:19 > 0:24:25because it becomes the marginal benefits that might sway people?

0:24:25 > 0:24:30Analysts do sit down and work out what the benefits are per card. But

0:24:30 > 0:24:36it is harder to measure things that are much more tricky to make.Mike,

0:24:36 > 0:24:39thank you.