0:00:09 > 0:00:11This is Business Live from BBC News
0:00:11 > 0:00:15with Jamie Robertson and Sally Bundock.
0:00:15 > 0:00:17Zimbabweans are waiting to see what steps the military will take
0:00:17 > 0:00:21next after seizing control of the country.
0:00:21 > 0:00:27Live from London, that is the top story, Thursday, 16th November.
0:00:29 > 0:00:31-- Zimbabweans are waiting to see what happens next after the military
0:00:31 > 0:00:35seize control of the country.
0:00:41 > 0:00:43The soaring cost of living in Zimbabwe,
0:00:43 > 0:00:44could the dark days of hyperinflation be returning?
0:00:44 > 0:00:46And warnings about serious risks facing China's economy.
0:00:46 > 0:00:49Senior government officials say the country's financial sector needs
0:00:49 > 0:00:58needs to reform quickly if it is to avoid a crisis.
0:00:58 > 0:01:01Market starting on a positive note but we have seen some fairly sharp
0:01:01 > 0:01:07falls. Market seem a bit tired of going upwards for ever. We will have
0:01:07 > 0:01:16a bit more of that in a moment.
0:01:16 > 0:01:23Also in the programme,
0:01:23 > 0:01:28there may be uncertainty in Zimbabwe,
0:01:28 > 0:01:30but across the border in South Africa,
0:01:30 > 0:01:32there's a thriving community of young entrepreneurs.
0:01:32 > 0:01:34We'll talk to the woman behind the incubator looking
0:01:34 > 0:01:35to harness all that potential.
0:01:35 > 0:01:42We want your views on the Da Vinci frenzy, was it worth it?
0:01:42 > 0:01:54What you make of the record-breaking da Vinci auction.
0:02:02 > 0:02:06We start in Zimbabwe.
0:02:06 > 0:02:12President Mugabe remains under house arrest
0:02:12 > 0:02:14after what the African Union says "seems like a coup",
0:02:14 > 0:02:15something denied by the country's military.
0:02:15 > 0:02:18The economy is a huge source of unrest in Zimbabwe.
0:02:18 > 0:02:20Its currency was scrapped in 2009 after hyperinflation reached
0:02:20 > 0:02:23several BILLION percent!
0:02:23 > 0:02:25It was replaced with foreign currencies,
0:02:25 > 0:02:26today it's mostly the US dollar.
0:02:26 > 0:02:36But that hasn't helped ordinary people.
0:02:37 > 0:02:39Zimbabwe's official inflation rate was 2.24% in October.
0:02:39 > 0:02:42But some analysts who track the cost of consumer goods in Zimbabwe think
0:02:42 > 0:02:43they're rising at over 65% a year.
0:02:43 > 0:02:46That's because of a shortage of dollars needed to pay
0:02:46 > 0:02:47for imported goods.
0:02:47 > 0:02:49In fact, economist Steve Hanke from John Hopkins University thinks
0:02:49 > 0:02:51the situation is far worse.
0:02:51 > 0:02:53He recently wrote in Forbes magazine that the actual inflation rate
0:02:53 > 0:02:54is almost243%.
0:02:54 > 0:03:04He's warning that hyperinflation is returning to the country.
0:03:07 > 0:03:09Theo Acheampong is a Senior Analyst at IHS Markit.
0:03:09 > 0:03:16A lot of commentary on what is unfolding in Zimbabwe, what is your
0:03:16 > 0:03:20prediction on what might happen in the next 24, 48 hours, it is hard to
0:03:20 > 0:03:25tell.It is hard to tell but we have also seen some really good
0:03:25 > 0:03:31indicators of how this might play out. We are likely to see the ousted
0:03:31 > 0:03:38vice president, coming back to lead some form of transitional government
0:03:38 > 0:03:44in the country, but this is more so because he has the active backing of
0:03:44 > 0:03:52not just the military, but the likes of the important political backers.
0:03:52 > 0:03:57In terms of the indicators going forward, what we have observed over
0:03:57 > 0:04:02the last 72 hours, our prediction and assessment is that yes, there is
0:04:02 > 0:04:07a high possibility that the ousted vice president Emmerson Mnangagwa
0:04:07 > 0:04:13comes in and would lead a transitional government, while
0:04:13 > 0:04:19Robert Mugabe and his wife are removed from the country.Let's talk
0:04:19 > 0:04:25about what that means, it is a political crisis, a political split
0:04:25 > 0:04:28within ZANU-PF, those who support Grace Mugabe and those who support
0:04:28 > 0:04:34the vice president, as it were, but behind-the-scenes, economic crisis
0:04:34 > 0:04:37that has been gripping Zimbabwe full-year score, that was being
0:04:37 > 0:04:42outlined with some statistics, but one I find astonishing, 95% of the
0:04:42 > 0:04:52working population is out of work. This issue with a cash crisis...
0:04:52 > 0:04:55They are allowed to withdraw a few dollars a day, and they try to do
0:04:55 > 0:05:03that each day.There is a big political/ economic appearance to
0:05:03 > 0:05:10all of this but going forward, the indication to look out for is the
0:05:10 > 0:05:16likes of the finance minister, who was ousted in the cabinet, in a
0:05:16 > 0:05:22reshuffle, on October nine, Ignatius Chombo, he was trying to push for
0:05:22 > 0:05:27economic reforms. With the vice president likely coming back to lead
0:05:27 > 0:05:32the transition, we will see him and a couple of the allies who are much
0:05:32 > 0:05:39more pro-business and pro-reform and pro-economics, coming in, and they
0:05:39 > 0:05:42would see reforms and measures put in place that would then be to the
0:05:42 > 0:05:48economy picking up.Is there a mood for re-form, a mood for
0:05:48 > 0:05:54liberalisation, for foreign companies to come in?Yes, to an
0:05:54 > 0:05:58extent, not really big or massive, but we have seen indications to that
0:05:58 > 0:06:06effect. Basically, with the vice president and the finance minister,
0:06:06 > 0:06:11we saw them driving and engaging with the IMF, with the donor
0:06:11 > 0:06:16community and with the Chinese, trying to get investment into the
0:06:16 > 0:06:21country, the Chinese had actually promised at some point to bring in 4
0:06:21 > 0:06:25billion US dollars over three years, into the country, but that comes
0:06:25 > 0:06:31with reforms and comes with some conditionality attached to it,
0:06:31 > 0:06:35particularly from the IMF. There is the mood for reform, but the
0:06:35 > 0:06:41question remains, how far would that go?We will be watching with great
0:06:41 > 0:06:47interest, Theo Acheampong, with his analysis. Obviously, today,
0:06:47 > 0:06:50tomorrow, we will be across it, telling you any development as we
0:06:50 > 0:06:55hear them.
0:06:55 > 0:07:01Let's take a look at some of the other stories
0:07:01 > 0:07:05making the news.
0:07:05 > 0:07:07Barbie maker Mattel has rebuffed the latest takeover
0:07:07 > 0:07:09approach from rival Hasbro, according to sources
0:07:09 > 0:07:11quoted by Reuters, casting doubt over the potential
0:07:11 > 0:07:13merger between the world's two largest toy companies.
0:07:13 > 0:07:15Mattel believes the offer undervalues it and doesn't address
0:07:15 > 0:07:19potential antitrust concerns, the sources claim.
0:07:19 > 0:07:21European regulators have warned banks working on post-Brexit plans
0:07:21 > 0:07:23that they will "need to have substance locally" to
0:07:23 > 0:07:24serve European clients.
0:07:24 > 0:07:27The European Central Bank says some proposals are inadequate and risk
0:07:27 > 0:07:28creating "empty shells".
0:07:28 > 0:07:29Many banks currently access the European market
0:07:29 > 0:07:30through UK offices
0:07:30 > 0:07:32but are working on contingency plans,
0:07:32 > 0:07:36adding space in cities such as Frankfurt and Dublin.
0:07:36 > 0:07:38The president of Angola, Joao Lourenco, has fired
0:07:38 > 0:07:40the daughter of his predecessor as head of the country's state
0:07:40 > 0:07:41oil company Sonangol.
0:07:41 > 0:07:43Isabel Dos Santos, the billionaire daughter of former
0:07:43 > 0:07:46President Jose Eduardo dos Santos, is Africa's richest woman with a net
0:07:46 > 0:07:47worth of over $3 billion.
0:07:47 > 0:07:57President Lourenco, known as JLo, says he will tackle corruption.
0:08:05 > 0:08:07Interesting story that broke earlier in China today.
0:08:07 > 0:08:10A senior Chinese government official has warned that China's financial
0:08:10 > 0:08:12sector faces bubble risks due to the build-up of
0:08:12 > 0:08:16debt in the economy.
0:08:16 > 0:08:23Leisha Santorelli is in Singapore with more on this.
0:08:23 > 0:08:27Quite extraordinary for an official to come out and say this?Comments
0:08:27 > 0:08:34were candid, the warning comes from a widely respected financial policy
0:08:34 > 0:08:38expert who was recently promoted to the top ranks of government after
0:08:38 > 0:08:41having served as the mayor of one of the biggest cities in China, the
0:08:41 > 0:08:45issue has to do with Chinese economic growth, which has come in
0:08:45 > 0:08:52at a huge economic growth. Huang Qifan said today that the ratio of
0:08:52 > 0:08:57the financial sector to the overall economy is the highest ratio in the
0:08:57 > 0:09:03world, which is not a good thing. International investors have been
0:09:03 > 0:09:06warning about this for years, policymakers are aware of the
0:09:06 > 0:09:09problem because recently they have been cracking down on speculative
0:09:09 > 0:09:12investments in areas like shadow banking, we must see those areas
0:09:12 > 0:09:16work not just in financial sector but in the problematic property
0:09:16 > 0:09:23sector.Thank you very much.
0:09:26 > 0:09:29Little bit of a slide going on here, we will talk about that in more
0:09:29 > 0:09:36detail. European markets... All started up, and they are still up,
0:09:36 > 0:09:42not a huge amount, but a bit. And Samira Hussein has the details about
0:09:42 > 0:09:46what's ahead on Wall Street Today. The big business story will be
0:09:46 > 0:09:49Walmart's earnings report, the company has been able to get more
0:09:49 > 0:09:52people into its physical
0:09:52 > 0:09:52stores,
0:09:52 > 0:09:57like to give sales numbers a boost. Walmart is the largest retailer in
0:09:57 > 0:10:00the world, continuing to cut prices, making more investments into its
0:10:00 > 0:10:05online business. Of course, investors are going to want to hear
0:10:05 > 0:10:13about the upcoming quality. Also reporting earnings, Best buy, so the
0:10:13 > 0:10:18holiday season is very key for the country, -- company, historically it
0:10:18 > 0:10:22makes up almost half of its profit for the entire year. -- Best Buy.
0:10:22 > 0:10:25What could impact however this quarter is the waves of Hurricane
0:10:25 > 0:10:33Matthew Burrell that have hit the US. And Feynman -- finally, Gap will
0:10:33 > 0:10:46report earnings. -- the waves of hurricanes.
0:10:48 > 0:10:50Joining us is Richard Hunter, Head of Research,
0:10:50 > 0:10:54Wilson King Investment Management.
0:10:54 > 0:11:04Bit of a shift, this rally that went on and on, it is a blip?They are
0:11:04 > 0:11:08taking the air out of the tyres, all their indexes have hit record highs
0:11:08 > 0:11:12in the States and also we have just put the match finished third quarter
0:11:12 > 0:11:17reporting season, for the most part, extraordinarily strong. Justifying
0:11:17 > 0:11:23those valuations, the problem is, this is kind of after the party now,
0:11:23 > 0:11:27with the lack of any immediate catalysts it is time to take
0:11:27 > 0:11:32profits.One of those catalysts might be movement on US tax reform,
0:11:32 > 0:11:37nothing has happened with that yet, that is kind of getting on
0:11:37 > 0:11:41peoples... Can I say nervous?And if anything does happen that could be a
0:11:41 > 0:11:48good story to kick us off in 2018, obviously, most unlikely.Is the US
0:11:48 > 0:11:52market trading on hopes of tax reform or what you were just saying,
0:11:52 > 0:11:58are they trading on solid earnings? Solid earnings, I believe, it is
0:11:58 > 0:12:02very difficult to price in any tax reforms at the moment, not least of
0:12:02 > 0:12:05which because nobody is entirely sure what US companies will do with
0:12:05 > 0:12:09the money, whether they will reinvest in staff and technology or
0:12:09 > 0:12:14immediately to manoeuvre their own balance sheet, in terms of increased
0:12:14 > 0:12:17dividends etc, which would be less of a boost to the economy, but at
0:12:17 > 0:12:23this moment, even if you listen to US commentators, the debate is, is
0:12:23 > 0:12:28it tax reform, is it a tax cut? Briefly, your thoughts on oil, up
0:12:28 > 0:12:33and down like a yo-yo.It is indeed but if we look over the last few
0:12:33 > 0:12:38months, seems to have settled in a range of 55 to 60, certainly the oil
0:12:38 > 0:12:41companies are comfortable with that, because they have had time to adjust
0:12:41 > 0:12:47to local levels.Thank you very much, later, Richard will be giving
0:12:47 > 0:12:50us his views on many things not least, the Leonardo da Vinci
0:12:50 > 0:12:59painting going for $400 million.I would not have spent that much.That
0:12:59 > 0:13:05wasn't me that spent that money, I want to reveal that on air.Yes, I
0:13:05 > 0:13:13dropped out very early... (!)
0:13:13 > 0:13:16coming up: young, gifted and South African, we will meet the woman
0:13:16 > 0:13:27looking to promote the country's next superstar entrepreneurs.
0:13:27 > 0:13:30The Royal Mail has posted its latest results and it's sales are up.
0:13:30 > 0:13:32Our business correspondent Theo Leggett joins us
0:13:32 > 0:13:34from the business newsroom with the details.
0:13:34 > 0:13:38These results problem be about as good as Royal Mail could have hoped
0:13:38 > 0:13:43for, revenues up 2%, operating profit down 33% but if you strip out
0:13:43 > 0:13:46what the company calls transformation cost, cost associated
0:13:46 > 0:13:53with modernisation of the business, they were up 7%. The letters
0:13:53 > 0:13:57business used to be the core of the business, that is in decline but the
0:13:57 > 0:14:02international parcels business, GLS, doing rather well, revenues up 9%.
0:14:02 > 0:14:06Pretty good result for the company all told, you can see that in the
0:14:06 > 0:14:10share price, rallying very sharply. Failing off a little bit, some of
0:14:10 > 0:14:16that may be due to people betting on the share price, settling positions,
0:14:16 > 0:14:17but generally, enthusiastic reception. Well mail is under
0:14:17 > 0:14:21pressure at the moment, these results are about as good as we
0:14:21 > 0:14:25could have hoped for.You have voice got to worry about industrial action
0:14:25 > 0:14:30with Royal Mail, that is always in the wind, in the background.
0:14:30 > 0:14:34Certainly is at the moment, Communication Workers Union have
0:14:34 > 0:14:37voted for a strike at Royal Mail in the run-up to Christmas, Royal Mail
0:14:37 > 0:14:41went to the courts to prevent that happening and forced the union to go
0:14:41 > 0:14:45into mediation but it admits that industrial unrest could hit profits
0:14:45 > 0:14:49over the rest of the financial year. What about pension costs, things
0:14:49 > 0:14:54like that.Royal Mail is trying to adapt, close down expensive pension
0:14:54 > 0:14:58system and introduce a cheaper system, that is what the
0:14:58 > 0:15:03Communication Workers Union does not like. Another pressure on the
0:15:03 > 0:15:06company, the parcels market is extremely competitive, doing well at
0:15:06 > 0:15:08the moment but the run-up to Christmas will be very important
0:15:08 > 0:15:10indeed.Thank you very
0:15:17 > 0:15:23I like Ted Baker. I shouldn't actually endorse that. We will
0:15:23 > 0:15:28retract that comment. Revenues up by seven points 2% in three months.
0:15:28 > 0:15:35Bucking the trend with many clothing retailers, Marks and Spencer... I
0:15:35 > 0:15:39like them too. You like them too! Spreading it about. Digging myself
0:15:39 > 0:15:44deeper. Let's move on. Bank of England Governor Mark Carney in the
0:15:44 > 0:15:50headlines... I like him to start your gushing today. I know. The Bank
0:15:50 > 0:15:55of England in the news, read all about it on the website.
0:15:59 > 0:16:05You're watching Business Live - our top story:
0:16:05 > 0:16:07Zimbabweans are waiting to see what steps the military will take
0:16:07 > 0:16:12next after seizing control of the country.
0:16:12 > 0:16:15We are keeping a really close eye and BBC News and will update chill
0:16:15 > 0:16:17on any developed ones.
0:16:17 > 0:16:21A quick look at how markets are faring....
0:16:21 > 0:16:24Trading for 45 minutes. Games across-the-board following a mixed
0:16:24 > 0:16:30day in Asia and is a day of declines before on Wall Street.
0:16:30 > 0:16:33They say when jobs are scarce, it brings out the entrepreneurial
0:16:33 > 0:16:34spirit in people.
0:16:34 > 0:16:36That's the thinking behind one initiative in South Africa -
0:16:36 > 0:16:38a collaboration between a famous whisky brand, and entrepeneurs
0:16:38 > 0:16:39in Johannesburg.
0:16:39 > 0:16:41For young South Africans, prospects are bleak -
0:16:41 > 0:16:45nearly half of those aged between 15 and 34 were out of work last year.
0:16:45 > 0:16:47The economy is under duress, despite emerging from recession
0:16:47 > 0:16:50and growing by 2 and half percent in the 3 months to September.
0:16:50 > 0:16:54So two years ago, J&B Hive was set up by the 268-year J&B whisky
0:16:54 > 0:16:58brand, owned by Diageo, and Independents United to help
0:16:58 > 0:17:03South Africa's budding entrepreneurs get free access to a workspace,
0:17:03 > 0:17:10computers, WiFi and training.
0:17:10 > 0:17:14Today, it has around 100 members.
0:17:14 > 0:17:17And a big part of its work is helping female
0:17:17 > 0:17:21entrepreneurs to get started.
0:17:21 > 0:17:25Clare Beaumont-Adam is Senior Strategist
0:17:25 > 0:17:31at Independents United.
0:17:31 > 0:17:38Your extremely involved in terms with J and B hive, tell us more
0:17:38 > 0:17:42about how this operates in Johannesburg and who is making the
0:17:42 > 0:17:47most of the opportunity?As you said we were set up predominantly for
0:17:47 > 0:17:5018-35 -year-olds, based in Johannesburg. We have a co-working
0:17:50 > 0:17:56space which is free for members to use, camera and video equipment and
0:17:56 > 0:18:00importantly we run skills and training workshops, mentoring and
0:18:00 > 0:18:05offers some investment.This concept of an incubator, big company
0:18:05 > 0:18:08providing incubators for small, new companies is quite well-established
0:18:08 > 0:18:13within TEC knowledge of but this is quite new, food and tricks.
0:18:13 > 0:18:22Importantly what we are based on as creative entrepreneurs, social
0:18:22 > 0:18:25entrepreneurs, for the designers to content makers. Slightly different
0:18:25 > 0:18:30who we are attracting but relevant to the market. What does JMP get out
0:18:30 > 0:18:35of it? It was about recognition as a brand, they needed to look at
0:18:35 > 0:18:38connecting with consumers in a different way. Traditionally brands
0:18:38 > 0:18:42will tell a consumer of what they need to think and feel what we did
0:18:42 > 0:18:45is we said actually, what you need to do is provide what consumers
0:18:45 > 0:18:53need. JMP, the entrepreneurs in the space, we ask them integrate JMB
0:18:53 > 0:18:57whiskey in a way that feels authentic... Give me an example. An
0:18:57 > 0:19:02example could be if we have an artist, we had an artist who created
0:19:02 > 0:19:05this book packaging for one of their products, and it was all their
0:19:05 > 0:19:10design come of what they wanted, their vision. If they are a content
0:19:10 > 0:19:13maker and they have an event screaming they sampled JMP whiskey
0:19:13 > 0:19:19there.I think I am probably going to ask the same question as you. We
0:19:19 > 0:19:22will see, you can tell me afterwards. The people you're
0:19:22 > 0:19:27meeting, in their 20s, these are young people who have not grown up
0:19:27 > 0:19:30under apartheid, many of them you said to us earlier, their parents
0:19:30 > 0:19:34would not have had access to education going on to further
0:19:34 > 0:19:38education if they were from the black community and you are seeing a
0:19:38 > 0:19:42shift from that point of view. Absolutely, it had a difficult
0:19:42 > 0:19:46political background and I think when you look at this now, there is
0:19:46 > 0:19:51a hunger for making a change and authentically telling the African
0:19:51 > 0:19:55story from Africa. A lot of the entrepreneurs we work with tell us
0:19:55 > 0:19:59how Africa is portrayed by western media outside the country and it's a
0:19:59 > 0:20:04brilliant place, vibrant place, lots going on, it this is an opportunity
0:20:04 > 0:20:08to give people a platform to tell the world what is going on. Why are
0:20:08 > 0:20:14you concentrating on women? Not women specifically, we had 20% women
0:20:14 > 0:20:18in year one, the second intake that was down to 15% and that was
0:20:18 > 0:20:22important for us to recognise whether the barriers to entry was
0:20:22 > 0:20:25something we were doing or something coming externally. Interesting
0:20:25 > 0:20:31statistics, look out there, men are 60% more likely to get funding for
0:20:31 > 0:20:34their business than women when pitching the same idea, so it's like
0:20:34 > 0:20:39OK, what can we do to try and level the playing field? Why, do you
0:20:39 > 0:20:44think? We asked men and women to save what is the barrier, why are
0:20:44 > 0:20:49people not coming in, what is the hesitation? And interesting enough,
0:20:49 > 0:20:53women are at more risk averse, this is what we found and they like to be
0:20:53 > 0:20:57fully prepared when they have got a business idea and have a long vision
0:20:57 > 0:21:02for it. What we found with male entrepreneurs, they would tested
0:21:02 > 0:21:07quickly, doesn't matter, we will make it work. We win it. I think
0:21:07 > 0:21:12that's it. You look, there is a massive lack of skills and training
0:21:12 > 0:21:17in South Africa as a market, the global entrepreneurship index ranks
0:21:17 > 0:21:22South Africa at 55 out of 137.You provide mentoring as well. I want to
0:21:22 > 0:21:27get an example of a kind of business which you have brought on, a woman
0:21:27 > 0:21:32running it. Can you give me an idea of the kind of person you have
0:21:32 > 0:21:37brought on?Absolutely, a lady who does fashion for plus size woman,
0:21:37 > 0:21:41she recognised as a plus size woman herself there was few channels and
0:21:41 > 0:21:45outlets for her to have great fashionable clothing so she set it
0:21:45 > 0:21:49up, got some products out there and recently was invited to Brussels for
0:21:49 > 0:21:56Fashion Week and it has escalated. How do you bring that into JMB?It's
0:21:56 > 0:22:00a content play as well, the brand can go we have this amazing woman
0:22:00 > 0:22:04showing at Fashion Week, working with celebrities and we can create
0:22:04 > 0:22:08stories out of that and the brand can use it on their content.
0:22:08 > 0:22:12Fascinating. Thank you so much for coming in, it really is fascinating
0:22:12 > 0:22:16and I imagine you could serve whiskey. You prepare so well before
0:22:16 > 0:22:20these programmes and I just wing it. That is why you need more women on
0:22:20 > 0:22:34the boards. It is true. Let's tell you how to stay in touch with us.
0:22:36 > 0:22:40We will keep you up-to-date with all the latest analysis and we want to
0:22:40 > 0:22:46hear from you, get involved in the BBC Business live web page. On
0:22:46 > 0:22:52Twitter, and you can find us on Facebook. Business live on TV and
0:22:52 > 0:22:58online. Whenever you need to know.
0:22:58 > 0:23:00Joining us is Richard Hunter, Head of Research, Wilson King
0:23:01 > 0:23:06Investment Management.
0:23:06 > 0:23:09You have just heard from Michelle how to keep in touch with us, you
0:23:09 > 0:23:14have not held back, we are talking about the Leonardo da Vinci painting
0:23:14 > 0:23:17which went for $400 million. A lot more to this story than what
0:23:17 > 0:23:24happened overnight.Quite apart from the eye watering figure of $400
0:23:24 > 0:23:28million, this is a painting which for example in 1958 was sold in a
0:23:28 > 0:23:33London auction for £45. There is a bit of inflation for you. Underneath
0:23:33 > 0:23:39all of that it would appear in the art community there is some debate
0:23:39 > 0:23:44as to further its a real, genuine, da Vinci at all.I always have my
0:23:44 > 0:23:54doubts! LAUGHTER soul underneath that, a quite extraordinary thing,
0:23:54 > 0:24:00not 100% justifiable potentially. The other thing, it's an absolute
0:24:00 > 0:24:03public relations triumph in terms of the marketing campaign for
0:24:03 > 0:24:07Christies, they send out videos previous to the auction, they have
0:24:07 > 0:24:13been dropping up interest and they have had $100 million reserve.
0:24:13 > 0:24:20Ironically it was sold in 1958 for $45, at auction in London. The way
0:24:20 > 0:24:24they describe it, fascinating, they hyped it up as this amazing event,
0:24:24 > 0:24:28it's like discovering a new planet. That was Christies. Absolutely
0:24:28 > 0:24:32right, the other thing they did was put it into the contemporary art
0:24:32 > 0:24:37sale when of course it is an old master.Isn't that the Czar? That's
0:24:37 > 0:24:45because the old Masters market is... Doesn't appear to be as sexy. It is
0:24:45 > 0:24:48interesting that Leonardo Vinci is a contemporary! Let's see what some of
0:24:48 > 0:24:53you have to say, Camilla who says, it's got nothing to do with art, it
0:24:53 > 0:24:59was worth $10,000 some years ago, it's just about money. Chuck says
0:24:59 > 0:25:04art is like the emperor's new clothes, it is to whoever bought it.
0:25:04 > 0:25:09I guess. I wonder what will happen to it. As it is going to sit in a
0:25:09 > 0:25:13room and someone will look at it? Some are hoping it will go on
0:25:13 > 0:25:17display and an art gallery in New York. We don't know yet. What would
0:25:17 > 0:25:21you do with it, Richard?I would probably do witches hang onto it for
0:25:21 > 0:25:26about five years and sell it at a massive profit? Sold about three
0:25:26 > 0:25:36times in the last 12 years. In 2005 at $10,000, and we have 127 million
0:25:36 > 0:25:39last purchased prior to this.No shortage of money around. Was
0:25:39 > 0:25:43watching another option the other day for the biggest diamond... In
0:25:43 > 0:25:49Geneva. Went for 29, Christies really on a roll.They are, they
0:25:49 > 0:25:55absolutely. And we've got a couple of people within the story saying
0:25:55 > 0:26:00this marketing is the way forward. Richard thanks so much. If you
0:26:00 > 0:26:02bought it, let us know.
0:26:02 > 0:26:03That's it from Business Live today.