Browse content similar to 15/11/2011. Check below for episodes and series from the same categories and more!
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time. Europe is putting the pressure on credit ratings agencies. | :00:07. | :00:17. | |
:00:17. | :00:20. | ||
Now it is time for World Business Report. The headlines: Fighting | :00:20. | :00:25. | |
back. The EU is set to bring in tough new measures to curb the | :00:25. | :00:29. | |
influence of credit ratings agencies. Europa is taking | :00:29. | :00:38. | |
austerity medicine but there are damaging side-effects. In Asia, | :00:38. | :00:42. | |
Australia's Prime Minister calls for the ban on selling uranium to | :00:42. | :00:52. | |
:00:52. | :00:57. | ||
India to be overturned. The world's leading credit ratings agencies | :00:57. | :01:04. | |
could see their powers curbed to today. The EU has been angered by | :01:04. | :01:08. | |
downgrade some member states and argues that the agency's are too | :01:08. | :01:13. | |
influential and need to be reined in. It comes after Standard & | :01:13. | :01:17. | |
Poor's accidentally downgraded France's credit rating. Our | :01:17. | :01:22. | |
correspondent reports. The EU has never forgiven the Big Three | :01:22. | :01:32. | |
:01:32. | :01:38. | ||
ratings agencies. Some do not like it, but two of the three biggest | :01:38. | :01:45. | |
agencies are US-based. Either way, S&P's accidental downgrading of | :01:45. | :01:53. | |
France's rating, since rescinded, has fuelled market speculation. | :01:53. | :01:57. | |
TRANSLATION: I believe this will start the discussion again that an | :01:57. | :02:03. | |
independent European ratings agency should be found dead. That would | :02:03. | :02:08. | |
give an alternative G the US ratings agencies, which are | :02:08. | :02:16. | |
dependent on private enterprise. it is not clear what changes are | :02:16. | :02:21. | |
proposed. The industry should be more open. He wants to see less | :02:21. | :02:25. | |
reliance over all on ratings in Europe and greater penalties for | :02:25. | :02:33. | |
misconduct. Those who assess risks on corporate bonds say that a tough | :02:33. | :02:37. | |
new regime could be counter- productive. Especially if they are | :02:37. | :02:43. | |
forced to keep swapping the agency they work with. The quality of | :02:43. | :02:53. | |
:02:53. | :02:54. | ||
information and analysis could well deteriorate. The first incumbent | :02:54. | :03:03. | |
may only be there for three years. There is limited incentive for them | :03:03. | :03:08. | |
to do a thorough job knowing they will be out of working a short | :03:08. | :03:15. | |
period. Change is definitely on the way for ratings agencies. Once | :03:15. | :03:19. | |
again European leaders are being reminded that such Kurds can have | :03:19. | :03:27. | |
unintended consequences. BBC News. The balance between austerity and | :03:27. | :03:35. | |
growth is the heart of the difficulty. Not enough attention on | :03:35. | :03:44. | |
how countries can grow their way out of trouble by boosting exports | :03:44. | :03:54. | |
:03:54. | :03:57. | ||
and stimulating demand. From July to September the eurozone grew by | :03:57. | :04:07. | |
:04:07. | :04:12. | ||
only o.2%. We speak to an economist at i n g. Not the most exciting | :04:12. | :04:18. | |
news about growth in the eurozone, but good that they are growing, | :04:18. | :04:25. | |
giving the challenge as a focus at the moment. Tiers de ven the | :04:25. | :04:32. | |
challenges they face at the moment. The 4th quarter looks very weak. I | :04:32. | :04:36. | |
think this will be the last positive number before we slip back | :04:36. | :04:43. | |
into a mild recession. Why is this quarter's strong, especially for | :04:43. | :04:52. | |
Germany? We saw a technical rebound after a weak second quarter. German | :04:52. | :04:59. | |
industry was doing very well in July and August. In September there | :04:59. | :05:05. | |
was a sip of confidence. That was not enough to offset two very good | :05:05. | :05:12. | |
amounts, July and August. Many argue that the austerity measures | :05:12. | :05:16. | |
are not stimulating growth, which is what is required. What is your | :05:16. | :05:26. | |
view on that? Does Mauny to be done to stimulate growth? Right now you | :05:26. | :05:31. | |
have to make a choice. Either belt- tightening or stimulating growth. | :05:31. | :05:36. | |
If you look at the high debt numbers in May's European countries, | :05:36. | :05:46. | |
:05:46. | :05:46. | ||
it is belt-tightening. If you do that together with measures that | :05:46. | :05:52. | |
can stimulate growth and the medium term that is the right way to go. | :05:52. | :06:02. | |
:06:02. | :06:02. | ||
You say we will slip back into recession. For how long? It is | :06:02. | :06:08. | |
difficult to predict. At least one or two quarters. Growth should pick | :06:08. | :06:14. | |
up in the middle of next year. The global economy should recover and | :06:14. | :06:19. | |
interest rates should be low. And we will see the first positive | :06:19. | :06:23. | |
impact from the austerity measures. Thank you for joining us from | :06:23. | :06:33. | |
:06:33. | :06:33. | ||
Brussels. The Australian Prime Minister has called for the ban on | :06:33. | :06:38. | |
selling Iranian to India to be overturned. Or Julia Gillard says | :06:38. | :06:42. | |
it does not make sense to sell nuclear materials to China, India | :06:42. | :06:52. | |
and Japan but not India. The markets have reacted to this in | :06:52. | :07:00. | |
Australia. Is this significant? Local media is calling this a major | :07:00. | :07:07. | |
back said. The ban was introduced in 2008 by a Julia della's her own | :07:07. | :07:16. | |
Labour Party. India has not signed a non-proliferation Treaty. It | :07:16. | :07:23. | |
allows countries that are tested weapons before 1967 to legally | :07:23. | :07:31. | |
possess them, which does not include India. The US has agreed to | :07:31. | :07:38. | |
work with India on these projects. Julia Gillard's suggestion is to | :07:38. | :07:44. | |
put Australia on the same page as the US. She described India as a | :07:44. | :07:48. | |
close trading partner and said that lifting this ban would benefit | :07:48. | :07:58. | |
:07:58. | :07:59. | ||
Australia economic link, creating jobs and bringing growth. The | :07:59. | :08:03. | |
annual conference of the Australian Labour Party will be held next | :08:03. | :08:12. | |
month in Sydney. China Construction Bank say that the Bank of America's | :08:12. | :08:18. | |
plans to sell its shares will not affect performance. The Bank of | :08:18. | :08:25. | |
America is planning to reduce its stake. It will sell 10. 4 billion | :08:25. | :08:33. | |
shares, most of its remaining stake, for over $6 billion. Their chief | :08:33. | :08:40. | |
executive of Deutsche Bank will end his reign. He has withdrawn his | :08:40. | :08:45. | |
candidacy to become chairman of the bank. On shares in Tiger Airways | :08:45. | :08:49. | |
fell today after it warned of a significant loss for the current | :08:49. | :08:56. | |
financial year. It is suffering suspension of its operations in | :08:56. | :09:04. | |
Australia. One of its main markets. The markets having a tough session | :09:04. | :09:09. | |
today. It is the first day of losses for the Asian markets in | :09:09. | :09:16. | |
three days was they have been riding on the wave of expectation | :09:16. | :09:19. | |
because they make his new leadership in Greece and Italy. | :09:19. | :09:26. | |
That was short lived. In Japan there were rumours and speculation | :09:26. | :09:30. | |
that the Japanese government had intervened again and the currency | :09:30. | :09:36. | |
market to bring down the strength of the yen. No news to confirm that | :09:36. | :09:44. | |
has actually happened. Some of the big exporters out of Japan have | :09:44. | :09:51. |