:00:03. > :00:13.We will keep you updated when we get that final result.
:00:13. > :00:17.
:00:18. > :00:22.For the moment, we go to World This is World Business Report. The
:00:22. > :00:29.headlines: Despite the system, inflation interest rates could be
:00:29. > :00:39.And after any collapse in 2009, the US car market has bounced back.
:00:39. > :00:43.
:00:43. > :00:47.2012 is said to be another year of note in -- low interest rates with
:00:47. > :00:53.the ECB likely to cut the cost of borrowing further. That is despite
:00:53. > :00:56.inflation being well above target. It will confirmed later this
:00:56. > :01:01.morning what the inflation figures are. Our Business Report and looks
:01:01. > :01:11.at the global picture for interest rates.
:01:11. > :01:12.
:01:12. > :01:18.In Rome, there is plenty of produce The fact that food prices are
:01:18. > :01:23.rising steadily does not help. At the moment, central banks are
:01:23. > :01:31.weighing up a very different priority. Here in London, the Bank
:01:31. > :01:36.of England has record low interest rates of 0.5% for nearly three
:01:36. > :01:41.years. This week, India's central bank said it too was considering
:01:42. > :01:47.cutting, rather than raising, rates. Now, the ECB appears t appears ting
:01:47. > :01:55.a similar approach. Since November, the ECB's boss has
:01:55. > :02:00.overseen rate cut from 1.5% to 1.25 %. And in December, down to 1%.
:02:00. > :02:07.Markets now expect a further reduction to a record low of 0.75 %.
:02:07. > :02:12.Who cares about inflation, when you have a recession. If we have a
:02:12. > :02:16.recession, with particularly weak growth for a prolonged period, it
:02:16. > :02:25.will bring inflation lower. So the focus has shifted from being
:02:25. > :02:28.worried about inflation risks to a worry about deflation and about
:02:28. > :02:33.recession. One other advantage of cutting rates is that it puts
:02:33. > :02:37.downward pressure on the euro, which in turn makes it more
:02:37. > :02:45.competitive. Unless of course everybody else cut rates as well,
:02:45. > :02:52.in which case nobody wins. After hitting a 30-year low into
:02:52. > :02:56.Dundon nine, US car sales have had a second straight year of growth in
:02:56. > :03:02.t of easier credit and pent up demand
:03:02. > :03:06.for cars and trucks created by the recession. On Wednesday, the
:03:06. > :03:14.monthly sales were reported. They are expecting a gain of around 8%
:03:14. > :03:20.from the year before. This woman runs two dealerships in
:03:20. > :03:25.New Jersey. She sells around 2000 new vehicles every year. She says
:03:25. > :03:33.customers have been returning to her show rooms in droves. The sales
:03:34. > :03:43.are up 30%. The economy is on its way back. I believe we had a while
:03:44. > :03:44.
:03:44. > :03:52.across the board did credit issues. I am seeing a freeing up of that. -
:03:52. > :03:55.- had a lull. Credit to buy a car is improving now. And consumers
:03:55. > :04:01.want to replace all the cars that were pressed into service longer