Browse content similar to 04/07/2012. Check below for episodes and series from the same categories and more!
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Those are the latest headlines. Now it is time for World Business | :00:04. | :00:14. | |
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Here are the headlines: It the city of London braces itself as | :00:22. | :00:29. | |
speculation grows that Bob Diamond were named chain officials who knew | :00:29. | :00:33. | |
about the scandal. More bad press for the banks as the | :00:33. | :00:36. | |
US electricity regulator investigates JP Morgan for | :00:36. | :00:46. | |
:00:46. | :00:51. | ||
potentially manipulating the energy Sparks are set to fly as former | :00:51. | :00:55. | |
chief executive of Barclays is grilled by UK Members of Parliament | :00:55. | :00:59. | |
is afternoon. Speculation is growing that Bob Diamond will name | :00:59. | :01:02. | |
and shame officials who knew about the rate fixing scandal, including | :01:03. | :01:06. | |
the Bank of England's deputy governor. Apart from producing | :01:06. | :01:14. | |
verbal fireworks, what good is it meant to do? | :01:14. | :01:17. | |
In a fractured session before a parliamentary committee last year, | :01:17. | :01:22. | |
Bob Diamond told MPs the period for remorse and apology for banks is | :01:22. | :01:32. | |
:01:32. | :01:33. | ||
is summoning him back again. They will want to know how tradies could | :01:33. | :01:39. | |
get away with it for over two years. He will hold up a mirror to the UK | :01:40. | :01:49. | |
:01:50. | :01:54. | ||
regulators and the politicians who presided over this mess. All this | :01:55. | :01:58. | |
promises to be very entertaining viewing for people here in the city | :01:58. | :02:08. | |
:02:08. | :02:10. | ||
of London. What else is the inquiry meant to achieve? It plays into the | :02:10. | :02:13. | |
hands of some people that think that all financial markets are a | :02:13. | :02:19. | |
conspiracy. That is clearly not the case. We have enormous stock | :02:19. | :02:25. | |
markets here in London. It is a very transparent financial market. | :02:25. | :02:29. | |
If there is a way that this interest rate setting can be made | :02:29. | :02:33. | |
much more transparent, that they be a good thing coming out of the | :02:33. | :02:40. | |
scandal. The inquiry will also be keen to hear that the deputy | :02:40. | :02:47. | |
governor of the Bank of England secretly advised the rate fixing. | :02:47. | :02:51. | |
It may shift the focus of Parliament's inquiry onto the role | :02:51. | :03:01. | |
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of the central bag. As was highlighted at the end of | :03:01. | :03:05. | |
that report, Barclays up the MTA leader be yesterday by publishing | :03:05. | :03:12. | |
these documents saying the Bank of England deputy governor may have | :03:12. | :03:16. | |
known about what was going on. How do you think that will be played at | :03:16. | :03:22. | |
this inquiry? I don't know it. It may be that he is on the attack. It | :03:22. | :03:26. | |
would be very foolish to do so. The whole thing sounds like dealing | :03:26. | :03:30. | |
with small children. First of all they say they do not know anything | :03:30. | :03:35. | |
about it, then they blame someone else, but then you end up saying | :03:35. | :03:40. | |
that teacher told them it was OK. What you say is kind of hell it is. | :03:41. | :03:46. | |
At the end of the day what they did is wrong. It had to pay huge fines. | :03:46. | :03:50. | |
It is the blame game. Bobble the implication speed for the | :03:50. | :04:00. | |
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regulators and those whom they have they no that it? -- of what will | :04:01. | :04:07. | |
the implication be. The first the need to do well to be changing the | :04:07. | :04:12. | |
behaviour at Barclays. That is the key thing. A better and different | :04:12. | :04:18. | |
regulation can help with that. we get to the bottom of this and we | :04:18. | :04:26. | |
don't necessarily know we will do you think we will actually see | :04:26. | :04:33. | |
these individuals prosecuted or given some sort of slap on the | :04:33. | :04:39. | |
rest? I hope that some individuals will be prosecuted in the end. The | :04:39. | :04:46. | |
real problem is not who knew what and when be, the real problem is | :04:46. | :04:49. | |
the culture of organisations in which this kind of behaviour goes | :04:49. | :04:59. | |
:04:59. | :04:59. | ||
on. What we need to do is start addressing that culture. In terms | :04:59. | :05:03. | |
of addressing it, do you think we will see serious changes in the | :05:03. | :05:13. | |
:05:13. | :05:14. | ||
organisation's? I think that is where we should be going. There are | :05:14. | :05:20. | |
two reasons for doing that. One is that you need to stop government | :05:20. | :05:25. | |
guaranteeing speculative trading activity. The other is the trading | :05:25. | :05:34. | |
of cultures and painting do not mix. It -- banking. | :05:34. | :05:40. | |
We will be across the events today on the BBC. Let's look at another | :05:40. | :05:48. | |
bank in the US. More pressure is on the giant, JP Morgan. It is under | :05:48. | :05:50. | |
investigation by Americas Electricity Regulation for possible | :05:50. | :05:54. | |
manipulation of the energy market in California and the Midwest | :05:54. | :05:59. | |
region. The commission is saying the bait's bidding practices made | :05:59. | :06:09. | |
:06:09. | :06:09. | ||
inflated electricity prices go further up. | :06:09. | :06:13. | |
JP Morgan is out of the news. This time it is being investigated for | :06:13. | :06:19. | |
its role in the power markets of California and the Midwest. The | :06:19. | :06:24. | |
Federal Energy regulatory Commission is looking at whether it | :06:24. | :06:30. | |
manipulated markets to the tune of $73 million. Since the energy | :06:30. | :06:36. | |
crisis in California back in 2000- 2001, regulators had been paying a | :06:36. | :06:43. | |
lot more attention to the wholesale electricity market. That was when | :06:43. | :06:47. | |
traders big supplies and caused blackouts. In a statement in | :06:47. | :06:51. | |
response to this probe, JP Morgan said, we believe we have complied | :06:51. | :06:57. | |
with all respects with the law. This comes at a very busy time for | :06:57. | :07:00. | |
JP Morgan, which is under scrutiny by authorities because of its | :07:00. | :07:09. | |
admission it had lost $2 billion on bad trade. | :07:09. | :07:13. | |
The head of the IMF has said she is not in the mood to renegotiate the | :07:13. | :07:18. | |
terms of the Greek bale-out. Her remarks come as a vicious visit | :07:18. | :07:22. | |
Greece to assess the country's financial progress. The Prime | :07:22. | :07:25. | |
Minister came to power after pledging to renegotiate parts of | :07:25. | :07:32. | |
the rescue package. To she has been fined $87 million | :07:32. | :07:40. | |
for conspiring to fix prices of LCD panels in the United States. -- | :07:40. | :07:48. | |
Toshiba. They had denied the charges and will make the necessary | :07:48. | :07:52. | |
legal action to overturn the verdict. | :07:52. | :07:54. | |
Manchester United has announced plans to bestow on the New York | :07:54. | :07:58. | |
Stock Exchange. It hopes to generate $100 million in an attempt | :07:58. | :08:08. | |
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The French Prime Minister has called on people to rally behind | :08:13. | :08:18. | |
the Government to tackle a crushing debt crisis as a revised budget | :08:18. | :08:22. | |
goes to cabinet today. France is defined 43 billion euros this year | :08:22. | :08:27. | |
and next year according to the National Audit Office. The super | :08:27. | :08:32. | |
rich are being targeted, with those earning more than one million euros | :08:32. | :08:37. | |
being taxed 75%. People on lower incomes will be spared the brunt of | :08:37. | :08:47. | |
:08:47. | :08:48. | ||
budget cuts. Can France make it is that up? -- en France make its | :08:48. | :08:54. | |
numbers add up? This sounds like a familiar tale. Any government with | :08:54. | :09:04. | |
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a nasty situation to figure out. Many are questioning their France | :09:05. | :09:13. | |
is going with their plans to reduce the budget deficit. So far, so | :09:13. | :09:17. | |
clear. The Government is not doing anything different from what it | :09:17. | :09:22. | |
announced it would do. The French President had already announced | :09:22. | :09:26. | |
that he would increase taxes for the wealthy and that he would cut | :09:26. | :09:30. | |
the number of civil servants. That he has not changed. What you are | :09:30. | :09:38. | |
seeing today and what you saw yesterday was precisely that. | :09:38. | :09:48. | |
problem is by increasing the tax on the super rich, the black hole is | :09:48. | :09:53. | |
40 billion euros and above. He has to be reduced significantly. How | :09:53. | :10:00. | |
will they do that? It will be very difficult. I think that they were | :10:00. | :10:08. | |
not fully achieve it. What they can do is, during the implementation, | :10:08. | :10:12. | |
they would do something similar to what the Tory government would do. | :10:12. | :10:16. | |
The government will give the biggest of the ministry's and tell | :10:16. | :10:20. | |
them what to cut. In the process of implementing, there may be many | :10:20. | :10:26. | |
ways of actually reducing or watering down the government's | :10:26. | :10:36. | |
:10:36. | :10:36. | ||
claims and blaming it on the implementation. The government can | :10:36. | :10:40. | |
say they tried to make it happen, but the problem was not on their | :10:40. | :10:47. |