:00:00. > :00:00.called Maria, was found in a Roman camp in Greece last week, had DNA
:00:00. > :00:00.testing shows that she was not the child of the couple. Now it is time
:00:00. > :00:23.for World Business Report. More than 1000 soldiers are deployed
:00:24. > :00:28.onto the streets of rear vision mirror, he encountered
:00:29. > :00:33.demonstrations against Brazil auctioning off a giant offshore oil
:00:34. > :00:39.field. The biggest fine in US history, JP Morgan Chase reaches a
:00:40. > :00:50.tentative deal with the US Justice Department. A very warm welcome to
:00:51. > :00:55.you. In just a minute we will be going live in New York for the
:00:56. > :01:00.latest on that JP Morgan Chase story. At first, the Brazilian
:01:01. > :01:08.government has deployed more than 1000 soldiers around the Hotel at
:01:09. > :01:10.Rio de Janeiro, where one of the world's biggest auctions takes place
:01:11. > :01:18.later today. The auction for the rights to develop a huge offshore
:01:19. > :01:23.oil field has been criticised, and anti`government protesters have
:01:24. > :01:26.threatened to disrupt the event. Whoever wins the rights will have to
:01:27. > :01:32.share most of its profits with Brazil, and operate under tight
:01:33. > :01:39.regulations. With me now is an oil expert from the centre of the global
:01:40. > :01:46.energy studies. He explained to me how important and how big these
:01:47. > :01:52.offshore field is. There is up to 12 billion barrels of oil and gas
:01:53. > :01:58.equivalent, which is a major field. But it also requires huge
:01:59. > :02:01.investment. And I think it is that issue of investment requirements,
:02:02. > :02:06.the petrol price, a national company, and they have realised they
:02:07. > :02:11.needed foreign investment to take on these projects. That has been a
:02:12. > :02:17.policy approved by the Brazilian Congress, and debated for several
:02:18. > :02:20.years. Of course, now there are tensions within the domestic
:02:21. > :02:26.economy, and there are many sectors of the population who are
:02:27. > :02:32.protesting, wanting higher salaries for teachers, lower prices for
:02:33. > :02:38.tickets for public transport and so on. An economic boom which lasted.
:02:39. > :02:44.Many years, of these growing economies like Brazil, Russia,
:02:45. > :02:51.China, the recession is now hurting the people. Within society, those
:02:52. > :02:56.who have aspirations do not receive that. I think this is part of that
:02:57. > :03:02.as well. Emotions clearly running very high in Brazil. And yet,
:03:03. > :03:09.whoever wins the auction isn't actually going to own any of the
:03:10. > :03:15.deposits, are they? Told me through the model, and how attractive you
:03:16. > :03:19.think it is for investors? I don't think it is that attractive. That is
:03:20. > :03:27.why many major companies did not take part. But the oil is a huge
:03:28. > :03:31.prize, and around the world there are not many areas open to these
:03:32. > :03:36.companies which billions of barrels of oil potential to be there. That
:03:37. > :03:44.is why these terms are not as sweet as the international companies want,
:03:45. > :03:48.it is still attractive. And no big US companies have come to the
:03:49. > :03:55.option, have they? So took me through the companies who are there.
:03:56. > :04:03.Well, there is Shell. And I think many months ago, when this issue was
:04:04. > :04:08.being discussed, Shell said that they were interested despite the
:04:09. > :04:16.conditions. Think it is about the corporate policy of each country.
:04:17. > :04:22.Shell said that even though the government would be the operator,
:04:23. > :04:30.the cut for the company would be small, but Shell decided they wanted
:04:31. > :04:42.to be in Brazil. They have decided the technical and economic
:04:43. > :04:46.challenges ahead are large. Now, a warning for all chocolate
:04:47. > :04:51.lovers out there, you are soon going to have to pay more from your
:04:52. > :04:59.favourite snack. It has got chocolate in it, and that is because
:05:00. > :05:07.of the soaring cost of cocoa beans, which are shot up by more than 20%
:05:08. > :05:11.since the start of the year. Chocolate lovers seem to be
:05:12. > :05:20.celebrating a slight easing in the economic crisis by eating more
:05:21. > :05:25.chocolate. The colder it gets, the more we shop
:05:26. > :05:28.for chocolate. Christmas is coming, and here in the northern hemisphere
:05:29. > :05:46.we can't seem to get our hands on enough of this. Lindt says its sales
:05:47. > :05:55.are up 14% in Europe. Higher prices may be good news for countries like
:05:56. > :06:00.Ghana, but they seem to be too low to continue generation of farmers to
:06:01. > :06:05.take over the old plantations. Producing rubber and palm oil is
:06:06. > :06:14.more profitable. It may be a fight for the beans. Now, this event,
:06:15. > :06:21.which happens in several countries, has shown how the demand for luxury
:06:22. > :06:26.and fine chocolate sellers has upset the balance between supply and
:06:27. > :06:34.demand for cocoa beans. This chocolate bar, being readied by one
:06:35. > :06:41.exhibitor, would have cost thousands. We buy directly through
:06:42. > :06:44.intermediaries or directly from the planters. But that is not the case
:06:45. > :06:50.for the mass produced stuff. They have to go through brokerage
:06:51. > :06:54.agencies. The doubling or tripling of the price will have a huge impact
:06:55. > :07:01.on them. It will be much more expensive. So, a sustained flow of
:07:02. > :07:06.investment into cocoa farming and communities may serve grow with and
:07:07. > :07:12.proper lovers test. `` chocolate lovers.
:07:13. > :07:19.Now, JP Morgan Chase has tentatively agreed to a $13 billion deal with
:07:20. > :07:22.the US Justice Department to settle investigations into its
:07:23. > :07:26.mortgage`backed securities. It relates to the sale of securities
:07:27. > :07:32.based on home loans, which led to the near collapse of the banking
:07:33. > :07:35.back in 2007. It is the largest deal ever between a single company and
:07:36. > :07:38.the US government, but it doesn't release the bank from criminal
:07:39. > :07:43.liability for some of the mortgages it packaged into bonds and sold to
:07:44. > :07:48.investors. Even with the deal finalised, JP Morgan chief executive
:07:49. > :08:01.will have 20 of regulatory issues to deal with. Many thanks for joining
:08:02. > :08:06.me. Was JP Morgan Chase expecting a fine of this size? It is difficult
:08:07. > :08:14.to tell. Before the shutdown happen of the US government, there was talk
:08:15. > :08:25.about 7`11 billion. So we are around about that area. It sounds like that
:08:26. > :08:30.has been folded in, but we're not what else is involved. 13 billion is
:08:31. > :08:36.a bit more than we thought a few weeks ago, but it may be slightly
:08:37. > :08:40.less. It is a big number, but isn't big enough to do any real damage to
:08:41. > :08:44.a bank the size of JP Morgan? It depends what you mean by real
:08:45. > :08:50.damage. If you look back over the previous three years, 2010 `2012, JP
:08:51. > :08:56.Morgan had to set aside 18 or $19 billion for other legal costs. If
:08:57. > :09:01.they hadn't done that, they may have had 20% more earnings. That is a
:09:02. > :09:04.cost in itself. Nonetheless, JP Morgan is one of the best performing
:09:05. > :09:09.banks in the US. If you strip out the great costs they have set aside
:09:10. > :09:12.for this settlement, they still had a 5% growth in their core earnings,
:09:13. > :09:18.which is way better than any of their peers. It is important to
:09:19. > :09:23.remember that throughout this entire mortgage`backed security scandal, no
:09:24. > :09:28.one has faced any criminal charges, have they? Absolutely not. They
:09:29. > :09:37.tried a few times, but got nowhere. They tried to indict some managers a
:09:38. > :09:40.few years ago, but they got. When it comes to actually isolating very
:09:41. > :09:48.senior individuals, there has been nothing. Fascinating, thank you for
:09:49. > :09:58.that. Japan's trade deficit allude to a
:09:59. > :10:05.fresh record for September as cost for food outstripped other issues.
:10:06. > :10:12.`` ballooned. What does this mean for Japan? The weaker yen has had a
:10:13. > :10:16.dour impact on the economy. Imports have become more expensive, and the
:10:17. > :10:23.growth in exports has not been sufficient enough to offset the
:10:24. > :10:28.higher import bill. Rising imports have been partly due to higher fuel
:10:29. > :10:31.demand, triggered by the shutdown of all of the country's nuclear
:10:32. > :10:39.reactors following the Fukushima disaster. Also, the recovery is also
:10:40. > :10:43.spurring domestic demand, and imports outperforming exports mean a
:10:44. > :10:50.gap of $9.5 million, which translates into 15 months of trade
:10:51. > :10:56.deficits. They are likely to see a trade deficit. Time to come, and
:10:57. > :11:01.this is not necessarily a negative sign for the overall economy. So the
:11:02. > :11:02.weakness of the Japanese yen has been a double`edged sword for the
:11:03. > :11:25.Japanese economy. A key witness in the case of a
:11:26. > :11:30.British family murdered in the French Alps last year has spoken
:11:31. > :11:33.publicly for the first time. He told Panorama that he saw a BMW with a
:11:34. > :11:41.British numberplate heading towards the crime scene shortly before the
:11:42. > :11:43.attack. Three members of a family from
:11:44. > :11:48.Surrey are murdered in a car while on holiday. And a French cyclist is
:11:49. > :11:58.killed, by what is thought to be an experienced hitman. Bovary a `` a
:11:59. > :12:04.year later, a man has been