27/01/2017

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:00:00. > :00:17.But these days is the 'special relationship' simply more special

:00:18. > :00:28.And when is a $5.3 billion profit in three months just not enough?

:00:29. > :00:32.We'll tell you why investors are not happy with Google and also find out

:00:33. > :00:41.if its parent company Alphabet's other bets will pay off?

:00:42. > :00:58.We have the Friday feeling and if you are watching for the first time,

:00:59. > :01:01.stay where you are, we have a snapshot of the latest in the world

:01:02. > :01:03.of business and money. We will also discuss the year of the Golden

:01:04. > :01:03.Rooster. we start in the US where,

:01:04. > :01:07.as you have been hearing, UK Prime Minister Theresa May

:01:08. > :01:10.will become the first world leader to meet President Trump

:01:11. > :01:13.when they hold talks later today. Mrs May has called on the President

:01:14. > :01:16.to renew the 'special relationship' She is keen to show Britain can

:01:17. > :01:20.prosper outside the European Union - so lining up a post-Brexit trade

:01:21. > :01:24.deal is high on her agenda. But is it really

:01:25. > :01:27.a priority for the US? Let's show you some

:01:28. > :01:32.of the numbers involved. the United States is the UK's

:01:33. > :01:38.top export destination. Britain sold goods and services

:01:39. > :01:40.worth $125 billion to Taken together though,

:01:41. > :01:53.the European Union is by far Britain's top export market,

:01:54. > :01:55.worth $280 billion. Any drop in those exports

:01:56. > :02:02.as a result of Brexit could see Britain is far less

:02:03. > :02:16.important to the US America sold $65 billion of goods

:02:17. > :02:21.and services here in 2015 - half the amount that

:02:22. > :02:24.went the other way. And to put that in the context

:02:25. > :02:29.of the vast US economy, that is little more than 4%

:02:30. > :02:32.of total US exports. And less than half

:02:33. > :02:35.a percent of US GDP. So putting aside the warm words,

:02:36. > :02:38.will this really be a priority We'll be getting the views

:02:39. > :02:55.of an expert in just a moment. We are excited that Prime Minister

:02:56. > :02:59.May is coming on Friday. We look forward to it. It may not seem like

:03:00. > :03:06.it but president Donald Trump and Prime Minister Theresa May have a

:03:07. > :03:09.few things in common. Their rise in power was fuelled by populism and

:03:10. > :03:14.the establishment rejection. Another hoped to create bilateral treaties.

:03:15. > :03:17.He will talk to the Prime Minister and have a great conversation about

:03:18. > :03:23.the potential for greater trade with the UK. The pressure is on. Brexit

:03:24. > :03:27.negotiations are imminent. And nailing down a trade agreement with

:03:28. > :03:33.the US would give Theresa May a big boost back home. Because of these

:03:34. > :03:39.strong economic and commercial links and our shared relationship, I look

:03:40. > :03:43.forward to pursuing to talks with President Trump and his new

:03:44. > :03:47.administration about a new UK US free trade agreement in coming

:03:48. > :03:50.months. The fact she is the first world leader to visit the White

:03:51. > :03:55.House under a Trump administration is perhaps a testament to Britain's

:03:56. > :03:59.special relationship with the United States. I am meeting with the Prime

:04:00. > :04:04.Minister tomorrow, as you know. Great Britain. So I am meeting was

:04:05. > :04:08.her tomorrow. I don't have my commerce Secretary and they want to

:04:09. > :04:17.talk trade. I will have to handle it myself. Which is OK. There you go.

:04:18. > :04:22.Stephanie Hare is an independent political risk analyst.

:04:23. > :04:28.Thank you for being here. He will handle himself, right? Looking at

:04:29. > :04:34.those numbers, it is astonishing. Just 4% of US exports come over here

:04:35. > :04:40.compared to what we, as is the Australian to be American, we ship

:04:41. > :04:47.over there. If they can deal the table, they do a big deal, can the

:04:48. > :04:53.US make up for the void if we lose out on the union? Theoretically,

:04:54. > :04:56.sure. What is likely in what is probable? The fact that the matter

:04:57. > :04:59.is that if you were to take the trading relationship between the

:05:00. > :05:03.United Kingdom and the EU and the United Kingdom and the United States

:05:04. > :05:07.and remove the labels and look at the numbers you would pick the with

:05:08. > :05:12.the EU everytime. And, yet, we have had a vote where we are leaving the

:05:13. > :05:15.European Union and now we are in a position where we have to leave an

:05:16. > :05:19.extremely advantageous trade relationship and make up for it with

:05:20. > :05:23.other deals. The Prime Minister has a job on her hands. President Trump

:05:24. > :05:27.as saying that he will do this himself but we know that today it is

:05:28. > :05:30.just talks between the leaders. They won't do anything, it is just about

:05:31. > :05:35.the team of negotiators. As the UK have the right people in place to

:05:36. > :05:41.make, to do the negotiations without being eaten alive by your lot? The

:05:42. > :05:44.United Kingdom does not have sufficient numbers of trade experts

:05:45. > :05:49.right now and at what is worrying, of course, is that they had to do

:05:50. > :05:53.trade negotiations with the EU and the other 27 member states and now,

:05:54. > :05:57.potential, with the United States. So, again, it is sort of like

:05:58. > :06:03.entering a boxing ring with one arm tied behind your back. And how about

:06:04. > :06:08.the US boxer? They have some of the best trade negotiators in the world.

:06:09. > :06:16.OK. OK... That is reassuring, isn't it? What will success look like for

:06:17. > :06:20.these two today? Success will look like the two of them being able to

:06:21. > :06:23.come away making some reassuring noises about the special

:06:24. > :06:27.relationship. We can expect to see the UK Prime Minister talking about

:06:28. > :06:31.that, that she has made her point and she is coming back with her red

:06:32. > :06:40.white and blue Brexit deal, getting a good value the United States. Like

:06:41. > :06:43.Chamberlain walking off the plane back in 1938, 939...? She is quite

:06:44. > :06:48.constrained in terms of what she can do to the next two years. Until the

:06:49. > :06:52.United Kingdom leaves the European Union cannot formally negotiate any

:06:53. > :06:58.other free trade union agreement. We need the UK to trigger Article 50,

:06:59. > :07:02.go through Brexit, formally leave the EU and only then can we formally

:07:03. > :07:05.negotiate. There will be talk behind the scenes and that is what is

:07:06. > :07:09.happening today. Donald Trump, he can talk about anything and say

:07:10. > :07:14.things and we have all learned that what he tends to say things like he

:07:15. > :07:19.is floating a balloon, he can walk things back. He will make noises

:07:20. > :07:23.that make him seem positive. But I don't think it will really be worth

:07:24. > :07:29.the paper it's written on. We need to see what is going to in two years

:07:30. > :07:34.time. As an American living in the UK, do we matter? Is Britain Mattan

:07:35. > :07:45.to the US? It is always good to have friends in the world. Very

:07:46. > :07:47.diplomatic. -- -- does Britain matter to the world?

:07:48. > :07:50.When is $5.3 billion profit in three months just not enough?

:07:51. > :07:54.The parent company of the internet giant saw its shares fall

:07:55. > :07:56.in after hours trade after its quarterly

:07:57. > :07:59.As Dave Lee reports from San Francisco,

:08:00. > :08:01.there are concerns about a slowdown in the growth

:08:02. > :08:08.and just how future proof the company may be.

:08:09. > :08:18.We call it picks cell. The final three months of 2016 were important

:08:19. > :08:23.for Google. It launched a new smart phone range and went big with its

:08:24. > :08:27.new voice-activated system. The company did not break out the

:08:28. > :08:30.numbers to those new devices so it is difficult to know how they

:08:31. > :08:33.perform. O'hAilpin chief executive said he was comfortable with the

:08:34. > :08:39.direction things were going with the new products. He will lead them to

:08:40. > :08:45.succeed. The revenues of Alphabet which are at 22% on this time year

:08:46. > :08:48.still rely heavily on earning money through Google's advertising. It's

:08:49. > :08:53.even more of us turned to mobile computing people are tapping on

:08:54. > :08:58.Google ads more than they used to. But advertisers of paying less per

:08:59. > :09:03.click than before. Aside from Google, Alphabet has what it calls

:09:04. > :09:07.its other bets. Things like superfast broadband, self driving

:09:08. > :09:11.cars, smart thermostats. The revenue of those is double compared to this

:09:12. > :09:12.time a stupid overall in the last three months those bets collectively

:09:13. > :09:15.lost the company $1.1 billion. Let's go to Asia finally -

:09:16. > :09:17.where tomorrow marks the start Roosters are supposed to be

:09:18. > :09:25.hardworking, confident and talented but can be vain and arrogant

:09:26. > :09:28.with a tendency to boast. And they have a tendency

:09:29. > :09:52.to ruffle feathers. There you go. Thank you. Happiness

:09:53. > :09:56.and asperity for you, Aaron. Right back at you. The year of the

:09:57. > :10:01.rooster... You have been speaking to an astrologer? Is that right? That

:10:02. > :10:08.is right. You know what? We are leaving the year of the monkey which

:10:09. > :10:14.was full of mischief and unexpected outcomes in 2016. Let us all welcome

:10:15. > :10:21.the year of the rooster. Here it is. 2016 was bad and according to the

:10:22. > :10:25.astrologers I spoke with 2017 will be a year of disruption,

:10:26. > :10:28.transformation, conflict and revolution. And if you take a look

:10:29. > :10:38.at the political side of the fence, the most important link here is the

:10:39. > :10:41.combination of China's leader, US leader and Russian leaders. They

:10:42. > :10:45.were all born in the year of the rooster. The big question is will

:10:46. > :10:50.they be able to work with each other because this will surely dominate

:10:51. > :10:54.global markets. But if you take a look at the business side in the

:10:55. > :10:59.near term, build lunar New Year and the biggest human migration in the

:11:00. > :11:04.world, citizens get a seven-day break and much of the economy will

:11:05. > :11:07.come to a halt. Many people will return to their home towns or visit

:11:08. > :11:16.families and travel overseas. This is big money going forward. OK,

:11:17. > :11:19.Rico. Please put your rooster away. We will be back later and you can

:11:20. > :11:22.follow us on Twitter.