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Thursday. The UN said the handling of his case was a domestic matter.
Now it's time for World Business Report.
Wall Street's giants have been getting a bump from Trump,
They conquered Asia and now they're heading for Africa.
We look at the unstoppable rise of the Tuk Tuk.
In a moment, Singapore narrowly avoids recession.
First, we start on Wall Street where three of the giants of US
banking report their results later today
and we are talking about Wells Fargo,
Citigroup and, the biggest of them all, JPMorgan Chase.
Investors have been betting that the good times are back
for America's bankers thanks to the election of Donald Trump.
That's helped stock markets hit record highs.
Today's results could give us a better idea.
Take a look at these share prices, especially JPMorgan Chase
They all got a boost from hopes he would help the US economy grow
The slow pace of policy change has, though, cooled that enthusiasm
In particular, President Trump has promised to scrap the heavy
regulation of banks brought in after the financial crisis in 2008.
But his new more lenient rules, the Financial Choice Act,
are unlikely to get through Congress in their current form.
What could help the case is that the top banks
all comfortably passed so called 'stress tests' last month.
It basically means they've been judged financially solid enough,
with ample money in reserve to withstand another financial
And those tests could be eased in future.
This week President Trump nominated this man,
financier Randal Quarles, for a leading role in overseeing
He's seen as much more sympathetic to big banks.
But Samira Hussain in New York warns investors could
Analysts aren't expecting this past quarter to be much of a scene. When
Mr Trump was elected, US markets were downright euphoric. The task
reforms and infrastructure spending were going to boost the economy. But
fast forward to July and not much has happened. That's leading many to
believe the Trump bump may be dead. So, what does that mean for banks?
Well, bank stocks were a big winner when it came to the Trump bump. One
of the best performing sectors. Now the reason for the Trump, the
legislative agenda of President Trump, is no longer looking as
plausible as before. Well, that has analysts wondering if this will mean
the gains made by banks may start to come down.
Chris Wheeler is banking analyst at Atlantic Equities.
What are you expecting? We will see earnings that are down quarter on
quarter. But that is common, it's a seasonal thing. It will also look
weaker compared to one year ago because there was a big surge after
the Brexit folk at the end of June, which made last year's numbers look
bad. So they won't be great numbers but they won't be bad. Will they
have a big impact on the share price? We have seen from the charts
that they have gone up nearly one third since President Trump was
elected. Or do you think this is not so great result have already been
priced in? I think they have a priced in. The management have been
warning about what's been going on. I think the other factors are that,
as touched on earlier, regulation or easing up of regulation, the stress
tests which allow banks to pay higher dividends, this is all
driving the sector, along with more interest rate rises. Let's talk
about that possible easing of regulations. What does it include?
It mean for the banks? A lot of the financial choices about consumers
and that was a big factor. I think what the Treasury has been saying is
that there can be a lot of things done outside legislation to ease
some of the burden that was put in place after the crisis, especially
allowing some of the legislatures the banks have to keep. So they have
to look outside of Congress. Let's talk about Randal Quarles, the new
guy coming into the Federal Reserve. He is being seen as potentially
quite friendly towards the big corporations? Yes. I think the view
taken is that the US authorities did a fairly good job of getting the
banking sector back into shape after the crisis. A better job than we did
here in Europe. But some of the regulations have gone to the stage
where they are worried about whether the cancer serve the wider economy,
if it gets the economic growth that Mr Trump wants. I think that's what
Randal Quarles will focus on. Weekly, looking forward, where the
UC US banks going in the 6- 12 months? They have had a really good
run in the last month. The sector is up since the first of June and it is
going higher. There are so many factors behind this. Away from just
the financial results, which are positive. OK, thank you very much
for your time. who needs four wheels
when you can have three? The tuk-tuk or auto rickshaw started
life in Italy in 1947, but now dominates Asian roads
from India to Indonesia to Thailand. Now Indian manufacturer ATUL
is punting the little machine as a cheap solution to Africa's
transport problems. It has set up assembly plants
across the continent, we went to one in Port
Elizabeth, South Africa. Behind me are the vehicles from
India and they are flown into a full manual assembly line. That assembly
line is purposefully designed because it does create employment
and it gives us the necessary personal control that we have in the
assembly line. We effectively put together in deciding to go down this
route check sheet and coincidently after doing that this little vehicle
ticked all of those boxes. The top three is unemployment, the second is
the ability to empower people to start micro- businesses. Not only
locally, in metropolitan areas and in rural areas. Thirdly, the
contribution to society. Now, the whole idea is to try to get
different vehicles to provide specific services to these
communities, so we are trying to ensure that in those communities
where you don't have transport infrastructure we have smaller
vehicles to navigate and this will solve a lot of the problems we see.
This happens all over Africa. Tuk-tuk was originally seen as a
novelty in Africa as a whole. But as we've seen, the acceptance of the
product and the capability of the product, both from a public
transport and workforce perspective, in delivering goods, I think we've
seen the growth in Africa grow exponentially as acceptance becomes
a reality. Let's go to Singapore now,
where the economy has narrowly It grew slightly in the last quarter
after a sharp contraction in the first three
months of the year. Remember, two quarters
of contraction in a row Sharanjit Leyl is looking at this
for us in Singapore a sigh Yes, a little bit of a side. --
sigh. It was thanks to a pickup in global demand that led to Singapore
narrowly dodging this recession. It was specifically growth in its tech
exports. Its electronics, its position in engineering industries.
But growth at 2.5% for the second quarter was actually less than
expected. Now what's interesting is the economy here is very trade
reliant. It usually access a good bellwether to how the global economy
is forming and analysts have been voicing lots of concerns about the
sustainability of Singapore's growth. It is very dependent on an
electronics. They say in the future they will have to rely on things
bike services to help offset any slowdown. We also saw for instant
the construction sector was weak and economists are saying essentially
that they are looking for a slightly better 2017, but are still remaining
cautious on how factors outside Singapore Goh. So really it is all
due to the global economy. All right, thank you. Before we go, a
quick look at the markets. It has been a good week for the
markets. Asia ending up for the fifth day in a row. The oil prices
down, that's over continued concerns about oversupply. But we've had high
demand in China for oil, which is what has stopped it from falling
further. You can get in touch with us on Twitter.
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