:00:00. > :00:21.Now it's time for World Business Report.
:00:22. > :00:25.and looks to push shares higher with a big money share buyback.
:00:26. > :00:27.-- Banking on big profits - HSBC rakes billions of dollars
:00:28. > :00:31.and looks to push shares higher with a big money share buyback.
:00:32. > :00:34.And China cools - the world's second biggest economy saw manufacturing
:00:35. > :00:36.growth slow last month, fuelling fears that Chinese growth
:00:37. > :00:46.Also in the programme, we will show you a robot that can
:00:47. > :01:01.First of all that silly when on the latest numbers coming from Europe's
:01:02. > :01:07.biggest bank, HSBC, reporting its earnings in the last 30 minutes. It
:01:08. > :01:12.made a pre-tax profit of $5.28 billion in the second quarter of
:01:13. > :01:17.this year. A from $4.6 billion the previous time and analysts were
:01:18. > :01:21.expecting a high number but not as big as that. It announced a share
:01:22. > :01:26.buyback as many we predict in, looking at $2 billion worth. It
:01:27. > :01:32.looks to make the most of its huge cash pile. The move will effectively
:01:33. > :01:36.restrict the supply of HSBC shares in the marketplace of course and so
:01:37. > :01:40.should lead to the company's value rising. In the past 12 months the
:01:41. > :01:44.bankers had a good run, the stock price as you can see almost doubling
:01:45. > :01:49.in value. However this is partly because of the weakness of the pound
:01:50. > :01:51.which boosted the value of its earnings from outside the UK, which
:01:52. > :01:53.for HSBC is a substantial sum. With me to discuss this
:01:54. > :02:09.is Chris Wheeler, a banking analyst HSBC more than delivering
:02:10. > :02:13.expectations were high but it has done better? These are good figures,
:02:14. > :02:17.putting things in perspective with HSBC, like all of the banks they are
:02:18. > :02:21.coming through restructuring and are used to be the world 's local bank
:02:22. > :02:25.but not any more. They have had to restructure, shut down various areas
:02:26. > :02:29.and like a lot of the banks also have regulatory issues, fines to
:02:30. > :02:33.pay, and Stuart Gulliver saw them through it, they were the first into
:02:34. > :02:37.the problems because they have a lot of sub-prime debt for the first bank
:02:38. > :02:41.into the problems but equally one of the first to get out of those
:02:42. > :02:45.problems. The restructure is seen to be working but now they will see the
:02:46. > :02:50.handover and that is going to be in terms of Stuart Gulliver stepping
:02:51. > :02:53.down, they will find a replacement. A lot of questions about that
:02:54. > :02:58.because it's getting a new chair man as well. At Tuccu is coming into
:02:59. > :03:02.place to replace Douglas went in October and with a lot of questions
:03:03. > :03:08.hanging over about who will be the chief executive, a lot of change at
:03:09. > :03:11.the top. HSBC recruit from within so using people who have come through
:03:12. > :03:16.the system and worked through the whole structure, while Mr Tucker has
:03:17. > :03:21.a great reputation, he was at AIA, he is seen as more of an outsider.
:03:22. > :03:27.It shows a change now I've actually how HSBC moves from recovery mode
:03:28. > :03:31.into continuing to develop into the next stage and it is good, the
:03:32. > :03:39.buyback is better than we thought. A $2 billion share buyback. Why would
:03:40. > :03:44.choose to do that? It shows that the bank says we have an amount of
:03:45. > :03:47.profit or available funds, we could use it for investment and what they
:03:48. > :03:51.are looking around the world and saying we don't necessarily want to
:03:52. > :03:55.spend it, or we and paid out as a dividend or buy those shares back in
:03:56. > :04:00.there for anybody who owns HSBC shares will actually find their
:04:01. > :04:03.overall share value will go up because the relief available. And
:04:04. > :04:08.the dividends coming in at 10 cents a share so it's like win- win. It
:04:09. > :04:13.is, and HSBC traditionally have always been a good shareholder stock
:04:14. > :04:18.to have. In terms of always paying a regular dividend when they could,
:04:19. > :04:22.are often times when haven't, but they make sure shareholders onside
:04:23. > :04:26.but there in mind, this is a British bank but of course it is a global
:04:27. > :04:30.bank, East effectively in Hong Kong, the clue is in the name, but it sees
:04:31. > :04:34.itself with the UK base in Birmingham. Of course you have to
:04:35. > :04:38.look at global lease it's a good reflection as to how the global
:04:39. > :04:41.economy is doing and recovering and if you look at the bigger pictures
:04:42. > :04:45.the globe, despite what President Trump likes to say about America,
:04:46. > :04:50.the global economy isn't to be that bad and HSBC reflects that. Thank
:04:51. > :04:57.you, Justin. He will be back reviewing our stories in the papers.
:04:58. > :04:59.Let's talk about the last few days because apparently the world 's best
:05:00. > :05:03.hackers have been gathering. And if you want to get kudos
:05:04. > :05:06.from the hacking elite, the best way to do that is with
:05:07. > :05:09.a daring on-stage demo. And this year, one team
:05:10. > :05:12.took on a challenge - it cracked open a leading-brand safe
:05:13. > :05:15.using a cheap robot. Our North America technology
:05:16. > :05:31.reporter Dave Lee has more. The rest of the 100 people in here
:05:32. > :05:34.all expecting this team to hack at safe. They are looking kind of
:05:35. > :06:04.nervous up there! And will focus about a million
:06:05. > :06:08.combinations, 100 times 100 times 100, this produces that from 1
:06:09. > :06:13.million down to about 1000 combinations. Doing a demo at DEF
:06:14. > :06:40.CON is kind of stressful but we are excited.
:06:41. > :07:01.I'm so excited that we got the safe open, it was one of the scariest
:07:02. > :07:05.things we have done. It works! Or some! This robot will never go into
:07:06. > :07:09.someone's home and open the safe, there are a lot more things they
:07:10. > :07:14.should be worried about but not a robot but yeah, this is a
:07:15. > :07:26.fundamentally in. -- fun demonstration.
:07:27. > :07:29.Now let's look at the Chinese economy. New Saturday from the
:07:30. > :07:30.government suggest that the country's
:07:31. > :07:32.manufacturing sector - the backbone of its
:07:33. > :07:34.economy- is slowing. Joining me now from our
:07:35. > :07:43.Asia Business Hub in Singapore nice to see you. Is it really bad
:07:44. > :07:49.news or are we talking a blip in July? What do you think? It seems to
:07:50. > :07:53.be a blip really. As you say, it was the Chinese manufacturing but also
:07:54. > :07:57.services, purchasing managers into this, they both slipped in July,
:07:58. > :08:01.that they remained above the 50 point mark that separates growth
:08:02. > :08:05.from contraction and remarkably investors in this region are seeing
:08:06. > :08:09.it as a positive sign because it actually lead to stocks reversing
:08:10. > :08:14.the lacklustre slump they have been in all morning after the news was
:08:15. > :08:21.out. The official purchasing in death metaphor index is 1.4 which
:08:22. > :08:24.was down in June, the data suggests over the world 's second-largest
:08:25. > :08:30.economy will call the coming months as borrowing costs rise and
:08:31. > :08:34.regulators they are clamping down on lots of risky financing and this
:08:35. > :08:37.despite the fact that China posted much stronger than affected economic
:08:38. > :08:42.growth of 6.9% in the first half and that was really thanks to a
:08:43. > :08:49.year-long construction boom we saw robust exports, retail services as
:08:50. > :08:52.well, and all of that indicate that it is a fairly mixed picture for
:08:53. > :08:55.China but markets here are seeing good things. Thank you. Good to see
:08:56. > :08:56.you. Tech giant Apple has come under
:08:57. > :09:00.criticism after it removed some software from its app store in China
:09:01. > :09:04.that allows users to get around tough restrictions
:09:05. > :09:06.on internet access. The change comes after the Chinese
:09:07. > :09:09.government announced a crack down on virtual private
:09:10. > :09:12.networks - known as VPNs. They are used to find ways around
:09:13. > :09:15.China's filters and restrictions on access to certain
:09:16. > :09:27.websites within its borders. The British finance minister or
:09:28. > :09:31.chancel of the exchequer if you prefer Philip Hammond has suggested
:09:32. > :09:34.the UK will not cut taxes and regulations after Brexit to try to
:09:35. > :09:37.undercut European rivals. The remarks in an interview with the
:09:38. > :09:40.French newspaper Le Monde contradicts what he said in an
:09:41. > :09:46.interview with the German newspaper earlier this year. Will talk about
:09:47. > :09:49.that in a bit more detail than we do review some of the stories in papers
:09:50. > :09:52.in a few minutes. Quickly to the markets.
:09:53. > :09:59.Japan is flat at the moment. Basically what it's all about, many
:10:00. > :10:02.commodity prices are on the way up, particularly oil, so mining stocks
:10:03. > :10:06.are doing well and energy companies doing rather well. That's how things
:10:07. > :10:08.ended last week in the United States. In a minute for the News
:10:09. > :10:18.review. -- back in a minute. HIV testing should be offered
:10:19. > :10:20.to patients when they register with a new GP in areas
:10:21. > :10:23.where there are high rates of infection, according
:10:24. > :10:26.to new research.