built from scratch in the borneo rainforest. but is this hugely ambitious project ready to welcome residents? live from london, this is business today. i'm sally bundock. you got the sense from those headlines does a lot to fit in. let's get started. it's a big day for inflation data — both the uk and us will publish the latest on how much prices have risen in the month ofjuly. this data will be watched very closely by both traders and policy makers for any signs their economies are on the right track. so let's take a look at what we are expecting. in the uk, economists expect a rise of 2.3% — that's slightly higher than the steady 2%

inflation rate in may and june, and would be a setback for the back of england, which cut interest rates earlier this month for the first time since the start of the covid pandemic. we will get the uk news at seven am uk time. over in the us, inflation is also proving stubborn. figures published later today are expected to show a rise of 3%. on tuesday, though, the us producer price index — a measure of wholesale inflation — increased byjust 0.1%. that was less than expected, offering a glimmer of hope for the federal reserve to start lowering interest rates, which are currently still at a 23 year high. joining me now is yael selfin — vice chair and chief economist at kpmg. good morning to you. let's start with the uk. are you with

many who think inflation is going up? many who think inflation is going up?— many who think inflation is going no?— going up? yes, we think inflation _ going up? yes, we think inflation will _ going up? yes, we think inflation will go - going up? yes, we think inflation will go up, - going up? yes, we think. inflation will go up, maybe going up? yes, we think- inflation will go up, maybe not as much as what you just said but definitely it is on the rise for the july figures but also later on in the year. min; also later on in the year. why is that? what _ also later on in the year. why is that? what is _ also later on in the year. why is that? what is fuelling - also later on in the year. why is that? what is fuelling it? l is that? what is fuelling it? there's a — is that? what is fuelling it? there's a number— is that? what is fuelling it? there's a number of- is that? what is fuelling it? there's a number of things | is that? what is fuelling it? i there's a number of things but one of the things that is a little bit more benign is the fact that we are seeing energy putting less downward pressure on prices, just because we don't have that fall in energy anymore removing that year—on—year comparison. that is less of an issue, what the bank of england is worried about particularly is domestic generated inflation, core inflation, service sector inflation, service sector inflation and that stickiness there that we are expecting to remain but may be to ease a little bit. ~

remain but may be to ease a little bit-— remain but may be to ease a little ltit-— remain but may be to ease a little bit. ~ ,, ., little bit. when you say may to ease a little — little bit. when you say may to ease a little bit, _ little bit. when you say may to ease a little bit, do _ little bit. when you say may to ease a little bit, do you - little bit. when you say may to ease a little bit, do you mean l ease a little bit, do you mean that they may cut interest rates again soon?- that they may cut interest rates again soon? well, it is touch and — rates again soon? well, it is touch and go _ rates again soon? well, it is touch and go a _ rates again soon? well, it is touch and go a little - rates again soon? well, it is touch and go a little bit - rates again soon? well, it is touch and go a little bit in i touch and go a little bit in terms of what the bank of england is going to do, but as you mentioned also for the us, interest rates are very high. evenif interest rates are very high. even if they are going to start cutting interest rates they will put downward pressure on inflation, we are not anywhere near the neutral rate. they could still be restrictive but starting to ease rates. we are expecting another type by the bank of england but it may not be as early as september. what be as early as september. what about the us, _ be as early as september. what about the us, will— be as early as september. what about the us, will get _ be as early as september. what about the us, will get consumer prices out later today as well. do you think they will show a similar picture that inflation is not being tamed at the moment?—

is not being tamed at the moment? ,, ._ , ., moment? the us may see a little bit more of _ moment? the us may see a little bit more of a _ moment? the us may see a little bit more of a downward _ moment? the us may see a little bit more of a downward trend - bit more of a downward trend and in the uk they have been less exposed to that very high energy prices and that anomaly, if you like, than in europe. we could see a little bit more of a downward trend there, whereas with prices and inflation is still relatively higher, than in here, which means it is more likely the fed has not cut yet it is more likely the fed will cut in september, markets are expecting the fed to cut by at least a quarter of a percentage point. some say it could even be half of a percentage point, maybe two, for not cutting earlier on injuly when their work increasing concerns about recession. work increasing concerns about recession-— recession. interesting, yael selfin, thank _

recession. interesting, yael selfin, thank you _ recession. interesting, yael selfin, thank you for - recession. interesting, yael selfin, thank you for your i selfin, thank you for your thoughts and analysis on that. the vice—chair and chief economist at kpmg. now this inflation data of course will be pored over by investors, particularly following the market sell—off we saw last week. the volatile sessions we saw on markets old wide. let's take a look at what's happening now. in asia the negate is flat. hong kong is also down by a third of a percent and the yen is trading versus the dollar as you can see. japan was higher earlier but in the last hour or so we have had this news, the japanese prime minister has decided he will not stand as weetah of the ruling democratic party in september is ——as the leader. there's a change in politics in japan leader. there's a change in politics injapan that could be influencing trade. in the us to wholesale inflation numbers were out yesterday which were

much than expected. that gave wall street a big boost as you can see. the nasdaq in particular doing well. craig erlam is an independent market analyst. good market analyst. morning to you. what do you good morning to you. what do you think will happen today for markets? i heard it closed up yesterday but i heard there were nervous about today's numbers for uk inflation? there is, we numbers for uk inflation? there is. we have _ numbers for uk inflation? there is. we have to — numbers for uk inflation? there is, we have to remember- numbers for uk inflation? there is, we have to remember we - numbers for uk inflation? there j is, we have to remember we are at a massive turning point for the inflation data now. we had many turning points in the last couple of years, the moves higher, the claim lower, there's been a bumpy road act to 2% which is where we currently lie in the uk. now the big question is sustainability because that is ultimately all the central banks really care about, the headline being those great but how long will it remainder as you alluded to earlier to expect you to kiah because of unfavourable base, this is a

year—on—year comparison and a year—on—year comparison and a year ago the comparison was more favourable which is why we are expecting to see a little bit of a tick higher today, probably again over the coming months. the important thing for investors is the services inflation in the bank of england policy alluding to this, there are two things concerning, one is wage growth which subsided yesterday which is a positive move but services inflation because it makes up such epic component of a rule sustainable inflation so they will be a focus and it's been around 5.7%. it will be underlying elements within the uk and us inflation data well beyond the headline which will beyond the headline which will be the big driving force for markets today.— be the big driving force for markets today. let's talk about the us, markets today. let's talk about the us, we _ markets today. let's talk about the us, we will— markets today. let's talk about the us, we will get _ markets today. let's talk about the us, we will get the - the us, we will get the consumer prices data out later as well and that could cause a wobble on wall street. what do you think? wobble on wall street. what do ou think? ., wobble on wall street. what do you think?— you think? that certainly scope for it, you think? that certainly scope for it. we _ you think? that certainly scope for it, we have _ you think? that certainly scope for it, we have seen _ you think? that certainly scope for it, we have seen plenty - for it, we have seen plenty wobbles in the past month or two. we have seen too good

inflation prince in the last few months. last month was -0.1% few months. last month was —0.1% and the month before 0%. if we could see those revised at another similar reading todayit at another similar reading today it is expected to be a bit higher than that but across the course of the last few months if we can see that it is notjust months if we can see that it is not just a months if we can see that it is notjust a blip and there is underlying disinformation in the us and that should really lock in that rate cut for september, many people as you guessed, still think we could see 50 basis points probably a 25 best point member because of the election in november and until banks don't like to be seen interfering in the election but there is still clearly more cuts to come from the federal reserve.— clearly more cuts to come from the federal reserve. thank you aaain and the federal reserve. thank you again and have _ the federal reserve. thank you again and have a _ the federal reserve. thank you again and have a great - the federal reserve. thank you again and have a great day, - the federal reserve. thank you again and have a great day, we | again and have a great day, we will see you again soon. as we reported yesterday, the smartphone wars are heating up. on tuesday, google unveiled a line—up of new pixel smartphones with deeper integrations of its artificial intelligence technology as it races to incorporate ai into its hardware. and later in the autumn apple is set to unveil its new iphone with al integration.

and this ai smartphone arms race is benefiting one company in particular — the taiwanese manufacturer, foxconn. it's the world's biggest maker of iphones and more recently has been building ai servers for tech giants including amazon, google and microsoft. later today it will announce its second quarter earnings which are expected to show a healthy increase in profits. paul armstrong is founder of the investment management firm, tbd group. hello to you. how good will the numbers be when foxconn releases them?— numbers be when foxconn releases them? they should be aood releases them? they should be good earnings. _ releases them? they should be good earnings, we _ releases them? they should be good earnings, we are - good earnings, we are respecting revenue about 1.5 trillion hong kong dollars equating to $191 billion us, that's a record high for the company. profit will be around 33-34 company. profit will be around 33—34 billion new taiwan dollars which is about a billion us dollars in profit which equates to a two or three

over year increase. shares rose massively this year, the squad alone has been 43% so pretty confident in predicting good hands. i5 confident in predicting good hands. , ., confident in predicting good hands. ., ., , confident in predicting good hands. , . . , , , hands. is that mainly because it makes the _ hands. is that mainly because it makes the apple _ hands. is that mainly because it makes the apple iphone - hands. is that mainly because| it makes the apple iphone 16? it's it makes the apple iphone16? it's deftly a big thing to do, not be anything. they are pushing a lot of industries, the electric vehicle market has gone into ev charges, that's been a rocky ride for them but they are curtailing it out. the focus is on apple for this particular announcement, they just hired 50,000 new workers in the region so that gives analyst a good indication out expecting big numbers as well. this company is a big employer, recently hired another 50,000 recently hired another 50 , 000 workers. recently hired another 50,000 workers. is having to work harder to keep those workers, isn't it? ., u, harder to keep those workers, isn't it? ., _, , harder to keep those workers, isn't it? ., , ., isn't it? foxconn is not without _ isn't it? foxconn is not without interest - isn't it? foxconn is not without interest and i isn't it? foxconn is not - without interest and scandal and that sort of things, there was hat things going on, they are massive employer. they are

saying more gradually so that as a sign for analysts to account for but the iphones and apple relationship could be recording. apple relationship could be recording-_ recording. you mentioned foxconn _ recording. you mentioned foxconn is _ recording. you mentioned foxconn is moving - recording. you mentioned foxconn is moving into i recording. you mentioned| foxconn is moving into the electric vehicle market which is interesting. what do you think about the tension is currently between both china and the us and china and europe when it comes to this market? is it an opportunistic move that may prove tricky going forward? , , �* , that may prove tricky going forward? , , �*, ., forward? definitely, it's a chou forward? definitely, it's a choppy ride _ forward? definitely, it's a choppy ride and - forward? definitely, it's a choppy ride and different| choppy ride and different economic actors are always impacting the market. this is definitely a period where a lot of analysts are leaning on and looking at data very carefully. paul armstrong, thank you and we will look out for the foxconn numbers when we do finally get them. staying on the subject of smartphones. over in india, the smartphone market grew by 7% year on year in the second quarter of this year, with chinese brands dominating the market once again, according to a recent report. recent efforts to localise production of smartphones has yet to catch up.

arunoday mukharji has more. figures released by the international data corporation show chinese smartphone companies like vivo have increased their market share compare to the same period last year. this has been the trend in the last five years, where we have seen the price sensitive indian consumer preferring to go for the more affordable chinese smartphones. this is despite the fact that it indictment has been pushing incentives as well as subsidies to try and make india boost domestic manufacturing that is yet to yield results. interestingly in this regard the announcement by google a day earlier saying they will be rolling out the first made in india pixel smartphone is something that will give a boost to the indian government's ambition in this regard. it also helps google because it feeds into a rising demand notice in the previous

smartphone sector, which is also documented by this latest report coming in which found that companies like apple which have been trying to find a foothold in india have been leading the super premium smartphone segment and has seen an increase of 22%. that essentially means phones in india which cost over $800 have seen more takers. experts say all of these trends go to suggest despite the fact that chinese smartphones still dominate the indian market because of that affordable rates, there has been an increase in purchasing power noticed and also overall a desire by indian consumers to really keep pace with new and emerging technology. around the world and across the uk. this is bbc news.

you are with business today. workers at the world's largest copper mine — the escondida in chile —

have gone on strike after government—mediated pay negotiations fell apart. the trade union says production will be impacted as it represents nearly 99% of frontline workers — and replacement staff are prohibited by chilean law. the australian mining giant, bhp — which owns the mine — has said that trade union leaders have refused to resume dialogue, following their decision to begin the strike. let's get the latest on this with our asia business reporter, pierre—antoine denis. this is a big deal, this is the world's biggest copper mine for the chilean economy. it is a big source of income, talk us through what is going on. exactly, we are talking about 5% of the world's production of copperjust in this escondida mine and the unions are saying they're ready to go all the way, they are ready to go for a long time if needs be. it is

always this dispute when they have to renegotiate the deal is around the workers conditions. as discussions about healthcare, the rest time between shifts but the main sticking point is about the bonus given to the workers at this mine. bhp said they have revised their offer at around $29,000 per worker which they say is the best in the market but the union wants it to be fixed at 1% of the dividend of the company, which would be around $35,000 as of now. because the strike has started we're getting close to the situation in 2017 more or less when water for situation in 2017 more or less when waterfor a situation in 2017 more or less when water for a strike took place in the mine, it drove the global copper prices up, halted production and really harmed the chilean economy. we are very early stages now, we haven't seen much of a ripple effect on the market but a longer this drags on and it doesn't come to fruition the more impact we will see on the

market and as i said, the union is ready to go all the way because they say they have four times funds and they had 2017 so they are ready to support the striking workers for as long as they need.- the striking workers for as long as they need. thank you, we will keep — long as they need. thank you, we will keep a _ long as they need. thank you, we will keep a very _ long as they need. thank you, we will keep a very close - long as they need. thank you, we will keep a very close eye. | indonesia is set to hold its first major event at what will be its new capital city this weekend. presidentjoko widodo wants to replace jakarta — which he says is polluted, overcrowded and sinking into the ground — with a new modern economic hub called nusantara, built from scratch in the rainforests of borneo. but the project — which is one of the most ambitious of its kind in history — has been dogged by setbacks, lack of investment and the firing of top officials. nick marsh was invited by the indonesian government to take a look. in the heart of one of asia's

last great rainforest, indonesia's president wants to carve out a new future for his country. a green, smart, mega— city, biggerthan country. a green, smart, mega— city, bigger than london, far from the chaos of jakarta and a tribute to indonesia's ascent on the global stage. ambitious... that's an understatement. and failure? that doesn't seem to be an option. iiii that doesn't seem to be an 0 tion. , ., that doesn't seem to be an otion. ,, that doesn't seem to be an otion. , option. if you said it is impossible _ option. if you said it is impossible for - option. if you said it is impossible for me, i option. if you said it is| impossible for me, no. option. if you said it is - impossible for me, no. it's ambitious but it is possible. the momentum is there. over the ast two the momentum is there. over the past two years. — the momentum is there. over the past two years, swathes _ the momentum is there. over the past two years, swathes of - past two years, swathes of jungle had been cleared to make way for new roads and buildings. wiping away the past and pushing indonesia towards modern alsop it's only here that you see the sheer scale of the project. as a sense of real excitement in indonesia, you can feel it. you can also feel the tension. by now, this place should have been ready to

welcome its first residents. but only the very basics had been finished so far. the long promised foreign investment into to pay for it still has not materialised. the question some have asked is does indonesia really need this? they are trophy cities, trippy projects. tichular politicians want to have tied to their names, these projects are extremely costly to build and when it comes to the benefit, the benefit goes mainly to big developers and the political elites. that have client relationships to build with developers.— relationships to build with developers. relationships to build with develo ers. ., ., , developers. right now the only --eole developers. right now the only people who _ developers. right now the only people who live _ developers. right now the only people who live here _ developers. right now the only people who live here are - developers. right now the only people who live here are the i people who live here are the indigenous inhabitants of the land. oursense indigenous inhabitants of the land. our sense of people have been told that they are like they rainforest, must make way for the sake of progress. translation:— for the sake of progress. translation: �* , ., translation: i'm struggling to sta sane, translation: i'm struggling to stay sane. i _ translation: i'm struggling to stay sane, i have _ translation: i'm struggling to stay sane, i have no _ translation: i'm struggling to stay sane, i have no peace, - translation: i'm struggling to stay sane, i have no peace, i- stay sane, i have no peace, i haven't even been paid for my

land yet. where will my children grow up? where will be with? , . ., children grow up? where will be with? , . ~ ., ., children grow up? where will be with? , ., ., with? resident joko widodo paid a visit recently, _ with? resident joko widodo paid a visit recently, this _ with? resident joko widodo paid a visit recently, this is _ with? resident joko widodo paid a visit recently, this is a - a visit recently, this is a totem to his ten years in charge of the world's fourth most populous country. it faces a race against time. his term comes to an end in october under the new president who seems lukewarm on someone else's multibillion—dollar vision. this country will have to overcome more than politics. to pull this off, indonesia will have to defy history. nick marsh, bbc news, borneo. as we covered earlier on the programme, artificial intelligence is set to have an increasing presence in our smartphones. and big tech companies are investing huge amounts in it — as well as the undeniable benefits that the technology offers — the rapid advancement of ai has also brought to light a range of concerns and challenges.

recent research from kpmg uk has found that while some consumers would use al to support everyday tasks — 82% have concerns or challenges that prevent them from using it. mark wagmanjoins me now from medialink — a marketing and technology consultancy. good to have you on the programme. that is a really interesting data from kpmg uk looking at 82% saying that they have concerns or challenges using ai but all i seem to talk about in the business news is businesses and huge companies investing heavily in.— investing heavily in. yes, i think in — investing heavily in. yes, i think in both _ investing heavily in. yes, i think in both cases - investing heavily in. yes, i think in both cases the - think in both cases the consumer use case for you and i as well as the enterprise use case i think both entities are hard to change. workflow is hard to change. workflow is hard to change and change management is even harder. in the same way that you and i are stuck in our ways to some

degree and the platforms we use in the tools we use introducing new tools into that sweet is a difficult proposition. i think some of the more successful use cases you are seeing right now and we talked about a little bit today with tuesdays announcement with google integrating ai closely into the phones and apple doing the same, are starting to see ai integrating into our day—to—day workflows and tours we are already using. it is much easier to diejust as already using. it is much easier to die just as humans. that is kind of how i see it going ——it is easier to. adjust to. if you integrate it into my device that i don't notice and yet i'm getting so much more, is that where we are going? you see it playing — is that where we are going? you see it playing out _ is that where we are going? ym. see it playing out right now with some of the strategies from the bigger players, i play in the advertising and marketing space and if you look at our ecosystem right now platforms that are winning in this space are not necessarily

some of the more innovative and emerging companies doing crazy new age opportunities, it is more so the existing marketing clouds from the world who integrated ai into the workflows they use on a day—to—day basis. workflows they use on a day-to-day basis.- day-to-day basis. for businesses, - day-to-day basis. for businesses, where i day-to-day basis. for businesses, where of| day—to—day basis. for businesses, where of the difficulties when it comes to integrating ai? i imagine on the legal side it is a minefield, or not? it the legal side it is a minefield, or not? it is a minefield _ minefield, or not? it is a minefield a _ minefield, or not? it is a minefield a little - minefield, or not? it is a minefield a little bit - minefield, or not? it is a minefield a little bit on l minefield, or not? it is a i minefield a little bit on both sides of the equation. you see it playing on both the data site, you see it playing right now with some of the larger language models and people doing negotiating deals with publishers to get their hands on the data and is the copyright and ip issues with the output. right now the risk is the lack of data and a comprehensive way could we do things like hallucinations and other things that may make

consumers take a step back. eye ou cunt consumers take a step back. eye you gung ho _ consumers take a step back. eye you gung ho about al? are you telling clients they need to be in it to win it? what are concerns about privacy, security, what it could mean? all valid concerns but i would say that yes this is a moment in time that is not one that you can take a step back and watch go past you. this is transformational for all businesses, not just the transformational for all businesses, notjust the media marketing wealth and the phones in our pockets, the most important thing on the enterprise site is understanding what you are trying to solve for. al can do a number of things, we talk a lot about them today and we can talk about them for weeks. really understanding what it is you are trying to solve for before you start to dip your toe into these things is arguably the most important part of the puzzle.— arguably the most important part of the puzzle. thank you for getting — part of the puzzle. thank you for getting up _ part of the puzzle. thank you for getting up so _ part of the puzzle. thank you for getting up so early - part of the puzzle. thank you for getting up so early and i for getting up so early and sharing your thoughts on that,

really interesting. it brings to a close business today for another day. if you are with us on bbc one, breakfast willjoin you in a few minutes time. if you're watching around the world, i will see you at the top of the ala. don't go anywhere, see when a moment. —— top of the hour. hello there. tuesday wasn't as hot or as humid, but still with some sunshine across norfolk and suffolk before we got a few light showers, temperatures reached a very warm 29 degrees. other parts of the uk have cooled down a bit already, and it's still quite mixed through the rest of the week. there'll be some sunshine at times, but we're also going to find some spells of rain, and our weather essentially is going to be coming in from the atlantic. at the moment things have slowed down a bit and this weather front still bringing some rain early in the morning, particularly across the midlands. but a sunny start and a chilly start in scotland. some sunshine for northern ireland. it will cloud over here in the afternoon and later in the day into western scotland. but more sunshine develops

across northern england, wales and the southwest. and even though we've got more cloud, the midlands towards the southeast, that should tend to thin and break up a little bit. we will trigger a few showers in the southeast in the afternoon. it's not going to be as warm here as it was on tuesday, of course, 23 or 21t degrees and elsewhere, those temperatures very similar to what we had on tuesday. so our weather is coming in from the atlantic, and this is the next weather system to bring some wind and rain in from the northwest. and it could be quite wet through much of thursday across scotland and northern ireland. this band of rain is only moving slowly into northern england and wales. it's going to be late in the day before we see some sunshine, but through the midlands, towards the southeast it may well be a dry day with more broken cloud we've got a chance for things to warm up again. temperatures could reach as high as 27 degrees, but for scotland and northern ireland, it's likely to be a cooler day on thursday. that rain is slowly moving its way southwards, and that weather front will eventually take some rain into more southern parts of england. it could hang around

for a bit on friday, we're likely to find the rain tending to move away from the southwest, but the southeast it could be a bit more of a struggle. that rain could still be around into the afternoon at least more cloud. we've got sunshine elsewhere once again until you reach the far northwest, with a bit of rain coming in here again as the breeze tends to pick up. so temperatures scotland and northern ireland 19 degrees at best. otherwise our top temperature further south 23 or 21t celsius. i think it's those sort of temperatures that we'll see over the weekend. so not a hot weekend, but it looks like a fairly decent weekend. most places will be dry with some sunshine. just a few showers, perhaps towards the northwest.

good morning, welcome to breakfast with jon kay and nina warhurst. our headlines. the unacceptable increase in violence against women on our railways — 31 incidents reported every day freddie's field of dreams. former cricketer andrew flintoff returns to our screens for the first time since a life changing high—speed crash. wembley bans tay—gating. extra security at the singer's

london shows after her austria concerts are cancelled due to a terror plot. winter fuel payments for pensioners will become means—tested later this year under a surprise change by the government. but millions who are eligible may not be claiming it. i'll explain how to check if you're one of them. out before they managed to get in. if you're one of them. it was a night of despair for rangers against dynamo kyiv in their bid to qualify for the lucrative champions league. it isa it is a cloudy start across the southern half of the country with light rain. it will brighten up later. in the northern half, sunshine to start and cloud over from the west later. it's wednesday, the 14th august. the number of violent attacks against women and girls on britain's railways has increased by more than 50% in two years, according to the british transport police. its survey found that more than a third of women have been