wall street closes in the red, after a credit downgrade on some banks spooks investors. china gears up to release its latest inflation figures — and there are concerns the economy could enter a deflationary cycle. hello, and welcome to asia business report. i'm mariko oi. we start this morning on wall street — where all three major indices have closed in the red on tuesday. all down by just over all down byjust over .5%. the sell—off was sparked by the downgrading of several us banks by credit ratings agency moody's. the move has reignited fears about american banks and the economy. from new york, michelle fleury with more. wall street was seeing red on tuesday, bank stocks leading the way.

shares in goldman sachs fell 2%. the catalyst was moody's, downgrading the credit rating on several small and medium—sized us banks, including mnt bank and pinnacle financial. the red flags raised by the ratings agency included a potential recession, as well as problems tied to the commercial real estate sector. as one analyst put it, any doubts about regional banking is bad for market sentiment. that wasn't helped by data from new york federal reserve, which showed that for the first time, americans owed more than $1 trillion on their credit cards. traders have also been focused on corporate results, which so far have been better—than—expected. that was true for lyft, which reported results after the us market closed. uber�*s small arrival is forecasting higher revenue in the third quarter based in part on a post—pandemic rebound in ridesharing. meanwhile, electric vehicle maker rivium posted a narrower lost than expeted and raised its production guidance for the full year.

meanwhile, nine companies including wells fargo have been find over half $1 billion because of their employees use of personal messaging apps. according to the us securities and exchange commission, the companies admitted that employees used platforms like whatsapp and signal to discuss company business, a move in direct violation of the sec�*s record—keeping rules. meanwhile we work says there's "substantial doubt about its to continue operating." the company also cited an increase cancelled memberships in its memberships. wework said it'll be focused on issues like reduced rental costs and increasing revenue. china will be releasing its latest inflation figures in a few hours. economists think prices may have continued to fall injuly after being flat injune. unlike the rest of the world, china is experiencing a rare episode of sliding prices.

japan's economy experienced this back in the 1990s earlier, i spoke to professor eswar prasad, the former chief at the international monetary fund's china division, and he explained what's behind the slowing economy. the consumer demand has been very weak, and when consumer prices have been flat, it's likely to show that we are in deflationary territory. no producer prices, the prices producers pay for imports of raw materials and intermediate goods, have already been falling and squeezing industrial profits. if we are not in deflationary territory, we are very close and i think we are very close and i think we will see an official confirmation closely. and other asian economy _ confirmation closely. and other asian economy that _ confirmation closely. and other asian economy that suffered i asian economy that suffered from falling prices japan. some say china could be an a similar situation injapan was in back in the 1990s, some people calling it a balance balance sheet recession. do you agree with the assessment? demand is

slowin: with the assessment? demand is slowing very _ with the assessment? demand is slowing very fast, _ with the assessment? demand is slowing very fast, we _ with the assessment? demand is slowing very fast, we have - with the assessment? demand is slowing very fast, we have seen l slowing very fast, we have seen very little investment by the private sector, even official investment by democrat is falling. corporate debt has been coming down for some extent but certainly the real estate sector is not doing well, property developers are very exposed to the slowdown of the sector, but china still has its tools to prop up the economy, the question is whether they will roll out those tools and, most important, whether they can do what's necessary to revive private and business confidence. there's a risk could see what happened to china, we are not there yet, it all depends on what the government does now. they have tools to use. _ government does now. they have tools to use, yet _ government does now. they have tools to use, yet we _ government does now. they have tools to use, yet we haven't - tools to use, yet we haven't really heard any major announcements when it comes to stimulus measures from beijing.

are you expecting any? the government _ are you expecting any? the government seems - are you expecting any? tue: government seems to are you expecting any? tte: government seems to want to send a message that everything is under control, that the economy is still on the right track, but i think they will have to see some significant measures such as reducing interest rates, making money easierfor interest rates, making money easier for households and companies to access, some fiscal stimulus that's more government spending and tax cuts. i think the real issue is whether the government can get confidence back in the private sector so households can go and spend rather than save, and businesses start investing. they haven't accomplished that yet so far and i think that's really the key both to short—term growth but also longer territory on the economy. well, that data will come on the back of china's latest export performance, which showed a 14.5% drop in exports forjuly. that's the lowest since the covid—19 pandemic hit back in 2020. weak global consumer demand has hit china known as the factory of the world hard. imports for last month have also highlighted waning domestic demand as consumers tightened their purse strings.

well, the country that experienced deflation orfalling prices back in the 1990s is now seeing the opposite. we are talking aboutjapan. inflation injapan has been hovering at around a ito—year high, and that means that despite a rise in wages, consumers aren't feeling the benefit. in fact, household spending has slipped for a fourth straight month. earlier, i spoke to consumer sector specialist nobuko kobayashi, who explained by people aren't buy more despite the wage hikes. thejune the june number that was out that shows that year on year growth on household spending was negative for four consecutive months, he was negative in june consecutive months, he was negative injune by 4.2%, and this is damaged by the growth that was real negative, this was negative for 15 consecutive months. so that's a balance of the nominal group offset by the wage increase. that's been around 2—3% plus, which is good news, but the cost increase has

been hovering around 4%, therefore offsetting the nominal wage growth. in this dampens of course consumer's appetite to spend more. so dampens of course consumer's appetite to spend more. 50 it appetite to spend more. so it needs to happen _ appetite to spend more. so it needs to happen here? - appetite to spend more. so it needs to happen here? because japanese companies are exactly used two racing salaries, will they raise salaries further or will the government do something to try and prop up the consumer sentiment? we are seeinu a the consumer sentiment? we are seeing a little _ the consumer sentiment? we are seeing a little bit _ the consumer sentiment? we are seeing a little bit of _ the consumer sentiment? we are seeing a little bit of a _ the consumer sentiment? we are seeing a little bit of a sea - seeing a little bit of a sea change in mortality injapan, so what's pushing for the wage increases the cost increase, and also the labour shortage. 0ver and also the labour shortage. over the long run, the government is pushing for the labour market so that there will be more fluidity in a labour market which will push out the wage over the long term. but at the end of the day, it's down to the employer's's appetite to reward and retain the talent properly. there's a consensus injapan that's growing that employees have not been compensated enough, and we are seeing that

japan is now almost a cheap labour cost country because the other countries, including asian countries, have been raising their wages so rapidly. this is instrumentalforjapan this is instrumental forjapan to this is instrumentalforjapan to attract talent overseas, so if this causes a wake—up call, will be sustained momentum to increase wages. over to india now, which has also seen food inflation rise sharply — especially for tomatoes. that'll continue to put pressure on the country's central bank, which is making its rates decision later this week. nikhil inamdar reports. almost a month on, this humble tomato, which is really a vital agreement in the base of most indian curries, is out of reach of most people here. it needs to cost roughly about 30— a0 cents, but now retails at about $2 a kilo in markets like these. and evidently there's a lot of anguish about that. translation:— lot of anguish about that. translation: �* , , translation: i've been selling venetables translation: i've been selling vegetables for _ translation: i've been selling vegetables for 20 _ translation: i've been selling vegetables for 20 years, - translation: i've been selling vegetables for 20 years, but - vegetables for 20 years, but never seen prices go so high.

demand is definitely down, people who have been buying five killers earlier are now buying does make you lose in it is a patient that our rates will go down —— five kilos. but will go down -- five kilos. but there are _ will go down -- five kilos. but there are many _ will go down —— five kilos. but there are many reasons why tomato prices have continued to go up. unseasonable rains and extreme weather not only damage the cop democrat, but it's made it difficult to transport it. and then there are the longer term issues, things such as lack of adequate storage and processing infrastructure. none of this can be sorted out overnight, which is why tomato prices are now expected to go up prices are now expected to go up even further before they begin falling down in september once the new crop comes in. people like this man who roamed democrat run —— people like this woman who run a home cooking area are worried. t run a home cooking area are worried. ., ., run a home cooking area are worried-— worried. i have a fixed clientele, _ worried. i have a fixed clientele, so - worried. i have a fixed clientele, so it - worried. i have a fixed clientele, so it has - worried. i have a fixed - clientele, so it has definitely affected me because i can't make — affected me because i can't make any profit from that.

along _ make any profit from that. along with tomatoes, prices of onions, another staple in indian cooking, have been going up indian cooking, have been going up as well. this is a wary not just for politicians but also india's central bank. the high price of onions have led to electoral defeats in this country, and they could also feed into higher consumer inflation at a time when the reserve bank of india is meeting later this week to decide on interest rates. nikhil inamdar, bbc news, mumbai. country garden has said... the amount is valued at 22 and a half million dollars, the country's property sector has been having that debt crisis since their default. and that's it for this edition of asia business report. thanks for watching. bbc news, bringing you different stories from across the uk.

this is pauline. she teaches diving at skegness aquarium, and she's 76 years old. i find it very therapeutic. i enjoy being in amongst the fishes. pauline has been here for eight years and teaches people of all ages how to dive. she says the oldest person she's taught was 90 years old. i like helping people, especially the people that are nervous. if we have trouble getting them into the water, once they've actually managed to get in and come out all smiles, that is the best, best feeling. and those that work with pauline adore her. yarmouk i'm happy for me and all the other guys, because i've done all all the other guys, because i've done al— i've done all the dives. but when we — i've done all the dives. but when we get _ i've done all the dives. but when we get there - i've done all the dives. but when we get there in - i've done all the dives. but when we get there in the l i've done all the dives. but. when we get there in the end, yeah. — when we get there in the end, yeah. it's _ when we get there in the end, yeah. itse— when we get there in the end, yeah, it's a good feeling. and those that work

with pauline adore her. everyone comes in and asks for her to— everyone comes in and asks for her to see _ everyone comes in and asks for her to see if they're in that day~ — her to see if they're in that da . �* ., underneath the water amongst the fish is where she says she belongs. age isjust a number. for more stories from across the uk, head to the bbc news website. hey, i'm zof, with the catch up! tonight — laurenjames apologises, the strictly line—up continues, and a very clever dog... first, though, more than 1a0,000 of you in scotland found out how you got on in your exams today and results are still higher than they were before the pandemic. there was a slight fall in the number getting as, bs or cs in their highers from last year, but in good news ucas says 72% of scottish applicants have been accepted by their first choice uni.

some other stories no — england forward laurenjames has apologised for her red card during the match against nigeria. —— some other stories now. she was sent off after stamping on michelle aloozey�*s back following a foul. a big meeting in brazil is being held to protect the amazon rainforest as scientists are concerned that deforestation in the amazon may soon be irreversable. it's the first time in 1a years that there's been a meeting like this. seeing lots of sale signs at the minute? shops have been ramping up promotions to try and get people to spend more after the wet weather this summer has hit businesses. july's usually a busy month for shopping, but sales of clothes and shoes actually went down last month. the strictly line—up is starting to be announced, and it looks like a good one. the latest celebs are bbc three's very own zara mcdermott, emmerdale star adam thomas, and asian network presenter nikita kanda. time for ten seconds of a very clever dog.

fizz is a fire detection dog in essex and has the nose and skills to catch arsonists, which can be very difficult and expensive, so she is in high demand. super, super cute, as well. you're all caught up now — have a good night!

hello, and welcome to sportsday. i'm tulsen tollett. colombia advance to a quarterfinal against england after seeing off jamaica. france breeze into the last eight, and a date with co—hosts australia after brushing aside morocco. plus, andy murray moves into the second round in toronto as he builds towards the us open. hello there, and thanks forjoining us, where we start with football — and colombia are through to their first women's world cup quarterfinal after beating jamaica 1—0 and will

now face england. as david brindle reports, it was a tense and nervous game