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tv   Business Today  BBC News  October 18, 2024 11:30am-11:46am BST

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the latest gdp figures show that the economy grew by a.6% in thejuly to september period, versus the same period last year. that is the slowest rate of growth since early 2023. the country's economy is still being held back by a property recession and weak consumption. china's central bank has been holding meetings today with leaders of the financial sector to urge them to do more to support capital markets. in recent weeks beijing has announced a raft of interventions, all aimed at supporting the property market and encouraging people to spend money. let's speak now to rory green, who is chief china economist at global data ts lombard. thank you forjoining us we have talked about the stimulus the government has announced, has not taken any effect? the
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im act has not taken any effect? the impact so _ has not taken any effect? the impact so far— has not taken any effect? the impact so far is _ has not taken any effect? tue: impact so far is mainly has not taken any effect? tte: impact so far is mainly on sentiment. onshore traders are describing this change in sentiment is going straight from the hospital deathbed too straight to the nightclub in terms of mood. in terms of pay through to the real economy there has been a bit of an uptick, slightly better spending data, but in reality not much charge effect from the stimulus status. maybe sentiment has shifted rather than the real underlying activity. than the real underlying activi . ~ ., than the real underlying activi .~ ., , activity. what can the chinese government — activity. what can the chinese government do _ activity. what can the chinese government do to _ activity. what can the chinese government do to shift - activity. what can the chinese government do to shift these | government do to shift these fundamentals in their favour? the main thing we are looking for now is fiscal spending and that has been missing for this year and the previous year. when domestic demand this week, households and businesses are not willing to borrow or spend. it is on the government to step
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in and drive demand, drive activity within the economy and thatis activity within the economy and that is what is missing in china, so beijing has hinted very strongly that fiscal stimulus is coming, but so far they haven't announced how much and where that money will be spent and we are still waiting on those details, which should come in the next couple of weeks. ., ., ., weeks. you mentioned demand there. weeks. you mentioned demand there- the _ weeks. you mentioned demand there. the chinese _ weeks. you mentioned demand there. the chinese consumers. there. the chinese consumers hugely crucial to companies around the world and we are seeing a knock—on effect on other companies outside asia. absolutely. forthe other companies outside asia. absolutely. for the luxury spending, the travel, the vehicles, china is a massive market. chinese households are pulling back on spending. they are heavily exposed to the property sector. the fall in property sector. the fall in property values does not encourage anyone to get out their cash and start splurging. forforeign companies
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their cash and start splurging. for foreign companies domestic competition is ratcheting up, particularly with electric vehicles but also in luxury as well. it is hard forforeign firms to sell to the chinese market. to the us now, where the streaming video giant netflix added overfive million subscribers in the third quarter. the company beat wall street's expectations on every financial metric. at the same time, the streamer is starting to raise prices in some countries, as growth spurred by its crackdown on password sharing starts to fade. netflix is also experimenting with adverstising. let's get more from our north america business correspondent ritika gupta in new york. netflix's latest earnings report topped estimates on wall street. the streaming giant added over five million subscribers in the third quarter — analysts had predicted around 4.5 million — and the company says subscribers for the current quarter will be even higher. sales and profit also surpassed expectations —
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revenues for the period grew 15% to $9.8 billion, while earnings increased to $5.40 a share. shares of netflix have more than quadrupled since may 2022 — that's when a slowdown in the company's growth led to a major sell—off. since then, the company has continued to deliver strong growth, adding more than 60 million customers thanks to a crackdown on password—sharing, and the introduction of a lower—priced subscription with advertising. to further drive revenue, netflix is again asking customers to pay more — after recently raising prices injapan and parts of emea, the company said it would raise prices in italy and spain on friday. the streamer says its future growth is likely to come from continued investments in advertising and gaming. ross benes is senior analyst, tv and streaming, at emarketer. i put it to him that the environment for streaming
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companies is getting tougher yeah, the market has definitely got more crowded over time, but they have an edge over all streaming services. the only other service that accounts for more time spent is jujube, and thatis more time spent is jujube, and that is because most users are on a free tear. looking at services that people pay for, netflix has a comfortable lead and they have a lot fewer cancellations as a share of their total user base than most of these other services tend to see. ., . y of these other services tend to see. ., ., , ., ., ., see. how have they managed to do that? a _ see. how have they managed to do that? a couple _ see. how have they managed to do that? a couple of _ see. how have they managed to do that? a couple of years - see. how have they managed to do that? a couple of years ago i do that? a couple of years ago we were talking about are on a free tear. looking at services that people pay for, netflix has a comfortable lead and they have a lot fewer cancellations as a share of their total user base than most of these other services tend to see. how have they managed to do that? a couple of years ago we were talking about how netflix was possibly on the back foot after being the trailblazer in
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doesn't really buffer, it loads easily, everything is pretty seamless, it is high quality and people have got so accustomed to using it. tt and people have got so accustomed to using it. it has been around _ accustomed to using it. it has been around longer _ accustomed to using it. it has been around longer than - accustomed to using it. it has been around longer than all l accustomed to using it. it has l been around longer than all the other streaming services, so it has that advantage as well. in the uk, growth in retail sales across great britain has slowed as consumers snapped up technology, but cut back on supermarket spending. sales volumes grew by 0.3% in september, according to new data from the office for national statistics. that's down from i% growth in august. it is though actually a bit higher than was expected, so what does this all tell us about the health of the uk economy? i'm joined now by christie cook, retail managing director of hodge bank. 0h, oh, sorry, that is not christie, i believe. in terms of the drop in growth that we have seen, what has been driving that change? t
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have seen, what has been driving that change? i think it is still quite _ driving that change? i think it is still quite positive. - driving that change? i think it is still quite positive. it - driving that change? i think it is still quite positive. it is - is still quite positive. it is on the positives rather than rewinding back, i guess. the supermarket sales did falter. the weather wasn't great in september and customers cut back on luxury food items, so it is suggesting that there are still being a bit cautious. t5 still being a bit cautious. is that because of interest rates? we talked a lot about the impact of interest rates on spending. we saw a bit of a pick—up. inflation is better now and rachel coming down. do you expect a massive change there? tt you expect a massive change there? , , there? it is interesting. the lower inflation _ there? it is interesting. the lower inflation was - there? it is interesting. the lower inflation was driven . lower inflation was driven mainly by lower fuel and mainly by lowerfuel and airfare prices, but it is mainly by lower fuel and airfare prices, but it is food and services that continue to increase by that higher rates. there is hope in the markets that the monetary policy committee will follow through with the reduction in bank rates in november, which would
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benefit borrowers, obviously. but yes, the inflation rate at 1.74 in september in particular is going to impact the most vulnerable households because this is the metric that is used to determine benefit increases next year. to determine benefit increases next year-— airbnb is one of the first tech companies to completely transform the way we travel. it upended the hotel market and, in some places, the housing rental market too. as housing prices have risen, some cities have been cracking down on airbnbs altogether. tadhg enright asked the company's chief executive, brian chesky, if airbnb is contributing to the housing crisis. i generally do not think that airbnb is contributing to the housing crisis in very large cities — at least not nearly to the extent that some of our critics have pointed out. and let me just kind of back up and say this. i don't want to ever say that airbnb is not contributing to any problems anywhere.
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you know, we built a platform. that platform is now used hundreds of millions of times a year. we handle more money through airbnb than the gdp of the country of croatia. and so, just to give you a sense, we have nearly four million people a night staying in airbnb. and i can't be here and tell you that every single thing is something we can defend — because we're a platform, and when you build a platform, it's used for unintended consequences. so in the past, there have been people that have taken homes off the market, there have been major concerns from cities. so we've worked with cities around the world to establish, you know, sensible laws, regulations and restrictions about who can host and how many days they can host.
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i'm in new york and my sister's apartment. not on airbnb. since new york city banned airbnb, housing prices have gone up, hotel prices have gone up. the city is now less affordable for travellers, but not more affordable for travellers. so do you respect, though, when cities like new york, like miami, do decide to implement these new restrictions —even if you don't agree that they're going to work? yes. a city has a right to determine, um, you know, how they want to govern, and what they want to restrict and not restrict. let me just say this, though, about, like — take a city like new york. it's not like the city of new york made a decision. if you were to ask broadly the city of new york, i think there's quite a bit of support for airbnb to exist, at least with some restrictions — i don't think the majority
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of people in the city of new york thought a ban was the best solution, it was a bit of a one—size...kind of... it was like a bit of a giant hatchet approach. so i do think there is a more sensible solution. i respect cities' concerns that many cities around the world have not built enough housing, and they need more housing. and i absolutely respect, like, the city's desire to be able to control their destiny. i just want to, again, remind cities that i think we can be part of the solution, not be the problem. you can see more of that interview with the big boss of airbnb on this weekend's talking business with tadhg enright, right here on bbc news. let's take a look at the markets. the european indices are largely flat, digesting the news from the european central bank yesterday that it has made a decision to cut interest rates. investors were largely expecting that new so we haven't seen a huge amount of
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movement there, but will be interesting to see how us markets opened later today, including digesting that news from netflix. stay with us here on bbc news.
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gm
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hello from the bbc sport centre. i'm hugh ferris. it's taken more than 1,000 days, but pakistan have won a home test match, and it was a pretty big one too. they beat england by 152 runs in the second test in multan to level the three—match series. left with the monumental task of chasing 297 on a dusty multan pitch re—used from the first test, england were dismissed for 144 before lunch on day four, with noman ali doing the bulk of the damage on the final day, taking seven of the eight wickets to fall. it is pakistan's first test win on home soil since 2021
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and sets up a series decider in rawalpindi, which starts next thursday. i think pakistan cricket needed it. ,., ., i think pakistan cricket needed it. ., , ., , i think pakistan cricket needed it. personal milestones or personal— it. personal milestones or personal statistics - it. personal milestones or personal statistics can - it. personal milestones or personal statistics can go | it. personal milestones or l personal statistics can go to one side, even if it is captaincy, but i think pakistan cricket needed this win now. we saw a lot of fight over the four days and we are pleased with how people responded. tt with how people responded. it was always going to be a tough task. _ was always going to be a tough task. but— was always going to be a tough task, but we had a massive belief— task, but we had a massive belief we _ task, but we had a massive belief we could go out and do it it — belief we could go out and do it it was _ belief we could go out and do it it was a _ belief we could go out and do it. it was a very difficult run chase — it. it was a very difficult run chase even before we started today — chase even before we started today. on that surface i think we have _ today. on that surface i think we have done a pretty decent job~ _ we have done a pretty decent job~ a— we have done a pretty decent job. a couple of starts. myself included. _ job. a couple of starts. myself included, think a couple of the guys _ included, think a couple of the guys would have liked to have gone — guys would have liked to have gone on — guys would have liked to have gone on and got us over the line — meanwhile, in bengaluru, rachin ravindra's century has put new zealand in a dominant position on day three of the first test against india. having been bowled out for 46 on day two, india needed wickets to limit the damage
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and, although they started the day with a flurry of them, ravindra and tim southee came

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