let's welcome back james bevan. hen you see the types of losses on european markets like this morning, down around 2.5%, the ftse one of the better performers down by 1.9%, is that overdone? are we too fearful of what happens in the chinese stock market, when maybe we shouldn't? james: i think the key issue for investors right now is whether we are facing another panic, if we are in an extended bull market, or are we are beginning to see the first times we will experience in a bear? i think that we need to see overvalued markets, and we need to see a structural shift in the way that markets operate. i don't think that markets are sufficiently overpriced to justify anything more. to me, prices will come back up, and we will reach new highs. a lot of viewers think i have lost the plot, but this is an environment where it is clear that u.s. stocks are on crazy multiples but let's unpack the math. amazons, netflix -- if you take the compressed oil stocks, which look at expenses because earnings have fallen more than pric

we were talking to james bevan.was saying it does not matter if we have 31 or 29 but it may have an impact on certain technical levels. the more you talk about negative headlines, the more it may impact trader psychology. so, the oil rout claiming another victim. this time miner bhp as having to make a hefty write-down on its shale assets. joining us is our committee -- reporter.ities what is the background for the world's biggest miner? jesse: they've been having a tough time. they bought these assets in 2011. $20 billion going long on u.s. shale. at the time, that was well received by the market. oil prices went higher. against the backdrop of waning commodity prices across the board. commoditye that when drops you will see these kinds of write-downs. but what perhaps it does do is -- reignite debate of whether or not bhp should be a natural owner over energy assets. francine: what does it mean for management? se: and put some under further pressure. it makes a decision around sustainable dividend, and may come qu

let's chat with james bevan all about these things. hi, james. a relief rally.uy into that lovely i said earlier. it has risen by 16%. are we heading for a big rally or not? james: i worry about these extrapolations. we have the worst record ever for the first week in january for the s&p 500, even worse than 2008. for me, it's all about fundamentals. what we saw at the beginning of the year was a degrading of securities when it was a significant down drop in the earnings numbers. i'm absolutely of the view that we are still in a bull market. we've had a correction from which there will be a sustained rally. mark: the outlook for earnings as much aseriorated the selling implicitly discounts. james: i see this as an excellent long-term buying opportunity. prices will had lower before they had up for a sustained period. i don't believe we are heading for a bear market. betty: why is that? sign: i see absolutely no we will face a global recession. report revenue growth of performing and quite good earnings numbers and that will allow entities to demonstrate continue