this well this wall street rallies us markets as record highs are spurred on by optimism over ai. but, there has been a asia and europe, posing a challenge to economic recovery. welcome to world business report. markets have just opened markets havejust opened in markets have just opened in the markets havejust opened in the us after a positive day in wall street. the nasdaq closed at a record high on thursday, bouncing back from losses made in the pandemic. there was also a record close on the snp 500. will we see a similar story today? we now have our north american business correspondent. good to see you. what happened? once where the sun?— where the sun? well, there had been a coule of where the sun? well, there had been a ample of great _ where the sun? well, there had been a couple of great indicators, - where the sun? well, there had been a couple of great indicators, not - a couple of great indicators, not only are the last couple of months, but particularly the last day, highlighting how extraordinary this is. this is the first record we have

seen from the nasdaq since november 21. we have been seeing good news about the stock market because the snp 500, a different index, has actually had a huge string of records, over 12 this year. there are a couple of things contributing to the strong performance generally, and a couple specifically, and when we zoom in on the nasdaq, the biggest thing was the inflation report came out yesterday, a highly watched number that the federal reserve specifically looked at and measures what people actually paying for goods and services. it showed inflation is tempering just a bit. the year over year measure was the smallest increase we have seen in years, and it lends steam to the narrative that inflation might be cooling, and that might do some favours to the market the way investors look at it. more broadly, there is enthusiasm over ai lifting tech stocks, many of which live in the nasdaq. agaii tech stocks, many of which live in the nasdaq-— tech stocks, many of which live in the nasdar. �* , , ., , the nasdaq. ai must be the acronym ofthe the nasdaq. ai must be the acronym of the year- — the nasdaq. ai must be the acronym of the year- we _ the nasdaq. ai must be the acronym of the year. we talk _ the nasdaq. ai must be the acronym of the year. we talk about _ the nasdaq. ai must be the acronym of the year. we talk about the - the nasdaq. ai must be the acronym of the year. we talk about the ai - of the year. we talk about the ai

bubble, do we think the higher sustainable?— bubble, do we think the higher sustainable? ., ., , sustainable? there are a few things to mention. — sustainable? there are a few things to mention, frenzy _ sustainable? there are a few things to mention, frenzy over— sustainable? there are a few things to mention, frenzy over ai - sustainable? there are a few things to mention, frenzy over ai is - sustainable? there are a few things to mention, frenzy over ai is a - sustainable? there are a few things to mention, frenzy over ai is a big l to mention, frenzy over ai is a big deal. to hear the ceo say it is a turning point. this is actually a big moment for investment in al technology. there are a few other factors as well, the strength of the economy, strong growth, strong job markets with low unemployment, and that means people have more spending money. it keeps consumer spending high which keeps... out of the companies reporting earnings so far this quarter, the vast majority, nearly 80%, have had their reports to the upside. good news like that lifts the stock market as a whole underpinning all of this is what the federal reserve might do over the next year. their expectation is we may see three interest rates cut, that excites people and we see that reflected in wall street.— reflected in wall street. thank you ve much reflected in wall street. thank you very much for— reflected in wall street. thank you very much for your _ reflected in wall street. thank you very much for your analysis. -

reflected in wall street. thank you | very much for your analysis. quite a grim day for manufacturing figures around the world. continuing disruption to red sea shipping. that is according to the latest data from snp playback. also, the picture is not much rosierfor asia or europe. we can speak to the head of fx strategy at rabobank. good to speak to you. some people may be wondering why this is important. can you explain? i wondering why this is important. can you “plain?— wondering why this is important. can you exolain?— you explain? i can, thank you for havin: you explain? i can, thank you for having me- _ you explain? i can, thank you for having me. the _ you explain? i can, thank you for having me. the manufacturing i you explain? i can, thank you for- having me. the manufacturing sector you mentioned already weak demand, and that has been the case for a year, perhaps a little bit before that. it was a big surge in demand for manufactured goods when we first went into lockdown, and that petered out as economies reopened and we went to cinemas and restaurants, demanding services. that wasn't the theme last year, lower demand for

manufacturing, high demand for services, and there is evidence that is still the case. if we look at asia, there is chinese data, china makes a lot of our manufactured goods, and we sought slow demand and contraction in the manufacturing pmi, are forward—looking purchases managers index. not all bad news for china, the services index did suggest that there was a little bit of expansion there, but of course, china has been growing very slowly for such an emerging market last year, and next week we are likely to have the forecasts from the chinese government for this year, and again, we are going to have a slow level of growth. that is 5%. it sounds big, but for an emerging economy like china, that is quite a low level. that is why this is a threat for economic recovery around the world. we have to remember china is the largest... sluggish growth in china

affects everybody else. we have to remember that we have over here in europe and in the us since the end of 2021 through 2022 and last year, interest rates have been going up. that has been designed by central banks to slow demand, to cool inflation, and of course, that means slowing growth. the global growth this year is widely estimated to be below average levels as the impact of the policy passes through. that is one of the reasons why demand for manufacturing is weak. we is one of the reasons why demand for manufacturing is weak.— manufacturing is weak. we had inflation figures _ manufacturing is weak. we had inflation figures out _ manufacturing is weak. we had inflation figures out yesterday, | inflation figures out yesterday, they were quite positive, better than expected. this people think rates may go down injune. do you think that pain is a wider picture of it? it think that pain is a wider picture of it? ., , ., ., ., ., of it? it does. the data that we had esterda of it? it does. the data that we had yesterday was _ of it? it does. the data that we had yesterday was a _ of it? it does. the data that we had yesterday was a relief, _ of it? it does. the data that we had yesterday was a relief, yes, -

of it? it does. the data that we had yesterday was a relief, yes, but - of it? it does. the data that we had yesterday was a relief, yes, but it l yesterday was a relief, yes, but it was bang in line with expectations. actually, if you look at the month over month numbers, there was a bit of strength there compared with what we have seen over the last few months. while it is encouraging, that inflation in the us is coming down in the us and other countries, it does seem that the amount of time it does seem that the amount of time it would take to get from where we are at 2.6 in the us to two points in the us might be a bit bumpy and difficult to get inflation down to those levels. there are many reasons for that, and one of the big reasons in most developed countries is a shortage of labour, and when there is a shortage of labour, that means wages go up, and that can stop inflation getting down to those targets, orat inflation getting down to those targets, or at least slowing the pace of the disinflation we have been seeing. it may be central banks have to remain quite cautious this year, and only perhaps cut interest rates in the second half of the year, or when they do start cutting, may be relatively slowly.—

may be relatively slowly. thank you ve much may be relatively slowly. thank you very much for— may be relatively slowly. thank you very much for your _ may be relatively slowly. thank you very much for your analysis. - may be relatively slowly. thank you i very much for your analysis. welcome to bbc news with me. let us begin with a top story this afternoon. a man who killed his ex partner and her new boyfriend in what has been described as a ferocious and merciless knife attack has been sentenced to spend the rest of his life in prison. leeds crown court heard that marcus osborne lay in wait before attacking when she walked through the door he lured another man to the house and murdered him as well. we can out cross to leeds and the correspondence there. what was said in court? the correspondence there. what was said in court? ., , in court? the 'udge said that this was a case — in court? the 'udge said that this was a case of— in court? the judge said that this was a case of exceptional - was a case of exceptional seriousness. she said that what marcus osborne did was horrific. he

forced his way into her house while she was out, and other women and several children were in the house, and waited there for her as soon as she came home he attacked her with a bread knife. he stabbed at nearly 100 times. he attacked her in the face and disfigured her. then, he took a phone and used that to trick the man she had been out with that evening around to the house. the man came via a side door that is the main door, of course, that was where her body was. he tricked him into coming into the house through the side door and then attacked steven harnett and mutilated his body. after that, harnett and mutilated his body. afterthat, he harnett and mutilated his body. after that, he had a bath, and then he raped the other woman in the house. it was a whole catalogue of appalling crimes in court, marcus osborne showed no sign of remorse or

anything, in fact, osborne showed no sign of remorse or anything, infact, he osborne showed no sign of remorse or anything, in fact, he shouted at the family of the victims and they shouted back: we hope you rot in hell. i have to say, this is a case that we reported and have investigated for some time, and we reported a few days ago that katie higton has been to west yorkshire police several days before marcus osborne murdered her because he had been threatening her, and she told them that he had said if he or she ever got a new boyfriend, he would kill them both. west yorkshire police, we reported, did arrest and release marcus osborne after serving him with a special kind of protection notice which was to stop him approaching katie higton for the house. he disregarded that. so, the crime, the aftermath, it has left many questions, and certainly, steven harnett�*s family said that they felt west yorkshire police had failed to protect steven harnett and katie higton. that

failed to protect steven harnett and katie higton-— katie higton. that was live from leeds. thank _ katie higton. that was live from leeds. thank you. _ katie higton. that was live from leeds. thank you. now, - katie higton. that was live from leeds. thank you. now, over i katie higton. that was live from | leeds. thank you. now, over the katie higton. that was live from - leeds. thank you. now, over the next hour, we will be hearing live from rishi sunak as he addresses the scottish conservative conference in aberdeen. he is expected to say that only the conservatives can be trusted to protect vitaljobs in the north sea, claiming his government support for the oil and gas sector will help to build a brighter and greener future. will help to build a brighter and greenerfuture. he will will help to build a brighter and greener future. he will be on stage soon, he is not there at the moment, but once he gets to the podium, we will bring you that speech live. we will bring you that speech live. we will stick with politics now and turn to the rochdale by—election where veteran left—wing politician george galloway swept to victory after a campaign focused on the war in gaza. he won a majority of more than 5500. labour had disowned its candidate for suggesting israel was complicit in hamas's attack on october the 7th. george galloway

declared his victory was for the palestinian cause in gaza. our political correspondent reports from rochdale. . ., political correspondent reports from rochdale. , ., ., ' 11:11: rochdale. george galloway, 12,000... a cam aiun rochdale. george galloway, 12,000... a campaign that _ rochdale. george galloway, 12,000... a campaign that drowned _ rochdale. george galloway, 12,000... a campaign that drowned out - rochdale. george galloway, 12,000... a campaign that drowned out the - a campaign that drowned out the mainstream party. george galloway basking in his win and immediately claiming it as a victory for the palestinian people. keir starmer, this is for gaza. _ palestinian people. keir starmer, this is for gaza. ever _ this is for gaza. ever controversial. - this is for gaza. ever controversial. crewe| this is for gaza. ever - controversial. crewe george galloway, you won't... his speech was interrupted by environmentalist campaigns while the society of anti—semitism so that they are concerned by his rhetoric. george galloway will continue to define himself in opposition to labour. this is going to spark a movement, a

landslide, a shifting of the tectonic plates. labour is on notice that they have lost their confidence of millions of their voters.- of millions of their voters. labour had effectively — of millions of their voters. labour had effectively pulled _ of millions of their voters. labour had effectively pulled out - of millions of their voters. labour had effectively pulled out of - of millions of their voters. labour had effectively pulled out of the l had effectively pulled out of the contest, withdrawing support for their candidate after recording emerged of him apparently making anti—semitic remarks. after ending up anti—semitic remarks. after ending up in fourth place with less than 8% of the vote, the party claimed it could have won.— of the vote, the party claimed it could have won. galloway only won because labour— could have won. galloway only won because labour didn't _ could have won. galloway only won because labour didn't stand - could have won. galloway only won because labour didn't stand a - because labour didn't stand a candidate. i regret we had to withdraw our candidate and apologised to voters in rochdale, but i took that decision. it was the right decision, and when i say i have changed the labour party, i mean it. obviously, we will put a first—class candidate, a unifier, before the voters in rochdale at the general election. the before the voters in rochdale at the general election.— general election. the independent candidate, 6600... _

general election. the independent candidate, 6600... first _ general election. the independent candidate, 6600... first and - general election. the independent i candidate, 6600... first and second lace candidate, 6600... first and second place when — candidate, 6600... first and second place when a — candidate, 6600... first and second place when a candidate _ candidate, 6600... first and second place when a candidate not - candidate, 6600... first and second place when a candidate not backed l candidate, 6600... first and second. place when a candidate not backed by when smith and the parties. # westminster parties. they got more votes than the labour and conservative candidates combined. it conservative candidates combined. ht is conservative candidates combined. ut is quite important to obviously keep showing up and doing what they do, so yes, it would be nice if there were a snowball effect, and people in the communities and towns across the country did stand up and do the same. . ., . . the country did stand up and do the same. , ., , , ., the country did stand up and do the same. , .,, , ., ., ., ., , same. this has been an extraordinary by-election — same. this has been an extraordinary by-election which _ same. this has been an extraordinary by-election which has _ same. this has been an extraordinary by-election which has produced - same. this has been an extraordinary by-election which has produced an i by—election which has produced an extraordinary result, one which will do little to dampen the divisions within our politics on israel and gaza. well, few politicians can whip up gaza. well, few politicians can whip up a crowd or generate controversy quite like george galloway. the maverick politician who once saluted saddam hussein has now represented for towns and cities in parliament and three different political

parties in his colourful a0 year career. our political correspondent takes a look. george galloway has a knack for attracting controversy. he has been elected to parliament six times before. as a labour mp for part of glasgow he was an outspoken critic of war in iraq from the start. ,, ,., , ., _, ., start. sir, i salute your courage, our start. sir, i salute your courage, your strength. — start. sir, i salute your courage, your strength, your _ start. sir, i salute your courage, | your strength, your indefatigable itty. your strength, your indefatigable i . , ., , your strength, your indefatigable itty. these words to saddam hussein in the 1990s — itty. these words to saddam hussein in the 1990s drew— itty. these words to saddam hussein in the 1990s drew heavy _ itty. these words to saddam hussein in the 1990s drew heavy criticism. i in the 1990s drew heavy criticism. george galloway was expelled from labour in 2003 after saying british troops should not obey orders in iraq. troops should not obey orders in iran. �* , troops should not obey orders in ira. _ �* , ,., troops should not obey orders in iran. �* , ._ troops should not obey orders in ira. �* , ., ., iraq. are very painful day for me to be laced iraq. are very painful day for me to be placed in _ iraq. are very painful day for me to be placed in what _ iraq. are very painful day for me to be placed in what is _ iraq. are very painful day for me to be placed in what is a _ iraq. are very painful day for me to be placed in what is a show- iraq. are very painful day for me to be placed in what is a show trial. i be placed in what is a show trial. two years later, he beat a labour mp to win at bethnal green and bow for the respect party. he lost it in

2010 but returned again in a by—election in 2012, this time for bradford west. some supporters feel his finest moment came in the us senate, when he took on accusations he had profited from illicit oil deals. t he had profited from illicit oil deals. ., ., ._ he had profited from illicit oil deals. ., ., , he had profited from illicit oil deals. . ., , . , deals. i am here today, but last week, deals. i am here today, but last week. you've — deals. i am here today, but last week, you've already _ deals. i am here today, but last week, you've already found - deals. i am here today, but last week, you've already found me | week, you've already found me guilty. you introduced my name around the world —— traduced —— without having asked me a single question. fish without having asked me a single cuestion. �* ., , , ., ., . ., without having asked me a single cuestion. ., ., . ., . , , question. an appearance on celebrity bic question. an appearance on celebrity bia brother question. an appearance on celebrity big brother while _ question. an appearance on celebrity big brother while an _ question. an appearance on celebrity big brother while an mp, _ question. an appearance on celebrity big brother while an mp, here - big brother while an mp, here pretending to be a cat, provided a memorable moment of a different kind. in 2019, he was sacked as a presenter on talk radio over anti—semitism accusations and joined russia today, the kremlin backed tv channel. george galloway is undoubtedly a powerful public speaker, but one whom his critics say arouses division. the polling expert who is professor of politics

at the university of strathclyde gave me his