Investors to rethink how they value the company and shares have lost more than 40 of their value so far this year so we can now get the latest with eric delmore in new york erin. There is a big question about whether tesla is a car company or a tech company . Or a tech company . Exactly, it is the reversal or a tech company . Exactly, it is the reversal from or a tech company . Exactly, it is the reversal from what or a tech company . Exactly, it is the reversal from what we or a tech company . Exactly, it is the reversal from what we used l or a tech company . Exactly, it is. The reversal from what we used to see from tesla because the questions used to circle around whether they could make enough cars to meet demand but now the question is more like, are there enough people who want to buy them . It has been a tough yearfor them want to buy them . It has been a tough year for them with shares down more than 40 and this reflects what the company has had to weather, competition from china, byd which overtook tesla briefly as the top make in the country, falling sales and cutting prices, a fire at a Production Centre in germany, and also supply chain issues stemming from the red sea conflict. The company has announced lay offs and it is worth mentioning that it is earning seizing with 33 of the snp 500 Companies Reporting this month earning season. 500 Companies Reporting this month earning season. Earning season. While you are with us, talk earning season. While you are with us, talk about earning season. While you are with us, talk about the earning season. While you are with us, talk about the strength i earning season. While you are| with us, talk about the strength of the dollar, and given everything we have seen from the third, that Interest Rates may stay higher for longer, and the strength of the us economy, that has kept the dollar pretty strong, so not good news for everybody but what does it tell us . It is reflective of a big couple of undercurrents in the us economy, and a bit of a reversal story because at the beginning of the year the expectation was that the dollar would decline but at the beginning of the year we have the expectation that the Federal Reserve would cut Interest Rates a couple of times and earlier than what we are seeing now, the expectation is the earliest being june, this is a note on how the us economy has proved resilient and strong in the face of tough economic headwinds including persistently high Interest Rates and it was a bit of a commentary on how the us seems to have swerved away from this widely predicted recession that everybody was so sure was coming. When we talk about the third, the higherfor longer stance third, the higher for longer stance they third, the higherfor longer stance they have embraced actually pumps up they have embraced actually pumps up the dollar and attracts foreign investment, the dollar is seen as a Safe Haven Currency and that becomes especially true and appealing to investors when we see geopolitical shocks all around the world. Erin. Shocks all around the world. Erin, thanks for shocks all around the world. Erin, Thanks Forjoining shocks all around the world. Erin, Thanks Forjoining us. Shocks all around the world. Erin, Thanks Forjoining us. While the dollar is strengthening, the pound is weakening. That is good news for the Ftse 100 Index because it is weakening. That is good news for the ftse100 index because it means earnings made in foreign currencies look better in the uk. The list reached a new record price at closing last night and has reached a new record today. A record high of 8000 14. 3, new record today. A record high of 8000 1115, loss saw that in february of last year. This fresh all time high is being driven by a weaker pound and the tensions in the middle east. The indexjust ending pound and the tensions in the middle east. The index just ending the day slightly higher so another record session closing this afternoon. We can talk to bob parker, another good couple of days for the ftse100, so what is driving the strength right now . � ,. , what is driving the strength right now . � ,. What is driving the strength right now . � ,. ,. ,. , now . Lets have a look at the background now . Lets have a look at the background and now . Lets have a look at the background and you now . Lets have a look at the background and you have now . Lets have a look at the background and you have to l now . Lets have a look at the background and you have to emphasise how badly the ftse has underperformed over the last three years, the last five years, and if we just look at the last year, the Global Equity index is, in sterling, about 22 up, and the ftse is about only 9 up, so the first point to make is that there is a Catch Up Effect going on and what has been a badly underperforming market, investors are now looking at this, saying it is cheap, the Price Earnings Ratio is very low on the ftse and the uk Equity Markets generally compared, about half the value of the us market, so investors say we are under 0 the uk market, it is very very cheap and it is now attracting funds. 50 is very very cheap and it is now attracting funds. Is very very cheap and it is now attracting funds. So how long does it last until it attracting funds. So how long does it last until it gets attracting funds. So how long does it last until it gets to attracting funds. So how long does it last until it gets to somewhere l it last until it gets to somewhere that looks a little more normal or certainly to a value that would be deemed to be acceptable . If rare certainly to a value that would be deemed to be acceptable . If we look at the priceearnings deemed to be acceptable . If we look at the priceearnings ratio, deemed to be acceptable . If we look at the priceearnings ratio, the at the Price Earnings Ratio, the ftse is at about 11 and the standard poor� s in dogs is about 20, and european equities at about 13 and 14 Index European Equities at about 13 and 14 index is about 20. There are a number of positive factors and you mentioned sterling weakness, and against the dollar that continues, and inflation has come down and is probably going to come down further. Most importantly, Earnings Numbers which last year were very bad indeed, and if we look into 2025, corporate Earnings Numbers are progressively going to be improving and of course the Growth Numbers for the uk economy have gone from being recessionary to i think modest growth, and we had last week the imf meeting where they are only forecasting 0. 5 growth for the uk but if they are wrong that is because growth will turn out closer to 1 , so that background and the Earnings Background are positive and the market has been very under owed and in an environment where investors are looking more at value and high dividend defensive stocks, the uk stands out as an attractive market. So that is a long way of saying there is more to go. That is my question saying there is more to go. That is my question about saying there is more to go. That is my question about the saying there is more to go. That is my question about the way saying there is more to go. That is my question about the way that i my question about the way that developed economies are diverging right now, we have talked for so long about inflation being high to keep a lid on rising prices and the us possibly is holding off cutting rates but the uk could go sooner, couldnt it . Couldnt it . You have made an important couldnt it . You have made an important point couldnt it . You have made an important point which couldnt it . You have made an important point which is couldnt it . You have made an i important point which is whereas last year Central Banks all moved very much in line with each other, now that has now changed to a man you are right to say that the Federal Reserve will delay Interest Cuts and the first might be september, certainly not injune, but the European Central bank will probably cut injune and along with it, high probability that the Bank Of England moves as well. The Bank Of England moves as well. The Bank Of England moves as well. The Bank Of England and the ecb, high probability that those Central Banks will cut Interest Rates more than the Federal Reserve, and that implies that the strong dollar stays strong. Implies that the strong dollar stays stroni. ,. ,. , implies that the strong dollar stays stron. ,. ,. ,. ,. Implies that the strong dollar stays stron. N,. , w strong. That is one to watch. Bob, thanks for strong. That is one to watch. Bob, Thanks Forjoining strong. That is one to watch. Bob, Thanks Forjoining us. Strong. That is one to watch. Bob, Thanks Forjoining us. Now strong. That is one to watch. Bob, Thanks Forjoining us. Now to Thanks Forjoining us. Now to australia. And its wine industry, where producers are relieved chinas lawmakers have ended its tariffs on australian wine which led to a supply glut down under. But rekindling the business with the worlds second largest economy, is going to take some time and effort, as phil mercer reports from sydney. The world has a taste for wine from australia. Its celebrating the lifting of duties imposed by what was its most valuable customer, china. But rebuilding a booming trade will take time. Oh, i think therell be a lot of work. And the chinese industry is so much built on relationships as well. And having that time out of the market has meant that other people have stepped into those gaps that we left. So rebuilding those relationships will be a huge part of getting back into china. Big challenges remain, even though the tariffs are being lifted. The diplomatic row between beijing and canberra cost australia its biggest overseas wine market. The value of its exports to china fell from more than 600 million at their peak to just under 7 million last year. But here in the hunter valley, there is a determination to try to claw back much of what was lost. A consequence of chinas restrictions is a huge glut of wine in australia, estimated to be the equivalent of more than 850 0lympic swimming pools. Growers have had to look elsewhere. Weve put a bit of effort and time into exploring newer markets such as vietnam, south korea, india and japan. And i think thats been welcome. I guess a Silver Lining from the i guess the stress that these tariffs have put on the australian wine industry. Despite the tariffs, overall trade has been growing. China has, for example, still relied on australia for iron ore thats used in steel making. Those diplomatic tensions appear to be easing. The Chinese Foreign minister, when he came, said that the parties should be able to rise above their disagreements. So i think thats i really significant. Theres goodwill on both sides and a joint desire i to continue to engage and improve the relationship. China knows australian wine. They have a history of buying australian wine and even if it doesnt come back at the size that it was prior to these tariffs, its still great news for the australian wine industry. And winemakers like to think that their glass is half full and not half empty. Phil mercer, bbc news, in the hunter valley. In other news. Apple is facing a decline in high end Smartphone Sales in china, when compared to its rivals. Iphone sales fell i9 in the First Quarter of this year, while huaweis grew by 69 , according to tech data analysts, counterpoint research. The data suggests that apples dominance in the Worlds LargestSmartphone Market could be under threat. The Music Streaming Platform Spotify has reported its earnings for the last three months showing a return to profit. Premium subscribers, who account for most of the companys revenue, rose by 14 to 239 million despite the swedish Music Company spending less on Marketing Activities to draw in more listeners. Those are the top Business Stories this hour. You are watching bbc news. This is bbc news. Chinas Weather Agency has raised highest alert ever after days of heavy rain caused massive flooding in the most popular province in the country. Four people have died so far and ten are missing according to state media. Laura bicker has more. Powerful storms across Southern China turned rivers into raging torrents. Roads became fast Flowing Rapids Cascading Down Village Streets as hail the size of golf balls fell from the sky. Watch the right hand corner of the security camera. The bridge simply couldnt withstand the sheer force of the flood. The destruction became clearer in daylight, as did the number of people left stranded. Some almost managed to sleep through their rescue, cradled from the worst of the rising floodwaters. But others cried for help as their streets were submerged. Rescuers had to navigate their boats through a flooded urban landscape. Tens of thousands of people were evacuated across the province. Several regions stayed on alert as water levels rose over the weekend, drowning dozens of crops. 61 year old huangjing rong couldnt save his farm from being swamped. Translation it was my home. Everything is gone, all the seedlings are gone. I lost over 13,000 us dollars. 0ur fields over there are all flooded. Guangdong is prone to floods, but not this early in the year. Weather events in china have become more intense and unpredictable due to global warming. In guangdong, the clean up can begin. Officials will continue to monitor water levels in the hope that for now the worst has passed. Laura bicker, bbc news, beijing. Nasa says its voyager 0ne probe, the most distant man made object in the universe, is sending usable information to earth again after months of spouting gibberish. The spaceship left the solar system in 2012, and is currently more than 15 billion miles from earth but it can still send data back. 0ur science Correspondent Victoria Gill explains. Actually, Drjenifer Millard is an astronomer at fifth star labs. Shesjoining us from barry, wales to tell us more. Talk us through what was going wrong . Talk us through what was going wron . ,. Talk us through what was going wron. . ,. ,. , wrong . These began in november, when the craft was not wrong . These began in november, when the craft was not sending wrong . These began in november, when the craft was not sending back the craft was not sending Back Anything that we could unravel on earth, it was all nonsense. It seems to have been a hardware problem, one of the chips on board, part of the fight data system, one of the computers on board, has broken, and it is not surprising for something thatis it is not surprising for something that is four and a has been operating for nearly three and has been operating for nearly three and a half decades longer than it should have, so it means the code that was in the chip was not working properly four and a half years old. It has now been fixed and we can get some sensible data back from the probe. Soon they will make some more Software Adjustments and we should get some lovely science data back. Incredible thing. First of all the process of basically repairing something so far away, in simple terms, how did they do this . It is not a physical terms, how did they do this . It 3 not a physical repair, we cannot get to the probe and swap out the older chip and put in a new one, so we have had to be a bit clever and nasa have had to be a bit clever and nasa have had to be a bit clever and nasa have had two instead of using this particular part of the microchip out of the commuter to operate the commands, they are using different parts of the chip to use the software out of the computer. So they have ignored that little bit of they have ignored that little bit of the computer, using different parts of the computer. 50 the computer, using different parts of the computer. Of the computer. So what is it sendin of the computer. So what is it sending back . Of the computer. So what is it sending back . What of the computer. So what is it sending back . What kind of the computer. So what is it sending back . What kind of. Sending back . What kind of information is it beaming all the way back to earth . That information is it beaming all the way back to earth . Information is it beaming all the way back to earth . At the moment it is health and way back to earth . At the moment it is health and engineering way back to earth . At the moment it is health and engineering data, way back to earth . At the moment it is health and engineering data, so i is health and engineering data, so is health and engineering data, so is Everything Else working, is the probe where we think it is and is it pointing in the right direction, things like that. No science