i'm ben thompson and we're going to start in the united states. president biden�*s government says it's throwing billions of dollars more into the global battle over computer chips. many countries are trying to get ahead in an industry that is crucial to the future of the global economy, powering everything from electric vehicles to artifical intelligence. vehicles to artificial intelligence. $8.5 billion is going directly to the chip—maker, intel, to help it make more chips in the us. it's also getting billions more in loans. the aim is for 20% of the world's computer chips to be made in the us within a decade. our correspondent, erin delmore, is in new york. she is there for us live. took us through the announcement today. then, if you say the goal is 20% of us chip production to be the share of the world's chip production, think about where we are now, hovering around 12%, that was the

last measure in 2020. when we hear about that 20% goal, that is something that has been articulated pointedly by the congo secretary, gino mondo, and this is the information we are getting from intel, her department, the chips act, representing a huge many billion—dollar investment in research of chips and development and manufacturing. what we're seeing today the announcement of a preliminary agreement with intel, the largest share of the chip act we have seen yet, up to $8.5 billion to go to new factories and expansion projects, specifically in four states, arizona, new mexico, oregon and ohio. the big goal is to reduce american chip—making and to make american chip—making and to make america the big global leader. yes. america the big global leader. yes, and that is the _ america the big global leader. yes, and that is the point, _ america the big global leader. yes, and that is the point, isn't it? it is such a key industry right around the world, but america wants to get a bigger slice of it and one assumes reduce its dependency on imports from elsewhere? find reduce its dependency on imports from elsewhere?— from elsewhere? and that is important — from elsewhere? and that is important to _ from elsewhere? and that is important to the _ from elsewhere? and that is

important to the american i from elsewhere? and that is _ important to the american government for a couple of reasons now. think about the importance of these chips. they power computers, smartphones, cars and advanced chips tired and inherently to the competition we are seeing over aia development because they are needed for the production of that technology. recently we have seen a lot of chip production moved to asia and one goal here with the biden administration is to reduce the us�*s reliance on other countries. i will also mention this as a core part of biden�*s economic agenda, to be talking aboutjobs being created in america, revitalising american industry. it is not lost on me that he is appearing in a battleground state today, arizona.— appearing in a battleground state today, arizona. interesting times. alwa s today, arizona. interesting times. always good _ today, arizona. interesting times. always good to — today, arizona. interesting times. always good to see _ today, arizona. interesting times. always good to see you, - today, arizona. interesting times. always good to see you, erin - today, arizona. interesting times. - always good to see you, erin delmore there in new york. it's another one of those weeks where some of the world's most important central banks tell us their latest thinking on how much it should cost to borrow money. injust over three hours' time we're going to hear from the us federal reserve, the most influential of them all, and the impact will be

felt notjust in the us, but by everyone else that borrows in us dollars. the cost of borrowing is set to stay at a range of 5.25%—5.5%, but what economists are really watching is any signals that the chair, jerome powell, gives about the way ahead. inflation — the rate at which prices are rising — is at 3.2% after rising last month in america and is proving rather stubborn to get back to the 2% target. and that's similar to other countries. in the uk we heard a few hours ago that inflation fell to 3.4% — the lowest in two and a half years — but also above a 2% target. and that comes ahead of the bank of england's interest rate decision on thursday. let's talk first about what could happen in the us. claudia sahm is a former federal reserve economist who is now an independent consultant and joins us from washington. good to have you with us. we are not expecting a cut by the federal

reserve, but once again it is that guidance that is so important. are we expecting any change to that idea that there could be three moves on rates, given what we are seeing with inflation? . , ., , , inflation? that is absolutely in -la and inflation? that is absolutely in play and again. _ inflation? that is absolutely in play and again, as _ inflation? that is absolutely in play and again, as you - inflation? that is absolutely in play and again, as you said, . inflation? that is absolutely in play and again, as you said, it| play and again, as you said, it guidance the federal reserve they are giving about what they are likely to do or what individual members of them think we are likely to do and yet the federal funds's rate is not changing today. the borrowing rate for consumers and businesses absolutely could change today, is we havejust businesses absolutely could change today, is we have just two of the participants move their... i think it would be appropriate to have two cuts, as opposed to three... rates are going up today for people and evenif are going up today for people and even if the fed stays padded, it is a very unfortunate circumstance because for a lot of reasons we shouldn't be looking at the dot... to decide whether people have enough to pay for their mortgage, yet that is the reality. to pay for their mortgage, yet that is the reality-— to pay for their mortgage, yet that is the reality-_ is the reality. yes, and all that is driven by prices _

is the reality. yes, and all that is driven by prices continuing - is the reality. yes, and all that is driven by prices continuing to - is the reality. yes, and all that is i driven by prices continuing to rise, of course, and that inflation is proving to be pretty sticky that many central banks around the world are finding it so difficult to deal with it. but it is a bit of a mix. it is not across the board, so all central banks are having to balance their demands and expectations based on some of these indicators are moving in very different directions when it comes to what is going up and by how much? first when it comes to what is going up and by how much?— when it comes to what is going up and by how much? first thing i would sa is the and by how much? first thing i would say is the federal— and by how much? first thing i would say is the federal reserve _ and by how much? first thing i would say is the federal reserve uses - and by how much? first thing i would say is the federal reserve uses the l say is the federal reserve uses the personal consumption index, that price index for its target measure, not the consumer price index, the cpi that you talked about previously, and they look at it, inks excluding food. that measure has continued to move down within less and a percentage point of their 2% target, so yes, it has been disappointing the last couple of months and frankly inflation has been disappointing across the world for well over two or three years, so yes, inflation is a big concern. in the united states we have also seen in the past two months and pretty

disappointing numbers in retail sales, so again, this is a conflict thatis sales, so again, this is a conflict that is going on across the globe in terms of inflation is still high and yet things are slowing down in the economy and some countries in europe, we are talking about in a recession orflirting europe, we are talking about in a recession or flirting with one at this make the jobs of all central banks very difficult. the timing of the cuts will likely differ because under the hood, with inflation and a labour market, there are differences and yet, broadbrush, we are facing the same challenge. yes and yet, broadbrush, we are facing the same challenge.— and yet, broadbrush, we are facing the same challenge. yes and also as a auoin to the same challenge. yes and also as a going to a — the same challenge. yes and also as a going to a big _ the same challenge. yes and also as a going to a big election _ the same challenge. yes and also as a going to a big election year - the same challenge. yes and also as a going to a big election year for - a going to a big election yearfor many developed economies around the world, central banks pride themselves on their independence, but there is increasing pressure on politicians to make the economy look a bit more palatable for those voters? ~ , ,., , a bit more palatable for those voters? ~ , , ., voters? absolutely, for the politicians. _ voters? absolutely, for the politicians. the _ voters? absolutely, for the politicians. the federal- voters? absolutely, for the - politicians. the federal reserve as an institution will not put a farm on the scale intentionally with the election. they are going to make their decisions as they see best, given economic conditions and given their mandate of price stability and

maximum employment. and yet the decisions that the federal reserve makes, particularly if we were to go into a recession later this year, will have a huge effect on the election. but that is a side effect. they are not focused on that, they are not trying to help decide. but they will. are not trying to help decide. but the will. �* , ., ., they will. always good to have the reverse, thank _ they will. always good to have the reverse, thank you. _ they will. always good to have the reverse, thank you. we _ they will. always good to have the reverse, thank you. we will- they will. always good to have the reverse, thank you. we will see i they will. always good to have the i reverse, thank you. we will see what happens. we will talk again soon, sure. claudia sahm there, thank you. the war in ukraine is continuing to have a major impact on the food that we eat. it's pushed prices up and disrupted the flow of everything from wheat and sugar to eggs and poultry. and it's why the european union has agreed new restrictions on how much of that stuff can come into the bloc from ukraine. farmers in many eu countries have been unhappy when restrictions were eased because of the war — it meant too much produce was coming into the eu and pushing prices down. polish farmers are continuing their protests, they are noisy protests, a little like that. joining me now is arnaud petit,

executive director of the international grains council. good to have you with us. talk to me about the potential implications of any restrictions, given what the eu is now saying?— is now saying? first of all, it is a discussion _ is now saying? first of all, it is a discussion and _ is now saying? first of all, it is a discussion and may impact - is now saying? first of all, it is a | discussion and may impact things like the maize market, that is what the commissioners have been discussing for the time being and the question for you is more, how to avoid a collapse of the domestic market for wheat in particular and feed wheat, which is the main feed for the livestock sector. so having these controlling players, more trust ability needs to be in place to know the volumes and where it is going on, but it doesn't mean it will trigger a straightforward cut for the import to the eu. as we have seen less import from wheat and maize particularly from ukraine and from sardinia. haifa maize particularly from ukraine and from sardinia.— maize particularly from ukraine and from sardinia. ., ., , ., , ., from sardinia. how does the european union balance — from sardinia. how does the european union balance its _ from sardinia. how does the european union balance its responsibilities - union balance its responsibilities to be able to support the economy of ukraine, whilst also protecting its domestic farmers? because we know at

this time of year there is a danger that some of those ukrainian farmers may sell at below cost price just because they need the money. indeed, that is the main _ because they need the money. indeed, that is the main risk— because they need the money. indeed, that is the main risk today, _ because they need the money. indeed, that is the main risk today, having - that is the main risk today, having these ukrainian farmers looking for cash to buy fertiliser things to protect their crops and things to go on the field and do their work. in the ukrainian grained industry, it is really carefully exporting outside the eu, 60% of wheat from ukraine that is exporting as night—time maize and even now they are exporting to parts asia, so it is a possibility for grain producers to export their grains more far where there is a real market, it is a good price and maybe that is the best way to support the ukrainian economy. best way to support the ukrainian econom . , ., best way to support the ukrainian econom . , . ., economy. yes, and when we look at production — economy. yes, and when we look at production for _ economy. yes, and when we look at production for the _ economy. yes, and when we look at production for the eu _ economy. yes, and when we look at production for the eu as _ economy. yes, and when we look at production for the eu as well, - economy. yes, and when we look at production for the eu as well, that l production for the eu as well, that getting back on track, so perhaps less need for imports, but at the

same time those sourcing that raw material will look for the cheapest price, what they? given what we are seeing with cost pressures right across the industry?— seeing with cost pressures right across the industry? yes, for the time being, the _ across the industry? yes, for the time being, the market - across the industry? yes, for the - time being, the market environment is very under pressure, it is very as we say bearish conditions, whereas there are a lot of brains are due to competition between originations. a lot of greens because... we assume that is 25 million, compared to last year, we export it in the global volume of greens... and next year we might face another situation where we are forecasting production in the eu, but also in the black sea region in decrease and that means we might have less need to import i would say wheat from the black sea and more looking at origination from argentina or australia. it is good to have you _ argentina or australia. it is good to have you with _ argentina or australia. it is good to have you with us, _ argentina or australia. it is good to have you with us, thank - argentina or australia. it is good to have you with us, thank you i argentina or australia. it is good l to have you with us, thank you for talking as to that, arnaud petit fair, executive director of the international grains council. thank

you for your time thank you for having me on. some other business toys for you this hour. sales at luxury brand gucci are expected to drop 20% in the first quarter of the year. the news sent shares in the company's owner, the luxury conglomerate kering, down 14% and wiping over $7 billion off the group's value. the drop in sales is blamed on a much steeper decline than expected in the asia pacific region. the warning contrasts with rivals lvmh and hermes, whose sales have remained resilient. pakistan has reached a tentative deal to unlock a $1.1 billion tranche of an international monetary fund bailout deal. the country has been experiencing an ongoing economic crisis with soaring inflation and last summer agreed a $3 billion bailout deal with the imf to avoid defaulting. the bakery chain greggs has been hit by an it problem forcing some stores to shut or go cash only. it follows card payment outages at the supermarkets sainsbury�*s and tesco on saturday,

and mcdonald's last friday. greggs told the bbc a technical issue had affected tills in some shops, but that the majority of shops affected are now able to take card and cash payments again. you are up—to—date. we will see you for another edition of world business report very soon, goodbye!

hello from the bbc sport centre. i'm olly foster. a spanish court has ruled that the former barcelona and brazil footballer dani alves can be conditionally released from jail on a i million euro bail pending an appeal against his conviction for rape. the ao—year—old has served about a quarter of his ir.5 year sentence. he has been detained since january last year after being charged with raping a woman in a barcelona nightclub in december 2022. he was found guilty of the offence

at trial last month. his bail conditions include relinquishing both his brazilian and spanish passports, so he cannot leave the country and an obligation to appear before the court on a weekly basis. the former world tennis number one, caroline wozniacki, says simona halep shouldn't have been given a wild card into the miami open after her doping ban and needs to work her way up from the bottom again. this was halep's first tournament since having a four—year doping ban — that started in october 2022 — reduced to nine months on appeal. that meant that she could play again straightaway. she won the first set of her match against spain's paula badosa, but lost in three. halep, a two time major champion, blamed contaminated supplements for her positive test in 2022, for a blood boosting drug and earlier this month the court of arbitration for sport accepted that she had unwittingly

doped and freed her to play again.