Image source, Getty Images

Oil prices have recovered a bit in Asian trading. 

US West Texas Intermediate was up 73 cents at $38.24 a barrel.

North Sea Brent Crude was up 58 cents at $40.84 a barrel.

A report on Monday showed a surprise fall in US stocks of crude oil. Prices were also supported by a surprise rise in Japanese machinery orders.

Crude oil prices have fallenby almost two-thirds since 2014, but the industry is still producing up to 2 million barrels a day more than global demand.

Reuters news agency reports that Pira Energy estimates that onshore crude oil storage will run out in the first quarter of 2016.

Today Programme
BBC Radio 4

By slashing its workforce by 85,000, Anglo American is setting a precedent, says Claus Vistensen, chief eurozone economist at Pantheon Macroeconomics.

He tells the Today programme that all companies in the sector are "battening down the hatches", preparing for a world in which they will make a lot less money over a long period of time.

He adds that the problem is that since these companies have a lot of debt, and as commodity and oil prices globally fall, they get squeezed. 

BBC Radio 5 Live

Image source, PA

Last year Maplin sold 10,000 drones, this year chief executive Oliver Meakin expects to double that to 20,000.

He tells Wake Up To Money that people are trading-up to more expensive drones, with this year's best-seller costing £1,200.

While drones may dominate in terms of the value of sales for Maplin, the humble AA alkaline battery will be the biggest seller by volume.

Mr Meakin is optimistic about the prospects for the High Street. He has opened 25 shops in the last three years and there are 30 or 40 locations where they would like to have a shop.

Online is "brilliant" if you know what you want, but in many cases customers want to come in for advice he says.

BBC Radio 5 Live

Mike Thorlen, economics director UK Oil & Gas, discusses the effect of the fall in oil prices.

He says the oil sector is about 15% smaller and has lost around 65,000 jobs due to a slowdown in activity.

He says that at the start of the year 20% of UK oil production was not making any money. Since then companies have lowered their production costs.

Goldman Sachs says that oil could drop to $20 a barrel. A sustained period of that kind of price could push "many many" firms to reconsider production in the North Sea, according to Mr Thorlen.

Image source, Reuters

Two of America's oldest companies are in merger talks, according to the Wall Street Journal, external.

Dow Chemical and Dupont are in "advanced talks" the report says. The combined company would be worth $120bn.

The WSJ says that if the merger is completed, the new company might then be broken up into three parts.

BBC Radio 5 Live

John Longworth also says that "it could be problematic" if the Bank of England raises interest rates at this point.

BBC Radio 5 Live

Image source, Getty Images

There's a stark warning on Wake Up To Money from John Longworth, the director general of the British Chambers of Commerce. 

He says that growth in the UK is being fueled by debt, which is behind rising consumer spending and asset prices, in particular housing.

"If it's based on debt you then lead to a boom and bust cycle again," he says.

Mr Longworth points out that in the last parliament the government said it would rebalance the economy towards manufacturing and exports.

But efforts to encourage export growth have been "a complete failure".

He also says that a £27bn windfall was "in a sense was thrown away" in the budget as it should have been used to restructure the economy.

Welcome to Wednesday's Business live page.The British Chambers of Commerce is gloomy about the UK economy and two of America's oldest companies are reportedly in merger talks. You can email us at bizlivepage@bbc.co.uk.