Why is babel-loader not working?

Question

JavaScript

bundle.js is successfully created, but Babel's loader doesn't work for some reason. Here is the webpack config

module.exports = {
    entry: './src/index.js',
    output: {
        path: __dirname + '/src',
        filename: 'build.js'
    },
    watch: true,
    module: {
       loaders:[{
           test: /\.js$/,
           loader: 'babel-loader'
       }]
    }
};

Answer 1

loaders: [
          {
              test: /\.js$/,
              loader: 'babel-loader',
              exclude: [/node_modules/],
              query: {
                  presets: ['es2015', 'react']
              }
          }
]

Can specify and install presets