defiant tehran. the obama administration criticizes iranian leaders for obstructing inspections of their nuclear program. nuclear inspectors who visited iran are wondering what to do next. the team from the un nuclear watch dog made little progress in determining what tehran is doing with its nuclear program. deputy director general herman nakhurtz led from the atomic agency. they returned to vienna after spending two days in iran. >> we approached this in a

concertive spirit. unfortunately could not get agreement on either of them. so we could not get access. we could not finalize a way forward. >> nackerts said the agency would work out steps next month. members of the team will compile a report on their visit prior to the meeting. analysts say the report is expected to criticize iranian leaders for not cooperating with the inspectors. the iranians didn't permit the team to enter a military facility. the inspector suspects scientists there may be developing nuclear weapons. iranian leaders recently announced that they're prepared to resume negotiations with u.s. and european diplomats on their nuclear program. israeli ministers have hinted they may launch a preemptive strike on iranian facilities. the diplomats have been urging them not to. the obama administration is criticizing iran for its

uncooperative stance. >> this particular action by iran suggests that they have not changed their behavior when it comes to abiding by their international obligations. >> carney said members of the administration regret that iran failed to reach an agreement with the iaea. he says u.s. diplomats will see if iranian leaders are serious about negotiations on their nuclear program. negotiators from japan and the u.s. say they're close to an agreement meant to target iranian oil. the americans have broadly agreed not to impose sanctions on japanese financial institutions in charge of processes oil transactions. the two sides have held discussions over the last month. the japanese want to continue importing iranian crude. 10% of their oil comes from iran. they say sanctions will badly hurt their economy. both sides say they're both in the final stages of the talks.

they plan to exclude japan from the embargo. japan has cut oil shipments from the gulf state by an average of 11% annually over the past five years. u.s. government officials have already begun negotiating with congress on the request. >> translator: japan and the u.s. now have a deeper understanding on the embargo exemption. we hope to have the talk settled on time. >> japanese government leaders want the issue settled by the end of the month. tanaka has been watching this for us. he studies the middle east from the economics of japan. thank you for coming into the studio. iae inspectors were denied access in iran. what are the iranians trying to do here if. >> while they're telling the community they're ready for

solving this conflict, they're still saying it's their right to maintain the sovereignty over their facilities. meaning all those military facilities are not colored by the safeguard agreements and the iaea actually does notave the authority to access them unless the iranians are going to allow them to. and the iranians are saying that these are not nuclear facilities. so there's a difference of opinion there. >> so what do u.s. and european leaders do now? >> well, first thing i think they're going to talk about further measures meaning sanctions. it may come next week, this week. it may follow by -- the next iaea report and the meeting in early march. it's unlikely on the other hand to consider that they're not going to do anything following this latest event. >> so possibly more sanctions. >> yes. going to see that, yes.

>> iran has already stopped exporting oil to france and britain. >> uh-huh. >> do you think iran will retaliate? >> it depends what sort of measures will apply now. but talking about oil embargoes against european states, france and britain is sortedly nominal country that it's sort of a political power in the eu. while it is there, the iranian export to those countries are not that significant. so by placing an embargo from the iranian side against those two countries still won't hurt the iranian economy. so i think that was sort of a gesture they were trying to show and send a message to the other european states. >> a warning? >> sure. >> let's talk about israel and iran there. how do you think the tension between those two countries will play out? >> prospects aren't good. israel for sure going to capitalize on this latest event

in trying to say to the world especially to the united states that all options should be kept on the table. and not only by saying that at the very last moment they would require to stage action against iran. >> i see. all right. but iran is still saying that their nuclear development is for peaceful purposes. >> yes. yesterday the leader made a speech and here he said that any nation or a nation would not gain or elevate its prestige by acquiring a nuclear device. all that means is that iran is after a peaceful purposes and not for military development. >> all right. thank you very much for coming in today. tanaka is an expert on the middle east on the economics in

japan. in other news, in argentina, a packed commuter train has crashed into a barrier at the end of a platform in buenos aires. it has killed 50 and injured more than 600. it too many place in the center of the city. the train slammed into the impair yesh after failing t stop at the platform. destroyed the front car and derailed others. police say they are investigating the cause of the accident including possible problems with the train's braking system. the rail accident is argentina's worst since 1970 when 200 were killed in a train collision. >> large scale anti-terror drills have been held in london ahead of the upcoming summer olympics. >> scotland yard and the london

olympic organizing committee which organized the drills on tuesday say nearly 3,000 people took part. the drills simulated an explosion in a london underground train with many passengers injured. police officers practiced rescuing the wounded and transporting them to hospitals after giving them first aid. in july 2005, simultaneous terror attacked in london killed more than 50 people. the tragedy occurred shortly after the city was selected to host the 2012 olympics. police and firefighters were later criticized for failing to properly cooperate which reportedly delayed initial responses. they worked together with transport bureau officials on tuesday's drill based on the lessons of the 2005 bombings. >> 2012 olympics are the public transport games. we're encouraging everybody to travel by public transport. so it's important everybody

understands their roles. >> the olympics will open on july 27th. 13,000 british troops will be mobilized for the event. u.s. president barack obama wants to lower taxes for companies in the united states. let's go to ai chida for that. >> wants to lower the tax rate for corporations in the united states. also a way to appeal in the countdown to the presidential election this autumn. the treasury department proposed on wednesday a reduction in the tax rate to 28%. the current rate of 35% is one of the highest among industrialized countries. the effective rate for manufacturers would be capped at 25% so they can compete better in the global markets. the plan also includes measures

to offset an expected decline in tax revenue. it aims to close loopholes for oil and gas companies and raise the rate for american firms that operate overseas. treasury secretary timothy geithner said that the last time the business tax code was reformed was over 25 years ago. that was before the internet and the cell phone. also prior to the rise of china and other emerging markets. greece continues to be in the spotlight. major credit rating agency has downgraded. on the second bailout agreement for the country including private sector involvement. fitch announced it lowered its rating to single c. that's down from aaa. single c shows that default is highly likely in the near term. came as sector financial institutions are likely to lose more than 50% of their

redemption value on their greek government bond holdings. this is part of the agreement made earlier this week. fitch says if the measure is implemented, the agency will lower the rating even further. other major ratings agencies also express similar views. tokyo stock prices are down slightly on thursday morning. the nikkei average is currently trading lower by 1/5 of a percent. the broader topix is down 1/3 of a percent. trading is mixed. many investors are locking in gains. but a weaker yen is lifting some exporters. and in currency trading with the dollar is climbing to the lower 80 yen range on expectations for

a u.s. economic recovery. the dollar now trading at 80.28-30in. the euro is also gaining ground against the yen. now at 106.26-31 yen. the yen remains under selling pressure. that's out of speculation that u.s. interest rates may rise. and a look at the latest long-term interest rates now. the yield on the benchmark 10 year japanese government bond unchanged. the european union plans to suspend a subsidy to hungry worth nearly 500 million euros. it says the country has failed to take appropriate measures to cut its deficit. the european commission says hungary has violated the rule of bringing to less than 3% of gross domestic product. the eu reduced regulations that allows it to punish member states for failing to observe

discipline. the finance ministers are expected to approve the plan next month. if hungary fails to rectify the situation by january next year, the nation will be the first to receive a sanction under the new rules. >> this decision today is to be regarded as an incentive to correct a deviation not a punishment. it is a fair and proportionate measure over a preventive nature. >> meanwhile, the hungarian government countered in a statement. it said the proposal is unfounded and unfair. a bank of japan survey shows that more japanese people are seeking lowing risk financial assets as the economic slowdown continues. the average value of assets in households of two or more people was more than $140,000. that's down 1.6% in yen terms

from a year earlier. the fall was due to plunging stock prices amid the eurozone debt worries. when asked what type they want to increase, the percentage of those who mentioned bank deposits rose to 54%. those who favored stocks fell to 6%. and stock mutual funds were also down to 1%. over 80% said they didn't want to buy high risk, high return financial products which may fall below their investment value. let's take a look at other asian markets that are open this hour.

that's the latest in business news. back to katharine. north korea and the united states are to have talks over north korea's nuclear development. the meeting will be the first since the death of kim jong-il in december. the nuclear envoy arrived in beijing on tuesday. he did not speak with reporters. u.s. special envoy for north korean policy glyn davies arrived wednesday. >> in the leadership in pyongyang, we will be interested to see whether they're interested in moving forward with us, what precisely his policies are, in what direction he wants to take his country. all of these are a bit unknowns at this stage. >> earlier nhk world outlined the focus of discussions at this meeting. >> i don't think there will be a

major breakthrough. because both north korea and the united states have domestic concer they need to address. north korea has a new leader in kim jong-un whose skills are still developing. president barack obama is facing an election campaign. so the north will likely reaffirm its position on nuclear. pyongyang will never halt its nuclear development program. it's trying to boast public support for the new leader. kim jong-un is being credited with leading the nuclear testing and the firing of long range ballistic missiles. the government is also claiming that the nuclear and missile development promoted by kim jong-il is among his greatest achievements. but north korea is facing -- so the country may show a more flexible attitude in order to secure supplies.

i think there is little chance of that happening at this stage. washington has demanded that north korea suspended its uranium enrichment. just because the north korea's new leadership believes it can win support by maintaining its stance in negotiations with the united states, i think it will show its determination. the main concern is that they may conduct a nuclear test or launch missiles as seeking aid from the international community. the u.s. wants to show north korea that this style of diplomacy to get aid by threatening no longer works. so at this early stage of kim jong-un's rule, needs to show there is no room for compromise in nuclear talks. "newsline" is the place to turn to for the latest on jan

post-march 11th. we have two segments offering two unique perspectives on the fallout from the earthquake and tsunami. "nuclear watch" brings you insight and information on the impact of the fukushima daiichi crisis. and "the road ahead" examines japan's efforts to recover and rebuild. don't miss "nuclear watch" and "the road ahead" on "newsline. thousands of runners are resting up for japan's largest marathon. they're loading up on carbohydrates and checking their gear for the tokyo marathon. some of them will leave a key piece of equipment behind. >> reporter: yoshino may look like any other runner until you look at his feet. burning hot or freezing cold aspht, bumpy or smooth pavement, for barefoot runner

yoshino, no problem. >> if you run like the way you run with your shoes, it hurts. but because you feel the ground, you kind of have to adjust to the ground. with the shoes, you're going against the ground. >> i see. so you're slamming against it as opposed to landing softly. >> yeah. >> reporter: yoshino studied biomechanics in the united states for three years. 12 years ago he began running. but in 2004 he threw aside his shoes. he soon became an evangelist for barefoot running. he returned home four years ago to spread the gospel here. >> okay. so first you land softer. relax. okay. then pull. and then body first. >> reporter: yoshino has taught his techniques to thousands of

japanese runners. magazine writers can't write enough articles about running barefoot. and this book convinced runners around the world to take off their shoes. while barefoot running is creating a kbuz, it's not something you can just jump into. yoshino says you should first practice on softer ground before hitting the streets. you also need to learn the right techniques to avoid injuries. humans ran without shoes for 5 million years. runners making a switch have to unlearn what they learned as children. when most people run with shoes, the heels are the first part of your foot to hit the ground, those who run this way, overextend their legs. shoes absorb shock. people who run barefoot have to land on the balls of their feet. our calves are like springs that

act as shock absorbers. >> translator: scientifically, it's the most correct way to run. landing on the forefoot relieves stress on the heels. it also works your foot's arch muscles. finally with this forefoot landing method, your body weight is distributed evenly. which helps improve balance. >> reporter: wdoctors diagnosed wantanabe with diabetes. he couldn't climb stairs without difficulty or even walk his dog. he suffered poor circulation, cramps, and often fell unconscious. >> translator: for a decade i was immobile. i was so depressed i cried every

day. >> reporter: his doctor recommended he strengthen his calf muscles to improve circulation. then last year watanabe, he asked yoshino to help him run barefoot. now he hikes mountains, trains almost every day, he even plans to run the tokyo marathon this sunday. all in just his bare feet. >> translator: maybe i can run as fast as i used to. the sky's the limit. with barefoot running, i can feel myself changing. the way i live, the way i am. >> i want the people to know that there's the option to take off your shoes. i just want them to try it and see how they feel. >> reporter: yoshino says you feel things differently when you take off your shoes.

he says we can all learn to do more with less. nhk world, tokyo. >> okay. i'll give it a try. this barefoot concept has been inspiring shoe companies in their designs. in recent years, five fingered shoes have become popular in many parts of the world. i had to grab my umbrella before heading out this morning. the rain is intensifying in tokyo. sayaka mori joins us with the weather forecast. so will it clear up? >> well, it will further intensify and thunderstorms and gusty winds could accompany the heavy rain. because we've got a very active low pressure system in front here. that will continuously bring in stormy conditions particularly along the pacific side. over the next 24 hours, much of northern japan will be effected as well. most of the precipitation will

move out quite quickly. meanwhile the same system is causing near southern china and taiwan. those rainy conditions will continue into your weekend. down towards southeast asia, we are looking at some showers popping up. today's highs are looking like this. getting up to 21 degrees in hong kong with some light showers. warming up to 25 in taipei. in seoul, still warmer than average with 8. tokyo coming in at 8 degrees. as i said, dry weather will come back from late this afternoon. now heading over to the americas, winter storm conditions are continuing across the northwestern u.s. and western canada. we have a lot of wind advisories and warnings in place. as those systems move towards the east, the southern great lakes region will start to see blowing snow conditions on thursday. as much as 20 centimeters of snow is possible. then we have an area of active

weather in the southeastern corner of the u.s. lots of heavy rain and thunderstorms. and on thursday, we are expecting severe weather from the gulf coast into the ohio valley. we're talking about damaging winds, large hail, and even isolated tornadoes. the precipitation will be mostly rain rather than snow because we've got nice southerly winds coming in pushing up temperatures. expecting 28 degrees in houston. and 18 degrees in oklahoma city. washington, d.c. warming up to 19 which is about ten degrees higher than average. but across the west, cold air is starting to drop into the south. so we're expecting only one in denver on thursday. now, i want to take you to the south americas. because severe flooding has been reported in bolivia. of course, it's rainy season, so a lot of rain falls this time of year. but the amount is quite exceptional. let me show you some photos

coming out of northern bolivia. some towns are under waist-high water. bolivia's government declared the state of emergency on wednesday after a long period of bad weather triggered serious flooding and mudslides leaving nine people dead and thousands of families homeless. over 9,000 acres of land have been flooded so far. here's a look at precipitation over the next 48 hours. showers will continue in much of the nation. usually the rainy season ends in march. so until then, flooding and mudslides will continue to be a major issue here. all right. i will leave you now with your extended forecast.

zblrges and that wraps up this edition of "newsline." i'm catherine kobayashi in tokyo. thanks for joining us.