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tv   Newsline  PBS  July 9, 2012 7:00pm-7:30pm PDT

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containing the crisis. eurozone finance ministers t t to work out a deal on how to aid indebted banks and states. finance ministers in europe have logged many hours sitting side by side going over strategies to confront a common threat. now they're meeting again to try to implement the latest measures aimed at tackling the eurozone debt crisis. eu leaders agreed at a summit last month to a plan to hel governments and banks. finance chiefs from 17 eurozone nations are meeting in brussels about how to use a bailout fund to directly inject money into struggling banks. they're also discussing how to
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utilize the fund to stabilize bond markets for debt strapped countries facing high borrowing costs. the ministers are addressing the scale and conditions of financial support for spain. they're also weighing the greek government's request to relax the conditions for austerity measures. the eu imposed the measures in return for financial support but discussioned with spain are already behind schedule, and talks with the greek government have yet to begin in earnest. some observers speculate the finance ministers may have to meet again soon -- possibly next week. but one european politician has had enough. he feels leaders aren't discussing the right topics to begin with. what's the story? >> as that finance minister's meeting is going on in brussels, there is a heated debate of its own kinden in athens. they're talking about how hard the country should push to relax the austerity measures. a senior greek government official, one official, has quit over the handling of austerity
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measures. now the deputy minister for labor, social security and welfare resigned only hours after his new coalition government won a confidence vote in parliament. he was also in charge of pension issues. he said in his resignation letter on monday that the government should have pressed harder to renegotiate the country's bailout agreement. greek officials, government officials, led by the prime minister, have begun talks with eu representatives over loosening the conditions of austerity measures that the eu has imposed in return for financial support. the first member of the new cabinet which was formed in june resigned over government policy. now let's get a check on the markets. u.s. markets ended lower again on concerns about eurozone debt yields as well as some hesitation ahead of key earnings reports out ahead in the united states starting this week. dow jones industrial average
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falling one-third% .33% on the. let's see how stocks are trading on this tuesday morning here in japan. what can you tell us from the tokyo stock exchange? >> we do have the backdrop of eurozone debt issues with bond yields in italy and spain spiking higher. also we're going to have some key trade data out of china ahead of the all-important gdp numbers on friday. and of course we have the all-important earnings season kicking off in the united states. a lot for investors to take in. let's see how all of that is kicking off here. both indexes trading higher. we're just march ginally lower the nikkei. it ended lower yesterday for three days in a row. not helped by economic indicators in japan, china or the u.s., highlighting global concerns about growth in the major economies of the world.
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in the eurozone, as we've been following, the key finance minister meeting is on the agenda and also a german constitutional court ruling which also will be a key focus there later in the week. and that's going to be focusing on the bailout funds used for weaker eurozone economy. that's a big issue right there. all of that has kept a little bit of the lid on the euro and that's also close to two-year lows against the dollar. keeping low against the yen as well, compared to the gains it made last week following the more upbeat eu summit at the end of june. let's have a look at some of the fx levels. it is coming up on the screen. 79.55 to 58 dollar/yen. euro/yen, 97.96, still the euro a little bit weighed down by events in eurozone.
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>> how about volatility in commodity prices? what's behind some of those recent moves? >> quite a lot of incidents going on there, whether it's gold, oil or even corn futures. let's go through some of those. we did see volatile swings for wti crude following a strike in norway which did see wti crude on the new york mercantile exchange drop. also fluctuating as the dollar rises and falls against euro currencies. australian dollar seeing a lot of swings. corn futures, there has been a major drought in the u.s. midwest food basket and that has also caused concerns about crop yields. so that affected the price of corn futures which actually jumped around 5%. but a lot of focus there on earnings in the u.s. as well. we'll be covering all of that and how it affects japanese companies and the stock markets here. back to you. >> sounds good.
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thanks a lot from the tokyo stock exchange. the nikkei and topix are modestly higher this morning. south korea, australian indexes are also open so let's get a check on those. officials from southeast asian nations are in cambodia this week to try to resolve long running territorial disputes. foreign ministers from the asciation of southeast asian nations on monday agreed on a draft code of maritime conduct. several asean nations, including vietnam and the philippines,
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have clashed with china over islands in the south china sea. the draft protocol has countries involved in disputes to respect international laws and create a framework to avoid conflict. it also calls for monitoring of whether countries comply with present the draft to china in a meeting of foreign ministers on wednesday. china's foreign ministry reacted cautiously to asean's announcement. a spokesperson said china will consider a code of conduct when the timing is appropriate. he said any new rules should not only help resolve territorial disputes, but also promote trust and strengthen cooperation among asean members. afghan president hamid karzai is facing a difficult challenge. how to keep track of $16 billion in news civilian aid. karzai spoke about xati icombat corruption with one of his biggest donors. prime minister yoshihiko noda
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says japan will continue to support their development but that support comes with conditions. leaders met a day after representatives from 17 naxs gathered in tokyo to make a four-year multi-billion dollar pledge for afghanistan to country the country prepare and develop as it prepares for foreign troops to withdraw by 2014. karzai thanked know today for contributing $16 billion. prime minister noda says the japanese government is committed to assisting afghans, but he surging president karzai to conduct fair elections and make sure corruption doesn't eat up any of the aid money. afghanistan can't live without help from foreign nations. world bank analysts say aid accounts for more than 95% of its gdp. this new infusion of cash will fund everything from health care to clean water projects to reconstruction efforts. in some parts of the country, you can see these international
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donations at work but in others, afghans are still waiting for help. more on the story. >> reporter: in ka bubbjapan op airport in kabul years ago. it's been a gateway for supplies, things afghans need to rebuild. >> without the help of the international community, we cannot build such a terminal. >> reporter: building the airport was one thing. supplying it with electricity was another. solar powered supply half the airport's electricity. a japanese business set them up. japanese will also contribute to enlargement of the airport scheduled for next year. the construction is going on to expand the taxiway at the
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airport. this is one of the japanese government's projects. officials with the organization for economic cooperation and velopment said the japanese government gave about $2.6 billion over the last 11 years. that's second only to the u.s. contribution which was more than $16 billion. some of the aid helps people who live in the suburb of kabul. donors provided the funds for this well and others like it. >> translator: i'm happy that we got water. >> translator: our standards of living are better than before. >> reporter: still, more than one-third of afghans live in poverty. residents of one northern province have not received assistance from the government or from abroad. so villagers went back to an old
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sor source of revenue -- growing poppies to produce opium. karzai administration had tried to stop the practice. the taliban used opium as a main source of funding. abdul mohammed earned little income in the five years before he turned to farming. he says government officials have not kept their promise to build irrigation facilities and provide the seeds for crops. he has seven children to feed. he says he had little choice but to grow poppies and sell them to the taliban. >> translator: we don't care who buys the poppies. my children would starve to death if i didn't grow the plants. >> reporter: mohammed says public servants and wealthy afghans steal much of the international aid. and people like him are left struggling just to get by.
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>> the reporter who filed that story came from tokyo to kabul to cover the afghanistan donor's conference. he dropped by our studio to give us insight into the issues facing the karzai government. here he is in conversation earlier. >> we just saw in your report some afghans not getting aid at all. they're turning to like growing opium, poppies. where is all the money going? >> well, it's going where international donors fear it's going. those working in corruption in afghanistan say it reaches all the way up. >> i have cases from ministers, i have cases from the government -- from the governor of the most corrupt country in the world. >> once again, international donors said karzai must do more to win back trust. they say he must take stronger measures to fight corruption. >> karzai also needs to take
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into account the role of the taliban. why is the taliban still so powerful? >> well, many afghans are frustrated with the delays in reconstruction. some see the taliban as an alternate to the karzai government. these afghans provide them with cover and taliban can recruit new fighters there. another reason for the resurgence is that the taliban have a sanctuary in waziristan along the pakistani side of the border. the pakistani military doesn't patrol there, and many residents oppose the u.s. military presence. so all of these factors continue to the power of the taliban. >> it appears it is going to be taking some time for afghans to stand on their own. how might that be accomplished? >> well, international donors currently provide bulk of afghan's national budget. so the afghans need to build up their own industries. farmers make up 0% of the population, so every culture products will be one area to
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focus on. the mining industry also provides another hope. afghan government officials want to encourage foreign investors to explore deposits of copper and oil. interest from china and india have already started, but like many, they are worried about security and afghan officials cannot hope to attract invest. until they get that in order. palestinian president mahmoud abbas is looking for answers about the death of his predecessor. he's ordered authorities to exhume the body of yasser arafat and carry out an autopsy. a media report suggesting someone may have poisoned arafat with a toxic substance triggered abbas' decision. qatar-based al jazeera released a documentary last week based on a nine-month investigation.
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they say there were traces of tra radioactive plutonium on him. officials will exhume his body from a mausoleum in the west bank and experts will examine it. palestinian authority investigators carried out their own probe after arafat died but they were unable to identify the cause of the death. palestinians have long suspected he was assassinated. u.n. special envoy kofi annan says he has held a positive and construction discussion with syrian president, bashar al assad on ways to end the violence in syria. >> we discussed the need to end the violence and ways and means of doing so. we agreed in that approach. >> annan spoke to reporters in the syrian capital damascus on monday after a two-hour meeting with assad. this is his third visit to the
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country as a special envoy. the former u.n. secretary general did not disclose the terms of the agreement but said he would share it with the armed oppositions forces. annan told french newspaper "le monde" last saturday that efforts to find a peaceful solution in syria had failed. the united states and other major western countries want to remove assad from power but russia continues to support the syrian leader. south sedan sudan has celebrated its first anniversary.udan has celebrated its first anniversary. thousands of people in traditional dress sang and danced at a ceremony. the president said his country earned its liberty but called the freedom incomplete. >> we are feeling confidence
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from the outside and confidence within, including the loss of revenue that we mostly depend on. >> sudan and south sudan are disputing rights to their oil-rich border region. violent clashes erupted in march and april. the conflict has prevented south sudan from exploiting the oil reserves and that's weakened its economy. he also said his country will achieve food self-sufficiency by 2015 and pledged to build schools, hospitals and other public facilities to improve social welfare. japan's government has been trying to attract more tourists from china with some success, but most japanese travel agencies handling group tours from the country say they've stopped, or will not expand their business, because it's unprofitable. to attract chinese tourists, the government in 2010 extended visa eligibility requirements for individuals. instead of granting visas to
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only chinese with annual incomes over $43,000, the government now welcomes those making at least $10,000. this has led to a sharp increase in chinese tourists. although the numbers dropped following last year's march 1 th disaster, they're rising again this year at a rate even higher than in 2010. nhk surveyed 37 japanese tour companies handling group tours from china. 28 of them, or about 76%, said they will stop doing so or refrain from adding more tours. all of them said they can't make a profit because chinese tour agencies demand lower prices. japanese tour companies are banned from operating in china so they work on a contract basis with chinese firms that act as agencies and decide on costs. japanese companies say competition among chinese agencies is fiercer every year and that they're demanding that japanese firms lower their prices. a tour company in tokyo has
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stopped handling tours with visitors from china. the trip covered kyoto, mount fuji a other tourist spots for about $600. the firm's chinese partner demanded that the cost be lowered by 80%. >> translator: the agency demanded that the price for a six-day tour be cut to $125, or even less. that big a cut is simply impossible. >> japan wants to attract visitors from china. tourism agencies says it plans to urge the chinese government to allow japanese tour companies to operate in the country. people in japan's northeast are focused on overcoming the challenges of the 2011 disaster. but it won't be easy. they have to rebuild homes, businesses, entire communities. we'll show you their struggles and their successes on "the road ahead," every wednesday at 1:00 p.m. japan time here on
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"newsline." japanese prime minister yoshihiko noda has that sinking feeling again. a new nhk poll suggests his approval rating is low and his disapproval rating is high. voters disagree with his plan to cover japan's debt and pay for its aging society. noda's approval rating is sitting at 27%. it's the lowest level since he took office last september. his disapproval rating is at its highest point since he became prime minister. it's now 56%. 51% of those expressing disapproval say they do not expect much from noda's policies. the poll also looked at the prime minister's decision to raise japan's consumption tax. part of the financial reform package we just mentioned. 30% of those surveyed support the plan. 38% disapprove. in cambodia, the government
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and world health organization have found a clue regarding the origin of a mysterious disease blamed for the deaths of more than 50 children. they say a virus that causes hand, foot and mouth disease may be responsible. the unidentified disease has been spreading in central and southern cambodia since april. it infects children, mainly infants age 3 or younger. symptoms include a high fever and in serious cases, pneumonia and encephalitis. the disease is lethal with 56 deaths confirmed so far. a joint investigation by the cambodian government and the w.h.o. found samples of 15 victims tested positive for enterovirus 71, that causes hand, foot and mouth disease a condition with symptoms similar to those affecting the children in cambodia. the health minister says investigations are ongoing and said the government and the w.h.o. hope to conclude their investigation within days. the w.h.o. has ruled out the
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possibility that the deaths were caused by influenza. it's calling on parents to seek immediate medical assistance if their children show symptoms such as a high fever. tokyo residents are commuting under sunny skies this morning. we find out how long this weather will last and more in the world weather forecast. >> sunny weather will last until tomorrow afternoon. wet weather will return because a seasonal rain band is starting to lift toward the north. southern kyushu is expecting heavy rain by this evening. rain will also spread to the rest of the pacific side as we head into tomorrow evening. so take advantage of the blue skies today. meanwhile, the same front is affecting central china producing heavy rain, tias muchs 140 millimeters of rain has fallen over the past 24 hours. it looks like the heaviest rain will be moving in shandon
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provinces and into the korean peninsula by wednesday. thunderstorms and gusty winds are also possible. eastern sichuan is also looking at heavy rain today. a southwest monsoon is producing another wet dane across northeast india as well as the philippines. heat is building in the eastern half of china. 37 in shanghai but four degrees higher than where it should be this time of year. it should be cooling down to 24 degrees as we head into tomorrow. tokyo looking at a seasonal 29 degrees today. heading into the americas, we've got two tropical systems over the eastern pacific. this one here with clear eye is a category 2 hurricane, emeal ya, and this small one is category 1, hurricane daniel, moving in a westerly direction packing sustained winds of 120 kilometers per hour, should weaken to a tropical low
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pressure system by thursday and get very close to the hawaiian islands on friday. swells and high waves could be a concern along the coast of these islands later this week. as for north america, not much change since yesterday. a frontal line and trio of low pressure systems are dragging cooler air from the north and creating thundershowers across the southeastern corner of the u.s. by have an area of severe weather in the carolinas and northern georgia overnight monday. and then eastern washington, parts of british columbia and southern alberta are also looking at severe thunderstorms, gusty winds and hail tonight. but through the south, dry and hot. look at this -- 30 degrees is your daytime high on tuesday in los angeles. 45 degrees in phoenix. four degrees higher than average. up towards the north, returning to more seasonal levels in chicago. 29 and the same goes for washington, d.c. finally, let's go over to europe.
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an active low pressure system in front are producing scattered thundershowers from the southern scandinavia up into western russia. we have another low pressure system starting to move into the british isles and spreading widespread thunderstorms, gusty winds and hail across the whole of the aisles. stable weather will likely continue into tomorrow. then to the south, unstable weather will continue in and around the black sea region. if you remember, deadly floods occurred in northern turkey and southern russia so any slight amount of rain is not news here. all right. temperatures are shaping up like this. heat warnings are out in the balkan peninsula and southern italy. 30 degrees expected on your tuesday. here's the extended forecast.
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taking another look at our top story before we leave you this hour. finance ministers from 17 eurozone nations are meeting in brussels to try to implement the latest measures aimed at tackling the region's debt crisis. eu leaders agreed at a summit last month on a plan to help governments and banks.
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the finance chiefs are discussing how to use a bailout fund to directly inject money into struggling banks. they're also talking about how to utilize that fund to stabilize bond markets for debt strapped countries facing high borrowing costs. the ministers are addressing the scale and conditions of financial support for spain. they're also weighing the greek government's request to relax the conditions for austerity measures. eu is making the spending cuts a requirement for receiving financial support. discussions with spain are already behind schedule and talks with the greek government have yet to begin in earnest. some experts speculate the finance ministers may have to meet again soon, possibly next week. that wraps up this edition of "newsline." i'm katherine kobayashi in tokyo. do join us again.
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