hello there, welcome to "newsline." it's tuesday, june 2nd, i'm catherine kobayashi in tokyo. rescue workers in southern china are searching for passengers of a ship that sank in the yangtze river. the ship caught a gust of wind monday night and capsized. the vessel was headed to a southwestern city and sank a depth of about 15 meters. the authorities launched rescue operations for about 450 passengers and crew members. eight people have so far been reskted but strong wind and

heavy rain is hampering the operation. most of the passengers are on tours organized by domestic travel agents. meteorologist robert speta joins us now. will weather conditions improve in southern china? >> it is the rainy season out here and we are continuing to see the severe weather and it didn't look like it is going away any time soon. this is from monday evening and you can see the areas in the bright white where you are looking at storm to severe thunderstorms. winds were reported 80 to 90 kilometers per hour at the time. the front is continuing to linger. is a stationary boundary that remains rather stationary. in the course of the next several days we are going to continue to see more heavy rainfalls and winds gusting to 80 to 90 kilometers an hour with 150 millimeters of total

precipitation possible and you still have 72 rainfall accumulation with more rainfall on top of this. so definitely an ongoing story and unfortunately the weather is not helping at all. >> thanks very much much robert. more details on this story as we continue. robert will join us later in the program. south korean health officials are struggling to contain an outbreak of a virus. they're trying to isolate hundreds of people who have had contact with patients infected with middle east respiratory syndrome or mers. they say two have died. officials have reported 25 cases of the virus in two weeks. they say a 58-year-old woman who had contact with south korea's first patient died monday of respiratory failure. a 71-year-old man on respiratory support also died. doctors diagnosed the country's first mers case last month. they say the south korean man had traveled to saudi arabia and

other middle eastern countries. more than 680 people are now isolated in medical facilities or in their homes. but health authorities have come under fire for not acting quickly enough. president park guen-hye said she's set up a task force to deal with the outbreak. >> translator: the initial response was insufficient. they failed to understand the spread of the disease and provide information for prevention. >> mers was discovered in 2012. it had mostly been centered in saudi arabia. the virus can cause fever, breathing problems and pneumonia. there is no cure or vaccine. negotiators from around the world have gathered in germany to work toward the first global climate agreement in 18 years. the working level united nations meeting began monday in bonn. officials from participating countries are trying to map out a framework to replace the

current kyoto protocol. christiana figueres says they'll pass a new agreement then. in past negotiations industrialized nations argue that all participating should take steps is but developing countries said wealthy nations should provide financial assistance. >> translator: we want to contribute to breaking the impasse for a new framework in this meeting. >> japan will offer reduction targets up 26% from 2013 levels by the year 2030. managers at japanese department stores have been reporting disappointing figures since the consumption tax hike in april of last year. but the situation seems to be changing. ai uchida fills us in on this. >> sales at department stores in

april marketed a double digit growth year-on-year. sales at major department stores rose in may for the second year in a row. brisk sales of summer items are a major factor. managerers say sales jumped 10.5% from the same month last year. other store sales were up 9.6%. the rise is partly due to sluggish sales in may last year following the consumption tax hike in april. a dramatic increase in sales to foreign tourists and par sols summer cosmetics flew off the shelves as the hot weather continued. a growing number of people are expecting their income to go up and are spending more. japan has been having a hard time balancing its budget but finance ministry officials may be feeling relief.

tax revenue hit a 17-year high for fiscal 2014. officials say they received about 44.8 trillion yen, that's $360 billion in tax payments for fiscal year that ended in march. that's up 12.5% from a year earlier in yen terms. revenue from income tax rose more than 8% as many people sold shares. higher dividends also contributed to the rise. and the consumption tax revenue rose 30.9%. ministry officials will finalize the oelt amount in july after adding corporate tax payments from some companies. and now let's check on markets. u.s. stock prices gained overnight after data showed

growth in american manufacturing and corruption spending. the dow jones industrial average closing up a touch. the tech-heavy nasdaq rising by a quote of a percent to $5,082. to look at the markets here ramin mellegard joins us from the tokyo stock exchange. >> the manufacturing and corruption spending in the u.s. should provide a boost for investors here. and the dollar gained against the yen. let's look at how the nikkei and the topix are kicking off for june 2nd. both are well into the positive so far. and now the nikkei managed also to end in the positive on monday stretching the day-to-day gains to 12 sessions in a row. could be 13 today. three more and it will smash all time records. we will keep eyes on shares of softbank today after raising its stake in supercell, which makes

"clash of clans" and "heyday." we'll keep track of. that and with the yen trading at its lowest level against the dollar in 12 years, blue chip exporters will be a focus here. investors continuing in what is known as the abe trade where they short sell the yen and buy japanese stocks. that is betting that prime minister abe's economic policies will continue to boost the economy. >> and so the u.s. economic indicators, the positive ones seemed also to be boosting the dollar. what can you tell us there? >> the set of data gave a little bit of a pop for the dollar. 124.83 right now. and the investors will be watching the jobs data on friday. it may push the dollar above 125. for the euro it's in a tight range against the dollar.

concerns over greece are fixed in the background as well as the european central bank policy meeting this week. the question is what the ecb might do. if it continues continue tative easing measures. and in china, the markets resumed their upwards trends. we'll keep track of that and related indexes and in relation to japan, one positive sign of increased appetite of japanese culture was the record number of people who went to see the opening of "stand by me," a robot cat from the future. it's one of the hugely popular manga comic series from japan and that actually broke box office receipts for the weekend by "kung fu panda 2." interesting items to watch out for. >> i'm not embarrassed to admit

i'm a fan of both series. ramin mellegard from the tokyo stock exchange. carmakers selling vehicles in japan are trying to get to know their customers better. sales are in a slump and they're testing new marketing strategies. from remodeled showrooms to internet chat rooms, car salesmen are talking up a storm. [ speaking foreign language ]. >> reporter: in japan mazda broke with standard industry practice this year when it unveiled a new convertible. the company launched promotions across japan to introduce the new model. three months before launching it on the market. the official in charge of development explained the model's attractions. >> translator: the vehicle is low slung to give drivers a good view. >> reporter: visitors were encouraged to upload their impressions on the internet in the hope of creating a buzz about the car before its

official release. >> translator: talking to customers one on one deepens communication. we hope such steady efforts will help broaden our customer base. >> reporter: over 5.5 million cars were sold in japan last year, but the market is struggling. sales are down by 28% from their 1990 peak. makers must offer new incentives to buy. this is a mercedes-benz showroom. the managers have installed distinctive features to attract young people. this one has a cafe and a restaurant. it's drawing visitors who come in for coffee, not cars. the carmaker is trying to broaden its appeal beyond its older customer base. >> translator: i'm still a student, but seeing a mercedes has lifted my motivation to find a job.

i'd love to own one. >> reporter: staff refrain from sales talk, but a test drive is available for those interested. >> translator: selling isn't the main purpose here. we just want visitors to meet mercedes cars. hopefully they might buy one in the future. >> reporter: other carmakers are attempting to tap a new group of clients. german automaker bmw started selling an electric car in japan last year. it turned to an unlikely outlet. online shopping site amazon japan. the vehicle has a price tag of about $40,000. customers who place online orders are contacted by bmw's call center. after completing some paperwork,

the car is delivered. the sales method allows the automaker to profile people who check out the vehicle at the online mall. the data can be used to further hone its sales strategy. the automaker began receiving orders just over a month after the car went online. it's beginning to feel the potential of this sales method. these innovations are helping carmakers learn more about what drivers want. it may even lead to the development of cars that better meet their needs. more for you in business next hour. here's another check on markets.

china is spending big on development projects in island nations and their efforts haven't gone unnoticed. more from nhk world seen kenji mcculley. >> reporter: over the years, economic assistance has bought a lot of goodwill in jamaica. but lately the chinese have taken a page from the american playbook. the chinese government provided $50 million to build this international conference haul in montego bay. it has poured $600 million into a project to build the nation's

first major highway. chinese investments have increased ten-fold over the last decade. it's a welcome flow of funds for the cash-strapped jay may can government. >> we cannot afford to borrow any additional money. this is why they are very attractive. at present, the investments from china are for more significant than investments from the u.s. >> reporter: earlier this year china invited representatives of latin american countries, including caribbean nations, to beijing. they discussed how chinese money could be used to strengthen ties across a range of sectors. >> translator: latin american and caribbean nations have abundant land and resources. it is one of the emerging regions with the greatest potential for development.

>> reporter: private sector investors from china are also getting in on the act. this tiny island nation with just 50,000 residents has long been searching for a spark to the economy since it shut down the sugar cane industry. in 2005 the government shut down sugar cane which was the dominant force on this island country. since then it has searched for other sources of income and has started selling citizenship in return for investment. luxury condominiums are drawing the attention of foreigners looking for investment opportunities. condos with a price tack of over $370,000 come with an offer of citizenship. for more chinese buyers this is a ticket for visa-free travel to countries around the world. to woo more chinese investors the government is providing land

to build condos on. by now, it seems there are almost as many new citizens as native islanders. the flow of chinese money into the region has set alarm bells ringing in the united states. speaking in jamaica during a visit in april, u.s. president barack obama urged caution over china's recent moves. >> if you don't know exactly what the deal was with the government that led to china getting the contract, you know in those situations it may not be, in fact serving the long-term interest of the country. >> for its part the u.s. is moving toward normalizing relations with cuba in keeping a larger strategy to shore up ties across latin america.

with their deep pockets the u.s. and china are locked in a struggle to outspend each other in order to gain influence throughout the caribbean. kenji mcculley, nhk world. practitioners of kendo from around the world crossed swords at the 16th world kendo championships in tokyo. the martial art was born in japan, so purists are worried its global popularity may turn it into just another sport. nhk world's jun yotsumoto reports. >> the sounds of a kendo match travel fast and far. they are an essential part of the competition. this year's championships drew practitioners or kenchi from 56 countries and territories, the most ever. the international competition began in the nippon budokan in

1917. it's been held somewhere in the world every three years since. this year it returns to its roots. the czech and french teams practiced at one of the country's prime venues, the imperial palace. the historical training hall is not usually open to the public. this is where the emperor sits to watch martial arts bouts. this man is a director of the old japan kendo federation and a master of the martial art. he's been traveling to europe for about 40 years to share what he knows. >> translator: i want to teach more than technique. i hope to convey the qualities of japan culture, such as decorum, via kendo.

>> reporter: at age 65 ozawa is still relentless, as are the other masters. they want to make sure that kendo doesn't lose its essence by going global. a match supposed to start and end with displace of respect. but not everyone gets it. this footage is from the world championships in europe. the competitor shows he's not happy with the referee's judgment and the audience boos loudly. things that don't happen in japan. >> translator: you must fight fairly and strike with basic forms that are highly valued. unfortunately, certain people don't care about these things. if everything goes in that direction, kendo will be degraded to just winning or losing.

>> translator: kendo is a sport in which the objective is not simply to defeat your opponent. the root is old, goes back to the samurai battles. the motto is kill or be killed. hundreds of years ago master swordsmen elevated their practice and established the samurai code of ethics. these writings had a profound influence on generations of swordsmen and kendo practitioners. >> translator: in daily life just as on the battlefield, you must never lose your spiritual equilibrium. be better today than you were yesterday, and then strive to become better still. >> reporter: this kenchi says that approach sets kendo apart from many sports. >> it helps me in my job.

to get concentrated, to get focused. it's very helpful for life. >> i think i need to trust myself a little bit more, and this is something that really helps me to like improve this weakness of mine. >> reporter: maintaining a peaceful mind is not easy task when someone is swinging a bamboo sword at your head. ozawa and many japanese kenchi hope they can help practitioners from abroad keep their cool. >> translator: spirit, technique and beautiful stance, this is the kendo that i seek and want those from abroad to achieve. >> reporter: strength of body and strength of mind. the next stage of the world championship will take

place in south korea. jun yotsumoto, nhk world, tokyo. as we've been reporting, people in southern china are dealing with severe weather conditions. residents in northeastern areas are trying to pick up the pieces after a tornado hit the region. robert speta joins us with more. >> we are continuing to talk about what is going on out there in southern china. but back toward the north as you mention wed have this tornado which was reported out here with the front that moves by. we had large supercells that developed in this. you can see it on the satellite. these areas are large rotating thunderstorms that you often see in the central u.s. this time of year for example. but that was the case out here. we had a wind record of 154 kilometers per hour. let's go to video from this

area. this is the image we are seeing on the ground here in one of these storm cells. it very well could have been a large tornado that weptnt through here. the winds overturned a bus, shattered some windshields and there were several reports of buildings being flattened out of this area. that was on sunday evening. a different story than down to the south but nonetheless severe weather. and this same storm is continuing to track off to the east. it's not as severe as two days ago. but hokkaido is looking at strong thunderstorms to form out of this. as we look to the south, that is continuing to develop and push over parts of japan. and we're going to be seeing tuesday night into wednesday, most of the country is looking at widespread rain showers out here. tokyo with a high of 29 and warm on your tuesday. but a little bit of a cool off on your wednesday.

a high of 24. some passing showers. and that extends across most of the country for that matter. let's take a look at the americas as well. a very slow-moving front up here toward the east all the way from washington, d.c. to philadelphia and new york city there is a risk of some flash flooding out here and a risk of travel delays with this very slow moving area of low pressure. now back to the west we have high pressure working in. some fair weather but once again right behind that we see these storms roll through and we have another low developing on its heels. this is moving through the northern rockies and northern plains first and bringing a threat of severe conditions out here as well. do want to wrap up here in europe. across the british isles we had reports of people who wrote me and saying their house was shaking overnight. we were seeing winds of 80 to 90 kilometers per hour. you will see the windy conditions linger as it does

continue to push off to the east. all right. that's a look at your world weather. i'll leave you now with your extended outlook.

we'd like to remind you of our lead story this hour. rescue workers in southern chinese are searching for passengers of a ship that sank in the yangtze river. the ship caught a gust of wind on monday night and capsized. more than 400 people were on board. the vessel was heading to a southwestern city. it sank a depth of about 15 meters. authorities launched rescue operations for about 450 passengers and crew members. eight people have so far been rescued but strong wind and heavy rain is hampering the operation. most of the passengers are reportedly on tours organized by domestic travel agents. more details on this developing story as they come into us. thanks very much for joining us. we'll be back at the top of the hour. stay with us.

host: euromaxx highlights. we bring you our report from the past week. deep down, underwater videos by the ocean brothers. animal magic, a magician from finland plays tricks on dogs. and fast and furious, exploring the wacky world of waterslides. first, underwater film was shot back in the 1940's. since then, the ocean depths

have been recorded many a time but some doctors are trying to show this in a new light. two spanish brothers perform tricks underwater that look as though they have been computer-generated.