in india oh geez available in the movie go on the joy see the jones the on the villains the gateway hutto the grand imperial true and the george weston bush coromandel new kind of letter till the socialist joe says don't need to go and talk lawyers read this in the kernel was her job as used to retreat. struggling to save the euro e.u. leaders are in brussels the hummer out measures that cycle the greek crisis while many say with the debts after demonstrating at the very future of the single currency as a state. meanwhile the troubles day to tyra's foreign states from want to join a survey of them as a tribal crime fugitive hundred to the hague his latest attempt to become a member of the block. and investigations into the u.k. phone hacking scandal intensified with an even more political figures coming on the scrutiny on public betting on who the case might bring down the system. also

time is running out the united states to find some kind of resolution to the debt and deficit problems russia is getting increasingly worried as are holes a large part of its own reserves in us bonds more that some twenty months on business or. everyone welcome to this is almost see life from moscow is in doubt in brussels for an emergency summit on how to come out with a promise counts for a fucking bailout but the epidemic spreading with italy and spain now showing the first symptoms of serious debt a sense of impending doom filthy ourselves down a bushel reports. the single currency will be big within two years warner lists what it will be in europe. and there's a really very serious threat to the euro might turn disintegrate.

not be goes on much collapse it's already too late to save the greek economy according to a majority of leading economists and experts polled see greece is really going down the drain completely the depth is escalating the deficit is starting totally out of control and i could give you the analogy but they were like somebody with a gambling problem or a drink. a drink but. it's a cultural thing so now we find ourselves with someone with a drink problem with a huge debt as well and the problem will only ever get worse until you actually confront reality and say look they don't fit in the or as not going to fit together with germany in one single your politicians the richest states their voters refuse to foot the bill well i don't think i've ever met any body in the united kingdom in

london not institutions that actually wants to contribute to the buyout countries like greece and italy and contribute to the continued existence of the hero because i think it's a stupid idea to start with and it's just chucking money down the drain yet pulling the plug on those states could trigger a chain reaction greece believe investors can no longer avoid quitting the euro that in turn will spork the exits of portugal even italy and spain they say ireland the boss of. the bug that's going to start there over the last couple of weeks we saw that also. spain over germany italy with germany started europe's top banks hold billions of euro greeks in portuguese debt if those countries go bust they could lose that money. we might see scenarios. that means that people will run to the bank in the order to withdraw their deposits because they believe

that the bank might not be able to pay them the euros facing an existential crisis the german chancellor angela merkel but the head of your biggest economy. find a compromise of the brussels summit that's raising tensions across the globe. at the moment the most visible the most obvious the eurozone problems but on the other side of the atlantic you have the u.s. economy more than recession showing some very weak economic figures and suffering as well e.u. leaders could sign the warrant for the single currency here at the summit if they fail to do a deal with the spreading your. experts fear public panic will take over control. and the e.u. cracks seem frightened to join it later this hour. with the east coast struggling to keep its head above water there is still some funky little ready to

get on board some commentators have climbing on the titanic. thinking. former financial times correspondent david says it's not only the euro down. i don't believe there's either the european economies all the united states have yet . really begun to get to grips with the very grave collapse occurred after two thousand and eight. lots of pain therefore is is facing is going forward. from last year point of view the sooner we start to get to grips with that and take some of your steel measures necessary the better we will all have to recognize in the process that we're a lot poorer than we thought we were in two thousand and seven the story is that the euro as a phenomena is in quite serious danger. over the crisis a raging across the atlantic as well check out the latest edition of the kaiser report to see if people in the u.s.

are going to rise up against the big banks or not. they're encouraging at least twenty thousand people to show up on wall street occupy wall street and don't leave just like that the people in tahrir square didn't leave until their demand that mubarak step down was met the americans were saying don't leave until obama for a presidential commission to investigate whether or not there is then financial fraud. investigations into the phone hacking case that's rocking the u.k. growing up i did day with ever more questions being asked of key figures in political media at least circles at the scandal intensifies its impact resins careers across the board or at report on how the case not just report murdoch but the prime minister david cameron is wild. this is the first time.

i'm enjoying this so. who will survive the phone hacking scandal and keep his job cameron comes under fire for hiring andy coolth and former editor of the now defunct news of the world he's accused of encouraging his staff to hack into private voice mails there's been a large element of fingers in ears and just a lot of heads in the sand and that is lethal for a prime minister. in a real fights isn't a real really bad situation he could well be looking at some serious consequences for himself at the very start still around him betting shops of slack the odds on cameron being the next m.p. to quit working day off those one hundred to one at the beginning of the week but just five to one three days later in the last two weeks or so we've seen a lot of money go on camera to clean the last forty eight hours when the.

committees have been going on behind us. and we've seen cameron over the last few weeks fall from one hundred to want to be the next cabinet member to leave to forty one years he just slightly crept up again to five to one today as a result of his statements in the house where we thought he gave quite a good performance on choose day it was murdoch's turn for a close shave attacked by a protester with a foam pie and saved only by his white right hook despite profuse apologies to victims of his own newspaper's unethical behavior he had no intention of stepping down himself. what's less clear is whether david cameron remains the best person to lead britain out of this crisis of confidence he hired close and in turn it was later revealed was being advised by another takes the news of the world hack neil wallis if that wasn't enough he was simple asleep taney.

working for the metropolitan police politicians and police are under fire for cruising up to the looting with the murdoch empire and in the wings cameron starched rival ed miliband is limbering up to step into the ring so the country and how the leadership we need why why doesn't he do more why doesn't he do more than give us our apology and provide the full apology now for hiring mr colson and bringing him into the heart of downing street to us commentators say the prime minister came out on top in wednesday's rounds in the house of commons when he was grilled by these bikies relationship with nice quote but the fight is far from once you know. he is damaging for base. and the right intent from cameron because none of the damage that would actually stop

him this scandal has forced resignations all round top executives at news corp and the u.k.'s two most senior police officers many are asking why the prime minister shouldn't be next for a knock out david cameron's promise of fulsome apology if it turns out and he calls in light to him about his involvement with phone hacking but some say that won't be enough when it's over and we are a long way from that it's far from clear who can survive the ground still to come and remain at the top of the media the police and the government nor and. the new york based radio hey sam seeder believes rupert murdoch's days the top of his media empire are numbered and his political ambitions and his downfall. i would be shocked if he is still at the helm of news corp. over the next couple of months and i think we're going to see actually

a reversal of this i mean murdoch was in many ways a throwback and. professor jay rosen at n.y.u. has as basically said that this was not a a new company it was a media company that has a newsgroup vision that essentially functions as a lobbyist as a lobbying arm for that media enterprise and i think murdoch wanted that a little power and i suspect that anybody who takes over from murdoch and we don't know who that will be but i'm sure there will be somebody will see this this pursuit of political power just for the sake of political power to be antithetical to running a good business with plenty more ahead including time to take it by. its own and it has grown as a result of the us presence in the southern afghanistan and you can't answer that opinion on how the palace of us cheats on that country could increase security.

just imagine this piece is about four and a half billion years old what do you. stay so wrong but is it cosmic national dispute profit week school board line find the need to write fee that it's writing in central russia. well turning from countries causing trouble for the european union to others still hoping to join it so be as expats and progress on its integration following the arrest of will con suspect gordon had it that had remained he handled the membership still in need clearing how to be extradited to the hague on today arafat reports now for the second capital. was to governance very much to the west the public opinion actually does this quite significantly now the last time i was in both grade at the end of last year i spoke to the deputy prime minister head i asked him why there's still such a government drive to this membership and he said that they really see this as

a chance for serbian people to have a quote a normal life well the people here in serbia only have to look at what's happening right now in greece in spain in italy to see quite clearly e.u. membership is not going to be the answer to all our country's problems now as to that they're also very disillusioned with the government's policies and the way that they've handled this whole partnership and dealings with the e.u. they feel this serbia is being made to jump through hoops and it was their feeling all these demands that are put on them by the this thing that very little in return . for years ago nothing whatsoever. got many many more hoops to jump over before you can get anywhere close to. the e.u. has always linked thirty years membership with the full cooperation with the

hague and we've already heard from president bush that he feels that they have felt the moral and legal obligations to the hague so it's going to be very interesting not speed with this latest directive had it whether or not the e.u. is going to respond not just with words but with actions that it seems that with the arrest serbia really has called brussels bluff. well there's plenty more to find on our website including the latest news blogs and experts and analysts and see what's online right now with holes in the home i deliver it with a difference and then my in van with zero now has pledged to spend five weeks with his family of big cats he will be their lungs they need wife and lots of. actions while high in st petersburg is dozens of glamorous contestants put on their high heels for one hundred meters brain find a will prize the girls are chasing on a website all team talk all. the security and dave are in afghanistan the

house of god with responsibility for the first being transferred from nato into the hands of local forces the whole transition process is scheduled to last until twenty thirty after that the remaining foreign troops in afghanistan would only be in support roles such as training local police. recently spiked in the country with insurgents targeting we can work being handed over to the taliban won't be so eager to fight runs foreign forces have gone nuts and willing to take on the best say afghan war veteran member of the think afghanistan. the taliban has grown as a result of continued u.s. presence in the southern afghanistan so by us leaving you're going to see the taliban basically not want to fight as much because their base of your party is afghan so you're going to see an afghan peace process take place because afghans generally speaking don't want to silly fight with each other they just simply want

to live in college just for the most part now as the taliban comes into the peace process comes into the afghan government which i'll be and will begin to reconcile itself with the population and become more congenial simply because it has to if it wants to be taken seriously by the population generally speaking that afghans. better off with governing themselves without the united states because the forces provided security for them because as you seem we know unintentionally killed a lot of people and i think there we would be foolish to sit here and think that you actually were not really there will be a minute u.s. involvement if they'd all been involved for a long time. elsewhere across the globe this hour the u.s. has announced it will send data from his son to earth only if assured the liver is working for him did as they can through islamised ministers control the area and he was declared a state of famine in solving somalia when in the immediate term for the danger of

self devastating drought has caused the crisis which be the worst to hit the region in decades it's estimated the stricken country needs over one and a half billion u.s. dollars in aid. for elderly kenyans have been given a legal permission to see the british government over alleged atrocities committed during colonial times they came in say they were systematically abused her special camps and helped to crush them our earlier they can say which is really the guard officers should not be held responsible for their actions of the colonial inspiration. atlantis is even bad prince harry last landing after almost a fortnight in orbit to me touched down brings to an end the thirty year american space shuttle program atlantis is the last shuttle to be retired and st personally has led to kennedy space center anything to missions by u.s. astronauts of the international space station rely entirely on help from russia.

sometimes you have to dig deep to reach for the stars that at least is the case in central russia resigns region. either has spread in recent years. double the chance to catch a fall and start. they don't believe in aliens had a time machine but they do spend most of their time looking for extraterrestrial matter that will take them billions of years back in time most nature right hunters in russia do for profit but some still see it as their way of each hiking through the galaxy but the human nature of this is the oldest matter you can hold in your hands there is a theory that meteorites are part of planets just imagine this piece is about four and a half billion years old not the earth this valley about three hundred kilometers east of moscow is the latest pitstop about ten thousand years ago the local fields took a heavy pounding from an iron shower creating the most brutal nature of the ground in central russia in discovering two thousand was

a pure accident these days you're going to if you did choose without his help with the draining off the excavators left a local resident was passing by he noticed a rather strange broccoli picked it out of the rug lay idly in his palm for two years until the store program brought me to rights on t.v. and sent it in for testing that. the internet new year is supposed to be tons of meteoric material was discovered here some would be unlikely to out of the donations but he's honest us he's the only dog in russia trying to account for rocks from other planets in many ways meteorites hunting is a lot like gold digging you have to spend weeks and while hoping for a stroke of luck but in today's prices searching for these acts trying to wrestle rocks can be more profitable than even the good old gold fever marcion no lou and i meteorites we are in high as demand can cost two or even three times the weight in gold the biggest findings usually gravitate to the united states and western europe

when most need to write collectors a base and about russia got the law actually right the facts are correct for iraq's ten percent of their value it must be paid to this. sure still some delusion to try and dodge the meteorite tax this worked on halt was uncovered earlier this year at a mosque in airports on its way to illegally to the czech republic for some of their fallen stars but for others the terrorize our increasingly becoming a brazen hard to communicate model to a somewhat art scene we. will assume next hour as discover hell songs five spade cool in the hot summer sun all of the out oh boy very nice to take a look at how these rules have on is a pretty mess that tackle the skills and test the phillies who travel holes in the kilometers to mess about on the washington mall say we like to the t. that's rocking the geek in the meds and russia today we saw a lot of fun in the sun on

a much more rules and all stories round up next our. business update now with dmitri after a short break. the international fashion festival plus on the volga took place in july the event of a region of russia. russian designers presented the best of their live and collections of the fashion shows in central russia's most beautiful volga city. live in total stranger and children's fashion show all took place as part of the festival the president of which was russia's well known fashion designer that just loves lights and. lives here with business outside first on the program minority shareholders a team preparing a lawsuit claiming billions of dollars in damages over b.p.'s failed it's

a partner in exploration shareholders of one a russian court ruling ordering papers surrounding the multi-billion dollar deal to be revealed this will allow them to evaluate the damages b.p. and rosneft failed to strike a deal this spring as ten-k. b.p. shareholders claimed russian joint venture should be the primary vehicle for exploration in the arctic. chill is to the board members nominated by b.p. didn't make it clear there was an opportunity for corporations which they should have done and as a result didn't get to participate in this the ship might have had lost its freedoms it got us thinking for the us to resolve its debt problems and i finally as a raise the american that feeling could mean a default on its massive obligation that's very important so russia which holds one quarter of its international reserves and u.s. bonds joining me now to discuss the issue is jacob knell chief economist at morgan stanley russia take a welcome to the studio with us to the program thank you so much what do you think

about the situation for russia should it start worrying actually i don't think so i think that the u.s. treasury secretary will allow. the u.s. to default on external obligation so if the debt ceiling doesn't get raised then what will happen is the u.s. will skip some domestic payments you'll see a default perhaps you want to use that word on social security payments pension payments to americans or perhaps a shutdown of parts of the federal government but it'll say it'll stay constant dollars extra dental because t. bills will see their coupons being paid else either coupons being paid however if the deal that is done doesn't satisfy the credit rating agencies there is a chance of a rating downgrade and that may have an impact on the treasury bill market it may have an impact on the price of tea there also that may have an impact on the value of russia's international reserves we don't think it will have much of an impact because the depth of the u.s. team is so big it's the quare source of funding of low risk assets for so many

companies that we don't expect it so significantly with a price but there's a risk it would and seems that there hasn't been moody's have compiled a list of requirements which are pretty pretty harsh on the u.s. and they're acting a bit like a government body like the i.m.f. american international body like the i.m.f. or the world bank wouldn't you say that's a different and interesting shift of role of these oh yeah i think it's a good question the role of credit rating agencies and perhaps there's a good case and certainly the european union and russia have raised this issue whether there's a good case for some are other credit rating agencies or maybe some other body to make these assessments but at the moment there are people who do it and they're the people who have the credibility in the market even if they've made some bad calls in the past right so if there's a downgrade for us that should russia start changing the structure of its international reserves and i would take that question in two parts i think that the

central bank reserves the main thing you want to see the quality and the u.s. market is the most liquid market in the world so probably you don't want to change your position when you're so. bank reserves the right fuel oil fund assets i think that russia wants to invest in order to get a decent low risk return and there's a very strong case there i think for further focus of a cation not just into cones of other countries as has already been done but also into equities commodities and other asset classes i believe that's under consideration so russia is actually considering doing that i think is considering moving the management of the oil fund assets to be separately separate from the management of the central bank assets because you've got different objectives and those who are sets of reserves what do you think is more important right now that by august second we see the debt ceiling raised or that actually the united states start i think the belt on their spending right you need both you need both

obviously they have to raise the debt ceiling but it wouldn't be bad for it wouldn't be good for russia or for the rest of the world if the u.s. tightened fiscal policy to show it too soon it would hit the blunt it all price it would be bad for global growth what you need is a medium term plan for deficit reduction including action on taxes an additional insight a wince like health care and so do you think they will actually make it on time with or with some kind of resolution before maybe maybe not once in one thousand nine hundred sixty they failed to reach agreement so the federal government shut down all non-essential services so that could happen again i guess but sometimes a crisis concentrates marines and it may get people over the hump to an agreement all right jacob now chief economist of morgan stanley russia thank you so much for your comments thank you. as a means to the markets we have just a couple minutes remaining crude has been pretty volatile today just an hour ago was dropping now it's up. to push the oil up with reports of

a contraction in chinese manufacturing a limiting gains what we're seeing right now light sweet gain of thirty seven cents a barrel and brant just six cents european markets in the black this hour and now a jobless claims come out in the united states was slight increase yet u.s. officials are pointing to a positive start because it seems the overall trend is a downward trend on jobless claims chancellor merkel french president sarkozy agreed on a joint approach to greece's debt crisis ahead of today's easy to sell and this is also helping the markets game versus paintings multum isn't here in moscow markets are slowly coming out of red territory that started the day tears up half a percent my six point two percent lower unemployment rates accelerated retail sales in june also support in the market. take a look at some of the main movers on the exact sanity's stocks still in the red gazprom down point four percent as well bank paring those losses it's down just

point two percent last telecom has been a strong stoke of last couple of days it's running on speculation it could be completely sold right investors yesterday again five of the hottest up. business out he will be back in fifteen minutes time with an update. for.

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