in india old geezer made ability to move joined be the jury. the gateway to the grand imperial. george was the. new kind of letter to return

to go and. read this in the kernel was her job as a retreat. the emergency deal to avert a debt crisis has been approved by the lower chamber of the u.s. congress narrowly escaping a devastating default. the destiny of the bill is now in the hands of the u.s. senate but after months of political bickering will it be enough to afford financial crisis. will global stocks rally as america's scapes the self-imposed budget collapse but confidence and the u.s. reputation as the world's creditor has been a severely down. russia says u.n. action could help bring an end to violence in syria but once again excessive pressures that could lead to a libya style intervention the experts stress the e.u. and american sanctions being enforced against

a basket alone and making matters worse. the voices of tens of thousands of anti-government protesters in ease row calling for the prime minister to stand down are going on their purported by the international media. in business this hour german energy major illness taking gas going to court to get a better price of gas we'll bring you more on this story in our business bulletin but it's. just after one pm here in the russian capital you're watching t.v. now the lower chamber of the u.s. congress has passed a last minute deal to prevent a devastating a full scale default and that's after months long political confrontation well the only remaining hurdle for the legislation is senate approval which is expected later on to say. is in washington with more. not

a lot of good news in terms of the big picture for the u.s. economy of course the only thing that we can be certain of that this deal means is that it averts the self imposed potential crisis of a u.s. default what we do know in this legislation is it does sort of cut spending by about two point four trillion dollars over the next decade what that means in the short term for the u.s. economy is potentially a lot of feeling of growth now we have to keep in mind that the unemployment rates are still astronomically high at nine point two percent and so a lot of economists are saying this is not really the time to be cutting the spending this whole battle over the debt limit is kind of a proxy war an ideological proxy war between the republicans in congress and the democrats in congress and we have to keep in mind that the two thousand and twelve election is coming up for both the congress and of course president obama and a lot of political analysts are saying this is just another way for the republicans

to try to embarrass the president to make them look bad the irony in all this is that neither the left nor the right really liked what came out of the deal at the end we saw one democrat said that this was a sugar coated satan sandwich you lift the bun and nobody likes what they see and of course by creating the special commission that will sort of figure out where to cut spending over the next few months that issue is still going to come up right in time for the elections so no one really wins in this deal while the compromise agreed in washington comes just in times of revenue media catastrophe the national analyst max kaiser believes it won't be enough to persuade ratings agencies to let america keep its precious aaa credit score. u.s. treasury bond market will be downgraded it will no longer carry the aaa rating no matter what they decide and this is exactly what wall street banks want you don't make much money trading aaa rated u.s.

government debt most of the economy in america over fifty percent of the economy is tied to investment banking and wall street trading so they control the g.d.p. for them to continue to make money they need to look for new business new revenues turning america's aaa rating to junk will make them many many billions of dollars in fees it's just simple economics and simple business just follow the money of the folks on wall street the american public by the juggler and they going to keep squeezing until they end up putting another fifty or sixty million of people permanently into poverty and just destroy this economy what obama needs to do if you're working in the interest of the people would be to nationalize j.p. morgan and goldman sachs immediately fire these crooks and start all over again because you've got a predatory monopolist down there on wall street who is interested in wiping out the middle class for a quick buck and that is tyranny of the risk of america's possible self-imposed

default has resonated far and wide with global stocks rallying following the house vote but our reports that despite the immediate economic relief more voices calling to replace the dollar as the world currency are being heard. chinese newspapers are calling this entire u.s. debt deal debate fair response civil and even immoral so although people are celebrating the fact that this did pass there is a lot of cautious optimism here but it's important to note that asia has a huge vested interest in what's going on in the united states that is held by asian countries china being number one shipping and being number two so confidence has really gone down here many critics of this deal are thing that this isn't going to do anything to help american unemployment which directly impacts the asian economy as well as you know asia is the manufacturing center of the world so if the unemployment problem isn't solved in the united states that also means that consumer confidence goes down for america and that means that they're not going to

be buying exports from asia so that can really impact the people's jobs here in this continent. artie's appreciator there reporting from new delhi india and coming up ahead in the program under reported voices. i haven't seen anyone from c.n.n. or from fox news or any other big news channel here and it's really sad we also deserve a chance to be heard out. of balance if this really is demanding that their government stats down say the international media is turning its back on the country's problems. and reports are coming in of dozens more protests or deaths at the hands of government forces in syria russia says limited u.n. security council action could bring a quote good results in helping stop the ongoing violence in the country but moscow warns that any measures must be restricted to solving not aggravating the conflict

well the security council has held a close to emergency session on syria amid reports government forces there killed over one hundred protesters on sunday moscow has already issued its strongest condemnation of the violence appealing to both sides of the conflict russia has been cautious about international action on syria fearing a repeat of what it calls the violation of the un mandate on libya damascus is already under a set of american and e.u. sanctions but a former u.k. ambassador to syria told r.t. that internal developments of the country will oust the leader. the economic sanctions are not of themselves going to bring down but what will undermine him over time is the fact that the economy is collapsing it is a truism of syrian politics that if he loses the sunni middle class support from

damascus and aleppo to a lesser extent. he will not be able to maintain his hold on power and when they see that the road he is leading them down is leading to economic disaster then they are more likely to turn against him the moment he has talked about reform but not done anything he's talked about checking the security state but in fact as unleashed it i don't see that intervention militarily would be anything other than disastrous within syria all syrians would object to that would be the one thing that might unite all syrians behind the government in fact. so i don't see any prospect of it a western officials have ruled out military intervention in syria but economic sanctions against of ask us are being stepped up middle east expert joshua landis thinks these measures of all eventually backfire on the syrian people. all of the

syrian opposition leaders who have met and elected executive committees have all demanded that there be no foreign intervention now of course foreign intervention is a very broad and gray area there is military intervention like libya but there is also economic strangulation of the country which could come along the united states already has sanctions fairly severe sanctions on syria the west feels it needs to do something it doesn't want to stop trade you know we've tried sanctions in iraq in iran libya they haven't worked very much and when they have work they starve the people and not the government and that's the danger of sanctions if they feel good because you feel like you're doing something and you could tell the opposition you're on their side but they in fact they often hurt the people you don't want to hurt. i'll go back to our top story just to remind you of the lower house of the u.s. congress has passed a last minute deal to avoid a catastrophic default and that's after months of political wrangling let's talk

more on the u.s. debt deal with peterbilt financial writer joining us from berlin a mr gill thanks very much for being on the program again after weeks of debate and compromise ice has finally been reached but why are we hearing anyone in washington calling this deal a victory. well because it in fact is not a victory for anybody except if you like for the lowest common denominator of compromise the republicans are certainly not happy and least happy of all of the tea party component of the republicans who actually wanted to see not only spending cuts but actually an end to all new indebtedness by the united states the republicans that is the republicans on the on the other side the democrats and that of course includes the president they wanted to see rich americans paying making a greater contribution to the deficit reduction of that would could have meant higher taxes for very well to do people the republicans have stopped that and so

naturally the democrats who are in favor of greater welfare and of course in favor of greater participation by the rich in america they also not have to but it's the best compromise that with the time running out that anybody could reach now is the best compromise for now as you're saying but there is still the issue of the trickle a rating which is really getting investors scared it's been a voice out in asia in other parts of the world so credit agencies might still downgrade the u.s. a credit rating even if this deal espoused now will this eventually scare investors away from america. well the trouble is that most investors in america don't have anywhere else to go people who are countries sovereign funds which have large amounts of money which they need to park somewhere until they can use it at home and that of course is above all the chinese to some extent some of the richer arab nations but also russia they really have nowhere else to put their money of course

they're not happy about seeing the dollar in which they're investing their money possibly inflating and losing value but in the short term there really is nothing else they can do because if they take their money out they can take it all out at once what is left is going to be downgraded even further so it's a case of shooting yourself in the foot if you do the logical thing which is to put less money into the united states and you know the deal a seems only a temporary solution you are saying it's the best compromise you can come up with now but the debt still continues to pile up it's still in the trillions it's still there how long can the u.s. keep raising the debt ceiling. world vision is a question that nobody can possibly answer because although the actual credit rating this aaa rating might be in doubt now and it's possible that one of the rating agencies would either downgrade that aaa rating or put it on what is called

on negative watch in other words that's a warning but if things don't improve what they would do and graziers some point in the future that of course is going to alarm everybody but you know these ratings they're all relative there is nowhere else in the world where you get a aaa or even very nearly a aaa rating but it could certainly have an impact on banks all through the world and if banks are unable to use their treasury bills as collateral in order to borrow money from verse twenty four banks and the valley is one of the dangers vell of course we could see another freeze up of the world banking system the way we did in the year two thousand and eight with who knows what sort of. impact on the world economy we could be not only having a double dip but another another major recession and that is the fear which whatever they do in the united states having run up these enormous debts that fear is going to remain and it's a valid fear that mr bill let's just just briefly i'd like to touch on the u.s.

elections i mean president obama's key objective here is the twenty twelve elections he already has his eye on and how will the agreement influence his chances of reelection. well it doesn't make him look good if anybody has one if you like it is the tea party the republicans that have held the country and held the president to ransom to accept a deal that he absolutely didn't want to do now on the one hand that makes him look weak if on the other hand the result of this deal largely pressed upon the president by the republicans if that leads to a downturn in the u.s. economy if people start seeing that possibly that their welfare payments their social security. their health care payments to veterans indeed even payments to current serving the soldiers are in any sort of danger it's not clear who they will actually blame in the end it is quite possible that this sort of

radical form of financial stringency which has been imposed will actually rebound on the republicans that we should actually say although the debt yes the ceiling has been raised and the president have been given the authority to raise it once more in order to go past the next election it is simply unclear how this is going to play politically particularly if the economy does suffer a severe downward impact which is absolutely possible all right thank you very much for your insight there thank you peter bell the financial writer talking to us from berlin. now the suspect arrested in connection with an explosion that took place at a kindergarten in eastern russia which left one girl injured has confessed to the crime of the blast wounded a five year old pupil who noticed a small box decorated with a ribbon on the terrace of a kindergarten in the city of qom so most not

a movie reports say the bomb was packed with nails and other small metal objects leaving her with multiple cuts and severe burns local authorities are treating the incident as a terrorist attack schools and kindergartens across the region are now being inspected by authorities now the twenty eight year old suspect is still being questioned by police and on the way back to the front line after two decades we'll find out why the u.s. has sealed a multi-billion dollar deal the supply of russian helicopters to afghan security forces. in israel mainstream media are being accused of burning their heads in the sand over coverage of the biggest anti-government protest the country has seen in decades while tens of thousands of people fed up with deteriorating living standards are staging demonstrations calling for prime minister benjamin netanyahu to stand down result his policy or reports now from television protesters voices are simply going on heard by the rest of the world. tens of thousands on the

streets of israel angry and protesting for change but is anyone listening when it comes to a lot of the foreign media want to see more of an action movie and this has been very violent it's been very hard and been violent at all it's been very positive. well into week three the largest demonstration in israel in over a decade and how did a.b.c. c.b.s. and n.b.c. coverage they didn't a younger woman set up the tent while the editors of france twenty four b.b.c. and sky coughed up just a few meager seconds perhaps not even that interesting to. back. in the studios ok there's a protest what exactly is a protest a social protest. it's not the same kind of story that they're used to it's not as big and dramatic some of the bigger revolutions happening around the middle east

and i mean isn't surprised by the worldwide lack of media interest he's worked in the israeli press for decades reporting from media both foreign and local there is a box that the international media has put israel in and that is the israeli palestinian conflict or so israeli lebanese and syrian conflict anything that doesn't kind of further into the. type of of news item which is unfortunate that just makes hundred reyes and others angry for nine days she's been camping here furious that she can't make ends meet as a university student it makes me feel sad that when egypt decided to stand up and say we've had enough and where in lebanon they decided to say we've had enough the media was all over there i haven't seen anyone from c.n.n. or fox news or any other big news channel here and it's really sad we

also deserve a chance to be heard out on the streets has been. suffield cornered by some of the people here an optimism perhaps the base too can bring down the government in the way they may visit it's not his square. dance with the cameras they were willing to no one stopped him a pretty absence. to see on t.v. television matter. now blogger danny schechter says that the reality of life in these rural often goes on notice because the country only attracts coverage for its role in conflicts many americans think somehow the israeli government is very popular the leaders of israel are to get a lot of attention in the american media israel is presented almost as a model with the country when it's actually an extremely divided country a massive protest of the kind we've seen in israel about you just the economic realities that people there are experiencing is something americans have no understanding of because there's no context in the reporting israel's only reported

in the context of its conflict with iran or its conflict with palestinians the actual reality of life in israel and what's happening to people there and how this right wing government in israel is handling the economy is something that we never really hear about whatsoever it's a very unstable situation the economy there is very unstable as well you know when you look at the middle east generally speaking they talk only about the arab countries only they have internal the discord the never hear about israel's internal discord and the fact that this uprising essentially is taking place in israel while the same time as one going on in syria this one going on in egypt you know shows that the same pressures are you know being experienced by israeli people as well which is inflation economic pressure food prices rising oh all kinds of economic uncertainty. and more news is coming from e.'s rail where

the prime minister has announced he's ready to discuss israeli borders with palestinians many netanyahu has agreed to negotiate a possible return to pre-one nine hundred sixty seven territory lines has been occupying land in the west bank where palestinians hope to build their own state since the six day war over forty years ago peace talks over borders have been stalled since last september due to construction of jewish settlements in the area . afghan officials say at least four people were killed and ten wounded in a suicide bombing in northern afghanistan when an attacker blew himself up at a local guesthouse two other insurgents broke and gauge police in a two hour shoot out this comes two days after eleven people were killed in an assault on police headquarters in the south of the country.

japan's energy operator tepco has detected the highest level of radiation at the fukushima nuclear facility since the march earthquake and tsunami hit the play of the reading i've taken between the first and second reactor buildings registered at levels considered fatal to human health the company and the government say they remain on target to bring the reactors to a safe state of cold shutdown by january well tens of thousands of people remain in temporary shelter after a no go zone around the complex was enforced. now legendary russian a military helicopter which has been in service for decades is coming back to the front line in afghanistan well the u.s. has bought over a dozen choppers from russia for the afghan security forces. are reports. i've got it's is the nickname soviet soldiers gave to the strong sending wind of afghanistan over twenty years ago they regarded as their main enemy as they

struggled through air missions over high mountains in extreme weather now it's these the soviet designed am i seventeen which made its name as of guided survivors . the engine of this helicopter me not to be the most advanced but it's well protected from the destructive sound unlike many of its alternative is very powerful and perfect for the extreme climate of afghanistan it will be able to operate here for about twenty five years. the u.s. led mission in afghanistan will end soon when they do its troops go to n.y. seventeen's will make it come back to face the afghan is whence once again russia will ship twenty one helicopters to afghanistan to help the country's security in years and pilots work together to perfect and ease operating of m y seventeen while it seems quantum physics to me afghan pilots are already familiar with the machine

many of them trained under soviet air force instructors even now twenty years later speak perfect russian. i graduated from a pilot school in the russian city of christendom in one thousand nine hundred four when i got back to afghanistan to serve in the army we only had soviet aircraft those machines were the best to get to the most difficult and isolated parts of the country with the us will be for afghanistan's m.-i seventeen's something which put american helicopter manufacturers in a spin with congress and using russian military aircraft the countries had plenty of helping hands after the soviet invasion and russia provided millions of dollars worth of military hardware and wrote off a ten billion dollar debt to the u.s.s.r. now that the deal is sealed russian engineers are working to assemble the helicopters the m i seventeen's prove that military might doesn't always mean advanced technology as long as it's got the stuff for the terrain and they've beaten their guidance wins before they only go r.t.

. well kareen is here now with all the latest in the business. hello and welcome to business here and take it to have you with me and our top story this hour german energy major it all is taking gas problem to court. to get lower prices for russian gas company argue spot prices are up to fifty dollars cheaper for thousand cubic meters than the current long term contract it has with gas problems but in a pickle has the details. gazprom says it will read to revise the gas price for eat all last year at that time persuaded gazprom to sell a part with gas at a price linked to support prices which will lower their gas problems contracts now eon is asking for further reductions the company's suffering had the losses due to the gap between the gas prices prize and that's all the european markets which

serves the gazprom wants to stick to its long term contracts which it says provide security for customers at only a small premium to support prizes the talks have lost to the for more than a year now without success so now eon is taking the matter to an arbitration court lawyers we've spoken to suggest it is it will be in the courts power to instruct gazprom to decrease what it charges but it would need a contractual reason to find in favor. now the united states may have avoided defaulting on its debts but that has created little optimism on the markets instead investors are focusing on the poor state of the world economy also adding to concern is the fact that washington will be cutting spending by two and a half trillion dollars over the next ten years. does due in plays we're going to see some significant cuts in public spending in the second half of gear exactly at a time when the u.s. economy is slowing down so obviously i can use to imply some good old. division

seen green growth united states and united states is still the biggest economy in the world i think the two are going to do some good all down don't want to divisions in the world and such kind of environment usually russia doesn't do very well we have done a couple of calculations we estimate that if. my distance for example was reduced by one percent growth you in russia could actually suffer by two percentage points which is not non-trivial nontrivial impact. now looking at the markets now well prices are under pressure following a disappointing report on u.s. manufacturing that boosted concerns over crude to light sweet is currently trading at ninety four dollars a barrel while brant is at one hundred and sixteen dollars a barrel stocks in europe open lower with banks in focus markets are keeping an eye on the u.s. where the debt steel now headed to the senate for winning approval in the house of representatives shares a v.m.p.

point six percent of the second quarter results of barclays rose over two percent after earnings and here in moscow it's a similar story with both mania this is in negative territory the algiers point nine percent lower while the minus six is down over a quarter of a percent let's have a look at some individual movers otherwise six this hour energy and banking stocks are weighing on the into seas from losing a point seven percent while we should be is down more than a third of a percent meanwhile russia's air carrier air flight is supported by positive results the company has almost doubled its net profit in the first half of the year reaching two hundred forty three million dollars. for update for this hour but don't forget to join me in about forty five minutes from now stay with us.