in india she's available in the movie the joint the hotel rooms the elevator that's the great way to go to the grand imperial truly the torch was pushed coromandel you can a listener to know the socialist see don't need to go and. read this and the colonel was neutral as this career treat. the emergency deal to avert a debt crisis has been approved by the lower chamber of the u.s. congress narrowly escaping a devastating before. the death of the bill is now in the hands of the u.s. senate after months of political bickering will it be enough to impart a national crisis. global stocks a rally as america self-imposed budget collapse of confidence in the u.s. reputation as the world's creditor has been severely damaged. russia says a u.n. action could help to bring an end to the violence in syria warns against excessive

measures that could lead to a libya style intervention experts stress the e.u. and american sanctions being in force against damascus are only making matters worse. under the voices of tens of thousands of anti-government protesters in israel calling for the prime minister to stand down going on reported by the international media. business the u.s. lawmakers are calling together a deal cut spending and avoid a dead default the process is firing little confidence in the markets journey for business bulletin and i think. this is where the twenty four hour global news i'm already seeing showing welcome to the program the lower chamber of the u.s. congress has passed a last minute deal to prevent a devastating full scale before after

a months long political confrontation the only remaining hurdle now for the legislation is the approval of the senate that's expected later on tuesday. you can find out an hour is reporting from washington. 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 avert 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 stifling of growth now we have to keep in mind 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 democrats that this was a sugar coated satan sandwich you look at the bun and nobody likes what the steve 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 election so no one really wins in this deal. with an offer from washington while the compromise agreed in the u.s. capital comes just in time to prevent an immediate catastrophe financial analyst my scars it 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 that simple

a rating no matter what they decide and this is exactly what wall street banks wants you don't make much money trading aaa rated u.s. government that 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 revenue is 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 the folks on wall street pav the american public by the juggler and are going to keep squeezing and so 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 and their loss rate is interested in wiping out the middle

class for a quick buck and that is tyranny howard stand for a european perspective on america's a budget struggles and you know just a moment here we can cross and lived through economics professor patrick i mean freedom from the cardiff business school thank you for joining us today and just getting your piece in final preparation and we just heard the opinion that cats on wall street are actually benefiting from the u.s. economic struggles so globally speaking who else could be cashing in on america's pool crisis management. well i mean capitalism is a system whereby people make bets and that's what keeps liquidity going so i've no idea who could be making money people could be losing money people commit making money according to the bets they made so i don't think this is a very. profitable line of inquiry really because we don't know now if the criticism of the us a budget deal mainly targets the lack of a long term solution i figure saying this is only

a six month solution one will definitely take on the bigger picture in terms of its rocketing debt thing. well you know it's a long term problem of any democracy that it makes a lot of promises to people and when people get older those promises have to be kept all dishonored you know and that's a long term problem of people getting older and big promises having been made and that's true of most democracies and in fact most countries these days advance countries have this problem of people getting older and having to think about how to deal with that pensions and that medicare and all those things so this will be something that will run and run until the u.s. reaches some new consensus about what level of taxation it can afford and what level of benefits you can afford to give people as they get older certainly seems or they might be poised to slash a lot of benefits in the public sector but a lot so let's look at the broader scope of what you think today's action in

congress means for the struggling economies in the eurozone. well i think the eurozone has its own problems and frankly this whole issue of the u.s. has been blown out of proportion because of this internal debt ceiling that they created in order to make sure that they had these crises and force themselves to confront their problems but actually it was all well known that this would be resolved the longer term problems remain so the euro zone's problems remain just as they where they are but germany and in particular is not willing to pay for the problems of greece and portugal and ireland and spain and italy and those countries really can't afford to pay the interest rates so that germany and france and others have said well the loans they're making them could so-called bail them out so their internal contradictions in the euro zone which will take a little time to resolve and i think will be resolved by the breakup of the euro

and greece and portugal leaving the euro at least for quite a long time there are many analysts and the the poor see the coming graveyard shift of the eurozone that is faltering and has been for some time but let's focus on america who could replace the u.s. if it proved to be incapable of keeping up with its role as the world's creditor who is next in line. well the question about the us is a question of dynamism i don't think anybody needs to replace it but what we can't afford to lose is america's dynamism as a technological leader and innovate in economics world capitalism that's that's what you can't afford to lose it's not a question of imperialism or things like that it's a question of economic dynamism and growth and i think that america is going through a bit of a crisis in terms of whether it wants to go down the obama road more benefits higher taxes become

a kind of just another social democracy or whether it's going to go back towards its traditional role of a low tax economy with fast innovation and technological leadership that's the big question if it goes the route of obama and more kind of high taxes and high benefits and sluggish growth then i think the world economy has a problem because it loses its technological leader and then with the that the technological leadership will have to shift elsewhere capitalism will have to find a new leader in terms of innovation and dynamism but i don't think i think we're a little way away from that because i think this deal has signaled that obama's strategy is going into reverse and the american people don't want the obama route i don't think this is what's going to come out of this whole episode well now you mentioned a moment ago about you know the u.s. needs more growth and diversification also you're saying that america's financial future is not as bad as some people suggest but so you know i don't want it to

raise up some tax hikes on the wealthy and that of course abide by the new concern neo conservatives and the wealthiest operation that was immediately named aid but what about america just simply cutting its defense spending we know that america's defense budget is the size of the entire world's defense budget combined surely with these wars going on in various parts of the world surely america could save a fortune by cutting back on defense spending and cutting back on its wars. well i think that's absolutely true. and that that's really a question of what what what nato will do and what other countries will do in terms of stepping up to the business policing the world you know if we cannot really afford to merit it can't afford to be the world's only policeman so what i think we have to look forward to is other advanced countries taking on the sharing of this burden of being the world's policeman with rogue states you know massacring their

people or embarking on wars that are very damaging to other nations close by that sort of policeman activity is really what the us has been doing and to be honest it's the rest of the world's responsibility to help us do this not the kind of undermined and what we need is more cooperation between the leading nations of the world in this defense area first of patrick wintour from the cardiff business school many things. right pleasure. but at the risk of america's possible self-imposed default has resonated far and wide with global stocks rallying following the house vote but artie's reports despite the immediate economic relief more forces called in to replace the dollar as the world currency being hurt. chinese newspapers are calling this entire u.s. debt ceiling debate irresponsible and even immoral so although people are

celebrating the fact that it didn't pass there is a lot of cautious optimism here but it's important to note they have a huge vested interest in what's going on in the united states that is held by asian countries china being number one szczepan 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 impact 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. opposite i think our previous read of the reporting from what are still to come for you here on the program on our t.v. 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. tens of thousands of israelis demanding that their government stand down so the international media is turning its back on the country's problems. reports are now coming in and dozens more protested deaths of the hands of government forces in syria russia says a limited un security council action could bring quote good results and helping to stop the ongoing violence in the country however moscow warns that any measures it must be restricted to solving and not aggravating the conflict security council has held an emergency closed session on syria amid reports that government forces there killed over one hundred protesters on sunday moskos 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 sanctions but a former u.k. ambassador told us. regarding the case in syria internal development in the country will ultimately 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 rather 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 is 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. meantime western officials have ruled out military intervention in syria but economic sanctions against americans are being stepped up at least expert joshua landis things these measures will eventually backfire on the syrian people. all of the syrian opposition leaders who have matched. elected executive committees have all demand 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's also economic strangulation which would 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. they haven't worked very much and when they have worked they've started to keep open not the government and that's the danger of sanctions it's a big feel good because you feel like you're doing something and you could tell the opposition you're on their side but in fact they are going to hurt the people you don't want to hurt i know we're following all the events taking place in the middle east where the unrest continues you can follow our events that are people can get the latest news updates on the videos of course i waiting for you there right now on our web site egyptian police clashed with activists a long lasting demonstration on congress to roost square trying to disperse those angry at the interim government prolonged political improvement. also on our web site r.t. dot com a hacker group who hijacked the twitter page of the norwegian mass murderer and there's a pretty big claim in the breach was an attempt to undermine the killers of online

posts and ideological standards. and a wild west meets the east in russia where people turn into cowboys and indians for the start of the annual cowboy fest. it with r.t. live from moscow now the suspect arrested in connection with an explosion that took place over a kindergarten in eastern russia which left one girl injured has confessed to the crime but last winter a five year old people who noticed a small box decorated with a ribbon on the terrace of a kindergarten in the city of moore reports say the bomb was packed with nails and other small metal objects leaving her with multiple cuts and severe burns the local authorities are treating the incident as a terrorist attack schools and kindergartens across the region and i'll be

inspected by police the twenty eight year old suspect is still being questioned all right so well on the way for you here at r t back to the front line after two decades find out why the u.s. sealed a multi billion dollar deal to supply russian helicopters to afghan security forces . in israel main stream media are being accused of burying their heads in the sand over coverage of the biggest and government protests the country has seen in decades tens of thousands of people fed up with deteriorating living standards are staging demonstrations calling for prime minister binyamin netanyahu to stand down but artie's reports from tel aviv protesters voices are simply going unheard 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.

been very violent also 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. cover that they didn't a young a woman set up a 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 is a protest well what exactly is a protest a social protest over the river. it's not the same kind of story the pollution is not as big and dramatic as some of the bigger revolutions happening around the middle east and i'm here because russia 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 israeli palestinian conflict or so it is really in syria conflict and anything that doesn't kind of fit into that. 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 eleven and 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 done. you're cornered by some of the people here not to miss it perhaps the paper can bring down a government in the way the neighbors in time it's going to. pass whereas the

cameras they were voting for non stop here they pretty absent for the c.r.t. television. and more news now incoming from israel is where the prime minister has announced he is ready to discuss israeli borders with palestinians any minute netanyahu has agreed to negotiate a possible returns of pre-one nine hundred sixty seven territory lines israel 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 it's when an attacker blew himself up at a local guesthouse two other insurgents broken engagement lease in a two hour shootout this comes just. two days now after eleven people were killed in an assault on police headquarters in the south of the country. twenty six people

were killed and dozens more wounded in pakistan city of karachi in the past twenty four hours during ongoing political and ethnic clashes identified men were reported setting fire to houses and vehicles police say about two hundred people were killed in karachi in july loan the city which has a long history of ethnic and religious violence has deployed additional police and paramilitary troops to tackle the unrest. japan's energy operator tepco has detected the highest level of radiation at the fukushima nuclear facility since the manch quake and tsunami hit the plant but reading between the first and second reactor buildings registered at levels considered fatal to human health the government and the company that say that they remain on target to bring the reactors to a safer state of shutdown by january tens of thousands of people meantime remain in temporary shelters after a no go zone around the complex was in force. a legendary russian military

helicopter which has been in service for decades is coming back to the front line in afghanistan the u.s. has bought have a dozen choppers from russia for the afghan security forces. reports this. is the need to name soviet soldiers gave to the strong sending winds of afghanistan over twenty years ago they regarded as their main enemy as they struggled through air missions over high nouns and in extreme weather now it's used to describe these the soviet designed and my seventeen which made its name as of guided survivors. the engine of this helicopter may not be the most advanced but it's well protected from the destructive sounds unlike many of its alternative source is very powerful and perfect for the extreme climate of afghanistan where it will be able to operate here for about twenty five years and also the u.s.

led mission in afghanistan will end soon when needed troops go the only seventeen's will make it come back to face the van is when it's once again russia will ship twenty one helicopters to venice than to help the country's security engineers and pilots work together to perfect and ease operating and why seventeen while it seems quantum physics to me after an pilots are already familiar with the machine many of them trained under soviet air force instructors even now twenty years later to speak perfect russian you know that i graduated from a pilot school in the russian city of christendom in one nine hundred eighty four when i go back to afghanistan to serve in the army we only had so good a craft those machines were the best to get in the most difficult and isolated parts of the country i regret that the u.s. will be for afghanistan's and my seventeen's something which put american helicopter manufacturers in a spin with congress using russian military aircraft the countries had plenty of

helping hands. after the soviet invasion russia provided millions of dollars worth of military hardware and route off a ten billion dollars to the u.s.s.r. now the deal is sealed russian engineers are working to assemble the helicopters and my seventy's proved that military might doesn't always need advanced technology as long as it's got the tough stuff for the terrain and they've beaten they're going to win if we're going to go r.t. as a. starter not forty five minutes past the hour here in the russian capital a time out for korea i'd like us from the world business. our current financial news here now to thanks for joining me care about energy major mistake and gas plants of course to get a lower price for us and gas the company argues spot prices are up to fifty dollars cheaper per one thousand cubic meters than the current long term contract it has with gas problem that's what we call the has modest. gazprom says it already

revised the gas price for eon last year at that time persuaded gazprom to sell a partner with gas at a price linked to sport prices which will lower the gas pumps contracts now eon is asking for further reductions the company's suffering have the losses due to the gap between gas from surprise and that's only european markets which killed service but the gazprom wants to stick to its long term contracts which it says provide security for customers at only a small premium to support prices the talks have lost for more than a year now without success so now iran 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. lawmakers in washington are still calling

together a deal to cut spending and avoid a debt default on the plan seems to set to go through the process is inspiring little confidence in the markets investors are concerned says just a short term fix and the ratings agencies will see through it. i think that the market truly focus its attention. by the rating agencies right what the rating agencies do now under the course and to keep who are these the rating agencies because be more vocal about that be sure to straighten them fourteen to dry and they say look if we don't see a credible long term plan for the school. great harm and you're really great speech about it i'm not quite sure it will be convinced to do some supply and. the government and that's why i said it is a fifty fifty chance that that's not the most important thing for us. let's have a look at the markets now european stock markets all over with banks leading the declines you care about two percent after reporting

a one percent rise in second quarter profits ranks are also lower with crédit suisse four and a half percent in london shares of xstrata tumbled over two percent of the. profits more than double a similar picture and also go where and this is our negative territory the r.t.s. is down over one percent bottom line six is down point seven percent this hour let's have a look at some individual moves on the rise six energy and banking stocks are weighing that and says gas from is losing almost a cent while the t.v. is a quarter of a percent down meanwhile russia is there care fraud is supported by positive results the company has almost doubled its profit for the first half of the year reaching two hundred forty three million dollars. but you can always find most stories just log on to our website. headlines up next.

long. wealthy british style. but i'd like my. life.