in india in the movie joyce the photo of the gateway hotel the grand imperial truly told us the. socialist

said don't need to go and. read this and the colonel was toto treat. the headlines on a. crisis talks with the e.u. over its mounting debt problems sparking concerns it could be on the path to a greece style belt out. supporters and opponents of hosni mubarak clashed fatally outside the court in cairo where the deposed president of egypt faces trial. you may feel the charge of the country killing one hundred fifty people something that you categorically deny john any other kind of look at from the details in it. divisions in the u.n. security council western countries press for an outright condemnation of the syrian government for violence as russia says that could damage the road to peace and calls from its. own business are also markets and certainly losing strength

after they do what is the longest losing streak in almost three years what are all the details on that in business in twenty minutes. live from the heart of moscow this is artsy welcome to the program a new storm is brewing in the beleaguered europe crisis talks with the e.u. over its surging borrowing costs the country's bond yields have reached their highest levels since the year i was adopted spain is facing the same problem as rush to rid themselves of risky investments our europe correspondent daniel bushell has. people and politicians here in brussels are very angry and very worried because they're feeling they've been lied to yet again i mean after the first greek

bailout they were told never again by e.u. leaders and of course came portugal and ireland then a second greek bailout now it's really is in crisis talks has been in crisis talks today in luxembourg with john claude. finance chief and they've been talking about something called the yields we're going to be hearing a lot about that in future because deals over six percent are considered unsustainable that means the amount of money that italy has to offer the percentage of return it has to offer to investors to get them to invest deals on italian ten year national bonds have gone over six percent to six point spain's been at six point three percent spain obviously another big concern the prime minister the zapper terror council has called a day to return and deal with the crisis in spain italy is natural that usual for fall when it's gross domestic product so that's another thing that people are saying can't go all the trouble is italy's economy is much bigger than portugal greece and ireland put together so even if the e.u.

wanted to bail them out there's a real question question whether it could do it in these parliament last month post huge spending cuts but the trouble is that it seems the italian people going to have said that they are going to plan a national strike if the government goes through with its cuts now an interesting thing is silvio berlusconi the prime minister of italy has put back his speech on the issue until after the markets closed today now that could be a sign that he has something to say which could shock the markets once again europe is turning to move for a way out said we will continue mediation in combe of those with italy the trouble is that investors are voting with their feet and they really are the ones who destroyed one of the world's biggest bank has slashed its exposure to. italy significantly as well as to the other troubles of greece ireland and portugal so investors are really saying that they don't have confidence to support the words of

a united as the country can deal with the problems and the more has described the market treatment as a cause but the concerned. parties down are pushing reporting right there now as many analysts believe the spike in bond yields shows that the sovereign debt crisis is a long way from being under control economics journalist patrick young says an italian bailout would be disastrous for the entire eurozone the european union's bailout fund is on the verge of running out of money as soon as one of those major economies such as spanner italy default and every day the market is saying it is terrified of the debt that has been built up in the system and it's appalled by the fact that nobody in the eurozone wants to actually lead a sight of this problem if italy asks for a bailout there simply isn't going to be enough money there in order to manage to pay it at the same time we've got a problem because banks in france and germany well they're very much split the big banks are finding ways to try and reduce their risk and reduce their profile of

debt in these lesser quality nations the big banks are moving very quickly to get out of this debt i think the problem is that they're using quite sophisticated derivative instruments often in order to reduce their holdings and the problem is those instruments aren't necessarily available to smaller banks in the sea in big countries like france and germany so we actually have a problem because when mrs merkel or mr sarkozy looks at the problem tonight they've got a situation where the big banks may be able to say if you i'm ok i've got out of this problem but actually the smaller banks are the ones who are going to be left holding the baby actually italian hogs holds by a huge mind of italian government bonds and that's always been a very steady business but at the same time somewhere along the line you need to sell some of your bond issues to overseas investors and if a bank like deutsche of buying basically says we don't want to hold. italian government bonds that lots of other foreign investors are going to say gosh i could be on to something we don't want to buy those bonds either and the problem for

italy is it has a lot of three funding coming up in the course of the next six months in other words it needs to say oh a lot of deaths no one in the euro zone wants to cure the problems they simply want to throw effectively aspirin to cure an appendicitis annoying everyone is gradually getting the appendicitis throughout the euro zone and unfortunately the way to cure appendicitis is actually surgery. across the ocean though the world's largest economy has been a rescued from the brink of collapse barack obama signed a bill to raise america's borrowing limit within with just ten i was rather to spare before the country was due to default after months of political wrangling democrats and republicans hammered out a last minute compromise which finally cleared both houses of congress however the deal to increase the u.s. debt ceiling by almost two and a half trillion dollars is viewed as less than perfect by both parties many republicans pushed for less government spending all democrats wanted to keep social programs and have the richest americans pay more in tax but despite the last ditch

agreement john moody's has slapped the u.s. with a negative economic forecast our standards imports could still downgrade his aaa rating and it's not easy you're cutting it out of a record so many say that the u.s. is used to dishing out advice to others but maybe less accustomed to helping itself . congress has now approved a compromise to reduce the deficit and avert a default that would have devastated our economy the u.s. just had to swallow this bitter pill but many students it will help the patients' recovery but will instead prove to be a poisoned chalice our economy is not growing at all in fact unemployment remains very high foreclosures remain very high no recovery is taking place and are we on a suicide mission. we may be gesturing you know to kind of deal with debt at the same time make it impossible for the government to play any role to save the

economy any economy is going down rapidly at some point shortly after the collapse of the soviet union russia became an american laborde tree for nearly broke economic theories but can americans take their own advice now to deal with their own economic crisis repressive live within your means the same advice they gave was without knowing our economic and social realities and we. look to be russian guy had it russia central bank in the immediate post soviet period the year he took up the job in one thousand nine hundred two so the worst four figure inflation in russia's history the us the sorry came to nantes as the communist economy was in collapse but there was nothing to replace it with. supports the situation was disastrous for it did it was over a hundred billion dollars in gold in foreign currency reserves well listen fifty million which effectively means nil. if you want to reformists of that than

government remember holland america's advice so-called shock therapy was a plot the markets might have got the therapy but the people got the shock empty shelves and must pull their business goes or as one politician said to me from a market to a communist economy is easier it's like trying to turn your query into fish soup but to do the opposite is much harder it's like trying to revive the dead fish it took me wouldn't russia a decade to revive its a quarry him and return to economic growth transforming the country's fortunes after the disaster of the nine hundred ninety s. but would the us now the patient in dire need it could all make surgery will soon see the math and they thought it was good enough for both albeit russia will be fit for america it's a democratic year of art. school. art is now a time as part of the hour here in the russian capital you without say the chips

ousted president hosni mubarak is on trial for corruption and ordering the killing of some eight hundred and forty people during february's uprisings so charge could incur the death penalty outside the courtroom in a car in the capital that mubarak supporters clashed with his opponents and one person was killed by the fifteen were injured as each side hold rocks and bottles at each other. on a boycott is following developments for us there and kyra. while the judge presiding over the courtroom role that the trial of the children feel all this safety is primarily due to health reasons i'm still expected to remain at a military hospital overseen by an m. college if he's. concerned he's dissatisfied insist that he is in the. people that's actually prevent him from. buying and i think at the trial i feel it's conclusion. that he was

slipping in and out of. suffering from heart that he was suffering. but. i wrote people for a time. back in january and believe that all these reports are for health and nothing more than just the actrix a ploy. for back to part from testifying to the belief that that's place nicely. that is in charge of many of the general. members of this town so i'll pass on. some of his testimony as i don't some of my. come from i think political allies that helped him to remain in power for so long now of the child was surrounded by a very happy security operation about five thousand police and that riot police.

here at the tribes the clashes become essentially a feature of the day here in cairo. as far as. i'm. sure it's all wrong there are a lot of access cases that patch to the shroud. the secret. really helping the revolution first actually be. that it's one big thing you get the fact that certain economy how many people were disillusioned that my colleague mary are not and how important this quaint cairo is now one of the most famous in the world many around the globe even those with little knowledge of arabic know its name the clear means liberation well the revolution of january put this part of the globe on the map but apart from that what else did it bring the people of egypt. this man has been running his own business for thirty five years

it used to bring him enough money to send his son to study to canada and take his large family abroad one. between the economic devastation caused by and rest and political uncertainty mahomet's into price has been badly affected now he can barely a food to feed his children he says the wind of change may have brought freedom to egypt it is brought a survival stone in its wake. you know i love the revolution when it happened i welcomed it that looked at the time like a light at the end of the tunnel we see it's not getting better we have nothing to eat don't tell me about democracy for hungry people it just doesn't matter. the plight of poverty fuel the revolution your growth has dropped from five to just one percent some thirteen million people live below the breadline unemployment has hit

twelve percent. egypt's revolution was regarded as the most successful arab spring chapter it took eighteen days to end one of the world's longest dictatorships but five months on there is little satisfaction and dictator free egypt is far from the best place to lead. the people. and. but people now are reporting about well much better than that they. would be a better solution and this in fact as a very sad that is our people are indeed tired even those who back the changes this young man is from the revolution youth caliche and he tries to remain optimistic because he says sounds a lot like south conviction that i get on the other side we've been living under mubarak for many many years too many i'd say but it's great what we did but we do need to be more patient and this is difficult we have

a lot of problems right now but we do need to wait for a little longer. recentre need demonstrations in the square show that there is thai system has been pushed to the limit and it's trade tests versus patience and the battle to save egypt from crumbling through their grief an option or r t cairo. well a slowly losing hope that they'll see the benefits of their own revolution william angle who's written extensively on egypt's uprising says the people fell prey to a game of simple politics. there has been no revolution in egypt i said so and in our t.v. interview in late january i believe exactly that would be the outcome because this was incited from the outside it was designed to get rid of mubarak who was a thorn in the side of the obama middle east policy and put the same people in there with it with a different face at the top a lot has changed and it's largely unfortunately changed for the worse the economy

as you noted has plunged since the events of january. the tourism is not going to be bombed back any time soon but even even still there was a rather healthy growth curve in the last several years even while mubarak was still in power and that is that has dramatically changed for the worse this never was about democracy in the first place a lot of youth were brought onto the streets under the illusion that it was but it never was and the military command was sitting in the pentagon all these events were unfolding getting coaching from the joint chiefs of staff of the u.s. and now you have the muslim brotherhood position to become the leading political party in the in the elections when they're held. that doesn't bode bode well at all for egypt this is a country with a diverse secular tradition and the economic situation is getting worse so i don't think young people have more democracy i think perhaps they have even less.

on egypt and the middle east we spoke to him just a bit earlier here on are still plenty more to come this hour here on our border. as nato increases its presence along the northern front between kosovo and serbia we explore the possibility of even further escalation is an ethnic tension. there is no sign of letting up in syria the crackdown on protests continues government reportedly move into central the opposition stronghold more than one hundred people are said to have been killed over the past few days meanwhile the u.n. is locked in debate over what action to take on the crisis. from new york. there is a divide among security council members on where the condemnation lies the u.s. and its western allies believe there should be a direct condemnation against the syrian government and the syrian president for the crackdown against anti-government protesters that have been taking place since

mid march yet other countries like russia china india brazil and others believe that there should be a much more balanced approach that whatever words are used in any text that is put forth by the security council should not exacerbate an already sensitive circumstance in syria now russia has said in the past that it opposes on balanced measures such as saying sions that could create an even bigger problem and the russian ambassador to the united nations vitaly churkin has said that the resolution dealing with libya he believes was dealt with very frivolously and the security council can't help but keep that in mind when contemplating what the security council can and can not do when it comes to the situation in syria we're concerned about the violence and these collusion of the gauntlet and saying that these circumstances the security council could and should see the positive signal

in favor of political accommodation and ending the violence some of the positions. in terms of leaning on one side which is detrimental to the objective picture. of the russian delegation shared by some other members of the security council to do everything possible in order to. pull away from the brink of a civil war with syria is finding itself russia and many other security council members believe that the text of any draft resolution or presidential statement should be aimed at changing things on the ground in syria to send a strong. signal to the violence and move things forward peacefully now we do know the security council members will continue discussing this matter and what is clear is that the international community is trying to reach some type of consensus to help end the violence that's been taking place in syria for more than four months.

reporting you can also catch up to the latest developments unfolding in syria by doing so online and on t.v. dot com i get a firsthand account from our reporter sharing her take on events directly from the heart of the protest torn region. also take me to your leader i wouldn't alien lands in russia this monument to extraterrestrial visitors is unveiled in an area of. u.f.o. fronts for high numbers of reported sightings all that and so much more don't come . nato has sent hundreds of extra troops to cause of as violence escalates on the northern border with the reinforcements will bolster alliance forces already patrolling the area border clashes between cause of our special forces and ethnic one police officer killed and peacekeeping forces fired on tensions were raised last week because of

a police seized two crossing checkpoints to enforce a trade ban on imports from serbia this was in response to belgrade existing embargo on cause of and goods in place since the unilateral declaration of independence in two thousand and eight. a serbian canadian film director thinks that whatever concessions are agreed it will just be making them. they would not be sending troops into kosovo if they didn't estimate that the situation could explode into a larger conflict and considering that the international community has an interest in solving the so-called north causal issue it would not be unreasonable to suggest that they are trying to sort of fix this issue as fast as possible and i strongly believe that if force is necessary to do what they have planned they will use it this escalation of violence of course is not helping belgrade because. the people of serbia. see this as a provocation and it is making their sentiments against reaching

a compromise. not very favorable for tried or so. so i think this is not definitely helping anybody whatever both sides are urged to negotiate it is mostly for the reason to get the serbs to accept something rarely are albanians ours to make concessions to serbia and serbia has already made many concessions to the so-called republic of course so they recognize their documents their i.d.'s their license plates so i think calling for the albanians to negotiations is another call for serbs to accept more things that are just leading to serbia recognizing kosovo and from problems here on earth to success is way up there in space of your screen in just a moment here at this very moment are two russian cosmonauts on the international space station making a six hour long. live pictures right here from the iron seems a bit over overexposed a very bright pictures indeed but for the first time ever computerized space suits

with a liquid crystal display that will give advice and instructions if anything goes wrong here here's a better picture of the ice as extraordinary and extraterrestrial life action pictures right now on your screen a direct from the cold vastness of space they will launch a micro satellite made entirely by russian students and today it will start broadcasting audio messages in fifty different languages to mark the fiftieth anniversary of your going first ever space flight and the looking rather busy here at the moment on the outside of the international space station here with the u.s. shuttle program now shutting down last month russia is now the only nation able to send people to the stars and live pictures right here from space on the. impressive stuff or i'll be back with the headlines in just a few minutes but first though it is the business news with maria.

hello and welcome to business here or artsy now all of russia is considering the fulbrights as ation of one of its oil majors ross neff by twenty seventeen the government already plans to sell a third of the company leaving the controlling stake untouched so weeks ago russian president dmitry medvedev said the state will not rush the privatization all frost that he outlined the decision will be made when as he says it is considered necessary to move this part of russia sponsored privatized major state assets by twenty seventeen. the central bank off south korea has bought twenty five tons of gold for one point two billion dollars over the last two months that souls first purchase and thirteen years bullish sentiment on gold markets across a margin they sense are taking the lead in the gold rush stocking up reserves and i'm now joined by alice temple who is head of sales at london capital group thank

you very much for joining us to sell us the share of gold in the reserves of a merchant nations is roughly ten percent and developed countries it's sixty percent so why is that. for the simple reason more than anything else is purely because that's historically how things have stood but what you what you're almost seeing is emerging countries which haven't in the past times particularly launched talks of gold ever since the the. gold standard then did it was the western nations develop nations the richer nations he could go was a store of value and holding on to it whereas emerging countries and poor countries that they simply didn't really have the funds of the means to buy gold of course emerging economies have become much richer in particular china of kools which is drawing emerging markets growth and in front global rates becoming much much richer

and to diversify their assets overseas they have a great deal of exposure to u.s. treasuries but in order to diversify that is. perhaps what many consider as a safe place for your money gold is where they want to build. their assets and buy more of it as a as a more permanent store of value. now do you think this will be the main driver for gold rally and is there a limit for the price rise. well certainly it is the drive one of the drivers there are many drivers that is causing gold to rally considerably one of which is the previous normal high gold was around just over a hundred dollars an ounce and that was decades ago if you compare on an inflationary basis just to today's money then we're looking

at a high a normal high much greater than where we are at the moment where around some sixteen hundred sixty dollars per around for the moment but a lot of people say that it could go much higher to two thousand even two and a half thousand possibly three thousand dollars per ounce and it's being driven by the concerns around the globe also is being driven by the weakness of the u.s. dollar and also to a certain degree the fact that many emerging economies are of course stocking up on gold all increasing the demand for gold in there is a fine and finite amount of gold available and if demand is increasing for it then so will the price that is that there is a find out the amount of gold available but so what are the alternatives that. well there aren't many alternatives is the simple answer because gold doesn't actually

see any purpose other than glittering looking very nice and making jewelry and being a store of value because it doesn't have an industrial purpose unlike other precious metals such as silver so in that respect there aren't really any alternatives which is why you've seen gold. appreciate it great deal more in value than the other precious metals but from an asset class point of view the other precious metals in particular the industrial say silver platinum palladium. these are the before i will stores of value because not only is there high demand for them from an industrial point of view but will say from the fact that they can act as some sort of the your sentence is to go. thank you very much that was angus campbell head of sales at london capital group thank you for him.