india. is the gateway to the grand imperial truly.

run this hotel treat. crisis talks with. supporters and opponents of the clash. the deposed president of egypt faces trial. charges that. killing them eight hundred fifty people something that categorically denied. would be kept in just a few minutes. also reporting divisions in the un security council western countries . russia says that could damage the road to peace and calls for.

international news and comment this is in moscow just. in the russian capital good to have you with us this beleaguered europe is caught in stormy seas once again as italy has held crisis talks with the e.u. . costs the country have reached their highest level since the euro was adopted prime minister silvio berlusconi has stopped short of asking for a bailout well let's get more now from europe correspondent daniel bushell. daniel addressing the prime minister he tried to reassure the troubled markets but just how serious is the situation right now. already by going he is being now and he waited till the stock markets were closed to show you how out there is that while he was worried that his speech could make the market and cause them to go up or

down sharply they'd waited till the stock market there are over he will speaking at the moment he tries to reassure people over its leading screwing their problems that even tends to calm the masia yet the flag has been able to deal with european strength it's believed by recently went through some vocal strapped heads to show they were capable of going through another crisis and that they saw it he added you want to stabilize and reduce its lead day and he didn't call for a bailout but that is the fear here in brussels that that is the next steps of the crisis talks today that were held between italy and eurozone find that change on close. the yield on the italian ball has reached record levels in euro history you know what what if they have to offer to investors to get them to pursue is to invest in internet anything about that but then it goes to be unsustainable and its knees over six percent at the moment saying it's all of those promises that the

terror that has catapulted holiday the return type of the christ in madrid and italy national dead of course is much bigger than it g.d.p. of a group called that which caused one eva the trouble that people here are saying here is entirely the economy is just too big to fail in other words much bigger than agree and of course you could put together it the fact the third big thought that germany and france in the euro zone and if the e.u. even if it does will to bailout italy is just colorful to do. daniel greece's second rescue package less than two weeks ago and while that failed to give investors enough reassurance what more is being done to limit the damage. well you're right into the people with their hearts the very savage spending cuts the austerity measures as they're known but the entire lives they've been willing to accept that that's the trouble with greece as well the people are calling it a national strike me as trying to reassure and say that the situation is all right

both you know the markets are really the ones who decide that are you heard one of the world's biggest lenders by slashing its exposure to italian government debt as well as to other countries not just greece i wouldn't want to go i'm really pleased to say we don't have confidence in your ability to slash your unsustainable its level and the euro zone finest as they say are. we will continue our mediation. but investors are showing closer to panic really and the interesting thing is that if you are it's going to tell you to be verging on its way out because when greece went down they went to asia. investment and the treasury is currently on a tour of asia trying to get those bonds growing economies to buy italian form now e.g. closer my world has described market treatment as a cause but the concern is no i can tell you thanks very much indeed for that

daniel bushell live there in brussels well for more on where italy's economy may be heading when i talk to economists economics journalist daniel knowles he's from the u.k. he's online the telegraph thanks very much indeed daniel for joining us well as we just heard about this county hasn't asked for a bailout so far but italian bond yields of surge one above six percent now that's just a bit lower than the levels that sent greece to. portugal very close so how imminent do you think is a rescue package for italy now. why it's looking a lot more imminent that it have a debt it's quite complex i mean it's in the is not. quite like greece it's not people don't necessarily think. it's. the interest rates that have been used it's only could be expected to repay its debts i want to happen it's a relatively thin trade i think and. this sort of paranoia sets in and they're

pushing this with a great amount of debt the city has to. yes some sort of bailout well that's what's worrying is now here you can see something that's what's worrying is. italy's debt it's really quite significant when you compare it to the debt ridden country so could actually afford to bail it out. that is that is the issue i don't think that the i think you know even if the whole possibly could i don't think politically that would be possible in terms of the german taxpayer you read the german tabloids where you look at the average german in the street and it's you know they were keen on bailing out greece certainly not going to be you know bailing out its cities so i think you know it's going to be don't think that americans coalition sort of house the the political capability to do that talking to you know germany more likely just talking of germany must

mention this article you've just written here on the on the on line. telegraph you're saying that germany could actually or should leave the euro in order to solve this crisis i mean that well what impact would that have on the eurozone and indeed the e.u. that's a bit of a drastic measure isn't it. it's pretty drastic i think the problem is that in the long run it's just impossible to have an economy like it's a limb coming like germany and the same monetary system it's a vice on its own the wall creates inflation in germany and so. and it's very difficult for countries that have debts as to leave to leave there's no sort of good system for that to happen but. it would take several years i think but actually it would be possible to do it would be possible for germany to leave the euro potentially in a way that would destroy everything in quite the sense that it's a it's a leaving the euro so there's something to be said for that right you know it's an

interesting point now it's really finances they may be very shaky of course but the political situation that doesn't really inspire much confidence either does it but how does it actually got itself in this financial mess why is in so much debt. the. it's government has had you know it's really the country has had ten years at least of just incredibly slow growth sort of you know with the rest of europe was growing at two and a half percent it was sort of barely managing one percent. just to finish high unemployment also probably spend a huge amount of money for example understand italian politicians themselves twice the amount of the european average so they've been spending. has these very very deeply ingrained sort of structural problems that. cause the low growth because it has such low growth it's hasn't had the growth of tax revenues it hasn't had the growth. receipts that it needs and all the while the sort of debts kept going

because it hasn't had this. so it's a reason tragically of political economic reform all the way through all right. daniel i'm sorry we are out of time we're going to lose our link soon to london so thanks so much for sharing your thoughts of economics journalist daniel and the u.k.'s online telegraph thanks a lot and apologies for the sound quality there at times thank you daniel. well across the ocean though the world's largest economy has been rescued from the brink of collapse barack obama signed a bill to raise america's boring them it was just ten hours 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 on 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 while democrats wanted to keep social programs and have the richest americans pay more in tax despite the last

ditch agreement critic john moody's of the us with the negative economic forecasts more standard and poor's could still downgrade its triple a rating and as r.t.d. catarina good job reports 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 patient's 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 in the 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 us without knowing our economic and social realities. we do give 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 ninety two so the worst for figure inflation in russia's history the us is sarah came to now and has the communist economy was in collapse but there was nothing to replace it with. so the situation was disastrous for you did was over one hundred billion dollars in gold in foreign currency reserves well listen fifty million which effectively means nil. people still reformists of the damn government remember how in 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 mass. as one politician said could you to move from a markets to a communist economy is easier it's like trying to turn europe into fish soup but to do the opposite is much harder it's like trying to revive the dead fish it took more than russia a decade to revive it's a quarry and return to economic growth transforming the country's fool chance 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 maps and they thought it was good enough for both saw the russia will be fit for america if the democrats are to. egypt's ousted president hosni mubarak is on trial for corruption and ordering the killing of some eight hundred forty people during february uprisings

a charge that could incur the death penalty outside the courtroom in the capital cairo mubarak's supporters clashed with his opponents one person was killed a further fifteen were injured as each side held rocks and bottles at each other on a bookcase following the developments for us. while the judge presiding over the courtroom ruled that the trial of course in the park with the joint field all grass based is primarily due to health reasons i feel he is expected to remain at a military hospital overseen by an m. college of heath health. concerns the defense side insists that he is in the red people this is a bad man actually prevents him from. mine and that the trial i feel its conclusion. if i asked him what if he were slipping in and out of consciousness that's suffering from. some pretty.

high risk people part time out i think back in january and i believe that all these reports are for house and nothing more than just the actrix the ploy. to try prevent the party from tacit flying leap that that place nicely also. that is in charge of it because many of the generals that out members of this council i saw myself in. some respects the money and make that slide on some of my . compromising political alliances that helped him to remain in power for so long now is the child was surrounded by a very happy security operation about five thousand absolutely and that's dr kelly's presence here at this side the clashes become essentially a feature of the day here in cairo in the morning. and actually the foreign

protesters want. the. jury overall there are a lot of access cases that's how much these trials are not only because. many helping the revolution earth actually the people. that it's one big thing you can't touch that hurts me to me how many people were displaced and that my colleague mary and her 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 three it 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 once seeing between the economic devastation caused by and rest and political uncertainty muhammad's enterprise 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 but it's brought a survival stone in its wake. but 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 just 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 and 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 live in a free of the people. and. but people now are talking about well much better than that they. would be a better solution. as their very. people are indeed tired even those who back the changes this young man is from the revolution is used. he tries to remain optimistic and he says sounds a lot like south conviction that if they keep us safe 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 shows that this time

the system has been pushed to the limit and its trade tests versus patience in the battle to save egypt from crumbling through the grief an optional r t kyra. where you can check out our website is r.t. dot com for more stories news and video here's a sample of what's lined up for you right now solo voices many countries are now gripped by anti-government protest but in israel demonstrators fear that international media is paying a little or no attention. was on the website at the moment pop goes the president. hopes his love of music might strike a chord in the hearts of his people. there's no sign of violence letting up in syria the crackdown on protests continues as government tanks reportedly bhuvan to central hama 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 and. is in 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 frivolous lee and the

security council can't help but keep that in mind when contemplating what the security council can and cannot do when it comes to the situation in syria we're concerned about the violence and these collision of the gauntlet and saying that under the circumstances the security council could and should. have signaled 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 chaired 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. now for some international news stories this is four people have been killed and thirteen others injured after western baghdad was struck by twin explosions officials say the bombs targeted a liquor store in the first one brought police and witnesses rushing to the scene to be caught by the second blast a few minutes later this comes after iraq's political leaders give the go ahead or gave the go ahead for talks aimed at keeping u.s. troops in the country on a training mission. japan has passed a law to help tokyo electric power pay compensation to victims of the fukushima

nuclear disaster the crisis forced almost eighty thousand people to move from around the crippled plant with fisheries and tourist industries in the area also here our government is expected to pitch in and initial twenty six billion dollars in special bonds but eventual cost could be far higher. hundreds of troops are being deployed in the city of karachi in attempts to end on going violence that has killed almost sixty people in five days reports say bodies were found scattered in pakistan's largest city riddled with bullets and showing signs of torture the believe around two hundred people were killed in the city last month alone and much of the fighting is being blamed on supporters of the country's main political parties. and in australia a police have freed a young woman trapped in the only home with a bomb reportedly attached to her neck eighteen year old called the police from a house in a wealthy neighborhood in sydney a bomb squad worked for nearly ten hours to remove the device is gone is told remain calm to avoid an explosion and some reports suggest that it may have been an

attempt to hold the teenage girl to ransom. be back with a recap of today's main stories very shortly in about seven it's now in the meantime the latest from the world of business with marina. hello and welcome to business here on r t now russia is set to launch the most probably program since the one nine hundred ninety s. the government ends to fully sell a number of major state companies and for more details on the joint barton's you go to school on how are you going to now you know our results are gone no more can you tell us for are these companies. well it is really safe to say that this is the largest privatization plan since the ninety's they're talking about some huge companies like russia second largest bank b t v or electricity.

production company or. airport soft called floor a large freight company all of them are going to be privatized in the next several years the government ones only to leave the so-called golden share which would enable it to veto some of the decisions of the new orders but also on this list and probably one of the most interesting assets to be privatized is russia's biggest company the a leader in the petroleum industry that's actively developing and exploring oil fields in most regions of russia it's also one of the biggest public companies because fifteen percent of shares are floating on the market generally seventy five percent of which shares belong to the state but it plans to reduce this figure in the next sixty years so all of this falls under the sea huge privatization around forward by president medvedev and its goal is to be privatized all of the launch of

state. for twenty seventeen. alters the present rate or is got in his words thank you very much you know that was there where he's going off reports and on the privatization program thank you. now let's take a look at the markets oil prices can to needs a fall this hour investors bet that signs of a slowing u.s. economy may falter a fuel demand in the world's biggest clue consumed the nation futures dropped as much as one percent on wednesday and that's after the unexpected fall of u.s. consumer spending. gold is edging nass concerns that the u.s. economy is faltering or a boost in demand for safe haven the yellow metal is adding a dollar sixty this hour overall silver is up ninety one cents as a look at the u.s. markets. trade in there there is still a valid but are now making a comeback and that's the spy it's a better than anticipated reports on labor this is the ninth session in

a row it's in the red making that the longest losing streak in nearly three years. european stock markets are closed now and they ended lower only heroes of sharp losses in the u.s. and asia among the worst performers for society in general which dropped six point six percent after reporting a thirty one percent drop in second quarter net profits all the banks are mostly lower as well that's except for standard chartered which rose two point two percent in london after the lender reported a twenty percent rise in its force profits. and here in moscow markets closed today in negative territory tracking losses in europe and asia both the arts yes and the my sex lost over three percent let's take a look at some individual moves on my sex and energy majors were among the main losers weighted by a lower crude price gas form went down almost four percent banking stocks were also down with losing three and a half percent but bucking the trend of us policy is gold adding point six percent

on stronger precious metals and i look at scott's a from b. to be capital says the russian market plummets and obvious correction after recent highs. the russian market the military would probably be. add to the strength or all will on the oil price has been stronger than the external markets where well europe was gradually falling apart both fields were climbing and the indices were falling russia was holding out really well and was is was just a few days ago trading near two month highs for the russian indices so it's quite obvious that the question of was looming and no obviously the names most affected by those that held up most correction to name a few it's just the steel stocks or no it's. all the business news this hour join me for another all day then about fifteen minutes time in the mean time the headlines with the help.