all. in india. the move to join. the gateway hotel the grand imperial truly. socialist.

medicine the colonel was slow to retreat. by the weakening u.s. economy. in my private conversation with the president of syria i discussed the same ideas. need to be carried out if he fails to do that future president syria's president of the siege of an opposition held city continues. to enforce tough.

news live from moscow this is r.t. with me. markets around the world are on the slide slowing u.s. economy and e.u. debt crisis financial through investors this is the sharpest fall since two thousand and eight and raises the specter of another wave of global recession more on this. following the markets. looks like the markets in europe are heading for the fall what is driving the fallout of this point. well the euro spreading to new countries france and belgium all next day yields have hit record highs against germany's the u.k.'s financial services authority has asked british banks to reveal how much debt they hold in belgium on fears that that country could be

next italy and spain have entered crisis talks with the e.u. as they yield critical new highs so now you have investors pulling out of fronts italy and spain. and fourth largest eurozone economies and that is why the investors in the markets are panicking the moment the leaders of france spain and germany are holding an emergency teleconference to try and stop the open relative to coming out the top you have prime minister silvio berlusconi and his finance minister openly disagreeing on this solution solutions to the crisis and the e.u. president jose manuel barroso slammed on discipline communication by e.u. leaders for making the crisis worse and germany is furious at such an open a tank this time when it's already critical it's a start and just a full on a regional pandemic here now across the ocean in the u.s. there's also a decline but hasn't of voting

a default helped at all. well as in europe we've seen america really suffering and raising the debt ceiling doesn't tackle the key problem which is making the problem worse given the more debt and that their economy is weak because they know the your the u.s. have really started to tackle that key issue yesterday was the wall street worst day in years there was steep slumps in the share price and there are now fears that america will go back into recession which would strongly hit not just america but the whole world economy and the u.s. and europe politicians keep trying to reassure the public that everything is ok but it seemed who really made. they're the ones that are pulling their money out of these markets and they're saying that they don't they don't like the situation at the moment the two daniel you know talk about recession fears a multibillion euro bailouts for europe stock markets doing a nosedive just a gloomy outlook for the financial situation around the world today he's down your

bushel life and brussels thank you. bangkok based economist daniel top bush says that the asian economy will easily withstand america and europe's turmoil just like it did before. the concern that we have now is that we have to see growth rates in asia come down a bit further from where we had been expecting them and if you remember in the global financial crisis previously a lot of banks in asia got very cautious so they themselves decided to limit their lending and that's likely what we will face again as you may remember actually asian economies and banks didn't get that hard hit so again the situation today is is not that worrisome compared to the last two crises in asia for china remember in the past that they were able to continue to grow their infrastructure program and banks were providing credit for that so china probably is still one of those countries where you'll still see acceptable growth remember they've been

trying to manage down their growth to about eight percent and maybe we'll get there now but what you should see is china doing less in the way of tightening measures if the global economy is much weaker well our business desk is of course keeping us up to date on all the developments are dimitrius here now dimitri i want to latest from your end of the personal i don't know if you can see it right behind me there's a monitor of the bloomberg terminal and everything is read pretty much except for the index of spain and milan stock exchanges madrid and milan stock exchanges they're the only ones up really so there's the global plunge global nosedive russia is not an exception might say it's down two point four percent even more than that three point four percent in the twenty five minutes time there's going to be crucial data coming out from the united states that's unemployment data for the month of july so it's expected that the united states labor department will report seventy five thousand new jobs created in july and that's of course not enough to

go ahead and see some kind of recovery in the u.s. economy that means the unemployment rate pretty much stays at nine point two percent if the figures better than that we might see some kind of rebound on the dow jones and on global markets if not. then we will see another day of. you hopefully will see the u.s. unemployment report coming out in time for your business bulletin in about twenty minutes or so thanks. president musharraf is urging syria's leader bashar assad to start reforms and end the violence in his country before it's too late to reach him if you're there was giving an extensive interview to our. radio and t.v. channel ok here's a preview of the full version of the interview is coming up in about twenty minutes time. unfortunately the situation in syria has taken a dramatic turn we real politicians should follow developments gadhafi gave violent orders to destroy the opposition the syrian president gave no such orders

unfortunately a lot of people are dying in syria this is our biggest concern in my private conversation with the president of syria and in the private letters i sent him i discussed the same ideas reforms need to be carried out you should establish peace with the opposition establish peace in the country and create a modern state if he fails to do that then a sad future awaits him and at the end of the day we'll have to make a decision we're watching the situation it is changing our guidelines are to. meanwhile antigovernment protests continue across syria despite an ongoing crackdown by the military reports suggest five days of an assault on the city of homs has left some two hundred people day that i was the opposition dismissed to create from president assad proposing a multi-party government system saying the violence has to end before dialogue begins the u.s. says it's working with its allies to apply more pressure on syria beyond sanctions

but arab lawyer. says such threats a counterproductive. the pressure of international pressure on syria is producing some results what is the lacking is the action on this is to have to make the changes that are required. principally start killing people remove some of the leadership. on the part decide on the government and on the military and i think the threats that the u.s. and france and leave and british. are flying to syria is very counterproductive it is not acceptable what's happening they have to have a dialogue but they are resisting falling into the same trial which we have fallen before with iraq when they. said they will not invade iraq. they said then in libya are you going to have a no fly zone as it turned out to be into a war and invasion of libya and other islamic leadership tension a very different kind in britain with hardline of muslims trying to enforce sharia

law in london from ads abstention to artie's lore and it's been hearing how they want to instill that tough code on the capital. so we are here to tell you that islam. is unstoppable in europe stoning for adultery cutting off hands for stealing death of renouncing islam this group of men is trying to enforce shari'a law in the u.k. they've started a campaign to make certain areas of london and other cities islamic law controlled zones starting with will from stone east london will become on the good of the evil because of usama as an alternative to the muslim of an all muslim community also looking to believe that muslims kind of together trade according to the sharia was all their problems. and even police themselves to a large extent hopefully one day to have a summit coverage which will have a prodigy look at the security locally i do you provide well for locally choudhry and his friends are fly posting parts of london with large muslim populations they

want to ban drinking gambling and playing music and they say they've got bands of young men ready to patrol and in full sharia law by any means you know that enforcement will not initially being on the level of inviting and forbidden but if someone has the capability to be what in essentially something like pornography prostitution it should do so. but by that you mean it of course i believe the pressures that are needed most should be run out of the area these muslims say british society is broken riddled with drugs crime and prostitution because of that they firmly believe members of the communities that targeting will welcome sharia law but the word on the street about the campaign tells a different story comes down to if you don't like the laws of the place you live find somewhere where you do appreciate the laws and. things like completely legal in this country this is not indira pakistan this is england we've got our own laws

people have no rights coming here and bringing their laws in here we often have trouble councillor martin. griese saying this could destroy community cohesion we've. taken down the post this assumes that because we do not want these posters around. they have no place to move and for us citizen equality campaigners say the issue real supporters shouldn't be considered a religious movement but a phone right political organization with opposed to campaign designed to divide and conquer communities the danger lies in dividing people dividing communities creating mistrust particularly among from non muslims towards moderate muslims i think this is part of their aim is to create mistrust so they can then turn to moderate muslims and say look everyone hates you we're your friend turn to us and it's a very very dangerous thing and it's a political tactic to increase their own power undeterred by opposition childfree

and his group plan will they see as the beginning of an islamic emirate not just of the u.k. but all over europe police have mobilized to take these posters down as fast as they appear but choudhry and his group say they formed bands of vigilante and forces to make sure. all physically and in other parts of london women have already been harassed for not covering their heads if these muslims ever get their way i won't be able to dress like this on the streets. or many other parts of london brussels rome and paris. well from stone. when i discover more on europe's struggle with multiculturalism online. also right now america spends twenty three billion dollars on the most expensive drug in history as the country tutors on the brink of economic collapse. and russia's envoy

to nato alliance is preparing a military operation involving syria just a former. it's also going to be a full interview log on to our teeth dot com. all right so thirteen minutes past the hour here in moscow you without saying the u.n. is given russia access to what's thought to be the planet's biggest gold and copper fields for exploration but it won't come easy they lie in the deep sea deposits of the mid atlantic ridge. has the details of the deal. russia has fifteen years to explore the the deep rust seabed off the mid atlantic ridge in order to find out whether indeed this is spec to gold and copper ore are in fact contained there and

if the research proves to be successful if they do find a war in the mid atlantic ridge that that means i should get the priority in the development of that field but this has never been done before no country has ever applied for the development of the seabed enter in international waters until last year china has decided that they wanted to ask for permission to research for any potential valuable materials in the in these seabed off the indian ocean so this of course brought forth a many opportunities for other countries who are interested in develop development of such resources particularly for russia there's the arctic the arctic sea russia is very interested in possible developments all of a while and gas resource there in fact russia has for quite some time has been trying to prove that the alone also a bridge in the arctic sea is in fact a continuation of russia's continental shelf and if they do prove that that in fact is the case of other countries agree with russia that that means russia will get to

develop the possible incredibly rich oil and gas resources in that field of course russia has to compete with other countries who are also vying for the for the peace of the arctic fly in those countries of course are canada the united states denmark norway and interestingly enough china is a ridiculous one it's not good to have you with us here and i'll tell you that such a council of international headlines for you this hour libya's government has described that the younger son was killed in a nato airstrike as a dirty trick that rebels claimed twenty eight year old comments because he was among the thirty two who died in the raid which the ryans says talking to munition a military police or city in a town southeast of the trip. in may one of could after his other sons was killed along with three grandchildren when a nato bomb hit the house they were in. riot police have clashed with students in

the streets of. water cannons and tear gas the protesters were pressing for major changes to what they see as the country's underfunded and equal public education system over five hundred demonstrators were detained by security forces at least sixteen injured in the violence. one of the world's most active volcanoes a killer whale in hawaii has released a new flow of lava this river remains within the boundaries of a national park and is believed to pose no danger to nearby towns despite some roads in the area are reported to have been closed has been constantly erupting since january of one thousand nine hundred three. all right. one of russia's most remote corners where integration with china knows no boundaries.

today we're in the far east and a more region road but rich area holding on russia's largest gold reserves and as a russia's most eastern economic outpost a more is making the most of its proximity to china as artie's others have it found out. a very warm welcome to this edition of us a place out this week coming to you from the beach and situated in the very full of this reaches of the us is four weeks with thousands of kilometers away from you in moscow but it may have played minutes by boat from china and unsurprisingly the influence of china and its culture is everywhere here. high heels and a hard hat it's not a look many women can pull off but then lilly while on a wrist or if she prefers to be called in russia is no ordinary woman having first arrived in a mall as an interpreter in the early ninety's she and her family were at their way up from running a small cafe churning this large construction company. and

spread across the region's capital blogger versions get no fewer than four large chinese restaurants full most nights and serving up a taste of the orient to russian diners it's an impressive pool failure and one that the mother of two says she couldn't have built in china if you. use that i saw an opportunity to create something here russia needs skilled laborers and with china being so close and easy access to chinese goods equipment and a ready workforce. new receiver is just one of a growing band or successful chinese entrepreneurs operating in russia's far east where a river is all that separates the two countries easy proximity coupled with favorable visa regulations continues to inspire thousands of chinese workers. people like sunshine to flock across the border every year his is a tried and tested business model selling cheap chinese clays.

so whether it's a pair of a trendy train is that you raft or perhaps the most design of fungal says this is where the people have like a verse of head to pick up a bargain were instantly the chinese market which then the sense of town and of course everything inside here bears the label made in china and all the sellers also come from china and let me tell you it's absolutely packed inside here and the perry is like this every single day so clearly business is booming. i've been here for three years i love china as there weren't enough jobs things are going well here you can get things really cheap here which is great if you've got a large family the quality varies hugely but on balance i think we're lucky to have chinese traders here russian goods just can't compete on pricing. and by hopping on one of the many packed ferries that cross their more river every day russian consumers can enjoy an even more authentic chinese shopping experience out the ads with a slight slavic flavor back here for

a bargain and in the process help to fuel the chinese economy it's led sounds of fear that russia's far east is being exploited by its entrepreneurial neighbor. pessimists revel in self pity at the sight of china forging ahead while optimists think of ways to develop blagoveshchensk of the same pace using chinese expertise capital and labor i believe our region is hugely fortunate to go to china if we compare our city to others in russia we're much better off in almost every respect i was told of extensive plans for more joint ventures and greater integration between the two countries as far as government is concerned its relationship with west traveling for founding here on the a more coastline it's a mere five minutes by. across to china so close you always feel that you can reach out and touch it and people living here think that they've been witness to the phenomenal pace the development along the high tech representative of the growth of

the chinese economy as a whole and its influence here in russia alice said bed r t b m or region. now time for the business update dmitri is here. and what we are witnessing right now is of course the continuation of the worst sell off since the middle of october two thousand and eight on the stock markets now the nosediving after poor u.s. economic data showed slowing growth after an already sluggish pace in the first half the gloom was boosted by news from europe the region's sovereign debt problem is golfing two of its largest economies spain and italy which are the only in the cities which are gaining right now actually make passes from a national australia bank says it's a time when cash is king. certainly not going into gold that's not been the experience of the last twenty four hours he what we've seen is a lot of

a lot of very very large losses have been racked up many markets were down five percent overnight you know when you've got losses of the scale you've got to you've got to finance them i think what we're seeing here is investors are still selling the good bits of their for you in order to finance the losses in the bad when they're faced with margin calls and so on so i think that the the whole investment universe is shrinking here and the safest place to go is cash you'll do nothing it'll make you nothing but actually the guy who lost nothing yesterday who came out top of the pile nothing is not a bad thing to have right now and while global in the seas or treating the knowledge level from easy capital says russian markets are likely to be the first in line to see an upswing. russia has had a fantastic run look at the. great run over the last few weeks or so is slowly start to come off but it's coming off from the highs and with the increased amount of exposure to us that with

a high amount of exposure to the oil and gas markets i feel there is a near term downside for russian it would cease to be had but when the recovery comes it will come at some point in the russian market does seem very well positioned to benefit quite significantly from it. and let's finally look at those figures on the markets gold is edging up it's adding another eighteen dollars per ounce while silver is adding fifty nine cents to concerns over us and euro zone economies have sent investors of course looking for safe haven assets metals have traditionally been those assets while prices are making a comeback that's true for brant it's up ninety cents will light sweet is down around thirty two cents a barrel at eighty six dollars thirty one cents now it's moved to europe markets there on the downside there extending the global sell off all sectors are trading deep in the red banks among the worst performers bank of scotland was now was

losing twenty one percent earlier in the days now around eight percent lower that's after the bank swung to second quarter loss markets in russia of course joining the panic across international floors a second day in a row r.t.s. sit down with three and a half percent my stakes two and a half percent lower than losing more than two percent the previous day if we look at the main movers energy majors among the worst performers on low prices gas form is losing three and three quarters of a percent. fell to its lowest since december of that world plunged in new york that's on speculation of fuel demand falter and financial stocks also under pressure telecommunications company one of the worst decline is more than five percent in the red walls news. markets are in turmoil and the u.s. has managed to stave off a potentially crippling default but many countries are considering we do sing their largest oil reserves into other less risky currencies however it's an e.u.

divert her bag argues they aren't much better. detail and switzerland have a lot of reserves in the years dollar but this basically means there's not much difference between. strength of the american dollar and because systrom is backed by american dollars. we are all kind of in the same dollar east and there is not that many alternatives. in the long haul since sound all cheering saves. and actually euro is a good substitute for the dollar it will see european debt rather than that of separate countries foreign banks have been leaving russia in recent months sweden swedbank britain's h.s.b.c. and barclays have suspended their operations in the country but your gods from the association of european businesses doubt that they've completely lost interest in

the russian retail market. reader market is interesting because they at some point in time entered into this market but you have to realize that it is also quite expensive office location workforce here the processes are expensive so you really have to reach a critical mass of the everything is great even when you are starting to money you have to have the minimum amount of projects you have to have a clearly a minimum amount of clients and i do get there it takes time and costs money i would analyze the situation is such that these banks have decided at a global basis that it takes probably too long until they get there but it's not again it's not a decision per se against russia isn't it interesting. all right just a reminder in around four minutes time crucial economic data coming out from the united states unemployment figures for the month of july it is expected that the u.s. will show creating seventy five thousand new jobs a month of july which of course is not enough to reduce the level of unemployment

in the world's largest economy stands at nine point two percent at the moment now if that figure comes then than expected less than seventy five thousand and we will see an even larger plunge if it comes better we might see some kind of rebound to join business next down around fifty five minutes time we'll have the latest figures and analysis for you.

the e. o l limits to six it's just such an exit the axis. just so i was in the cool jon meacham influx from all over the world.