since nineteen seventeen standard and poor's has dropped america's ranking to double a plus this comes after a last minute debt deal earlier last week and narrowly rescued the country from default s. and p. says the spending cuts agreed by congress are one and a half trillion dollars short of it's not change the rating could plummet further in the coming years but the obama administration says the analysis is way off and will damage any recovery. found off has more from washington. well it really is more than anything a huge or symbolic and unprecedented blow to the united states to its status as a safe investment basically what this credit rating lowering does that it is it really raises questions about the validity of the united states and the ability of the u.s. politically to get its financial house in order so to speak the representations here for the american people for the u.s. government could be severe now while this only takes it down from aaa to a.a.

plus with a negative outlook threatening in fact that the rating could get lowered even more in the next two years what it does is it potentially sends the message that the united states is a risky investment that could send interest rates going up for the federal government and because other borrowing costs are tied to that that means mortgage payments could go up mortgage interest rates can go up car interest rates can go up and really the rest of the u.s. economy could be severely affected now one thing that we do have to keep in mind here is that the obama administration had pointed out that the s. and p. had made an error of about two trillion dollars in. projections in releasing that information now the s. and p. doesn't make these decisions based on any sort of special information they really it really is a political reaction based on facts that are available to just anyone and so the other thing we have to keep in mind here is that these same credit ratings agencies essentially allowed top ratings to continue in the united states at a time when we were investing

a lot of money in these mortgage securities that essentially ended up collapsing and pulling down the u.s. economy with it so they don't really have all of that much credibility in the eyes of the world market still however we don't know what will happen come monday when the markets will open and if those interest rates do rise there could be a root ball at this very unstable economic time here in the united states with the passage of this debt deal the u.s. government's hands are essentially tied in terms of stimulating. the economy in terms of any sort of new spending that could boost growth we saw g.d.p. growth had stalled to almost a crawl in the second half of the year we saw on top of that the jobs report that came out on friday for the united states while it was somewhat positive it actually showed negative growth because it means that more people here in america have given up looking for work so politically there's really not that will in washington to do what's needed to to stimulate growth and financially they simply do not have the tools in their possession in order to improve things here and so while these credit

rating agencies may sometimes be accused by some financial experts of having missed the mark long ago these small tiny effects in terms of higher interest rates could really really cripple what's already seems to be a worsening recession here in the united states he's going to kind of reporting right that i want i mean time china the largest holder of the u.s. debt immediately reacted to the news of the downgrade saying washington needs to cure its debt addiction beijing also called for a new stable reserve currency instead of the dollar he's pretty shrewd it was and asia's third largest economy that of india with more on the region's concerns. asian markets are tumbling they were tumbling on friday obviously we don't know what's going to happen on monday in specific reaction to this news but many analysts many financial analysts here predicted this especially after the u.s. debt ceiling debate that took so long and in many ways is what people are saying

led to these lower approval ratings i guess you could say so the markets have tumbled here people are losing confidence in the american economy obviously there are things that soaring there is seeing a lot of decisions not specifically being made when it comes to that two point four trillion dollars in cuts a lot of people are wondering if it took the u.s. this so long to come to a decision just to raise the debt ceiling how much longer could it take to actually figure out but typically where to cut and asia has a very vested interest in this if you think about what these ratings actually means that means that the united states won't be able to repay a lot of their loans in asia actually hold three trillion dollars in the united states alone so people here are watching what's happening in the united states very closely. to report that well i mean time asian investors are ditching bones in the wake of what's been a tough week for america's economy so says it best general. all the asians

already know that america's got problems all of us are already moving out of u.s. government bonds we never got out of the first global recession unemployment in america is still higher than it was in two thousand and eight the american dad has skyrocketed and gone through the dead through the roof america is in worse shape now than it was before america spent a lot of money and the people who got that money are better off but the overall situation is much worse america's quadrupled its dead america if you take in the consider the things that they guarantee they printed huge amounts of money you know the world has gotten worse the world hasn't gotten better but be sure the u.s. will default that's why people are moving away from us government bonds because everybody knows that the us is in serious trouble and the debt situation is getting worse and worse not better and better and the downgrade came too late to hit europe's stock markets which have already taken a hammering this week being battered by the eurozone and america's debt difficulties meanwhile the e.u. leaders criticized the u.s.

rating agencies blaming them of double standards saying they will create a european one in response he's done a bushel has more brussels. we used downgraded trust in the rating agencies to junk status. as the agency admitted a two trillion dollar miscalculation when deciding this downgrade they claim to have the world's best minds working for them hasn't really surprised people here because most know that america's has had unsustainable that for many years now well everyone apart from the rating agencies it seems and the day before firms collapsed in the credit crunch they still had aaa ratings on those companies now that made the agencies lose their reputation but people lost their whole savings and triggering the world recession that followed. the rules of furious about s. and p's double standards they held talks with the white house before this decision they briefed them about it when it would take place what would happen and that's

allowed the white house to prepare a smooth response to the media and even question the the agency's judgment none of that happened last week when the agencies graded the european union countries and their ratings now that suggests that the agencies are saying the very least and as a result the european union is creating its own agencies will do this downgrade for americans who will see themselves having to pay more more interest on their loans and having to pay more on the debts is bad really for everyone around the world who lend money to to america because it raises the risk of not getting that money back . now to discuss this story i know with our joining the studio by going to go to a list for russia is our invest cafe agency and i thank you for joining us today this announcement is a heavy blow for the u.s. economy that is still piling on huge amounts of debts what happens on monday when the markets open i mean this is definitely negative news for the world for the

world and for the world economy seeing as. the american economy is in poor state and this has largely been reflected in the in the u.s. or sentiment so i think we should eventually see cautious cautious purses and increase in demand for risky security because i mean we just had last week was the worst week in two years on wall street so i mean it would seem a fairly gloomy forecast for next week would you say well it's fair to say that this is not good news for investors now let's talk of one of the big boys on the block china the biggest holder of america's debt china has slammed the u.s. over the downgrade saying it's time to ditch the dollar to find another reserve currency could that happen i mean the fact of the matter is that there is no alternative yet to the world reserve currency from the dollar. the statistics for where your flag from two thousand and one the world american. currency is proportion of world reserve joost has been reduced from seventy two to sixty in

about ten years so. it is i'm sorry if they could be a new reserve currency if they could be one which one would it be what should it be i think we're moving towards a basket of reserve currencies and i think china is definitely. one of the bigger players in there ok now the obama administration says the s. and p. decision is based on a miscalculation of two trillion dollars does this mean that the downgrade shouldn't happen in the first place i think it should have happened first of all the crazy agencies are trying to retain credibility and because many investors criticize them over the fact that they haven't recognized the risks with the world economy with the current crisis and. i mean the downgrade reflects the fundamental problem with the american economy that they're living beyond their means increasing the debt running huge budget deficits and their political problems which don't make it better indeed many say that the political process the political situation in washington is very very unstable in fact it was political squabbling and bickering

led to the eleventh hour i must ask you the american economy apparently is going down the drain here with debt piling higher and higher and higher china getting frustrated that it's having to hold more america's debt here's a country that spends more on its defense the than the entire world combined surely if scaled back on its defense and military spending it could help to save its own economy and calm relations around the world i mean we're talking politics now and obviously didn't inherit the political situation and the economy with two wars and another one in libya going on and definitely not good news and obviously if the spending cuts do happen the downgrade i mean it could be reviewed but they need they do need to happen and the spending cuts need to happen but the political situation doesn't help all right so the u.s. economy in big trouble the european economy the eurozone also big big trouble what is fundamentally wrong with the global economy one thing is true is that the world

in many countries have been living beyond their means running huge budget deficits and piling up debt that obviously needs to be changed if if the time and the day ever came that china said to america cough it up you've got to pay off your debts and we want it now. what kind of response would you expect from america chinese one of the biggest holders of u.s. debts and they obviously do have political influence over there also one of the biggest trade partners i mean maybe trade implications you think differently but also but also america has has this huge. military. it's in south korea all the time saying it's to protect against north korea that is a rogue state is it possible that with america's a military influence around the world that at the end of the day if it's called out to pay off its debts you could just say well here's what we're not going to do it we've got our military sitting just outside your front door i think it's. the

interests of investors and the politics need to be differentiated in there and i think different parties would have to speak about this but obviously trade and politics here and. they have to they have to combine and eventually dialogue needs to happen between countries about this and i russia's deputy finance minister says that russia will not reconsider the dollar investments following the downgrade how do you react to that there's still we're still big holders of this and i don't think that there is going to be fundamental change following that american debt and u.s. currency is too big presence or invest cafe analysts are going to go to the bottom thank you very much my pleasure. well i won a small debt for about one giant black hole for a government later on in the program we are in new york to ask what's the difference between our debt and those of. you much worse for a government to be in debt why because we trust the government to do the right thing and they're doing absolutely the opposite of that but don't you trust

yourself to do the right thing and within your means i do but i mean dad so that i can pay off. a quarter past the hour here in moscow you without see israel is bursting itself for a fresh wave of massive government protests activists are planning a third weekend of rallies all across the country one street has already been renamed by really a rear after the square where the egypt uprising took place. they said today saturday tens of thousands of protesters will be taking to the streets here in tel aviv as well as in several other cities around the country where they'll be holding mass rallies against the government there hoping to top of the one hundred fifty thousand nationwide who took to the streets last weekend this is the third saturday in a row that protests all be held they are united under the banner the government has abandoned the people and the central message coming from organizes is that the

people are taking the country back now the plan tonight is for demonstrators tomorrow on the let's talk a little ball with the basic concept we came to the city has been established the final destination is not far from here at the curia defames compound and there will be holding a mass rally presenting a number of demands on the government of the civil speakers several popular singers also plays and in the last week there has been a number of smaller demonstrations that has been held for several hours earlier this week taxi drivers blocked off a number of main roads they were protesting against the high cost of the. there was also another protest among teachers university professors and students and they were united under the banner education for all and another demonstration just yesterday we hundreds of parents with stoners took to the streets and they were protesting against the wizen costs and the high cost of having tools and savings

well the israeli prime minister. has been surprised by the massive support for these demonstrations and his government is still struggling in terms of how to deal with them essentially what you can hear some people feeling as well saying is that in the time the author was so obsessed with gathering intelligence for the first teller from the mediterranean that he missed the opportunity to see what was happening here under his eyes want to see on television. i know let's get some more insight on the situation from. general director of the peace organization i started by live in tel aviv israel has long presented itself as a well state how come now people say they can't even afford a roof over their heads what's going on. in the last few years actually in the last twenty years there were a tween government to a new mostly. new supporters change the character of these rarely economy and we would see that the rich people in israel the most richest families that control

most of the big companies in israel enjoying benefits and enjoying their better condition to grow and to develop while day middle class is actually fighting in the in order to have enough money to to live here in israel in a decent environment so this is something that people fear for many years now and this is the first time the news where you can hear such a big wave of voters saying we want to change just the system and we want to call go back to do more socially you know we're certainly seeing some pictures here taken recently showing just. tens of thousands up to one hundred fifty thousand people making their voices heard in the streets but again it's the centuries old story isn't that of the rich get rich richer and the poor get poorer now this is the third week of protests but we haven't seen any decisive action from prime minister netanyahu. don't believe doesn't

believe that this. they're wired to seem to do for their country he has a very narrow. agenda and you disagree with most of the message of this paper although in the last few days we can hear more and more. statements coming from the government speakers saying they're going to change their policy because down the standards it's not just about the girl g. it's also about politics and the senate and you know will not change dramatically the way that the economic system is broken in then we might lose the election and he might lose a majority in the coalition. political implications here so if i may as you say some politicians are are recognizing these voices and these people that are storming the streets but are not in your view turning a blind eye to this we've heard calls for a revolution during this protest the situation really go as far as. i go to i don't think that today's whaley's a solution like we know that people are going to the street and actually anarchy or

changing the government not in a democratic way eventually this world society is a democratic society and for that reason i don't see a change but in the political field these are evolution in the minds of these whaley's not just talking about the left and right about the settlements and they were out there west bank but also talking about what is going on inside these sort of society and what is the employer. what is going on with the middle class in these well that the situation the economic situation is really bad if you compare it to the situation in days really economy in general now we have noticed that the protests have received hardly any coverage in the western media why do you think that is. i think that the western media is mostly focused on these really palestinian conflict and this. is not directly focused on that conflict and when you don't. of a conflict between israelis and palestinians. it's just interesting community also

i think that because israel is a democracy it does not do is not a feeling that. we change the government by military force or great physical force it's a civilian action that. i'm very proud of as an israeli but i can understand why the media don't see the. news good can change the regional day economy the interest of the region it's mostly it's mostly an issue inside these words to say and i think an amazing way to show although we have documentation in the conflict still inside israel it's a democracy as you say and it is an internal issue in israel and yet the western media has no problems covering the arab uprisings in the arab spring i nevertheless know you from the peace now organization in tel aviv many things. british intelligence services have allegedly been violating international law for almost a decade a leaked top secret documents suggests agents were permitted to use information

taken from prisoners tortured overseas officers were asked to balance how much they expected detainees to suffer against the value of the information they could get they were also given political protection from prosecution human rights activists are demanding an open and fair inquiry but fear the questions will be met with a wall of silence from amnesty international experience. there are a few key reasons why the inquiry is unable to do its job properly and the first of these is the rather shocking level of secrecy that surrounds the inquiry and much of the inquiry is going to take place behind closed doors and no information will be released to the public without the say so of the government which is it's very worrying for an inquiry they're supposed to be getting information to the public about about what's been going on very much hope that they will see that there will still be an inquiry which is open and fair and transparent and that the government will reconsider. the very problematic protocol that's been put in place. now at

twenty two minutes past the hour here in the russian capital you with r.t. let's check out some other international news for you now in our world update thirty one u.s. special forces personnel and seven afghan soldiers have been killed in a helicopter crash in the eastern water back province according to the office of president karzai the incident marks the biggest single loss of life for american forces in the country the taliban claimed responsibility for the attack saying they shot the helicopter down with a rocket propelled grenade. activists say fresh clashes in syria have left at least twenty four dead as security forces fired on anti-government protesters as part of a nationwide crackdown the violent six day crackdown is now reporting that killed around two hundred people rallies intensified after the first friday prayers since the start of the holy month of ramadan international condemnation of the violence is growing and the u.s. is working on

a new ways to influence the situation beyond sanctions. well let's get back to the u.s. and its debt drama that's seen its top credit rating take a knock if you are going into debt the bank is all over us in a heartbeat yet it's only now that america which trillions is seeing its credit score decline online talk show host often asked ask people in new york now why americans are so keen on borrowing. why do you think so many people allow themselves to get so far and that is the is the age that we live in everybody sees the person next door that they've got the brand new cars the lifestyle and that's what they want is so much advertising and people just wanted to spend money so i think that's the difference between americans and europeans but you have advertising in europe are you just you don't pay attention to it or. i think we pay less attention to it and we probably think

a little more about what we need and what we can afford it's all about thinking yes i think so is it worse for you to be into personally that it is for a government to be into. it's much worse for a government to be and why because we trust the government to do the right thing and they're doing absolutely the opposite of that but don't you trust yourself to do the right thing and live within your means i do but i'm in debt such that i can pay it off debt is dead it's bad for governments bad for individuals and the government should show leadership show they've got to clean it up do we really expect our government to get its act together if we can't get our act together for small families we can only hope that individuals and the government will step up and make a difference whether or not you're in debt personally the bottom line is we've become a planet of debtors so it might be time for all of us to rethink what it is to live

within our means. all right twenty five minutes past the hour here in moscow and next we travel thousands of kilometers east of the russian capital and also millions of years back in time. this week the russia close up team is coming to you all week from the far east and more region now for many this region's distinctive jews who it's proximity to china and its vast reserves of war materials and natural resources but the one paleontologist and his team it's the bones of ancient dinosaurs discovered deep within the ground here that will put this region firmly on the map. u.-t. beloved ski is a man obsessed with the past

a bygone age when dinosaurs rule this part of russia he may have been born in the country's north and western areas but it's the far east untapped jurassic history in the into which he has devoted his adult life to restore her very near this site to be known since about nine hundred forty eight an unbelievable number of bones are buried here and i think will be digging for at least another two years there literally everywhere here the ammo region is located one of the few functioning archaeological sites only here can a site boast of having produced a complete dinosaur skeleton that discovery made over a decade ago led to the full recognition of a new breed of dinosaur a lot a ton or giant swan a twelve missile long herbivore found almost exclusively here and it was you the son who first sponsor the fragment of tail bone sticking out of the father and son went on to make paleontology history

a van has since followed in his father's footsteps it's painstaking work requiring patience and skill in equal measure one who discovers along the way we begin to or him or the ground around it from a foreign your your current and a show. where a girl for very slow because zero can be more balanced in the ground around it. why is it. yuri and his team have been excavating this site for the past three years and already they found well over one thousand dinosaur bones approximately sixty five million years old but they believe that the bones of hundreds of more dinosaurs i get to be found within this small plot alone i'm told that these will most likely be fragments of another giant duck billed plant eater unique to the region and named in its honor the are more saurus is another previously undiscovered breed credited to team the lot ski which includes notes hal you're

also a scientists it was she who came up with both dinosaurs names as well as taking day to day charge of running the region's only paleontology the burra tree and museum each new discovery must be carefully catalogued and examined the aim is to inspire the next generation of dinosaur hunters was one ensuring the family's feeds don't go i'm remembered for that. here you can see a photo of your blog ski at the excavation site and here you see photos of i'm going to soras this is the skeleton of an annoyance or else what a strange looking reptile isn't it and so learn from the follies of history as miles and this is charles marsh an american barely until august in one thousand nine hundred seventy he visited moscow and announced that there were no dinosaurs in russia and everyone believed him yet luckily u.t. belongs comes from a long line of scientists who chose to follow their own instincts and secured

a moore's place in the history books as one of the world's foremost sites for paleontology it was their determination and no small amount of digging that revealed a dinosaur jampot alice a bit arty the more regions. and i'll be back with more in just a minute. for the full story we've gone to. the biggest issues get a human voice face to face with the news makers. from

moscow a recap of the top stories now standard and poor's has stripped the u.s. of its highest credit rating in the country china has already said it's time to ditch the dollar as the reserve currency. israel is braced for another round of unprecedented antigovernment protests some have already compared the country's plight to the revolutionary each. inquiries into a bombshell case adjusting the british officers were encouraged to choose how much prisoners it should be tortured to get information but activists say the closed doors approach but one of the questions they get. those the headlines on this saturday next. and final trip to simply just go out is now.