once again in decline a brief rally after the central bank said it would start to buy up spanish and italian government bonds to restore confidence proved to be short lived argues daniel bushell is following the situation from brussels. black monday all growing as the stock markets across europe had still today the e.c.b. the european central bank made a risk announcement to try and reassure people saying that it will boil it down spanish which no one wants to touch the moment. of germany's poti by saying that she wouldn't increase the e.u. bailout fund suggesting that if spain if their economy goes on that she and germany europe's largest economy won't instead mcaleese piling the pressure on those states for even more pain from the measures that it's in these prime minister silvio berlusconi says hugh bring forward the savage government spending cuts he needs and the boy a year now it's already furious thing bill oppose those measures so there are talk

of a national strike committee at the moment obviously. the big g. seven g. twenty groups of leading economies have held an emergency conference call to say that they've got the situation on the control but investors are voting with the feeds here in europe and they say they just don't trust them the fact that's america's in panic off the moving its aaa credit rating and it's time for investors at the moment. well asian markets have closed in the red following a rocky trading session. has more from a third largest economy india all the markets are down here reacting very strongly we're hearing strong words from chinese political leaders as well one chinese newspaper actually that the u.s. government has to realize that the good old days when it used to borrow way way out of math is over so everyone is watching this very closely india is the third

largest economy in asia and asia will actually hold three trillion dollars in the united states china being the number one u.s. that holder in japan being number two. so they have a huge interest in what's going on over in the united states actually some analysts are saying that this point in some ways benefit the asian economy because of the risk aversion that's happening so if investors actually look away from u.s. treasury bonds they might actually want to invest more in certain factories in china but obviously we can't predict exactly what's going to out. but if clearly creating a domino effect across the world in asia is going to continue to watch to see what happens. well to discuss more on what's happening with the global markets i'm joined live by johan van over to the editor in chief of trends magazine which is elton's leading business journal thanks for being with us now the u.s. markets are open they fall in but not

a sphere just yet how do you interpret what we're seeing. is the market falling further and i can refer to what we saw your of this morning where we saw for a brief period of something like one to two hours even a slight increase in the markets that went away after that so overall. difficult to judge. from the our. over all. the negative sentiments that were there last week very pronounced are still there today. do you think that we could see something like when lehman went under in two thousand and eight are the current conditions as serious. well in general i think we are approaching that kind of situation with the exception that of course lehman was a kind of big bang where we are more in a situation where we are on a gradual path down in terms of growth prospects in the united states in the

eurozone and also with respect. for handling this crisis the eurozone. i wanted to talk about just that europe of course is plagued by its own do you think the euro zone can preserve its integrity in this kind of environment. well the chances that the eurozone can preserve its integrity are still there but then it's getting very urgent to come to the fundamental issues which are still not yet treated. even if we take into account what has been agreed upon on the july twenty first summit the two fundamental issues the lack of political union and the lack of labor market flexibility in the eurozone are still not being fully looked in the eye and as long as the european authorities are not.

taking up these problems and going for real incredible solutions we will have this crisis situation china has already voiced a suggestion to ditch the dollar as the global reserve currency do you think the world can abandon the dollar is that a reality at the moment it is not a reality the chinese may wish for that but in order to have an international reserve currency you need to have deep and liquid financial markets and today the only country. the only currency that can offer debt on the world for the world as a whole is the u.s. dollar i really understand the chinese frustration with. the value of their dollar holdings but. the throwing away if i may put it that way of the dollar as the international reserve currency is not for today not for tomorrow and not for the short run. van overtveldt editor in chief of trans magazine belgium's

leading business magazine with us on the line thanks for your analysis. there are two business das who's keeping a close watch on the world's markets standing by how are russian stocks responding to global volatility well before. the u.s. markets have open expectedly the dow jones is down two hundred points or around one point eight percent the russian markets are continuing to fall stocks read all across the board. point nine years five point one percent or more of that just around fifteen minutes for your niece or thanks for that to me at the business desk will be joining you shortly. burned cars smashed windows and looted shops london is recovering after a weekend of street riots followed the fatal shooting of a man by police it seems at least thirty five police officers injured and one

hundred sixty people arrested for em it is the british capital. obviously it's much less attractive to shops in the daylight and i think that's part of the one of the factors that has brought this situation much more under control this monday morning we all still hearing reports of pockets of on the right sort of groups if you ranging around particularly in the areas of brixton in south london and and fields and the surrounding area in the north but mostly what's underway at the moment is a massive cleanup operation after last night's looting and rioting police cars have been smashed up and attacked police themselves so we're hearing reports of petrol bombs having been thrown at least it's certainly they were attacked by right is shocked to. know i was in enfield last night where that the center of the violence started and there were gangs of new ranging through the streets smashing.

whatever they could attacking shop fronts particularly shop fronts with attractive things inside it started off on. and saturday nights in top and what started off as a peaceful protest outside the police station following the face all shooting by police over a man called. about three hundred people holding a silent vigil outside the police station we're hearing reports that what spoke to was a member of the police attacking a seventeen year old girl with that quickly circulated around the crowd and we're hearing that that's what. these areas that we're talking about particularly tottenham where this all sparked off it's an area of massive social privation there's a lot of. the police is relationship with the community and there has been for many many years there's also a huge amount of unemployment and has one of the highest youth unemployment figures . and living off benefits has become a way of life in these people some of them are literally how they live on benefits

at the moment they see no time in the future in which they will have a job and be able to better themselves so people do you feel ignored and neglected in these communities. there and she continues to keep us informed of all the latest developments in london on twitter you can follow. the. latest to reach looters market westfield shopping centers behind barricades and there are rumors suggest oxford street tonight latest news straight from our worldwide correspondent r t. three years ago georgia launched an attack on the people of the small republic of south of the five day war in which georgia trying to reclaim its old territory has claimed hundreds of innocent lives of course in the. capital a city still struggling to come to terms with that's nonsense. attacks suddenly

around midnight and the first tribes have been ham the russian piss keeping base and now what you can see behind me what's left of the base there were around two hundred fifty soldiers and they forced almost waiting for the russian troops to iraq russia stand in troops to protect the republic citizens many of which were russian passport holders and we also were hiding in basements and blown out to buildings overhand twenty three soldiers were killed and many injured and so on we managed to talk to they told us that they want to keep this building untouched and of the memory of what happened han meanwhile the morial service began last night and so will be held throughout the day these are when he starts at eleven thirty five pm that's exactly the time when george opened fire over the such hundreds of people came last night to light candles and to pray for those who were killed three years ago in a brief but destructive conflict many came with a small children people were listening to the rag and they also released white

balloons into the sky and the memory of what happened three years ago that will last it will follow but hundreds were killed and many inches tall was mostly destroyed. and as all of the face of the city has changed within these years still the locals are trying to restore their lives and we managed to speak to some of them who are still struggling to bring their lives back to normal. i come here almost every day. and talk to my son. next to my dear boy. for the last three years. has come to this cemetery where her son is brute five days to. split her life into a before and after. her son a medical college graduates. heard the republic's capital teen vall was under

attack from georgia he rushed home to help the injured he died in her arms as they lay trapped for days on to the rubble of their apartment block that was in the georgian alterian is firing line. the only thing that makes her life worth living now is her twenty year old daughter they now live together in a newly built house to rounded by families with similar tragic stories of. this area where we're live specially built to those families who lost loved ones and were left with nothing in the totes across the street lives of women who lost two children and to the house opposite lives a man who lost both his wife and his child. all these people are victims of georgia's military aggression in all those two thousand and eight when they try to retake control of the downed breakaway republic of south ossetia

a russian peacekeeping mission in the region also came under fire nursed my abuse dive i was on duty with them and witnessed average thing that happened that night for i saw him violent fire when you know it was going to be our last night but was still carried out peacekeeping mission and tried to be calm. most cool sound trained force meant to protect its citizens and prevent more civilian deaths within five days georgian troops had been repelled three weeks later russia recognize the city has independence. the last three years have changed the face of this thursday i new residential area where new roads jobs and have been burst and have been built but still signs of the conflict remain this growing to behind my back are all that's left of the russian peacekeeping paul. for those who lived through the horrors of the brief but deadly conflict the memories are still there we roll. much

in the question of reporting from the scene vile cell for sacha. we're going to discuss further the legacy of war with. a former georgian m.p. an expert on politics in the caucasus who is live with us from washington d.c. now three years on how do you assess the attitude to the conflict in washington at the beginning russell was portrayed as the aggressor has anything changed in the u.s. capitol. oh yeah and. change it is clear for everyone. because you're fired for a show it's sad because she really was the one who over the showing heavy artillery . has been sleeping so if you hear about. the seven eleven fifty five pm georgian time. as it's proven by. if you provided bipartisan group of united nations so the drastically changed my thoughts of people in washington

d.c. including the current administration the obama administration. i'm afraid that label giorgio was labeled as an aggressor will play very very bad at all in the future in the future in the country's development in so many ways in terms of relationship between the united states and georgia. in a recent article you say sweetie and former egyptian president hosni mubarak have many similarities can you elaborate on that for us. well we are talking about the country that has no opposition were represented in the real political life here one president how do you want parliament. saakashvili treats georgia as he's on fiefdom. the only difference of this size

of georgia and egypt. and it doesn't really matter how much egypt was. playing a great a great deal. for the united states in terms of ability in the middle east and georgia does not in the region but the fact still the same that we get closer to prisoners we have no free media. in georgia and we have. autocratic ruler who whose reckless behavior and political decisions already played so many negative role. of my country. president of age of said in a recent interview to r.t. that talk us treaty should face an international criminal court for ordering an attack against civilians do you think that could ever happen theoretically. and. i hope the time will come very soon when first of all georgians will

demand. lots of things will change the name in a very posed the way they're meant he's he's questioning he's the one who started this. genocide against his own people and i deeply story and let me use this opportunity to take advantage of his life and express my deepest condolences to words and sympathy towards those who died from both sides. that this is a this is a tragedy. humankind six period seem to rejoin and somebody needs to take responsibility and somebody needs to be judged for the behavior and there's the copra the only cool critical the one who started the war the one who is going to be responsible for this action. the current georgian ruler. and the whole time will come very soon when of an international court will be starting hearing.

against case against him georgia's opposition sides the country's unable to settle its conflicts with south to set the and while saakashvili is in power do you agree with that. absolutely i don't think there. is any future in many ways. politics in a clinical development in terms. of course. territorial integrity to restore its territorial integrity as longest. because getting dangerous for our neighbors and as we all know georgia are very peaceful people do not anxious to have any problems with any of their new neighbors. who's in charge of georgian politics on fortunately who drives the country to which are terrible disasters and more i'm afraid that the more you could come very quickly somebody stops.

the behavior and i agree with you yes as long as shocking she displays in power georgia's territorial if you will if you will be sold ok. but korea former georgian m.p. live with us on the line from washington. now just before the anniversary to meet the needs of egypt spoke to r t and other media about the south ossetia and conflict the president says georgia's leaders talk us through the should face an international tribunals for crimes against russia and its nationals you can see that full interview at r.t. . the document leaked to britain's times newspaper has revealed a western backed blueprint outlining how rebels plan to control libya after moammar gadhafi is deposed it describes aims to take over the security infrastructure with foreign help mahdi darrius was a research associate for the center for research on globalization joins us now live

from tripoli via broadband thanks for being with us it looks like nato has gone much further than just stopping the bloodshed what do you make of this plan. well basically plan firms think that nato had said several months ago the secretary general of nato and said that nato plans to be in libya after the conflict and this involved reconstruction and security so this actually confirms what they've been planning i'd also want to point out that two months ago that was released from a meeting with the transitional council leaders and off addition figures as well as advisors who say that the nato goal in tripoli is to create created an implosion so this is what they're going for much most the world might not know that nato is deliberately targeted electricity infrastructure in libya and has been

trying to create a blackout to tripoli and a district around tripoli and has been using this for covert terrorist attacks in the city we're hearing according to the plans that they're also trying to spark and the mood in tripoli are you hearing or seeing any signs of this there no not at all in fact the population has gathered around moammar gadhafi as the leader of this country it's actually did transitional council which is in danger of being ousted by delivering citizens in the east in syria not specifically benghazi brooke and donna there has been riots against them that have been movements against them and nato has militarily intervene to stop this because militarily intervene to stop the libyan state it seems in the east from overthrowing the yoke of the transitional council which is clearly a nato proxy in libya. western countries are talking about democracy and the right of the libyan people to choose their own leaders in light of this leak that

we're talking about do you think we'll ever see that kind of rhetoric become a reality for the libyan people well number one it's rhetoric it's never going to become a reality needle and the people in the transitional council individuals who are talking about regime change for several years they get what we need or an american leader to be voted out and you can get all of europe from him beating in different human rights and we're going to say that it shouldn't be an organization where we talk about our government here and divide it leave you. your favorite thing it. can be controlled. by the united states and he i also want. to give prime minister of italy. the british probably ended here and did it. all the bombing campaign trip we are actually to get the population galba night to galvanize the population to overthrow the government it

was not bombing tripoli they really need it i mean tripoli for the if you get out of here very different from what they present the rescue work right mazi daria's. live from tripoli via broadband thank you very much for your analysis. a recap of our headlines is coming your way after a live business update with. welcome to business first a very quick look at the russian markets and situations getting from bad to worse steal my sex index is now down five point three percent the r.t.s. seven point four so they're deeply in the red at the end of the trading day following losses in asia and europe after the opening of the u.s. markets market watches that choppy and volatile after last week's american downgrade and the e.c.b. intervention. the situation is clearing nothing short of a panic we have seen

a somewhat panicky mood in the market last week and luckily we had forty eight hours today just the s. and p. downgrade over the weekend we seem quite volatile session this morning expectedly the market opened quite sharply down then recuperated hard start of the losses and leave the closing still lower and especially is visible across the blue chip universe which is the easiest to get rid of and what we have so we have what they observe at the moment in terms of trying to see if it is sadly seen hedge funds trying to get rid of the blue chip names and a lot of these situations trying to pick up some value plays in the second tier universe. so moved to the markets now and look at the year numbers that we've got at the moment so yes you can see there obvious down some point four percent my sixty five point three percent there was some positive upswing of intervention from the e.c.b. the however we're seeing of the situation the final minutes of trading just twenty

minutes left on the clock getting worse and worse that's taken out of the main move is what's behind this drop world pretty much every share is the heading down no with a nosedive as burbank four point seven percent growth never down four point two percent because of oil prices because it turned lower look at them in just a second bucking the trend followers gold is up one percent so supported by stronger bullion demand we look at gold prices which are up of course safe haven in just a second european markets are still in the red the footsie down one point eight percent dax two point eight percent so that's after the opening of the u.s. markets they expected lee lost more than two hundred points on the dow jones is now two point seven percent nasdaq three point seven percent all eyes now close on the . ben bernanke you statement which is due out on tuesday to find some kind of education and indication of where the market is going to go. what's the federal

reserve is going to do to react to this isn't the downgrade bank of america one of the top losers down mines. on the main. precious metals and commodities gold up two point three percent more than seven hundred seventeen hundred dollars per ounce silver not far away for to nine dollars fifty cents up three dollars. crude prices are lower following the downgrade of the world's largest will consumers no confidence in the market investors are concerned over future demand for crude light sweet and brant are down more than two dollars seventy five cents each. well while the screams of the russian equity traders. clashing with red jacob bell for morgan stanley says the country's economy will not be hurt less oil prices below go below a certain threshold the key thing to watch for russia is the oil price if the oil

price goes below about eighty dollars a barrel then russia's in trouble and if it stays above eighty dollars a barrel russia's following because the oil is so crucial for both the parent balance of payments and exports and for the budget. we don't expect a repeat of two thousand and eight when you had a funding crisis in developed markets which hit growth and then hit commodity prices and then hit russia at the moment we still see the support for commodity prices is still there so although we speak specked some volatility some choppiness . looking ahead it looks like russia is reasonably well supported with oil at around one hundred dollars a barrel at the moment kind of next darcy the headlines with and he said you stay with us. hungry for the full story we've got it first the biggest issues get a human voice face to face with the news makers. in

russia would be soon which brightened if you knew about someone from phones to christians. he's fluent stunts on t.v. don't comb. in india oh geez available in the movie the joys the hotel rooms the villas the gateway photo the grand imperial truly the tallest western coast you can the let's go to the socialist good to see don't need to go and pull a clear road to some of the colonel was hoto as used to retreat. at

six thirty pm last time these are the top stories on our t.v. global market fever stops of yoyo around the world in reaction to the u.s. credit rating caught in the spreading in the debt crisis in europe stock markets are once again in decline despite the sides will bank promising to buy up spanish and italian government bonds of. anarchy in the u.k. parts of london turned into a battlefield for a second night as rioters and looters react to a fatal police shooting thirty five to some pictures were injured and over a hundred and sixty people arrested. it's three years since stores along soon attack on the people of the small republic of south and south korea we spoke to those who bear the scars of a five day conflict which claimed hundreds of innocent lives. so as changes sweep through the arab world some countries are finding it easier to adapt than others.