the dow jones is hovering between two. right now it is the first reaction to the great degree america's credit rating over the weekend with the eurozone crisis. best news report for you from new york things are heading south in the first minute of trading the dow opened down more than two hundred points within an hour it was down more than three point two percent now that number is going up and down and changing but clearly it indicates a climate of uncertainty in this climate of uncertainty isn't just here here in the u.s. but it is all over the world and of course this is this comes after the us. downgraded the u.s. credit from aaa to friday evening this is the first time in history the country of the world's largest economy was kicked out of this triple a club and to sum it up. course as the u.s.

government needs to get its fiscal house in order following all the drama surrounding the debt deal the credit agency believes that enough has not been done by u.s. lawmakers to to balance its books in addition to all of the political posturing all of the bickering all of the bad and forth mudslinging hurt. confidence in the u.s. economy that is according to this credit agency and so after we saw that the u.s. credit was downgraded from aaa to doubly what else happened we saw the republicans in the u.s. blame president obama we saw the ministries or the sarah gets of the u.s. administration blame the tea party so the blame game just continued even in the aftermath of the credit of the united states being downgraded right now would still it's a climate of uncertainty the credit agency said that there is a chance that the u.s. credit rating could be downgraded even further if the u.s.

does not get its fiscal house in order and does not stop this ongoing process of borrowing and spending. new york first reporting on the u.s. side of things well meantime in europe stock markets are also in the red 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 earlier now it is down the bushels following the situation from brussels the e.c.b. the european central bank made a wrist sunday announcement to try and reassure people saying that it will boil italian and spanish which no one wants to touch at the moment but chancellor merkel of germany spoil the party by saying that she wouldn't increase the e.u. bailout fund suggesting that if it's only and spain collapse if their economy goes under that she and germany europe's largest economy won't help instead merkel is piling the pressure on the states for even more painful measures that italy's prime

minister silvio berlusconi says he'll bring forward the servage government spending cuts in italy by a year now italians already furious saying will oppose those measures so there are talk of a national strike in italy at the moment obviously worrying news there the big g. seven g. twenty groups of leading economies have held an emergency conference call to say that they've got the situation under control but investors are voting with their feet here in europe and they say they just don't trust them the fact that america is in panic after losing its aaa credit rating and it's squeaky bum time for investors at the moment. he's done a bushel in brussels while asian markets have closed in the red to following a rocky trading session. as more from asia's third largest economy in the. all the markets are down here asia is reacting very strongly we're hearing strong words from chinese political leaders as well one chinese newspaper actually said the u.s.

government has to realize that the good old days when it used to borrow its way out of math is that over to everyone's watching this very closely india is the third largest economy in asia and asia as a whole actually holds three trillion dollars of united states china being the number one u.s. debt 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 happen yet but it's clearly creating a domino effect across the world and asia is going to continue to watch to see what happens proofreader of course the sort of things in new delhi for us i wouldn't say would throw the evening will be crossing live to

a correspondent on both sides of the as well as bring you that they does that explode opinions on the ongoing crisis you can also keep up to date of course if you know the t.v. with a website as well to. look at what's going on as well. burned cars smashed windows and looted sure london is recovering after a weekend of street riots and rest followed the fatal shooting of a man by police it seems at least thirty five police officers injured and hundred sixty people arrested. in the british capital with the latest 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 training police and certainly they were attacked by riots is shops with that far too and now i was in enfield last night where that the center of the violence started and there were gangs of youths ranging through the streets smashing and robbing the tree whatever they could attacking shopfronts particularly shop fronts with attractive things inside it started off on saturday night in top know what started off as a peaceful protest outside the police station following the fatal shooting by

police of a man called mark duggan there about three hundred people holding a silent vigil outside the police station we're hearing reports that what sparked it was a member of the police attacking a seventeen year old girl with a box on that quick. circulates around the crowd and we're hearing that that's what sparked this violence in 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 anger the police is relationship with the community and there has been for many many years there's also a huge amount of unemployment has one of the highest on it used to unemployment figures. and so living off benefits has become a way of life in these people some of them are literally hopeless 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 say people do you feel ignored and neglected in these communities. but so artie's laura first time spilled out onto the streets

of london either log on to our tea dot com you can watch other public reacted to proposed budget cuts back in march right now on your screen you see looking at this live pictures from the area of london police keeping a close eye on but tonight it looks like there could be some more trouble there we're hearing as well that the secretary to reserve may. day broke into his summer holiday she's meeting with police. trying to get across the latest that's been happening this all kicked off a couple of days ago of course as we've been reporting the skirmishes breaking out between police and groups of young people in the area there but as you can see youngsters gathering around the car at the moment these are live pictures coming through from other news agencies doesn't look to be any trouble there but obviously a very tense area these pictures from me in london tonight we'll bring you up to date if anything does happen there of course. this is r t from moscow no three years ago georgia launched an attack on the people of the small republic of

south of setia the five day war in which georgia tried to reclaim its old territories claimed hundreds of innocent lives out his body in a coach and over the south are set in capital for a city still struggling to come to terms with the losses. 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. the russian troops to iraq russia sent in troops to protect the republic citizens many of which were russian passport holders and me all through one hiding in basements and bowing down to buildings over the hand 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 it will be held

throughout the day of the sermon he starts at eleven thirty five pm that's exactly the time when george or open fly over the such hundreds of people came last night to light candles 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. was 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 i sit and talk to my son so i know i will lie next to my dear boy. for the last three years stacy sydney has come to this cemetery where her son is

birds five days to know goes two thousand and eight split her life into a before and after. when her son a medical college graduate heard they were public's capital team vall was under attack from georgia she rushed home to help the injured she died in her arms us they lay trapped for days on to the rubble of their apartment block that was in the georgian alterian is firing line. as 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. here in this area where we're live with specially built to those families who lost loved ones and were left with nothing in the touts 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 kids and i saw violence far when you know it was going to be our last night but it was still carried out peacekeeping mission and tried to be calm. moskos sound trained force meant to protect its citizens and prevent more civilian deaths within five days georgian troops had been repaired. alta three weeks later russia recognized the statue as independence. the last three years have changed the face of the sez he i new residential air where new roads jobs and invest in new

zealand have been built. but still signs of the conflict remain this ruins behind my back are all that's left of the russian peacekeeping post for those who lived through the horrors of the brief but badly conflict the memories are still valuable . much in the question i see reporting from team vall south saturn. we just before the anniversary dmitri medvedev spoke to us and some other media outlets as well about the south and certain conflicts present a vote of says georgia's leader saakashvili should face an international tribunal for crimes against russia and its nationals his interview in full if you'd like to catch up with david knott see the reading at r.t. dot com. all right more now on our top story the awfully volatile markets to put it mildly let's bring into the conversation harlan greenies editor and publisher of popularly economics dot com harlan thanks ever so

much maybe with us so global markets heading down steadily today not a sharp maybe a some expected is there any glimmer of good news to be gleaned from that what are you reading into it well i'm reading not so much the markets but the actual government statistics are are now are under reporting growth in the united states it's incredible i've been writing about it other bloggers have been writing about it in fact the jobless. records that are coming out are understating employment by at least one hundred thousand jobs over the last two months and now we're finding out the g.d.p. the gross domestic product reports are underreporting also the our growth in this country and it's a lot of has to do with what are called seasonal adjustments and and the what they call growth income figures gross domestic income you get this prove you're saying the figures that are being made public are being fudged and yet. it's hard to see

how why and how the numbers are wrong we think it's. errors there are way overcompensating for seasonal adjustment factors it's a technical thing something that you know a columnist like myself look at but the bottom line is the actual numbers are better than the headlines will tell you on our economic growth and there are serious as you can probably know there is are tremendous pessimism going on in this country because eighty percent the wages and salary earners here are not earning as much as they did thirty years ago when you take inflation so that what's happened is the headlines are all biased towards the end the pessimistic side actually growth is is is fairly moderate right now it's where i do not see us heading into a second recession or gullible or whatever you want to call it because of this debt ceiling agreement well it's very good to hear the positive thoughts for you there that you're so confident not everyone is that confident that while they know they are and the markets of course react after the fact. they're reacting to

a loser right now i would say definitely definitely you're going to see better growth job growth in the second half of this year now how this debt ceiling agreement affects things this is what you know robert shilling the great great economist at yale says is is has to do with animal spirits you know and it has to do with how people feel about the future when you can't predict of it that you have to go into the heart of what is the future when you're constantly borrowing more and more money and spending up to that limit and constantly increasing the limit that is no future is it well see that's the republican lying because the bottom line is really is that you grow yourself out of debt i mean we did it during world war two we did it with roosevelt because we had jobs programs jobs creating programs right now the republicans don't want that they blocked every every attempt we've had to create more jobs they don't want to quit government spending we've

lost basically one million government jobs today the last three. months according to barrels and those are all government jobs we've lost so that's doing things right now instead of one point three million jobs over the last three months we've got two point three million if we if we count those government jobs were lost they're cutting back all right tom's a bit against us i hear what you said about the u.s. reasons we positive you think at least what about you one of what about what's going on there reason is a part of the very as well as a completely different picture well that there is a little bit more dire because you have the euro problems you know you have countries that really shouldn't be in the euro at the moment unfortunately you know greece ireland so on and so the rest of the europe has to bail them out alan greenspan sunday said he was much more worried about europe than he was about the u.s. economy because half of our exports go to europe for her of our corporations or most of their earnings in europe and so your could lead us into a recession much more quickly than the u.s.

just very quickly what's your prognosis for the economy so the next five ten years are going to be seeing more role in the developing nations coming forward. well right now it is the emerging nations that really need to our leaders out of this anyway they have much lower debt levels they have forty to forty five percent of g.d.p. debt levels whereas we have our you know eighty percent or so right now europe has are eighty percent what it is think about the s. and p. downgrade what is that european countries with the same debt levels they don't consider to be less than aaa whereas we do we are because of our political situation so most european countries are is indeed it is we are france for instance in holland graham afraid we've got to leave it there to turn publisher of poverty cannot mix dot com but ever so grateful to you being on the program thanks ever so much you're welcome your idea of the big news coming through from london of course

we've been following the news there but those riots all weekend there's been further trouble in fact the further trouble at the moment we brought you the latest pictures it was saying let's take a look at them now yeah they are coming through live from l.a. cop to they're above the. scenes there in hackney it doesn't look to be an awful lot of trouble there earlier on but the news agencies are reporting that new violence has erupted there hackneys in the east london of course skirmishes are reported to have broken out between police and groups of use there as you say that car we showed you these pictures a little while but these are live shots that carson moved since it doesn't look to be anything particularly bad going on there at the moment but of course people keeping a close eye on what you can see a cordon of police across the end of the street there just bring you up to date on this if it's only just catching up with this news you may recall weekend of being problems. problems to bring the secretary trees i'm a back early from her summer holiday she's meeting with police chiefs about the

rioting that the british capital has witnessed across the weekend it all started off with trouble in tottenham as a lot of violence there the beginning of the weekend after. a man was shot by the police more than one hundred people were arrested thirty five officers were injured in two nights of rioting and looting and though it looks tonight judging by the news reports we're getting through just seeing those pictures there could be trouble erupting in east london in the hackney area soon as we get more on that we will of course bring you up to date on it here on r.t. international from moscow. a document leaked to britain's times newspaper has revealed a western backed blueprint outlining how rebels plan to control libya after one of gadhafi is deposed describes aims to take over the security infrastructure with foreign help money darrius nasm royer research associate at the center for research on globalization told us that nato is goals in libya different to those it presents

to the world. need to hand to the people in the transitional council even individuals are talking about a regime change change for several years deprived minister of italy. the british prime minister and the french president said there was also a bombing campaign in tripoli are actually to get the population down tonight to galvanize the population to overthrow the government so it was not bombing tripoli to meet me tripoli or specifically i was so you're here just very different from what the present the rest of the world much most of 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 districts around tripoli and have been using this called for terrorist attacks in the city. when i guess the violence in syria where the bin fresh attacks on to get the protesters across the country gunfire and explosions

have been reported in the cities a deal al zubayr and hama more than three hundred people have been killed in the past week the bloodiest in the five month uprising against president assad rule bahrain kuwait and saudi arabia have now pulled their ambassadors from syria adding to the international condemnation of the crackdown on protesters international relations expert press amar caliban says syrian politics of riddled with intrigue and not everything is as if things. were demonstrates that. there is a war crime to ship but there's a little weapons. in iraq i'm only through the sort of soul groups who are hostile to the american with the arrogant years all feel they are friends all girls are merican so i guess not because. we have also writers or over the. internet going on behind the rhetoric of both talk about. who represents the people and i think the real danger is that we are

a very large scale civil war and so the. twenty four minutes past eight pm here in moscow ok let's go to date now again with the very latest on what's been a very volatile day on the markets around the world. business correspondent is here with this very volatile day and day it was no that's right the biggest one day drop since the two thousand and eight crisis in russia going well basically russian markets took an enormous hit the r.t.s. down almost eight percent my six five and a half percent the biggest one day fall in three years reverses have that mirrored in the markets around the world trainers have been reacting to the downgrade of the american debt on friday and concerns over europe's ability to get out of its debt mess now is talk to constantin said as of every head of global markets at troika dialogue is standing there waiting to talk to us thank you very much constantly for being with us so we've seen drops since last wednesday pretty much very dramatic drops how long do you think this turbulence will continue. bro you know it's

summertime it can last any any time all the time so i'm just getting obviously actually that's more almost like a psychological reaction to what happened in the states so i don't think that this is going to last forever so you know almost always of people are kind of on holidays so you know if there's going to be for for a while but for now you're expecting anything to come out of the nanking meeting tomorrow. well of course something might come out so i can't say what is going to be there there can be any outcome of that so. how do you think the markets could still go the russian markets i mean they've gone down no most eight percent on the r.t.s. five and a half on the mind sex. well that's a very difficult questions you know because actually i mean that's mostly the reaction we saw russia itself is is like the other emerging markets people are trying to avoid the most risky assets basically trying to come back to their normal

risk of that's a normal reaction so. could be anything odd the ruble lost two percent versus the euro dollar currency bust good what's your outlook for the russian currency. that's right well rob always a function of oil is a function of oil everyone knows that it's all basically in the whole russian economy in the arthur c. so it looks like a good part of them is the function of the oil price we need to watch the boys. presence russia is relatively debt free at this point of time compared to europe and the united states do you think its economies only hinged on the fate of the oil price then right now. if we speak only about russia so it's almost like a bristling throw your arms around. that's right ok consensus that i will thank you so much for your time deputy head of a global markets the troika dialog talking to business. thank you all right we have

a bit of time let's take a look at how the markets were faring today and bring you those figures we were mentioning and really a massive beating on the russian markets the r.t.s. losing almost eight percent there my six five and a half percent if we look at the main movers or most outstanding performers if you can say that about those figures take a look at them rose telecom down more than ten percent in just one session that stock is volatile even without news coming out from the united states so really a big move their sperm bank one of the most liquid stocks on the russian market news in six point three percent and one of the only gain is pretty much as paul newschool up point four percent because of the increase in the gold price but look at that in just a second in the u.s. markets are still down dow jones three percent decline and nasdaq almost four percent bank of america one of the biggest losers of one point it was down more than nine percent in the session. closing picture for the european markets and it's

not. it's rosy after all footsie down three point four percent dax more than five percent that's up to declining two and a half on friday and three point four on thursday so really one of the biggest drops in history pretty much on the stock markets that's all we have time for we will be back in fifty minutes time with the headlines.

the. song from plans to. start on t.v. dot com. hello

this is our team from moscow my name's kevin thirty. with top story live pictures to take a look at here coming through from london from the east of london hackney to be precise another round of riots is reportedly breaking out these are the latest pictures just to me is again more precisely it's in the northeast of the city we're hearing reports that groups of people began attacking police. offices reports. have been drafted in there and about two hundred police officers in riot gear it looks pretty pace from the moments. when they. moved but you can see police officer across the road that looks like a public a from evacuated from the area many people walking around the police so if you look carefully if anything does kick off that we will of course bring you the details.