joy see the children's movie that's the grease we go to the ground and truly george wants to scream until you can a little it's no closure it's a duty to go and. run this is the kernel was her job as a retreat. britain is on full scale a word and scenes of violence and destruction fire beyond london after three days of clashes between rioters and police. european stock markets are diving outer wall street hits the low not seen since two thousand and eight panic investors abandoned global stocks. and as the u.s. credit downgrade triggered freefall in international markets india claims its economy could actually benefit from the situation. plus russian markets are taking a beating with the r.t.s. down almost eight percent more and that's in business in twenty minutes.

live from our studios in central moscow you're watching r t with me and use in our way it's two pm here in the russian capital eleven am in london where buildings on fire windows smashed and shops ransacked are the scenes devastating the streets at least officers in their thousands are deployed to tackle the lawlessness that's now spreading to other cities the prime minister has flown back from his family holiday and is in emergency talks to decide how to deal with the crisis fourteen people have been injured with police making over four hundred fifty about one hundred eight emergency services and pushed beyond their limits with the london fire brigade saying it faced its busiest night in recent history marches war and it has been keeping a close eye on the situation. london's burning rioters and police

take over the capital for a third night as leaches target yet more areas of london in a spiraling cycle of violence on monday night a violent shoot a few signs of abating in fact it spread further around the c.c.c. here in east london in hackney where wright says set fire to cars and tried to break into more shops meanwhile terrified residents of london could do nothing but according to police seal off streets and treat whole areas as crime scenes with local communities trying to come to terms with the wave of looting and go thing north east and south london in enfield does looted shops making off with whatever they could carry in nearby edmonton a man with south in brixton riots has threw rocks at police and in tottenham where it all began the high street is a burned out shell the police the chops and char the bags everything that's happening the recession you know there's

a lot of anger about that no jobs nothing for the youths to do so yeah i mean look out for australia america you know and it is it is sad that it's not it's the poor people that's suffering it was sparked by the fatal shooting by police of this man mark duggan tottenham once aunt says about why and how he was killed but his shooting was just the spark in an exceptionally dry tinder box tottenham and other london boroughs have long been simmering with resentment towards the police towards social injustice and towards unemployment this is a community which is fantastic precious or how levels of unemployment than our lives and kill still exists the says he's club's been closed those never an excuse for god it's the critics who sit in the courts and the warriors and concerns and complaints about the death of particle. well the stark question is for tottenham

has one of the highest unemployment rates in london particularly amongst the young black people are far more likely to be stopped and searched by police than whites and together with hackney brixton walthamstow and lewisham which also saw violence has become a victim of what prime minister david cameron is now calling failed multiculturalism this. charmingly groups. call these groups. which are you know the. streets of. the bush war on the races for the marines. but. you know something should be done unless these gangs of youths tire of the violence there doesn't seem to be a real reason why this looting should stop it's unlikely the perpetrators have jobs to go to and school's out for the summer london residents clear more unrest on the

streets in the coming days the news is on making a political point that hardly anyone in these communities supports them but many are saying that there actually is a political point the social integration in parts of the country is deplorable social mobility is nil and the relationship with the police it is bad as it's been feeling is and with cuts in government spending looming over the next few years the situation is very unlikely to get any better nor at its forty five eastern. let's cross live now to london figure out a way to stick of what's happening in the british capital ira bennett joins us ivor three days of violence and destruction here are there any signs of these riots winding down i mean is there a sense that police are unable to cope with the situation. all things also got a lot calmer this morning with daylight is common sense is safety but there's no guarantee it won't flare up again tonight like they have done the last three nights

because last night certainly in several areas of london the police simply didn't have any control whatsoever the word to describe it is lawless it was complete mayhem in places like ayling in west london classroom in southwestern croydon in the southeast where there was widespread looting buildings and vehicles being set on fire and when i said it really didn't have any control for example in practice they weren't there for over an hour and the looters and then the you had to have the free run of the main department store there for the well over an hour and and all the shops in the main high street was smashed in and just and ransacked really and. now people were just taking what they could mobile phones trainers and things like that and there has been. some real shock by residents in that area who are speaking to last night saying how can this happen here that's quite an affluent suburb and they thought they were out of the trouble they're. in thing they will be affected but it just goes nowhere is safe at the moment from this trouble because

last night the police and we didn't have much control there has been some criticism of the police in the area they were they did get to you in time because they're saying they're not really doing much. acting police commissioner tim godwin has just come out of a meeting. with prime minister david cameron the cobra emergency response group and saying that the police will now be tougher but there has been some calls for the use of water cannons and simply aren't and the army and troops coming in that's been dismissed not only by him but also by to reason made a home secretary saying that's not how we police in britain make clear that that could actually do more harm than good because they were simply outnumbered and they think they any brutality would have done more harm than good last night they had six thousand police officers on the street tonight they bolted out with. thirteen thousand so the hope is that will get things under control but that already all the police cells and food in london over four hundred fifty police over four hundred

fifty arrests have been made and so things are being taken out of london to cells that are free in areas outside of the capital. having to bring in more police officers to plead to try and get a situation under control and also vents like on this scale are rarely seen in the u.k. and when you think about it what has made london implode like this and why is it happening now. well the touch paper for all of this was on saturday night was the fatal shooting of a man called mark duggan in in a northern suburb called tottenham what happened there was a peaceful protest outside a police station that got out of hand and led to looting and fires in tottenham and then that's much faster throughout the city now and also throughout the u.k. towns like bristol burning in manchester liverpool. all over the u.k. experiencing trouble last night and this really shows that i think people they

obviously have no idea who this man was mark duggan so it's not really about that anymore it's not about the police and the politicians are saying it's not about people who were disaffected and disgruntled with the economy or lack of jobs it's people who are just going out to create mindless violence and and it's opportunist in the criminality that's the words that are being described used to describe this and i think when you saw that last night in clapham where i was. people at the people as young as i thought seen in the end of the report people you know young as eight in places like in north east london running around looting grabbing what they can and mobile phones to them it's from other people just laughing and trying to run away from the police they think it's a game of kind of hide and seek and they just see it as planned so that's the trouble the police are praising the moment they're saying this is just she criminality really and of course the pictures coming out of london and the surrounding areas of the british capital just mind blowing ira bennett live from

london of course we will continue to say on top of the situation in london thanks for that. we want to know what you think share your opinion on the u.k. riots by participating in our latest poll log on to our website are to god com to contribute to today's topic we ask you what's the driving force behind the u.k. riots so far the most part the most popular response is this is from a over the economy a quarter of you say it's the failure of. them and some of you think that criminals hungry for profit and heavy handed policing hard to bully the line let us know what you think is the driving force behind u.k. riots r t top cop. well from trouble on the streets to trading turmoil as european stock markets plummet on tuesday after a break falls overnight in the u.s. and a volatile day of trading in asia and now joining us live from brussels our correspondent

daniel bush all day how bad is the situation on the european markets are we perhaps seeing the beginning of a new crisis here. this is becoming a blog last week was the world's worst for world markets three years and yesterday became known. as she has plummeted but they have been even worse than even the cheerleaders for the euro and now depress join the european central bank says this is the worst crisis since world war two and it requires quote own conventional measures now when you have a central banker who are famous for their conservatism coming out with statements like that. there's plenty here throughout europe because he is the european central banks of spanish. which no one wants to touch at the moment would help the situation as we can see on the markets the husband. this of course is very bad news for the euro which has been stumbling for the last three years how attractive is

the single currency today what do you hearing. well it was saying the situation is getting worse not better because what lisa is forcing is making the economies slower and less strong because it's forcing countries to slash spending it's forcing them to stop creating jobs to stop investing in the economy and infrastructure and building a road building and of course the number one thing to get me out into the open and get it growing again it's stimulate people get them back to work get people building things creating things so these austerity measures are doing the opposite of what should be happening for the euro and is compounding the problems now barack obama has consulted with the head so spain and italy the latest country to join the storm the u.s. president spoke to. the head of spain and prime minister of italy so. many economists say u.s. is in a common problem with europe and that they all have unsustainable debt with no plan

b. . writing in greece from the country's economic crisis were felt across the european union and international markets worldwide while parts of europe have been teetering on the edge of economic abyss has remained stable in the storm along with this currency. there is a widespread belief in the country that being outside the euro has helped keep poland out of trouble here and. if we were part of the euro zone in then we would have been obliged to help countries like greece and portugal happily help out someone else without solving our own problems it's almost guaranteed that prices would go up that we join the euro zone damage my business recent opinion polls suggest that more than sixty percent of balls want to keep their own currency a dramatic turnaround from just a few years back a few years ago the euro was seen as the euro club was seen as something very

exclusive polls aspired to that they wanted a country to join me here either. now the name of the euro has been so in the bible troubles in greece and italy polls don't want to be dragged into this crisis if the government forced the euro issue try to bring poland into the euro zone it could be political suicide poland has fared much better than many of its e.u. partners in the global crisis several countries like greece ireland and portugal are on the brink of disaster partly due to a boring binge allowed by your membership and associated low interest rates being outside the eurozone members pulled could not join the board seat but now it does not have the hangover poland was meant to have the euro by next year the time when the country's co-hosting the twenty twelve european football championship but with the latest developments these plans may be shelved for another four years you say poland is obliged to adopt the euro once it meets the economic rules the joining

but politicians are now much cooler on the idea with ministers saying they use their own lives to get its house in order first place very important for us. and the need for institutional changes in. i mean the economy governance of funerals and. also some crisis management terms we see some need for action in the euro zone before. target date will be. set up the game has changed and the usual good everyone wants wanted to join we know be the invitation no one wants to accept. let's see russia stick and see because you for the warsaw in poland. to the u.s. now where president obama's speech in which he declared america was still an economic powerhouse has a higher sell off on wall street starts with it

a new since two thousand and eight after the u.s. lost its aaa credit rating i just reported i has more now from new york. market reaction to the historic downgrade of america's credit are short in the worst day on wall street since the two thousand and eight financial crisis all three major u.s. stock indexes plummeted between five and seven percent on monday now all of this coming just hours after standard and poor's. downgraded the u.s. credit kicking america out of the triple a club this is already creating a climate of uncertainty or increasing this climate of uncertainty and lack of confidence among investors when they look to the stability of the u.s. economy the u.s. president barack obama of course try to inject some optimism into the public and into the markets on monday saying that america has been and always will be

a triple a economy he says that washington's problem is not a lack of policy or plans but a lot of lack of political will and he says many lawmakers have been insistent on drawing lines in the sand and now it is urgent for all parties to come together to come up with a long term approach on how to reduce the deficit in the u.s. the u.s. has a debt of fourteen point three trillion dollars and growing and at this point many investors as we saw on monday are selling now and asking questions later the early the markets have not been reacting baber favorably to the fact that standard and poor's did downgrade america's credit for the first time ever in history. and asian stocks have gained ground after steep drops earlier in the day amid fears the u.s. is heading for a recession and india is claiming it's ready to implement fast track reforms to encourage domestic consumption in order to overcome the economic struggles. of the

latest on the financial situation in asia from new delhi. asian markets have been tumbling in reaction to the latest news of the at the in p. downgrading of the u.s. economy but actually many politicians and many analysts in india think that this country will only be affected in the short term by what's happening in that they're actually better equipped than many western countries especially your pm countries to handle what's going on in the united states we have indeed finance minister pranab mukherjee coming out and saying that this is only going to be really a short term impact analysts are thing that the bric countries will in the long term be left the fact that by what's happening in the united states but actually if investors move if they continue on this risk aversion path and move away from u.s. treasury bonds they might actually feel more comfortable investing in these emerging markets like china and india china has taken a much stronger stance on what's going on they've called the us. immoral and

irresponsible and their thing a chinese newspaper recently said that the united states really needs to move away from borrowing its way out of its messes but india on the other hand has had more of an optimistic response to what's going on than china and they're really hoping that in the way they might be able to benefit from all of this. economic professor to come gone to from the indians to consider the institute joins us now live to discuss how his country plans to benefit from the crisis like we heard there from previous tell us what is going on to turn this crisis to its advantage. well part of the job of a finance minister is often one of the main jobs is the talk of the economy but i think in this case the finance minister is is saying the right things is that the medium term growth outlook for india looks robust it's in the eight point two to

eight point five percentage range and the strongest indicator for for a debt g.d.p. ratio a strong income growth something that the european union doesn't have and that's something that bodes well for the indian economy there are other things as well if there is a recession in the world as is being talked about that's going to reduce the price of oil into imports a lot of oil so that's going to reduce its import bill there are other factors and there's an expected depreciation in the value of the dollar in other words of the dollar weakens and if india's repeat their four strengthens visa be the dollar it's important it will go down as well so on the import side in terms of oil dyed bodes well for india in the short term the risk is somehow whether india can finance its current account deficit because of the general climate of risk aversion and because if investors are less willing to invest in emerging markets how does india continue to finance its current account deficit. markets have recovered around how odd their overnight losses by the close and what's behind this climb. part of the

initial selloff was was panic and i think the panic responded to the downgrade incredible earthiness of u.s. treasury bills but i think it's important to realize that going down from a aaa rating to a double a plus rating defacto isn't really much of a change indian debt for instance has a triple b. minus rating so because this is defacto not a change i think many people around the world perceive the united states treasury treasury bill is as a safe investment even now. and after the initial panic has has outlasted i think investors realize that emerging markets like india have strong fundamentals they have strong structural reasons going into the future such as positive demographic trends high savings and investment rates and those things kind of get factor been out for initial panic people begin to look at the medium and see that what's happening in the rest of the world is not necessarily what's happening in terms of

here domestically but the world's emerging developing economies the so-called brics nations have expressed a lot of optimism in battling the new wave of crises not just india. what do they know that washington doesn't know when it comes to the economy and how to deal with this crisis. well the british economy there's an arbiter our big saying is that every crisis present its present and so it's an opportunity for the different bric economies have to respond differently to to become in crisis and i think china is in a as is a country which is probably in and in the most precarious position because it's basically been buying dollars in the foreign exchange market to keep the rémy be undervalued to push it in just to push a model of export led growth but it also holds and then it buys treasury bills with those dollars so this is a good opportunity for countries like china to rethink its strategy for long term growth slowly moving towards an investment led growth model to the presumption that

growth part of this attempt is to correct robel imbalances and i think this is a good opportunity for countries like india and china for instance to usher in reforms sure and much needed reforms to kick start good some for instance in the context of india there's been talk about pushing foreign direct investment multi granby to we haven't done that in the last few years it's a politically very volatile topic but i think what the finance minister is doing you're saying is that look we're in a position where the external climate facing the country is volatile so this is a good situation for india to push on its domestic reform track agenda to to raise growth in the in the medium term. that's half from the is the answer just go and see that's the kiss to call institute i should say economics professor thanks for being with us on the line live from india. a look now at some world news in brief for you this hour the leader of libya's rebel movement has dismissed his executive

committee in response to the killing of the opposition military chief last month members of the national transitional council would be as high as rebel of to support the regime they said the move was in response to the incompetence around in the general's caption and subsequent that may well nato air strikes continue in tripoli the ongoing civil war in libya started over four months ago. with nato forces joining in march. so tell me you were curious former i.m.f. chief there in your column of sexually assaulting her has probably civil lawsuit against him and i think doctor of yellow who is seeking unspecified damages claims that she was life humiliated by the year and ordeal struck a cord with the new york in may and was originally placed under house arrest he has pleaded not guilty to the charges and it's since been released on a one million dollar bail. the united nations and refugees agency has airlifted humanitarian aid into the war torn capital of somalia for the first time in five

years because of the country battles with a devastating famine caused by the worst drought in sixty years the first of three planned planes delivered tons of emergency supplies including shelter materials and ship it was made possible after a local islamist groups who earlier prevented aid deliveries pulled out from mogadishu were going to twenty nine thousand children under the age of five have died in the last ninety days in southern somalia alone. up next insulators business with marina stay with us. hello and welcome to the business here on artsy emerging markets are plunge and so their lowest levels in months the flammable call over u.s. credit downgrade and the eurozone debt crisis is promising a broad sell off on all financial markets russian equities are among the worst performers an hour and a freefall this hour star for us reports from the headquarters of the r.c.s.

stock exchange. well it seems to just keep getting worse harris second day of losses they follow it is the last day of trading yesterday russian markets continuing at today's taipei with ing much the same story across the european markets as invest is the dumping their risk is looking for a safer place to put that money you know what was think it's a killing affecting russia is that their own great situation in the u.s. and throughout the year as a has continued to weigh down on the oil prices that's really having quite an impact on the oil and energy mage's here in the country and we've seen the markets reacting to the standard imposed decision for the weekend to downgrade the u.s. one notch visited late may take that's really had a very negative impact in interventions by the political leaders that we've seen to try and stabilize the market have to have opposed to that that it would take for

you to the european central bank agreeing to prop up its lead in spain that they blood situation president of all that trying to calm the markets calm investors by saying that he still considers america aaa rated country whatever the ratings agency made his but investors are necessarily find out there's still a lot of uncertainty here and we would think that continuing today things that volatility in turbulence really remains the name of the game. just like a look at the markets and the latest figures in russia there was a sort of a rebound but it was short lived the artist crossed eight percent for the second day in a row or right now it's news in almost seven and a half percent waldemar success down almost four percent let's have a lot of the social moves on the my sex i have two majors are the top losers das from am lost after both people never told producer is also trading in negative territory the strike gold prices surging to profit highs in european markets have

reversed earlier. gainsaying are heading south the foot soon fell below the five thousand point mark for the first time and over is near the foot seas losing two point four percent the south while the dax is down three point seven per second look at the asian stocks they closed in the red after the sell off on wall street banks sang lost more than five and a half the size and among the worst performers for banks an x. quarter's bank of time that was out over six percent and so it lost over four facades. gold has set a new record high for the second day there as investors look for safe haven assets but silver is making losses a susan over one and a half this side of a sour. so business news for now the headlines are next with me so.

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