the new bond promised to pay out just 2%, the lowest ever interest rate on an issue of german-10--- german 10-year bonds and a lack of buyer fears it is driving away investment. >> an organization called the german finance industry charged with selling german debt and normally, it is a pretty easy job. german bonds are popular investments, but suddenly, buyers seem to think they are not offering enough yield. the gap between interest rates paid for bonds by different eurozone governments is growing. italy and spain pay nearly 7%. france is paying over 3.5% interest. germany pays the least. so far, not even 2%. if the trend continues, france risks a downgrade in its credit rating. two agencies have already stated that france's aaa status is under review. a dangerous position for the eurozone's second largest economy. >> with investors suddenly showing little desire to buy german bonds, we asked the chief economist at the premier bank how he was interpreting the situation. >> first of all, we only could sell a little bit less than 4 billion euros. the target was 6 billion. it does definitely

german business confidence has risen in november for the first time in five months. >> the german executives are optimistic about the future, despite the euro zone debt crisis. busted them are not expecting a recession in the near future. -- most of them are not expecting a recession in the near future. executives are upbeat about the prospects once again. the index is rising and analyst from the incident believe the debt crisis is still not having a major impact on the german economy. in some sectors, sales are rising. the experts remain cautious. >> our current observations are a sign for the german economy, but it's too early to say the worst is over. >> each month, at the institute surveys up to 7000 executives. the index is considered one of the leading economic indicators about the development of the german economy. >> the latest index gave a boost to the bureau and shares also traded higher for much of the thursday session. -- david those to the bureau and shares also traded higher for most of the thursday session. >> very strong beginning, but another week ending. this is very good n

she often thinks and dreams in german and says she still has a lot of german characteristics. >> like punctuality. if i make an appointment, for example, by temperament is german. what else? >> i have a fantastic example regarding punctuality. in germany, they displayed the schedule at the bus stops. but says the boss is coming at 11:00 a.m., for example. in turkey, we do not have such sites. suddenly she says, it's at 11:00 a.m. and i have been waiting here 15 minutes. it is 11:15 and the boss is still not here. things like that. >> this person never became that german. the first generation of turkish guest workers always assumed they would be turned out to turkey, but the pensioner does not regret his years there. >> if i had my life to live over, i would go to germany again, but i would visit home more often. >> today, a german tourist itare attracted to the world that he came from he gets along with them, after all this 50 years. >>> the italian prime minister silvio berlusconi has just survived his 51st vote of confidence in parliament, scraping through the vote. it was prompted

we can start our look at the numbers with the german deutsche -- german dax in frankfurt, finishing the day down 3% at 5913. u.s. stocks higher. the dow jones industrial average also lower at 12,035. the euro $1.3522. there are fears that the country's sovereign debt rating could be downgraded in hungary. their debt rose. their currency has tumbled against the euro. they have scrapped the shell -- sale of short-term bonds. the eu and the imf had to rescue hungary in 2008. budapest has been regularly criticized for not doing enough to cut spending. we go to syria. it is the opposition's strong as show yet of firepower -- strongest show yet of firepower. soldiers attacked a military checkpoint. attacks in the capital have been rare since the uprising began. >> a group calling it a free syrian army has launched a campaign against the regime -- itself the "free syrian army" has launched a campaign against the regime. they carried out attacks on wednesday, including against homs. the authenticity of this footage cannot be independently verified. the regime does not allow international media

. >> the german government wants to see communication between the german government and radical militia. they want to help to create a stable situation in the country, even after the withdrawal of troops in a few years' time. >> this is not about negotiating with the taliban, but establishing a process of reconciliation in afghanistan. that process should be organized in such a way that a lasting political solution is found theory of -- is found. >> that is why afghans are increasingly overseeing their own security. soon they will be in control of the 36 provinces. afghans hope that germany will be able to provide assistance after assistance -- after the occupation ends. >> we are looking at getting assistance for long-term developing in investments so that we can stand on our own two feet in afghanistan. and >> the first german base will be closed in 2012. afghanistan's future will be on the agenda at a major international conference next week. >> all right, with you now, the musical chairs game of terms. talking about eurobonds, now we are talking about something new? >> the german fi

but the stumbling block, german chancellor angela merkel is against it. she argues nations in trouble should reform and not be given an easy way out. but of course, these talks have been given more urgency by events in the money market. germany struggled to sell government debt and borrowing costs rose. bill blaine is a senior director at a financial trading company and he explained the significance of events on the financial markets. >> yesterday we got a clear demonstration that it does not take a euro events like a greek the ball to kick off contagions. you know what? the virus is already spreading. a normal market, we would not particularly mind if the german market had not -- often than not on particularly well. it might have told us interest rates were so low that it might not be worth buying bunds and maybe you want to have risks somewhere else. but yesterday clearly demonstrated the global marketplace is walking away from the bureau. what is most interesting is the amount of volume and selling seen in places like asia, places like the u.s., where

german banks need 5.2 billion euros. it holds the largest amount of sovereign bonds from debt stricken countries. their value could drop even further. >> if greece does not want additional help, it will descend into chaos. then i would be possible blood banks lose much more than 50%. -- that it would be possible for banks to lose much more than 50%. >> for the time being, the banks continue to bolster their capital reserves. >> the markets took a breather today from all the turbulence. european stocks rose. >> when you look at the dax, you are inclined to say, what a great day. indeed, the mood here is still a very negative one. pessimistic. the shock is still there. greece announced that it would hold a referendum over the bailout conditions. people say, how are we supposed to bridge the time between now and that referendum would so much insecurity? one is looking for some sign of hope, reassurance, from the summit in cannes. >> the u.s. federal reserve has slashed its forecast for economic growth and raise projections

and >> the first german base will be closed in 2012. afghanistan's future will be on the agenda at a major international conference next week. >> all right, with you now, the musical chairs game of terms. talking about eurobonds, now we are talking about something new? >> the german finance minister has denied a newspaper report that it planned to issue a joint sovereign bonds with five other euro zone countries. the paper said that the proceeds for what they called each bonds would go to helping the heavily indebted members. six of the countries in the report have aaa credit ratings. >> the report in the daily paper said that the german government was the driving force behind the new plan. these bonds would have an interest rate between 2% and 2.5%. be floated by the 6 euro zone countries with a aaa credit rating. germany, france, luxembourg, the netherlands, austria, and finland. reports said that this would be discussed at the next eu summit. when the finance ministers met, they said that they did not discuss a proposal for creating

it has filed a complaint against the german court. it says that the move to phase out nuclear power will, -- will ost it billions of dollars and they want to be compensated. a french car maker is planning to cut more than 5000 jobs in europe as part of cost-cutting efforts. they hope to save more than 800 million euros. they will lay off 2000 employees in their home market. hundreds of workers protested on tuesday. they have current losses of almost 10 billion euros. airbus has won a huge contract from cotter -- from qatar airways. the ceo is ordering five airbus super jumbos. spirit airlines has also placed a big order. in all, 75 aircraft. the contract is valued at some 5 billion euros and is due to be finalized by the end of the year. occupy wall street. >> new york mayor michael bloomberg is defending his decision to forcibly evacuate the occupy wall street camp in lower manhattan. he said the campsite ceased to be a place of protest and became a place where the law was being broken. early tuesday morning, police in riot gear move

the imaginary front stretches the length of the training ground near the eastern german town. this man is being trained as a radio operator. the record has been in the army four weeks. his trainer is a master sergeant. the 36-year-old has been in the army for 14 years. one is an experienced soldier come up with expectations. the other is new. >> i am eager to do something for my country, so i said either i will join the police force or the army. but i was more interested in the army. i had also heard a lot of stories from my relatives about what it is like here. in the and, i decided to join the army. >> since ending conscription this year, german armed forces are eager to attract people like this. in the old days, they could choose the best soldiers from among a large group of conscripts. now, the army has to convince people to join up in the first place. it is not easy, although the requirements are hardly stringent. >> common sense, a good education, and an interest in a career as a professional soldier. if they have these criteria, it is a green light. >> are you getting t

the german comments have been critical of the u.k. he and the german chancellor have very different visions of the future of the opinion. after lunch, they emerged with smiles. >> thank you for the warm welcome. >> on the issue, solving the eurozone crisis, there was a gulf between them with david cameron urging that every institution be deployed to fight the debt crisis. >> all of the institutions have to stand behind and in fact the currency and do what is necessary to defend it. >> this was clearly a push to use the european central bank as a lender of last resort but the german leader essentially said no. >> the british demand that we use firepower to win back credibility. we have to take care that we don't pretend to have powers that we don't have because the markets will figure out that this won't work. >> david cameron did try to reinforce his point that europe needed to bring out its big bazooka to deal with this crisis. >> my german is not that good. this is a super buffer. >> before they parted, the german chancellor said sh

the yield on the benchmark 10-year german government bond is at 2.1%. that is up seven basis points from tuesday. on the european government bond market overall selling was widespread on wednesday. the yield on the italian 10-year issue at one stage went above 7%, a level that will make it difficult for the country to rebuild its finances on its own. the yield on spanish government bonds also remained high at the 6.6% level. sources say that only the european central bank was a major buyer of government bonds. >>> u.s. stocks also tumbled on wednesday, as weak demand at the german government bond auction sparked investor fears. selling pressure mounted in new york as market players were worried that the sovereign debt problem has begun to threaten even germany. the dow jones industrial average closed the day at 11,257. that is down 236 points, or 2% from tuesday's close. sources say the selling spree was also triggered by the rise in italian bond yields, weak data on u.s. consumer spending, and employment also weighed on market sentiment. >>> all right.

. >> standing up to violence, german political leaders condemned the killings of neo- nazi leaders. tens of thousands of egyptians are still in the square, despite the speedup of power transfer to a civilian government. they are vowing to hold a referendum on the issue and send a government of national salvation ahead of presidential elections next july. concessions, after several days of anti-military protests in at least -- in which at least 35 people have been killed. >> after days of camping out, protesters have finally got what they came for. the egyptian military rulers have without -- bowed to their demands. not before violence again broke out in the streets around the square as protesters erupted into violence for the fourth straight day. as the street battles raged, the egyptian military held talks with the country's military parties. they agreed to form a national salvation government and speed up the transfer of power to civilians. in a televised speech, the chairman of the military council addressed the nation. >> the army does not intend to hold onto power any longer, b

sometimes quite emotional on the need for continuing german commitment and leadership. we saw a clear consensus emerged that the cdu is a pro-europe party that wants to rise to the challenge. >> there was some concern that angela merkel is moving too far to the left. what are you hearing? >> that is right. you could sum up the direction at the party conference over the past year as a shift towards the middle, a shift away from that neo-liberalism toward a more compassionate conservative. that has been most visible. about adoption of a form of a minimum-wage. critics say that takes the party too far away from its core values. it is all about the election opportunism, but the chancellor says, this is about the central christian ethics. >> thank you for that during much. -- very much. >> international pressure on syria continues to grow. king abdullah of jordan has added his voice to those condemning the regime. he called don bashar al-assad to step down. the arab league has announced -- damascus said welcome such a mission. over the weekend, the arab league suspended seri

. >> the extraordinary change came late last night when the french and german leaders suggested for the first time that greece could leave the euro parent of the was we want you in but you need it to want it too. -- the french and german leader suggested for the first time that greece could leave the euro. >> we have done everything we can to achieve that. there are other rules, the bedrock of the solidarity package. it is up to the greeks to decide whether they want to continue with us or not. >> today, the french president said that if the euro explodes, then europe explodes. there was plenty of important issues they were meant to be talking about today but they kept getting interrupted by the latest news from greece. the leaders think it would be disastrous for greece ever to leave the euro. but greece in the euro, there is all this never-ending drama, this is feeling disastrous as well. the focus is shifting from trying to control what happens in athens to trying to contain it. the europeans had hoped china would help them beef up their rescue fund for the country's caught in the fa

. >> some of the germans have been talking up the divisions. what is in the still doing in the eu, asks one headline. take any two countries and the european union and you can find an of policy differences to create a row if that is what you want. this puts the european union's most important country with another country that doesn't even use the currency. there has been no obvious progress on the immediate task of calming the crisis. both leaders working to stress the ideas that they share including the need for urgent message to promote economic growth. >> germany has interests and so does britain. we have a strong relationship, strong links of friendship. we both want to see a successful europe and we have agreed to work together to achieve our respective interests. >> there's always going to be an element of bargaining and it will never be easy. as britain tries to follow its own path and the european union is heading for rapid and uncertain change. >> for more on today's meetings, i spoke to our europe and the dirt in the german capital ju

the german firm in -- the german foreign minister says the international community has to take action>> sanctions with maximums go. we refuse to discuss military options. >> france is also calling for tougher sanctions, as both paris and berlin look to increase the pressure on tehran. >> we will have much more on iran's nuclear program coming up later in the program. the greek prime minister, george papandreou, has formally announced he is resigning, adding that the country will do everything in its power to stay in the european this is after three days of critical power- sharing in talks between the governing socialist and the opposition conservatives. he announced he was stepping down to ensure that the austerity plan would be quickly implemented. last week he called for a national referendum on the measures, an idea that has since been dropped. he did not name a successor. with papandreou's official resignation, what will happen next in the country, and he will replace the prime minister? i put that question to our correspondent in athens. >> all the latest reports seem to suggest

russian president dmitry medvedev speaking at the opening ceremony here on the german northern coast of the baltic sea just behind me now this should also provide cheaper gas for homes in europe with no transit fees to be paid for the likes of ukraine and belarus with gas going direct for the first time from russia to the e.u. . well it certainly projects how did it come about in the first place. well they said that they couldn't be built experts are saying it's too long it's too expensive it is the longest subsidy pipeline the gas pipeline in the world but it took some engineering brilliance just for one example compress the stations which keep the pressure in gas pipelines usually there are several across the route this one just has has one the beginning of the route it's been planned since the nine hundred ninety s. construction did start a few years ago the second line will come on stream next year and we've just spoken to some of the heads of the of the project who say that a third line will be discussed by shareholders very shortly because they expect demand for gas to grow and

correct the german finance minister brought a firm message for his counterparts. reaffirmed german opposition to euro bonds and ruled out a more active role for the european central bank. >> both options are barred under the european treaties. we're pushing for a stability union, and i hope we will move a good way towards that here. >> but with the debt crisis intensifying, other eurozone ministers are calling for more and immediate action. italian borrowing costs have soared, and the credit rating of france has come under threat. plans to boost the years and rescue funds firepower and for closer fiscal union still also need to be thrashed out. the only certainty is that greece will receive the next 8 billion euro tron of its bailout. >> despite record italian bond yields of european markets on tuesday held on to yesterday's startling gains. our correspondent send this report from frankfurt. >> after the fireworks at the beginning of the week, it is a completely different picture. the dax did gain at the end of the day, but it was a back-and- forth with a lot of i

he said, "i feared german power in lesless and i am beginning tr german inactivity." the germans are certainly not going to put more of their money in. they are not going to allow the european central bank to put more of its money in. that's where you have to look elsewhere. one of the possibilities would be credit lines from the imf. the idea is that the germans are looking for longer-term solution whereby they completely rewrite the rules that govern the eurozone and would make it more difficult for countries to step out of line. in the meantime, countries will have to muddle through with this enhanced bailout fund and the possibility of money from places like the imf. it's not exactly a recipe to bring back confidence. >> thank you very much, chris. >> newspapers in cairo have declared the birth of a new egypt and an open door to democracy. polling stations are usedopen fr a second day. most people agree it's on course for record numbers. in indication of what they say is pent-up appetite for democracy. on the streets, many egyptians casting ballots said they were

a powerful new centralized body and there's a secret plan amongst the germans to pass that off as a minor change in the makeup of europe so that the lisbon treaty doesn't have to undergo a referendum in individual countries which will take a long time that's going to be very unpopular here in the u.k. where there is a big move to hold a referendum on membership of europe as a whole never mind letting the germans and the french and whoever wants to make changes to the lisbon treaty what would amount to two major changes so that there are several sources of tension i'd say the one of the major sources of tension is the role of the european central bank the british and the french want european central bank to be able to lend money as a last resort angela merkel says she says that would involve the printing of money and and also inflation which germans are petrified of as a whole there's also a big rout growing about this. finds out the financial transaction tax which people here are calling a robin hood tax take from the rich and it gives to the poor loans of course is a major financia

said, with a lot of people in the german media.the things the germans are absolutely unequivocal about, they want to keep the euro pretty much at all costs. obviously the euro here in continental europe and in germany specifically is seeing something that is a political project as much as it is a financial project. obviously the germans are very much of the opinion that it was the euro and, of course, the whole process of european into grags, the euro being part of it. that is preserve peace here on this continent for such a long time. that's not something they're willing to give up easily. a lot of people are talking about the possibility of a eurozone without greece, certainly not talking about getting rid of the euro. >> interesting development, fred polite kin joining us. >>> ahead of the g-20 the italian prime minister sylvia berlusconi held an emergency meeting on budget reforms. partners have been pressuring italy to enact strict cost-cutting measures, the company's debt is more than $2.5 trillion and rising. when the europe

and she certainly doesn't have all the german people behind her.hether it's actually going to amount to enough german public support to keep paying these bills and to make as dramatic a gesture of support for the euro at this point as it would need, i'm very much in doubt of that. >> martin, let me represent the -- i'm going to call it the german point of view, or call it the point of view of the former head of the bundes bank which is, look, the markets, you know, are panicking, but the only way to solve the problem would be some kind of a euro bond issue, some grand gesture. but that will take all the pressure off. and fundamentally you have a competitiveness problem in countries like greece and italy, and they need to reform. we've got to keep the pressure on. and there is going to be no big check. we're going to dole this money out slowly, and if the markets don't understand, well, we're not going to jump every time the markets tell us to -- >> i understand the point of view. but it's a very, very dangerous game because markets move so much mor

people paying for the debts of people on the periphery of europe and the german people have made it clear they don't want to do that so you have this friction in europe right now that's very interesting. the elected leaders say they want to further integrate europe, to basically, create a united states of europe. but the people clearly don't want to go there so something's got to give and my guess is what gives is the german government. tavis: wasn't the euro in part supposed to prevent problems and crises like these? >> the europe, the sub text of the euro was we're going to yolk germany to the rest of europe so it can't invade anybody anymore and it's going to be one big, happy family. the problem that was if you have a currency union without a central taxing and spending authority, and if the countries pursue different policies, greece pursued an inflationary policy and were not competitive, it becomes unsustainable. greece accumulates a lot of debt and at some point they can't pay off that debt. in the united states, we don't have this problem because if mississippi is less prod

i>> german blue chips enjoyed a strong rebound. we have this report from the frankfurt stock exchange. >> several strong earnings reports. deutsche telekom topped analysts' forecasts, mostly thanks to vigorous cost-cutting. still, investors remain cautious. this was clear this thursday, when the fertilizer producer reported that wholesale dealers are a bit reluctant with the new orders and that it could well be that earnings this year may be at a tiny little bit below the forecasts. their stock immediately slumped and lost nearly 5%. >>> staying in frankfurt, for a look at thursday's numbers, starting off with the dax. that is up by 0.6%. atthe euro stoxx 50 up. across the atlantic on wall street, the dow jones looking solid, but 0.75%. and the currency market, the row trading higher against the dollar, >>> $1.3590. amid all of the bad news and turbulence, there are some encouraging signals coming from portugal. the euro group chairman does not expect lisbon to need a second injection of bailout cash because of portugal's efforts t

and german concoction, farce. nothing like a bit of vulgarity to bond the part-time father with his preadolescent child. what he could not fathom was that joy, however abundant, was no substitute for safety which he no longer felt. nor could he imagine her days in school among classmates who treated her like a sensation. only some of the questions she asked where her own. the rest were once the children mocking her father as the super hero on the nightly news incessantly badgered her with while she stared into their faces and blinked back tears. when the first fainting spell came over salome he thought she had starved herself but when she fainted of full stomach he blamed himself and his complicated life for his daughter's malady. the cardiologists returns to the exam room without a definitive diagnosis and advised that he observed her closely for a few days. he tried hard to keep her out of his own gloomy world but the killers or the mere idea of them robbed her of a happy childhood. now it seemed the vacuum he h

course it's emerge relatively unscathed out of the recent economic mess do you really believe the german people are concerned about others and that they will be following your message. it is not that easy as it isn't in some other countries of course in some fashion europe or european countries arab people especially young people who have no chance to get a job that is not the case in germany but if you ask people here on the streets they agree that the protests they agree with the people of the occupy movement that it is needed to go out because everybody learns that democracy is in danger that in our country too there is no perfect if how to go on if this crisis is going on further and it will go you by the fact that there is some political element now in germany listening to your calls elsewhere it seems that the occupy movement isn't being listened to a told so do you really feel this could be the birth of a political movement well yes i think it is quite at the beginning i am i myself next to recenter a founder of their european on the german attack movement and we already work on t

angela merkel says that would cause inflation something to which the germans are allergic. differences on a number of areas. david cameron cannot take the lead because his country is not in the euro zone. the fate of the euro is being decided day-by-day on the financial markets. >> neo-nazis and terrorism were on the agenda here in berlin. it was a mix of damage control and strategy making. intelligence agencies have come under heavy fire this week after revelations that a neo-nazi group was able to carry out murder and bombing attacks for over a decade. " the government outlined the broad strokes of berlin's newest strategy to tackle the far right. the news came after a meeting of senior officials. a similar database listing had yielded positive results. >> it works very well. some of the information from various security authorities is brought together and analyzed. >> the plan calls for better cooperation between germany's federal police and domestic intelligence service. germany's new chief prosecutor reported on the investigation. >> there are other suspects being look

this lawyer has been advising german firms doing business in greece for decades.e says, while the risks might be higher, the rewards could be as well. but he acknowledges first greece needs reforms. >> what greece has to do is to have these companies, meaning very short decision to get the permissions and to the corporation must be better, stronger, and faster. >> reporter: power security alone employs about 300 people in greece according to the company, and it has no intention of giving that business up. after all, the ceo says, they still have many greek clients who do pay on time, and with the current uncertainty and concerns about more protests, one industry that should continue to do well is security. fred pleitgen, cnn, hamburg, germany. >>> sobering figures out of the uk on thursday revealed that more than 2.5 million people are currently out of work across the country. reporting now that young people are an especially large part of that number. >> reporter: a scarred generation -- that's the term being used in britain and elsewhere when it comes to rising

the babelsberg studio came from the last decade of the german empire. it's history mirrors in germany's own history. it was ultimately used by the nazis to make propaganda and per war films and then by east german communists to install the joys of the workers' paradise. they have been competing internationally. here is a look at the studios journey through 100 years of history. >> the studio today is a a huge complex that is home to cinema and television productions. and this was how it looked one century ago. in 1911, a glass of film studio was constructed some 20 kilometers outside of berlin. >> ironically, one of the things in their favor is that there's nothing here. itas unused land, which means it was good for the exterior shot. infrastructure was in place, a train station and an address to plant. >> soon, new studios rather added. it was the era of silent movies. fritz lang, one of the most famous directors, shot many of his films here, including his masterpiece "metropolis." babelsberg expanded. "the blue angel" with marlena dietrich shot here,