noda stood his ground. he demanded on wednesday that the ldp also promise to cooperate to correct a disparity in the value of rural versus urban votes and to decrease the number of lower house seats. >> translator: if you agree to this condition i am ready to dissolve the lower house on november 16th. please give your words to the people. >> reporter: ldp leaders agreed effectively paving the way for a snap election. >> we're joined now by our senior political commentator. what issues will voters be looking for in considering this time? >> some will take a look at this election as a referendum on noda's record, i think. three years ago the democrats rode to power on the public desire for change. they ended more than half a century of almost unbroken rule by the liberal democratic party or the ldp. they promised to cut government spending on such things as public works projects. they also said that they would reform the system and vowed not to raise the consumption tax until 2013, but they have essentially b

shinzo abe once held noda's job. he and his party are eager to get back into power. >> translator: we'll regain economic strength. a strong economy will serve as the basis of a reliable social security system. we'll also reestablish diplomatic relations. we'll make relations with the united states more reliable. the japan/u.s. alliance has been weakened under the democratic party government. >> abe says the liberal democratic party is well prepared for the election. he says it has reviewed its principles and streamlined its policies. there were mixed reactions from people around japan. >> translator: we are suffering so much in fukushima since last year's disaster. i don't understand why politicians cannot work together. >> translator: fukushima is slowly but steadily is moving forward in its recovery. it would be regrettable if the momentum slows in the coming weeks. >> translator: i've been looking for a job for two months. i just want the government to create more jobs. >> a business leader expressed his hopes. >>

shinzo abe once held noda's job. he and his party are eager to get back into power. >> translator: we'll regain economic strength. a strong economy will serve as the basis of a reliable social security system. we'll also reestablish diplomatic relations. we'll make relations with the united states more reliable. the japan/u.s. alliance has been weakened under the democratic party government. >> abe says the liberal democratic party is well prepared for the election. he says it has reviewed its principles and streamlined its policies. there were mixed reactions from people around japan. >> translator: we are suffering so much in fukushima since last year's disaster. i don't understand why politicians cannot work together. >> translator: fukushima is slowly but steadily moving forward in its recovery. it would be regrettable if the momentum slows in the coming weeks. >> translator: i've been looking for a job for two months. i just want the government to create more jobs. >> a business leader expressed his hopes. >> tr

noda debated theshingo leader. they said the ldp kept its part of the deal and helped the bills become law. the liberal democrats also agreed to back a bill to issue deficit covering bonds, but the prime minister added another condition. he demanded the ldp support a bill to reduce the number of seats in the lower house. ldp officials later announced they will cooperate with noda and the dpj. official campaigning for the general election starts on december 4th. jap be a niece voteless than two weeks later, on the 16th. >>> nhk world senior political commentator joins us. what prompted the prime minister to act? >> they met all the conditions the prime minister set including helping to pass bills to enact the budget cutting the number of lawmakers and making the disparate and representation smaller. there is a big disparate now between densely and sparsely populated constituencies, so eventually he has no excuses left. but it took some time. noda got caught up in his own words. back in august the prime minister need

>> the decision lies with prime minister noda. he's the one to decide. the current diet term does not expire until next summer. but noda promised opposition members back in august that he would hold the election in the near future. he used the word "soon," and noda has been trying to find a suitable time to dissolve the diet. but the election can take place next month at the earliest. but as the polls suggest, this may not be a favorable time for noda or his party. he knows that an election held now could lead to a dramatic drop in the number of lawmakers sitting alongside him. but there is no guarantee, on the other hand, that the outlook will improve, even if he postpones the vote. sooner or later noda will have to make that decision. >>> china's hu jintao has overseen an economy that's expanded year after year during his ten years as president. but many rural chinese have missed out. they've watched their neighbors get wealthier and wealthier. that's left many seething with resentment. and some are trying to find solace in their faith. nhk world's mic

yoshihiko noda suggested a few months ago he would call an election. members of the opposition are putting more and more pressure on him to follow through. but he faces divisions within his democratic party. noda said during the summer that he would call an election in his words some time soon. he says he stands by his promise. >> translator: i am responsible for my own words, and i take their weight very seriously. >> noda told his party's secretary general on sunday that he's thinking of dissolving the lower house by the end of the year. noda set three conditions for calling the elections including passing a debt financing bill. lawmakers expect to enact the legislation soon. kosishi says dissolving the diet would create a political vacuum. >>> we may soon see more american oil tycoons. yu yu yu yu yuko fukushima joins us now. >> we're hearing that the united states will become the world's largest oil producer within five years. the dramatic prediction by the international energy agency comes as new technologies opens up huge oil reserves underground

noda stressed the value of ja n japan/u.s. relations. >> translator: we welcome the fact that the u.s. is shifting its strategic focus to the asia-pacific region. east asia's security environment is getting comp collated, so i believe our alliance the really important. >> that alliance between the united states and japan has been a cornerstone of prosperity and security in the region. and we are going to have the opportunity to further discuss steps we're taking to renew that vision and that alliance for the 21st century. >> noda and obama also spoke about the trans-pacific partnership. the prime minister emphasized his determination to speed up talks to bring japan closer to joining the free-trade agreement. >>> the former tokyo governor says japan needs to look at the possibility of acquiring nuclear arms. the outspoken politician made the remark while preparing for a snap election next month. 80-year-old shintaro ishihara now leads an opposition group. he talked to foreign correspondents in tokyo. >> translator: it would be

noda said during the summer that he would call an election sometime soon. he says he stands by his promise. >> translator: i feel very responsible for my own words. that means i will dissolve the lower house soon. >> noda told secretary-general shintaro ishihara that he's thinking of dissolving the lower house by the end of the year. the dpj's policy chief met his counterparts from the opposition liberal democratic party and new komeito on tuesday. they agreed on a revision to the deficit bond bill. it's now expected to be enacted soon, allowing the government to fund this year's budget. but some democrats are opposed to an early general election. they say dissolving the lower house would create a political vacuum. they also question the timing after low approval rates for the cabinet and the party in recent polls. >>> one japanese politician can't wait for the election. shintaro ishihara is aiming to shake things up and steer his country right. the former tokyo governor is trying his hand at national politics. he wants to review japan's constitution and st

. >>> an nhk opinion poll suggests public support for the cabinet of prime minister yoshihiko noda has dropped to a new low. nhk conducted the survey over the weekend after noda dissolved the lower house to call a snap election in december. the cabinet's approval rate stood at 22%, down one point from a week earlier. the disapproval rate rose by two points to a new high of 61%. the support rate for the democratic party rose nearly five points to 17.4%. that's against 24.7% for the opposition's liberal democratic party. the recently formed japan restoration party scored just below 4%. more than 34% of respondents said they support no particular party. voters were also asked who they would prefer as prime minister between the incumbent yoshihiko noda and ldp leader shinzo abe. 20% chose noda against 27% for abe. 48% said neither would do. >>> chinese authorities are investigating an incident that highlights the social tension bubbling below the surface in that country. hundreds of people in the southern city of fuan clashed with police over a traffic accident saturday, two days after chi

. >>> japanese business leaders commented on prime minister yoshihiko noda's decision to dissolve the lower house. the chairman of japan business federation told reporters that noda made a tough decision aimed at resolving various problems to stop the political confusion. he also urged that the government should ensure measures to boost the economy are implemented, even after the dissolution. >> translator: it's vital to implement the economic measures that noda asked the relevant government of the offices to compile. >> the chairman of the chamber of commerce said it's regrettable that the move and ensuing general election will create a political vacuum at a time when the situation is severe, but he believes the election is inevitable for the economy to get out of of its prolonged stagnation. >> translator: i believe that seeking a public mandate through an election is inevitable for various economic issues. these include the free trade deal under the transpacific partnership. >>> china's elite officials are finishing up a high stakes game of political chess, strategizing and making

it no longer believes the noda administration is capable of joining. while prime minister abe may want to join for security reasons there's little faith in washington he can do anything until after the upper house election 2013, and perhaps not even then. so the u.s. will go ahead with tpp, without japan, let japan join later. the u.s. would like japan in it but japan has got to live up to the standards. that's the obama position. >>> market worries are not only focused on the u.s. fiscal cliff. problems in europe are weighing on sentiment. the european commission downgraded its forecast for economic growth next year. the eu executive arm announced its outlook for the 17 eurozone nations on wednesday. the commission now forecasts the eurozone gross domestic product will fall 0.4% in 2012 from a year earlier. that's the first negative growth in three years. it also predicts near zero growth, 0.1% for 2013. that's down 0.9% from its may forecast. the commission warns of more negative growth for cash-strapped greece and spain, and four other eurozone nati

and now noda has simply kept that promise and called for elections on december 16th.the yen has weakened a little bit of late in anticipation of the elections. there have been dovish comments, if you will, with regard to what he wants from the boj. he's saying you need a higher inflation target and the bank of japan and you you need at least 3% nominal gdp increase and the bcht oj may have to surrender some of his will independence and let the government have more say in how monetary poll ol city is run. >> we're getting comments on the wire from noda where he says there is who question that government and the bank of japan need to work together to defeat inflation. where is he trying to draw the line here, is the ldp if nothing else being more honest about the fact that they're going to excerpt this prez. >> exactly. if the current institutional arrangement which does not allow the bank of japan to weaken the currency, that institutional arrangement is clearly not working. while the bank of japan does have an asset purchase program, it must be remembered that that pr

the disapproval rate for prime minister yoshihiko noda's cabinet hit a record high at 64%. that's a three percentage point increase from a week ago. the approval rate remained unchanged at 22%. voters were also asked who they would prefer as prime minister. the two choices were the incumbent yoshihiko noda, who heads the democratic party, or shinzo abe, leader of the opposition's liberal democratic party. 21% of respondents chose noda. 26% favored abe. but almost half, or 49%, said they wanted neither. >>> japan's top government spokesperson says officials are gathering information in anticipation of a possible missile launch by north korea. u.s. satellite images indicate north korea recently transported what are thought to be long-range ballistic missile parts. japan chief cabinet secretary osamu fujimura says his government closely monitors missile-related activities in north korea. >> translator: we will work harder to gather and analyze information and will continue to take thorough measures to secure the peace and safety of the country. >> fujimura denied that north ko

noda met with van rompuy and european commission president jose manuel barroso. he told them japan will promote measures to eliminate nontariff trade barriers. he also asked them to win the support of eu members in getting economic partnership talks started as soon as possible. the european leaders noted some member countries haven't announced their support. but they said free trade with japan is important for the region's economic growth. noda, van rompuy, and barroso decided to hold a summit early next year during which time they would agree to an official start of the epa talks. >>> toyota motor is predicting that its operating profit for this fiscal year will be bigger than it has expected. that's because of strong sales in north america and southeast asian countries as well as cost-cutting efforts. the automaker estimates that profit for the business year ending next march will total $13 billion. that's up 5% in yen terms from its previous projection. but sales are seen falling 3% from an initial prediction of $265 billion. toyota says sales in china will re

noda facing divisions within his democratic party. he said during the summer he could call an election sometime soon. he said he stands by his promise. >> translator: i'm responsible for my own words and i take their weight very seriously. >> he told his party's secretary general on sunday that he's thinking of dissolving the lower house by the call of the year. lawmakers say they expect to enact the legislation soon. that wraps up this edition of "newsline." thanks for joining us.

noda and dpj will have to fight to hold onto power. their support has opinion sinking because of broken promises. the main opposition could gain the most seats. no party is expected to win a majority. >>> whoever forms japan's next government will inherit an economy in need of a serious reboost. ramin joins us now. where is this report coming from? >> this is the government's own monthly report. it really highlights the impact of falling exports in japan which japan relies so heavily on. government analysts downgrade eir assessment of the japanese economy for the fourth straight month. japan's exports were sluggish as shipments remain stagnant. this is due to a global economic slowdown. this is due to falling sales after government subsidy for car buyers came to an end. turning to the economic outlook support says movements are expected to continue for the time being. let's check on the markets. the dollar is keeping a firm tone against the yen. it almost hit a seven-month high of 81.46 in the overseas market. euro general 1037.67 to 2

japanese prime minister yoshihiko noda contacted the president and pledged his cooperation. u.s. and japan have the opportunity to improve ties, especially since relations between japan and china have soured over the senkaku islands conflict in the east china sea. south korean president lee myung-bak said he's sure the u.s. and south korea will continue to develop their alliance. australia is another key ally in the region. prime minister julia gillard pledged cooperations during president obama's second term. >> i'd like to welcome president obama my warmest congratulations on his reelection. we've got so much to do together in these years. >> chinese leaders also sent congratulatory messages. yet china's one asian country that might become frustrated with an expanded u.s. presence in the region. chinese have vowed to strengthen their maritime strength. not everyone in the region shared excitement over obama's victory. ahmadinejad accused the election as capitalists. obama wasted no time in showing his continued interest in the region. white house officials announced on thursday

nhk world's political reporter engine ohka wa has more. >> japanese prime minister yoshihiko noda has con gralt lated the u.s. president and promised his cooperation. the administration will also welcome obama's second term. the u.s. will maintain international policies including focus on asia oovmts problems remain for japan-u.s. plans. there is the plan to relocate futenma air station. the deployment of the as sproe aircraft is another sticking point. defense officials have yet to convince local populations to accept training flights over their neighborhoods. in okinawa people are calling for stronger controls on u.s. troops after the recent sexual assault of a woman by u.s. servicemen. on the economy japanese officials will be preparing a response should the u.s. press japan into joining free trade talks for the transpacific partnership. there may be friction if the u.s. insists japan drop its tariffs. but overall, obama's win should be good for japan. there's the chance of stronger u.s. ties. with china relation is gone sour over the senkaku islands conflict, that's sure to be rea

it no longer believes the noda administration is capable of joining. and when prime minister abe when i becomes prime minister may want to join for security reasons to shore up the u.s./japan agreement, there's little faith in washington he could do anything until after the upper house election in 2013, and perhaps not even then. so the u.s. will go ahead with tpp, without japan, let japan join later. the u.s. would like japan in it, but japan has got to live up to the standards. that's the obama position. >> reporter: japanese prime minister yoshihiko noda has congratulated the u.s. president, and promise cooperation. the foreign policy will also welcome obama's second term. senior officials expect the u.s. will maintain its international policies, including focus on asia. but problems remain for japan/u.s. ties. there is a call to relocate the u.s. air station in oak thank you way. the deployment of the u.s. osprey transport aircraft is another sticking point. defense officials have yet to convince local population to accept training flights over the

yoshihiko noda met thein sein on the sidelines of the summit. myanmar has made steady progress on political reform. he promises to support the economic development. japan's public and private sectors will back reform efforts. it will be the first yen loan in almost 26 years. myanmar's leaders will use it to refurbish a thermal power plant in yangon. japan's government will extend the loans in february next year at the earliest. myanmar's to foreign investors. >>> letting out a small sigh of relief. trade agreement. joins us from the business desk. what's the story here? >> as you know, political tensions have tied up in parts of east asia. and that has affected business activity and trade but now japan, china, and south korea will have free lateral trade talks on tuesday as they put aside recent diplomatic tensions. will meet on the sidelines of the east asia summit in cambodia. the delegates are the trade minister, china's commerce minister, and south korea's chief trade negotiator. administrators have agreed in may during talks in beijing to b

noda will ask singh to aadopt the bullet railway system for an indian project to connect cities. >>> a magnitude 6.8 earthquake hit central myanmar killing four people. the u.s. jigeological survey sa the quake occurred on sunday. it says the epicenter was about 110 kilometers north of manda y mandalay, the second largest city. it was nearly 10 kilometers deedee deep. officials said some building are damaged. a bridge under construction has collapsed leaving one person dead and four unaccounted for. the missing include construction workers. >>> the opposition candidates in south korea's presidential election have agreed to draft a joint pledge for economic and foreign policies. the move is part of their plan to field a single candidate. the democratic united party candida candidates disclosed the drafts as different venues. >> translator: i will ask them to talk to with the details about the policy as soon as possible. >> translator: we will discuss ways to field a single candidate to realize a change of government. that is what the people want. >> moon and ahne held a phone conferen

in japan, the prime minister your yoshihiko noda has dissolved the lower house of parliament, paving the way for general elections. he has followed through on an earlier pledge to call elections after the opposition liberal democratic party agreed it would support several key pieces of legislation including a deficit financing bill and the electoral reforms. the election itself will be held on december 16. the german chancellor angela merkel has arrived in moscow for talks with the russian president vladimir putin. both sides are looking to ease tensions caused by berlin's recent criticism of russian's record on human rights. this is angela merkel has called on cairo to use its influence on cairo to ease heightening tensions in gaza. a yacht that washed up on a deserted island in condo was found with a badly decomposed body on board and 200 kilos of cocaine worth $120 million. the australian federal police said international law people have been monitoring the bozen's when it left south america until they lost contact with the last month. police in a small pacific island nation have

prime minister yoshihiko noda presented the position of the ruling democratic party. he pledged to aim for a shutdown of all nuclear plants by the end of the 2030s. >> translator: i believe that after last year's nuclear accident the public is determined to get rid of nuclear power and to shut down the plants. we need to promote realistic policies that respond to these expectations. >> one of noda's main opponents, liberal democratic party leader shinzo abe said nuclear power should not be a matter of black or white. >> translator: after experiencing such a severe nuclear accident, we've all decided that japan should depend on nuclear power as little as possible. but the ldp's position is not to simply say let's go nuclear-free. that's because we're a responsible party. >> abe said the real issue is how to secure enough electricity. he added it would be unreasonable to rely on renewable energy sources as they have yet to be fully developed. the leader of the newly formed tomorrow party, yukiko kada, called for an end to nuclear power generation within a decade. she ad

many leaders, including japanese prime minister yoshihiko noda. noda is expected to stress the need to peacefully resolve territorial maritime disputes in line with international law. relations are eroding between japan and china over the senkako islands issue. japan nationalized the islands that china and japan also claim. >>> japan currently has only one operating nuclear plant. the country's nuclear regulatory body has put off a conclusion on whether a fissure under this plant is an active fault line. if the line is found to be active, the authority will ask the operator to shut down the plant. five experts conducted a survey on friday at the ohi plant. they examined the fissure that runs beneath the plant compound. a key pipeline that transports cooling water from the ocean to the reactors runs across the nearly one kilometer long seam. the nuclear regulation authority panel was supposed to reach a conclusion on sunday, but their views were divided. a university professor said analysis of sediment above the fissure suggests it is active. >> tr

noda met the president on the sidelines. he said myanmar has made steady progress in political reform. he promises to support the country's economic development. >> translator: japan's public and private sectors will both back myanmar's reform effort. >> it will be the first loan in almost 26 years. they will use it to refurbish a power plant. they plan to invest in the commercial economic zone. japan's government will extend the loans in february of next year. they promise to make the country more attractive to foreign investors. >>> expecters in japan are hoping they will be able to shift more of their products to neighboring countries. exporters need any help they can get. >> not only that they are struggling against trade barriers and they are hoping one may be on the way because japan and south china will start trade talks. trade officials from the nations will meet on the sidelines. the delegates are japan strait minister, china's commerce minister and trade negotiator. the ministers agreed in may during talks in beiji

. >> noda offered japan's assistance to develop effective legal systems. japan is planning a program to train lawyers from myanmar and help revise its civil code. myanmar's reform government is led by civilians, but the constitution still reserves one-quarter of seats in pal meant for the military. during wednesday's speech, the chief justice said all citizens have the right to equality, freedom and justice. but he stopped short of saying whether the constitution should be changed. >> and that wraps up our bulletin from bangkok. scientists are raising the alarm over another source of global warming. that comes from perm ma frost which scientists say is melting releasing greenhouse gasses trapped under the ice. the authors say perma frost contains huge amounts of carbon from the melting of organic matter. perma frost covers almost a quarter of the northern hemisphere including large parts of siberia and canada. it could release as much as 105 giga tons of co2 before the end of the year. >> perma frost tends to be very durable but when it melts, tarrant coun

there's now thoughts that prime minister noda may be talking about an early election. aussie dollar still on this 1.04 mark. that's where we stand right now here in europe. what about what's happening in asia? nice to see her back. sixuan is with us. >> yeah, good to see you, ross. most asian markets eked out modest gains after recent losses. the shanghai composite turned higher in the afternoon, allowing investors to wait the unveiling of that committee tomorrow. paper producers rallied with raw materials costs for the sector expected the decline. we saw broad based gains in hong kong, but next media shares plunged 13% before trading halted. in japan, the nikkei ended just a touch higher after falling for seven straight sessions. sharp shares surged 7% on reports of a possible tie-up with intel and qualcomm, but banking shares were under pressure ahead of earnings, mostly out after the bell. elsewhere, the kospi finished higher by about a quarter of a percent. teches and autos outperformed. costco shares ended flat. taiwan finished marginally in the green. the aussie

is the opposing leader has hinted that his party may agree to the bill even if noda does not promise the election before the measure which is failed to pass the ordinary diet session will allow the government deficit covering bonds to finance 40% of the fiscal 2012 budget. without it, the finance ministry will have to freeze more spending and government bond issuance would come to a halt with a ten year debt august on december 4th. back to you. >> thanks very much for it that. and now a quick look at what and he on the agenda in asia tomorrow. key economic data out of china, the october indicators are expected to signal a recovery in chinese growth thanks to beijing's fine tuning policies. we'll get cpi and ppi, expected about 2:30 a.m. central european time. and china will release retail sales, fixed asset investment at about 6:30 a.m. central european time. on the earnings front, we're waiting on results from suzuki motor and central bank watch continues with a policy announcement expected from the bank of korea. for a quick preview of the spanish auction, we're joined now by don s

the group is concerned prime minister yoshihiko noda may take that occasion to express japan's participation in the free trade talks. >>> in south korea, the disparity between large and small enterprises is expected to be a major issue in next month's presidential election. small-sized stores across the nation are protesting the opening of big supermarkets in their neighborhoods. 300 people, including small shop owners, rallied in seoul. they're making demands to supermarkets to close for one day over weekends when customer traffic is high. small retailers are under pressure from large stores in their neighborhood. supermarket operators are making huge profits by taking advantage of their diversified business. meanwhile, the government brought together the two sides for the first meeting. executives of leading chain store operators met with representatives of a small retailers association. in response to complaints from family-run shops, the managers of chain operators proposed they would not set up stores in cities with a population of 300,000 or less. they also offered to close for one wee

the group is concerned they may prime minister yoshihiko noda may take that occasion to express japan's participation in the pacific rim free trade talks. >>> in south korea, the disparity between large and small enterprises is expected to be a major issue in next month's presidential election. small-sized stores across the nation are protesting the opening of big supermarkets in their neighborhoods. 300 people, including small shop owners, rallied in seoul. they're making demands to supermarkets to close for one day over weekends when customer traffic is high. small retailers are under pressure from large stores in their neighborhoods. supermarket operators are making huge profits by taking advantage of their diversified business. meanwhile, the government brought together the two sides for their first meeting. executives of leading chain store operators met with representatives of a small retailers association. in response to complaints from family run shops, the managers of chain operators propose they would not set up stores in cities with a population of 300,000 or less. they also

per ratper re former governor to take control of the island and eventually forcing the hand of the noda administration to nationalize the islands or bring them under control of the japanese state has caused and spread so many problems and misinterpretations between the states of intentions of both states. on the noda side, their pup of bringing these islandses under control was to prevent any further incursion of both japanese and chinese nationals on to the islands to prevent tensions from rising between the two states. i think this has been misinterpreted on the chinese side. it helped exasperate nationalism on both sides. will this change with theed a vent of the new party in japan? i don't think it will change. the sunrise party will not come into power. he will not be a political force in terms of the next administration. those two leaders are interested in strong sigh know japanese operations and building a peaceful path forward.know japa operations and building a peaceful path forward.rs are ind in strong sigh know japanese operations and building a peaceful path forward. hopeful

prime minister noda does want to compile a supplementary budget. so that's the focus going forward. >> when you look at the economic numbers and the performance of japanese equities, mismatch, look good, bad? >> japanese equities has been one of the weakest in the world. when you see ga's economic numbers, i think you can see why. and let's not forget the export sector has been a key part. we see the problems sharp and panasonic and it's all there. >> all being hurt by the end, but doesn't seem to be anyway out of the end to weaken. >> well, the bank of japan is now trying to adapt unorthodox quantitative easing policies. so far it hasn't worked. but if you compare 240es policies compared to what the fed has done and the bank of england, it's just not enough. >> yes, but do they have any control over the occurrences city? >> by themselves, they wanted to, they could debate and could depreciate their currency. the fact of the matter is that they don't really want to do that. the bank of japan is more germanic in its approach. they don't think that m

the nikkei 225 climbed 4% last week alone after noda said he was dissolving the lower house secretary the stage for election on december 16th. this week tokyo equities continued the positive momentum. markets are factoring in further ease aing if the opposition ldp party wins in the polls. foreign investors expect wen will help ease the negative impact of a strong yen on japanese exporters. no surprise then why stocks like cannon gained 7% last week. but there are also worries from market watchers that japan's recent rally may be driven mostly by short term investors such as then funds. that's what happened following the boj decision to ease monetary decision back in february. the market proceeded to dip a couple months after that. back to you, kelly. >> okay. thank you very much for that. now, the battle between who is right and who is wrong continues with research firm muddy waters threatening to counter sue owe olam. deidre, what's the latest? >> it is quite the battle of some pretty epic corporate proportions. now, the two olam and muddy waters have been trading bashes that starte

prime minister noda is set to call a general election on december 16th.oek i don't stocks reacted with the nikkei rise to go a one week high. the yen fell sharply topping the 80 mark against the dollar on speculation for further easing by the next government. if his party takes power, he'll press the bank of japan to take bolder moves to counter the strong yen and deflation. he says the central bank should set an inflation target at 2% or 3% and conduct unlimited easing measures to achieve it. that could even involve interest rates set below zero. back to you. >>> still to come, austan goolsbee calls europe's problems fundamentally unsolvable. stay tuned for that. about the makeup of the new politburo. some say it's too conservative and that could mean a slower path to reforms. joining us live is senior economist for greater china at anz. raymond, looking at what we're finding out about the makeup of the new leadership, what do you think is likely to happen in the near term when it comes to further economic reforms? >> a pretty successful political transi

and now current prime minister noda has dissolved the lower house paving the way for fresh elections in to december. we can take a look at what's been happening with markets. the n nikkei adding better than 2% for the last couple of days. as the yen weakens, we're seeing this rally come into the nikkei, lifting stocks. why? because there's basically a view that when the ldp comes back into power, and he'll be the seventh prime minister in the last six years, but he will nevertheless his party has been calling on the bank of japan to pursue more aggressive stimulus policies. yes, even more aggressive than it's already been basically to join the unlimited qe camp along with the u.s. and in that sense raisin nation towards maybe 3%. that's the new target they're floating. in any case, even at a time when we've seen more hedge funds betting against japanese corporations, here comes policy trying to sail to the rescue. a key litmus test broadly speaking as we look at other western nations wondering whether they'll go the way of japan in the future as to whether aggressive moves three deca

many leaders, including japanese prime minister yoshihiko noda, have arrived. noda is expected to stress the need to peacefully resolve territorial maritime disputes in line with international law. relations are eroding between japan and china over the senkaku islands issue. japan nationalized the islands that china and taiwan also claim. >>> india's ruling congress party is promoting its open markets initiative to revive the nation's slowing economic growth. the party convened a massive gathering of supporters in the capital new delhi on sunday. an estimated 100,000 people are said to have attended. in september, india's coalition government announced deregulation measures to allow major foreign supermarket operators to enter the indian market under certain conditions. but the decision sparked protests, causing one political party to leave the coalition. its leaders said the measures would put undue pressure on smaller businesses. >>> prime minister how man sing told the gathering foreign investment would spur growth in the retail sector. congress party leader