the italian prime minister silvio berlusconi is trying to calm the markets and a speech to parliamenthe says at the fundamentals of the financial system are solid. >> silvio berlusconi of's address had been awaited eagerly. >> he painted are rosy picture -- a rosy picture and did his best to assure the foreign investors in italy is still a safe place to put their money. it is significant he waited until after the markets closed for the day before addressing parliament. >> i remind everybody that the country is financially and economically solid. the government and the parliament have acted to deal with any threats to our financial stability. >> the economics minister set pensively next to mr. berlusconi will the prime minister was speaking. earlier in the day, emergency talks with the euro zoned chief. the italians are fearful they could see themselves dragged into a greek-style financial crisis began in italy cannot sustain the over 6% interest rate they will be called upon to pay to service its mountain of debt. this is the last session of the italian parliament before the summer re

well don't panic is what prime minister silvio berlusconi told the parliament but that's exactly what the markets are doing he said that he had italy's debt under control and that he was putting in spending cuts to make sure that the economy was viable but the news came out the bank one of the world's biggest lenders has slashed its exposed not just to italy but to the other troubled states of greece ireland and portugal which really sends out the signals because it's the business who decide at the end of the day not the politicians and investors are saying they really don't trust the word of the national politicians who say they've got their house in order so it to me has been in crisis talks today with junk load your guy who represents the finance minister is here for the euros and because the mediation will continue to take place in calm but really the mole keeps the saying the opposite and because of course people promised all through the greek bailout that there would be no more then italy comes along which of course in the meantime we've had paul to go on and on a second greek b

>>neil: italy has pushed to get the books in order and silvio berlusconi has assurances that it will settle down, but, what if they were all to go bad at the same time? more problems with portugal and spain and italy are bad. there is only so much money to rescue. >>guest: you are right it would be a catastrophe if it imploded as you mention. it is probably unlikely, but, certainly, you can see a rollover from one area to the next to the next to the next and that is what we have seen with greece, ireland and portugal and the market is now focusing on italy and not spain and looking at yields, for instance, on ten-year bonds, with highs for that country so from that perspective we are in very serious time. granted they will come in and you see bearle -- silvio berlusconi saying they are looking at measures to take, and investors are looking at italy where a potential debt perspective of 120 percent of g.d.p. levels which are huge and difficult to bring down in the near term so that is where the caution comes from. >>neil: in the united states it is 100 percent g.d.p. so we are not a l

it is interesting that neil cavuto is crediting the italians and silvio berlusconi and i mention that because there is talk now that berlusconi is open to some sort of a budget agreement to get the books in order. the country is all over the map, and get the numbers in order. by doing that he agrees to something calls and this could ring a bell in this country, a balanced budget amendment. so, silvio berlusconi is entertaining something that many in this country have entertained to win over very reluctant return lenders, that with be the european industrial bank, and i find it interesting that in what is considered the cradle of civilization, it will be my people, my people who save the day with an agreement which the european central banker that keeps them going, avoids the default, that avoids even a big pricey rescue. so, while the world was desperately looking for leadership, the italians provided it. >>trace: and i was kind of hoping the irony would come through. >>neil: zilch. >>trace: what is the biggest concern? is a double dig -- dip crisis concerning you for or the italian?

well as we just heard silvio berlusconi hasn't asked for a bailout yet but has he succeeded in calming investors today or do you think a rescue package is inevitable. well i don't think you'll succeed in calming investors but i don't think a bailout will be forthcoming in their future either simply because italy is far too large to be bailed out by the current mechanisms in place in the euro zone i think that if the cancer avoids rising borrowing costs for the short term maybe six months to a year given the size of its economy but in the long term or it will make its debt unsustainable and increase its cost significantly and more importantly will undo the savings that it's making with its its new austerity budget ceasing settings really is a problem there's also you say italy is too large to be bailed out in other words are you saying that the e.u. simply couldn't afford to bail it out. well with its current mechanisms if you look at the size of the financial stability facility it's tops out four hundred forty billion the current market for it is loan is one point six trillion euros so

plan a national strike if the government goes through with its cuts now an interesting thing is silvio berlusconi the prime minister of italy has cancelled put back the speech on the issue until after the markets closed today now that could be a song that he has something to say which could short the markets once again europe is turning to move the markets for a way out of the head of italy's treasury is in the age of four of four attempts to drum up support and to get money and to get people to invest in those italian bombs so people are once again turning to as greece did to the falls growing economies in emerging markets. because we will continue mediation in combe of those talks with the silly the trouble is that investors are voting with their feet and they really are the ones who decide one of the world's biggest bank has slashed its exposure to the news has just come out as cultists exposure to italy significantly as well as to the other troubled states of greece ireland and portugal so investors are really saying that they don't have confidence despite the words of the u. leaders the coun

country's bond yields have reached their highs level since the euro it was adopted in prime minister silvio berlusconi has stopped short of asking for a bailout but let's get more now from this from our europe correspondent daniel bushell and he's joining us live in brussels done your prime minister berlusconi really tried to reassure the trouble markets but just how serious is the situation right now. don't panic is what prime minister berlusconi told the parliament but that's exactly what the markets are doing he said that he had italy that under control and that he was putting in spending cuts to make sure that the economy was horrible but the news came out the one of the world's biggest lenders has slashed its exposed not just to italy but to the other troubled states of greece ireland and portugal which really sends out the signals because it's the business who decide at the end of the day not the politicians and the best of the saying they really don't trust the word of the national politicians they say they've got their house in order so it's really has been crossed and still today with. repres

>>> silvio berlusconi has broke his silence, finally admitting that italy is facing a crisis. he urged lawmakers to act without panic. he insists that italy has solid financial foundations and that the current crisis is more to do with confidence than it is cash. take a listen. >> translator: it is clear to everyone that the emergency that we had to tackle recently is the direct consequence of a confidence crisis that has hit the international markets. uncertainty regarding the euro and uncertainty regarding the financial speculation. this crisis needs to be tackled with determination, without any panic in order not to worsen the situation. >> speaking of panic, silvio berlusconi's speech was delayed until after the close of markets in milan yesterday. italian investors are just getting a chance to react to the country's debt crisis. the ftse is up by 0.25%. the bond yields are moving as well, currently trading just shy of 6%. berlusconi's comments seem little to affect bond yields. the yield is the interest investors demand to hold this debt. i have a report in high haand t i

silvio berlusconi made a rare appearance to the italian parliament during this crisis.he said was that the banks were solvent, the country's economy was solid. but if you take a look at the bond yields on the italian ten-year debt, the markets, especially the bond markets really not belving that. they're near 6% yet again, i should remind you that the danger point is 7% beyond which point it just becomes too expensive for these economies to service their debt on the open market. that really gives you an indication of how the markets bought silvio berlusconi speech. another thing we should mention, ali, i have a report in my mind, here it is, a think tank saying that italy is likely to default if you look at its economics here, saying that spain on the other hand may just about get away without defaulting. italy may well default. this is because its debt-to-gdp is likely to be 1.5 times its economy. 150% debt for its 100% gdp. >> wow. >> the issue is really that it's going to be unsustainable if that's the case. come seven years from now if they're still paying 6% on the

so, no time to dally and same for silvio berlusconi, and david, as in david cameron. they, too were supposed to be vacationing, working, which is proof if you needed it, it is all hitting the fan and instead of being on the beach those guys are burning the midnight oil muttering, "son of a beach," so many canceled holidays so little time and we are following them all the time on the stock fallout here and on the fear of the downgrades to come in rome and in london on the riots spreading there and ed henry in washington on the meeting of two titans aiming to calm everyone down. there. here. everywhere. we begin with ed at the white house. >> the president behind closed doors with bernanke and the treasury secretary geithner and white house chief of staff and gene sperling, all huddling to figure out the next steps. and carney trying to down play it saying the president meets regularly with the fed chairman. this is not a special meeting but on the other hand it is coming in the middle of this crisis on wall street. and worth noting, we checked the record and it was two

. -- silvio berlusconi. italy pledged last week to balance the budget in 2013, a year earlier than planned. china's first aircraft carrier has begun its -- >>. they left their shipyard in northeast china. the move is likely to raise concerns over the country's rapid military buildup. opposition activists in serious and more than 20 have been killed by security forces, many in a central city. one activist said people were being arrested and fired upon trying to escape. meanwhile, international pressure is growing against the assad regime. the u.s. has announced sanctions on syria for largest commercial banks and their largest mobile phone operator. the white house spokesman says the world is watching stereo with horror. >> there is criticism aimed at president assad for his heinous actions. it is not an accident. it is partly because we are all watching with horror what he is doing to its own people and we're working with our international partners to ensure that pressure continues to be placed and is ramp up

those improvements will not silvio berlusconi for this event. they will be for the permanent use for everybody. >> as the economy creates more homeless folks, what more can be done to divert them off the streets and into housing and job training? >> if i could answer that easily. one of the reasons i came to work enthusiastically with the former mayor is that i truly believe in the care not cash approach to ending homelessness. the solution is permanent supportive is in. we're already putting up the housing but not of the pace we would like because of the economy. that will continue to be the target and focus of the true answer to the challenge of homelessness>> the more you wile individuals changing their lives. in doing so, we continue to have a very active human services agency on the ground, and getting them in the shelters that we have and trying to operate programs like project homeless connect and others where we bring tremendous amounts of volunteer support. the hope is to engage people to make better decisions. you can't force people. w

italy is promising tougher measures to balance the budget, silvio berlusconi says the fundamental economy is strong. is anyone convinced? >> i think outsiders need a lot of convincing that italy will push through these austerity measures. there was a range on the table, from raising the retirement age for women and also moving public holidays to sunday to boost productivity. there was also talk about privatization and cutting salaries and the public sector. the fact there are so many ideas on the table has made some people question whether this is a serious plan, but you are right to ask about where this is leading. the most fundamental question in italy, it has a huge debt, where will the growth come from to bring down that debt? that is disturbing the markets when they cast the slide rule over italy. >> they seem to be facing problems similar to every country and the eurozone. why is it the focus of alarm? >> i think there is one single figure worth bearing in mind. italy's total that it -- total debt is 1.8 trillion euros. you have asked how they will bring that down. it amounts to abo

teleconference to try and stop the open relative to coming out the top you have prime minister silvio berlusconi and his finance minister openly disagreeing on this solution solutions to the crisis and the e.u. president jose manuel barroso slammed on discipline communication by e.u. leaders for making the crisis worse and germany is furious at such an open attack this time when it's already critical as in europe we've seen the america really suffering and raising the debt ceiling doesn't tackle the key problem which is making the problem worse given the more debt and their economy is weak because they know the your the u.s. have really started to tackle that key issue yesterday was the wall street was years there was steep slumps in the share price and there are now fears that america will go back into recession which would strongly hit not just america but the whole world economy and the u.s. and europe politicians keep trying to reassure the public that everything is ok but it's investors who are really making decisions they're the ones that are pulling their money out of these markets and th

officially to improve ties between european nations and the new government now it's in these leaders silvio berlusconi has also announced that he will be meeting the rebel needers now analysts here are saying that this may be to also lobby for western all operation for its oil corporations for example we know that any had large contracts with gadhafi before the civil war and was accused of corruption in order to gain massive contracts in that country. daniel bushell reporting there from paris now pierre land a professor of political science from paris university nanterre says that no matter who will end up running the country the west will end up getting the oil it looks as if all the conflicts. are going to take a long time to result they are tribal conflicts all conflicts and breakdown there is a kind of political vacuum that rebels big kill their own command not so long ago there are a group of very different people there were also people who attacked african leaders and so on so. you know tell what's going to happen you should board a group and then comes to our all those big. contracts to our gov

remains a sluggish and uncompetitive causing bond interest to surge to a euro high prime minister silvio berlusconi attempted to reassure markets saying the country's economy has solid foundations but it's clear that if either spain or italy asks for help the eurozone might not be able to foot the bills as artie's arena reports it's the heart of the e.u. where protesters are taking their anger. step by step activists from the fifteen m. movement hope to make europe a better place the point of it is to inform people that might not be informed about about things that they can do in their local government and to find out what problems they're having in their local government in their in their in their small towns and to help them come come up with solutions we have reunions every evening we go to the village we meet with the locals and they tell us what's going on in their town. the organization was born from the protest marches in spain where more than twenty percent are jobless and youth unemployment is painfully over forty percent the highest in europe it's these numbers a drop thousands of madrid

means to improve ties between european nations and the new government now it's in these leaders silvio berlusconi has also announced that he will be meeting the rebel needers now and is here are saying that this may be to also lobby for western aeration for its oil corporations for example we know that any had large contracts with gadhafi before the civil war and was accused of corruption in order to gain massive contracts in that country. well for further analysis on the libyan conflict i'm joined live by pier he's a professor of political science at the paris based west university. he joins me now live from london. thank you very much indeed for being with us we know france of course being the key driving force behind the nato campaign to help the rebels and oversee supporting the national transitional council is it going to get what it really wants and returned it what will the benefits be in the future. benefits for . all of the president. and now is going to be a success but we have all. seen you say i'm sorry peter we haven't got a very good connection here but i really want to talk to you

remains sluggish and competitive causing bond interest to surge to a euro area prime minister silvio berlusconi tried to reassure markets saying the country's economy had solid foundations but its spirit if either spain or italy are asked for help the eurozone might not be able to foot the bill for such large economies are reports. step by step activists from the fifteen m. movement hope to make europe a better place the point of it is to inform people that might not be informed. about things that they can do in their local government and every evening we get to . meet with the locals and they tell us what's going on in their town. the organization was born from the protest marches in spain where more than twenty percent are jobless and youth unemployment is painfully over forty percent the highest in europe it's these numbers that drove thousands on to madrid streets in me now the financial foot soldiers are beating a path to brussels knowing that if there is one thing europeans do agree on it's who to blame dodgy politicians promising rescue but delivering recession there's a lot of. people w

costs and countries have reached their highest level since the euro was adopted prime minister silvio berlusconi has stopped short of asking for a bailout well let's get more now from europe correspondent daniel bushell and daniel addressing the italian parliament prime minister berlusconi he tried to reassure the troubled markets but just how serious is the situation right now. already by going he is being now and he waited till the markets were closed to show you how to read it while he was barry's the beach could make the market with them cause them to go out without sharply they believed there would be a market arrival he built a thing at the moment and tried to reassure people over its leaves for their problems is that even tempered called the mafia he added i have been able to deal with your field strength and i recently went through them so that was trapped at the show they were capable of going through another crisis and that they saw it he added you want to save a life and reduce it's really big and he didn't call for a payout of that sympathy here across of the many next steps although

expect other embattled world leaders to follow next steps what into the bunga bunga beats with silvio berlusconi or maybe he'd be more comfortable demonstrating his natural. five months after the disaster at the fukushima plant in japan things may be getting worse for the crippled nuclear facility so what exactly did plant workers find it's a place that country in crisis mode once again. thank you it's twenty four seven live streaming what to do about the ongoing financial hurricane unlimited free high quality videos for download. and stories you never find on mainstream news. so the political. posts on aren't. just. blog about the big picture i'm tom hartman coming up in this half hour japan just can't get a break nearly half a year after the nuclear explosion of the fukushima plant but officials are still detecting high levels of radiation will they ever be able to contain the toxic leak before things become even more catastrophic and later the daily take on how the new debt deal is not the only thing dragging down our economy so too is some unfinished business in washington left behind by rep

moment but the oil of the storm continues to be europe concern is italy where prime minister silvio berlusconi promised to speed up spending cuts government spending cuts in the country but expose thing for more needs to be done for europe to recover from this crisis from the italian government one point eight trillion euros now that means nothing to anybody but that is bigger than the top. government debt arland portugal and greece put together before the end of this year it will be needs to sell ball debt which is equivalent to the whole of the greek government bond market in other words all of the greek debt that we've been talking about for weeks and weeks and weeks is being. italy is huge need is just too big to manage to anyway be rescued in the way that other economies have so far being bailed out by the e.u. . in the crisis of its credit rating was downgraded on friday. late comedian george carlin always spoke frankly about his nation the only true lasting american value that's left by an days buying things people spending money they don't have on things they don't need today country l

the pressure on the states for even more painful measures that it's at least prime minister silvio berlusconi says he'll bring forward the government spending cuts in italy boy a year now italians already furious saying they'll oppose those measures so there were talk of a national strike and it's really at the moment obviously worrying news there the g seven g twenty groups of leading economies have held an emergency conference call to say that they've got the situation under control but investors are voting with their feeds here in europe and they say they just don't trust them the fact that's america's in panic off the losing its aaa credit rating and it's squeaky bum time for investors at the moment. right daniel bush told live from brussels thanks for that. now the debt crisis in the u.s. trade or it uncertain despite athol being a very good buy a last minute deal in congress last week as were important i reports there's a mood in the queue last that the government should spend more money on peace at home and a war abroad. late comedian george carlin always spoke frankly about his nation

piling the pressure on the states for even more painful measures that it's only as prime minister silvio berlusconi says he'll bring forward the savage government spending cuts it's only by a year now it's already furious thing bill oppose those measures so there are talk of a national strike you need to be at the moment obviously worrying news there expose thing for more moves to be gone for europe to recover from this crisis the italian government one point eight trillion euros now that means nothing to anybody but that is bigger than the total government debt arland portugal and greece put together before the end of the year it will need to sell bourne's debt which is equivalent to the whole greek government bond market in other words all of the greek debt that we've been talking about for weeks and weeks and weeks is being . italy is huge need is just big to manage to anyway be rescued in the way that all their economies have so far been bailed out by the e.u. and the g seven g twenty groups of leading economies have held an emergency conference call to say that they've got the situation under

costs the country have reached their highest level since the euro was adopted prime minister silvio berlusconi has stopped short of asking for a bailout well let's get more now from europe correspondent daniel bushell. daniel addressing the prime minister he tried to reassure the troubled markets but just how serious is the situation right now. already by going he is being now and he waited till the stock markets were closed to show you how out there is that while he was worried that his speech could make the market and cause them to go up or down sharply they'd waited till the stock market there are over he will speaking at the moment he tries to reassure people over its leading screwing their problems that even tends to calm the masia yet the flag has been able to deal with european strength it's believed by recently went through some vocal strapped heads to show they were capable of going through another crisis and that they saw it he added you want to stabilize and reduce its lead day and he didn't call for a bailout but that is the fear here in brussels that that is the next steps of the

officially to improve ties between european nations and the new government now it's in these leaders silvio berlusconi has also announced that he will be meeting the rebel needers now analysts here are saying that this may be too also long before western ration for its oil corporations for example we know that any had large contracts with gadhafi before the civil war and was accused of corruption in order to gain massive contracts in that country pierre a professor of political science from paris university says that as they're. running the country the west will get the oil. this is a. complex. a long time to resolve. tribal conflicts conflicts. political. rebels big. not so long. people there were also people who attacked. us and so on so. you know. you should pull the group. forward contracts to. something because basically the rebels. tend to nato. in this particular particular case was. very likely then friends of the going to benefit from. news of the rebel advance into tripoli was greeted warmly by investors around the world sparking an immediate drop in oil prices and last say now the most impo

our leaders just don't get how serious the situation is at the moment italy's prime minister silvio berlusconi has also pledged to speed up spending cuts those. measures the to italy is going to have to go through to cut its that however economists are saying that that will make the situation worse because that will mean less job creation and a shrinking economy which is the last thing that it's only needs let's hear more now from an economic take. the italian government one point it trillion euros now that means nothing to anybody but that is bigger than the total government debt of arland portugal and greece put together before the end of this year it will be need to sell bourne's debt which is equivalent to the whole of the greek government bond market in other words all of the greek debt that we've been talking about for weeks and weeks and weeks is being. italy is huge and it is just too big to manage it in any way be rescued in the way that other economies have so far being bailed out by the e.u. . situation in the united states is also worrying investors our correspondent very important

officially approved toys between european nations and the new government now it's in these leaders silvio berlusconi has also announced that he will be meeting the rebel leaders now here are saying that this may be to also lobby for western oil corporation for of oil corporations for example we know that any had large contracts with. before the civil war and was accused of corruption in order to gain massive contracts in that country daniel thanks very much indeed that's the latest from our correspondent daniel bushell there in paris well to discuss the situation in libya now i'm joined live by eric margolis he's a war correspondent columnist and author from toronto in canada eric thanks very much for being with us here on r.t. but now the u.n. mandate for nato military mission expires next month the question is will nato stay on beyond its mandate do you think. the wording of the man changed to make it a more humanitarian. nabeel is this a lot of money. and the lure of oil. is over or maybe it was committed to staying in libya the long stick nevertheless also the fact that the rebels are made up of

the pressure on those states for even more painful measures that it's in these prime minister silvio berlusconi says hugh bring forward the savage government spending cuts you need to leave boy a year now italians already furious saying they'll oppose those measures so there are talk of a national strike committee at the moment obviously. the big g. seven g. twenty groups of leading economies have held an emergency conference call to say that they've got the situation on the control but investors are voting with their feet here in europe and they say they just don't trust them. that's america's in panic off to losing its aaa credit rating and it's squeaky bum time for investors at the moment. well johan over editor in chief of trans magazine which is belgium's leading business journal says although this plunge isn't as sharp as the two thousand and eight fallout the two still bear comparison. lehman was a kind of big bang where it's now we are more in a situation where we are on a gradual path in terms of growth prospects in the united states in the eurozone and also with respect to. these are

pressure on those states for even more pain from the measures that it's in these prime minister silvio berlusconi says hugh bring forward the savage government spending cuts he needs and the boy a year now it's already furious thing bill oppose those measures so there are talk of a national strike committee at the moment obviously. the big g. seven g. twenty groups of leading economies have held an emergency conference call to say that they've got the situation on the control but investors are voting with the feeds here in europe and they say they just don't trust them the fact that's america's in panic off the moving its aaa credit rating and it's time for investors at the moment. well asian markets have closed in the red following a rocky trading session. has more from a third largest economy india all the markets are down here reacting very strongly we're hearing strong words from chinese political leaders as well one chinese newspaper actually that the u.s. government has to realize that the good old days when it used to borrow way way out of math is over so everyone is watching this very clo