south china sea is one example and what else? >> when you look at the south china sea, we have a mutual defense treat of manila and we didn't honor it. and the chinese are trying to take away islands from japan. the united states response is tepid and the japanese are concerned about that and ramping up their military. they don't trust us and that is an important dynamic. if our allies and friends don't trust us, we'll see all sorts of behavior in asia that is beyond anyone's control and we know where that leads to. >> and sadly, that could be the war we start to face. thank you for your insight. >> and a missile takes down a passenger jet. and military invasion of gas a. how does the white house handle the hot spots? . . >> hi, everyone. i am gretchen carlesson. exclusive intru with the recent director of the national safety board. how would she conduct the malaysian investigation. why are the messages so different? we'll debate that. and the day is here. my acting debow in the new movie pers outed all at the top of the hour. >>

their military, which is more aggressive than their political leadership, has maps that shows the south china seas an internal chinese lake. anybody flying over that needs to get chinese permission. ity are not going to enforce , but that is on their plan. the south china sea region includes vietnam, thailand, cambodia, philippines, malaysia. if you take it further north, it includes south korea and japan. those countries are nervous about american abdication of the region and the leadership role in the pacific. let's swing to your. before we go to the europe was good to the southern border. mexico. we don't have a southern border anymore. i'm concerned with an immigration problem an economic problem, those are problems, but we can solve those. it will take time and money but we can solve them. if that southern border has people who are coming through that porous border who carry a backpack, they have a backpack bomb. children coming across here, you have suicide bombers coming across. the fact we have seen on the american side of the rio grande dictionaries which are english, translations, and w

territorial region of countries a thousand, 1500 miles away, and believes that the south china sea isan internal chinese lake from china's perspective. >> how would you describe u.s. chinese relations? >> i would say they are competitive and tense right now. because there are more and more issues that seem to be going unresolved. >> competitive economically? >> mostly economic, because in terms of military capabilities, china's way behind the u.s. so i wouldn't characterize that as credit competitive necessarily. but at some point in the future that also can be competitive as well. >> what do you think the china views the asia pivot? >> i see it as directed against them. i think they're right in that sense because the reason the pivot is occurring is countries in the region want the united states more involved. they want protection. therefore i think the chinese are right in that sense that we are looking at them and they are the target of the pivot and we need say that because we don't. >> ms. lee? >> i would agree that yes, it's targeting china and i would say that it alarmed china,

now the typhoon is back out over the south china sea. it is targeting an island. it will regain strength as it's out over the south china sea and perhaps become a category 2 hurricane again. stay tuned. we shall see. veronica. >> thank you. >>> ready or not they are going to cut the ribbon tomorrow on the new 49ers stadium but there is still work to be done. kpix 5's len ramirez is at the scene tonight where workers are racing to make this deadline. right, len? >> reporter: that's right. you know, i'm standing actually in the parking lot of the great america theme park but this is the latest and biggest tourist attraction in the south bay. levi stadium a lot of people around here can't believe how quickly this seemed to rise out of the pavement. the ribbon-cutting will be tomorrow. and the first kickoff won't be far behind. are you ready for some football? the president of the 49ers says levi's stadium is. >> knowing that there might be a kink or two here or there, we're good to go. we could play a football game today if we wanted to. >> reporter: it's the last off

international security and we see examples of that now in the east china sea were japan and china have territorial disputes and the south china sea where japan malaysia. vietnam in the philippines have some very sharp territorial disputes and there were china says we want to be respected they want the u.s. to stand back that's harder to to make happen smoothly because there's no corporate charter like the i.m.f. or world bank within which to work we just have the rules of the united nations now you just mentioned. china rising and demanding more respond more room within the international system i think there is a similar sentiment here in moscow but in ball in the case of both of those countries that are rise is perceived somewhat negatively in the united states do you think those threats of both russia and china being exaggerated in the united states do those countries really pose such a significant threat to the united states because as far as i understand neither of the ones there was the global dominance they just want to be treated as equal partners. the european union or the united states i think in some circles y

after crossing the philippines, it is now categorized as a storm and is heading to the south china seaexpected to gain in strength once it is back out at sea. bbc news. >>> now, germany may be famous for its love of these, yes, i have an absolutely delightful plate of raw sausages under the hot studio lights. but it appears some haven't been entirely honest with their customers. the scam goes back for years. let's go to berlin. can you smell the raw meat from where you are, steve? this is a huge favorite with people around the world, what is this story about? how damaging is it? >> good for consumer, i suppose. the regulators in this country have discovered that the sausage manufacturers, the people who make the nation's sausages, have been fixing prices. there are about 1500 different types of tasausages in germany. you can't fix the price for each type, each species or whatever they call it for sausages. so what the producers were doing is basically phoning around, and saying, this is the price rise we'll have, this is the percentage rise in the prices for this year. they have been c

you can see it in the south china sea, where china's aggressive territorial claims spell real potential trouble for japan, south korea, taiwan, that would see their lines of trade and communication through the south china sea potentially in china's hands. so the withdrawal of american influence really means more disorder around the world. and i think a threat to our way of life here, ultimately. and certainly to our friends in the regions affected. >> more disorder around the world at a time when, of course, things are worsening in iraq. what's your sense of what's happening in iraq? >> well, i think clearly the country is on the verge of breaking apart. functionally it has already. this is not a debate any longer between one iraq or the three irks that vice president biden once talked about. we've already got two irks. the kurds are out of it. i don't see any chance they're going to voluntarily reengage in a strong central government. so the real question is whether we see continued conflict between the shia and sunni arabs represented by two of the most extreme forces in the middle ea

the leaders of china are now watching this played out as they plot to secure all the oil in the south china seaations that were concerned that china moving to these disputed islands with the two conflict. 84% of the vietnam and south korea 83% even with china and the answer is overwhelmingly yes. if anyone is sitting at home america will come to the rescue look at the missile launched from these trucks that move around. they can travel over 1,000 miles. they fly off the aircraft carriers of the have a range of 690 miles so the missile could get there and $11 million against the $13 billion aircraft carrier. they have grand ambitions but we have to deal with them sooner or later. let's talk about this. with that friday's snapback rally maybe it was pre-richer with the stock market to a larger extent we just don't want to get involved we don't care what is happening off the shores but i think we're making a huge mistake not modeling the end game. >> it is the tough decision i don't believe in military-style action going into the ukraine. diplomats say yes. but sitting back right now is big for th

into an effective administrative center for more remote groups of islands throughout the whole south china sea>> help us with where the islands are in relation to china and vietnam. they are not very close to china itself. >> they fall pretty much equal distance between china and vietnam. they are pretty remote. they have been fought over for decades between the two countries, there was a bloody encounter in 1974, 40 years ago, when china asserted its control offer the islands and occupied them. both vietnam and china claimed them for hundreds of years, vietnam saying it's been demrating the islands -- adminize traiting them for hun dreads of years. as in all of these disputes, possession is nine tenths of the law and china is very much in possession. it seems difficult, hard to see a scenario when china would agree to withdraw from them. >>> there's oil, gas. china wants them, vietnam wants them, we have seen ugly scenes. give us a sense of the confrontation that there is between the two countries over the islands. >> it has been very tough for vietnam, for various historical reasons. vietnam

the south china sea. all areas where the system actually prevents, discourages nations from using force where we might want to because the gains to the world will be much higher than any costs of conflict under international law they would be illegal and the international system ought to encourage the powers to use force to control those kinds of threats to international system. it doesn't need to worry about war between the great powers where international law does nat have much affect, and the peace has been kept for other reasons. >> one last way to understand this thesis, this is very similar to the way law and economic scholars think about contract law or tort law. there may be a rule. you which i think would be consistent with this approach but which may well be seen as troublesome and potentially illegal under the u.n. charter. the first thing i would say is the united states should terminate the s.t.a.r.t. treaty. the s.t.a.r.t. treaty is the one that spoke for the u.s. and russia to 1550 nuclear

some lingering concerns about this storm surge as the typhoon heads offshore and out into the south china sea where it is forecast to pick up strength and target here in china later this week. charliesome. >> seth, thanks. >>> this morning is real is preparing for major air assaults on the northern part of gaza. rocket attacks between israel and gaza are intensifying. holly williams is in gaza where they're told to clear out for their own safety. and holly, you just had your own scare. >> reporter: good morning. just a few minutes ago think launch add rocket very close to our position in the field behind me. our cameras were rolling and the rocket made an enormous noise as it passed overhead. and that follows a night of heavy air strikes here after palestinian militants rejected a cease-fire propose by egypt. both sides have now resume third attacks. the cease-fire plan is dead, unleashing another wave of violence. in southern gaza two men were killed by a direct hit on their car. more than 200 palestinians have lost their lives in israeli air strikes. officials here say most were civilians.

. >>> china says it has ended its drilling operations near the disputed islands in the south china seaa an oil rig was set up there two months ago in water also claimed by vietnam. more now from rob mcbride. >> reporter: china said it was conduct this exploratory oil drilling for two months. that two months is now up and its rig is being removed. it says it has discovered traces of oil and gas. those will be assessed to discover if it's viable to drill in that area. if it is, that takes this standingoff to a new level with vietnam, which of course, claims it has economic interest in this area, and it is for it to drill for oil and not china. china's position here is that it has the rights in this area, and follows on from a program of making very permanent its position in this part of the south china sea. last month it spoke of building a school, and we have seen the construction of administrative offices, effectively turning this one group of remote islands into the administrative center for even more remote islands that china lays claim to. >>> japan's nuclear wash dog has given a pl

it's over the south china sea, picking up a lot more energy there. the waters over south china sea is very warm, that is one of the items you need to energize the storm. we think it is going to be equivalent to a very strong category 1 or category 2 if it were a hurricane here across the region. not only the rain and winds but storm surge up along the coast is going to be a major problem. then as we go towards saturday it is going to be northern vietnam that sees the storm coming in and going the flooding there is going to be incredible. back to you john. >> kevin corriveau, thank you. >>> to another story tonight. president obama imposed more economic sanctions against russia hoping to end the conflict in ukraine. the president says he's freezing assets of some russian defense companies. he's also blocking financing of some russian banks and energy companies. >> what we are expecting is that the russian leadership will see once again that its actions in ukraine have consequences including a weakening russian economy and increasing diplomatic isolatio

making its way to the south china sea, and right now, you can see the storms here, and much of manila is below sea level. so we're looking at potential flooding across the region, and we have casualties, as well as thousands of homes have been destroyed or damaged. over the next four days, what we expect it see, as the storm makes its way into the south china sea, extremely warm water in the area, and the storm is going to pick up in intensity. by the time it makes its way to china, it could be even stronger than it was when it made landfall in the philippines, so a very fit situation in the next few days. so we're looking at the southern coast of china being affected and as well as the potential of northern vietnam by the time we get to sunday. that's the weather. and the news is coming up after this. >> a major political break through today in iraq, a new speaker, salemme, a first step of forming a power sharing government to beat back the sunni fighters called the islamic state. we talked to reva as lanerly year. >> reporter: they have no nationalist ambitions and not looking to bu

china sea. japan controls the islands. china and taiwan claim them. the report also refers to china's increased maritime activities in the east and south china seas. it says that chinese are using military might to try to change the established order. it says the actions of china's leaders are inconsistent with international rules. japanese defense officials have also voiced concerns over north korea. the report says that north koreans are trying to develop ballistic missiles with an extended range as well as compound nuclear weapons and nuclear warheads. the report says north korea leaders may wrongly believe such moves will serve as a deterrent to the united nations. and it says there is a possibility the north koreans will escalate their provocations. >>> japanese leaders are putting the pieces in place as they prepare to implement a state secrecy law. it gives the government the authority to designate certain information as special secrets. they passed the law in december and now members of a government panel have drafted a set of rules for classifying information. nhk world has more. >> reporter: the draft released by members of the panel list

the typhoon is moving into the south china sea. and expected to hit south china and northern vietnam this week. >>> many thought the immigration debate was dead this summer. people across the country are raising flags and even bringing rifles to rallies. hundreds on both sides of the issue rallied outside tu san, arizona, after having word of unaccompanied children coming their way. house republicans will push to have national guard troops sent to the border to help handle the influx of unaccompanied children. nbc's brian mooar is in washington. what's the latest on the children we're hearing so far? >> the latest is both sides of congress are trying to take care of this problem. how it is done is still a matter of great debate. president obama is looking for $3.7 billion, but it is unlikely at this point that he'll get everything he wants. house republicans today are calling for a surge of national guard troops and streamline deportations to battle the immigration crisis at the border. >> and hopefully by the end of the week we'll

the center is located over the south china sea but still engulfing the capital of the philippines. the center is located in this place packing wind gusts of 180 kilometers per hour and it's going to move northwest. it may make landfall in hainan by friday morning local time by friday as a strong typhoon and then reach northern vietnam by saturday night local time. and lots of rain is on the cards for you for southern china and northern vietnam and also the western parts of the philippines where we see lots of rainfall. now, in the americas, record low temperatures were set in many places in the eastern parts of the u.s. for example, in kansas city, missouri, your low on wednesday was only 13 degrees, surpassing the previous record of 14 degrees. meanwhile, quite hot conditions are persisting in the west. so in between, severe weather is happening in and around the central rockies and central plains. there's a possibility of large hail, damaging winds, and even some isolated tornados in this place. and heavy rainfall of up to 100 millimeters of rain is likely. that's more than the m

we get the moisture pulled in from the south china sea on a southwesterly wind flow.est rain flow this time of year. what happens is between june and november, sometimes we'll get a surge in the monsoon. that can happen when a tropical cyclone positions it self to the northeast of the philippines because of its counterclockwise flow on the southwestern flank. it pulls in additional moisture from the south china sea. that strengthens the rains. could be quite heavy at times and more widespread, as well. that's likely going to happen over the next couple of days. with this feature that we've been monitoring, that will likely become our next tropical depression, perhaps even get a name. it's not going to head into the philippines. it doesn't need to. when it positions itself to the north and east, sometimes it can be worse than a direct hit because if it's a tropical storm and keeps going, then the rain stops. look at this here. this computer model forecast, we're getting very excited about this storm here. probably a little bit overdone but we'll have to see. sometimes

order to establish this hot line so that we can avoid unintended consequences in the east china sea and the southhina sea. this is relevant to incidents between fighter jets, for example, in the air. if something happens, hot lines should be used. we know that to avoid escalation we will continue to urge china to work on this. >> what is the prospect of this? >> i believe that china has a similar intention, but unfortunately china says that we have a problem of the senkaku islands between china and japan. but this single issue must not come in the way of our effort to establish a hot line. a constructive path for us to take. so we will continue working on china on this. >> thank you very much. >>> tropical storm na is impacting the southwestern islands of japan. our meteorologist is here with a look at what's happening there and around the world. >> tropical storm na is approaching the okinawa islands. this area already experiencing lots of winds as heavy rainfall. not just okinawa but kyushu is experiencing stormy conditions. we have some video from kagoshima. this is the scene in southern kagos

you know, as we see china sort of spreading its wings in the east and south china seas, some of that ied into potential for oil and gas reserves and for the fisheries. far more than that is driven by nationalism within china. it's important to disentangle those issues. how are we going to respond to? >> strategically there's things the u.s. has to deal with. >>. >> we thought we found the biggest impact -- where we saw the biggest impact or the impact on crisis. we've seen enormous increases. particularly in the price of oil. if you asked most analysts, they would have said $20 a barrel. now $100 a barrel is normal. we've seen enormous increases in the price of iron ore, copper, food, and when you get those prices going up,en only does it hurt consumers around the world, but it makes the security challenges associated with resources all that much more acute because the resource costs are such a bigger part of people's budgets around the world. disruptions to resource trade become all that more challenging, and so there's spillover effect from the economic side that make things even to

. >>> a chinese oil rig operating near disputed islands in the south china sea has been withdrawn a month ahead of schedule. the deployment of the rig in the seas around the paracel islands sparked weeks of clashes between ships from china and vietnam and several anti-chinese demonstrations in vietnam. >>> now, at least ten people have been killed as the typhoon sweeps across parts of central philippines and brought the capital manila to a stand still. the storm is the strongest to hit the country this year. it struck the main island of luzon with wind speeds of 185 kilometers an hour. hundreds of thousands had to evacuate their homes, but the alarm was raised early. that may have helped to prevent a much higher death toll. we have the report. >> reporter: the devastation became clearer soon after the typhoon passed manila bay. ferocious winds have toppled trees and power lines, bringing life to a stand still in manila. government offices and schools were closed across the city. people in shantytowns were the worst affected. many houses were blown away. emergency services were trying to r

the typhoon made landfall there on tuesday before regaining strength over the south china sea. meteorologist ivan cabrera is here with much more on the storm. ivan, is the threat over now? that's the big question. >> as you mentioned, i think for coastal areas, i think we're in much better shape at this point, but inland areas, vietnam and the hilly terrain across china still under the gun for very heavy rainfall, which will prompt flash flooding, along with the potential for landslides, it's been raining a lot here, even before the typhoon made landfall, which at this point here, this is the fourth landfall. i'm going to take you on a tour of what this has done over the last week. latest advisory and the last one from the joint typhoon warning center, 185 kilometer winds. they are done issuing advisories so in the next six hours, more of a rain threat and then we'll see about the damage, that death toll in china we are hoping stays that low, as you know in the philippines it is not. here's what happened, just a nonmenacing looking thing, watch what happens as i put this into m

now it's now located near manila will likely reach the south china sea by tonight as a strong typhoon and probably make the second landfall by saturday. now winds are going to be quite high. on top of that, high waves and also storm surges of up to 3 meters. that could cause coastal flooding and beach erosion and also extremely heavy rainfall is on its way. the land is already very well saturated. on top of that, 200 millimeters of rain is likely to fall. flooding and landslides will be a very big concern. the system will make its way toward southern china as we go into the weekend. across the americas extremely cooler air for this time of year is invading from canada, covering most of the eastern parts of the u.s., lowering temperatures. rapid city your low on tuesday was only 7 degrees. that's the lowest on record for the day. many record-low temperatures have been set in many places. the cooler air is meeting with hot and juicy air from the gulf of mexico creating another day of severe weather in the gulf coast up to the northeast coast. there is a possibility of tornados, damaging

a little more than four months after flight 370 disappeared over the south china sea. in this crash it's affecting families from australia to indonesia. germany, france and the uk. it's likely that americans and people from other countries were on board as wellment reporting live in northwest d.c., chris lawrence, news 4. >> russian president vladimir putin tonight is blaming ukraine for the crash. he says that country must, in his words, bear responsibility. he said this would not have happened if there were peace and military actions had not renewed in that country. putin asked the russian military to provide assistance in the investigation. >> tonight websites track real time air travel and shows minimal activity in ukraine's air space. u.s. carriers agree ared not to operate near the russian-ukrainian border. some foreign airliners are doing the same thing. greg fife with the nional transportation safety board said it's up to individual countries and airlines to determine which route ares are safe. >> i've got a feeling that with malaysia and other carriers that co

vietnam and china were aggravated after china installed an oil rig in disputed waters in the south china sea. as for india, the adb left its 2014 growth figure unchanged at 5.5% but it revised upward its outlook for 2015 to 6.3% and that's up by 0.3 of a percentage point from the earlier india saw the inauguration of a new government in may. prime minister narendra modi of the bharatia party enjoyed a sweeping victory in parliamentary elections after pledging reforms. >>> indonesians are awaiting the outcome of their closely fought presidential election between jakarta governor joko widodo and former military general prabowo subianto. but voters aren't the only ones taking a keen interest in the official release of election results next tuesday. foreign companies want to know how the next president policies will affect the country's economy, which is showing healthy growth. nhk world's takatoshi shiozaki reports. >> reporter: joko's down-to-earth personality has gained widespread popularity. prabowa portrays himself as a strong leader. around the end of the campaign, probowa managed to narro

fundamentally about how china is developing its role in the south china sea and to what extent is thatd as harmful to u.s. interests remains. >> how aggressive does the united states have to get as far as vietnam and japan are concerned on this issue of maritime security? >> i think we're going to see more of what we've seen over the last six months, which is to say chi china increasingly confident in the region and increasingly building out its claims in the region and that leaves vietnam and also the philippines on the receiving end. >> can you imagine a situation where china would provoke military action from the united states? >> no, i don't. i think they've been forward leaning. you could even say aggressive in some respects. i don't think they've gone beyond that. there's always the prospect of miscalculation, vis-a-vis china or the south china sea, somebody overstepping and turning it into a hot incident. >> i have to leave it there. living in hong kong these days. good to see new washington. >> good to be back. >> thank you, sir. >>> trivia time. only one u.s. president was bor

action is ultimately designed or calibrated to draw china's attention from the south china sea to taken russia as a means to show that there are consequences if they pursued a more aggressive policy in the south china sea? third, how much of the reliance upon the brick countries is seen as a challenge on the economic u.s. border? of china, irms don't think that china is taking the actions in ukraine as a direct response to the development in the south china sea. i think the balance of power is different. i think that china views its relationship with the west in a different framework than does russia. i think china might be watching developments to see how strong the u.s. in the you respond to these developments, but i think that china will make its own calculations independent of what occurs in russia. as for the bricks meeting, it just concluded in brazil. there have been talks about creating a new world bank, the equivalent of, as well as a reserve fund. there are clear economic reasons that unite the different nations. brazil, russia, india, china, south africa. at the same time, i

by the way that south china sea region, that includes vietnam, thailand, cambodia, philippines, indonesiaysia. if you take it further north it includes south korea and japan. those are countries that are extending there is about what they see as american abdication of the region and american leadership role in the pacific. let's sort of swing forward to europe. actually before you go to europe let's go to the southern border and go to mexico and look at the southern border. we don't have a southern border anymore. as a national security person unconcerned with an immigration problem, and economic problem, a public health problem. those are all problems that we can solve those problems. what we can solve is it that porous southern border has people are coming through that porous southern border who carry inside a backpack, that a backpack, or instead young people, children coming across europe young suicide bombers coming across. the fact that we have seen on the american side of the rio grande prayer rugs, dictionaries which are english, urdu. urdu. perduverdigris of language the taliban

a simmering crisis in the south china sea. >> a war will cause the markets to have a comeback. >> the thing is that your methodology does not account for china kill asians. you take a different view. here and youount have the ukraine on one french with israel on the other. believe that everything that is known about anything is in the price. triggered.will good so far, there have not been hit. world aree developed at record highs. so far, the market does not see a problem. >> it has been a friend. some point.t >> at some point. i do not think in the next couple of days. the bull market will end after the inversion of the credit cycle. thatill go back and note the prolonged markets and equities have coincided with the yield curve and occurred several months after that. >> you are not invested in treasuries right now. you would be mad. focusingvestors start back on improving the economy and treasuries will fall. the right time to buy we'll be in the next recession. do that think we will for a other 2-3 years. >> a lot of noise on the geo-political front. what are you concerned about. >>

seas from the pacific ocean to the indian and those skies open and free. >> japanese and other leaders have voiced concern over china's efforts to assert its claims in the east and south china seas. >>> now abe's mission in australia was not just about strengthening security cooperation. another important element was signing a trade agreement. ron madison joins us with more on that from the business desk. >> that's right. after years of negotiations, abe and australian prime minister tony abbott have finally signed a bilateral economic partnership agreement. with this japanese people will be able to eat australian beef more cheaply and australians can buy japanese cars at lower prices. the signing ceremony was held in the capital canberra. >> translator: the japan/australia epa is a very important framework for bilateral trade and investment and has historic significance for our close bilateral relationship. >> today's visit is about a friendship, a special relationship, which has now been well and truly on foot for six decade the agreement says that japan will reduce its tariffs on frozen australian beef from the current 38.5% to 19.5% over the next 18 years. tariffs

now it is moving to the south china sea.t is going to become a category 2 hurricane just before strikeing the island sometime thursday night. so we will stay tuned on that. in the meantime, weather back in the bay area, we are where we should be in san francisco. concord, east bay, 10 degrees cooler this time of year that average. tomorrow, san jose, 78. half-moon bay, 63. upper 70s and low 80s will do it. up in the north bay, looking nice. we had pretty extense i low clouds this morning up there. a repeat performance tomorrow. extended forecast, mid 08s all the way through the weekend inland. around the bay, we will be around the low 70s mark. as we extended into next week, more of the same. we will go with the usual low clouds. sun in the afternoon. not bad. >> i think gaga would be pleased. >> i hope so. thanks. coming up, amazing video, inside a tornado. ,, i'd say i clean the toilet 6 or 7 times a day. like clockwork, every 20 minutes i clean the toilet. sometimes i get up in the middle of the night and clean the toilet

and then reach the south china sea by tonight as a typhoon. then make the second landfall in hainan by saturday local time. rains are going to be quite high. on top of that, storm surges up to three meters likely and also heavy rainfall. an additional 200 millimeters or even more is likely in this area. enough to cause flooding as well as landslides. again, the system will likely make landfall in hainan by saturday. southern china, you're already receiving lots of rainfall due to a stalled frontal system. hunan has been experiencing the worst of it. we have some pictures to show you how bad the situation is. a 300-year-old town of fenghuang in central china has been flooded. a nearby river rose almost one meter above the warning level causing severe floods and power outages. 50,000 residents and tourists were evacuated. other areas in hunan have also been affected but no casualties have been reported so far. so many people are wading through in the waist-deep water so conditions are already quite severe. unfortunately, more heavy rain is likel

it's located in the southern city of cow shung, facing the south china sea. reporters watched a helicopter lower a submarine detector into the ocean. they also saw patrol frigate drills to handle a fire on board after an attack. crews in respective suits worked to put out a fire and rescue the injured. vice foreign minister xi says taiwanese are confident in their capability and believe they can contribute to peace and stability in the region. >>> japan's government has asked local leaders in the country's southwest for permission to station a fleet of controversial aircraft there. senior vice defense minister ryota takeda met on tuesday with govern the governor. he says they plan for the amphibious unit. the motor aircraft will need parking space and use of the airport's runway. takeda also asked the governor to allow the u.s. marine corps in okinawa to use the same airport. >> translator: the japanese government decided that the airport is the best choice to deploy the self-defense force's ospreys and also to reduce the burden on okinawa. >> governor furuka

it took three hours and lots of teamwork, but a killer whale is back in the south china sea.up after the hurricane swept through. the orka kicked up its tail as it was brought to deeper water. >>> a man in shanghai built this -- it doesn't have an engine, though. if are you looking to buy it, you have to check with your local dealership to see if they have any spares. maybe a good bicycle pedal torg with it. >>> key west was overwhelmed with 431 ernest hemingway look-alikes this year. they competed for the title of pop eye. it took walley six times to finally win it, and he even had to defeat his own son to win that. amazing. can you imagine father and son looking just like ernest hemingway? that's a lot of hemingways there. >>> kids in utah, this is a great one, they went on the slide of their lives this weekend. slide city came to town and transformed main street into 1,000 foot long slip n slide. it took over three city blocks and 3,000 participants seeing how far they could go. that looks like fun. >> san francisco, wrovl, with the hills would be a great city to do it. th

i don't think china is going to go to war in the south china sea. i think putin is going to be patient in ukraine and so, you know, that's a pretty thing when viewed of the four major geopolitical events take place around the world. if i were dead wrong about that and one of them interrupted into a major conflagration, then i'd have to think about my view. >> it's very reassuring to hear those global hot spots, are you not so worried about them. what about them here in the u.s.? a lot of people are skeptical about the u.s. economy, we get good data, bad data, disappointing data, what is your view on the economy here? >> i this i the economy is doing well. you know, almost every parameterer alook at i listen to the comments, you know, your bank roll is up. you have over $2 twl worth of deals announced. both of those indicate business confidence the purchasing manager indexs are headed higher, consumer confidence is improving, vehicle sales are strong. i think capital expenditures are going to improve. so i think a whole panoply of economic indicators

both countries are facing off the south china sea.e markets. >> there's absolutely no reprieve to these equity markets. yesterday, 85 points the biggest one-day drop in four months. in dax had the biggest drop 44 sessions. we are continuing this momentum will stop mario draghi speaks later this evening in london. we don't really know -- the will be out as well. the momentum inequities, people are beginning to question the validity of the rally. is it time to take a little bit of her reprieve? theme is the insurers. we are paying less to cover our car insurance -- not me. for 10 straight quarters. these are insurance companies in the united kingdom. if you think the national flag carriers are having a problem, these are up. finding it a little heavy on the day. volatility is rising. that is the one message you can take away. the front page has a great article physically saying you might have shorted stock at record lows. in other words, about 2% of the s&p 500 is open and out there in short positions. that drops to 1% in europe. back t

russia and ukraine and china in the east and south china seas. yet both are in need of diplomatic and economic support. even if the two may not see eye to eye on the price of gas, both are reluctant to criticize the other on political affairs. perhaps a reason for russian president vladimir putin east. i'm eunice yoon in beijing. >>> china's got some media problems of its own, like food safety, for instance. a u.s. owned meat supplier in shanghai has been accused of selling mcdonald's and yum brands, owner of the kfc chain, expired beef and chicken at restaurants in china. even though sales have been suspended, investors were feeling a little queasy today. shares of mcdonald's down about 1.5%. shares of yum brands down more than 4%. >>> still ahead, the aggressive steps that some retailers are taking to fight what they call a retail funk. and whether those measures are working. >>> some very welcome good news for the city of detroit. its plan to adjust $18 billion of debt and exit the biggest municipal bankruptcy in the nation's history is, quote