tv World Business Today CNN November 14, 2011 4:00am-5:00am EST
you'll find a veteran wondering does anybody still care about me? on this veterans day i want to tell all my fellow americans every day is a veterans day. they need you every day. >> general powell, thank you very much. >> thank you. -- captions by vitac -- www.vitac.com i'm zain vergee at cnn in london. here are the top stories. mario monti will begin to put together a new government. they must then pass tough measures to put the country back on solid financial footing. monti replaces silvio berlusconi who resigned his post on saturday. hamas security officials say at least one person was killed when warplanes.
medical officials say hamas troops may be buried in the rubble. three french aid workers kidnaped more than five months ago in yemen have been freed by al qaeda militants. the french news agency quotes nicolas sarkozy and officials as confirming the release. no word yet on their condition. mr. sarkozy thanked the authorities for their help. an inquiry prompting by the phone hacking scandal brought down by the british tabloid gets under way in london today. investigators will look at the culture, practices and ethics of the british news media. a separate police probe of the scannedle is ongoing. those are the top stories from cnn, the world's news leader. i'm zain vergee and "world business today" starts now. good morning from cnn london, i'm charles hodson. >> and a very good afternoon from cnn hong kong, i'm andrew
stephens. you're watching "world business today." our top stories this morning, the 14th of november. president obama wants asia to keep on growing but tells china enough's enough when it comes to the value of the ewan. can a government under monti calm nerves. and it's tough time for a man known as a richard branson. it's the monday morning after the weekend before as you might say and clearly a busy political time. now let's have a look at the financial implications of what's been going on in terms of new governments being formed, both in italy and in greece. let's take a look at the european stock markets, clearly investors watching numbers in europe closely, the measure of confidence in italy's interim
government and greece as well. we are looking at a higher open on monday. this follows gains of 1.5 and 3% on friday. it does look as if the rumor has been bought because the selling that we're seeing now on the fact is fairly luke warm, i would say, 0.5% for the ftse, the cac current and the zurich smi, a little bit more for the dax, which is the new volatile index of europe, it seems these days. let's focus on the italian stock exchange. the ftse is currently higher by 1.7%, just below 16050 there. mario monti is now in place to replace silvio berlusconi. he's accepted the huge responsibility as he termed it, of forming a new government. but the appointment of the former eu commissioner still needs to be approved by the italian parliament. he has to stand at the head of the majority. we'll be going live to rome for
an update shortly. it is a big day in italy in terms of politics and financials. the country will also auction 3 billion euros in five-year bonds monday. in rough numbers that's about $4 billion. last year, of course, as you remember, the ten-year italian yield, the premium that italy pays relative to germany for its sovereign debt, that surged to a record high. sorry, the overall debt interest rate that is surged to a record high, about 7%. but now it is at 6.3%, which i shows is more manageable than 7 plus but still uncomfortable. >> still very uncomfortable, isn't it but it's out of that bailout zone we've been talking about. still a long way to go until that gets down to acceptable levels. here in asia, if you look to see what happened here in asia, a fairly positive day and a
positive reaction to those latest developments in italy. all the major indices you see finishing higher this monday. the nikkei up by 1%, third quarter gdp coming out of japan today. japan is up by more than 1%. so we'll have more on that at the moment. it certainly helps the equities there. olympus getting a boost today, up 17%. reports there that the company may avoid delisting, giving some life to share holers. hong kong, though, the best performer up by nearly 2%, financial and real estate getting a boost there. energy and commodities leading the markets higher today. let's take a look at the big economic news coming out of japan today. it posted its first quarter of growth in a year. actually helped by the reconstruction efforts after the march earthquake and tsunami. you can see that japan here had three consecutive quarters of economic contraction in the leadup and directly after the
disaster. but from the quarter july to september, gdp growing a pretty healthy 1.5%. that's compared with the previous quarter and if you put that on an annualized rate, the economy is currently growing at 6% a year, which is a pretty good rate. improved consumer spending and export numbers helping expand the economy there. japan's growth is, analysts say, expected to cool in the coming months as the strong yen and also the thai floods hit japanese manufacturers. the supply chain, particularly for some of the japanese carmakers in thailand, which may hurt their operations there. now, growth in the asia-pacific region certainly a key pillar of support for the struggling u.s. economy as well. so they would be delighted to see those numbers coming out of japan at the moment. the annual apec, the u.s. president barack obama could not have been clearer about the importance that his
administration is attaching to this region. >> no region will do more to shape our long-term economic future than the asia-pacific region. as i've said, the united states is and always will be a pacific nation. many of our top trading partners are in this region. this is where we sell most of our exports, supporting some 5 million american jobs. and since this is the world's fastest-growing region, the asia-pacific is key to achieving my goal of doubling u.s. exports, a goal by the way which we are on track right now to meet. and that's why i've been proud to host apec this year. it's been a chance to help lead the way towards a more seamless regional economy with more trade, more exports and more jobs for our people. >> as you heard the president say, this is not a new theme, trying to get more u.s. exports to help the u.s. economy,
getting those exports into the asia-pacific region. this apec meeting, it was all about the transpacific partnership. this is eye new free trade deal that nine countries, including the u.s., are trying to push forward. obama wants to see this deal in place by next year. it's a fairly aggressive timetable. china is not included in the initial nine. that will be an interesting development to watch as well. >> it seems to me, andrew, that the president wants it both ways. he wants asian growth to be strong, but he also wants u.s. exports to be stronger. he's pressing china to let its currency appreciate, yet one of the reasons that china has been able to grow so fast is because it's kept its currency, some might say, odd officially low. you can't have it both ways, can you? >> you can't have it both ways, you're right but the u.s. has been relentless in its operation
to try to get china to ease or let the currency appreciate, charles. we've been following this story for a long time. the president certainly using the apec meeting to start talking about that topic again today. it's a very sensitive one, both for china and the u.s. this is what the president had to say about the currency issue. >> most economists estimate that the r & b is devalued by 20% to 25%. that means our exports to china are that much more expensive and their imports into the united states are that much cheaper. now, there's been slight improvement over the last year, partly because of u.s. pressure but it hasn't been enough. and it's time for them to go ahead and move towards a market-based system for their currency. >> that's about a 7% improvement if you look at the exchange rate between the chinese currency and
the u.s. dollar over the last year or so. you're right. the u.s. would say all we want is a level playing field, we want to be able to compete with our exports going to china and china's exports going to the u.s., not undervalued, just so we could be at the same level. i've been saying this for a long time. certainly the affect meeting over the weekend bringing out quite a few tensions between the u.s. and china. if you look out for another year or so, 2012 will be enormous politically, both for the u.s. and china. we have the appointment of a new leader in china. these -- this rhetoric we're hearing from china and the u.s. about their own specific economic conditions and positions is only likely to sharpen as we get into that domestic political cycle. >> okay, mr. obama on a big swing and heading further, i believe, across the pacific, right?
>> absolutely. he's taking quite a lot of places in this trip. the next stop for the president, this is a nine-day tour, charles. he'll be in australia, meeting the australia prime minister guillard there. after that he moves to bali for the final days of the trip. he'll be meeting leedsers of india, thailand, the philippines and indonesia. there will be talk on the economy and boosting trade agreements. also security issues will be front and center as well, charles. that's another interesting one. china has been upsetting a few of his east asian neighbors with their own position on security in the east china sea area. that one will be on the agenda as well. >> let's stick with the subject of worries about the neighbors and move back to europe, that being very much what we've been thinking about for months it would seem, in financial markets. specifically, though, in italy, celebrations exploded on to the
streets of rome, following news of silvio berlusconi's resignation over the weekend. it's now down to business as usual or at least some kind of new business as usual as prime minister-elect mario monti formally accepted his nomination. for more on this man, matthew chance joins us now live from rome. matthew, is mr. monti reasonably assured of getting a majority when he places a vote of confidence in parliament? >> well, i wouldn't say he was assured of it but certainly that's what he's working towards right now. he's accepted in principle the nomination to form a new government. he's in consultations at the moment with the various political parties and the various experts in their fields. to establish what the make-up of his cabinet is going to be before he goes back to the country's president and says, yes, i can do this. but i think it's really important to remember that even though mario monti, this former eu commissioner, an eminent
economist in the country is widely seen as the right guy to put together the right kind of bills to get the italian economy back on track, it's going to take much more than his personality and his background to get those bills passed into law. there are fundamental economic changes that need to be wrought in order to bring the finances under order, the huge debt, $2.6 trillion. it's going to be very difficult to get the public support for any government to do that, particularly when mario monti is about to take the reins of power without a specific democratic mandate. it's going to be hard. >> mean mile, italy as an economy or perhaps as a government faces a huge test, which is placing these 4 billion euros worth of five-year bonds, government bonds, on to the markets. is there any indication of how that's likely to go, matthew? >> well, i think the indicators
are that it's going to go slightly better than it would have gone had silvio berlusconi still been prime minister of this country. i think the money markets lost faith in mr. berlusconi and his ability to cut through the forms needed to cut the italian deficit. i think they'll be much more assured with an economist, a technocrat like mario monti in charge. the interest rates, the yield, the spread, i think it's going to be a much happier picture for the italians as they go into this week. that's only perhaps short-term relief. much will depend on how effective mario monti's government is in implementing the kind of austerity measures the italian economy needs. >> matthew chance, thank you very much. joining us live from rome. andrew? let's do a quick recap of what happened in the u.s. at the
end of last week. stocks rallying on friday as italy and greece took further steps to manage their ongoing debt crisis. investors encouraged by a better than expected consumer sentiment report. u.s. fdz confidence is now at its highest level in five months. the dow having a good day, up by more than 2%, the nasdaq as well, the s&p, a fraction after 2%. it looks at this stage we will get a follow-through. futures pointing slightly higher when wall street opens in a few hours from now. still ahead here on "world business today," lightening its load, there may be hope in the air. we head live to mumbai for the latest. improve the health of your skin with aveeno daily moisturizing lotion. the natural oatmeal formula goes beyond 24-hour moisture.
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as you can see, it's just 5:15 p.m. here in hong kong. the days are drawing in, sunset there in hong kong. welcome back. you're watching "world business today." we're live from london and, of course, hong kong. let's turn now to the latest developments from india and kingfisher once touted itself as india's fastest-growing airline. now mounting financial problems are pushing it to scale back. the cash-strapped airline has canceled 40 flights a day as it scrambles to pay employees as well as meet its debt obligations. ma what's going wrong, malika? >> reporter: it certainly was a fast-growing airline. it was the airline which offered you the good times. the owner of the airline is known as the king of good times. it was the airline that tried to
bring the fun and romance back into flying but it really is in quite a mess these days. it has a massive debt burden. some estimates say its debt burden is to the tune of $1.3 billion which is heavily cash strapped. some people say it is on the verge of bankruptcy. you've mentioned it had to cancel a number of flights last weekend. passengers are angry. king fisher is trying to figure out how to pull itself out of a mess. there have been a lost speculation about what kingfisher is going to continue to do to continue flying. the company's ceo has come out with a statement clarifying what kingfisher plans to do. he says going ahead, kingfisher will drop several unprofitable flights and it will reconfigure its fleet. and it hopes to have all this done within the next three months. once it's done, kingfisher will fly 300 flights daily instead of the current 340 flights. it's saying it does have a
restructuring plan in place. kingfisher has been very clear today, clarifying that it has not asked the indian government for a bailout. it's only asked if banks can raise its limits. there has been speculation over a bailout over the last couple days, that king fisher is in fact asking the indian government for a bailout. that itself immediately created parties and industrialists. it's a free market. if companies have to die, they must die. >> mallika, the problems facing kingfisher are they unique to the country itself or is there problems in the industry, right across the aviation industry at the moment? >> to be honest, kingfisher is no exception. these companies have to pay massive, massive fuel bills. the reason it's so massive in india is because fuel is heavily
taxed. also we've seen passenger traffic, airline passenger traffic grow enormously over the last four or five years. when you travel domestically in india, you rarely get on a fly and have the seat next to you empty. the airlines haven't been able to increase fares because it becomes such a competitive industry. it really has been struggling to pay their massive fuel bills and get the passenger on board. this is a problem right across the sector. one thing many airline companies have been fighting for is government airline involvement. they want the government to allow foreign airlines to take a stake in domestic characters. this might be the thing that pushes the government into doing just that. >> more foreign direct investment. mallika kapur, joining us live from mumbai.
thank you. vijay mallya, "forbes" recent recently put him at over a billion dollars. the owner of kingfisher, the biggest selling beer in india. he's been expanding aggressively, aquirg the scottish whiskey whyte & mackay in a high-profile deal in 2007. he used the kingfisher beer brand to launch kingfisher airlines. the airline has tried to appeal with premium services on domestic and international roots as we heard from mallika and certainly vijay himself is never far from the sport. he's known for his forets into sports and politics. he is a member of the indian
parliament. he also owns the force india formula one racing team as well as a cricket franchise in the indian premiere league. a lot of people around the world will be dealing with how he deals with this kingfisher problem very closely, charles. >> indeed. most of the world is fretting about the recession. that is not the case at the dubai air show. who need
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this is what the currency markets look like as i speak. you see there, the euro and the pound both down against the u.s. dollar. the euro down 1.36, 1. 37, and the yen strengthening against the u.s. dollar, something that japanese policymakers don't want to see. welcome back. you're watching "world business today," we're live from london and hong kong. >> it's only the second day of the due bay air show but boeing has received a record order for its 777 jetliners. gulf countries spend billions on expanding their fleets. signs of a global slowdown are nowhere to be seen. we have more from the air show. >> reporter: the 12th edition of the dubai air show commenced
with the customary pomp and ceremony. the dubai ire show kicks off with a flying start. the ruler of dubai inaugurated the show, heading a royal tour through the festivities. inside these corridors are where the deals are made and emirates announced a record-breaking order for boeing. >> this order will establish our long-standing commitment to boeing. the 777 are in addition to the 777-ers emirates. >> reporter: the order for the 50777s is worth $18 billion. the airline has the option to buy 20 further planes for $8 billion. the boeing dream liner also
to be slipping away subcertainly in the case of the paris cac current and the xetra dax. definitely a case by the rumor of new governments in italy and greece. off by a quarter percent for the xetra dax and the paris cac current off by 0.5%. scant gains for the zurich and the smi. andrew? >> having said that, investors in this part of the world seem to be buying. wall street had a strong run on friday and that rattled through to the asian markets, obviously encouraged by developments over the weekend in italy. all the major indices finishing healthily high. the nikkei up 1%, after japan unveiled its latest economic growth numbers. the economy expanding by 1.5% in the third quarter.
which is a healthy number if you annualize that. extrapolate that growth after a four-year, that means the japanese economy is growing by 6%. that growth being helped a lot by a rebound after the march tsunami, the earthquake and tsunami which really hurt manufacturers in large parts of the country. as i said, hong kong and shanghai up almost 2%, australia up but not by nearly as much. now, in other news, the shanghai stock exchange says that foreign companies will soon be allowed to sell their own stock in mainland china. that could lead to a number of new listings there. at the moment, investors are restricted from buying shares abroad by chin in's capital controls. not yet known when the launch will take place, charles. u.s. stock markets are on track for a higher open on monday. that follows gains around 2% for the dow, nasdaq and s&p on friday. let's take a look at what else we can expect on wall street this week. corporate earnings season
and inflation will share the spotlight on wall street this week. i'm alison kosik at the new york stock exchange. earnings season is winding down but not before big retailers post results, including jcpen y jcpenney, target and walmart. we look at inflation at both the wholesale and retail levels. the consumer price index jumped 3.9% in september from the year before. that was the biggest jump in three years. producer prices also rose more than expected. also on the docket, readings on retail sales, manufacturing and weekly jobless claims. we'll get numbers on new construction, permits for future building projects fell. the largest conference devoted to developing the marcellus shale region will take place in pittsburgh, pennsylvania, this week. it's a 600-mile long rock formation rich in natural gas that extends deep underground from ohio and west virginia into pennsylvania and new york.
most companies that mine marcellus employ a controversial drilling technique, known as frac'ing. finally, the green bay packers are selling stock to the public this week, their first offering since 1997. shares will lookly top $200 apiece. but since investors can't sell them and don't get a dividend, it's more about pride of ownership than a sound investment. that's a look ahead at the week on wall street. i'm alison kosik at the new york stock exchange. he's one of the more influential voices on world financial markets. when we come back we'll get the open from the manager of one of the biggest bond funds in the world. stay with us. and i'm gonna need to see a receipt for that watch you're wearing. you know, you really should provide us with a checklist of documents we're gonna need up front. who do you think i am? quicken loans? at quicken loans, we provide a checklist
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>> irlly signs are emerging that bond markets are preparing for a new target, french government debt. last week the interest rate premium that france has to pay to finance its government's borrowings rose to its highest since the creation of the euro zone. that is a worrying indicator for one of europe's largest and most stable economies. yields on ten-year government bonds have since fallen slightly to 3.35% to 3.46% on friday. sorry about the spelling of yields there. investors are concerned about the heavy exposure of french banks to risky italian debt, they have lent around $400 billion in italian government and commercial debt. france's president, nicolas sarkozy has vowed to defend the country's aaa rating agency after rating agencies warned it could come under review, andrew. >> the crisis in europe, charles has many analysts call for the
ecb to play a greater role in controlling the spread of debt. pacific management investment company better known as pimco is a bond fund manager that controls about $1.3 trillion worth of bonds. earlier our fareed zakaria spoke to mohammed al aryan. >> we waited so long, there is no costless solution. every solution has collateral damage and unintended results. the question is not the cost, it's whether which alternative has the fewest costs. >> there's one powerful actor from whom we don't hear very much. that's the european central bank. couldn't they do a version of what the federal reserve did when we had our crisis and say we're guaranteeing everything. what that will do is make the
markets stop trying to attack all these countries because they'll feel it's futile. would that work? >> the ecb like the fed, like the imf is a monetary institution. they can build bridges but they only build bridges. they need to be a bridge to somewhere and so far, the ecb has been a bridge to nowhere, not because of their fault, but because the others haven't stepped up. >> others meaning? >> the individual countries that need to step up reform effort, meaning germany that needs to decide how to strengthen the institution and private creditors who also have to contribute and carry part of the burden. >> and the united states all it can do even though this potentially has a huge impact on us, europe is our largest trading partner, our banks are connected, we can just watch from the sidelines. >> first, it has privately urged the europeans to get their act together. when that didn't work it went
public. it started to publicly lecture europe. it didn't go to well. europe said wait a minute, we're here because of what happened to you in 2008. i think the reality is that every country, the u.s. and others, have to hope for the best but plan for the worst, which means have plan "b" ready to know that if, god forbid, something really term were to happen to europe, how would we insulate other societies from this tsunami wave that would be coming over? >> you have italian debt on your books. what would you do? >> first italian debt is deminimous. the markets don't distinguish. i to you back. on wednesday last week, when suddenly people saw the italian yield go up 7%, 499 stocks in the s&p, 500 companies, 499 were
down. now, there's no way that 499 companies share the same fate. but the reason why they're down is because investors are human beings. they said just sell. therefore, these violent moves in markets create opportunity. so it's about being generally defensive and selectively offensive. >> warren buffett said be greedy when everyone elimination is scared and be scared when everyone else is greedy. >> correct. and have the stomach for it. >> good advice all around there. now as europe struggles to save the economies of greece and italy, the question that hangs in the air is of course, it's underlying what el-erian was saying, can they survive intact? we have that part of the story. >> reporter: gone, four prime ministers in less than a year. the problem that defeated them live on, governments with chronic debt and a european union that's far from united. the sing the european currency
was introduced with great fan fa fanfare 12 years ago. other policies were left in the hands of governments. greece, like spain and portugal, pore rowed plenty and built generous welfare systems on economies that couldn't support them. in italy protests erupted whenever budget cuts contemplated. now comes europe's moment of truth. >> i fear we're getting close to a disorderly collapse. we see early signs of a credit crunch within the euro zone area. >> reporter: writing in "the financial times" john major said for greece to stay in the euro zone, wages must fall, unemployment will rise and social unrest will increase. the severity of this medicine may nobody the bearable in a liberal democracy. as for the new government led by
democrats -- >> there will be protests again the governments and they'll say you're not our government, you're germany's government. you're the government that our pay masters have put in place. >> reporter: plenty of greeks protest they've been bullied by germany, two-thirds of germans say they're fed up with bailing out the greeks f. you create a monetary union with incompatible economies, germany at the core, the periphery, something has to give, it's very hard for countries to leave the euro zone and it's hard for the germans to bail them out. >> reporter: so save the euro zone, germany has to underwrite the process and the european central bank needs the firepower to manage it. >> the only realistic thing that would be able to do this, germany as a country and the ecb as the financial vehicle with sufficient clout. and that's difficult. it's difficult for germany to
accept. and it's difficult for the ecb to do at the moment because it would be in direct breach of the lisbon treaty. >> solidarity with the rest of the world. >> reporter: the lisbon treaty, 784 pages which had to be ratified by all 27 eu members, one reason the eu has never been the definition of agility. now it badly needs to be. the bigger question, can the less dynamic economies of southern europe be made to behave like industrious germany? if not -- >> the core countries will say that was the best shot we had. these people are just not going to do what they're supposed to do. we're not going to allow the european central bank to print money to bail them out. we're not going to change our own policies. actually one way or another we'll have to dismantle this. >> reporter: if the euro zone can be saved by binding its members tighter together, what about the eu members, britain, poland and sweden that never
adopted the single currency. they'll be even more out of step. the euro may survive but the european union may begin to fall apart. cnn, atlanta. a week before parliamentary elections in spain, protesters are back on the streets and young people are among the most frustrated with the current system. we'll look at what they want from the next government when we come back.
gold is back in favor if it's ever really been out of favor the past few years. it's coming off a fraction, down nearly $8. trading still at $1,780 per ounce. welcome back, live from cnn hong kong and london, you're watching "world business today." as european leaders work to reign in the european debt crisis, people are speaking out. especially in spain where unemployment is excruciatingly high, especially among young people. al goodman reports from madrid over how protests over cut backs have been going on for months with no end in sight. >> good morning. >> reporter: this man has been to a dozen economic protests in madrid since last may. he doesn't see the one this day as a reputation for others. >> each protest is not just one more. many young people and workers
take part. some are bigger than others. what's important is that it turns up each team. >> reporter: we ride the metro from his neighborhood and downtown. he's waited tables during the summer but with unemployment among spain's young people, running at about 45%. twice the national average. he sees his prospects for finding a job bleak. >> translator: it's a very precarious situation for young people in spain and getting worse, like it is for youth in greece and portugal. >> reporter: which is one big reason he's come to this protest. it starts out with a standoff. less police, more education they chant, criticizing education cutbacks in spain's deep economic crisis. spain's parliamentary elections are next sunday. polls say the opposition
conservatives will beat the incumbent socialists, more austerity is predicted. >> translator: i think it's necessary to vote but that's not enough. people feel the elections won't change the situation. they won't stop the cutbacks. >> reporter: the demonstrators want deep changes in spain's political and economic system and they say they'll keep protesting until that happens. a few thousand turn out this day, fewer than a protest just a few weeks ago, taking a turn in front of city hall, they head to the central plaza where spain's economic protests began last may, six months of demonstrations and no sign of them ending in spain. >> translator: i think there's a pent-up rage. the workers and young people of this country are fed up. it's been years of frustration over cutbacks and lower salaries. >> reporter: the march finally stops and the now familiar people's assembly begins. guerrero says it's been hard to reach agreements at these day baits with so many opinions
about exactly what needs changing and how. yet they demand to be heard. al goodman, cnn, madrid. >> certainly no easy solutions there. let's switch gears now, get a check on the world weather for you. the philippines is bracing for heavy rain, storms are heading towards parts of europe. let's go to meteorologist ivan cabrera. it sounds pretty grim out there. >> it always does, doesn't it? yes, indeed, we talk about grim weather here a lot pft situation in the philippines could have been much worse. we've been monitoring this for the potential of tropical development. it's a tropical low but it has not, thankfully, become a tropical storm or typhoon here. it is bringing a deluge to the philippines. if you're traveling to manila for business over the next couple of days, pack the rain gear. it is going to be raining and raining heavily. the rain will be coming down so heavy, i think we are in store
for some flash flooding over the next couple of days. and then the low really tries to continue to get going here. you see kind of a spin there in the south china sea. we'll monitor that for potential development eventually here. right now, the big word is a lot of rain in the philippines, including metro manila. we'll watch that, upwards of 250 millimeters not out of the question. moving to the west, this is an area we've been monitoring over the last several months with devastating floods in thailand and bangkok. dry for now. in fact, the important part here is that over the next three months, which is the dry season, we're beginning to have a normal dry season. so that could certainly always change with each year here. so we are glad to see that the outlook for the next three months is a dry one, which is pretty typical, you see less than 10 millimeters of rainfall per month. bangkok, dry, showers and storms well to the south in the gulf of
thailand. that's where water is still encompassing many neighborhoods here, still knee deep in some areas, still making its way ever so slowly down to the south. as we check in on the forecast here, we'll have temperatures in the low 30s, that recovery will be under way again with no additional rainfall. so that is the good news we'll be ending with. charles and andrew? >> okay. >> good to know there is a bit of good news. >> thanks for that, ivan. that's it for this edition of "world business today." thanks for joining us. i'm andrew stevens in hong kong. >> i'm charles hodson in london. you're watching cnn, the world's news leader. good-bye for now. -- captions by vitac -- www.vitac.com