those countries are spain and italy. taken together, they are too big for europe's they'll of funds to rescue, and that is raising pressure to find a new approach to the crisis. >> bold new steps expected from germany at the eu summit, but chancellor angela merkel is staying focused on a growth package already agreed upon. "we have worked out a good program, especially regarding future investments and creating job opportunities for young people he can -- young people." proposals from the european union president are far more treasury and a banking union with central supervision. the italian prime minister wants the summit to address borrowing costs. he has found an ally in the french president. >> i have come here to find very quick solutions to support the countries facing the biggest problems on the markets. they have already gone to great lengths to consolidate budgets. >> spain's prime minister says financing is his most pressing issue. he will be urging other leaders to act in what is sure to be a long and difficult

it happens in italy, and it happens in other countries. this is also an important issue. >> he said he will urge other leaders to ease spain's borrowing costs by allowing the bailout funds for the european central bank to stabilize markets. about high unemployment and an uncertain future. and they have reason to be. spain's central bank has warned that the contraction of the economy is picking up pace. spain has warned that if it cannot finance debt, it could eventually need a full-blown bailout. >> there are those that say the crisis in spain proves the case for controversial eurobonds, despite the strong opposition from germany we have been reporting on. for some analysis, we spoke to a representative from the foreign policy think tank, carnegie europe. >> i think it is practically inevitable, whether it will be eurobonds or some kind of redemption fund. it is a question of technicalities, but i do not think that we can avoid them entirely, some form of sharing the debt, and the chancellor is against them. at some point, if push comes to

interest on spain's 10-year bonds was close to 7%, and 6.2% on italy's. the two countries see the summit as a success and now hope they will be able to raise money on the markets more cheaply. >> we have done quite well at this summit with respect to solving our problems. spain cannot go on financing its debt at those interest rates anymore. >> country's in trouble are now said to get emergency loans without the imposition of further austerity measures beyond those already agreed upon. >> so, the news from brussels could be a big boost for madrid and for rahm, too. how will the esm function? >> we have this look at the workings of the eurozone's new rescue fund. >> [speaking foreign language] >> sorry, that was supposed to explain how the esm works, but of course that was in the wrong language. >> a bilingual channel, after all. >> the steel made in germany has long been a mark of quality that is coveted around the world. >> but how about made in greece? since the debt crisis struck the country did of years ago, some citizens have been forced to come up w

germany and italy tonight. and germany, italy and spain today in bruise sells. where we going to end up at the end of this summit? what, if anything, will have been agreed? >> reporter: well let's put it that way in terms of the results the market can trade on not an awful lot coming out not the least of all because angela merkel is halfway through the first leg of the summit is bringing it back to berlin where she has a crucial dare i say the same word vote in two houses of parliament where in fact the germans have to wade through, have to approve the legislation for the fiscal pact and important the esm, which will go through for all intents and purposes but after that there are works because the federal president has been asked by the constitutional court no not sign it until the constitutional court decides whether this is in breach of the constitution. this tells you how complicated europe is. what outcome can there be if at all they can agree on two little thing, one of course which essentially already agreed on gang of four meeting in rome the other week

here is what we have for you today -- the deep fears of people in italy. largely exempt -- why the greek orthodox church is not affected by the crisis. and sniffing out winners for the euro 2012. regions, famous for producing fast cars like ferrari and lamborghini, balsa macall vinegar. it is very important for italy's economy, especially now in the current crisis that is the -- particularly affecting south of europe, but life has come to a standstill since it was hit recently by two major earthquakes. the first was the heaviest quake in the region in 500 years. more than a dozen people were killed and thousands lost their homes. those houses are still standing do not dare return yet. >> the call of the birds is the only sound that interrupts the sound of the silence. in this area of northeast italy, many historic city centers are virtually abandoned. the many aftershocks that continue to hit the stricken region make clearing the rubble impossible. the town hall clocks stopped at 4:45, then it's after the as quake hit on may 20. most of the old bell tower

germany and italy they thought that this was again they so very neatly. and then i asked a control at least the reticle control by the eurostar to say look is it and they said no. and so that we could cheat everything when they arise and that probably i remember that helmut kohl say look we did the big africa now we shall call played it. in the next two years but then europe changes what will greece leaving the euro do to your country italy not to my county around but to all the country the banking system with big disarray and them and that is clear. you know it means the domino effect. if you keep getting worse and you gain a lot of money because of speculation then you start with portugal ireland spain italy france and then germany germany angry savalas li different can they really share a single government and economy with very different good yes look california they have california budget is much more than good but nobody backs california. said ten degrees past b.k. because the greek government cheated there is clear. no doubt they have completely che

in two thousand and three i rise in the program again and france germany and italy they thought that this was a game they survived in need and then i asked at least they are required to call controlled by the eurostar and they said no and so that we could cheat everything when a rise of the program go i remember that helmut kohl say look we did the big africa now we shall call plate eight in the next two years but then europe changes what will greece leaving the euro do to duell country italy not to my country all but toward the country the banking system. really big disarray and then in that case korea you know the domino effect if you keep getting worse and you gain a lot of warning because of the collision then you're stuck with for. a italy france and in the end germany germany and greece of all sleep different can they really share a single government and economy with very different who yes look california but california budget is much worse. but nobody expects california because of the greek government cheated there is clearly no doubt they have completely cheated and the divis

but italy has an advantage the others do not. some of the best known and respected brands in the world. how is business? >> pretty good. i mean, 2011 we closed the best year ever in terms of sales and turnover. >> reporter: this ferrari factory in the north is a shining example of what the country's economy still does right. italian leaders say it's products like this that will help this country grow out of the recession. the makers of ferrari assure me this is a very smooth ride, but the road ahead for italy's economy might not be. this weekend a government was elected that may oppose the bailout agreement and if that happens italy could be pushed out of the eurozone. >> if you see the dominos and greece and spain the next one behind that, the obvious choice, is italy. >> reporter: the fourth largest economy in all of europe, italy's collapse would bring worldwide pain and something a coin toss into the fountain will not be able to wish away. stephanie gosk, nbc news, rome. >>> here in this country in pennsylvania prosecutors in

italy won 4-2 and penalties. this is the sixth time they have lost in a tournament on penalties. >> italy will now face one of the tournament favorites, germany, on thursday. the germans have a high octane attack but this is as far as they got against the italians in the world cup six years ago. >> what are their chances? here is the german captain on that. >> they're very clever. they are tactically very adepts. we know that about the italians. they are difficult to be. -- to beat. we're looking for a classic game of football. we know it's never easy against the italians. hard work is always required, and that will be the case in the semifinal. >> impressive possession soccer. >> that could be a challenge for germany, whose young players have one goal in mind, winning the tournament. >> there is no denying that the euro 2012 can be a real zoo. tough conditions and lots of spectators, just like the real zoo in gadansk. this is where they are preparing for their clash in warsaw where they will try to improve on th

with a guarantee of the gold only by the central banks because italy and try. to. put as a guarantee put as a guarantee for structural pipeline. to collect you know that to give to children to get into that we want to stick together and we put our assets in thinking we can find thousands of this technical problem the real difficulty is that now the different government has been slowing game with the. sending of the euro it says appears to war isn't the problem the people don't want to be controlled from brussels because it's fundamentally undemocratic with an elected leaders and the crow that they didn't want to have and out. looking in to the nation states is completely different from them. because east korea look now at the screen that all the governments. in rosing they how are they losing really the basic. power of the democratic world. and so. be quiet because they have to take this if you in one direction not about that they cannot touch. tax capital because it's close to wane and so they hold the european states united kingdom included it's are not for the l

italy said, no, no, this isn't really happening. the denying that precedes the truth of the bailout every time. >> if you look at interest rates, you shouldn't be surprised. we look at north dakota and see if they should abolish state's local property taxes. if they do so, they will be the first to do so and living in new jersey, we're one of the highest in the nation. what do you think? >> local systems should be controlled by the governments, not the state. this issue because north dakota has gigantic surplus from the oil boom, good for them. they shouldn't be transferring all that money to the local governments, already promised, a bad idea. >> do you think it's a bad idea, john carney? >> i think it is a great idea. you can own property without having income and lose the property because you can't pay the taxes on it. i think that's basically immoral. i applaud the north dakotians for getting rid of a tax you don't need. >> the government can confiscate your bank account if you don't pay. >> it's made out of money you're earning

this game but it never actually managed to beat italy in a major tournament a bad reputation is going to live on for about two years at least the germans really failed to show the food football that sprayed them tracts of over the last four games to be turned into flames during an excellent job of stopping the likes of. mario gomez from unfortunately for germany and that was semi final hurdle once again. on the. do nothing happens of we didn't we didn't try. really defenses here so it's not like you games before well italy just played better and i guess we just have to prepare for the next term will play better has been a fine performance by italy to overcome a very strong german side and i'll be heading to care full of confidence that they can win yet another major tournament richard pombo three d'arcy was now another football news russian runners up for moscow are set to sign brazilian midfielder removed on a long term deal the capital club have reached an agreement with the twenty one year old current side fast from rio de janeiro but the copper to brazil holder is jude to undergo

really defenses so not like the games before or italy just played better and i guess we just have to prepare for the next tournament and play better has been a fine performance by italy to overcome a very strong german side and they'll be heading to care full of confidence that they can win yet another major tournament richard pombo three d'arcy. another football used russian runners up spot moscow is set to sign brazil midfielder removed on a long term deal the capital club have reached an agreement the twenty one year old current side faster the gamut from rio de janeiro but the copper to brazil holder is due to undergo a medical before putting pen to paper one reported ten million dollars deals with low scored three goals in fifty seven appearances for vasco da gama last season and he would join fellow brazilian midfielder. andy striking have developed and at sparta. basketball's biggest rising star anthony davis has been selected by the new orleans hornets and the n.b.a. draft as expected the six foot ten nineteen year old was the first day for the hornets davis was a college bas

germany and italy they told that this was again they survived in need. and then i ask it of control at least they are a threat to control by the eurostar face looked. and they said no. and so the greek could cheat everything when they arise and that probably i remember that helmut kohl say look we did the big africa now we shall call plate. in the next two years but the new europe changes what will greece leaving the euro do to your country it's really not to buy counter-rally but to all the country the banking system very big this other way and that and that is clear. you know it means the domino effect. if you keep getting worse and you gain a lot of money because of speculation then you're stuck with portugal ireland italy france and then germany germany and greece of falsely different can they really share a single government and economy with very different mood yes look california they have california budget is much more than good but nobody attacks california. said going to greece past behave because the greek government cheated that is clear . no

italy has been in the eye of the eurozone storm for weeks now and while driving us there mario monti may have returned from the e.u. summit as a where he's facing tough times a home italians are becoming increasingly angry about the government's astaire to push with alternative political forces gaining popularity and it's already sarah for us reports some people seemingly would rather trust a comic and their prime minister. time that it's least economic situation it's no laughing matter so it might come as some surprise that it's full of a t.v. comedian that take a piece of the latest character to still italy's political spotlight almost as the euro crisis has continued voters have become increasingly disillusioned with mainstream politics and a radical a populist breed and grassroots movements such as youth organization the right and i think growing in force and popularity that they could alone and his five star movement now thrive online shunning traditional media and gaining huge respect with its li younger generation something that technocrat premier nary a monti to say far faile

position in a very significant city in italy and other places and i think he's filled the vacuum and so the parties on the right on the left the democratic party the party the mainstream center left is very worried by the threat he poses now whether his five star movement can become a political party i'm very doubtful of that but it certainly has struck a chord with a certain type of you know young activists who are fed up with italy's preschool class and it's not just the populations of greece spain and france has seen formally dispels by the own going quite is a movement like the pirate party in germany and five star in italy are gaining solid ground as the euro is in state looks increasingly wobbly i think it's going to survive even if. you just want to survive. we need a big change could it now be it's least form a funny man who find a solution to the crisis it leaves no stranger to performance in its parliament but the decisions of the last flamboyant leader left the country with one in three unemployed myatt in debt with its economy sinking the euro project might now seem to ma

reports that italy's economic situation is no laughing matter so it might come as some surprise that it's full of a t.v. comedian that. is the latest character to still italy's political spotlight how much does the euro crisis continue voters have become increasingly disillusioned with mainstream politics and a radical a populist greed and was waiting movements such as youth organization here in rome to have been growing in force and popularity that take willow and his five star movement now thrive on ly shunning traditional media and gaining huge respect with its younger generation something that technocrat premier nary a monkey has a far failed to do they're all whispering about young people but young people are not really representative of the stone goes off people in government and trades are very often. old people which. took the right feeding off what you see really happening in the county we're trying to make you to change that's the point you have tried with some kind of policies which is merely bodies and policy he wants to talk about it and now it's austerity so it's sellin

comedian that take a piece of the latest character to still italy's political spotlight almost as the euro crisis continue voters have become increasingly disillusioned with mainstream politics in a radical apocalypse bridge and grassroots movements such as youth organizations they write and i think growing in force and popularity that they could alone and his five star movement now thrive online shunning traditional media and gaining huge respect with its li younger generation something that technocrat premier nary a monkey has say far failed to do they're all whispering about young people but young people are not really represented in this don't think it goes off people in government. trades are a very often. old people which. don't have to the right feeling of what use is really happening in the county we're trying to make you to europe change that's the point you have tried with some kind of policies which is the only bodies and policy if you want to talk about it and now it's austerity so it's selling everything the state does not have to control anything about the economy but it

the euro zone's third largest economy italy's prime minister a technocrat name mario monti is openly acknowledging that his country could be the next to fall and the new york times is reporting quote the main fear is that italy cannot grow its way out of a recession fast enough to pay a mountainous national debt other concerns include the fact that italy will have to shoulder a large portion of the spanish bailout bill even as a grapples with its own sharp economic downturn because italy does not have enough economic growth to generate the money itself the government will probably have to borrow it high interest rates adding to an already have the debt load so as crippling austerity pushes greece to the brink and leaves spain in need of a bailout which could threaten the entire euro zone british voters are now worried that their country could be next conservative prime minister david cameron brought austerity to the u.s. in two thousand and ten and since seen virtually no economic growth and a new poll shows a seventy three percent of british voters think their country is. moving in

for one hour where we now know the semifinal lineup at euro two thousand and twelve italy securing the last spot following a penalty shoot out victory over england on sunday it was the italians who had dominated both the normal and extra time in kiev in the post three times but neither team could find the back of the net penalty shoot out was needed to decide to tie italy with enough force so much to the delight in rome alexandra de amanti the hero after missed english efforts from ashley young and told us through to the last fall where they will face germany. where for further analysis on the game and the tournament as a whole partridge caught up with the chief football writer a british newspaper the daily mirror martin lipton first stating that italy were deserving winners. in the first fifteen minutes they were by far the better team england showed great courage to visit great desire in the end it wasn't quite good enough and of course the familiar feeling from twelve yards so how do you think italy would do against germany that. they could have a twenty percent chance germany or se

but italy has an advantage the others do not. some of the best known and respected brands in the world. how is business? >> pretty good. i mean, 2011 we closed the best year ever. >> reporter: this ferrari factory in the north is a shining example of what the country's economy still does right. italian leaders say it's products like this that will help this country grow out of the recession. the makers of ferrari assure me this is a very smooth ride, but the road ahead for italy's economy might not be. even if italy can make the right reforms, time is running out. some things are just beyond its control. this weekend neighboring greece may elect a government that opposes a hard-won bailout agreement. if the deal is broken, greece could be pushed out of the eurozone. >> if you see the dominos as greece and then spain, the next one behind that, the obvious choice, is italy. >> reporter: the fourth largest economy in all of europe. italy's collapse would bring worldwide pain and something a coin tossed into the fountain will not be

germany italy a true clash of the titans. these two countries to establish themselves as powerhouses of european football over the last seventy years germany have looked imperious so far in this tournament played for one for their supporters would have preferred a semi final clash against england but instead they will have to pick their wits against an italian side who have never managed to beat a major tournament was a little bit of course and a lot of my friends saying so we are not able to beach to tell you but for me it's clear this time it's it's the exception that's going to govern the route. no one gave it much hope before this tournament started they were humbled by rusher and the only warm up game was some of the players were caught up in yet another corruption scandal on the eve of euro two thousand and twelve. in the first part in first turn easily was not so good the about we played that we made people think that we were not so good then than we do at the end you show us so the last match against england was perfe

in the next two years but then europe changes what will greece leaving the euro do to your country italy not to buy counter-rally but to all the country the banking system. will be this other way and then and that is clear you know what i mean the domino effect if you keep getting worse and you gain a lot of money because of speculation then you're stuck with portugal ireland italy france and then germany germany and greece of falsely different can they really share a single government and economy with very different good yes look california by california budget is much more than good but nobody attacks california because the greek government cheated there is clear no doubt they have completely cheated and the devil was six seven current high level was declaring it so the day so is not is not to be staked it is a by doing. so you have to admit no targeting to push that. how do you stop financial markets the credit rating agencies moody's fitch standard imposed having with choke hold on europe all of the result we were way out they don't attack the united states or china because they are

plus italy hail super striker mario balotelli ahead of their final showdown with spain at the european championships. and the ninety nine tour de france gets underway with being country lara grabbing the yellow jersey on the streets of rio. let's start there with wimbledon where most of the top seeds progressed on saturday in the men's draw joel free to song a big go get to make ground for while spanish there is a fair to seventy feet former finalist andy roddick after coming from a set down and argentina by martin del potro got the better of kenya scored from japan while the white american five set up between sam querrey man in chile age there you can't cheat it coming out on top winning the deciding set seventeen games to fifteen that match lasting over five and a half hours meanwhile lucas russell's wimbledon dream has come to an end after beating second seed rafael nadal the czech lost in straight sets to philipp kohlschreiber the german relief got past the man who called such a big upset just days before the. world of course i knew. for sure in a lot of confidence. i think it was

so, we got five and ten-year tomorrow out of italy. what is a yield that is going to be a bad result? bearing in mind we're in a period of elevated yields. >> yeah. well, you know, in a sense of the auction itself, we couldn't expect the significant jump away from current prevailing market levels. the market will be looking at cover, you know, for these auctions. with regard to italian auctions, you know, there is so much domestic demand for this government debt that it's almost -- it's more -- much more difficult with regard to italy to get a true measure of broad international demand for the government debt. but when we start moving with regard to italy towards 7% yield level, of course we're a long way away from that at the moment, but these were the yield levels where approximately at these levels, above which the market starts to get extremely edgy about the viability of these sovereigns within the euro itself. still a good way away from that in terms of, you know, certainly italy at the moment but the direction is concerning for

italy is as well. the national statistics office listed bddp as falling at 10% in the first quarter this year. >> that is the third quarterly decline in gdp in a row in italy and the biggest since early 2009. their growth rate has been the slowest in the eurozone over the last decade and the stagnation is expected to continue this year and next. after a strong rally in early trading on monday, the picture turned mixed during the afternoon as the reality said then that the eurozone debt crisis remains unsolved. that deals -- debt yields rose in spain and italy. 4 look at german shares, we have the summary from our correspondents in frankfurt. >> in the morning, the investors started fireworks to cheer the rescue plans for the spanish banks, but in the evening these fireworks turned out to be a flash in the pan. a few investors said the banking sector is not the biggest problem that the spanish economy is carrying. the biggest problem is the high unemployment rate, as they were saying. and also, on the n

i think in two thousand and three i arrived at the program again and france germany and italy they thought that this was a game they serve every need and then i ask at least they are required to control by the eurosport and they said no and so that we could cheat everything when i have eyes that they probably know i remember that helmut kohl say look we did the big africa now we shall call plates in the next two years but then europe changes what will greece leaving the euro do to your country italy not to my country all that but to all the country the banking system will be a disarray and then and that is clear you know what i mean the domino effect if you keep getting worse and you gain a lot of money because of speculation then you start with portugal ireland italy france and then germany and greece of falsely different can they really share a single government and economy with very different mood yes look california by california budget is much more than greece but nobody attacks california because the greek government cheated there is clear no doubt they have completely cheated and th

germany italy a true clash of titans. these two countries of established themselves as powerhouses of european football over the last seventy years germany have looked imperious so far in this tournament played for one for their supporters would have preferred a semi final clash against england but instead they will have to pick their wits against an italian side who have never managed to beat a major tournament was a little bit of course and a lot of my friends sing so we are not able to beach to tell you but for me it's clear this time it is the exception that's going to govern the route i think we don't remember the states i think that the media they always try to remember us but the fans especially the younger friends they don't even remember ninety seventy of the match of the century or even the two thousand six game we lost in the one hundred in one thousand and one hundred twenty minutes was bad luck and tomorrow we try to win within ninety minutes. no one gave it much hope before this tournament started they were