12/06/2012 World Business Report

protestors last year. Now it is time for World Business Report.

Optimism fades fast that a multi- billion dollar bail-out of Spain's

banks will not ease the eurozone debt crisis.

A Asian stock market's retreat of its Greece worries investors. And

Apple's war with Google heats up. It announces plans to kick Google

Maps of its iPhone and replace it with its own mapping application.

Despite the injection of 100 billion euros into Spain's failing

banks it didn't take long for the grim headlines to return.

Now Asian stocks are falling again this morning after declines in

Europe and the US. On Monday financial markets temporarily

showed signs of relief that Spain's banks would receive an infusion of

money. But by the end of the day anxiety returned and Spain's stock

index finished down half percent. The interest rate on its 10 year

bonds jumped to 6.5%. Investors then turned their attention to

Italy after it confirmed it had fallen deeper into recession. The

rate on its 10-year bonds jumped to above 6%. To make matters worse,

Cyprus, a country heavily dependent on Greece, said it is considering

applying for an emergency loan package for its banks. We go to

Singapore to see how the market there are dope-testing this

information. Declines, yet again. Absolutely. A reversal of fortunes.

After Monday's rally, most of the Asian bourses are in negative

territory. The spread of Europe's debt crisis will not stop and that

will kick off a contagion. The pay- out for Spain's troubled banks

could further trouble its economy. The dunes 17th Greek election made

it ten minutes fate within the common currency bloc. I spoke with

an analyst earlier he said there if the European Stability Mechanism

was used for the rescue a would be subordinate to official creditors

and face losses in any debt initiatives.

I'm joined by Jeremy Stretch, a Currency expert from CIBC World

Markets. Not a surprise in a way, but the optimism did not last very

long. Yes, I think the markets had a degree of scepticism once they

saw the statement from the meeting at the weekend. They found there

were many caveats in the detail. It is a potential of up to 100 billion

euros and we need to see how big it is. At the same time, 100 billion

euros is a lot of money. Do you think we are becoming desensitised

to the huge amount of cash being ploughed into the eurozone to prop

it up? Yes, we are talking about Taliban numbers and politicians

describing massive amounts of capital. We are laying more debt on

the Spanish sovereign state by the banking system. That is part of the

problem. Spain is already in recession and its property market

has tanked. What should we look out for next? Are the Greek elections

the next thing on the raider? They hoped they could fix the

problem with the Spanish banking a out that it could have had an

unexpected consequence for the Greek elections. The assumption

that Spain will be getting this money at a lower rate of interest

and other Barack countries, particularly Greece. That could

play into the hands of the anti- austerity parties this weekend. It

could have the UN Independent consequence of getting the anti-

bail out parties across the election victory Lyon. Angkor for

coming in. -- thank you. Apple has upset the applecart in digital

mapping. The iPhone and iPad maker says the next version of its

operating system for portable devices will no longer include

Google Maps. The move was the centrepiece of the company's

keynote address on the first day of its annual developers' conference.

Mark Gregory reports from New York. Thousands of Apple Mac faithful,

application developers from around the world, gather at it in San

Francisco. This meeting is on the seemingly unglamorous world of maps.

Until now every apple devise has come loaded with Google Maps. It

makes finding your way around it easy. Apple has decided to move any

different direction, teaching Google Maps in favour of its own

system. The smart phone market has become a war between Apple and be

well's and Roy platform. Financial analyst: My Gillis said apps are

the Mu front line. Revenue is not a key, it is that they do not want to

be dependent on each other. Apps do not bring in much revenue, but they

are heavily used. Apple is not the first to challenge do well's

reputation. His companies stopped using Google Maps a while back.

Those two companies fighting over Matt's is good for us. We will end

up having better maps with more features. As a developer mapping

applications there followed with interest. I do not think it will

affect me negatively. The irony is that smartphone and has probably

will not notice much difference. Apple's maps are expected to look

very similar to those of Google. Tokyo has become the world's most

expensive city for foreign staff to live in overtaking the Angolan

capital Luanda. The yen's rise against the dollar pushed up the

cost of living for staff and firms paid in other currencies. The

research, carried out by the consultancy Mercer and I'm joined

by Milan Taylor from Mercer. The other cities climbing up this

goal higher on the other side of the world. Or of the city's we

surveyed increased during the year. That shows been strength of the

Chinese economy against the US dollar. It will cost �5 for a cup

of coffee. What about us? A lot of European cities have gone down, due

to currency fluctuations. Belfast and Birmingham have gone up the

rankings, Duke to a lack of supply in housing. Across the board,