:00:04. > :00:14.for spying. Those are the Top stories. Now the latest financial
:00:14. > :00:23.
:00:23. > :00:33.You are with World Business report. The headlines: a warning to Raj
:00:33. > :00:34.
:00:34. > :00:41.Ruddock not numb -- Raj Rajaratnam. Chinese trade slows in the face of
:00:41. > :00:51.a global slowdown. Investors queue European leaders the benefit of the
:00:51. > :00:55.
:00:55. > :00:59.doubt has plans to merge to Shaw up the financial sector. -- shore. His
:00:59. > :01:05.trial and conviction captivated Wall Street and involve some of the
:01:05. > :01:12.biggest names in the finance industry. Now the drummer concludes.
:01:12. > :01:18.Raj Rajaratnam will learn today how long he will spend in prison for
:01:18. > :01:28.Israel in the biggest insider trading scheme in two decades. --
:01:28. > :01:30.
:01:30. > :01:37.Israel. Prosecutors want the toughest punishment. -- his role.
:01:37. > :01:42.The Government say he deserves 20 years in prison. The defence argues
:01:42. > :01:51.that he is of old and has health issues and it would not serve
:01:51. > :01:57.anybody's interest to put him in prison. He could stay there at a
:01:57. > :02:04.good portion of the rest of his life. These are all I Timmons. Raj
:02:04. > :02:11.Rajaratnam was found guilty of masterminding the biggest insider
:02:11. > :02:21.training scheme in a generation. He earned a fortune managing other
:02:21. > :02:28.people's money. A circle of insiders gave hint stock tip-offs.
:02:28. > :02:34.There will be an appeal. The use of wire-tapping will be the main issue.
:02:34. > :02:43.This was an unprecedented use of wire-tapping. They were
:02:43. > :02:48.traditionally used for organised or blue collar crimes. The drama that
:02:48. > :02:52.has cast a spotlight on the hedge fund industry will return once more
:02:52. > :02:58.to this imposing Manhattan courthouse. Raj Rajaratnam will
:02:58. > :03:06.learn his fate at this courthouse at a time when economic crimes face
:03:06. > :03:13.tougher sentences. The message to a nearby Wall Street, those who are
:03:13. > :03:20.caught insider trading will not get off lightly. China has seen a fall
:03:20. > :03:24.in exports and imports in September, reflecting global economic weakness
:03:24. > :03:34.and the cooling off of the Chinese economy. Tell us more about these
:03:34. > :03:36.
:03:36. > :03:46.figures? As you said, the exports and imports slowed in September.
:03:46. > :03:46.
:03:46. > :03:54.Exports increased 17 % last month. Imports increased 21 %. But these
:03:54. > :04:04.are lower than the August figures. The trade surplus narrowed. He was
:04:04. > :04:04.
:04:04. > :04:08.14.5 billion in September - half what it was in July. This gives the
:04:08. > :04:14.Government strength to resist American pressure to strengthen
:04:14. > :04:22.their currency. The Americans say the Chinese are getting an unfair
:04:22. > :04:26.advantage. They say it is their trade surplus. The Americans are
:04:26. > :04:31.pushing through a controversial currency bill aimed at forcing the
:04:31. > :04:40.Chinese to push you one higher against the dollar. But the bill is
:04:40. > :04:47.uncertain. It has drawn sharp criticism from China. They say it
:04:47. > :04:52.would not reduce the trade imbalances or save American jobs.
:04:52. > :04:59.Still on trade, the US Congress has approved a massive free-trade deal
:04:59. > :05:06.with South Korea. It is the biggest such deal since the North American
:05:06. > :05:10.free trade agreement in 1994. How correspondent says the deal has
:05:10. > :05:16.been a long time coming. It test been controversial in South Korea
:05:16. > :05:23.and America. It has taken four years to pass this agreement which
:05:23. > :05:27.was signed by the leaders in 2007. Bush was in power then. There have
:05:27. > :05:31.been lots of practice since then from American carmakers and Korean
:05:31. > :05:40.farmers looking to protect the industry's but they have now been
:05:40. > :05:46.ironed out. Back to Europe. The big banks are grappling with the latest
:05:46. > :05:51.plan to prevent the Greek debt crisis from spiralling into a full
:05:51. > :05:58.banking crisis in Europe. A key element in this road map to taint
:05:58. > :06:04.the crisis was the call for higher capital ratios and Europe's top
:06:04. > :06:12.banks. That was one of the details. It received a warm welcome from the
:06:12. > :06:18.European markets. Asian markets are seeing some gains. For some of
:06:18. > :06:28.these markets in the six days in a row of gains. The euro is trading
:06:28. > :06:28.
:06:28. > :06:33.higher. What is happening in Europe is a lot to do with the use rises
:06:33. > :06:39.in markets. European bankers are warning now is not the time to
:06:39. > :06:49.increase capital. It could squeeze eurozone economies already on the
:06:49. > :06:51.
:06:51. > :06:59.brink of recession. Like I say, the President had a lot to say, but
:06:59. > :07:06.what do you think about the capital requirements? Hope springs eternal.
:07:06. > :07:12.We are hanging our hats on the fact that the European Union might do
:07:12. > :07:20.something meaningful. If they managed to deal with Greece and re
:07:20. > :07:30.schedule its debt we are looking at a banking crisis. Now he's not the
:07:30. > :07:33.
:07:33. > :07:39.time to implement whether it is a 9% capital ratio. In Britain most
:07:40. > :07:44.of them are in double figures. But I find it extraordinary that you
:07:44. > :07:54.can use one figure for every bank in Europe. There are different
:07:54. > :07:55.
:07:55. > :08:01.criteria. They should be more bespoke. Absolutely. If Greece 20
:08:01. > :08:07.years to pay back their debt. Then we would get somewhere. But some
:08:07. > :08:13.argue this is not the way. Some banks say they are better off
:08:13. > :08:19.selling assets than increasing capital ratios because that will
:08:19. > :08:24.not help growth stock below yes, but what assets can you sell. Many
:08:24. > :08:31.are embroiled in sovereign debt. The peaks of run well funds don't
:08:31. > :08:39.want to touch them. Exactly. This is throwing a pebble in the water
:08:39. > :08:48.and sending out ripples to the European Union. The way it is
:08:48. > :08:57.presented is not practical and cannot be done. I hope the
:08:57. > :09:05.negotiations will deal with ways of going forward and certain banks.
:09:05. > :09:13.will talk more later. Let's squeeze in some more stories. If you are
:09:13. > :09:19.using a BlackBerry you will know about the damage after the third
:09:19. > :09:25.day of disruption to its in now and messaging services. They vowed to
:09:25. > :09:32.deliver all messages to the tens of million of customers affected. But
:09:32. > :09:38.the e mail backlog may not clear until later today. Google reports
:09:38. > :09:43.third-quarter earnings later today. So far they have held up. But