23/11/2012 BBC World News

European leaders gather for a second day of talks in Brussels.

But can a deal be reached between leaders calling for more spending

and others wanting cuts? Calls for protests in Egypt after

President Mursi gives himself sweeping new powers.

One man has been killed in Gaza and ten injured by Isaeli fire. It's

the first incident since the ceasefire came into force on

Wednesday. Welcome to BBC World News. I'm

Peter Dobbie. And ready, steady, shop! US

retailers gear up for their biggest day of the year. They call it Black

Friday, but will it bring any cause European Union leaders resume their

troubled budget negotiations in Brussels just about now, with the

leaders of France and Germany having already said they doubt that

an agreement can be reached. The majority of EU members support an

increase in the budget, but several countries say this is unacceptable

at a time of austerity. The BBC's political correspondent in Brussels

is Norman Smith. There are a lot of pessimistic noises emanating from

some leaders. Mr Cameron, obviously, but last night both Chancellor

Merkel and Francois Hollande were suggesting it may not be possible

to reach a deal. But all sides are still talking and Dudu to resume

negotiations in a couple of hours. Had what prospects for a deal? I am

joined by the spokesman, Richard Corbett. Are we on the brink of a

breakdown or is it possible something could still be put

together? It could still be put together. You've got the 28 heads

of state around the table. They are the top political leaders in each

of our countries across Europe, they are talking, they mostly want

to reach an agreement, but there's a lot of detail to be gone through.

Mr Cameron said it was not a time for tinkering, he seemed to be

suggesting that the inducements Herman Van Rompuy made yesterday to

follow luring his series of bilaterals have not changed enough

to make a deal acceptable to him. The adjustments reflect the large

majority view of what came out of his bilateral consultations. It

does adapt already what he put on the table. What he put on the table

was already a reduction in the you spending compared to the last

financial framework. What about the British rebate, which appears to be

a no-go area for Mr Cameron? Have you been able to offer any

guarantees to the UK in terms of protecting that or may that still

have to be reduced? The mechanism as such, nobody has proposed a

change. There are knock-on effects from other changes. That is the

sort of detail that needs to be looked at carefully. If what about

the Common Agricultural Policy? Francois Hollande said he was

determined to defend the Common Agricultural Policy, but a lot of

other leaders believe that is the area where you could make

significant savings. Yes, that is one of the battlegrounds. It is not

just about the level of spending, it is about the content of spending.

The levels will not change very much, the real issue is what you

prioritise within the budget, which is about 1% of GDP. There is scope

for moving away from agricultural spending. The question is how much.

If you resume talks and you are unable to get any agreement, how

significant is that all could you simply delay and come back another

day and try again? If there's no agreement, you would have to come

back and try again. But delay is not helpful, neither helpful in

terms of the smoothness of the procedures, but also in terms of

securing a political agreement. What would be the game changes

between now and March? Why not try to settle it now when you have

everyone around the table? Everybody's position is quite clear.

The question is focusing and making a compromise. This is not a big

economic problem. The difference between the Macs are missed and the

minimalist is very little. It is a political problem. If you can't

solve that at the top level with heads of state, it would be a great

shame. Do you mean by political problem that prime ministers,

leaders, are playing to their own domestic gallery, which is

compromising their ability to negotiate and reach a deal here?

is natural that every leader plays to his or her domestic gallery. But

the difficulty here is you've got to get unanimity, you've got to get

all 28 around the table to agree. That means everybody being willing

to give and take out some point. Thank you. Those talks will resume

and the salient fact is that this is a negotiation and everyone is

still at the table. Norman Foster reporting.

Supporters and opponents of the Egyptian president Mohamed Mursi

are taking part in rival demonstrations in Cairo. It follows

a decree on Thursday in which the president assumed sweeping new

powers. He also sacked the chief prosecutor. These pictures are

coming from Tahrir Square. Mr Mursi's Freedom and Justice Party

defended the changes, saying he was "cleansing state institutions" and

"destroying the infrastructure of the old regime". Opposition leaders

say it could have dire consequences and the UN human rights

commissioner warned that the situation could become volatile in

the coming days. Here's some reaction from the streets of Cairo

after those announcements were made. TRANSLATION: He has been able to

destroy the judicial authority, the army, he has taken over the police

force, he's given them the green light to do what they wish in the

Street. He has also given them salary raises to ensure their

loyalty. TRANSLATION: This decision is long overdue because we all know

that the general prosecutor and the judges should not have any role in

politics. But once a judge involves himself in politics, his rule

begins to suffer. This represents the downfall of a revolution by the

hands of the Brotherhood. What he has done is illegitimate and goes

against the revolution. I fear we revolutionaries will face a rest in

the near future. This is really worrying.

The BBC's Jon Leyne is in Cairo - he says Thursday's edict

effectively removes any challenges to the President's power.

critics will say he is taking more powers than President Mubarak, the

old regime, ever did. The claim from President Morsi and the Muslim

Brotherhood is that when they try to change things and improve things,

they are sabotaged either by what they call the remnants of the old

regime, particularly they were bitterly critical when the

constitution Assembly was dissolved and so they are trying to prevent

that happening again because they feel that is just an attempt to

sabotage the transition. But the other revolutionaries will say you

may say you are against the old regime, but you are just recreating

it in another form. We are expecting protests today. How

significant will they be? They've already started. A fairly small

number of people in Tahrir Square and a larger number of people so

far supporting for President outside the Presidency, mostly

members of the Muslim Brotherhood. For that is going to be... There

will be too critical factors. Do if the Liberals and those who don't

support the Muslim Brotherhood, will they have the impetus to get

the numbers out and make their presence felt? Or so, what of the

judges going to do? This is a direct challenge to whatever

independence the judiciary used to have. How successful they will be a

in challenging this edict. This is an edict of complete autocracy.

President Morsi says you can't challenge anything I do through the

courts and there's no parliament. There's nobody to challenge him so

effectively he is declaring himself untroubled power, which a lot of

people in Egypt will be uneasy about.

In Gaza, a Palestinian man has died and ten were injured by Israeli

fire. It's the first death in the conflict since the ceasefire began.

The Israeli Defence Force says warning shots were fired near Khan

Younis after a group of men were seen marching towards the border.

Jon Donnison is in Gaza. A short time ago he said details of the

incident are still emerging. We've got two versions of events.

On the Palestinian side, they are saying one person was killed, up to

10 injured, saying it was farmers working close to the border in the

south of the gods are strict. On the Israeli side, they are saying

they saw people marching towards the border as if it were some kind

of protest and that they opened fire with warning shots. It seems

like we have ended up with the first person killed since the

ceasefire was announced at a couple of days ago. I guess in terms of

how one pushes the ceasefire, it is only breached if Israel and Hamas

decide it has been breached. Yes. This is pretty predictable, I'm a

little surprised it has happened so quickly, but the obvious question

when this deal came through was what was going to happen when it

was breached by either side. How Hamas response to this will be key.

If there's a big response, we could find ourselves going back to the

same situation again. It should be said, this sort of thing, shootings

near the border, Israel says it is worried about security threat of

people coming close to the border, Palestinians saying it is just

people trying to do their job and earn a living, it is pretty

frequent. It is not reported that regularly because it is such a

frequent occurrence, people are often injured, sometimes killed. It

doesn't always lead to a big escalation, but given the

circumstances, it could do. One thing I might just Dad, I can see

what looks like a small cyclone coming in off the sea. It is coming

across the water, and incredibly stormy day here. Philip has got the

big business stories. How does what is happening in Brussels feed into

the eurozone crisis? Very badly. There's a lot of difficulties and

right now and the longer the politicians spend on haggling, they

are not focusing on the bigger deal. Too far apart is how Angela Merkel

has been describing the current situation. Late last night, she was

saying that talks over the trillion Euro-budget for the rest of the

decade have broken up without a deal. They have reconvened already.

Mrs Merkel has already warning that a second summit will more than

likely be needed next year. The splits are on increasingly

predictable lines. France is defending its farm subsidies,

poorer European countries are resisting cuts to infrastructure

spending because they benefit from them. Britain has been leading the

calls from richer nations to rein in Euro spending at at time of

increasing austerity at home. Bill Blain is worried that Europe may

find itself in real trouble if an agreement isn't reached soon.

is the whole point, this common agricultural spending is basically

keeping inefficient farmers in business and the infrastructure

spending, building thousands of airports for nobody to use in Spain

or the best motorways in Europe out of some little foggy peninsular in

some benighted island, does not add to growth. What we've got going on

is in Europe, contemplating its navel while there's no growth at

all, the story is moving on from Europe. It will now be next hear

about growth prospects in Asia and especially in the US. I think

Europe is making itself irrelevant with this kind of squabbling over

the budget. A tense weekend is a head for

Spanish Prime Minister and his government as they try to stave off

a bail out. Catalonia holds an election on Sunday that could see

big gains for pro-independence parties and this could lead to a

referendum on independence from Spain. Catalans have been

complaining that they contribute far more to it Madrid fan they ever

get back. A professor of economics and finance in Barcelona explained

to me earlier whether there was any chance that Catalonia could become

an independent state. Her well, after the massive demonstrations on

September 11th, pro-referendum and pro independence, the answer is yes.

My conjecture, though, is that at the end of the day, while the

Catalan people want more political autonomy, more fiscal autonomy, and

at the end of the day probably there will be a negotiated

settlement. The status quo is no longer an option. I don't see a

doomsday scenario, but definitely some turbulence and some

difficulties. Even with Black Friday in the US,

Wal-Mart may be distracted by other events. It has suspended a number

of you at executives in India pending a bribery investigation.

spokesperson for the company in India has confirmed that a few

associates have been suspended pending the outcome of an

investigation into alleged practices of bribery under the

Foreign corrupt practices Act, a piece of US legislation under which

American companies can be prosecuted for malpractice abroad,

specifically bribery. The company would not give us any more details.

It is a joint venture company that has been operating in India since

2009. The company is in a cash and carry format, but in recent months,

as the Indian government opened up retell to foreign direct investment,

up to 50% is now allowed in multi- brand retailers. The company had

announced recent plans to expand rapidly in India, they were hoping

to open stores in the next two years. There's been speculation on

whether this could delay the expansion plans. The company

You are watching BBC World News. Still to come: Could you crack a

world war to secret code hidden on the body of a dead pigeon? We are

talking to an expert on codes. Stay with us. Here in the UK, a man has

died after his car became stuck in floodwaters under a bridge in

Somerset, in south-west England. Strong winds and heavy rain have

swept across large parts of the country. Floods have forced many

people from their homes and left hundreds of drivers stranded. Here

is Richard Lister. After the rain, the deluge. This

community in North Wales for -- felt the full force of it yesterday.

In these conditions there was little but they could do. More than

100 flood warnings were issued across the UK. This was this Whalam

affair in Dumfries last night. -- be swollen river. The waters are

now receding and it is more of an inconvenience than a danger at the

moment. In Somerset, a car was swept under a bridge and the driver

was killed. It was not just the rain which was a problem. This was

the roof of a mosque in Birmingham before the wind through it to the

ground last night. Luckily, no one was injured. A 30 ft section of

wall in Exeter was also blown over. Police sniffer dogs confirmed no

one was trapped. Several major roads were closed or waterlogged

making driving difficult. Motorists have been warned to steer clear of

standing water. Our advice would be do not enter it unless you have to

do and if you do, you need to consider the flow of the water. If

it is flowing, do not enter it. If it is static on the road, you can

travel through that but only if you know the depth of the water and we

would say no more than half a wheel. The band of wind and rain which

caused all of this is now moving clear of England and Wales but

lingering in Scotland. Respite for many today but keep the sand bags

handed as more heavy rain is expected over the weekend.

An elderly Chinese couple that refused to abandon their home to

make way for a highway, have found themselves living in the middle of

the road. While all their neighbours have moved out, the Luos,

in their sixties, have refused to go until they receive $40,000 in

compensation from the local government.

You can read our most red, shared and downloaded video stories on our

website. This is BBC World News. The

headlines: Back for day two of the European budget summit. Britain's

Prime Minister David Cameron says big cuts are needed, rather than

tinkering at the edges. Mass protests have been called in

Egypt today after President Morsi We can show you what is going on in

Cairo in the Tahrir Square, the focal point of the revolution which

overthrew Hosni Mubarak. The opposition say this now is the Met

-- a miss -- opposition forces say President Morsi's plans a pose

democracy. There are liberals out on the streets. Our correspondent

was making the point that when it comes to mobilise and support,

particularly when it comes to the iconic image of Tahrir Square, the

Islamist are better at getting their people out on the streets. We

will continue to monitor that throughout the day on the BBC.

The head of the army in the Democratic Republic of Congo has

been suspended pending an investigation into claims he sold

weapons to rebel groups. The DRC conflict attracted plenty of

international attention with British prime minister David

Cameron saying the UK cannot ignore the evidence of Rwanda's

involvement with M23 militia. This week, the rebel group captured the

provincial capital of Goma and is threatening to seize more towns.

But where did this conflict start and what is it all about? Focus on

Africa's Alex Jakana takes a look. The D RC has lurched from violent

crisis to violent crisis, fuelled by its vast mineral wealth which

includes diamonds, copper and coltan. This conflict has its roots

in the neighbouring Rwandan civil war which led to the 1994 genocide

in which 800,000 people, mostly Tutsis died. Then Hutus fled across

the border into the DRC oars a year as it was then known. Reminder's

army pursued the Hutu fighters into the forests of eastern Congo. That

eventually sparked what is known as Africa's First World War. It saw

six African Nations fight on Congolese soil. 5,000 people died

and all countries we used of using- what all accused of using the war

to loot Congo's mineral wealth. In the mineral eased -- mineral-rich

east of the country, Tutsis and he twos clashed. 250,000 people have

lead. A year later, relative calm was restored when a peace deal was

signed. But, that peace deal unravelled earlier this year,

leading to a mutiny which created the M23 rebel group. The DRC and

the UN accused Rwanda and Uganda of supply and the ethnic Tutsi group

with arms, training and even soldiers, allegations both

countries strongly denied. That brings us to where we are today.

The capture of Goma by the M23 is widely seen as an attempt by the

rebels to persuade President Kabila to directly negotiate with them.

This latest conflict reliance -- remind the world that this country

the size of western Europe and overflowing with natural riches,

has rarely had the chance or the ability to manage its internal

affairs without external interference.

Top code breakers at one of Britain's intelligence agencies,

GCHQ, say they have failed to decipher a message found attached

to the leg of a dead Second World War pigeon. The strip of paper

contains 27 groups of five letters which code breakers have failed to

crack, despite trying for several weeks.

Joining me now via webcam is Dr Gareth Owen. He is a computer

scientist and senior lecturer at the University of Portsmouth.

How would you think they might break it? Good morning. Normally

when people think about encrypting messages is usually when you

replace letters with a different letter. The weakness with that is,

if you look at normal English, the letter E recurs very frequently and

so you can see the letter that occurs most frequently would be the

letter E. GCHQ thinks this message has been encrypted by a method used

-- called one time Pat. It means every single character has been

encrypted in a different way. So there are no patterns and no way to

gain an advantage and work out how the message has been encrypted.

unless you know the pad that was used as part of this process,

literally the better of paper which was used and presumably where it

was going to, you will never break this code? Yes, the pad, if you

like, it could be a book for example. It could be a book with

lots of numbers in it or a normal text book. Because of the way the

message is inside that means the book makes up half the message. You

cannot reconstruct the message without the other half. Unless the

book is found, assuming the message has been encrypted in this way,

there is no way to recover the message without the one-time pad.

How common was this type of thing? This type of encryption was very

common during the Second World War. The problem with modern technology

on the internet is the pack has to be the same as the message. If you

think about sending a large file on the other side of the internet, the

other side need the pad which is the same size of the file. How do

we get the pad to the person. It is not practical to modern day

cryptography. But in the olden days or amateur hobby cryptography it is

quite common. Intriguing stuff, thank you.

Now, if you think you might be able to outdo the British master code

crackers by deciphering the message, do go to our Facebook page and send

us your suggestions. You can go to it, have a look at it and see if

you can crack it. A now to the United States where

two people have died and dozens injured in a pile-up of 140

vehicles in Texas. The chain of collisions happened in dense fog

while people were going around the country for Thanksgiving. The

traffic had been living at more than 100 kilometres an hour. One

man described how his family fled their vehicle as they saw vehicles

ploughing into each other on the road east of Houston. I just

grabbed my kids, pulled them out of the car and ran. That is all I

could do. So I got there may be about 300 feet away and then I