Welcome to countdown, i am mark barton. Ready to deliver the stories that will drive your day. In ukraine,ents protests in the eastern part of the country escalate. Johnson ferro has insights on Mario Draghis comments on monetary is in hong kong following the deal for glencores peruvian mine. Camouflaged gunman fired on kiev Government Troops killing one service man and wounding five. The ukrainian president spelled out a deadline for prorussian separatists to lay down their arms. That ends now. What next . According to the deadline, he said that the National Security and Defense Council has decided to launch a fullscale antiterrorist operation involving the armed forces of ukraine. We will see exactly what will happen now. The risk is that any provocation that comes from the Ukraine Armed forces against these progression separatists is going to inflame the situation with russia. Remember, near the border of the ukraine and russia, there are nearly 40,000 troops, which are armed with combat aircraft, tanks, artillery. Everything that is needed to support an invasion into eastern support the prorussian separatists. The situation is extremely tense. Earlier, we saw the Russian Ambassador to the united an emergency meeting of the United Nations. That turned into a trading of blame and insults between the u. S. And russia. The u. S. Representative to the United Nations saying that insecurity in ukraine has been written and choreographed by russia. This is what she said. Talks we know who is behind this. The only area entity in the area capable of these professional military actions is russia. The russian representative to the United Nations has said that kiev who areis in backed by the United States and the European Union needs to withdraw. If there is any action after now,headline, which is that is going to be put a drip talks which are supposed to take place in geneva later this week between the russians and the ukraine and the United States. All of that is up in the air. Foreign ministers meet today. Will they impose sanctions . Thene of the things that European Union and the Foreign Ministers would need to do is to establish a relationship between russia and the prorussian separatists in the Eastern Ukraine. The finance minister was talking on german radio. There are clear signs that the russians are fanning the situation in Eastern Ukraine. It remains to be seen. Some people are saying it is crunch time for the Foreign Ministers to be acting on sanctions. They could end up hurting the european economy. Ourait and see. Europe editor in berlin. Global finance chiefs are trying to ignite growth in their economies. Exactly how to do that was the theme of the weekend talks at the imf talks. Theo draghi used opportunity to take his eurosst stance on the rise. The Exchange Rate would require us to remain equally accommodative. It would require Monetary Policy accommodation. The strengthening of the Exchange Rate acquires further monetary stimulus. I think we are all together on that. It was really strong from him. We know a strong euro would ease back on inflation. It could take half a percentage off of the inflation rate in the eurozone. Saying that we need extra stimulus, that is quite big from mario. Specifically, they eurodollar, this is on inflation. We need to do something about this. My question, has the market become desensitized to Mario Draghis words . It did not move much lower last week. A big move last week. Can mario do more . Maybe they have been siphoned out by all of the qe talks. We know that they are unanimous on using nonconventional methods. We do not know what measures these would be. Are they all together on when we should use them . Economists say probably for the next couple of months. The new french finance minister, he was in washington. He sounded fairly upbeat. He is optimistic. The budget deficit needs to come down to three percent. The forecast this year is 9. 9 . That is going to allow them to that deficit. Reaching the three percent deficit target is our objective. Not because it is expected among nations in europe. Because it is in frances best interest to achieve that target. Only when we achieve this target can we reduce our debt. We need to do this in france and in europe. It is our goal to achieve a level better than the three percent target in 2016, 2017. Record of failing to meet these targets. He thinks that they can hit three percent of gdp by 2015. Last year, it was three percent. It was meant to be 4. 1 . They keep missing those targets. S traderal will buy a peruvian mine for 525 billion. It is a big some. That is shaking up the Global Mining industry this morning. Chinassentially gives metals control of the mine that is supposed to produce 400,000 metric tons of copper. That is equivalent to about 13 of imports of copper i china, which is the worlds biggest the buyer. Trading has been up about 6. 5 . This is up seven percent in the hong kong trading session. I interviewed the ceo of mmg. He would not tell me any acquisitions they were eyeing. He said that they are always looking to add. We have a pretty good feel for long life, low cost operations. Year of contained copper. That puts us in the top three of world production. It is below a dollar cash cost. He goes on to tell us that duedid eight months of diligence. This is subject to approval by regulators. What will glencore use the money for . That is a good question. As will immediately be used to reduce debt. The company will look at reinvesting capital. It is returning some of it to shareholders. May invest in copper projects in the democratic republic of congo. Glencore says that the development of bus bomb bus is almost complete. There is roughly 2. 4 billion left to be spent on the site. Here in hong kong, you can see shares soaring on this big news. Ahead, our next guest says that the u. K. Economy is finally getting a foothold. We will dig into the fundamentals when we return. Time for todays company news. We have breaking news from persia. They targeted a two percent operating margin by 2018. Later today, the new chief executive unveils his strategy which includes a return to half it in russia and latin america in the next three years. Shares of sharp dropped as much as and may raise about 2 billion in the fiscal year of 2015. The company has not decided how it will raise the capital. A chairman says that International Regulators will probably ask tanks to hold more capital relative to their total assets. This comes after the leveraged ratio requirements. Banks require at least six percent capital as part of their asset banking unit. To boostk may have their capital. I am mark martin. 7 14 here in london. It says that the u. K. Economy is finally hitting a foothold. Lets get more on the findings with the companys chief Economic Advisor. The company is on a firmer footing, is it . It has been fueled by people saving less. Ere seeing a labor situation where the market is tightening. That means that wages are picking up at the same time that inflation is falling. Ist means that the fuel coming from real wages and employment. This is the week that we might witness that. Job data could be accompanied by wage data. That has not happened since 2010. The kind of figures we are looking at are not spectacular. The point were making is that they are pretty stable and they are not sustainable. That is because of a broadening from the consumer to investment. Investment is very strong indeed. Companies that have been worried holding casho are and are putting cash to good use. Are exports the lake that the economy leans on . We are a little bit more tentative about that. The overseas markets are doing much better, particularly europe. We are looking to move into positive growth. It is flat on the year. 10 . Months, it is up it has outperformed the top 10. Yes, it has. Exporters, it is not great. The point is that our exports tend to be very highvalue added. They are not very price sensitive. You saw where the pound fell out of bed in 2007. People cannot stop talking about it. They came out with the latest report. Asking prices in london and across the country are at a record high. You say that an unsustainable boom will be prevented. Why . Very stronge, supply response from the House Building industry. That will keep prices down outside of london. In london, we are seeing the income multiples. Those kinds of prudential controls are binding. We are back to the 41 income ratios that we saw at the peak. Provided the Financial Conduct Authority and the lenders make sure that is the maximum, then that means that house price inflation, even in london, can only move at the same rate. Of affordability is enough . They have the tools necessary for now . What thes pretty well authorities have, apart from a rise in Interest Rates. The Interest Rates increase forecasting. You are going for the second half of next year. The politics do not really come into this. Lot of reasons including rising Interest Rates in the u. S. Member though one suggested a rate increase it could come in the spring. Would you be surprised if we did not see a rate rise in the Third Quarter . I would not. If the economy continues to outperform the forecast, then we could see that. I think the consumer will pause for breath a bit. I think the economy will slack off a little bit. We will chat more about business and the risks to the u. K. Economy. Peter spencer, the chief Economic Advisor. Welcome back. It is 7 21 in london. U. K. , are wen the set to overtake germany in the employment table . I know that is something that you look at. That is something that we pay a great deal of attention to. And great number of people coming into the world deciding to go for late retirement rather than early retirement. Those kinds of factors are important. And keeping the lid on wages. We want wages to rise. Not too much in the goldilocks sense. That is all very important. What do you think the chancellors announcement on pensions, do you think that changes the dynamic on when people will retire . Will they work for longer or shorter . Thate of the reasons people have been retiring late is because of very low rates. The chancellors move to make it easier to retire. On earlymics retirement are still very unfavorable. The kinds of rates you can get on any investment. The long retirement that you have to finance make it very expensive. A lot has changed in that time. What are the big risks in the u. K. Economy . Bythere is a big risk posed the search for yield. That is always a problem for the u. K. In the past, we have always had a Housing Market that is heavily dependent on overseas finance. This time, it is very different. The finance for those higher mortgages are coming from repayments. I think that we are relatively wellplaced if there are problems. We do not have to worry about the risks associated with credit this time . Not yet. That is the point. So far, the expansion has been funded from domestic sources. Of course, that is not the only risk. We are hearing today about the ukraine. So far, the markets have taken that rather well for various reasons. You never know. Thank you for joining us today. Peter spencer, the chief Economic Advisor heror. We took a look at special dishwashers that start working at the command of your tablet. Director ofdivision appliances. This is our app. You see the center of all of the products connected. We can start the dishwasher process from the ipad. This is not just for the gadget itself. It always must have a benefit for the consumer. There ss a huge trend for handle kitchen devices. What you see here is a dishwasher. A very easy way to open. We call it not to open. People think it is more integrated. That is a huge design direction. Lets have a quick peek at what is happening to european underwaythe session is in 30 five minutes time. Stocks fell on both sides of the atlantic. The indication is that the fall will continue today. The cap futures are down. By. 6 e futures are down. Declines on wall street and in europe led by Technology Shares within the Standard Poors 500. Falling 20 from alltime highs in february. Investors will be keeping an ion the u. S. Technology and biotechnology index. Coming up, well copper turn into gold . A 6 billion deal for encores groovy and copper mine. Back. Come lets get right back to jonathan ferro. This right here was the talk of the town at the imf meeting. Down by. 3 . Mario draghi, off of the cuts. Requireange rate might further monetary stimulus. We did not see much of an impact in asian trading. The stocks are down by about. 3 . At all. Not the ecb it is the Federal Reserve and the u. S. Recovery. Sales, we are looking at 4. 9 growth. That would be the best mark for september im a 2012. The Un Security Council has held the emergency meeting. Russias ambassador called ikea have to start a genuine dialogue about the u. S. There are increasing signs about russian involvement. We know who is behind this. The only entity in the area that is capable of the coordinated military action is russia. He wants to maintain his russian investments. He is worried about the situation. The economic sanctions. We willder russia be investing. Then we will see what is happening veryg. There is Nothing Specific very the search for the missing Malaysia Airlines flight will begin later. Officials announce a fresh sighting of an oil slick. An underwater vehicle will be deployed on the ocean floor. The United NationsSecurity Council held an emergency meeting after protests escalated over the weekend. From meyer has more moscow. What is the situation on the ground in the ukraine after this and the violence over the weekend . Obviously. Ry tense, we have the first bloodshed in the ukraine, you just mentioned. One servicemen killed and another five injured in a clash just on the outskirts. The deadline, which expired this morning by the Ukrainian Government for prorussian forces to relinquish control of government holdings, which they have occupied. They have occupied a number of local council buildings. And the potential there for more violence is there. It is a tense situation. A spat occurred in the United Nations overnight between russia and the u. S. With fingers pointing in opposite directions. What does russia say to these accusations that it is instigating the unrest . Evidence. Us with the there isnt any. What we see is people in camouflage and the ukrainian they are Russian Special services involved. Is there a way to prove it . Air is no doubt in the minds of the u. S. And its allies. The concern is that the russians are going to escalate. This is in the runup to the elections on may 25 in a bid to undermine these elections. Short of a National Military invasion of the east of ukraine, it will be hard for the u. S. And the eu to justify fullscale sanctions against russia. We are likely to see an extension of sanctions, which have already been applied to individuals and one bank controlled by a billionaire associate uproot and. Of putin. They would be modeled on those it used against orion. Iran. Cutting the bank off from the entertainment system. Those are not likely to come forth before fullscale military intervention. There is a disagreement within thanks for joining us. Henry meyer speaking to us from moscow. The state owned metals trader, a group that will buy glencores peruvian mine for 5. 5 billion. Good morning. Estrada selling one of their key copper assets . 400,000 tons of copper a year. It is a huge mine. Regulator forced a sale of this asset as part of their approval of this process. That has taken them eight months, a most a year to sell this asset. It is definitely above expectations. People are expecting about 5 billion. Maybe north of that. Give us an idea of how important this is to china. And a couple of years, it will be producing a lot of copper, isnt it . 400,000 pounds a year is huge for production. China is obviously the worlds biggest consumer. What will glencore do with the proceeds . We have little detail about that so far. They will use it to pay down debt. There are a few options. A special dividend. Perhaps m and a. I thought that was off the table. Bhp selling some nickel assets. Lots of minors are selling. And the chinese are really the only buyers at the moment. Thanks for joining us. 7 37 in london. Ive it equity groups say that chinese money is changing the way that global and then they deals are valued. This could be the key to the further rejuvenation of europe. Europe was stuck. The banks continue to try to get better. They continue to try to offload things. The thing that is most attractive is the Zombie Companies which have been sitting bank controlled for seven years and are starting to come out. A little bill murray reference. He keeps waking up on the same day over and over until he has some sort of arsenal reduction. What needs to happen in europe to get off of this treadmill . It is not as extreme as the reform needed in japan. Some of the protections need to be taken off. We need to take on younger people. Reduce youth unemployment and reduce graduate unemployment. The older let some of peop