afghan plans to attack libyan forces. libya's new leaders have given gadhafi loyalists to surrender on saturday or face more force. this is the third time mubarak is in court. he faces charges as well as his two sons faces charges on corruption. the storm swept across the country in japan with record rainfall causing land slides and flooding. 56 others are still unaccounted for. a shark killed a body border on the west coast on sunday. the beach has been closed since the attack in australia. it is the first fatal shark attack in australia since february. those are the top stories from cnn. world business today starts now. good morning from london. i'm charles hartson. >> give from hong kong. i'm andrew stevens. the top stories today this monday, the 5th of september. >> markets tumble as the jobs report is released. dominique strauss-kahn is back on french soil. what does the public make of his return? and it's been a bumpy ride for the u.s. economy, but coney island hopes the fortunes are turning a corner. markets in europe are not off to a great start. the indices opened sharply. here is where they stand right now with heavy losses. clearly, we have a number of factors here. we have not only the u.s. jobs report, which showed jobs growth stagnating in august and markets playing catch up with the slide on the dow on friday, but the election setback for angela merkel in her home state. the euro is being hit by that. we also have the u.s. authority's suing several major u.s. banks. that takes us to the european banks which are taking a hit. let's take a look an at those, please. they are being sued by the fhfa on behalf of freddie mac and fannie mae. 17 banks are named in the lawsuits. they are accused of misrepresenting the sub mortgage loans. too slow there. never mind. there were big losses. let's move on to currency. as i said, the yen is at a three-week high against the euro with the euro taking a pounding. 1.4135 following the setback from merkel. the yen/dollar is 76.82. andrew. >> absolutely, charles. that was playing into the big selloff in asia. the selloff is just as grim on the back of the disappointing jobs numbers in the u.s. on friday. now overall financial stocks fell across the major markets. it wasn't just finance, but export. take a look at the nikkei, down by 1.8%. exporters being hit on renewed concerns about the strength of the u.s. consumer. the strong yen that you are mentioning only making things worse. energy stocks getting a hit as oil prices fell. one stock i want to point out in hong kong. there is another reason for this falling down. it has been leaking about 3,000 barrels a week. chinese authorities have had to shut that down. hang seng down 8%. a chinese consortium is down after the construction bank was sold. the financial times said the state administration of foreign exchange is the group that manages the foreign reserves was among the buyers. beijing's involvement comes as chinese bank shares is under pressure. it was three days ago at $8.3 billion which was raised to buy ccb. going back to the chinese by the looks of it. >> let's take a step backwards because the pessimism started on friday. zero u.s. jobs growth. that is causing fear of a u.s. recession. the markets erased last week's gains. all of the indices had all of their gains lost in the last two weeks. the world's largest economy promoted zero job growth. >> charles, how could we forget that. i wasn't around at the time. take a look at this. this chart is revealing. it gives you what is happening. the u.s. says there are 14 million americans without jobs. the jobless rate held steady at 9.1%. that is an appalling number. go back to 2008. you will see how far the jobless number has climbed. this is before the financial crisis. the rate at 5.5%. it spiked pretty much ever since. it spiked in 2009 when the financial crisis had really hit the real economy. that is where we have the big spike. the worry for the obama administration is it is not going down. it has been improving, but the rate is stuck at 9% overthe past few months. there is no clear trend that the number is in any way about to come down. charles. u.s. markets are closed on monday for the holiday. that may be a thankful occasion because it will set for a lower open on tuesday. these are the futures. this is to be taken with a pinch of salt. it does look like the selling at least in terms of u.s. stocks may slow down. it is not just u.s. recession fierce causing concern on the markets, but the ongoing european debt crisis. market analyst maurice cooper joins us from the trading floor with more. good morning. this is actually a tough one for the euro. mrs. merkel's election defeat adds to the whole line of defeat in the region state election this year. >> reporter: fifth successive defeat this year. germany is helping out with the debt crisis. political disarray at home. not great news for germany. >> meanwhile, we have the head of the european central bank who will speak in paris. markets will be watching him closely. >> reporter: absolutely. you have the european central bank deciding on interest rates. everybody is expecting rates to go up. in the u.k., there is talk of quantative easing, too. the economy is so dire. in europe, remember the ecb raised rates twice this year. a lot of people said that is inappropriate given what the u.k. bank of england has done. euro rates are higher than the u.k. and in the states. we have seen a tightening bias. slowly moving to a neutral bias. rates on hold in the euro zone. some are looking for potential easing bias. whatever will be examined closely. >> let's look at the banking story with the fhfa on behalf of freddie mac and fannie mae. suing 17 lenders. $30.4 billion. this is really a shocker for the markets, isn't it? >> reporter: how much worse can it get for the banking industry in we have reiteration that the banks have not been able to borrow money on the bond markets. in september, they need to come back and start borrowing. we have the euro zone crisis. it could go horribly wrong. that will have huge impacts on the european banks. we have litigation with huge numbers bandied about. next week, we have the vicker's report suggesting the retail banking from the investment banking arm. i'm looking for good news and i can't seem too find it. >> louise cooper, thank you for joining us. tough week ahead. thanks very much. andrew. >> those banks where the government is trying to get $196 billion back from them. huge numbers. with his new york legal battle over, dominique strauss-kahn has now returned to france. for a look at what is ahead for him, we are going live to paris in a moment. anyone wh high cholesterol may be at increased risk of heart attack. diet and exercise weren't enough for me. i stopped kidding myself. i've been eating healthier, exercising more, and now i'm also taking lipitor. if you've been kidding yourself about high cholesterol, stop. along with 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[ female announcer ] new from neutrogena naturals. as if japan has not had enough to deal with this year, tropical storm talas is one of the deadliest in quite a while. record rainfall causing land slides and flooding. more than 50 people are unaccounted for. as rescue teams search for the missing on are dead, authorities are warning of more mud slides. we spoke about the damage in japan. >> bodies have been found under a collapsed roof and from inside a collettage. those images reminded us here in japan of the horrible pictures from the march quake and tsunami. homes have been submerged under water. this time, again, local officials are saying the level of the damage turned out to be beyond expectation. which is an express repeatedly used by officials after the march disaster. these remarks are being criticized. >> for the latest on talas and the aftermath, we have an update from the world weather center. i'm surprised at the extent at the damage and destruction brought on by the storm. >> this can happen, charles, with a tropical storm. a lot of people see a tropical storm or hear a tropical storm is coming and they don't expect the calamity we have been seeing in western japan. you expect that from a typhoon or hurricane. you do not need the winds to create problems across japan. we had an incredible amount of rainfall in 48 to 72 hours. three feet of water. of course, you have to remember the topography in japan. de descimated by the water and heavy rainfall. you cannot have three feet of water and not have issues here in japan. the good news here is that our tropical storm that never became a typhoon is not that. it is extra tropical. it has opened up to the north now. look at all of the clear skies here. that is what we need in japan. recovery efforts are going on. the death toll has climbed. unfortunately the missing has climbed as well as far as those numbers. the rescue efforts will be under way with clear skies at this point. look at the winds. respectable tropical storm. not quite a typhoon. it is the flooding and mud slides that caused a problem here. with this tropical storm, we are talking about another tropical storm causing problems across the atlantic into the eastern u.s. i'll see you in a few minutes. >> okay, thank you very much. ivan joining us from the international weather center. charles, we will stay in japan for a moment. it has been nearly six months since an earthquake and tsunami hit japan causing the crisis at the fukushima plant. the fallout continues in more ways than one. >> reporter: a radiation meter is the static as this mother and her two children stay. six months after the fukushima plant. osaka has more hesitation about the air and water. she lives 2 hundreds kilometers away from the crippled plant. if the family lived outdoors a full year, the radiation would be ten times higher than the crisis began, but at a level the government calls safe. she will not take any chances. her children live indoors. if she goes outside, she wears a mask. eating and drinking is a fear. i don't believe the government. there is nothing to make me feel at he's. from the mother here to the streets of tokyo, it is a sentiment that has grown in the last six months. suspicion and distrust of japan and tepco. the owner of the crippled plant. >> i say sometimes we did not know what was happening there. it may have frustrated so many people. >> reporter: the biggest frustration? tepco's slow release of information. they took months that the nuclear core suffered a meltdown. the temporary cooling systems are in place, but fukushima remains a crisis. a full shutdown is not expected until next year. 20 kilometers around the plant is a hazardous zone. 88,000 residents are not sure if they will ever return to their homes. >> we have never hidden information. >> reporter: it took you months longer to admit it was a full meltdown. >> we tried to disclose every information we had as soon as possible. such an effort may be in a sense below people's expectation. >> reporter: and most of the international community's expectation. >> i guess so. >> reporter: as for how long the fukushima plant will be a contaminated zone? >> it will take a long time. >> reporter: many years? >> many years. >> reporter: she is not waiting around for that. she is moving with her children to the southern islands. her husband will stay behind to work. she simply is fed up. i want to go back to the life we had before the quake, she says. i want to go grocery shopping without worrying and have my children play outside. i want it back. it will only come, she says, by moving far, far away. kuhang lah, cnn news. >> it will take years to shut that plant down. we are looking at how japan is coping six months after the quake and tsunami. we will focus on the state of the japanese economy and how the businesses are coping since the disaster and coping with less energy. i'll be live in tokyo on thursday and friday. stay with us for that. world business today returning in a few moments. from cnn london, i'm charles hartson. >> welcome back. >> it is an early monday morning. an hour and a half into the trading day and we are looking at losses of 2% or more. for the dax and the paris and zuri zurich. jobs growth stagnated in august. we are looking at a setback for angela merkel in the elections over the weekend of the she has had a fifth state election defeat. it is looking bad for the euro. that is being hit. the third thing is banking stocks hit. european banks, among the 17 financial companies being sued by the u.s. federal agency. they are accused of misrepresenting the quality of the loans sold. we are looking at losses of more than 6% for rbs which is being sued for $40 billion. by the way, credit suisse is being sued as well. societe general is being sued as well. dreadful morning, andrew. >> you will think bankers will be happy to see stocks not trading today since it is a u.s. holiday. here in asia, banks were being hit slightly indirectly. hsbc was down. heavy losses down across the region because of what was going on with the exporters and big resources companies. not surprising there given the exporters rely on key markets in the u.s. and europe. that is how the numbers ended up. the nikkei is down 1.8%. sony off by 4%. hong kong down by 3%. cnk is down 8% of the close after closing a production rig because of leaks. that dragged the broader market down. speaking of resources, in australia, the biggest mining house in the world is down substantially by 2%. that dragged the broader s&p down as well. all in all, a gloomy day here, charles. >> the u.s. futures, for what it's worth, hardly encouraging. it was worth noting the u.s. markets are closed for the labor day holiday today. we are looking at losses. clearly moderate ones after friday, andrew. let's take a look at the other business stories making headlines today. israel's prime minister is promising to act quickly to ease the cost of living. hundreds of thousands of people filled the streets across the country in record-setting protests over high prices. the benjamin netenyahu says it could boost the crisis. the world's largest car market says it will manufacture the prius will make components in china. it is the first time they will make key parts outside of japan. several major web sites have been hacked. the site for package carrier u.p.s. and the register and the daily telegraph are targets of dns hacking. the hackers were able to take control of the web addresses than the sites. now for a time, the u.p.s. web site showed what appeared to be a hacker's message written in turkish. it had the date september 4th saying it was world hackers day. many people in the northeastern united states have hardly had fun. they are still cleaning up the mess left by hurricane irene. on sunday, president obama toured some of the places hardest hit. susan candiotti reports. >> reporter: cheers for the president as he visited wayne and paterson, new jersey, ravaged by hurricane irene. the president heard from residents who lost their homes and businesses due to record floods here in new jersey. he promised federal help to get people and their towns back on their feet. >> the main message that i have for all of the residents not only of new jersey, but all of the communities affected by flooding and by the destruction that occurred as a consequence of hurricane irene is that the entire country is behind you. and we are going to make sure that we provide all of the resources that are necessary in order to help these communities rebuild. >> reporter: across the region, including vermont, new jersey and new york, thousands of people are unable to return to their homes more than one week after the storm. however, there are signs of progress. this bridge, for example, that was still closed during the president's visit has now reopened. we talked with one of the workers who made that happen. >> i took a look around and saw the damage. he told the people that he will support us financially and try to help us. >> reporter: although the passaic river has returned to its banks, there are no illusions that the clean up to take months. in places like paterson, new jers jersey, it could take longer. susan candiotti, cnn news, new jersey. then officials in the u.s. gulf coast region say lee is stubborn and slow moving. the storm has drenched new orleans with more than 25 centimeters of rain. the deluge that put the levee system to the test. a tornado watch is in effect. the rain is expected to last for another 24 to 36 hours as lee makes its way north. let's get the latest on lee with ivan at the world weather center. >> not only for the southeast, but it will head to the northeast. that was impacted by irene. two areas of the united states will be under the gun for heavy rainfall here. one of the pumps that the army corps of engineers put into place had to be used after this rain event. there is the low there. the depression that will essentially merge with the frontal boundary from the west. as that happens, look at the rain shield that extends from louisiana all the way into canada here. a lot of tropical moisture coming in from the south. flash flood watches in effect. flooding that is in effect in mississippi and eventually into alabama. here is the problem across the spine of the appalachian. we will have issues here with additional flooding as a result of more tropical rain. louisiana will be in the clear in the next 36 hours. thereafter, the problem moves up to the mid-atlantic and into the northeast. so far, we have tallied some impressive totals across the region. up around 250 millimeters plus. you begin to see the purple col color. we will continue to add on top of that. in the southeastern u.s., we can take it. we have been seeing a bit of a drought here across the southeast. the soil can take the water as it comes down, but we will have flooding issues as well because of the amount of water that is coming down. you have to heed the warning when you talk about a tropical storm, andrew. in japan, that caused a calamity there. this is causing problems as a result of flooding. we will keep you posted if you are traveling into hartsfield-jackson international airport. okay, ivan, thank you so much. an unusual effect just then. i don't know if you saw that. >> that was clever. very much more seriously. the tenth anniversary of the 9/11 attack. the u.s. state department is taking the unusual step. straight ahead, we will have the warning on u.s. travelers around the world. imagine... one scooter or power chair that could improve your mobility and your life. one medicare benefit that, with private insurance, may entitle you to pay little to nothing to own it. one company that can make it all happen ... your power chair will be paid in full. the scooter store. hi i'm doug harrison. we're experts at getting you the power chair or scooter you need. i didn't pay a penny out of pocket for my power chair. with help from the scooter store, medicare and my insurance covered it all. call the scooter store for free information today. all this week, cnn is bringing you special coverage of next weekend's tenth anniversary of the terror attacks on the united states. we are looking at how the world has changed and how the rest of the world sees america since the events of that day. >> it was ten years ago next sunday that 19 hijackers took over four jetliners for the u.s. the hijackers killed the pilots and flew the planes into the world trade center towers. they flew one into the pentagon and one crashed in central pennsylvania. as a result of the attacks that day, the world trade center was destroyed and the pentagon sustained major damage and nearly 3,000 people lost their lives. >> the anniversary is not just important to the victims or so many of us who watched the tragedy unfold. it is a key and vniversary for al qaeda who planned the attacks. that prompts u.s. officials to issue a rare warning. >> reporter: it is one of the most charged anniversaries. it is one of al qaeda's plans to attack. the state department has issued a worldwide travel alert. reminding americans of al qaeda's continuing threat. terrorist groups plan attacks to coincide with significant dates on the calendar. >> how significant is it to have the worldwide travel alert? >> it is extraordinary. i don't know a previous occasion where one has been issued like that. a couple of years ago, they issued a general one for europe. there were issues that led to that worry that something might happen in europe. >> reporter: tom fuentes says the new alerts from the state department and homeland security are so vague, they have questionable value. both departments say there is no specific credible threat of a terror attack on the anniversary, but security is tightening. more police and security. extra screening at airports. warnings are everywhere. if you see something, say something. experts say u.s. officials, confident of security measures in place at home, are trying to think like terrorists. tom fuentes has tips for people traveling. don't look overamerican with a college logo or an american flag on your logo. carry your passport with you or leave a copy at the hotel. have the phone numbers of the local u.s. embassy with you at all times. if you have a medical condition, have a month's supply of it. intelligence reports say at the time of his death, osama bin laden had ideas of attacking the united states on 9/11. >> i think al qaeda, because of the loss of the safe haven doesn't have the ability to plan a major attack like in the past. >> reporter: what he says is al qaeda encouraging individuals to take matters into their own hands. that leaves more attacks like the christmas day attack two years ago. brian todd, cnn, washington. >> on tuesday, cnn takes you inside the mission to kill osama bin laden. from the mountains of tora borah and where he was found. chris lawrence and our correspondents around the world dissect the hunt for the world's most wanted terrorist. that is on monday for our viewers in the americas. you are watching world business today. we are back in a moment. ♪ okay, so who ordered the cereal that can help lower cholesterol and who ordered the yummy cereal? yummy. that's yours. lower cholesterol. lower cholesterol. i'm yummy. lower cholesterol. i got that wrong didn't i? [ male announcer ] want great taste? honey nut cheerios. want whole grain oats that can help lower cholesterol? honey nut cheerios. it's a win win. good? [ crunching, sipping ] be happy. be healthy. can i try yours? certainly brought on by the u.s. markets. sending investors back to a safe haven, gold. back to the $1,900 an ounce number. the global picture wobbled with the u.s. jobs numbers out on friday. welcome back. you are watching world business today. >> a rough monday morning on stock markets. two hours into the trading day. the losses are steepening. the london and dax are falling sharply. now, switching gears. known for it's ancient roller coasters. it is not wall street. it has famous hot dogs. coney island of yesterday is getting a makeover to draw new crowds and their money to the old seaside resort. felicia taylor explains. >> reporter: right in the beginning, it is stops and speeds up. you feel like your stomach is about to fly out of your body. the cyclone and the wonderwheel aren't the only game in town at coney island. a new generation of rides are getting rave reviews. this is the scream zone. and all of these new rides are part of a multiyear projects. the city of new york is putting more than $150 million into the project. >> i understand there are about 450,000 people that come to the coney island park. where would you like the numbers to go? >> i think it would increase 20% every year. >> reporter: so here i am with the permanently unelected mayor of coney island, otherwise known as the unofficial mayor. you will take me through the history of what this island really is all about. >> delighted to. this is the photograph of luna park when it opened in 1933. >> reporter: there is a lot of construction happening right now in coney island. things are beginning to change in this neighborhood. >> radical change and rapid change. right across the street, this coney island furniture building next year will be an italian restaurant. government stimulus works. >> reporter: we are taking the past and building it into the future. >> and doing a great job. >> reporter: that is an entertainment project? >> it is zoned for a two-story entertainment complex. theaters and bowling alley and movie theater. >> i have been here 42 years. it looks like this is the end. >> reporter: in the heart of the boardwalk, redevelopment is forcing the shutdown of small businesses. >> it tells you how it used to be. >> reporter: the good old days. >> the good old days is right. >> i'll miss some of my friends and great families that run small businesses. i'll be thrilled with the new ones. >> reporter: coney island may be going through a state of renovation and there are plenty of projects. there is one thing that hasn't changed since 1916. certainly attracts a lot of customers. that is the nathan's hot dog. i got the original. nathan's is part of coney island's past. the new rides are part of the future. >> what is your favorite ride? >> this one. >> reporter: i can't believe what you are going to do to me. i have a fear of heights. i'm not kidding. i'm so glad you are not afraid. >> it is just an elevator. >> reporter: no! >> how are you? knees shaking? >> reporter: completely shaking. i don't know if i can walk. >> the rides are exciting. i'm optimistic. i just want to keep building. >> reporter: hope you can say is soaring on the boardwalk. felicia taylor, cnn, new york. >> if you want to comment on the stories, get in touch with the team through our facebook page. facebook.com/cnnwbt. that's it for this edition of world business today. thanks for joining us. >> are you watching cnn. the world's news leader.