tv CBS Morning News CBS November 12, 2010 4:30am-5:00am EST
empty handed. president obama leaves the g-20 summit without a trade deal or agreement on the escalating currency wars. dry dock. the investigation begins into the cruise to nowhere, as passengers return to solid ground. >> it was camping on the ocean, and i hate camping. >> and potter mania, the world's most famous wizard gets ready to hang up his wand for good. this is the "cbs morning news" for friday, november 12th, 2010. good morning, everybody. thanks for joining us. i'm betty nguyen.
this morning president obama is heading for japan, after the g-20 summit failed to reach agreement on a sticky exchange rate issue stemming from charges that some countries deliberately undervalue their currency to gain a trade advantage. whit johnson is in washington with details on this. good morning, whit. >> reporter: betty, good morning. heading into the summit, the pressing issue was how to fix the global economy. after hours of meetings and debate, still no answer. president obama is walking away from the g-20 summit with little to show for it. >> put simply, we risk slipping back into the old imbalances that contributed to the economic crisis in the first place and which threaten global recovery. >> reporter: after three days of negotiation, the leaders of the world's biggest economies could only come up with a mild statement concerning currency devaluation. the group failed to resolve the major currency dispute that sparked fears of a global trade war. at issue allegations both china and the u.s. are manipulating
the value of their currencies. china is accused of deliberately keeping its currency undervalued to boost exports driving a huge trade imbalance with the united states. >> the issue is one that is an irritant not just to the united states, but it's an irritant to a lot of china's trading partners and those competing with china to sell goods around the world. >> reporter: the u.s. is also in hot water over its plan to pump $600 billion into the american economy. other countries see the move as a selfish scheme to drive down the value of the dollar and give american exporters an edge. >> we must do more to ensure that growth is sustained and translates into jobs for our people. >> reporter: more economic meetings on tap for the president today in japan, the final stop on his four-nation tour of asia. some of the same topics discussed at the g-20 summit are expected to pop up again, including global trade imbalances and currency issues. the president heads back to the u.s. sunday facing anger over his commission's recommendations for slashing the soaring federal deficit.
another disappointment for president obama, the u.s. and south korea were unable to finalize a free trade deal. both sides are still hopeful they can reach an agreement soon. betty. >> white johnson joining us live in washington, thank you, whit. in other news the president also asked about the fate of bush-era tax cuts that are set to expire next months. mr. obama says he is hoping for some sort of compromise with republican leaders. >> my number one priority is making sure that we make the middle-class tax cuts permanent. i continue to believe that extending permanently the upper-income tax cuts would be a mistake and that we can't afford it. and my hope is that somewhere in between there we can find some sort of solution. >> the president and congressional leaders are scheduled to discuss the issue next week. the climate on capitol hill is, of course, a bit different these days.
a just-released cbs news poll found just 40% of americans were pleased with the election results. a majority want compromise between congress and the president. 72% say republican lawmakers should compromise and 78% say the the president should give a little. most americans think congress should focus on the economy and creating jobs. far more than health care or any other issue. but the public has its doubts about what the 112th congress can accomplish. 39% expect lawmakers to accomplish more than usual while 41% expect them to accomplish less. the investigation into the engine fire that crippled a cruise ship in the pacific ocean has begun. the carnival "splendor" was towed to port in san diego thursday. depending on the extent of the damage, the giant ship may have to be put in dry dock. and we are learning more about what it was like on board. kendis gibson reports. >> reporter: it took hours for all the passengers to disem embark from the carnival "splendor" after four days adrift in the pacific, they were
glad to be back on dry land. >> it was an adventure. >> an experience. >> people did the best they could with it. >> reporter: the ship was towed into port thursday morning with no lights, no air conditioning, no cooked food since monday. >> anything hot at this time we would love, you know. anything hot. hot shower, hot food, hot anything. >> reporter: and the worst part? >> no bathrooms for 18 hours. >> toilets weren't running. >> no toilets. >> reporter: the trouble began early monday when passengers awoke to rumbling noise and the smell of smoke. >> they just said there was lots of smoke. lots of smoke but no fire. >> reporter: chris harlan grabbed his video camera. >> that can't be good. >> reporter: carnival cruise lines says passengers were never in any danger but still doesn't know what caused the fire in an engine room. >> we've been this business for 35 years and have never had a like this where we have had a ship dead in the water this number of days. >> reporter: the company is giving everyone on board a full refund and voucher for free cruise. the only question is whether any
of these passengers would ever want to get back on a cruise ship again. >> it was camping on the ocean, and i hate camping! >> reporter: passengers had high praise for the crew. >> the crew was pretty amazing, they took good care of us. >> they treated us like still on a cruise. >> reporter: a fleet of buses carried the passengers to local hotels happy to leave the ship behind. kendis gibson, cbs news, san diego. rolls roast said this morning the cause of the engine failure last week on in jet can be traced to a specific part. the engine failure of the qantas a380 resulted in the grounding of at least nine of the super jumbo jets. the company says the problem is specific to the trent 900 series of engines which caused an oil fire. rolls royce plans to replace the part. now to the latest twist in that russia-u.s. spy swap.
this morning, there are allegations the russian sleeper spies were sold out by a russian intelligence officer. ten suspected russian spies were arrested in june and eventually exchanged for four russians convicted of espionage in their own country. a russian newspaper says the alleged turncoat officer worked for the russian foreign intelligence service. the officer fled russia and the newspaper reports a russian hit squad was in pursuit. on the "cbs moneywatch" stocks in asia headed south this morning. ashley morrison is here in new york with the latest on that. good morning, ashley. >> good morning to you, betty. asian markets saw big profit taking today. japan's nikkei fell nearly 1.5%, while hong kong's hang seng dropped almost 2%. today, wall street gets the latest on consumer sentiment. thursday, stocks dropped after a disappointing sales outlook from tech giant cisco. the dow losing almost 74 points, while the nasdaq was down 23. the government's getting serious about protecting privacy on the internet. the "wall street journal" reports the obama administration will call for new laws and the creation of a new government position to oversee the stepped-up approach. the new strategy is expected to
be unveiled by the commerce department in the coming weeks. nissan is recalling more than half a million vehicles in the u.s. over possible steering problems. the recall involves 2002 through 2004 frontier pickups and xterra suvs. the automaker says a corrosion problem in the steering column could make the vehicles difficult to drive and recalling almost 20,000 sentra sedans over a battery problem. no injuries or crashes have been reported because of either issue. the company says owners will be notified in december and repairs made free of charge. mortgage rates back to their lowest level in decades according to freddie mac, this week's average for a 30-year fixed-rate mortgage is down to 4.17%. the average for a 15-year is 3.57%. the drop is due to the fed's decision to buy $600 billion in government bonds.
and talk about your fine china. an 18th century porcelain vase sold at auction in london thursday for more than $69 million. that's the most ever paid for a piece of chinese art and had been expected to go for around one million. the 16-inch vase was only discovered when a brother and sister started clearing out their parents' very modest home and stumbled upon it. they were said to be in shock after the bidding ended. betty, that makes me think i should visit my parents and find out what's in their attic. >> exactly. dust off some of that stuff and find out if it is worth anything. >> right. >> millions and millions for that. unbelievable. i'm still in shock over it. all right, ashley morrison, joining us live, thank you. just ahead retail wars heat up in the battle for your dollars. plus, favre under fire, an investigation over inappropriate messages ratchets up. you're watching the "cbs morning news." [ female announcer ] your hands are only as clean
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in in ohio a woman recovering from a purse snatching by a thief in an suv last week it was caught on tape. the 61-year-old woman was being asked for directions outside a walmart when the driver grabbed her purse and took off. she was dragged about ten feet before she got loose, suffering a broken shoulder along the way. ahead of the big holiday shopping season, walmart has made a bold move, offering free shipping and that may force competitors to match that or even top the offer. alexis kristofferos reports. >> reporter: walmart just upped the ante in the holiday shopping wars. it's offering free shipping with no minimum purchase required on 60,000 items, including toys and electronics. >> this is a sign of how aggressive retailers understand they have to be for this holiday.
>> reporter: beginning today walmart will foot the bill for ground shipping until december 20th and it says it won't raise prices to cover the shipping cost. >> what they're counting on here is that you won't spend $10, that you'll be spending tens and hundreds and maybe thousands. >> reporter: it's an early christmas gift for online shoppers used to free shipping, with strings attached. target is offering free shipping on some items, but you have to spend at least 50 bucks. you'll have to spend a little more at jcpenney, $69 for free shipping year-around. even online giant amazon.com has a $25 minimum to get free shipping. shipping costs can often make or break a deal. 55% of consumers say they're more likely to abandon an online purchase if they have to pay for shipping. >> it would make a difference, yes. it adds up then you've got to worry about sending it back. yes, it's a good marketing tool. >> i think if i know there is free shipping somewhere, i would consider that store before other stores. >> reporter: and walmart's
aggressive move is sure to drive the competition to come up with new deals to try to win over all those holiday shoppers. in other news, nfl officials investigating minnesota's brett favre heard from a key witness. jenn sterger the woman who allegedly received lewd photos and inappropriate text messages from brett favre talked with investigators for three hours thursday. amid the controversy, favre was asked in an interview thursday about whether he'll play next season. >> are you coming back in 2011? >> no. >> it's not clear how soon the nfl will make a decision about potential penalties for favre. straight ahead, your friday morning weather and, in sports last-minute heroics on thursday night football. this lighting is awful. woohoo! it's not the lighting, girlfriend. mnh-mnh. oh gosh! woo! it's this drab one-tone hair color, ick.
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shipping's a hassle. i'll go to the mall. hey. hi. you know, holiday shipping's easy with priority mail flat rate boxes from the postal service. if it fits, it ships anywhere in the country for a low flat rate. yea, i know. oh, you're good. good luck! priority mail flat rate shipping starts at just $4.90 only from the postal service. a simpler way to ship. here's a look at the weather in some cities around the country. new york, sunny, 59. miami, partly cloudy, 81. chicago, partly cloudy, 65. it's only 45 in denver but it's sunny there. l.a., sunny, 75. time now for a check of the national forecast. the latest satellite picture shows storm clouds gathering over the central plains where thunderstorms are raining down during the overnight hours. scattered clouds are entering the northwest and there are clear skies in the east, as well as the southwest.
later today, there will be a threat of showers from texas to iowa, they could bring gusty winds and small hail, especially in the southern plain states. and the sun will be shining over the southwest and the east coast, kicking off a great start to the weekend. in sports, a dramatic finish on thursday night nfl football. the baltimore ravens scored a fourth quarter touchdown to take the lead over atlanta in the closing minutes but then atlanta's matt ryan connected on a touchdown pass with only 20 seconds left to pull out a 26-21 victory. in the nba, the lakers lose their first game of the season. kobe bryant scored 34 points as los angeles took the early lead in denver. but, carmelo anthony had 32, as the nuggets rallied in the fourth quarter to knock off the lakers 118-112. in miami, ray allen of boston scored 35 points, including seven three-point shots against the heat. the celtics led all the way, beating the heat for the second time this season, 112-107.
and in chicago, derrick rose of the bulls had 22 points and 13 assists against golden state. chicago stayed in first place in the central division cruising to an easy win over the warriors, 120-90. when we return, another look at this morning's top stories and red carpet roll-out. a magical night for the cast of the new harry potter movie. [ sniffles ] [ ma? not sure what to take? now click on the robitussin relief finder. click on your symptoms. get the right relief. makes the cold aisle easy. the robitussin relief finder. it's that simple. as the towel used to dry them. so why use the same hand towel over and over instead of a clean, fresh one every time? kleenex® brand hand towels. a clean, fresh towel every time. kleenex® brand hand towels.
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on t on the "cbs morning news" here's a look at today's weather. a storm system could bring strong thunderstorms to the southern plains and up toward the upper mississippi valley. the southeast will be staying on the mild side. and the northwest remains cool, along with some scattered snow showers. here's another look at this morning's top stories. president obama is headed to japan this morning after world leaders at the g-20 summit in korea failed to reach a deal on
major currency disputes. the united states also failed to reach a trade deal with south korea. and an investigation has begun into the engine room fire that disabled the carnival "splendor." the cruise ship was towed to san diego thursday. passengers spent four days living in primitive conditions with no hot water, no air conditioning, and for some time, no toilets. in london, it was a spell-binding night for fans of the boy wizard harry potter. thousands gathered thursday to catch a glimpse of the movie's young stars at the world premiere of "harry potter and the deathly hallows." charlie daggetta reports from london. >> reporter: the world's most famous wizard is getting ready to hang up his wand for good. harry potter's final battle with the evil lord val ga more will stretch over two films. london hosted the world premiere
thursday. daniel radcliffe strolled down the red carpet as the teen wizard for one of the last times. >> harry potter has come to hope. >> reporter: he was only 11 when the first movie came out a decade ago. >> reporter: of course, physically, you don't look like little harry potter anymore. >> no. a question that surprises many people who meet me i don't have the glasses. particularly young kids are thrown by that. >> reporter: the co-star was not only the highest paid hollywood actress last year, she's a straight-a student at brown university. >> how could i give up this movie that i don't want to give up, you know, going to university, going to college and having that experience, either? >> reporter: the latest film marks a big break from previous potter movies. the school kids are no longer kids, no longer in wizard school and, therefore, no longer safe. it sets up the finale that comes out next summer, which gives movie makers one more chance to cash in on the magic that's already raked in $5.5 billion
across the globe. charlie daggetta, cbs news, london. this morning on "the early show" oscar-winning actor denzel washington. i'm betty nguyen. this is the "cbs morning news." [ female announcer ] with rheumatoid arthritis, there's the life you live... and the life you want to live. fortunately there's enbrel, the #1 most doctor-prescribed biologic medicine for ra. enbrel can help relieve pain, stiffness, fatigue, and stop joint damage. because enbrel suppresses your immune system, it may lower your ability to fight infections. serious, sometimes fatal, events including infections, tuberculosis, lymphoma, and other cancers, and nervous system and blood disorders have occurred. before starting enbrel, your doctor should test you for tuberculosis. ask your doctor if you live or have lived in an area where certain fungal infections are common. don't start enbrel if you have an infection like the flu. tell your doctor if you're prone to infections, have cuts or sores, have had hepatitis b, have been treated for heart failure,
a lot of stars out to greet you this morning. a lot of blurry eyes for a football game that didn't end until 11:00. >> it's going to be sunny and laid back. joining us in the 30s and 61 at lunch and going to a high of 63 and below 60 degrees this evening. in the new, the rhs -- ravens and falcons down to the wire. and deadly combination, four loko and a night of partying.
should that drink be band. and a gas line explosion. these workers were severely injured. we'll tell you how it happened. >> more news and the first traffic report of the week's end, in a few minutes. ,,,, the moment you feel run down or achy nip flu-like symptoms in the bud, with oscillococcinum. get oscillo and feel like yourself again. oscillococcinum, nip it in the bud.