our top stories at this hour -- more unrest in egypt as anger mounts over this week's deadly soccer riot. coming up, chinese support for the euro. angela merkel gets some strong hints that beijing will back the currency. and a sentence of life in prison for khmer rouge's lead torturer and henchman.

we start in cairo where a second day of clashes between protesters and police has left three people dead and hundreds injured. there are reports that a government tax building is on fire as demonstrators across the nation call for military rulers to step down immediately. some of the protesters in the capital, cairo, our soccer fans who blame each of its government for failing to prevent a riot that killed at least 70 people after a game in port said on thursday. a mystery is and police have been fighting since there's a. police have been fighting with tear gas to keep protesters away from government offices. for the latest, let's go live to our cairo correspondent. what is happening right now in cairo? and do you expect this unrest to continue? >> it is still basically ongoing

street battles. the ministry is blocked first, by the police, and then as you come closer, by the military itself. these street protests have been ongoing since thursday night. people kept coming and it became bigger and bigger, and now, there are a lot of people who have taken to the streets around the interior ministry. it looks like it continues. people saying they are not going to stop until they get their rights. some very angry football fans in the streets. >> what about the army? where do they stand on these rights? are they likely to reinstitute emergency law? >> the emergency law was basically never lifted.

they can defy the gains on the streets, and very often, they defy the protesters -- define the protesters as gangs. you do not really need to talk about lifting the emergency law. the military has blamed quite a few people who they say are responsible for what happened a few weeks ago and there were 47 people dead. they want the military to administer security right now. >> thanks for the update from cairo. a battle of nerves between tehran and western capitals continues with iran watching a new satellite and with the israeli defense minister saying that if sanctions do not stop iran's nuclear program, the need to consider action will arise in reference to the possibility of

military strikes. it is against this backdrop that the highly respected minute security conference begins today. >> one question facing the experts at the conference is berlin's role in the world power structure. the german defense minister wants more military autonomy for europe. that could also mean a bigger role for germany, for example, in the fight against piracy. >> we are more involved than others in operation in atlanta, and we have an official leadership role. we do not need to hide our light under a bushel. >> there were also strong words from u.s. defense secretary leon panetta over iran. even before arriving at the conference, he said, "we have all options on the table." there is also growing speculation israel might attack iran with or without the u.s. the german approach is very different. >> we want iran to clearly in

verifiably show that it is not seeking nuclear weapons. that is why we have implemented sanctions. the sanctions are unprecedented, and the more states that participate, the quicker they will have an effect. >> participants will be debating a whole host of security issues right through the weekend, but iran remains number one. >> our chief political correspondent is in munich right now. we spoke to her earlier and asked about some of the main themes. >> one of the main themes that is emerging is the link between economics and security at the opening discussion this afternoon. speakers noted that germany, as the continent's economic powerhouse, or as one for the separate but it, as europe's main shareholder, should be playing a larger leadership role, both economically and militarily. that theme, the link between

economic and security, will continue with discussions on energy and tomorrow with a very high level of discussion on the implications of the financial crisis for global defense. >> who is going to be turning up tomorrow? >> as i mentioned, that discussion on the implications of the financial crisis includes an amazing leadership -- financial leaders rating -- ranging from the heads of deutsche bank and the world bank to the billionaire investor george soros. there is also a whole lineup of foreign ministers, defense ministers, including rather unusually, but the secretary of state from the u.s. and the secretary of defense, leon panetta. that, as i said, is quite unusual that both of them are present here. undoubtedly, that is intended as a signal to the europeans that the u.s. still takes transatlantic ties seriously, even though it is itself still facing budgetary pressures compelling it to withdraw

thousands of troops from europe. >> thanks so much for that update from the munich security conference. in berlin, a group of syrian anti-government activists have stormed the syrian embassy. police say about 30 people forced their way into the property. no one was hurt in the incident. back in syria itself, activists say at least 17 people were killed in clashes. image is posted on the internet on friday are said to show fighting in the city of homs. 1982, the government crushed a muslim brotherhood uprising in that city with a large loss of civilian life. some words of encouragement from beijing over the eurozone crisis. angela merkel has been in china, the chancellor hoping to drum up support for the single currency. both president of hu jintao and his premier wen jibao have hinted that beijing could swing

some of its huge foreign reserves behind europe. today, merkel's focus moved to china and a manufacturing plant in the south. >> this was the easy part of the chancellor's visit -- a tour of a german-owned factory that makes robotic tunneling equipment. the chinese premier accompanied merkel, a gesture that observers noted as a special honor for merkel, and she was also gracious in her comments about china's continuing economic development. >> china's success creates new opportunities for us, just as it does for them. it is the classic win-win situation. >> now, the tricky part of her trek -- numerous human rights activists say authorities prevented them from meeting with the chancellor, and a contribution to europe's bailout fund is proving difficult as well. merkel and other global

officials have been asking china for help as the holder of the world's largest foreign exchange reserves. >> china will continue to support the euro and contribute to its stability. we have faith in europe's economy and in the europe. we believe that the bureau will continue to be an important currency in the future. >> nothing concrete there from the chinese. clear limits have been set, and that is apparently as far as the country's leadership is willing to go, both on money matters and human-rights, for now. >> over to steve now and some very unexpected numbers out of the u.s. today that it is worth noting markets do not usually like surprises, but when they look like this, things are different. a u.s. employment data spark fireworks friday. the much-anticipated jobs report from the u.s. government has

shown that new hiring in january pushed the unemployment rate down 8.3%, the lowest level in nearly three years. all in all, 243,000 new jobs were created last month. the news gives president obama a welcome boost as he gears up his reelection campaign. unemployment has not been as low since just after he took office. >> there is still far too many americans who need a job or need a job that pays better than the one they have now, but the economy is growing stronger. the recovery is speeding up. and we have got to do everything in our power to keep it going. >> there are still long lines when companies hold job fairs to find new employees, but it is a worthwhile way for many. private companies are the motor behind america's labor market recovery with over 250,000 new jobs in january alone.

even the ailing construction industry is recruiting. the sudden upturn surprised analysts. now, the hope is it will boost consumer spending, which accounts for over 2/3 of u.s. gdp. that's not in reaction to that data, european equity markets wrap up a sensational week with a strong rally on friday afternoon. our correspondence and as the summary of the friday session from the frankfurt stock exchange. >> traders had to wait hours, but were finally rewarded in the afternoon with surprisigly good job numbers from the u.s., on which they even reacted with applause. this was the signal for the dax to make a real jump. shares of cyclical companies were the best performers. investors are hopeful that new jobs may fuel consumer spending and increasing, for example, demand for german cars, but german car makers do not feel any crisis. >> even announced a new sales forecast after promising better

numbers in general. >> we say and frankfurt for a look at closing numbers in europe, starting with the dax, up by nearly 1 1/7% at the closing bell, finishing at 6766. your stocks 50 up by nearly 1.5%. across the atlantic in new york, the dow at this hour of by well over 1% in early trading there. the euro flat against the dollar, trading at a value of $ 1.3142. raese's future looks increasingly uncertain after eurozone finance ministers scrapped plans to bid on monday to finalize a deal -- greece's future. the deal came despite comments that a deal to restructure their massive debt was close at hand. the talks with private investors on a 70% write-down of holdings have been bogged down, and greece also has to pass a new round of austerity measures it it is to get any further bailout money.

the european central bank and the international monetary fund. >> the troika of the eu, ecb, and imf wants greece to do much more to get its finances in order. they want the country's minimum wage reduced and generous and of your bonuses cut. but the greek government has failed to get the latest measures through parliament, even the finance minister says there is no alternative. >> yes, the people have become poorer. yes, we are living in a drama. yes, our standard of living has gone down. yes, it is dramatic to have to cut pensions and wages, but what we could be forced to live through and what we are trying to avoid is indescribable. >> talks with private bondholders are also at a standstill. banks seem ready to accept a major write-off, but even that may not be enough. the country has run up a national sovereign debt of 350

billion euros. private creditors may have to write off 100 billion euros. that would be a 70% loss for them. the european central bank is also now under pressure to write off 15 billion euros owed it by athens. time is clearly running out for greece, and the eu says there is no point in holding another summit if greece has not reached a deal with the troika and its private creditors before hand. >> with europe in the grip of a record cold spell, gas supplies from russia have been reduced by as much as 30%, affecting a wide swathe of the nation's from poland to italy. russia is blaming ukraine for the shortages, accusing the government in kiev of taking more than its allotted share out of transit pipelines. the ukraine has denied the accusations, stating that russia's state-owned gas pumping less than promised. having learned from similar

situations in winter is gone by, the eu boosted gas reserves and says there is plenty to meet demand. good thing, too, because it is cold outside. >> we have this news now -- the president of sudan said in an interview that his country's dispute with south sudan could lead to war. those two countries are odds over oil, which south sudan can only export through its neighbor. they have been unable to agree on terms, leading sudan to seize some of the oil. in retaliation, the south shut down production altogether. the president says the attack to shut down is an attempt to cause the sudanese government to blush. war crimes tribunal had a life sentence to the khmer rouge execution appeared the 69 year- old is the first member of the khmer rouge regime to be tried by the united nations-backed tribunal. >> the judge called it a factory of death. security prison 21 in palm pen.

thousands were tortured and executed here. a united nations-backed tribunal has ruled he will spend the rest of his life behind bars. he had appealed a previous sentence, pleading he was merely following orders, but the court instead decided the original prison term did not reflect the severity of his crimes. those crimes include murder, torture, execution, and enslavement. under cambodia's khmer rouge, an estimated 200 people perished in the killing fields. four years of atrocities to create a role communist society. this case is the first to be concluded by the tribunal set up to try the perpetrators. this legacy has left deep scars in cambodia. it wiped out almost 1/4 of the country's population. >> stay with us.

coming up in one minute, we will be going to the munich security conference and talking to our correspondent there about some of the issues that that conference is dealing with. stay with us.

>> welcome back. thanks so much for staying with us. one of the world's oldest and most closely watched gatherings on security and defense issues is under way right now in southern germany. the munich security conference dates back to 1962, at a time when the cold war was the prism for looking at everythingprelatd intelligence services. that era is, of course, long gone, and most of the 40,000 u.s. troops still in europe will be heading home in coming years. for washington, containing a rising china is the new strategic priority.

>> as a pacific nation, the united states will play a larger and longer-term role in shaping this region and its future. >> that was u.s. president barack obama speaking to parliament. washington's ship of its strategic focus away from europe has forced the continent's politicians to rethink their position as well. >> for those of us in europe, this means we have to pull together more, and we have to improve our security policy. it means the u.s. is placing greater trust that s but will expect more of us in return. >> the u.s. wants to be able to send fewer resources to areas where you're already has a presence. that is not just a strategic consideration. it is also an economic one. being the world's only policeman is getting too expensive for the u.s. and now we may have a sovereign debt crisis in europe, but

public debt in the u.s. is worse. the u.s. simply can no longer afford to be the stabilizing force in two regions. >> military strategy in the u.s. is focusing increasingly on china. beijing has acquired a lot of military hardware in recent years. it is involved in territorial disputes with countries allied to the u.s. over island's rich in fuel deposits. >> the question is whether china will act like what we call a responsible member of the international community, keeping to the conventions of politics and diplomacy and whether it will take on the role within international institutions that america expects it to take. >> the u.s. plans to up its presence in asian countries like singapore and vietnam. experts are not surprised that the u.s. military is turning its attention away from europe. >> western politicians are right to point out that germany and europe are now surrounded by the allies, so we should not be surprised that the u.s. reacts by reducing its troop presence

in europe and withdrawing from the role of guarantor of europe and atlantic security that it has billed for 60 years. >> but one area the u.s. will not be turning its attention away from is the gulf. in particular, iran. washington suspects tehran of trying to build a nuclear weapon. >> we spoke earlier with the chairman of the munich security conference, who was germany's foreign ambassador to the u.s. we began by asking whether the reforms in germany mean we should expect berlin to take more of a leadership role on security issues in the years ahead. >> i do not think that germany aspires to a leadership role. we are already carrying a leadership burden in the effort to resolve the financial crisis, are we not? no, but germany, of course, needs to adapt her forces to the fact that we are no longer really in need to defend our borders against some and it kind

of invasion. we need to be able to participate with our partners in the kinds of contingencies that, unfortunately, appear over and over again, so no, no leadership role, but an active part in sharing the burden with our allies. >> with the financial crisis and massive cuts, the united states cannot afford to police the world anymore. so it is focusing right now on the pacific. just how important is this strategic reorientation? >> i think it is a very important strategic reorganization. we in europe should not complain about it. it is not a negative thing for us if in the wake of these american decisions, some additional american troops are being redeployed to places

outside of europe. that is what i believe part of a normalization process is. we are in a fortunate position that we are by a large free of military conflict in western europe today. that is why for a military reason, we do not really need large american forces and more. those times are, fortunately, over. i think we need to work with our american partners in defining our policy towards asia, not in terms of military rivalry, but in terms of cooperative political partnerships with china, india, and other important and rising partners in the world's most important area in the future. >> another pressing international concern -- tensions in the gulf. how likely is it that israel will unilaterally strike iran, as many suggest? >> i certainly hope that a

military strike is not an option, even if some people talk about it. it would be a declaration of bankruptcy, i believe, politically speaking, diplomatically speaking, if the only alternative to sanctions were war. war should never be our only option, and i'm sure we will find ways to work with tehran to overcome this difficult situation without going to war. then a the munich security conference. thank you so very much. -- >> the munich security conference. thank you so very much. how much germany facing up to tomorrow's security challenges at a time of cutbacks, changing priorities, and security challenges? then the german defense minister knows better than most how fast the world is changing. germany's security interests now extend far beyond its borders. to keep in step, he is trying to turn germany into a professional force capable of rapid overseas deployment.

>> the reorganization of the german army will make it more capable than it is now. whether we use that capability is a political question. >> last year, germany ended conscription for the armed services. the new professional force will be 1/3 smaller and have fewer bases. critics of the reforms in germany is in danger of losing its international standing. >> at the end of this reform process, the german army will have less money, less equipment, and less staff. we are very concerned that europe's most populous country will not have a military strong enough to exert any influence. >> but what sort of influence does germany what? the sweeping changes in the arab world have shifted berlin's priority towards a more common european diplomacy, but a joint security policy would be of more

value, something germany's defense minister says is still in its early days. >> the structures exist, but they do not work effectively. they can and should. >> but they cannot help in germany's most pressing concern at the moment -- the eurozone debt crisis. even though it also threatens german prosperity. in this case, it is up to the chancellor to protect the nation's security by persuading europe that reforms are necessary. >> there are limits -- security policy is closely connected to financial policy, and we cannot be leaders in everything. >> that may be true now, but while germany is already a leader when it comes to pushing for economic reforms, its armed forces will also have to take on new responsibilities of the country is to continue to play a leading role on the world stage.

>> we will have much more from the munich security conference over the weekend, so stay with us for that if you can. that is all for us for now, though. see you next time. captioned by the national captioning institute --www.ncicap.org--