BBC News with Stewart Macintosh

President Obama has urged the US Congress to lift America’s debt ceiling warning failure risked returning the country to recession. With the deadline in just over a week, Mr. Obama said he was open to negotiations if Republicans agree to lift the debt ceiling temporarily. Mark Mardell reports.

“I’m not bargain,” declared the president and his language was very hard-line comparing Republicans to hostage takers. He said he would talk to anyone about anything but not while he was being threatened and he made it clear not raising America’s debt ceiling

could be catastrophic. But there was perhaps just the suggestion over way ahead, the president said he’d going to talks if the government was reopened, the debt ceiling lifted for the links of negotiations. The speaker of the House Republican John Boehner called that a demand for unconditional surrender. He said there had to be something in return.

There are growing signs of financial markets being effected by the political standoff in Washington. The main US stock market Indices fell more than 1% on Tuesday and there was evidence over concern in the market for US government debt meanwhile a White House official says President Obama will nominate the current vice chairman of the US Federal Reserve Janet Yellen to succeed Ben Bernanke as chairman. Andrew Walker reports

The chair of the US Federal Reserve is arguably the world’s most powerful economic official. If Janet Yellen does indeed get the job she would be the first woman to take that role. The Fed has had a central place in the US response to the financial crisis and the mere possibility that it might start to curtail its efforts has led to significant recent turbulence in global financial markets. Mrs. Yellen is seen as someone likely to favor withdrawing the Fed’s post-crisis measures very gradually.

The Libyan National Congress has demanded the return of Abu Anas al-Liby, the Libyan militant suspected of being an al-Qaeda operative who was abducted from Tripoli by US special forces on Saturday. Libya’s minister of Justice, justice Salah al-Marghani described the operation as a kidnapping. Earlier Libya’s prime minister Ali Zeidan insisted Libyan suspect should be trialed in Libya.

President Putin has demanded an apology from the Netherlands after a Russian diplomat was arrested at the weekend. Moscow alleges that armed men beat him in front of his children. Anna Hooligan reports

The Dutch foreign ministry has agreed to look into events inside the diplomat’s home on Sunday evening. A representative of the Russian embassy says she believes police were called after neighbor’s complained by the way Mr. Borodin was treating his children but he says he was protecting them. President Putin has accused the Netherlands of violating the country’s diplomatic immunity. Relations between the two nations are already unusually strained after the Dutch government initiated legal action against Russia in connection with the detention of 30 Greenpeace activists.

World News from the BBC

A huge fire at a closing factory in Bangladesh killed at least nine people. The blaze engulfed a warehouse and two other buildings on the outskirts of the capital Dhaka. Bangladesh’s 21billion-dollar garment industry has suffered several disasters in recent months.

The Argentine President Cristina Fernandez de Kirchner has undergone surgery to remove a blood clot on her brain two months after she suffered a head injury. Her press secretary said that two-hour long operation was successful and Mrs. Fernandez was in good spirits. Her leave of absence means she had to stop campaigning for this month’s congressional elections.

A medical study in Britain says people living in areas which have very high level of aircraft noise would appear to be at greater risk of stroke or heart disease. Researchers studied more than 3.5million people living near Heathrow Airport in West London. Here is our health correspondent Jan Rocha.

The researchers find that in the areas where noise from planes was loudest, the risk of being admitted to hospital or dying from a stroke or heart disease was between 10% and 20 % higher. Writing in the British medical journal, the author suggested this could be because the startling and annoying effect of the noise was leading to raise blood pressure. The team was at pains to point out that the possible link between aircraft noise and illness was far less significant than people think increase the risk from fact such as smoking. But the researchers think the connection should be investigated further and policymakers should take it into account.

Police in Mexico City have freed unharmed members of a Spanish rock band who were kidnapped by a criminal gang. No arrest has been made. The members of the band Delorean were phoned in their hotel by someone posing as a policeman and told to move to a different hotel where the kidnappers were. The gang then demanded a ransom from their relatives in Spain but they seemingly left the musicians unguarded. The families informed the police who located the musicians 48hours after they went missing.

BBC News