Market Rumours

2010/09/15 17:49=DJ DATA SNAP: Euro-Zone Inflation Slips Further Below ECB target

2010/09/15 17:46*DJ Portuguese/German Yield Spreads Stable After T-Bill Auction

2010/09/15 17:45*DJ Portuguese 12-Month Treasury Bill Bid-To-Cover Ratio 1.6

2010/09/15 17:45*DJ Portuguese 12-Month Treasury Bill Average Yield Set At 3.369%

2010/09/15 17:44*DJ Portugal Sells EUR750M 12-Month Treasury Bills

2010/09/15 17:34=DJ DATA SNAP: Swiss ZEW Economic Expectations Index Drops In Sep

2010/09/15 17:33*DJ EU Proposes Strict Limits On Naked Short-Selling

2010/09/15 17:33*DJ EU Seeks More Power To Regulate Short-Selling

2010/09/15 17:32*DJ EU Proposes Legislation To Reduce Risks In Derivatives Trading

2010/09/15 17:28DJ Naoshima: Expect BOJ To Take Further Monetary Steps To Fight Deflation - Kyodo
TOKYO -Japan's Economy, Trade and Industry Minister Masayuki Naoshima said Wednesday that he expects the Bank of Japan to take further monetary steps to fight deflation shortly after the government and the central bank intervened in the currency market for the first time in more than six years, Kyodo News reported. 'In terms of stepping up cooperation between the government and the BOJ, and especially to show our strong resolve to end deflation, I expect more monetary policies from the BOJ,' Naoshima told reporters in Tokyo. He also stressed that the market intervention was in line with the government's policy, approved by the Cabinet on Friday, to 'take decisive actions, including intervention, when necessary' to stem theY's rise against major currencies. 'I think there was a strong impact on the market in the sense that the Japanese government made its will clear,' he added. The policy was stipulated in the new stimulus package the government compiled to tackle the recent upsurge of theY and downside risks to Japan's economic growth. Asked about what the government would like the U.S. dollar-yen exchange rate to be, Naoshima said while it is difficult to tell, the assumed rate level among Japanese companies is 90Y to the dollar and the point is how 'one thinks about the gap.'
2010/09/15 17:27*DJ Greek Finance Minister: Trying To Limit Further VAT Increases

2010/09/15 17:25*DJ Greek Finance Minister: Spending Cuts Offset Lower Revenues

2010/09/15 17:24*DJ Greek Finance Minister:Cutting Spending Faster Than Projected

2010/09/15 17:21DJ German Merkel: Germany Is Now Europe's Growth Engine
BERLIN -German Chancellor Angela Merkel Wednesday painted a rosy picture of the economy, pointing to higher growth and lower unemployment.'Germany is back on a growth track,' Merkel said, pointing to the European Commission's forecast for growth of 3.4% for this year. Two years after the collapse of U.S. investment bank Lehman Brothers, a big part of the catch-up process has been done, Merkel told lawmakers in the lower house of parliament during the debate on the 2011 budget.She added that the biggest success is the decline in unemployment and that a jobless figure of below 3 million people is possible. She said Germany is the European Union's growth engine and is therefore living up to its responsibility for the bloc.The German economy posted quarterly growth of 2.2% in the second quarter.The government is due to revise its 2010 growth forecast on Oct. 21 and an upward revision from the 1.4% projection given in April is expected.Website: www.bundesregierung.de
2010/09/15 17:20=DJ DATA SNAP: UK Aug Claimant Jobless Rises Unexpectedly

2010/09/15 17:16DJ Huadian New-Energy Unit Denies Report On Underwriter Hiring, Asset Injection
SHANGHAI -China Huadian New Energy Development Co., the new-energy unit of China Huadian Corp., denied Wednesday a local media report about the underwriters it had hired for its planned initial public offering in Hong Kong, and about an asset injection from its parent company.The Economic Observer newspaper on Monday cited Huadian New Energy Development's general manager, Fang Zheng, as saying the company had hired UBS AG, Merrill Lynch & Co. and Citic Securities Co. to underwrite its planned Hong Kong IPO.The report also cited Fang as saying Huadian Corp., one of China's five major power utilities, will inject its Fujian province-based hydroelectric assets into the new-energy unit.A lawyer representing Huadian New Energy Development told that the Economic Observer published the interview with Fang without the company's permission. In addition, the interview was conducted more than two months ago and the information was already outdated, she said.She didn't offer other details.
2010/09/15 17:09*DJ 3-Month Euribor Falls To 0.876% Vs 0.877% Tuesday

2010/09/15 17:06*DJ Germany's RWI: Previously Forecast GDP Up 1.9% in '10

2010/09/15 17:05*DJ Germany's RWI: Recovery Continuing More Moderately

2010/09/15 17:04*DJ Germany's RWI: World Economy Not Yet Past Financial Crisis

2010/09/15 17:04DJ Germany's RWI: GDP To Grow 3.4% in '10, 2.2% in '11
BERLIN -The German economy's explosive growth in the second quarter means gross domestic product gains will be higher than expected this year, but the overall trend excluding that three-month period is more moderate, a leading economic think tank said Wednesday.The Essen-based RWI, one of Germany's major research institutes, raised its forecast for gross domestic product growth to 3.4% in 2010 and 2.2% in 2011 from its June estimates of 1.9% and 1.7% respectively."The heightened forecast reflects unexpectedly strong growth in the second quarter, but the basic growth trend remains moderate," the RWI said in a statement. Germany's economy grew an annualized 9% in the second quarter.The RWI's forecast for 2010 matched that released by the European Commission Monday. The German government is due to update its own prognosis next month.The tendency toward moderation in German growth is being led by a light increase in domestic demand, and waning demand from abroad. Unemployment is likely to continue dropping, the institute said.Still, the RWI said risks remain."Despite growing production, the world economy has not recovered from the financial crisis," the RWI said. "Financial markets remain very volatile, and the recovery is fading in industrial as well as developing countries."Continued government stimulus spending means the federal deficit will expand to 2.9% of gross domestic product in 2010--but the government's plans to cut EUR80 billion over the next four years will succeed in bringing the deficit under 3%, the RWI predicted.
2010/09/15 17:01*DJ Euro-Zone Aug CPI Forecast +0.2% On Mo; +1.6% On Yr

2010/09/15 17:01*DJ Euro-Zone Aug Core CPI +0.4% On Mo; +1.0% On Yr

2010/09/15 17:01*DJ Euro-Zone Aug CPI Ex-Tobacco +0.2% On Mo; +1.5% On Yr

2010/09/15 17:00*DJ Swiss Sep ZEW Econ Expectations At -5.1 Vs 9.1 In Aug

2010/09/15 17:00*DJ Euro-Zone Aug CPI +0.2% On Mo; +1.6% On Yr

2010/09/15 16:55*DJ Source: BOJ Wants To Increase Effects Of Forex Intervention Via Market Ops

2010/09/15 16:53*DJ Source: BOJ Sees "No Need To Absorb" Yen From Forex Intervention

2010/09/15 16:51DJ French 2011 Budget Based On 1.5% Inflation, Euro At $1.30 - Report
PARIS -The French government's budget for 2011 is based on annual inflation of 1.5%, with the euro at $1.30, France's finance minister says in a interview with Le Figaro published Wednesday. The 2010 budget was based on a 1.2% annual inflation rate, although on Tuesday, the government reported a 1.4% annual rate for August, and the euro is currently changing hands around $1.30. Finance Minister Christine Lagarde also said in the report that the budget, which will be unveiled Sept. 29, is based on benchmark Brent crude oil at $80 per barrel. The minister also confirmed the government's intention to reduce its gaping public sector deficit to 6% of gross domestic product from the 8% projected for 2010. She said that to bring the deficit down to the 6% level, the government would have to cut EUR40 billion in spending, which she plans to do with a combination of additional revenue derived by economic growth, cuts in government operating expenses and the elimination of economic stimulus programs. As reported earlier, Lagarde in the interview also forecast 2010 economic growth at 1.5% and that for 2011 at 2.0%, saying the economic recovery is on pace, although the global economic crisis of 2008-2009 isn't completely behind us. Newspaper Web site: http://www.lefigaro.fr
2010/09/15 16:50DJ Cheung Kong Infrastructure Hires JP Morgan For Dollar Bond Roadshow -Source
SINGAPORE -Cheung Kong Infrastructure Holdings Ltd. is planning to sell a dollar-denominated bond, a person familiar with the situation said Wednesday.A roadshow for the sale is expected to start Friday in Asia, the person said, adding that J.P. Morgan has been mandated for the roadshow.
2010/09/15 16:48=DJ MONEY TALKS: Japan Takes On The $4 Trillion Monster

2010/09/15 16:44DJ BOE Declines Comment On Japanese Forex Intervention
LONDON -The Bank of England Wednesday declined to comment on Japan's intervention in the currency market to weaken the yen. Japan's intervention, its first in more than six years, comes amid government and central-bank concern about the impact of the aggressive appreciation in the yen on the export-dependent economy. The move by the authorities came as the dollar fell to a new 15-year low of Y82.87. Bank of Japan Governor Masaaki Shirakawa said in a statement that he hopes the intervention will stabilize the foreign-exchange market.
2010/09/15 16:39*DJ Japan MOF Continues To Intervene In Forex Market - 2 Traders

2010/09/15 16:35*DJ UK ILO 3 Mos To Aug Unemployment -8,000, 7.8% Rate

2010/09/15 16:34DJ Japan Government Expects BOJ To Leave Interventions Unsterilized -Sources
TOKYO -Japan's government expects the Bank of Japan to leave yen sold by the Ministry of Finance in Wednesday's intervention sloshing around the market, people familiar with the matter said. 'The BOJ is saying it is leaving unsterilized,' said one of the people. Leaving the yen in the currency market--or not 'sterilizing' the interventions, in market parlance--would increase the impact of the MOF's yen-weakening action, analysts say. Finance Minister Yoshihiko Noda said earlier that the ministry intervened in the foreign exchange market for the first time in more than six years, selling the yen to deal with 'severe economic conditions' facing a country that depends heavily on exports for growth.
2010/09/15 16:34*DJ European Union Plans EUR1.15 Billion 2017 Bond Issue

2010/09/15 16:34*DJ Japan MOF Likely Sold Y1 Trillion In Forex Market Wednesday - 2 Traders

2010/09/15 16:33*DJ UK 3 Mos To Jun Avg Earnings Unchanged At +1.6%

2010/09/15 16:32*DJ UK 3 Mos To Jul Avg Earnings Was Forecast +1.6%

2010/09/15 16:32*DJ UK 3 Mos To Jul Average Earnings +1.8%

2010/09/15 16:31*DJ UK Aug Adj Claimant Rate Was Forecast 4.5%

2010/09/15 16:30*DJ UK Aug Adj Jobless Claimants Was Forecast At -5,000

2010/09/15 16:30*DJ UK Aug Adj Jobless Claimant +2,300 At 4.5% Of Workforce

2010/09/15 16:30=DJ Forex Focus: Swiss Franc's Upside Is Limited Now

2010/09/15 16:30=DJ DATA SNAP: Italy Aug CPI Confirmed +0.2% On Month, +1.6% On Year

2010/09/15 16:28*DJ Cheung Kong May Sell Bond After Roadshow -Source

2010/09/15 16:28*DJ Cheung Kong Dollar Bond Roadshow To Start Fri In Asia -Source

2010/09/15 16:27*DJ Cheung Kong Infrastructure Hires JP Morgan For US Dollar Bond Roadshow -Source

2010/09/15 16:06DJ JGBs Up As Fiscal Fears Ease; FX Intervention Impact Limited
TOKYO -Lead Japanese government bond futures ended sharply higher Wednesday, as the victory of fiscally prudent Naoto Kan in a ruling party election helped ease oversupply concerns. The upside was somewhat limited, however, by the Ministry of Finance intervening in the currency market to sell yen. With the DPJ presidential election over and the bond market's fiscal concerns alleviated, players are willing to take advantage of the 'excessive' JGB price falls that took place ahead of Tuesday's election, said Maki Shimizu, senior strategist at Citigroup Global Markets Japan. Kan won the fiercely contested Democratic Party of Japan leadership race by defeating political heavyweight Ichiro Ozawa, allowing Kan to continue as prime minister. Longer-dated government bonds were sold off sharply after Ozawa--known as a fiscal expansionist--announced he would run in the election. On Wednesday, lead December JGB futures closed up 0.74 at 142.12. The contract briefly touched the intraday low of 141.58 at the beginning of the afternoon session, as Japan's government intervened in the foreign exchange market for the first time in more than six years, pushing the yen down and boosting Tokyo shares.Players initially sold off JGBs on the MOF's action. But demand remains strong after Kan's win, and with no more long-term JGB auctions planned this month, said Nobuto Yamazaki, executive fund manager at DLIBJ Asset Management.While the market will closely examine the effects of the intervention, the 10-year cash JGB yield is expected to decline to around 1.0% in the near term, Yamazaki said. The benchmark 10-year cash JGB yield fell 9.0 basis points to 1.040%, as of 0600 GMT. Citigroup's Shimizu also expects any impact of the intervention to be limited on JGBs, and the overall bond market trend to remain solid in the latter half of this month. She said the MOF's move alone won't likely reverse the yen's broad upward momentum.
2010/09/15 16:05*DJ UK BOE: No Comment On Bank Of Japan Intervention

2010/09/15 16:04*DJ Conference Board: Leading Economic Index For Spain Up 0.4% In July to 108.6

2010/09/15 16:01*DJ Italy Aug Final CPI Was Seen At +0.2% MM; +1.6% YY

2010/09/15 16:00*DJ Italy's Aug Final CPI +0.2% On Mo; +1.6% On Yr

2010/09/15 16:00DJ PBOC Adviser: Raising Deposit Rate Would Benefit Financial Stability
TIANJIN, China -China is likely to contain inflation at 2.9% this year, but raising deposit interest rates would benefit the country's financial stability, People's Bank of China adviser Li Daokui said Wednesday.Li's remarks, made at the World Economic Forum in Tianjin, come after he recommended in a recent interview on state television a slight increase in deposit rates to partly offset nearly two-year high consumer prices.China's consumer price index rose 3.5% in August, its biggest gain since October 2008 and higher than July's 3.3% increase. The increase was well above the country's one-year benchmark deposit rate of 2.25%, meaning real interest rates are negative.China doesn't let banks offer deposit rates above benchmark deposit rates.Li also said China should levy more tax on capital income and less on labor income as a way to address the country's widening income gap, a source of economic imbalance and social instability.
2010/09/15 15:56DJ Tokyo Shares Surge After Japan Intervenes To Stem Yen Rise -2-

2010/09/15 15:56*DJ German Merkel: Will Continue To Work For Tax On Fincl Markets

2010/09/15 15:50*DJ German Merkel: Euro Has Helped Germany To Get Through Crisis

2010/09/15 15:48=DJ WORLD FOREX: Yen Plunges Vs Rivals After Japan Intervenes -3-

2010/09/15 15:45*DJ German Merkel: Jobless Below 3 Million Is Possible

2010/09/15 15:44*DJ German Merkel: Germany Is Now Europe's Growth Engine

2010/09/15 15:43*DJ Japan Govt Expects BOJ To Leave Interventions Unsterilized - Sources

2010/09/15 15:40*DJ Dollar Slips To THB30.80 Vs THB30.82-30.84 Before BOT Comments

2010/09/15 15:23DJ Gold May Hit $1,500 Before 2010 Ends -American Precious Metals Advisors
MANILA -Gold prices could rise to $1,500 a troy ounce within the year and may even rise to $5,000 in the years ahead before the current price cycle reverses, American Precious Metals Advisors Managing Director Jeoffrey Nichols said Wednesday. Speaking at the Philippine mining conference, he said his firm, however, projects major corrections along the way. 'We think it will hit $1,500 before the end of the year. It will eventually hit $2,000 to $3,000, or probably even $5,000, before the gold price cycle shifts into reverse,' he said. On Tuesday, gold hit a record high of $1,265.75 an ounce.
2010/09/15 15:23=DJ WORLD FOREX: Yen Plunges Vs Rivals After Japan Intervenes -2-

2010/09/15 15:23*DJ Bank Of Thailan: No Immediate Plans To Impose Measures To Curb Baht's Rise

2010/09/15 15:22*DJ PBOC Adviser: Property Controls Must Be Maintained For Considerable Time

2010/09/15 15:21*DJ Naoshima: Expect BOJ To Take Further Monetary Steps To Fight Deflation - Kyodo

2010/09/15 15:20DJ BOJ Noda: To Provide Ample Funds, Making Use Of FX Intervention Funds
SHIMONOSEKI, Japan -The Bank of Japan will make use of yen sold in the foreign exchange market by the Ministry of Finance, policy board member Tadao Noda said Wednesday, indicating that the central bank may not soak up the extra currency from the market. Allowing the funds to slosh around in the market--leaving the intervention 'unsterilized', in market parlance--sharpens the effect of the MOF's yen-weakening action, analysts say. Funds that entered the currency market through Wednesday's intervention 'have a temporary ability to provide money to the financial market,' Noda told reporters after meeting business leaders in Shimonoseki, southern Japan. 'For now, I think we are going to supply ample funds, making use of intervention funds,' he added.
2010/09/15 15:19DJ ECB: No Comment On Bank of Japan Intervention
FRANKFURT -The European Central Bank Wednesday didn't comment on the Bank of Japan's intervention earlier in the day to halt the yen's rise. Website: www.ecb.int -Frankfurt Bureau, ; 49-69-29725-500.
2010/09/15 15:16DJ Sony: Hope Japan Govt To Continue To Take Appropriate FX Steps
TOKYO -Sony Corp. said Wednesday it hopes the government will continue to take appropriate steps in the foreign exchange market.The Japanese electronics and entertainment giant said in a statement there is a limit to how much Japanese companies can do on their own to cope with the yen's rapid rise.While welcoming the latest stance by the government and the Bank of Japan 'to certain degree,' Sony it hopes the authorities 'will continue to take appropriate steps, while watching closely the foreign exchange market situation, coordinating with other countries.'
2010/09/15 15:11*DJ PBOC Adviser: Can't Change Exchange Rate Under Foreign Pressure

2010/09/15 15:09DJ Tokyo Shares Surge After Japan Intervenes To Stem Yen Rise

2010/09/15 15:09DJ Forex Options: Dollar/Yen Options Rise Sharply As Japan Intervenes
TOKYO -Dollar/yen options rose sharply in Tokyo Wednesday after Japan's government intervened in the currency market for the first time in over six years, sending investors scurrying to pick up hedges against any further weakening of the yen. The intervention came after the dollar fell to a new 15-year low of Y82.87 earlier in the day. The government's action immediately pushed the greenback to just below Y85, and traders said there was repeated intervention as the dollar climbed above the Y84.70 level. As of 0500 GMT the dollar was at around Y84.95 after reaching a high of Y85.08. As a result, benchmark one-month at-the-money dollar/yen volatilities increased to 12.45%/13.15% in Tokyo from 11.85%/12.55% in New York Tuesday. Investors are particularly interested in buying dollar-call/yen-put contracts for anywhere between one-week to two-months, an options dealer at a major brokerage in Tokyo said, as they expect the dollar to rise further against the yen. One player bought a one-month dollar-call/yen-put contract at a strike price of 85.00 with implied volatilities of 12.7% for about $30 million, the dealer said. Such a contract benefits the holder if the dollar is above the Y85 strike price at expiry. The dealer said market participants are now paying close attention to any further action by the Japanese authorities as trading hours shift to London and New York from Tokyo.
2010/09/15 15:02*DJ Stoxx Europe 600 Index Up 0.1% After The Open

2010/09/15 15:02*DJ FTSE 100 Up 0.1% After The Open
ptember 14, 2010 03:00 ET (07:00 GMT)*DJ FTSE 100 Up 0.1% After The Open -
2010/09/15 15:00*DJ ECB: No Comment On Bank Of Japan Intervention

2010/09/15 14:56=DJ WORLD FOREX: Yen Plunges Vs Rivals After Japan Intervenes

2010/09/15 14:41*DJ PBOC Adviser: Should Levy More Tax On Capital Income, Less On Labor Income

2010/09/15 14:28*DJ PBOC Adviser: Raising Deposit Rate Would Benefit Financial Stability

2010/09/15 14:15DJ PBOC Adviser: Property Market Adjustments To Take 2-3 Years
TIANJIN, China -It will take two to three years for China's property market to complete the adjustments induced by the tightening measures introduced earlier this year to curb speculation and lower prices, People's Bank of China adviser Xia Bin said Wednesday. The tightening measures contributed to the slowdown in China's economic growth this year, Xia said at the World Economic Forum in Tianjin. He didn't give other details. In mid-April, Beijing introduced a series of measures, including bigger downpayments for home purchases and higher mortgage rates, to rein in excessively fast rises in housing prices. The government has also pledged to boost the supply of cheap public housing.
2010/09/15 14:07*DJ Nikkei Stock Avg Biggest Point, Percent Gains Since July 28

2010/09/15 14:06*DJ BOJ Noda: Govt FX Intervention Will Not Affect BOJ Policy

2010/09/15 14:05*DJ BOJ Noda: To Provide Adequate Funds, Making Use Of FX Intervention Funds

2010/09/15 14:02*DJ Nikkei Stock Average Closes Up 2.3% At 9516.56

2010/09/15 13:51*DJ ACCC: BHP Billiton, Rio Tinto Requested Delay

2010/09/15 13:50*DJ ACCC: Delays Decision On BHP Billiton, Rio Tinto Iron Ore JV

2010/09/15 13:50DJ MARKET TALK: BOJ Leaving Intervention Unsterilized - Nikkei

2010/09/15 13:48DJ SHFE To Adjust Margin, Trading Limits For Holidays Sept. 21-Oct. 8
SHANGHAI -The Shanghai Futures Exchange said it will adjust its limits for margin trading and price volatility in all futures contracts traded on the bourse for the Mid-Autumn Festival and the National Day holidays, from Sept. 21 to Oct. 8.The minimum margin for trading of aluminum and gold contracts will be raised to 12% of contracts' value from 7% starting Sept. 21, the last trading session before the Mid-Autumn Festival holiday, the SHFE said in a statement published on its website.The changes will revert to 7% from settlement time on Oct. 8, the first trading session after the weeklong National Day holiday, if trading on that day doesn't hit upper or lower limits, it said.For zinc contracts, the same 12% minimum margin will apply starting Sept. 21, and it will revert to the normal 7.5% starting Oct. 8, if trading on that day doesn't hit upper or lower limits. With the same conditions, minimum margins for trading of rebar, wire, natural rubber, and fuel oil contracts will be raised to 12% from 8%, and will return to the normal level after the National Day holiday period.For copper contracts the same minimum margin and conditions will apply, with the normal level before and after the holidays being 8.5%.The upper and lower trading limits for all contracts traded on the SHFE will be expanded to 7% of previous settlement prices from 5% starting Sept. 21, and will be adjusted back to 5% on Oct. 9, provided trading on Oct. 8 doesn't hit upper or lower limits.The futures bourse usually makes such changes ahead of long holidays to mitigate risks of higher volatility due to movements on the London Metal Exchange while the Chinese market is closed.SHFE will be closed from Sept. 22 to Sept. 24 for the Mid-Autumn Festival and from Oct. 1 to Oct. 7 for National Day.
2010/09/15 13:32DJ PBOC Adviser: Monetary Policy Must Return To Normal
TIANJIN, China -China's monetary policy must return to normal, People's Bank of China adviser Xia Bin said Wednesday, adding the rapid increase in lending last year created some asset price problems.He didn't give a time frame for when the government should exit from the extraordinary monetary policy it adopted during the financial crisis."We need to appropriately lower potential growth rate expectations," he said at the World Economic Forum in Tianjin, adding China's high economic growth rates during the 2003-2008 period are unsustainable.The government "clearly recognizes" there are asset price problems, Xia said.He also said the government aims to increase domestic consumption, but doing so presents challenges.
2010/09/15 13:23=DJ Asian Shares Mixed; Tokyo Surges On Yen Intervention

2010/09/15 13:01*DJ PBOC Adviser: Property Market Adjustments To Take 2-3 Years

2010/09/15 12:56*DJ India Prime Minister: Aim 9%-10% Economic Growth In Medium Term

2010/09/15 12:52DJ France Finance Minister: Crisis Not Totally Behind Us - Report
France Finance Minister Christine Lagarde said that while the domestic economy is recovering, 'this does not mean that the crisis is totally behind us and that we have digested all the effects,' according to an interview with French daily Le Figaro published on its website Wednesday. Lagarde said she is looking for companies to take the lead in the driving the recovery by boosting jobs and investment, the newspaper reported. She expects France's economy to grow 1.5% this year and 2% next year. Newspaper Web site: http://www.lefigaro.fr
2010/09/15 12:52*DJ Nikkei Stock Average On Pace For Largest Gain Since July 28

2010/09/15 12:47DJ Japan MOF Official: Usually, Forex Intervention Involves Repeated Action
TOKYO -Interventions in the foreign exchange market usually involved repeated action, not one-off moves, a Japanese finance ministry official said Wednesday, suggesting the authorities are prepared to continue intervening as needed to curb the yen's strength."When foreign exchange intervention changes rates, there will be new buyers and sellers and respond to that continuously," said the official who asked not to be named.Another official said the authorities aren't targeting any specific yen levels in the foreign exchange market.
2010/09/15 12:46=DJ UPDATE: BOJ Noda Vows 'Swift And Decisive' Action If Necessary
SHIMONOSEKI, Japan -A Bank of Japan policy board member said Wednesday that the central bank will take policy steps 'swiftly and decisively' if the country's economic recovery falters and its deflationary trend worsens. 'If downside risks to Japan's economy materialize, if there is increased possibility of the economic outlook significantly deteriorating, and if the path to the end of deflation darkens, we must take necessary policy measures swiftly and decisively,' Tadao Noda told business leaders in Shimonoseki, southern Japan. His remarks came as the Japanese government intervened in the foreign exchange market for the first time in more than six years to prevent a sharp appreciation in the yen from dragging on the country's export-reliant economy. Japanese authorities started buying dollars and selling yen soon after the dollar hit a new 15-year low of Y82.87 at around 0130 GMT. At 0300 GMT, the dollar was trading at Y84.50. As speculation grows that the BOJ may be forced to ease monetary policy further if the market intervention fails to curb the trend toward a stronger yen, Noda suggested that the central bank will act to prop up the economy as well, working closely with the administration. BOJ Gov. Masaaki Shirakawa also said in an emergency statement released Wednesday that he hopes the government's yen-selling intervention will stabilize the currency market, adding the BOJ will maintain 'strong monetary easing' and continue to provide ample liquidity to financial institutions. The yen's rise has put many Japanese exporters at a disadvantage against foreign rivals, particularly electronics makers and shipbuilders in South Korea, where the government has intervened heavily in recent months to depress the won. A stronger Japanese currency also pushes down the import prices of oil, food, metals and other commodities that the country buys overseas, feeding deflation at home. At an emergency policy board meeting late last month, the BOJ decided to offer domestic financial institutions Y10 trillion worth of six-month loans, in addition to the Y20 trillion in three-month loans it has been offering over the past few months. In Wednesday's speech, Noda, known as a relatively hawkish board member, warned that the pace of the global economic recovery is slowing, which could put downward pressure on Japan's economy. 'Japan's economic recovery is supported by improvements in overseas economies,' Noda said. Given that the world economy is losing momentum, 'I consider global economic developments to be the biggest risk' for Japan's economy, he added. Noda is slated to hold a press conference for 30 minutes from 0530 GMT, with market focus likely to be on any comments on the government's intervention and any indication of further BOJ monetary easing in the near term.
2010/09/15 12:45*DJ Japan MOF Bought Dollars Above Y85.00 Earlier - 3 Traders

2010/09/15 12:43=DJ Asian Shares Mixed; Tokyo Surges On Yen Intervention

2010/09/15 12:38=DJ WORLD FOREX: Dollar Surges As Japan Intervenes To Weaken Yen

2010/09/15 12:35*DJ Sterling Hits Y131.70; Highest Since Aug 30

2010/09/15 12:34*DJ BOJ Leaving Intervention Unsterilized - Nikkei

2010/09/15 12:33*DJ PBOC Adviser: Monetary Policy Must Return To Normal

2010/09/15 12:31*DJ PBOC Adviser: High Econ Growth In 2008-2009 Unsustainable

2010/09/15 12:31*DJ PBOC Adviser: High Econ Growth In 2008-2009 Unsustainable

2010/09/15 12:29*DJ PBOC Adviser: Not Easy To Increase Domestic Consumption

2010/09/15 12:29*DJ PBOC Adviser: Government 'Clearly Recognizes' Asset Price Problem

2010/09/15 12:27*DJ PBOC Adviser: Fast Loan Growth Last Year Created Asset Price Problems

2010/09/15 12:16*DJ Japan MOF Official: Japan Not Targeting Any Specific Forex Level

2010/09/15 12:15*DJ Dollar Hits Y85.00 On EBS; Highest Since Sep 3

2010/09/15 12:14*DJ Japan MOF Official: Usually, Forex Intervention Involves Repeated Action

2010/09/15 12:04DJ US Fed Has No Immediate Comment On Japan Forex Intervention
Washington -The U.S. Federal Reserve late Tuesday said it had no immediate comment on Japan's intervention in foreign exchange markets to weaken the yen. Japan's Finance Ministry said it had intervened in coordination with the Bank of Japan to curb 'excessive fluctuations in exchange rates.' Japan's government has been under pressure to act on the yen's strength against the dollar, which is hurting the export-driven economy. Japanese authorities made clear that more action could be coming. It was unclear how effective the Japanese move will be. While Japan's Finance Ministry declined say how much it was spending, traders estimated the currency move as worth between Y200 billion and Y300 billion ($2.4 billion to $3.5 billion). That's a drop in the bucket compared to the $586 billion dollars in daily turnover in dollar-yen trading. Effective intervention ultimately would likely require coordination with other countries, notably the U.S. The U.S. Treasury Department also declined to comment on Japan's move.
2010/09/15 12:01*DJ Japan Govt Sengoku: Fin Min Likely Saw Dlr In Y82 Level As Red Line -Nikkei

2010/09/15 11:57=DJ WORLD FOREX: Dollar Surges As Japan Intervenes To Weaken Yen

2010/09/15 11:41DJ Central Huijin Sets Coupon Ranges For 5-Yr, 30-Yr Bond

2010/09/15 11:37DJ Japan Govt Sengoku: Intervention Not Linked To Kan Election Win -Kyodo
TOKYO -Japanese Chief Cabinet Secretary Yoshito Sengoku said Wednesday the government's decision to intervene in the foreign exchange market to stem the yen's rise was not linked with Prime Minister Naoto Kan's reelection the day before as head of the ruling Democratic Party of Japan, Kyodo News reported.Sengoku, the top government spokesman, said at a news conference that the intervention, the first since March 2004, was conducted purely based on foreign exchange rates.He said the yen's recent strength "should not be overlooked" but also that the government will not order the Bank of Japan what to do to address the difficult economic situation.
2010/09/15 11:36*DJ US Fed Has No Immediate Comment On Japan Forex Intervention

2010/09/15 11:35*DJ Japan MOF Buying Dollars In Frequent, $10M Lots Vs Yen -2 Traders

2010/09/15 11:34*DJ Nikkei Stock Average Up 2.7% At 9548.30

2010/09/15 11:33*DJ Euro Hits Y110.00 On EBS; Highest Since Aug 19

2010/09/15 11:31*DJ Central Huijin Sets Coupon Range For 5-Year Bond At 2.80%-3.40%

2010/09/15 11:30*DJ Dollar Now Up At KRW1,165.6 Vs KRW1,157.2 Low, KRW1,161.7 Tues

2010/09/15 11:30*DJ Central Huijin Sets Coupon Range For 30-Year Bond At 3.94%-4.54%

2010/09/15 11:25*DJ Japan MOF Continues To Buy Dollar Above Y84.70 - 2 Traders

2010/09/15 11:25DJ BOJ Noda: Must Take Necessary Steps Swiftly, Decisively If Needed
SHIMONOSEKI, Japan -A Bank of Japan policy board member said Wednesday that the central bank will take necessary policy steps 'swiftly and decisively' if the country's economy shows clear signs of worsening and if deflation threatens to drag.'If downside risks to Japan's economy materialize, if there is increased possibility of the economic outlook significantly deteriorating, and if the path to the end of deflation darkens, we must take necessary policy measures swiftly and decisively,' Tadao Noda told business leaders in Shimonoseki, southern Japan.
2010/09/15 11:19DJ IMF's Zhu: Double-Dip In Global Economy Unlikely - Report
BEIJING -The global economy doesn't face the risk of a double-dip recession although it has entered a slow growth trajectory, the China Daily reported Wednesday, citing Zhu Min, special adviser to the managing director of the International Monetary Fund, as saying on Tuesday. However, he said advanced and emerging economies are facing severe challenges. 'The financial sector has stabilized but remains fragile. For example, there are still millions of dollars of the so-called toxic assets.' The overall debt ratio of these nations could jump to 115% from 90% on average in the next five years, the report cited Zhu as saying. Newspaper website: http://www.chinadaily.com.cn
2010/09/15 11:11*DJ Japan Fin Min Noda: Japan Intervened Unilaterally Wed

2010/09/15 11:04DJ US Treasury Declines To Comment On Japan Yen Intervention
WASHINGTON -U.S. Treasury officials declined to comment late Tuesday on Japan's currency intervention.Asked if the U.S. Treasury had been consulted or had in any way participated in Japan's intervention, two press officers declined to comment.Japan's finance minister confirmed earlier that the authorities intervened in the foreign exchange market Wednesday Tokyo time as the dollar fell below the key level of Y83.The dollar hit Y82.87 before the move was detected by traders and quickly rose to over Y84. The move quickly pushed up shares as well, with the Nikkei Stock Average rising 2.0%.
2010/09/15 11:01DJ BOJ Shirakawa: Hope MOF Action Will Stabilize Forex Rates
TOKYO -Bank of Japan Gov. Masaaki Shirakawa said Wednesday he hopes the government's yen-selling intervention will stabilize the foreign exchange market. The BOJ 'strongly expects that the action taken by the Ministry of Finance in the foreign exchange market will contribute to a stable foreign exchange rate formation,' Shirakawa said in an emergency statement. The BOJ will continue to maintain 'strong monetary easing' and provide ample liquidity to financial institutions, Shirakawa added. The governor also reiterated that the BOJ needs to pay a close attention to downside risks to the domestic economy, with uncertainty over the economic outlook--especially for U.S. economy, and foreign exchange and stock markets--being unstable.
2010/09/15 10:36*DJ Japan Sengoku: Govt Won't Order BOJ What To Do To Fight Rising Yen -Kyodo

2010/09/15 10:33*DJ Japan Sengoku: No Connection Between Market Intervention And Kan Reelection -Kyodo

2010/09/15 10:31DJ Japan Finance Minister Confirms Intervention in Forex Market
TOKYO -Japan's finance minister confirmed that the authorities intervened in the foreign exchange market Wednesday as the dollar fell below the key level of Y83. The dollar hit Y82.87 before the move was detected by traders and quickly rose to over Y84. The move quickly pushed up shares as well, with the Nikkei Stock Average rising 2.0%. Japan Minister of Finance Yoshihiko Noda called a news conference for 0150 GMT. -Tokyo Bureau, ; +81-3-6269-2770
2010/09/15 10:30*DJ BOJ Noda: BOJ's Previous Policy Steps Could Beat Deflation, Support Econ

2010/09/15 10:28*DJ BOJ Noda: Japan's Self-Sustained Recovery Not In Sight

2010/09/15 10:27*DJ BOJ Noda: Biggest Risk To Japan's Econ Is Overseas Econ Moves

2010/09/15 10:27*DJ Japan MOF Continues To Buy Dollar Above Y84.00 - 2 Traders

2010/09/15 10:24=DJ FOREX VIEW: Swiss Franc, As Belle Of The Currency Ball

2010/09/15 10:23*DJ BOJ Noda: Japan's Econ Likely To Continue Recovering Moderately

2010/09/15 10:23*DJ BOJ Noda: Pace Of Overseas Economic Recovery Slowing

2010/09/15 10:22*DJ BOJ Noda: Must Take Necessary Steps Swiftly, Decisively If Needed

2010/09/15 10:19*DJ US Treasury Declines To Comment On Japan Yen Intervention

2010/09/15 10:18*DJ JGB Futures Sell Off Slightly After Japan FX Intervention

2010/09/15 10:17*DJ Japan MOF Seen Selling Y200B To Y300B Vs Dollar - 2 Traders

2010/09/15 10:17*DJ Japan Noda: Currency Intervention Conducted Unilaterally -Kyodo

2010/09/15 10:17*DJ Euro Hits Y109.57 On EBS; Highest Since Aug 20

2010/09/15 10:16*DJ New Zealand Dollar Hits Y61.85; Highest Since Aug 11

2010/09/15 10:15*DJ BOJ Shirakawa: To Pursue Strong Monetary Easing

2010/09/15 10:13*DJ BOJ Shirakawa: Uncertainty Over US Economy Growing

2010/09/15 10:12*DJ BOJ Shirakawa: Hope MOF Action Will Stabilize Forex Rates

2010/09/15 10:11*DJ Japan Noda: No Comment On How Foreign Authorities Have Reacted To FX Action

2010/09/15 10:11*DJ BOJ Shirakawa: Forex, Stock Markets Unstable

2010/09/15 10:11*DJ BOJ Shirakawa: Need To Pay Attention To Economic Downside Risk

2010/09/15 10:08*DJ Japan Noda: In Close Cooperation With Foreign Authorities

2010/09/15 10:04*DJ Japan Noda: Informed PM Kan Of Intervention

2010/09/15 10:01*DJ Japan Noda: MOF Ordered Intervention At 0130 GMT

2010/09/15 10:00DJ BOJ Nishimura: To Help Strengthen Financial Infrastructure
TOKYO -Bank of Japan Deputy Gov. Kiyohiko Nishimura said Wednesday the central bank will keep supporting initiatives to strengthen the nation's financial market infrastructure.The BOJ believes it is 'crucial to strengthen market infrastructure equipped with a high degree of accessibility while maintaining market stability,' Nishimura said at a conference in Tokyo organized by Euromoney.He also said Japan's financial system is 'relatively stable,' and the effects of the BOJ's easing steps are gradually spreading.At its September meeting, the BOJ's policy board voted to leave its policy interest-rate target at 0.1%, where it had been since December 2008. It took no further unconventional easing steps.But under intense pressure from the government as well as from markets to do more to fight the yen's rise, at an emergency policy meeting on Aug. 30 the BOJ expanded a special lending program.The central bank decided to offer financial institutions Y10 trillion of six-month loans at a rock-bottom 0.1%, in addition to the Y20 trillion in three-month loans it had been offering over the previous months.
2010/09/15 09:59*DJ Japan Noda: Intervention Aimed At Curbing Excessive FX Fluctuations

2010/09/15 09:59*DJ Japan Noda: Will Take Decisive Steps, Including Intervention, If Needed

2010/09/15 09:58*DJ Japan Noda: Can't Say Amount of Intervention

2010/09/15 09:55*DJ Nikkei Stock Average Up More Than 2.0%

2010/09/15 09:49*DJ Dollar Rises Above Y84.00 On EBS

2010/09/15 09:46*DJ Japan MOF Seen Intervening In FX Markets - 3 Traders

2010/09/15 09:45*DJ Nikkei Stock Average Turns Positive After Sharp Yen Fall

2010/09/15 09:44*DJ Japan MOF Appears To Have Intervened In Forex Market -Nikkei

2010/09/15 09:42*DJ Dollar Rises To Y83.72 From Y82.88

2010/09/15 09:41*DJ Euro Rises To Y108.90 From Y107.74

2010/09/15 09:41*DJ Japan Fin Min Noda To Brief Press At 0150 GMT -MOF

2010/09/15 09:37*DJ Yen Falls Sharply Against Dollar, Euro

2010/09/15 09:27*DJ Dollar Hits Y82.91 On EBS; Lowest Since May 31, 1995

2010/09/15 09:24DJ Ping An Board OKs Shenzhen Development Bank, Ping An Bank Merger Plan
SHANGHAI -Ping An Insurance Co. of China Ltd. (2318.HK) said Wednesday its board approved a plan to merge Ping An Bank Co. and Shenzhen Development Bank Co. (000001.SZ). Ping An group said earlier it will buy 1.639 billion new shares issued by Shenzhen Development Bank, or 32% of the lender's enlarged capital, for CNY29.1 billion (US$4.3 billion) in a private placement. The insurer will use CNY2.69 billion in cash and its entire 91% stake in Ping An Bank to finance the deal. The deal is still subject to approvals from China's banking, insurance and securities regulators as well as Ping An group and Shenzhen Development Bank shareholders. After the completion of the planned private placement, Ping An group's stake in Shenzhen Development Bank will rise to 52% from 30%. The Chinese insurer has been seeking to take control of a bank with a national network in recent years after it lost a bid for Guangdong Development Bank Co. in 2006 to a consortium that included Citigroup Inc. and China Life Insurance Co.
2010/09/15 09:18=DJ NY Fed Market Group Offers Final Guidelines For Bond Trading Activities

2010/09/15 08:42*DJ US Dollar Traded At S$1.3309 Vs S$1.3364 In Late Asia Tuesday

2010/09/15 08:33*DJ Nikkei Stock Average In Positive Territory

2010/09/15 08:30*DJ Ping An Board OKs Shenzhen Development Bank, Ping An Bank Merger Plan

2010/09/15 08:16*DJ BOJ Nishimura: BOJ Easing Steps Gradually Taking Effect

2010/09/15 08:15*DJ BOJ Nishimura: Japan Financial System Relatively Stable

2010/09/15 08:06*DJ Lead December JGB Futures Open Up At 141.80 Vs 141.38 Tue

2010/09/15 08:04*DJ Nikkei Stock Average Opens Down 0.6% At 9243.48

2010/09/15 07:47*DJ Lead Nikkei Futures Open Down 40 Points At 9210 On SGX

2010/09/15 07:16*DJ Dollar Falls Below Y83.00 On EBS

2010/09/15 06:31DJ No Bomb Found At Eiffel Tower - NBC News
Authorities in Paris haven't found a bomb or a suspicious package at the Eiffel Tower, NBC News reported Tuesday.Earlier, Agence France-Presse reported that the tower and the surrounding area had been evacuated due to a bomb threat that was called in at about 8:20 p.m. local time (1820 GMT). Two thousand people were told to leave the area shortly before 9 p.m. local time.The tower remains closed, NBC said.Full story at http://www.msnbc.msn.com/id/39177318/ns/world_news-europe/
2010/09/15 06:13=DJ WORLD FOREX: Dollar Falls Broadly; Talk Of Fed Action Might Be Weighing

2010/09/15 05:58DJ CREDIT MARKETS:Issuance Active; Treasurys Rally Despite Econ News

2010/09/15 05:41=DJ ABC Consumer Confidence Index Flat At -43 In Latest Week
U.S. consumer confidence remained constant for the week ended Sunday, according to an ABC News index, which was flat at -43, the best level in two months but 30 points below the long-term average. The confidence level has grown 7 points in the past six weeks and 11 points from the all-time low, but has been below -40 for a record 126 consecutive weeks. For the third month in a row, a significantly higher percentage of people surveyed said the economy is getting worse, 38%, than said it is improving, 22%. The gap between pessimists and optimists has grown 16 points--the most since a year ago--from 6 points in July and 11 points in August. Economic optimism is at the lowest level since March 2009. The index is based on a random survey of 1,000 respondents nationwide. It measures typical Americans' confidence in three areas: the national economy, their finances and their willingness to spend money, according to the report. The poll has a margin of error of plus or minus three percentage points. The index is derived by subtracting the negative response to each index question from the positive response to that question. The three resulting numbers are added and divided by three. The index can range from 100 to -100.
2010/09/15 05:19=DJ US Small-Cap Stocks Slip; Energy Stocks Weighed By Pipeline-2-

2010/09/15 05:16=DJ US Stocks Slip; DJIA Snaps Four-Session Winning Streak-2-

2010/09/15 05:05=DJ US Small-Cap Stocks Slip; Energy Stocks Weighed By Pipeline

2010/09/15 05:00DJ U.S. Senate Votes Down Repeal Of Tax Break For Big Oil Cos.

2010/09/15 04:56=DJ US Stocks Slip; DJIA Snaps Four-Session Winning Streak

2010/09/15 04:53DJ Treasurys Up; Focus On Soft Econ, More Possible Fed Help

2010/09/15 04:33DJ PRECIOUS METALS: Gold Hits Record As Econ Worries Rise Again

2010/09/15 04:10*DJ S&P 500 Closes Off 1 (0.1%) At 1121; Financials Slide

2010/09/15 04:08DJ Eiffel Tower Evacuated After Bomb Alert
PARIS --Police evacuated the Eiffel Tower and the park surrounding the Paris landmark Tuesday after a bomb alert. A police officer said about 25,000 people were in the area at the time of the alert but added that they left calmly shortly before 9:00 p.m. local time (19:00 GMT). The officer, speaking on condition of anonymity, said the alert was sounded either after a threat was phoned in or following the discovery of a suspicious package. The people evacuated were asked to stay on the nearby Seine river banks, and the tower area and Champ de Mars park were declared off limits.
2010/09/15 04:06*DJ DJIA Closes Down 18 (0.2%) At 10526, As Boeing, AmEx Drop

2010/09/15 04:02DJ OIL FUTURES:Crude Ends Lower,Even As Pipeline Outage Continues

2010/09/15 03:43=DJ US Senate Takes Important Step Forward On Small-Business Bill

2010/09/15 03:27DJ EU To Seek Strict Limits On Naked Short Selling - Source
BRUSSELS -The European Commission Wednesday will propose that investors must tell regulators and the public when they make significant bets against a company's stock, a sovereign debt security or other financial instruments, a European official said Tuesday.The commission will also propose that both national and European regulators have the power to ban short-selling temporarily in times of market turbulence, the official said.Investors will have to disclose a net position against a company--how "short" they are the company's shares--to regulators if the position exceeds 0.2% of a company's issued capital, the official said, discussing the commission's proposal. Positions above 0.5% should be disclosed to the public, the official said.The commission wants to ensure that national decisions to restrict or ban short-selling are coordinated at a European level, after Germany roiled markets earlier this year when it banned short selling the debt of euro-zone countries and some financial institutions.The proposal will give a coordinating role for the European Securities and Markets Authorities, the EU's newly created securities regulator, for temporary bans on short-selling and also allow ESMA to adopt its own restrictions or bans in periods of market turmoil, the official said.Short-selling orders will also have to be flagged as "short" to provide more information for regulators on trading activity, the official said.The European Parliament and EU national governments must approve the commission proposal before it can become law.
2010/09/15 03:21*DJ Eiffel Tower, Surrounding Park Evacuated After Bomb Alert

2010/09/15 03:16=DJ UNCTAD: Germany Could, But Won't Aid Global Rebalancing

2010/09/15 02:54=DJ RBS Says May Dual Track IPO, Trade Sale For Insurance Unit

2010/09/15 02:38*DJ OIL FUTURES: Nymex Crude Settles 39c Lower At $76.80/Bbl

2010/09/15 02:34*DJ OIL FUTURES: Nymex Crude Closes 44c Lower At $76.75/Bbl

2010/09/15 02:24*DJ Credit Suisse Expects Deal To Close In 4Q >CS

2010/09/15 02:23*DJ Credit Suisse To Pay Initial $425M For York Stake >CS

2010/09/15 02:21*DJ Credit Suisse: York Will Operate Independently >CS

2010/09/15 02:21*DJ Credit Suisse Unit To BuyMinority Stake In York Cap Mgmt >CS

2010/09/15 01:51*DJ NY December Gold Rises 2% To Record Settlement Of $1,271.70

2010/09/15 01:36*DJ NY December Gold at $1,271.40 Shortly After Floor Trade Closes

2010/09/15 01:35*DJ Gold Futures Poised To Settle At Record Above $1,270/Ounce

2010/09/15 01:00=DJ Senate Defeats GOP Bid To End Small-Firm Tax-Reporting Burden

2010/09/15 00:19*DJ Senate Takes Important Step Forward On Small Business Bill