2010/09/24 17:47*DJ 10Y Portuguese/German Yield Spread Hits Record 414Bp High
2010/09/24 17:46DJ German Deputy Finance Minister: 2010 Growth Could Top 3%
BERLIN -Germany's economy will likely grow more than 3% this year, German Deputy Finance Minister Steffen Kampeter said Friday, offering the most optimistic outlook of any government official. 'In the current economic climate, we have pleasant growth this year of probably over 3%,' he told the upper house of parliament in a debate on the government's 2011 draft budget. 'This is an extraordinarily good economic performance.' Growth will be slower in 2011, he added, stressing that the present economic upswing isn't only driven by exports but also by private consumption, which is stable. The government is due to present its new growth forecast Oct. 21. In April, it forecast 1.4% growth for this year, but most economic institutes and organizations have recently raised their growth forecasts to more than 3% for this year, following the surprisingly strong 2.2% quarterly growth in the second quarter. Kampeter's comments come after the Ifo business climate index rose, instead of a widely expected fall, calming fears of a slowdown in Europe's growth engine. The September Ifo business sentiment index rose to 106.8 from 106.7 in August.
2010/09/24 17:41*DJ Russia: Previous Econ Min Forecast Saw Growth At 4.0% For 2010
2010/09/24 17:40*DJ Russia: Slowdown Due To Lower Industrial Output, Investments - Report
2010/09/24 17:39*DJ Russian Econ Ministry: Economy May Only Grow By 3.6% To 3.7% In 2010 - Report
2010/09/24 17:29PRESS RELEASE: Moody's Upgrades Hongkong Land Ratings; Outlook Stable
The following is a press release from Moody's Investors Service: Approximately US$2.2 billion of debt affected Hong Kong, September 24, 2010 -- Moody's Investors Service has upgraded its issuer rating for Hongkong Land Holdings Limited ('HKLH ') to A3 from Baa1. Moody's has also upgraded its issuer and senior unsecured debt ratings for Hongkong Land Company Limited to A2 from A3. This concludes the ratings review for possible upgrade initiated on 24 August 2010. The outlook for all the ratings is stable. RATINGS RATIONALE 'The upgrade to HKLH's rating reflects the company's established track record and the strong franchise of its core investment portfolio in Hong Kong,' says Peter Choy, a Moody's Vice President and Senior Credit Officer. 'HKLH's Hong Kong office portfolio was resilient, with a high occupancy rate and ongoing rental growth -- during the economic downturn in 2009.' 'The A2 ratings are also based on the favourable business environment in which HKLH group operates and Moody's expectation of moderate positive rental revisions for the group in the next two to three years,' says Choy. Some 83.5% of HKLH group's assets [based on existing gross floor area] are located in Hong Kong and Singapore, which are two of the major financial centres in Asia and enjoy strong economic growth. 'Further supporting the A2 ratings is HKLH group's clear management focus to strengthen its core business - investment property portfolio - with its property development business as a supplement. HKLH takes a cautious approach in its development business by pushing presales and spreading its projects throughout Asian cities where there is strong demand for residential properties.' 'HKLH's liquidity remains strong. As of 30 June 2010 HKLH had total liquidity of about USD3.2 billion, which provides a good buffer for any potential volatility in the property markets,' says Choy. 'Nevertheless, Moody's expects HKLH's revenue and profits to exhibit some volatility because of its development activities -- which constrains its rating.' The A3 rating on HKLH, which is one notch below the A2 rating of the major operating entity HKLC, reflects mainly HKLH's holding company status and the risk of structural subordination. The stable outlook reflects Moody's expectation that the group will maintain its prudent approach to operations and financial management, with a cautious expansion strategy, such that its financial profile will remain consistent with the A2 rating level. Upward pressure on the rating will be limited in the near term after this upgrade. However, such pressure could emerge if earnings from HKLH's investment property continue to grow, reducing the volatility arising from its property development activities, such that its property development would not account for a material portion of its EBITDA [on average over the years not more than 15% contribution] and its credit profile would remain strong and stable, with EBITDA from investment property to interest coverage 6x or higher. Downward pressure could emerge if HKLH increases its property development activities or engages in material investments funded substantially by debt, which would impair its financial profile, such that its credit metrics deteriorate to Debt/EBITDA of 6.5x and EBITDA/interest below 3.5x on a sustained basis. The last rating action on HKLH was taken on 24 August 2010 when Moody's placed Hongkong Land Holdings' ratings on review for possible upgrade. The principal methodology used in rating Hongkong Land Holdings Limited was Global Rating Methodology for REITs and Other Commercial Property Firms published in July 2010. Other methodologies and factors that may have been considered in the process of rating this issuer can also be found on Moody's website. Hongkong Land Co Ltd, incorporated in Hong Kong, is a wholly owned subsidiary of Hongkong Land Holdings Ltd, which is a Bermuda-incorporated holding company, engaged in property investment, management, and development. HKLC holds the group's portfolio of 5 million sq. ft. in prime office and retail space in Hong Kong. HKLH is 50%-owned by Jardine Strategic Holdings Ltd. REGULATORY DISCLOSURES Information sources used to prepare the credit rating are the following: parties involved in the ratings, public information, confidential and proprietary Moody's Investors Service's information. Moody's Investors Service considers the quality of information available on the issuer or obligation satisfactory for the purposes of maintaining a credit rating MOODY'S adopts all necessary measures so that the information it uses in assigning a credit rating is of sufficient quality and from sources MOODY'S considers to be reliable including, when appropriate, independent third-party sources. However, MOODY'S is not an auditor and cannot in every instance independently verify or validate information received in the rating process. Please see ratings tab on the issuer/entity page on Moodys.com for the last rating action and the rating history. The date on which some Credit Ratings were first released goes back to a time before Moody's Investors Service's Credit Ratings were fully digitized and accurate data may not be available. Consequently, Moody's Investors Service provides a date that it believes is the most reliable and accurate based on the information that is available to it. Please see the ratings disclosure page on our website www.moodys.com for further information. Please see the Credit Policy page on Moodys.com for the methodologies used in determining ratings, further information on the meaning of each rating category and the definition of default and recovery. Moody's Investors Service Hong Kong Ltd. 24/F One Pacific Place 88 Queensway Hong Kong China (Hong Kong S.A.R.)
2010/09/24 17:15*DJ Comex December Gold Touches $1,300/Oz Record Level
2010/09/24 16:58=DJ Forex Focus: Euro Bulls Must Have Had Enough
2010/09/24 16:55=DJ DATA SNAP: German Sept Business Confidence Rises Surprisingly
2010/09/24 16:53*DJ Portugal 5-Yr CDS Spread 2 Bps Tighter At 400 Bps - Markit
2010/09/24 16:52*DJ Ireland 5-Yr CDS Spread 3 Bps Tighter At 470 Bps - Markit
2010/09/24 16:46DJ Bank Of Russia Defended Ruble Amid Current Account Weakness
MOSCOW -Russia's central bank sold $600 million from its reserves in September to defend the ruble, which was weakening as the country's current-account balance deteriorated, Chairman Sergei Ignatyev said Friday. In addition to the current-account balance, the ruble has been under speculative pressure, Ignatyev told the lower house of Russia's parliament. In all, Russia's current-account surplus totaled $58 billion from January to August, during which time net capital outflow was $12 billion. The effect of the recent drought in the country on food prices will likely boost inflation this year to 8% at year-end, or significantly above earlier estimates, Ignatyev said. And the higher rate of inflation resulting from the drought will probably persist until the autumn of 2011, he said.
2010/09/24 16:45*DJ Moody's Upgrades Hongkong Land Ratings; Outlook Stable
2010/09/24 16:27*DJ German Deputy Fin Min: '10 Growth Could Top 3%
2010/09/24 16:13DJ Long-Term JGBs Up On BOJ Easing Speculation; Market Shrugs Off Yen Fall
TOKYO -Long-term Japanese government bonds rose Friday as expectations persist that the Bank of Japan could ease monetary policy in the near term amid growing uncertainty over the U.S. economy. The U.S. dollar rose sharply against the yen during Asian trading, a move that some investors saw as a sign of renewed Japanese government currency intervention. But the JGB market showed little reaction as investor sentiment remained dominated by speculation that the central bank may take additional easing measures as early as next month. 'The outlook for the U.S. economy is uncertain and the possibility is high that the Federal Reserve will loosen monetary policy further. That could put pressure on the BOJ to do more' to prevent the U.S.-Japan interest rate gap from shrinking, said Masashi Shimominami, a bond market analyst at Mizuho Securities. 'As long as the BOJ maintains its accommodative policy stance, investors will likely remain eager to buy JGBs and yields could continue to fall,' he added. Looking ahead, players will pay attention to remarks from BOJ Gov. Masaaki Shirakawa, who is scheduled to make speeches on Sunday and Monday, for clues on the possibility of more easing steps from the central bank. 'In particular, if Shirakawa suggests that the BOJ will boost the amount of JGB purchases from the market, that could prod more investors to buy JGBs, driving yields sharply lower,' a trader at a Tokyo securities house said. BOJ officials have long opposed the idea of increasing the size of the bank's JGB buying operations because it could fan market concerns that the BOJ is handing the government a blank check to spend, possibly undermining the credibility of Japanese soveriegn debt in the long term. Central bankers also argue that the BOJ's hands are tied by a guideline it follows that limits the amount of JGBs it can buy outright to the amount of banknotes in circulation. Even if it sticks to that internal rule, however, it could still buy more JGBs--around Y20 trillion worth, according to the BOJ's latest account data. The BOJ now purchases Y1.8 trillion of JGBs each month and Y21.6 trillion annually via outright operations. As of 0600 GMT, the benchmark 10-year yield was down three basis points at 0.995%. Lead December JGB futures ended at 142.88, up 0.23. The 20-year yield also fell three basis points to 1.730%, making the yield curve flatter. Earlier in the day, the yen weakened sharply against the dollar, euro and other rivals in Asia, prompting speculation that Tokyo had again waded into markets to curb the currency's rise, though no such move was confirmed and the currency soon retraced much of its initial gains. At around 0415 GMT, the dollar jumped from around Y84.60 to a fresh intraday high at Y85.40 in a matter of minutes. By 0700 GMT, the greenback had fallen back to around Y84.80.
2010/09/24 16:13DJ Forex Options: Dollar/Yen Options Rise After Dollar's Surge
TOKYO -Dollar/yen options rose in Tokyo Friday as the dollar temporarily surged nearly Y1.00, increasing hedging demand against fluctuations and upside risk. There was no confirmation that the Japanese authorities had again intervened in the currency market following such action last week. Within a couple of hours the greenback had fallen back to near its level before the surge. As of 0740 GMT, the dollar stood at Y84.74. Benchmark one-month at-the-money dollar/yen volatilities rose to 10.65%/11.35% in Tokyo Friday from 10.40%/11.10% from New York Thursday. An options dealer at a major Japanese bank said investors bought dollar-call/yen-put contracts earlier in the day on the growing view that Japan's government will again intervene in the currency market. Kyodo News cited a Japanese official as saying U.S. President Barack Obama and Japanese Prime Minister Naoto Kan didn't mention the recent intervention in their meeting in the U.S. Thursday. The options dealer said the absence of any comment by the U.S. president removed one potential obstacle for Japan to act again. However, at least one player didn't buy into the view the dollar will rise in the near term. The person bought six-day dollar-put/yen-call option contracts at a strike price of Y83.50 with implied volatilities of 10.95% for an unknown amount. Such contracts benefit the holder if the underlying exchange rate stays below the strike price at the contract's expiry.
2010/09/24 16:06*DJ Euro At Day's High After IFO Beats Most Forecasts
2010/09/24 16:01*DJ German Sep Ifo Expectations 103.9
2010/09/24 16:01*DJ German Sep Ifo Current Conditions 109.7
2010/09/24 16:01=DJ FX ASIA: Food Inflation Unlikely To Boost Asian Currencies
2010/09/24 16:00*DJ German Sep Ifo 106.8; Forecast 106.5
2010/09/24 15:52=DJ WORLD FOREX: Yen Drops Vs Rivals; Intervention Unconfirmed
2010/09/24 15:52=DJ PRECIOUS METALS: Gold, Silver Hold Up In Asia Despite USD Strength
2010/09/24 15:47DJ Tokyo Shares End Down After Dollar Rise Causes Volatility
2010/09/24 15:40DJ Russia's Shuvalov: Pre-Crisis GDP Growth Can Be Seen By 2012
ptember 24, 2010 03:10 ET (07:10 GMT)DJ Russia's Shuvalov: Pre-Crisis GDP Growth Can Be Seen By 2012 MOSCOW -Russia's pre-financial crisis levels of gross domestic product growth can be achieved by 2012, Russian Deputy Prime Minister Igor Shuvalov Friday told the lower house of parliament. Russia's economy may grow 4% this year, according to the Economy Ministry, bringing GDP only slightly above the level seen at the trough of the financial crisis, and resulting in a significantly slower growth rate than Turkey, Brazil or Kazakhstan. The country's economy grew more quickly when commodity prices were rising, before the financial crisis reached Moscow in the middle of 2008.
2010/09/24 15:17=DJ WORLD FOREX: Yen Drops Vs Rivals; Intervention Unconfirmed -2-
2010/09/24 15:15DJ Tokyo Shares End Down After Dollar Rise Causes Volatility
2010/09/24 15:13DJ Japanese Prosecutors To Free Detained Chinese Boat Captain -Kyodo
The Naha District Public Prosecutors Office said Friday that it has decided to free a detained Chinese fishing boat captain involved in collisions at sea early this month near a chain of disputed islets, although they have yet to conclude whether to indict him, Kyodo News reported Friday. The office in Okinawa Prefecture decided to release the 41-year-old ship skipper, Zhan Qixiong, for now, taking into account the impact caused by the incident and the future of Japan's relationship with China, a prosecutor said at a press conference. The prosecutor also said that the captain's action 'was spur-of-the-moment and we cannot recognize that he had planned it,' but added that it is 'obvious' that he rammed his boat against a Japan Coast Guard patrol boat chasing it deliberately. The office will eventually decide whether to indict him or not by watching developments in Japan-China relations and the situation surrounding the Senkaku Islands in the East China Sea, the prosecutor said. The Chinese captain was arrested on Sept. 8 by the Japan Coast Guard on suspicion of causing his ship to collide with a coast guard vessel near the Senkaku Islands, which are administered by Japan but also claimed by China and Taiwan. He is also suspected of illegally fishing in Japanese territorial waters. Tension has been rising between Japan and China since the incident, with China repeatedly demanding that Japan free the captain while suspending ministerial and higher-level exchanges with Tokyo and canceling various meetings between the two countries.
2010/09/24 15:09*DJ Japan MOF Igarashi: Haven't Discussed FX Policy With Fin Min
2010/09/24 15:08=DJ WORLD FOREX: Yen Drops Vs Rivals; Intervention Unconfirmed
2010/09/24 15:07*DJ Japan MOF Igarashi: Haven't Heard Anything About Intervention
2010/09/24 15:02*DJ FTSE 100 Dn 0.3% After The Open
2010/09/24 15:02*DJ Stoxx Europe 600 Index Dn 0.3% After The Open
2010/09/24 14:27*DJ Dollar At KRW1,155.2 Late Fri Vs KRW1,161.3 Mon
2010/09/24 14:23*DJ BOK May Have Bought Around $300M-$500M To Curb Won's Rise - Trader
2010/09/24 14:23*DJ BOK Likely Intervened Around KRW1153.5-KRW1155-Traders
2010/09/24 14:21DJ BOJ: Gov Shirakawa Says No Plan To Resign
TOKYO -The Bank of Japan on Friday denied market rumors of Gov. Masaaki Shirakawa's possible departure, quoting him as saying he has 'no plan' to step down. 'There is no truth and there is no plan' to resign, Shirakawa was quoted as saying by a BOJ spokesperson.
2010/09/24 14:15DJ Japan Prosecutors To Release Chinese Fishing Boat Captain -Report
TOKYO -Japanese prosecutors will soon release the detained Chinese fishing boat captain involved in a recent collision with Japanese coast guard ships, while withholding judgement on him, Japanese media reported Friday.The Sept. 7 collision has led to escalating tensions between Tokyo and Beijing in recent days.China cut off ministerial and provincial-level government exchanges with Japan after prosecutors extended the captain's detention earlier this week.
2010/09/24 14:14=DJ DATA SNAP: French 2Q Final GDP Better Than Initial Estimate
2010/09/24 14:09DJ Japan Finance Minister Noda: No Comment On Currency Intervention
TOKYO -Japanese Minister of Finance Yoshihiko Noda declined to comment on whether the government had intervened in the foreign exchange market Friday after the U.S. dollar jumped against the yen. 'I have no comment,' Noda said in answer to a question from a reporter at the finance ministry. The dollar earlier shot up by about a yen, prompting speculation that the government had stepped into the market to sell yen. The government intervened in the currency market last week for the first time in over six years to weaken the domestic currency. The yen has been trading at 15-year highs versus the dollar, reducing the competitiveness of Japan's exports.
2010/09/24 14:05*DJ 10-Year JGB Yield Falls Below 1.0%; Lowest Since Sept 1
2010/09/24 14:03*DJ Nikkei Stock Average Closes Down 1.0% At 9471.67
2010/09/24 13:54*DJ BOJ Comment Comes After Market Rumors Of Shirakawa's Possible Departure
2010/09/24 13:53*DJ BOJ: Gov Shirakawa Says No Plan To Resign
2010/09/24 13:51*DJ BNP Paribas Cut To Equalweight From Overweight By Morgan Stanley
2010/09/24 13:50*DJ BOK May Have Bought Dollar At Levels Below KRW1,155 -Trader
2010/09/24 13:49*DJ BOK Suspected Of Intervening In FX Market To Curb Won's Rise -Traders
2010/09/24 13:43*DJ Japan Fin Min Noda: No Comment On Currency Intervention
2010/09/24 13:42*DJ Japan Fin Min Didn't Comment On FX Intervention When Asked
2010/09/24 13:40*DJ Okinawa Prosecutors Suspend Judgement On Fishing Boat Captain-Report
2010/09/24 13:38*DJ Okinawa Prosecutors To Make Announcement On Fishing Boat Captain Friday-Report
2010/09/24 13:36*DJ Japan Prosecutors To Release Chinese Fishing Boat Captain -Report
2010/09/24 13:30*DJ French 2Q Final GDP +0.7% On Quarter
2010/09/24 13:30*DJ French 2Q Final GDP Forecast At +0.6% QQ
2010/09/24 13:21*DJ Dollar Falls Back Below Y85.00 On EBS After Sharp Rise Earlier
2010/09/24 13:08DJ Some Market Participants Say No Forex Intervention- Nikkei
TOKYO --Some market participants said Friday there had been no foreign exchange intervention by the Japanese government earlier the day, noting that large-scale yen selling orders by banks was pulling down the Japanese currency. But other market participants said the Japanese government and the Bank of Japan appeared to have intervened in the foreign exchange markets by selling yen via orders to major Japanese banks. Earlier in the afternoon, the yen fell sharply against its major counterparts. At 0137 GMT, the dollar was trading at Y85.15. -By Tokyo Bureau, ;
2010/09/24 13:01*DJ Japan Senior MOF Official: No Comment On FX Intervention -Nikkei
2010/09/24 12:57*DJ Japan MOF Official: No Comment On Currency Intervention -Kyodo
2010/09/24 12:49*DJ Some Market Participants Note Big Yen Selling Orders By Banks -Nikkei
2010/09/24 12:47DJ Japan Conducts Yen-selling Intervention: Market Source -Kyodo
2010/09/24 12:46DJ Japan Conducts Yen-selling Intervention: Market Source -Kyodo
TOKYO -The Japanese government and the Bank of Japan appear to have intervened in the foreign exchange markets by selling yen Friday afternoon, Kyodo News reported, quoting market sources. The report followed a sudden fall in the yen against the its major rivals. At 0437 GMT, the dollar was at Y85.08
2010/09/24 12:45=DJ FED WATCH: Inflation Outlook Appears Closely Tied To Income Level
2010/09/24 12:36*DJ Japan Conducts Yen-selling Intervention: Market Source -Kyodo
2010/09/24 12:31*DJ Japan Govt Appears To Intervene In Forex Market -Nikkei
2010/09/24 12:27*DJ Lead JGB Futures Fall A Bid After Dollar/Yen Sharply Rises
2010/09/24 12:22*DJ Nikkei Stock Average In Positive Territory
2010/09/24 12:21*DJ Euro Rises To Y113.61 From Y112.77
2010/09/24 12:20*DJ Nikkei Stock Average Jumps As Dollar Rises Sharply Vs Yen
2010/09/24 12:17*DJ Yen Falls Sharply Against Dollar, Euro
2010/09/24 12:05DJ Japan Checking Reports On Chinese Rare Earth Embargo
TOKYO --The Japanese government said Friday it was checking a reported Chinese embargo of rare earth minerals to Japan, amid an intensifying row over a Chinese boat captain detained in disputed waters.Chief Cabinet Secretary Yoshito Sengoku said that Tokyo hasn't confirmed that China has banned such exports to Japan, as reported by major media including the New York Times and the Asahi Shimbun.'We would like to swiftly learn the facts of the matter. Once we obtain the facts, we will act appropriately,' said Sengoku.Rare earths are essential for making components used in gadgets such as iPods, electric cars, guided missiles and a range of other products.A trade ministry official said Japanese trading houses had reported a suspension of rare earth exports but added that the government was still in the process of confirming the information.China supplies at least 95% of the world's rare earths. It had previously placed restrictions on exports of the minerals, sending market prices soaring and sparking concern among foreign governments and companies.Beijing on Thursday denied that it had stopped all shipments of the elements to Japan.The New York Times, citing industry officials, said Chinese customs officials are halting shipments to Japan, preventing them from being loaded on to ships at Chinese ports.The Asahi separately said China was mulling broader economic sanctions against Japan, citing 'several sources related to the Japanese and Chinese governments'.The Japan-bound exports were stopped around Monday, after a Japanese court allowed prosecutors to hold the fishing boat captain for another 10 days, the Asahi said.Japan and China are embroiled in their worst diplomatic row in years, sparked by the fishing boat captain's arrest after a September 7 collision between his trawler with two Japanese coastguard vessels in the East China Sea.Chinese Premier Wen Jiabao this week threatened 'further actions' if the captain was not released. Beijing has already suspended high-level contacts with Tokyo and called off several official visits.Last month, before the row erupted, Japan had urged China to expand rare earths exports.Market prices of some types of rare earth metals have soared more than 20% since China announced in July that it planned to reduce global shipments.
2010/09/24 11:49DJ Brazil's Petrobras To Sell 2.29 Bln Voting Shares At BRL29.65 Each
SAO PAULO --Brazilian federal oil company Petroleo Brasileiro SA (PBR, PETR4.BR), or Petrobras, Thursday said it will raise about 115 billion Brazilian reals, or $67 billion, in what will be the world's largest share offer, as the company sets its sights on turning the Latin American country into one of the world's top oil producers. Petrobras will sell 2.29 billion voting shares at BRL29.65 apiece and 1.79 billion preferred shares at BRL26.30, the company said in a filing with the Brazilian securities regulator. That also includes American Depositary Receipts, each representing two voting shares, which were priced at $34.49, and preferred ADRs, priced at BRL30.59, the company said. The exchange rate used for the transaction was BRL1.7194 per dollar. The company said it may still place more shares, equivalent to another 188 million shares, in a greenshoe option for the banks involved in the deal. The new shares will begin trading on Friday.
2010/09/24 11:03*DJ OIL FUTURES: Nymex Nov Crude Hits $75/Bbl; Now At $74.97
2010/09/24 11:01DJ Rio Tinto To Spend US$230M On Port Expansion For Pilbara Iron Ore
SYDNEY -Rio Tinto Ltd. (RIO.AU) said Friday that it will spend US$230 million expanding iron ore production capacity in the Pilbara region of Western Australia state.The diversified miner said the funds will help implement expansion work on the Dampier Port, creating an extra five million metric tons per year of production capacity to 230 million tons by the first quarter of 2012.Rio Tinto in August said it will spend US$990 million to prepare for the expansion of the Pilbara operations to 330 million tons per year and beyond.
2010/09/24 10:56*DJ Hang Seng Index Rises For 10th Session Out Of 11
2010/09/24 10:55*DJ Hang Seng Index Rises 0.1% To 22,066.47; Reverses Losses
2010/09/24 10:34DJ Japan Finance Minister: Will Take Decisive FX Steps If Needed
TOKYO -Japan's finance minister said Friday the government will take "decisive" measures in the currency market if necessary, signaling his discomfort with the stubbornly strong yen."I will take the approach that if it becomes necessary, we will take decisive steps" in the currency market, Finance Minister Yoshihiko Noda said at a news conference after a regular Cabinet meeting.Noda declined to comment on whether, in their meeting Thursday in the U.S., Prime Minister Naoto Kan and U.S. President Barack Obama discussed Japan's recent yen-selling intervention.
2010/09/24 10:27DJ Japan PM Kan Suggests Financing Extra Budget Without Bond Issuance -Kyodo
Japanese Prime Minister Naoto Kan suggested that the government would not issue any new bonds to finance an extra budget for the current fiscal year, which could include emergency outlays for additional stimulus measures, Kyodo News reported Friday. The government 'will study how much we can respond without issuing bonds,' Kan told reporters in New York.
2010/09/24 10:05*DJ Brazil's Petrobras Says To Sell Preferred ADRs At $30.59
2010/09/24 10:01*DJ Brazil's Petrobras Says To Sell Voting ADRs At $34.49
2010/09/24 10:00*DJ Brazil's Petrobras Says To Sell Preferred Shares At BRL26.30
2010/09/24 10:00=DJ FOREX VIEW: Yen's Gains Prompts Watch For Signs Of Intervention
2010/09/24 09:59*DJ Brazil's Petrobras Says To Sell Voting Shares At BRL29.65
2010/09/24 09:40*DJ Japan Noda: Economy Faces Downside Risks Including Forex
2010/09/24 09:38*DJ Japan Fin Min Noda: Excessive Forex Moves Hurt Economy
2010/09/24 09:37*DJ Japan Fin Min Noda: Will Keep Watching Forex Markets With Great Interest
2010/09/24 09:36*DJ Japan Fin Min Noda: Will Take Decisive FX Steps If Needed
2010/09/24 09:35*DJ Japan Fin Min Noda: No Comment On If Obama, Kan Discussed Intervention
2010/09/24 09:25DJ BOJ To Buy Y250.0 Bln JGBs Maturing In 1-10 Years Outright
TOKYO -The Bank of Japan said Friday it offered to buy outright on Sep. 29 up to Y250.0 billion in Japanese government bonds maturing in one to 10 years. -Tokyo Bureau, ; 813-6269-2770
2010/09/24 09:21DJ UAW To Pull Funds From JPMorgan Chase In Protest -Reuters
The United Auto Workers plans to withdraw funds from JPMorgan Chase & Co. to protest its foreclosure policies and a labor dispute at one of the Wall Street bank's clients, R.J. Reynolds Tobacco Co., Reuters cites the union as announcing Thursday. JPMorgan Chase is one of the lead underwriters for an initial public offering by General Motors Co. planned for November. The IPO will enable the U.S. government to start selling its stake in GM, which it guided through bankruptcy in 2009 with $50 billion of taxpayer funding. A spokeswoman for JPMorgan declined to comment to Reuters. The UAW said it had no comment on the bank's role in GM's IPO. In a written statement, the UAW said it was prepared to remove its funds from JPMorgan in response to the bank's refusal to declare a ban on foreclosures in Michigan, the union's stronghold, and a dispute with R.J. Reynolds over farm workers' wages, which has received financing from JPMorgan. Full story at http://www.reuters.com/article/idUSN2316151920100923
2010/09/24 09:15*DJ Japan PM Kan Suggests Financing Extra Budget Without Bond Issuance -Kyodo
2010/09/24 09:14DJ Geithner: High Unemployment 'Legacy' Of Financial Crisis -TV
The 9.6% unemployment rate is the 'legacy' of the financial crisis that erupted in 2008 and not an indication of a new reality for the U.S. economy, Treasury Secretary Timothy Geithner said Thursday. 'The fact that unemployment today is close to 10% still, the fact that businesses are still quite uncertain about the future, is just the legacy of the scars of the worst financial crisis since the Great Depression,' Geithner told CBS Evening News in an interview. 'Because this crisis fell at a time we were living beyond our means as a country, it's going to take a while to grow out of this.' As for the so-called Bush tax cuts, Geithner said Republicans are right about wanting to extend the cuts for the middle and working class, but wrong about extending them for the richest 2%. 'We all want to make sure middle-class Americans see these tax cuts extended,' Geithner said. Extending the cuts for the top income earners would cost the U.S. $700 billion and would not be a 'responsible use of taxpayer resources at a time we face enormous challenges,' he said. Website: http://www.cbsnews.com/sections/eveningnews/main3420.shtml
2010/09/24 09:10DJ EU Seeks Stronger Penalties For Debt-Ridden Members - Newspaper
FRANKFURT -The European Union commissioner for economic and monetary affairs, Olli Rehn, proposed that member states with high deficits be required to provide a security deposit equal to 0.2% of gross domestic product at the beginning of excessive debt proceedings, Financial Times Deutschland reported, citing a commission document.In an article seen ahead of Friday publication, the newspaper reported that the commission plans to take a firmer stance on debt-ridden member states. The Maastricht treaty required that EU member states' total debt not exceed 60% of GDP. According to the report, in the future the commission will demand that countries exceeding this limit reduce their debt annually by a 20th of the difference between the 60% of GDP requirement and the actual deficit in the three years prior to the excessive debt proceedings.For example, the newspaper said Italy, currently with a deficit of some 118% of GDP, would need to reduce their debt by more than EUR40 billion per year.Newspaper website: http://www.ftd.de .
2010/09/24 09:09DJ EU's Barroso: Europe Will Overcome Its Difficulties
NEW YORK -The president of the European Commission, Jose Manuel Barroso, offered a thoroughly upbeat appraisal of the European Union's economic outlook during a speech in New York Thursday, dismissing concerns about the sovereign debt crises. 'The recovery is gathering pace,' Barroso said, predicting that growth for the region as a whole would outpace earlier expectations for 2010. In remarks to the Council on Foreign Relations, Barroso outlined the range of measures that EU governments have taken this past year to overcome the crisis. He cited reforms aimed at synchronizing financial regulation and harmonizing fiscal policy cooperation, declaring that policy differentials across the region have 'narrowed significantly.' He also highlighted the austerity measures adopted by debt-laden peripheral euro-zone countries such as Greece, Ireland, Spain and his own country, Portugal, describing them as changes that will help to get the sovereign crisis under control. While Greece has undertaken a 'very draconian program' of budget cuts, 'other countries like Spain and Portugal are taking those measures [and] Ireland is another case in point. So I think Europe is going to overcome those difficulties and all the system is working toward that.' Barroso's upbeat appraisal comes on a day in which news out of Europe revived concerns about fiscal sustainability again. Ireland unexpectedly reported a 1.2% contraction in its gross domestic product for the second quarter against expectations for a modest expansion. This stoked concerns that its austerity measures are undermining growth and thus further hurting the country's debt dynamics and raising the prospect for political obstacles to further reforms there and elsewhere. Meanwhile, the opposition government in Portugal drew attention to this problem of political resistance by refusing to accept a preagreement on a tough 2011 budget with the government. Both Ireland's and Portugal's sovereign debt fell on the news Thursday, with spreads on their credit default swaps trading out near record wide levels. Barroso said that when the crisis took hold earlier this year, it arose because markets had 'discriminated against some members of the euro zone.' Asked if he was concerned about China's growing presence in the global economy by moderator James Wolfensohn, the former World Bank president, Barroso said China was the 'greatest beneficiary of globalization' and 'now they can also contribute to its success.' He didn't elaborate.
2010/09/24 08:55DJ Japan Govt Official: Obama, PM Kan Didn't Mention Intervention -Kyodo
TOKYO -Japanese Prime Minister Naoto Kan and President Barack Obama didn't mention foreign-exchange market intervention by the Japanese government in their talks Thursday, Kyodo News reported, quoting a Japanese government official. Deputy Chief Cabinet Secretary Tetsuro Fukuyama said there was specific mention about intervention.
2010/09/24 08:43*DJ Japan Econ Min: Economy Still Picking Up, But Facing Downside Risks
2010/09/24 08:43*DJ Japan Econ Min Kaieda: Want To Get Out Of Deflation As Quickly As Possible
2010/09/24 08:40DJ IMF: No Funding Requests Have Been Made By Ireland Or Portugal
2010/09/24 08:39*DJ Japan Econ Min Kaieda: Want To Form Extra Budget As Soon As Possible
2010/09/24 08:24*DJ Rio: Total Pilbara Annual Capacity 230M Tons/Year In 1Q 2012
2010/09/24 08:23*DJ Rio: To Implement Dampier Port Expanion Works To Add 5M Tons/Year Capacity
2010/09/24 08:20*DJ Rio Tinto: To Invest US$230M To Expand Pilbara Iron Ore Capacity
2010/09/24 08:19*DJ Dollar Hits KRW1154 Low Vs KRW1161.3 Monday; Now At KRW1155.7
2010/09/24 08:18*DJ Japan Govt Official: Obama, PM Kan Didn't Mention Intervention -Kyodo
2010/09/24 08:09*DJ Rio Tinto Shares Down 1% Early
2010/09/24 08:03*DJ Lead December JGB Futures Open Up At 142.89 Vs 142.65 Wednesday
2010/09/24 08:02*DJ Nikkei Stock Average Opens Down 1.4% At 9435.04
2010/09/24 07:58=DJ Fed: Banks Improving Pay Policy As Govt Seeks To Reduce Risk
WASHINGTON -Large banks have made significant improvements to the pay incentives they offer to managers, but still need to take additional steps to ensure that compensation programs don't encourage excessive risk-taking, the general counsel for the Federal Reserve's Board of Governors said Thursday. 'While significant improvements have been achieved, it should not be surprising that time will be required to implement all the improvements that are needed, given firms' relatively unsophisticated approach to risk incentives before the crisis, the unavoidable complexity of compensation issues, and the large numbers of employees who receive incentive compensation at large banks,' Scott Alvarez said in remarks prepared for a House Financial Services Committee hearing scheduled for Friday. The Federal Reserve is leading a review of incentive compensation practices at large banks in an effort to ensure that poorly designed pay packages don't encourage managers to take risks that are beyond the capability of the financial institution to manage and control. 'It is clear that flawed incentive compensation practices in the financial industry were one of many factors contributing to the financial crisis that began in 2007,' Alvarez said. The general counsel said firms have largely been responsive to Federal Reserve-led efforts, for example making significant investments to improve performance management and incentive compensation systems. 'Importantly, the Federal Reserve expects [large complex banking organizations] to make significant progress to improve the risk sensitivity of their incentive compensation for the 2010 performance year,' Alvarez said. The Fed is close to completing a broad review of incentive compensation practices at large banks.
2010/09/24 07:45DJ HSBC Holdings: No Decision Yet On New Chairman
HSBC Holdings PLC (HBC, HSBA.LN) Thursday said the board hasn't made a decision yet on who will become its new chairman. The bank's statement follows a report by the Financial Times late Thursday that cited sources as saying Chief Executive Michael Geoghegan will step down by the end of the year after not being assured he would become the new chairman. The current chairman, Stephen Green, is leaving the bank, which is based in the U.K. but largely focused on Asia, by the end of the year to become the U.K.'s trade minister. Citing sources, the FT said Financial Chief Douglas Flint will become the new chairman, while investment banking head Stuart Gulliver will become the new CEO. An HSBC spokesman said no decision has been made yet by the board, adding it stands by its statement Wednesday that Geoghegan never threatened to quit.
2010/09/24 07:24DJ Boeing Sells 4 More 777s; Buyer Not Identified - AP
Boeing Co. announced Thursday that it has booked four more orders for its big 777 aircraft, The Associated Press reports.The announcement comes a day after Hong Kong-based Cathay Pacific Airways Ltd. (0293.HK) said it would exercise options to buy six more Boeing 777-300ERs.Boeing didn't identify the customer in the purchase announced Thursday.The four new orders mean Chicago-based Boeing has sold 38 of the 777s this year. Their list price is about $205 million to $286 million each, although discounts are common.Full story at http://hosted.ap.org/dynamic/stories/U/US_BOEING_ORDERS?SITE=VANOV&SECTION=HOME&TEMPLATE=DEFAULT
2010/09/24 07:06*DJ Barroso: Idea That EU Banks Are Vulnerable "Completely Wrong"
2010/09/24 06:29=DJ Brazil's Vale Plans Buyback Of Up To $2 Billion Of Shares
SAO PAULO -Vale SA , the world's biggest iron-ore producer, said Thursday its board approved the repurchase of up to $2 billion in shares.The Rio de Janeiro-based company also said in a regulatory filing that it plans to list shares on the Hong Kong Stock Exchange. The shares will be listed in the form of depositary receipts based on existing shares, Vale said.
2010/09/24 06:23=DJ WORLD FOREX: Euro Falls On Weak Euro-Zone Data
2010/09/24 05:47*DJ Brazil's Vale Plans To List Shares On Hong Kong Exchange
2010/09/24 05:46=DJ US Stocks Fall With DJIA Down For Second-Straight Session-2-
2010/09/24 05:32=DJ US Small-Cap Stocks Fall As Euro-Zone Data Weighs-2-
2010/09/24 05:29=DJ Federal Reserve Balance Sheet Expands Slightly In Latest Week
2010/09/24 05:17=DJ US Small-Cap Stocks Fall As Euro-Zone Data Weighs
2010/09/24 04:58=DJ US Stocks Fall With DJIA Down For Second-Straight Session
2010/09/24 04:54DJ Treasurys Post Small Gains; Market Up For 5th Consecutive Day
2010/09/24 04:47DJ US M1 Fell $13.7B In Sept 13 Week; M2 Rose $4.9B
NEW YORK -The Federal Reserve's latest weekly money supply report Thursday shows seasonally adjusted M1 fell by $13.7 billion to $1.757 trillion, while M2 rose $4.9 billion to $8.704 trillion.The figures are preliminary estimates for the week extending through Sept. 13 and are subject to revisions.More details on the report, along with weekly information on the Fed's custody holdings, repurchase agreements, Treasury portfolio and free reserves, can be found on the Internet at http://www.federalreserve.gov/releases/.
2010/09/24 04:41DJ Portugal Opposition Declines Offer For Early Budget Pact
LISBON -Portugal's biggest opposition party the Social Democratic Party, known as PSD, has declined an offer from Prime Minister Jose Socrates to hold early negotiations over the budget proposal for 2011 because Socrates wanted an agreement on a tax increase, its leader said Thursday."The prime minister proposed an early negotiation, before the presentation of the budget, on the condition that the PSD accept in principle a bigger tax increase than was already agreed. That is a commitment the PSD cannot accept," Lusa news agency reported Pedro Passos Coelho as saying.A PSD spokesman later confirmed the comments.The government has to present the budget plan for 2011 to parliament by Oct. 15, and parliament then has until the end of the November to debate and approve it.
2010/09/24 04:31*DJ Foreign Central Banks Agency Debt Holdings At $748.99B
2010/09/24 04:30*DJ US Fed Total Discount Window Borrowings Wed $51.26B
2010/09/24 04:30*DJ Foreign Central Bk Custody Holdings At $3.229T As of Wed - Fed
2010/09/24 04:30*DJ Foreign Central Banks Treasury Holdings At $2.480T
2010/09/24 04:27DJ OIL FUTURES: Crude Up As Refinery Halt Trumps Economy Fears
NEW YORK -Crude futures rebounded Thursday, helped by a rise in fuel-product prices after a major refinery shutdown overshadowed worries about the sluggish economy.Light, sweet crude for November delivery settled 47 cents, or 0.6%, higher at $75.18 a barrel on the New York Mercantile Exchange, after falling as low as $73.58 earlier in the session. Brent crude on the ICE futures exchange settled 16 cents higher at $78.11 a barrel.Oil prices were buoyed by a rise in gasoline and heating oil futures. ConocoPhillips said it recently halted crude oil processing operations at its oil refinery in Linden, N.J., to install new equipment. The 238,000-barrel-a-day refinery is expected to restart oil processing around Nov. 4.'It helped the gasoline market,' said Andy Lebow an analyst with MF Global. Though he added that the market remains in a tight trading range and is still waiting for direction.Front-month October reformulated gasoline blendstock, or RBOB, rallied on the report, settling 1.60 cents, or 0.8%, higher at $1.9174 a gallon and rebounding from a 1.6% decline in earlier trading. October heating oil settled 0.75 cents higher at $2.1145 a gallon.The refinery shutdown comes amid a glut of U.S. oil supplies. Commercial stockpiles of U.S. oil and fuel products hit 27-year highs earlier this month, and weekly data from the Energy Department Wednesday showed an unexpected inventory build.The U.S. Department of Energy's Energy Information Administration reported a 1 million-barrel build in U.S. oil inventories for the week ended Sept. 17. Stocks of gasoline and distillates, which include heating oil and diesel fuel, also increased unexpectedly, surprising analysts who had expected the shutdown of the 670,000-barrel-a-day Enbridge 6A pipeline to result in a draw in stockpiles.Concerns that oil demand will be stifled by a weakening global economy have persisted in keeping a cap on oil prices, and until the ConocoPhillips announcement, crude had fallen on renewed fears about the U.S. and European economies.Mark Waggoner, president of Excel Futures said the refinery outage may have contributed to crude's gains Thursday, but the market continues to point toward weakness ahead.'Right now, demand is going down and supplies are plentiful, and that's what leads me to believe we're going to be marching lower as time goes on,' said Waggoner.Earlier Thursday, initial jobless claims in the U.S. rose by 12,000 in the week ended Sept. 18, more than economists expected. But sales of previously owned homes rose 7.6% in August, bouncing off record lows, the National Association of Realtors said.In Europe, Ireland's economy contracted in the three months to June, fueling concerns about the government's ability to repay its debts. A survey from financial-information company Markit said euro-zone private sector output growth fell in September, adding that growth is likely to decelerate further in the fourth quarter.'In general, people are getting very mixed messages on the economy, whether it's here or in the euro-zone,' said Matt Zeman, chief market strategist at LaSalle Futures in Chicago. 'Nobody is really sure where we are headed.'More information on settlements and highs and lows for futures on Nymex and ICE platforms can be found by searching for the following headlines: Nymex Light Crude Oil Close Nymex Harbor RBOB Gasoline Close Nymex Heating Oil Close ICE Brent Crude Oil Close ICE Gas Oil Close
2010/09/24 04:23DJ US House Votes To Approve Small-Business Legislation
2010/09/24 04:10*DJ DJIA Closes Down 76 (0.7%) At 10663 As Walt Disney, GE Fall
2010/09/24 04:07*DJ Nasdaq Closes Off 7.5 (0.3%) At 2327; Financials Lead Decline
2010/09/24 03:54DJ PRECIOUS METALS: Gold Sets Record Despite Stronger Dollar
2010/09/24 03:52*DJ NZ Dollar Falls To US$0.7295 From US$0.7325 Late Yesterday
2010/09/24 03:10DJ Bill Includes $12B In Tax Credits For Small Businesses
2010/09/24 03:09*DJ Bill Creates Lending Facility To Increase Loans To Smaller Firms
2010/09/24 03:08*DJ Small Business Bill Now Goes To White House For President's Signature
2010/09/24 03:07*DJ House Votes 237-187 To Approve Small Business Legislation
2010/09/24 02:49*DJ OIL FUTURES: Crude Up As Refinery Halt Trumps Economy Fears
2010/09/24 02:34*DJ OIL FUTURES: Nymex Crude Settles Up 47c At $75.18/Bbl
2010/09/24 02:16*DJ Volcker: Will Take 'Long Time' To Repair Economy
2010/09/24 02:14*DJ Volcker: Regulators Pre-Crisis Unwilling Or Unable To Monitor Markets
2010/09/24 02:04=DJ 'Limit Up/Down' System May Replace Circuit Breakers-Sources
2010/09/24 01:23*DJ Obama Hopes Chinese President Will Come To US In 'Near Future'
2010/09/24 00:29*DJ Portugal Opposition Rejected Govt Proposal For Tax Increase
2010/09/24 00:28*DJ Portugal Opposition Declines Offer For Early Budget Pact
2010/09/24 00:12DJ Fed's Evans:New Regulations Focused On Financial System Stability
