2010/10/26 17:32*DJ Hungarian 3-Month Treasury Bill Average Yield Set At 5.25%
2010/10/26 17:31*DJ Hungary Sells HUF45B 3-Month Treasury Bills
2010/10/26 17:08=DJ DATA SNAP: UK Economy Defies Slowdown Expectation; +0.8% In Q3
2010/10/26 17:06*DJ 3-Month Euribor Rises To 1.037% Vs 1.032% Monday
2010/10/26 16:45DJ Two BOK Members Called For 25-BPs Rate Hike In September - Minutes
SEOUL -Two out of six Bank of Korea policy board members called for a 25-basis-point rate hike at last month's monetary policy meeting, citing growing inflation pressures, according to the minutes of that meeting released Tuesday. 'On the back of the steady recovery of the domestic economy, inflation is expected to rise above the midpoint of the central bank's target (of 2%-4%) from the fourth quarter,' the minutes showed one unidentified member as saying. 'If the bank doesn't take a preemptive move, this will cause side-effects, distorting the economy, and the BOK, as a result, will lose its credibility considerably.' Last month, the BOK kept its benchmark interest rate unchanged at 2.25%, pausing in its tightening cycle for a second straight month, citing increased uncertainty about the recovery in the global economy, and signaled that the shaky global outlook means any monetary tightening in the coming months will be modest. Tuesday's minutes showed another policy board member, who also voted for a 25-basis-point rate hike, said the BOK needs to continue its policy 'normalization' and raise rates further to prepare for a possible deterioration in global economic conditions. He called for the policy rate to be gradually raised to 2.75% by the end of the year. Separately, the BOK identified the two dissenting members as Choi Do-soung and Kim Dae-sik, without identifying who exactly made which comments. The other four members, including BOK Gov. Kim Choong-soo, agreed to hold the benchmark rate steady, citing heightened global financial market volatility and still tame inflation, the minutes showed.
2010/10/26 16:40*DJ Spanish 6-Month Treasury Bill Maximum Yield Set At 1.298%
2010/10/26 16:39*DJ Spain Sells EUR1.488B 6-Month Treasury Bills
2010/10/26 16:39*DJ Spanish 3-Month Treasury Bill Maximum Yield Set At 0.974%
2010/10/26 16:38*DJ Spain Sells EUR1.695B 3-Month Treasury Bills
2010/10/26 16:37*DJ 10Y UK Swap Rate 9 bps Higher At 3.17% After UK 3Q GDP
2010/10/26 16:34*DJ 10Y Gilt/Bund Spread 3Bps Wider At 50Bps After UK 3Q GDP
2010/10/26 16:33*DJ Sterling Rallies As 3Q GDP Beats Expectations
2010/10/26 16:33*DJ FTSE 100 Dn 0.7% Off Lows After 3Q GDP
2010/10/26 16:32*DJ Gilts Fall As UK 3Q GDP Data Beats Forecasts
2010/10/26 16:30*DJ UK Preliminary 3Q GDP +0.8% On Quarter; +2.8% On Year
2010/10/26 16:30*DJ UK 3Q GDP Was Forecast +0.4% On Qtr, +2.4% On Yr
2010/10/26 16:16*DJ Moody's Downgrades Panasonic To A1; Outlook Stable
2010/10/26 16:02=DJ DATA SNAP: Italy Consumer Confidence Rises In Oct Surprise
2010/10/26 15:57DJ PRECIOUS METALS: Gold Steady In Asia; Platinum Catches Up
SINGAPORE -Gold was steady in Asia Tuesday, with the dollar in a tight range leaving the yellow metal lacking a driver. Platinum was well-bid, however, spiking through the $1,700 an ounce level after being outshone by palladium Monday, the latter which consolidated its gains. The gold bids seen on Globex Monday were largely absent after the euro retreated back below $1.40 overnight, while the physical market was also more subdued than in recent sessions. At 0640 GMT, spot gold was at $1,339.40 a troy ounce, down 90 cents since Monday's New York close, with Tocom August 2011 gold at Y3,485 a gram, down Y14. Spot silver was at $23.60/oz, down 4 cents, and spot platinum was at $1,700/oz, up $8, while spot palladium was at $611/oz, up $3. Gold's 5% correction from its Oct. 14 record of $1,387 to its Friday low of $1,315 saw "stronger physical buying emerge in the key Asian markets led by India and China--physical buying that effectively established a floor price," Jeffrey Nichols, managing director of American Precious Metals Advisors, said in a report. He added that gold was now likely to hit a new record before the year end. "With the G-20 meeting of finance ministers and central bankers behind us without any meaningful agreement to avert currency wars, exchange-rate instability and competitive devaluations, gold is recovering," he said.
2010/10/26 15:47=DJ BOJ WATCH: BOJ To Keep Rate; Market Awaits Price Forecasts
2010/10/26 15:38DJ Yashili IPO Raises US$349 Mln Before Overallotment - Term Sheet
2010/10/26 15:36DJ Tokyo Shares End Down As Mkt Weighs Yen Fears, Earnings Hopes
2010/10/26 15:31*DJ Sweden Riksbank Raises Repo Rate To 1.0% From 0.75%
2010/10/26 15:31*DJ Italy Oct Consumer Confidence Seen 106.7
2010/10/26 15:30*DJ Italy Oct Consumer Confidence 107.7 Vs Sep 107.2
2010/10/26 15:29=DJ UBS Swings To 3Q Profit; Upbeat On 4Q Amid Halting Of Outflows
2010/10/26 15:22*DJ Another BOK Member: Need To Hike Rate To 2.75% By Year-end - Minutes
2010/10/26 15:21DJ Ten-Year JGBs Fall Slightly In Lackluster Trading As FOMC Eyed
At 0600 GMT Change TFX June 3-Mos Euroyen Price: 99.695 .005 TSE Dec 10-Yr JGB Futures Price: 143.42 flat 10-Yr 0.8% JGB No. 311 Yield: 0.900% +0.005 TOKYO -Benchmark 10-year cash Japanese government bonds ended slightly lower Tuesday, mirroring weakness in U.S. Treasurys overnight, but trading was luckluster as players waited for a key decision next week on U.S. monetary policy. 'Reaction to (the Federal Open Market Committee on Nov. 2-3) could be the most important event to determine market direction for the rest of the year, so investors are reluctant to move now,' said Makoto Yamashita, a strategist at Deutsche Securities. While JGBs are expected to remain top-heavy for a while, the benchmark 10-year cash JGB yield could sink to as low as 0.75% after the FOMC meeting, Yamashita said. The 10-year yield was up 0.5 basis point at 0.900%, as of 0600 GMT. Lead December JGB futures finished the day flat at 143.42. Other analysts also expect the JGB market to stay directionless in the near term. 'Continued weakness in the dollar and the possibility that it may break below Y80 in the immediate future provide psychological support' to JGB players, said Tetsuya Miura, chief market analyst at Mizuho Securities. However, 'unless expectations for expansion of (the Bank of Japan's) comprehensive easing--such as discussion of increasing JGB buying---intensifies, players may not start chasing the upside anytime soon,' Miura added. Market participants will also closely watch the Ministry of Finance's sale of Y2.6 trillion worth two-year bonds on Wednesday. Analysts expect a smooth auction, despite an expected low coupon, as the BOJ's easy monetary stance is unlikely to change immediately. Other Cash Bond Yields At 0600 GMT Change 2-Year 0.1% JGB No. 297 Yield: 0.135% flat 5-Year 0.3% JGB No. 92 Yield: 0.290% flat 20-Year 1.8% JGB No. 122 Yield: 1.750% +0.005 30-Year 2.0% JGB No. 33 Yield: 1.920% .005 ***********
2010/10/26 15:20*DJ BOK Member: Preemptive Move Needed To Retain Policy Credibility - Minutes
2010/10/26 15:16=DJ DATA SNAP: French Consumer Confidence Improves Slightly
2010/10/26 15:15*DJ 2 BOK Members Called For 25-BPs Rate Hike In September - Minutes
2010/10/26 15:10=DJ WORLD FOREX: Yen Stays Near 15-Year High Vs Dollar Despite Tokyo Warnings-3-
2010/10/26 15:08DJ Tokyo Shares End Down As Mkt Weighs Yen Fears, Earnings Hopes
2010/10/26 15:07DJ Forex Options: Dollar/Yen Options Up; All-Time Spot Low In Sight
TOKYO -Dollar/yen options rose in Asia Tuesday as the dollar stayed below Y81.00, not far above its all-time low. Demand for hedges against further greenback falls against the yen increased as the record low of Y79.75 comes into sight, said an options dealer at a major Japanese bank. Benchmark volatilities implied by one-month at-the-money options rose to 11.40%/12.10% from 11.20%/11.90% in New York Monday. The mid-point of volatilities may rise to 12.00% if the U.S. unit falls to the record low, the dealer said. The dealer said one player bought a one-month dollar-put/yen-call options contract at a strike price of Y77.50 with implied volatility of 13.90%. Another person sold a one-month dollar-put/yen-call contract at a strike price of Y79.00, with implied volatility of 12.65%. One other sold a three-week dollar-put/yen-call contract at a strike price of Y79.20 with implied volatility of 12.65%. The dealer said the face values of these deals were somewhere between $100 million-$200 million each.
2010/10/26 15:07=DJ WORLD FOREX: Yen Stays Near 15-Year High Vs Dollar Despite Tokyo Warnings-2-
2010/10/26 15:01*DJ Stoxx 600 Index Dn 0.2% After The Open
2010/10/26 15:01*DJ FTSE 100 Dn 0.1% After The Open
2010/10/26 14:55*DJ India Minister: Central Bank To Intervene In Forex Market If Needed
2010/10/26 14:51DJ Malaysia Central Bank Gov: Ringgit Trend Reflects Underlying Fundamentals
KUALA LUMPUR -Bank Negara Malaysia Governor Zeti Akhtar Aziz Tuesday said the ringgit's strengthening against the U.S. dollar reflects underlying fundamentals, adding that the central bank is prepared to intervene if market conditions turn disorderly. Zeti said the ringgit has been relatively stable compared to other regional currencies, even though it has appreciated about 10% against the greenback this year. 'So far, the trend reflects our underlying fundamentals,' Zeti told reporters on the sidelines of an Islamic finance conference. 'The central bank is well-positioned to intervene if conditions become disorderly, or if there are excessive movements taking place within a very short period of time. But so far we have been very pleased that the market has remained orderly,' she added. Zeti also said that interest rates remain at appropriate levels and that there is currently no inflationary pressure. Malaysia remains firmly on a growth path and can achieve gross domestic product expansion of 6% in 2011, she added.
2010/10/26 14:47PRESS RELEASE: Fitch Rates Sinochem Hong Kong at 'BBB+'; Outlook Stable
The following is a press release from Fitch Ratings: Fitch Ratings-Hong Kong-26 October 2010: Fitch Ratings has today assigned a Long-term foreign currency Issuer Default Rating of 'BBB+' with a Stable Outlook and a foreign currency senior unsecured rating of 'BBB+' to Sinochem Hong Kong Co., Ltd. .At the same time, the agency has also assigned an expected rating of 'BBB+' to the proposed senior unsecured notes to be issued by Sinochem Overseas Capital Company Limited, a wholly owned subsidiary of Sinochem HK, and unconditionally and irrevocably guaranteed by Sinochem HK. The final rating is contingent upon the receipt of final documents conforming to information already received. "Sinochem HK's rating is equalised to that of its ultimate parent, Sinochem Group, reflecting the high level of ties between the two while Sinochem Group's rating benefits from a two-notch uplift reflecting the agency's assessment of strong state support to the group," says Ms. Ying Wang, Director in Fitch's Asia-Pacific corporates team."Sinochem Group's unsupported rating is underpinned by its strong position in China's agriculture sector, a well-positioned real estate business, a rapidly growing energy business and moderate financial metrics," adds Ms, Wang.Sinochem HK is indirectly 98%-owned by Sinochem Group, which is wholly-owned by the State-owned Assets Supervision and Administration Commission of the State Council of China. Under Fitch's Parent and Subsidiary Rating Linkage methodology, Fitch assesses the linkage between Sinochem Group and the state as moderate-to-strong due to the former's strategic role in securing China's food safety through fertiliser imports and distribution, as well as its key role in developing, producing and distributing seeds nationwide. The strategic importance of the group is enhanced by its various roles in the energy sector. It imports crude oil for domestic needs, is involved in China's strategic oil storage and acquires overseas exploration and production assets. In addition, Fitch notes Sinochem Group receives indirect government support in the form of ample bank financing and annual subsidies in its fertiliser business. Fitch assesses the overall ties between Sinochem HK and Sinochem Group to be strong resulting in the equalisation of their ratings. Sinochem HK serves as the platform to execute Sinochem Group's overseas business strategy and also holds about 61% of Sinochem Group's assets. In addition, Sinochem Group practices centralised treasury management, which includes Sinochem HK, with the exception of some publicly listed subsidiaries. Fitch notes that Sinochem HK's credit profile is weaker than its parent's. In 2009, Sinochem Group generated operating EBITDA of about CNY5.8bn, of which about CNY2.0bn was contributed by Sinochem HK. The group also had lower financial leverage of 7.2x (measured by adjusted net debt-to-operating EBITDAR ratio) at end-2009 (2008: 2.3x) compared to Sinochem HK's 10.3x (2008: 3.1x), due to the higher profits of group businesses outside of Sinochem HK (which includes oil storage and logistics, seeds and pesticides, chemicals, and financial services), and the higher cash balances at the parent level,. However, Fitch believes that Sinochem HK will be the growth driver of the group in the future particularly in the energy segment. Fitch assesses the standalone credit profile of Sinochem HK based on detailed analyses of its major business segments and considers the relative importance of these segments to the company currently and in the future.
2010/10/26 14:46DJ Japan Noda: Must Put Brakes On Excessive Short-Term FX Moves If Without Grounds
TOKYO -Japan's finance minister reiterated Tuesday his commitment to take decisive action in the currency market if necessary.'There are many reasons behind the currency market's short-term moves. But if these moves are based on scenarios without any grounds, we have to stave them off,' Yoshihiko Noda said during a Lower House fiscal and financial affairs committee.While he declined to comment on the government's specific stance on intervention, Noda said: 'our policy is unchanged that we will take decisive steps when necessary.'Noda added that prolonged strength in the yen is bad for the economy.
2010/10/26 14:45*DJ French Oct Consumer Confidence Was Seen At -36
2010/10/26 14:45*DJ French Oct Consumer Confidence -34 Vs Sep -35
2010/10/26 14:43DJ S&P President Sharma: Greece Will Not Default
NEW YORK -- Deven Sharma, president of Standard & Poor's, said Greece will not default Monday. 'I do not believe Greece will default,' said Sharma, speaking at The Buttonwood Gathering in New York. 'The design always was for there to be a collective solution' in the European Union, he said. Regarding the risk of the euro zone's falling apart, Sharma said monetary leaders have a number of policy choices left. 'There is a lot of desire to keep the euro together from a policy point of view,' he said. Still, Sharma said the euro currency question will be driven more by the politics of each country. He said the likelihood of default is higher in more speculative markets and emerging markets with geopolitical risks on the horizon. 'We are watching very carefully,' he said, but didn't name any countries under scrutiny. S&P is a unit of McGraw-Hill Cos. .
2010/10/26 14:34DJ German GfK Nov Consumer Confidence 4.9 Vs Oct 4.9
FRANKFURT -German market research group GfK's forward-looking consumer climate index is set to stabilize in November, with improving confidence in economic expectations but with caution regarding personal finances, Reuters news agency said Tuesday. The index is set to come in at 4.9 points for November, unchanged from October. This is below economists' forecast of 5.2 points in a survey. While GfK's overall consumer climate index refers to the next month, its subindexes--economic expectations, income expectations and buying propensity--refer to the current month. The economic expectations index rose to 56.0 points in October from 53.5 points in September. The personal income expectations index fell to 36.0 in October from 45.2 in September, while the propensity to buy declined to 22.5 points from 30.7 points. GfK website: www.gfk.de
2010/10/26 14:34=DJ WORLD FOREX: Yen Stays Near 15-Year High Vs Dollar Despite Tokyo Warnings
2010/10/26 14:02*DJ Nikkei Stock Average Closes Down 0.3% At 9377.38
2010/10/26 14:00*DJ German GfK Nov Consumer Sentiment At 4.9 Vs 4.9 Oct
2010/10/26 14:00*DJ German GfK Nov Consumer Confidence Was Forecast At 5.2
2010/10/26 13:52=DJ UPDATE: IMF: Hungary's Fiscal Steps Are Bold And Risky
(Rewrites throughout, adds details, quotes) By Margit Feher and Veronika Gulyas Of BUDAPEST -Hungary's planned or approved fiscal steps are 'bold and risky' and raise questions about medium-term fiscal sustainability, International Monetary Fund Mission Chief Christoph Rosenberg said Monday. The Hungarian government has introduced temporary taxes to reach a budget deficit of 3.8% of gross domestic product in 2010 and a budget deficit target of below 3% in 2011. Based on the tax measures, the IMF said the 2010 budget deficit target can be reached, but stressed that the measures are 'not quite enough' for 2011. The IMF also projected that Hungary's budget shortfall will be higher than 3% of GDP beyond 2011. 'The fiscal plans raise questions about medium-term fiscal sustainability, and add to uncertainty,' Rosenberg said. To reach fiscal sustainability, Hungary needs structural reforms and spending cuts in the public sector, Rosenberg said. Hungarian National Development Ministry State Secretary Andras Karman agreed that Hungary will align its extraordinary financial sector tax, approved earlier this year by parliament, with European Union regulation, eventually. The IMF maintained, however, that it opposes the bank-sector tax because of its large size and discriminatory nature against foreign banks. Rosenberg stressed that Hungary's planned flat-rate 16% personal income tax is an 'appropriate reform,' but warned that its effect on the labor market, economic growth and consumption are uncertain. The IMF warned of overestimating the size of a potentially positive effecton the labor market, because extra corporate taxes will damp investment and also because it is uncertain how much extra income from lower taxes households will put into savings and how much they will spend, Rosenberg said. The IMF also cautioned against the government's plan to temporarily withhold payments from individuals into private pension funds. 'This government step would enable the state to use people's long-term savings for short-term spending, and could undermine the strength of the pension-fund system, which is strong compared to Hungary's regional peers,' Rosenberg said. The IMF and the government agreed on economic projections for 2010. The IMF expects Hungary's GDP growth close to 1% and the inflation rate at 3.5%, Rosenberg said. However, for 2011 their forecasts diverged, with the IMF forecasting weaker GDP growth of 2.5% and 3% in the medium term, while Hungary sees 3% growth already next year. Representatives of the IMF, the Hungarian government and the National Bank of Hungary held a briefing after the IMF's regular annual consultations and the central bank rate decision earlier in the day. The IMF mission to Hungary didn't discuss financing issues during its consultations with Hungary, nor did it talk about Hungary applying for the IMF's precautionary credit line. 'At the moment, Hungary doesn't need a precautionary credit line [as] it has reserves of EUR3 billion, which is ample for unforeseen events,' Karman said. The IMF conducted Article IV consultations, which aren't tied to any loan deal, but are a regular, once-a-year consultation with its member countries. Hungary, the first EU country to secure IMF support stemming from the global credit crunch, severed in July its borrowing ties with the IMF, choosing instead to pursue its 'economic policy sovereignty.' Credit rating agency Moody's told Thursday that an IMF credit would be beneficial for Hungary as a safety net. Hungary, which hasn't drawn on its IMF credit line for more than a year as it has been able to finance itself from markets, doesn't plan to seek any further IMF credit, Hungarian officials have said.
2010/10/26 13:45*DJ Japan Fin Min Noda: Must Put Brakes On Excessive Short-Term FX Moves If Without Grounds
2010/10/26 13:41=DJ INTERVIEW: Riversdale Seeks Partner For Mozambique Coal Project
2010/10/26 13:33=DJ FED WATCH: SF Fed Says TIPS Market Putting Low Odds On Deflation
2010/10/26 13:32*DJ Malaysia Zeti: Central Bank To Intervene To Ensure Orderly FX Market
2010/10/26 13:31*DJ Malaysia Zeti: Interest Rate At Appropriate Level
2010/10/26 13:29*DJ Malaysia Zeti: Can Achieve 6% GDP Growth In 2011
2010/10/26 13:28*DJ Malaysia Central Bank Gov: Country Firmly In Recovery Growth Path
2010/10/26 13:00=DJ Gymboree Borrowing Nearly $1.5B As It Is Taken Private
2010/10/26 13:00=DJ FOREX VIEW: Canada Dollar Finds US Too Close For Comfort
2010/10/26 12:54*DJ UBS 3Q Rev CHF6.66B
2010/10/26 12:48*DJ UBS 3Q Net Pft CHF1.66B
2010/10/26 12:30*DJ Fitch Rates Sinochem Hong Kong at 'BBB+'; Outlook Stable
2010/10/26 12:28=DJ TAKING STOCK: Gold Faces Reversal Pattern, Could Drag Stocks
2010/10/26 11:51DJ Sinochem Overseas Capital Hires Banks For Benchmark Dollar Bond - Source
DJ Sinochem Overseas Capital Hires Banks For Benchmark Dollar Bond - SourceSINGAPORE -Sinochem Overseas Capital Co. Ltd. has hired banks for a two-tranche, benchmark-sized U.S. dollar-denominated bond, a person familiar with the situation said Tuesday.The company, a unit of Sinochem Hong Kong Co. Ltd. is planning to issue 10-year and 30-year benchmark bonds, the person said.Citigroup, HSBC and UBS have been appointed as the joint lead managers for the bond issue.The issue is expected to be launched, subject to market conditions, following a roadshow covering Asia, Europe and the U.S. The roadshows begin today, the person said.
2010/10/26 11:31DJ UK, Switzerland In Talks To Levy Tax On Secret Accounts -Report
The secret Swiss bank account, the traditional hiding place for tens of thousands of U.K. tax evaders, may not be entirely safe from British authorities in the future, The Times in London reported Tuesday.Ministers from both countries have begun talks about ways in which the British Exchequer, the government department responsible for public revenue, could receive tax on interest paid on such accounts while protecting the anonymity of the customer, the U.K. newspaper said.The Swiss may be prepared to levy a withholding tax on the accounts, which then would be passed to the U.K.'s revenue and customs department, according to Treasury sources cited by The Times.While the talks are at an early stage, they raise the prospect of billions of pounds being raised from wealthy individuals currently cheating the system, the newspaper said.Newspaper Web site: http://thetimes.co.uk-; dennis.baker@dowjones.com
2010/10/26 11:20DJ Japan Seeks Alternative Rare-Earth Sources: Maehara - Report
Japan Foreign Minister Seiji Maehara said his country is seeking sources other than China for rare earth metals, Bloomberg News reported on its website, amid strained ties between the two countries. 'It's certainly not good for our own resource security to rely on a single country,' Bloomberg on Monday quoted him as saying in an interview in Tokyo. 'We're in the process of diversifying our supply sources,' the report quoted Maehara as saying. It said China controls 97% of the rare earth market. 'It's not good if the No. 2 and No. 3 economic powers in the world have troublesome relations,' the report quoted the minister as saying. 'We need to firmly discuss the rare earth minerals issue.' Full story: http://www.bloomberg.com/news/2010-10-25/maehara-says-japan-is-mending-relations-with-china-seeks-rare-earth-deals.html
2010/10/26 11:19=DJ MONEY TALKS: G-20 Gives Greenlight To Dollar Weakness
2010/10/26 10:57=DJ Fed's Hoenig: Additional Easing Is 'Dangerous Gamble'
2010/10/26 10:56*DJ Sinochem To Meet Investors In Asia, Europe, US On Roadshow - Source
2010/10/26 10:55*DJ Sinochem To Start Roadshow Today For Global Bond - Source
2010/10/26 10:54*DJ Sinochem Dollar Bond To Have 2 Tranches, 10- And 30-Year - Source
2010/10/26 10:44*DJ Sinochem Overseas Capital Hires Banks For Benchmark Dollar Bond - Source
2010/10/26 10:31*DJ Riversdale: Wuhan Iron Has Completed Due Diligence On Zambeze
2010/10/26 10:30*DJ Riversdale Mining: Seeking Partner For Mozambique Coal Project
2010/10/26 10:15DJ 'Surprise' Yen Sales Most Effective: Japan Official - Report
tervention in currency markets is most effective when it comes as a 'surprise,' Bloomberg News quoted Japanese Vice Finance Minister Fumihiko Igarashi as saying, in a report published Tuesday on the news agency's website.'A surprise move would probably be effective to some extent,' the report quoted Igarashi as saying in an interview in Tokyo. 'We can't make an announcement in advance that we will act, but, on the other hand, we can't say that we won't act either.'Full story: http://www.bloomberg.com/news/2010-10-25/yen-sales-most-effective-when-a-surprise-japan-vice-finance-chief-says.html
2010/10/26 09:58=DJ FOREX VIEW: Geithner's Imbalance Focus Wins Out At G-20 Meeting
2010/10/26 09:42=DJ BOE's King Says Basel III Positive Step, But Need To Do More
2010/10/26 09:36DJ Potash Poison Pill Hearing Set For November 8 - FT
askatchewan's securities regulator has set Nov. 8 as the date for a hearing on BHP Billiton Ltd.'s application to halt Potash Corp. of Saskatchewan's poison pill defense against BHP's takeover bid, the Financial Times newspaper reported Monday on its website. BHP had said in a filing that its offer would have been open for three months when the hearing starts. 'No alternative transaction has emerged to date and the evidence before the Commission is that none is likely to emerge,' the report quoted it as saying.Full story: http://www.ft.com/cms/s/0/2cb4d490-e084-11df-abc10144feabdc0.html
2010/10/26 08:43DJ Japan Cabinet Approves Y4.851 Tln Extra Budget For Econ Package
DJ Japan Cabinet Approves Y4.851 Tln Extra Budget For Econ Package TOKYO -The Japanese government approved a Y4.851 trillion extra budget to finance its economic stimulus package aimed at re-igniting the country's stalling economic recovery. Including Y238.8 billion worth of public works contracts to be brought forward, the package amounts to Y5.1 trillion. The spending plan--the first in 11 years to be funded without the use of deficit-financing government bonds--is the latest step by the ruling Democratic Party of Japan to cope with the twin threats of a soaring yen and deflation, which threaten to detail the country's fragile economic recovery. Already set by the cabinet of Prime Minister Naoto Kan earlier this month, the stimulus measures include a Y319.9 billion outlay to create and protect jobs, Y1.124 trillion for childcare, medical and nursing services, and Y3.071 trillion to help small businesses, revitalize regional economies and improve infrastructure. It allocates Y336.9 billion to support growing business areas and technologies, including Y87.2 billion to help secure more sources of rare earth and other natural resources. The extra spending comes as the dollar tumbled to a fresh 15-year low of Y80.41 in Tokyo Monday, further reducing the competitiveness and profitability of Japan's exports, the major driver of the economic recovery in the aftermath of the global financial crisis. But the government may struggle to pass the extra budget through the parliament, where Kan's party has majority in only the lower of the two houses. The package also comes with government financial support for corporations' overseas investments to take advantage of the strong yen. Backed by government funding, including foreign exchange holdings, the state-run Japan Bank for International Cooperation will provide loans to private companies, when needed, for business activities in developed countries. Such activities may include mergers, acquisitions and investment projects such as power-plant and high-speed train construction.
2010/10/26 08:37*DJ Fed's Hoenig: Allow For Key US Rate To Rise to 1%, Then 2%
2010/10/26 08:35DJ Japan Finance Minister Noda: FX Moves Monday A Bit One-Sided
TOKYO -Japan's Finance Minister Yoshihiko Noda expressed displeasure Tuesday with currency market moves the previous day, when the yen rose to a fresh 15-year high against the dollar."I think the moves yesterday were a bit one-sided," Noda said at regular press conference.He reiterated that he will continue watching the foreign exchange market, but said wasn't sure what immediate impact there had been from the agreement reached by the Group of 20 nations over the weekend.The dollar fell to a 15-year low of Y80.41 Monday. It was at Y80.85 as of 2353 GMT.
2010/10/26 08:26*DJ Fed's Hoenig: Additional QE A 'Very Dangerous Gamble'
2010/10/26 08:24*DJ Fed's Hoenig: Need To Move Key US Interest Rates Off Of Zero
2010/10/26 08:24=DJ Volcker: Doesn't See US Inflation Problem 'For Several Years'
2010/10/26 08:21*DJ Fed's Hoenig: Monetary Policy Remains 'Highly Accommodative'
2010/10/26 08:14*DJ Fed's Hoenig: US Economy Recovering Modestly; To Grow Around 2.5% In 2010
2010/10/26 08:05*DJ Nikkei Stock Average In Positive Territory
2010/10/26 08:02=DJ White House Loan Modification Program Still Below Expectations
2010/10/26 08:02*DJ Nikkei Stock Average Opens Down 0.2% At 9386.55
2010/10/26 08:02*DJ Lead 10-Yr JGB Futures Open Up At 143.44 Vs 143.42
2010/10/26 07:48DJ Pimco's El-Erian: Expects Greece Will Default In 3 Years
NEW YORK -Mohamed El-Erian, chief executive and co-chief investment officer of bond giant Pimco, said he bets Greece will default on its debt in three years.Greece is likely to default, and it will be to the country's and the European Union's benefits, said El-Erian, speaking at the Buttonwood Gathering in New York.Without an orderly restructuring, he said, Greece's economy could spiral into a lost decade of high unemployment and low growth as seen in Asia and Latin America in the past.That is because the fiscal plan imposed by the International Monetary Fund and EU for Greece's bailout to adjust its debt to GDP ratio will require enormous growth sacrifices, and yet see the country's debt rise further into the future."Europe has shown its ability to make changes that people thought were not very likely," said El-Erian. He said it is in the region's interest for Greece to default "because the alternative doesn't promise growth and employment generation."In a question-and-answer session that followed earlier comments, El-Erian signaled the potential of a bubble from a second round of quantitive easing, or bond buying, by the Federal Reserve, which financial markets expect the central bank to begin at its next policy meeting.El-Erian said the liquidity created by more quantitaive easing will not be absorbed, but will continue to seek higher short-term returns in instruments such as commodities, emerging-market currencies and stocks, as well as the euro and yen."At some point you get to a level that is not going to be sustained," he said.
2010/10/26 07:40*DJ Japan Fin Min Noda: To Continue To Closely Monitor FX Market
2010/10/26 07:39*DJ Japan Fin Min Noda: FX Moves Monday A Bit One Sided
2010/10/26 07:31*DJ Japan Cabinet Approves Y4.851 Tln Extra Budget For Econ Package
2010/10/26 07:29=DJ Fed's Dudley: Fed Will Act To Help Economy Should Conditions Require It
2010/10/26 07:01=DJ WORLD FOREX: Dollar Falls After G-20 As Old Trends Return-2-
2010/10/26 05:49*DJ Dudley: Bond Buying Size Would Depend On Economic Situation
2010/10/26 05:48*DJ Fed's Dudley: Dollar's Value Is Not Objective Of Fed Policy
2010/10/26 05:33=DJ WORLD FOREX: Dollar Falls After G-20 As Old Trends Return
2010/10/26 05:26*DJ Dudley: More Fed Asset Buying Would Likely Aid Economic Growth
2010/10/26 05:22*DJ Dudley: No Decision Made On Further Fed Balance Sheet Expansion
2010/10/26 05:19*DJ Dudley: Fed Hasn't Determined Best Way To Shrink Balance Sheet
2010/10/26 05:17*DJ Dudley: Fed Can Shrink Balance Sheet When It Wants
2010/10/26 05:16*DJ Dudley: Fed Expanded Balance Sheet Will Persist As Long As Needed
2010/10/26 05:13DJ Long-Term Treasurys Up; 5-Year TIPS Auctioned At Negative Yield
2010/10/26 05:00=DJ US Stocks Climb; Materials, Industrials Boosted By Weak Dollar-2-
2010/10/26 04:50*DJ Fed's Dudley: Current Rate Of Inflation Makes Fed 'Uncomfortable'
2010/10/26 04:29=DJ US Stocks Climb; Materials, Industrials Boosted By Weak Dollar
2010/10/26 04:05DJ OIL FUTURES: Crude Ends Higher As Traders Weigh Dollar Weakness
2010/10/26 04:05*DJ DJIA Closes Up 32 (0.3%) At 11165 As DuPont, Kraft Rise
2010/10/26 04:05*DJ Nasdaq Closes Up 11 (0.5%) At 2491; Materials Lead Gains
2010/10/26 03:38DJ ECB Provopoulos Says Euro-Zone Recovery Sustainable - Report
ATHENS -European Central Bank governing council member George Provopoulos said Monday that despite signs of a slowdown, the current recovery in the euro zone is sustainable and there was no risk of a double-dip recession, according to an interview with Reuters."The growth process is moderating in the second half of the year as expected, but this does not mean that we are losing underlying momentum," Provopoulos said in the interview. "The positive underlying momentum remains in place."His remarks mirror the official outlook of the ECB, which last month lifted its forecasts for euro-zone growth despite expectations that growth would moderate in the second half of the year.In the interview, Provopoulos, who is also governor of the Bank of Greece, said that the worst was over for Greek banks amid signs of a gradual return to confidence in the Greek financial markets.But he warned that the country still faced years of austerity and reform in order to fix its public finances and close a yawning deficit that forced the government to seek an emergency loan from the International Monetary Fund and European Union in May."As regards Greek banks, I can say they have seen the worst, given that what happened in the sector was the result of a deepening fiscal crisis," Provopoulos said."Progress on the fiscal front will be reflected on the banking system, but the road ahead will be long, given the depth of the crisis," he added.
2010/10/26 03:09DJ PRECIOUS METALS: Gold Gains 1% On Weaker Dollar, Risk Worries
2010/10/26 02:37*DJ OIL FUTURES: Nymex Crude Settles Up 83c At $82.52/Bbl
2010/10/26 02:37*DJ OIL FUTURES: Crude Ends Higher On Weak Dollar
2010/10/26 02:34*DJ OIL FUTURES: Nymex Crude Closes Up 76c At $82.45/Bbl
2010/10/26 02:33*DJ Overseer Slams TARP's Failure To Stem Moral Hazard, Bank Bonuses -CNBC
2010/10/26 02:32*DJ TARP Inspector General To Issue Quarterly Report To Congress Tuesday -CNBC
2010/10/26 01:23DJ ECB Weber: Forex Rates Must Be Freely Determined By Market
STUTTGART, Germany -Foreign-exchange rates should be freely determined by the market and projectionist tendencies must be avoided, a key member of European Central Bank's governing council said Monday."I think a verbal disarmament is absolutely necessary" when talking about global exchange rates, Axel Weber said.Weber, who is also president of Germany's Bundesbank, said companies must strive to increase their competitiveness to cushion the effects of a strengthening euro.
2010/10/26 01:09*DJ OIL FUTURES: Crude Heads Lower As Dollar Rebounds
2010/10/26 01:07*DJ 5-Year TIPS Sold At Negative Yield For First Time
