Renminbi boost for London
Britain’s bid to become the leading centre for offshore trading in the renminbi is set to receive a boost with the designation of China Construction Bank , the country’s second-largest lender, as a clearing bank in London for the Chinese currency. The move – filling a gap in the UK’s infrastructure for trading the currency – will embellish London’s credentials as a global centre for foreign exchange trading, as financial capitals around the world vie for a slice of the fast-growing offshore renminbi trade.
The decision is expected to be announced at around the time of a trip to London next week by Li Keqiang, China’s premier.
US commerce concerned on BNP fine
Speaking in Paris, Myron Brilliant, head of international affairs for the US Chamber of Commerce, said they might “weigh in” on the issue if BNP was hit by “excessive” penalties for breaking US sanctions on doing business with Iran, Sudan and Cuba.
French government unveils new cuts
President François Hollande’s government has pledged to press ahead to curb public spending, unveiling new cuts yesterday. In a supplementary budget, the government added €4bn (£3.22bn) in extra spending curbs to €14bn already programmed this year to safeguard the 2014 budget deficit target of 3.8 per cent of national output.
US Treasury says firms must invest
American businesses should “come off the sidelines” and invest more in job creation, rather than sit on huge stockpiles of cash, Jack Lew, the US Treasury secretary, said in a speech to the New York Economic Club yesterday.
Half of Jaguar supply chain in UK
A string of multinational car parts groups opening factories in Britain or enlarging existing operations has resulted in Jaguar Land Rover increasing the amount of components made in its local supply chain to as much as 50 per cent, the company has revealed. A quarter of the supply chain is based in the West Midlands alone.
The Daily Telegraph
Wedgwood to sell off part of site
Wedgwood is selling off part of its 281 acre site in Barlaston, Staffordshire to housing developers and using the extra cash to renovate its existing buildings. David Wilson Homes has bought part of Wedgwood's site and plans to build over 200 new homes as part of a £34m redevelopment.
Banking watchdog hires headhunters
The Banking Standards Review Council, the new body to police bankers’ standards, has this week hired head hunters at Spencer Stuart to start a search for a chairman. Sir Richard Lambert, a former director general of the CBI, was charged with setting up the organisation.
THE WALL STREET JOURNAL
Palladium futures hit 13-year high
Palladium prices rose to the highest level in more than 13 years yesterday, as a miners' strike in South Africa has squeezed supplies. Palladium for September delivery, the most actively traded contract, closed up $5.60 (£3.34), or 0.7%, at $860.15 (£512.30) per troy ounce
Stournaras gets Bank of Greece job
Former Greek finance minister Yannis Stournaras was named the country's new central bank governor, a move that ensures continuity in Greece's overhaul drive. In a statement, the general council of the Bank of Greece said it had unanimously recommended Stournaras.