Fresh fears over global recovery February 23, 2010 FEARS of a double-dip global recession intensified yesterday after a slew of depressing economic news highlighted the fragility of the world economy. Bank of England governor Mervyn King warned that Britain might have to resort to further quantitative easing (QE) if the UK economy deteriorates further. He highlighted the stalled recovery in the Eurozone – [...]
Your chance to let politicians know what you really think February 23, 2010 THE City is the engine room of the British economy, but you wouldn’t know it from the policies of the main political parties. Few politicians are interested in reflecting or listening to the concerns of the hundreds of thousands of people who work in London’s business and financial sectors. With an election just weeks away, [...]
From easy money to $1m comic books February 23, 2010 Q. What do quantitative easing and super-hero comic books have in common? A. Quite a lot. Cheap money from central bank asset purchases and ultra-low interest rates is helping to reinflate bubbles in parts of the global economy. UK house prices are soaring irrationally again, for instance. But my favourite anecdote comes from ComicConnect.com, a [...]
WHAT THE OTHER PAPERS SAY THIS MORNING February 23, 2010 FINANCIAL TIMES USAF STARTS BID TO REPLACE AGEING TANKERS The US Air Force will attempt to kick-start its long-delayed, multi-billion dollar competition to replace its ageing fleet of refuelling tankers this week with a new set of bidding rules. It promises the competition, mired in controversy for more than six years, will be “full and [...]
Bonuses for US bankers soar to $20bn in 2009 February 23, 2010 US banks paid out a total of $20.3bn (£13.1bn) in bonuses for 2009, up 17 per cent from a year earlier, according to figures released yesterday from New York’s tax department. The pool could top $55bn, nearly triple the previous record year, as markets recovered from their worst downturn in decades. According to comptroller, Thomas DiNapoli, [...]
Intended pay rise for HSBC boss blocked February 23, 2010 HSBC chief executive Michael Geoghegan will not see a planned 36 per cent hike in his salary this year after the bank yielded to continued protests by shareholders. The London-based bank had toldshareholders it intended to raise Geoghegan’s salary to £1.4m, it is understood, at the same time it also proposed to hike finance director [...]
VT investors vent spleen as Babcock’s offer turns into Takeover Panel wrangle February 23, 2010 SHAREHOLDERS in services company VT Group are growing increasingly frustrated at the board’s refusal to engage with shipbuilder Babcock over its £1.25bn indicative offer. Several investors told City A.M. they could not understand the reluctance of chief executive Paul Lester to discuss the raised approach, which values VT at 685p to 715p per share depending [...]
Blacks tries to keep £22m deal on track February 23, 2010 LAST MINUTE negotiations were taking place yesterday in an attempt to avoid a bitter clash between shareholders at today’s meeting of outdoor clothing specialist group Blacks. Blacks shareholders are due to vote on a £22m refinancing of the group – but the whole exercise has been thrown into jeopardy because of a surprise purchase from an [...]
Hedge funds do not create a systemic risk, concludes FSA February 23, 2010 FEARS over the systemic risk posed by the UK’s largest hedge funds are overblown, a Financial Services Authority (FSA) report suggested yesterday. Widespread concerns over the borrowing used by fund managers were dampened by figures showing the likes of Brevan Howard Asset Management and GLG Partners use 200 per cent gearing on average, a relatively [...]
Abbey Road future guaranteed after it is granted listed status February 23, 2010 Abbey Road, the recording studios made famous by the Beatles, was designated a historic site by the government yesterday to protect the pop music shrine against any plans to radically alter it. Reports last week that owners EMI were to sell the studios attracted worldwide interest and sparked fears the site might be converted into [...]