Positive data raises hopes for growth August 5, 2009 A BATCH of better-than-expected economic data yesterday raised the chances that the UK economy could grow in the third quarter. Coming ahead of the Bank of England’s Monetary Policy Committee (MPC) decision tomorrow, the CIPS/Markit services purchasing managers’ index (PMI) showed a rise to 53.2 in July from 51.6 and above consensus expectations of 51.8. [...]
US factory orders rise in June August 5, 2009 NEW orders received by US factories unexpectedly rose in June, government data showed yesterday, advancing for a third straight month and raising cautious hopes of a turnaround for the recession-hit economy. The Commerce Department said factory orders climbed 0.4 per cent in June after increasing by a revised 1.1 per cent in May, previously reported [...]
Eurozone retail sales fall, as ECB set to hold rates August 5, 2009 EuroZONE retail sales fell unexpectedly in June, data showed yesterday, pointing to weak consumer demand and posing a question mark over how quickly the economy will emerge from recession. Retail trade in the 16 countries using the euro fell 0.2 per cent on the month, European Union statistics office Eurostat said — worse than the [...]
WHAT THE OTHER PAPERS SAY THIS MORNING August 5, 2009 FINANCIAL TIMES FERREXPO SEES IRON MARKET SHIFTFerrexpo signalled that iron ore demand was shifting back to Europe after being heavily reliant on China, as the Ukranian miner unveiled an 81 per cent drop in first-half profits. Ferrexpo reacted to the collapse in demand from steelmakers in Austria by selling iron ore pellets to China, incurring [...]
Cisco systems profits nosedive August 5, 2009 Computer firm Cisco Systems last night said it saw its quarterly profits dive by 46 per cent as sales declined. For the three months to 25 July Cisco made a net profit of $1.1bn (£647m), compared with $2bn in the same period a year earlier. The firm said it was too soon to call a [...]
CITY AM SHADOW MPC August 5, 2009 ALLISTER HEATH CITY A.M.The recession is coming to an end, even though money supply growth remains weak. The Bank should suspend its quantitative easing operations for the time being. SIMON WARD HENDERSON NEW STAR“Await more evidence before deciding on a further expansion of QE. The latest broad money numbers were disappointing but financial market behaviour [...]
AIG rockets ahead of results August 5, 2009 Shares in American International Group yesterday soared ahead of its quarterly report tomorrow. The shares closed up 63 per cent to $22 (£13) as analysts forecast operating earnings could stabilise after five-straight quarterly losses and put faith in new chief executive, Robert Benmosche, who next Monday will become the fourth person in the last 14 [...]
Bank of NY Mellon exits Tarp August 5, 2009 Bank of New York Mellon yesterday said it paid the US Treasury Department $136m (£80m) to redeem warrants to buy its stock, becoming the latest big lender to exit the Troubled Asset Relief Programme (Tarp).
Goldman pulls in $100m daily August 5, 2009 GOLDMAN Sachs traders in London and New York made revenues of more than $100m (£58.8m) on 46 days during the past quarter and lost money on just two days, the bank revealed last night in a regulatory filing. As market conditions improved during the period, it comfortably beat its record of making $100m a day on [...]
Loss for F&C as assets fall August 5, 2009 F&C ASSET Management said yesterday it swung to a pre-tax loss of £11.3m in the first half of the year, after client withdrawals from its funds ballooned to £3.3bn in the second quarter. The group held its interim dividend at 2p yesterday after reporting the loss, which compared to a £3.4m gain in the same [...]