Spain close to financial crisis but euro exit is not imminent June 5, 2012 SPAIN is teetering on the brink of a severe financial crisis but is unlikely to leave the Eurozone any time soon, according to our readers’ panel. Asked to rate Europe’s weaker economies on a scale of 1 to 5 (1 being close to a severe financial crisis), the panel gave Spain a score of 2.5. [...]
Tyrie: IMF must get tough with EU on bailouts June 5, 2012 THE IMF should stop treating Brussels as a partner in Eurozone bailout talks and show some “toughness”, according to Andrew Tyrie, chair of the influential Treasury committee of MPs. In a paper for the Centre for Policy Studies, Tyrie also suggests the IMF’s “credibility is on the line” and that Britain and other non-Eurozone countries [...]
Even Germany feels the pain as output falls June 5, 2012 ALL FOUR of the largest Eurozone economies contracted last month, survey data showed yesterday, as official figures revealed retail sales are plummeting across much of the area. Markit’s composite purchasing managers’ index (PMI) came in at a near three-year low of 46, down from 46.7 in April, indicating an accelerating decline in private sector activity. [...]
European states avoid the bond market as debt issues tumble June 5, 2012 EUROPE’S market for new debt issuance has shrunk 17 per cent since last year, new figures show. As uncertainty over the introduction of eurobonds continues to cloud the market, statistics from Dealogic show that Europe’s level of new debt issuance fell to $1.11 trillion (£723bn) in the first five months of 2012. This is down [...]
MegaFon float put on hold as Russia’s richest man sits tight June 5, 2012 THE global uncertainty around public listings was underlined yesterday when the chief executive of Russian mobile phone group MegaFon indicated its highly anticipated float might not occur for some time. Russia’s second biggest mobile operator – controlled by Arsenal shareholder and Russia’s richest man Alisher Usmanov – plans to list up to 20 per cent [...]
Portuguese banks tap state bailout money June 5, 2012 THREE of Portugal’s biggest lenders are to receive a €6.6bn (£5.3bn) bailout, mostly from the country’s €78bn EU/IMF rescue money, after failing to make ends meet. Millennium BCP, Banco BPI and Caixa Geral de Depositos have all asked the government for help in meeting the emergency capital requirements set out by Europe’s banking regulator, the [...]
Barclays caught up in UniCredit tax prosecution June 5, 2012 ITALY is to prosecute several Barclays bankers alongside former UniCredit chief executive Alessandro Profumo, who is now chairman of one of the world’s oldest banks, Banca Monte dei Paschi di Siena. Profumo, who is being prosecuted alongside 19 others including a handful of Barclays bankers, is being targeted for allegedly authorising a scheme that allowed [...]
Former MF Global boss may face claims worth millions of dollars June 5, 2012 THE former chief executive of failed broker MF Global has been warned he could face legal action. James Giddens, trustee for the broker-dealer unit, said he may bring civil claims against Jon Corzine and other former MF Global executives for negligence and breach of duties to customers. Giddens also said he was prepared to sue [...]
Accelerating demand for luxury cars in China lifts BMW and Audi June 5, 2012 BMW, the world’s biggest luxury car maker, said yesterday its group vehicle sales in China soared by 31.5 per cent in May, accelerating from 30.8 per cent in April. Over the first five months of this year, its sales in China rose 34.4 per cent to 135,026 vehicles, BMW said in a statement. BMW has [...]
FANNIE MAE NAMES NEW CHIEF EXECUTIVE June 5, 2012 FANNIE Mae, the largest backer of loans in the US housing market, last night named Timothy Mayopoulos as its new chief executive. Mayopoulos will succeed Michael Williams, who notified the company of his intention to step down earlier this year. Mayopoulous is currently executive vice president at the lender, and was previously general counsel at [...]