Switzerland cuts growth forecast December 13, 2011 The Swiss government has reduced its 2012 growth forecast, saying the Eurozone crisis had taken its toll. The forecast growth rate was cut from 0.9 per cent to 0.5 per cent. But the country is not expected to lunge into recession.
Deutsche Boerse and NYSE send EU case for merger December 13, 2011 NYSE Euronext and Deutsche Boerse have sent proposals to European competition authorities to address their concerns over a merger of the two exchange operators, they said in a statement. “The parties have strengthened their original proposal with respect to European single equity derivatives by increasing the assets to be included in the divestiture, and to [...]
MARKETS HIT AS EURO HOPES FADE December 12, 2011 GLOBAL markets were shaken yesterday as fears returned that governments will not manage to save the Eurozone. The honeymoon period that followed last week’s euro deal proved all too brief, making way yesterday afternoon for a show of bitter disappointment from traders. Stocks fell sharply, peripheral Eurozone economies saw their bond yields soar towards the [...]
FSA: Beef up EU rules after RBS December 12, 2011 THE UK must vigorously oppose Europe’s stance on new capital rules in the wake of RBS’s collapse, FSA chairman Lord Adair Turner said yesterday. The long-awaited report into the bank’s 2008 bail-out by taxpayers published yesterday said that regulators were using a “fundamentally flawed” set of rules for how much a bank must put aside [...]
MPs: Finance must be taught December 12, 2011 PERSONAL finance must be taught in schools to equip young people with the knowledge they need to navigate an increasingly complex financial world, said a group of MPs yesterday, as they called for compulsory lessons to be part of the curriculum. A report released by the all-party parliamentary group (APPG) on financial education for young [...]
RBS probe doesn’t answer key issues December 12, 2011 THERE was lots of good stuff in yesterday’s report on the demise of RBS and the idiocy, stupidity and incompetence of the top executives – including Sir Fred Goodwin – advisers, politicians and regulators in charge, including Gordon Brown and Ed Balls. RBS’s rise, fall and slow-motion crash is an astonishing tale of hubris: human [...]
WHAT THE OTHER PAPERS SAY THIS MORNING December 12, 2011 FINANCIAL TIMES Evraz raises prospect of Severstal merger Evraz has raised the possibility of a merger with Severstal in a deal that would unite Russia’s two biggest steelmakers to create the world’s eighth-largest producer by output, with a combined market capitalisation of £12bn. Alexander Abramov, Evraz’s chairman and founder, said in an interview with the [...]
Lloyds bond swap cuts debt needs by 20pc December 12, 2011 LLOYDS has completed a debt exchange that reduces its 2012 financing needs by a fifth, the bank announced yesterday. That means it will have to issue £15-£20bn of new debt next year instead of the previous target of £20-25bn. The move reduces Lloyds’ short-term reliance on wholesale funding markets, which have seized up over the [...]
LSE buys FTSE to win control of key assets December 12, 2011 THE London Stock Exchange took total control of stock index provider FTSE International yesterday, by buying Pearson’s 50 per cent stake for £450m. The move cements the LSE’s hold over the FTSE’s 200,000 indices and global, high growth trajectory. It also puts it in control of a critical piece of trading infrastructure as it seeks [...]
Hendry hedge fund soars as China slows December 12, 2011 HEDGE fund boss Hugh Hendry (pictured below) has bucked the gloom afflicting rivals and recorded stellar gains on his “China short” fund. The charismatic Glaswegian told City A.M. the fund had returned 52 per cent so far this year. The performance contrasts with a loss of 4.37 per cent for the average global hedge fund, [...]