Bank of England again split over policy December 22, 2010 The Bank of England’s Monetary Policy Committee (MPC) has been divided again over interest rates and quantitative easing (QE), according to minutes of its last meeting. In December the minutes showed that one of its nine members again wanted QE to be expanded, while another continued his call for interest rates to rise to 0.75 [...]
Economic growth revised down December 22, 2010 The economy grew less quickly than previously thought in the third quarter, and growth in the second quarter was also revised down, according to official data. The Office for National Statistics (ONS) said GDP grew 0.7 per cent on the quarter, down from the 0.8 percent previously estimated. On the year, growth was revised down [...]
Japan exports up but economy remains fragile December 22, 2010 Japanese export growth picked up for the first time in nine months in November, driven in part by a weaker yen, official figures have shown. Exports grew by 9.1 per cent compared with a year earlier, the finance ministry said. That compared compared with 7.8 per cent jump in October. But the government forecast economic [...]
British Land signs “cheesegrater” contract December 22, 2010 British Land and Oxford Properties have signed contracts for a 50:50 joint venture to develop the Leadenhall building. The company, which sidelined the project during the recession, said corporations had expressed interest in the building. Oxford Properties is real-estate arm of Ontario Municipal Employees Retirement System (Omers) pension fund, Dubbed the ‘Cheesegrater’ because of its [...]
Mouchel rejects £119m Costain bid December 22, 2010 Engineering group Costain has confirmed that outsourcing company Mouchel has rejected an approach it made for the business, valuing it at £119m. Costain said it contacted Mouchel’s board on 2 December, and the approach was turned down on 6 December. The offer comprised 0.5135 new Costain shares for each Mouchel share, valuing Mouchel shares at [...]
Rio Tinto closes in on £2.4bn deal for Riversdale December 22, 2010 Global miner Rio Tinto is finalising a $3.8bn (£2.4bn) takeover bid for Africa-focussed Riversdale, according to sources, upping an earlier offer as it seeks to gain key coking coal supplies amid soaring demand from India and China. Rio Tinto is locked in talks with Australian-listed Riversdale Mining over a A$16 per share takeover offer, Reuters [...]
German business confidence hits 19-year high December 17, 2010 German business morale rose to its strongest level since 1991 in December, buoyed by an increasingly strong domestic sector that is helping the economy power ahead of weaker euro zone peers. The Munich-based Ifo think tank said on Friday its business climate index, based on a monthly survey of some 7,000 firms, rose to 109.9 [...]
Lloyds warns over new hit from Irish portfolio December 17, 2010 Part-nationalised bank Lloyds has warned that it would take a further hit from impairments on its Irish portfolio as a result of Ireland’s economic and fiscal deficit problems. The update on its Irish exposure caused Lloyds shares to fall sharply, dragging down other banks such as Royal Bank of Scotland, which is also exposed to [...]
FSA publishes new code on bank bonuses December 17, 2010 The new code on awarding bank bonuses is closely aligned to European Union rules agreed last week and will apply to 2,700 financial firms in the UK, the Financial Services Authority (FSA) has said. The code outlines four tiers of firms, saying that those in tiers three and four – small banks and building societies, [...]
Bob Diamond to take Barclays hotseat early December 17, 2010 Barclays said its investment bank boss Bob Diamond will take over as chief executive of the bank in two weeks, some three months earlier than planned. Diamond is taking over from John Varley, who is stepping down after six years as chief executive. The bank announced the change in September, when it said the handover [...]
