Tax and morality: Complicated laws make gaming the system inevitable July 23, 2012 I RECENTLY spent a family holiday in a static caravan in northern France. As we sat outside with a glass of wine, my wife and I wondered why the caravan had wheels – it seemed unlikely that they would need to be moved, and I doubted they would carry its weight. Perhaps it has something [...]
A one-size policy on pay won’t suit all firms equally July 23, 2012 PROFESSOR John Kay is right to try and tackle a culture of short-termism that some listed companies can get caught up in, as set out in his government-backed review of the financial sector. The downsides of short-termism are easy to identify: if investors focus too much on short-term returns, boards are left preoccupied with the [...]
Will Italy and Spain’s decision to ban short selling have any serious effect whatsoever? July 23, 2012 YES Ian Marsh This move by Spanish and Italian regulators was widely expected, as many others have used similar bans in recent years, hoping to stabilise volatile markets or support plunging stock prices. Unfortunately, bans on short selling don’t seem to do either, at least not for long. Apart from some hard-to-verify bounces on the [...]
RAPID RESPONSES July 23, 2012 No quick fix [Re: Coalition’s lack of courage threatens a triple-dip recession, yesterday] Until Britain makes deep cuts in government expenditure to make room for cuts to taxation, there will be no great increase in the spending power of consumers. Pumping up quantitative easing and demanding that banks lend more is a waste of time without [...]
Trading trends change despite a stuck record July 23, 2012 AFTER a disappointing summer to date, we finally have some sunshine. But in the European markets, things are distinctly more gloomy. Italy and Spain have both brought in short selling bans. Their financial equities have taken a battering as the market lacks confidence in their long-term funding abilities. Both markets saw short-term relief rallies before [...]
CONSIDER YOUR STRENGTHS BEFORE STARTING TO TRADE July 23, 2012 THE SUMMER outlook is somewhat hazy – weather-wise and economically. In addition, there’s a large sporting event about to take place, which is set to make life difficult for anyone who lives or works in London. The likelihood is that trading volumes will be lighter than ever over the next month or so, as market [...]
THE TIPSTER | Brewing up a storm despite the sun July 23, 2012 SABMiller will serve up its trading announcement later this week. Investors will be hoping that news from the brewing giant will brim with plenty of fizz if its share price is to hold on to an 18 per cent gain for the year so far. The company’s increasing shift into emerging markets has helped it [...]
Commodities face a hard landing July 23, 2012 AS THE European economy shows no sign of pulling itself up by its own bootstraps, and with the US hardly faring any better, markets have been heavily dependent on Chinese demand to bolster commodity prices. But the predictions from a Chinese central bank adviser over the weekend did little to give markets confidence that the [...]
Analyst picks for 24 July 2012 July 23, 2012 CURRENCY STRATEGIST CHRIS VECCHIO My pick: Short Aussie dollar-dollar, long dollar-yen Expertise: Fundamental and technical analysis Average time frame of trades: A few hours to a few days Our initial Aussie dollar-dollar short from $1.0265 was stopped out at break-even, but a new position was initiated on Thursday at $1.0425, seeking levels below $1.0200. The [...]
Saracens and Allianz in £9m stadium deal July 23, 2012 SARACENS will today announce a groundbreaking £9m sponsorship deal with Allianz that will see the insurance giant take naming rights for the rugby club’s new home in north London. The 10,000-seater multi-use stadium at Barnet Copthall is due to open its gates in February and will be known as Allianz Park following the agreement of [...]
