ECB: Sovereign debt still a risk to banks September 29, 2010 The EU’s banking sector faces further setbacks before it recovers from the financial crisis, the European Central Bank (ECB) said in its annual report on banking stability yesterday. The bank said there is still a risk that the Eurozone’s debt problems could again spill over into the financial sector, and that many institutions still rely [...]
Moody’s expected to strip Spain of top credit rating September 29, 2010 SPAIN is expected to loose its triple-A credit rating by the end of this week after a three-month review of the country’s finances by ratings agency Moody’s. The ratings agency put Spain’s debt on review for a possible downgrade at the end of June saying it would decide whether to downgrade the country’s rating after [...]
France hopes for strong growth in 2011 and ducks swingeing cutbacks September 29, 2010 FRANCE will curb civil service spending and scrap tax breaks but otherwise rely on faster economic growth to replenish public coffers in 2011, according to a budget bill that some economists said lacked ambition. Wary of voter dismay over pension reforms ahead of elections in early 2012, President Nicolas Sarkozy is seeking to honour deficit-reduction [...]
Italy ups its growth forecasts September 29, 2010 Italy raised its forecast for growth this year but trimmed its view for 2011, leaving its three-year deficit reduction programme on track. The Treasury now sees growth of 1.2 per cent of economic output this year, up from a previous estimate of one per cent, and of 1.3 per cent next year, down from 1.5 [...]
Former Iceland PM faces charges September 29, 2010 Iceland’s parliament voted to bring court charges for negligence against former Prime Minister Geir Haarde, who led the country during events leading to the country’s banking collapse in 2008. The parliament declined to press charges against the former foreign and finance ministers, Ingibjorg Solrun Gisladottir and Arni Mathiesen, as well as former business minister Bjorgvin [...]
UNREST ON THE CONTINENT September 29, 2010 PROTESTERS in Spain and across Europe clashed with police yesterday as unions called for a general strike and day of action over planned spending cuts they say unfairly penalise average workers for problems and debt caused by banks. Demonstrations occurred in 11 European capital cities including Brussels, the capital of the EU.
Liberty Mutual pulls $1.2bn US IPO plan September 29, 2010 LIBERTY Mutual Agency postponed indefinitely its planned initial public offering, quashing hopes that the planned $1.2bn flotation could give a needed jolt to the US IPO market. The property and casualty insurer announced the delay on the day the offering, blaming a poor economy and volatile markets. It was unclear how either had gotten appreciably [...]
Chinese output picks up again September 29, 2010 Chinese manufacturing is picking up after slowing in the first half of 2010. A rise in HSBC’s China Purchasing Managers’ Index to a five-month high in September pointed to renewedmomentum in the vast industrial sector that is the backbone of China’s economy. The index rose to 52.9 from 51.9 in August.
Japanese manufacturers gloomy September 29, 2010 Japanese manufacturers turned more pessimistic about their outlook for the first time in almost two years this quarter in a sign that a strong yen could derail the economic recovery and spur the central bank to ease policy next week. The Bank of Japan’s Tankan survey for the three months to September showed big firms [...]
Gold prices continue to surge September 29, 2010 Gold prices rallied to record highs in Europe yesterday on fears moves by the Federal Reserve to tackle the sluggish US economy would undermine the dollar, boosting investment in bullion as an alternative asset. Spot gold hit a record $1,313.20 and was bid at $1,309.45 an ounce, against $1,307.40 late in New York on yesterday.
