ECONOMIST VIEWS: DO YOU THINK THE MPC WOULD RESTART QE? August 18, 2010 MICHAEL SAUNDERS | CITI Contrary to market speculation, no one voted to extend QE and we continue to regard the extension of QE as unlikely. The sum of real GDP growth and CPI inflation – a proxy for nominal GDP growth – implies that extra stimulus is not needed to keep inflation on target over [...]
EMI seeks a fresh £100m cash injection August 18, 2010 EMI is confident private equity investor Terra Firma will pump a further £100m or so into the business next March to help it avoid a breach of its loan covenants, it is understood. Maltby Capital, EMI’s holding company, is expected to require an equity cure “substantially in excess” of the £87.5m injected this year when [...]
Basel: Cost to growth of new banking rules will be modest August 18, 2010 NEW bank rules will cut global output by a small fraction, a “modest” price to pay for greater stability, the Basel Committee on Banking Supervision said yesterday, dismissing lenders’ warnings that they may curb growth severely. The new “Basel III” rules for banks’ capital and liquidity will tighten lending and reduce investment during a transition [...]
Druckenmiller says he will finally retire after 30 years at the top August 18, 2010 Stanley Druckenmiller, a key player in George Soros’ famous bet against the pound that earned him $1bn (£640m), said he is closing his firm after 30 years. In a letter sent to his 100-plus investors, Druckenmiller, chief executive officer of Duquesne Capital Management, said “competing in the markets over such a long timeframe imposes heavy [...]
Maersk lifts forecast after posting profit August 18, 2010 MOLLER-MAERSK, the shipping and oil conglomerate, raised its outlook for the year yesterday after swinging back into half-year profit, on the back of increased volumes and a sharp rise in the price of crude oil. The Danish group said it now stands to make in excess of $4bn (£2.6bn) after tax in 2010, following a [...]
DP World gets boost from rise in global trade August 18, 2010 DUBAI-BASED port operator DP World posted a surprise 10 per cent rise in first-half profit yesterday thanks to growing container volumes and better pricing. The government-controlled firm said profit attributable to shareholders reached $164m (£105m)?in the first six months of the year. Net profit after tax from continuing operations rose to $206m from $188m a [...]
ENRC lifted by new mines August 18, 2010 KAZAKH miner Eurasian Natural Resources Corporation (ENRC) posted an 80 per cent rise in first-half pre-tax profit yesterday and raised its earnings per share 63 per cent to 70 cents, crediting a rise in production and acquisitions. Shares dipped by four per cent to 928.5p, however, as the firm voiced concern over falling commodities prices. [...]
Falklands oil well fails for Rockhopper August 18, 2010 OIL explorer Rockhopper disappointed investors yesterday with the news that one of its wells off the coast of the Falklands contains no oil. Shares slumped more than ten per cent following the announcement about the Ernest well, before paring some losses to close down one per cent at 302.3p. The Aim-listed company said it will [...]
Hochschild to ramp up exploration August 18, 2010 PRECIOUS metals miner Hochschild said it will focus on its exploration programme and on bringing new projects into production rather than on big acquisitions. The London-listed miner posted record revenue of $306.9m (£196.5m) for the six months to 30 June, up 33 per cent year-on-year. “We are taking a different approach regarding acquisitions to what [...]
ConAgra fined for inflating crude oil prices August 18, 2010 REGULATORS in America have fined a former division of food group ConAgra $12m (£7.7m) for artificially inflating the price of crude oil futures contracts above $100 a barrel, helping spark a rally that saw prices surge to a record $147. An oil trader working for ConAgra Trading Group (CTG) made a “vanity trade” in New [...]
