Pick mining giants for commodity exposure October 25, 2010 CHINA’S restrictive export practices in rare earth metals have intensified fears among traders and market analysts that a bubble is forming in junior mining stocks such as Canada’s Rare Element Resources, Quest Rare Minerals and Avalon Rare Metals. These companies have seen their share prices surge in recent months despite the fact that they are [...]
G20 agrees to prevent a trade war October 24, 2010 THE G20 economies pledged to steer clear of an all-out currency war at the weekend, as countries including China and the USA agreed not to competitively devalue their currencies. The G20 finance ministers, who met in South Korea ahead of a summit next month, said in a communiqué they will “move towards more market determined [...]
BRICs to get IMF influence October 24, 2010 THE INTERNATIONAL Monetary Fund has agreed a landmark deal that will hand more power to emerging economies, whose clout in the IMF has not kept up with their economic ascent. Europe will give up two of its eight seats on the 24-member board, which will be taken up by Brazil, Russia, India and China. In [...]
Jaguar keen on a joint venture with Chinese October 24, 2010 JAGUAR Land Rover, a unit of India’s Tata Motors, is in talks with a Chinese auto maker to set up a joint manufacturing and sales venture in China. The aim of the move is to boost the company’s presence in China, which last year displaced the US as the world’s biggest auto market. Tata Motors [...]
Danone sours views despite sales jump October 21, 2010 FRENCH food group Danone warned yesterday the economic landscape would continue to hit sales in Europe, as it posted a 15 per cent growth in third-quarter revenue to €4.35bn (£3.86bn) after strong dairy sales in emerging markets. The world’s biggest yoghurt maker maintained its full-year targets after offsetting a 2.1 per cent like-for-like sales growth [...]
THE TIPSTER October 20, 2010 DESPITE missing out on much of the recent rally in stocks, demand for Smith and Nephew seems to be picking up. Recent research highlights it as a potential takeover target, but aggressive call option buying would indicate the stock could be in for a big move higher. ETX Capital is quoting 568.43p-570.07p. A month ago [...]
Falling dollar boosts commodity stocks October 20, 2010 Wall Street bounced back yesterday as a fall in the dollar spurred buying in industrial and commodity-linked shares, while another batch of strong corporate earnings added to gains. The Dow Jones industrial average gained 129.35 points, or 1.18 per cent, to 11,107.97. The Standard & Poor’s 500 Index rose 12.27 points, or 1.05 per cent, [...]
China surprises markets with interest rate hike October 20, 2010 China’s central bank surprised markets with its first increase of interest rates in nearly three years, a move that reflects concern about resurgent asset prices and could mark the start of a more aggressive phase of monetary tightening in the world’s fastest-growing major economy. The People’s Bank of China said it was raising benchmark rates [...]
China and Brazil moved to action to control currencies October 19, 2010 CHINA sent financial markets into retreat yesterday as it announced a 25 basis point increase to its benchmark interest rate, taking one-year deposit rates to 2.5 per cent and one-year lending rates to 5.56 per cent. The increase, which takes effect from today, is the first in three years and was seen internally as a [...]
US and China set for trade talks October 19, 2010 The United States and China will hold annual high-level trade and economic talks the week of 13 December in Washington, a top US trade official said yesterday. US undersecretary of commerce Francisco Sanchez said he hoped for progress on resolving US concerns about Chinese barriers to its government procurement market and protection of US intellectual [...]