Sony Corp. prepares to eliminate 326 jobs at UK music company EMI Publishing in two years after European and US regulators accept Sony's acquisition of EMI Publishing worth USD 2.2 billion. The job reductions equal to around 60% of total workforce will create annual cost reductions amounting to USD 70 million.
Chinese central bank warranted to provide adequate liquidity in financial system through cuts in the reserve requirements, national media reported. The report is a signal from PBOC they are preparing additional easing measures, suggest Zhang Zhiwei, Nomura Holdings Chief Economist. Zhang assumes the central bank may reduce reserve requirement ratio even twice this year.
German DAX index fell on Wednesday after Spain reported its proportion of non-performing loans versus total lending rallied to 7.91% January, the highest figure since 1994 raising doubts about nation's ability prevent debt turmoil. Banks led the losses with Commerzbank falling 2.63% and Deutsche Bank sinking 2.3%. The only notable gainer was industrial component producer Thyssenkrupp AG which surged 2.3%.
Despite unexpected drop in nation's unemployment, Brtish FTSE 100 index traded modestly lower on Wednesday weighed down by banking stocks as Adam Posen, policy maker at the Bank of England ended his support for additional stimulus Lloyds Banking Group slipped 2.2% and Barclays lost 1.6%. BHP Billiton climbed 1.3% after world's largest mining firm posted a surge in iron-ore output.
Japan's Nikkei Stock Average surged on Wednesday marking a 3-week record high on IMF growth predictions amid weaker Yen which supported export shares. Nikkei 225 index jumped 2.14% or 202.55 points and closed at 9,667.26. Exporters rallied with Nissan Motor adding 4.2% and Honda Motor surging 3.9%. Mitsubishi UFJ Financial Group, Japan's largest lender gained 2.9% on hopes European debt
Hong Kong's Hang Seng index climbed higher on Wednesday after IMF raised its global growth forecast for 2012 from 3.3% to 3.5% amid investor speculations China's government will loosen monetary policy Hang Seng index gained 1.06% or 218.42 points and finished at 20,780.73. On the upside European demand dependent Esprit rallied 5.3%. Support came also from energy shares with China
Dow Jones Industrial Average index extended sharp gains on Tuesday despite disappointing US factory output and housing starts data. Blue chip index surged 1.50% or 194.13 points settling at 13,115.54 with all 30 stocks making gains. Coca-Cola added 2.1% after its CEO Muhtar Kent said the company has introduced smaller sizes packages to attract price-conscious customers as the company tries
Rural commodities have continued to follow weather forecasts and crops estimates upgrades in the major planting regions. Sugar advanced by 0.52%, indicating sweetener's resilience to the expectations for oversupply in the market as India, Indonesia, Australia and Thailand raised harvest estimates for the current marketing season.Wheat tumbled as excellent weather conditions in the main growing areas in the US, the
S&P 500 index rallied on Tuesday lifted by more optimistic global growth forecasts from IMF and Spain bond auction results. US index gained 1.55% or 21.21 points and closed at 1,390.78. First Solar rocketed 10.3% on news its will eliminate 2000 jobs through 2012 and cut production output. Apple recovered and surged 5.1% ahead of its quarterly results due next
Energy commodities attempted to equilibrate waning supply risk premium and improving demand prospects.Crude oil was the top gainer as reversal of the Seaway pipeline in the US, which is aimed at easing supply glut in the country, is planned to be completed ahead schedule.Brent oil fluctuated between gains and losses as talks between Iran and six major economies will be
Industry metals balanced between flat US industrial output last month and the IMF report on better global economic perspectives.Aluminum found support on the expectation for production cuts whereas falling trading volume limited the gains.Copper jumped above 8,000 US Dollars per ton along with tightening supply as Rio Tinto announced an unexpected drop in red metal's output. However, weak China's demand
Precious metals were supported by mixed real estate data from the US that added speculation about the next Fed meeting's outcome. Successful Spain's bond auction that eased concerns across the Euro Zone's debt crisis also bolstered the commodity group.Gold was the only loser as the yellow metal lost its safe-haven appeal after the IMF upgraded global growth forecast for 2012
Bank of Spain reported that the banks of the country need additional provision of funds of about 53.4 billion Euros. The central bank of Spain has recently approved recapitalization operations, in which five out of 11 largest banks will take part. The recapitalization plans include mainly mergers and acquisitions and may bring positive results.
China's economic expansion is likely to decelerate this year to 8.2% but it is expected to rebound next year, reported the IMF. The main drive for the country's economy will be domestic consumption, the fund added. The IMF report boosted hopes that China will escape hard landing despite drastic measures to slow down overheated economy.
US industrial production was almost unchanged in March, remaining unchanged for the second month in a row, according to the US Federal Reserve. Experts predicted the US industrial production to advance by 0.3% last month after steady figure in February. However, the capacity utilization rate declined to 78.7% in line with forecast from 78.7% in February.
The auto sales in Italy tumbled by 26.7% last month on an annualized rate, indicating the largest fall among the EU countries. The overall car sales in the EU dropped by 7.0% in March, declining to the 14-year low, reported an Association of European Automakers. The second largest slump was in France where car sales decreased by 23.2% in March
The Bank of Canada kept its core interest rate at 1.00% in April, unchanging the rate for the 13th month in line. The decision was broadly expected. The central bank of Canada also warned that in view of stabilizing economic outlook and accelerating inflation more prudent measures may be considered.
The IMF expects the overall economic growth to accelerate this year as the Euro Zone started to show signs of recovery after severe debt crisis. Moreover, US economic performance also improved. The IMF predicted the global economy to grow by 3.5% in 2012 as compared to the previous expectation for a 3.3% expansion. However, the fund stressed that another wave
Gold futures declined during Asian session on Wednesday, erasing previous gains made due to upgrade of the global economic outlook by the IMF. Moreover, successful Spanish debt auction and a rise in the German sentiment index also supported the yellow metal in Tuesday's sessions. However, stronger US Dollar in Asian trading hours sent COMEX gold for delivery in June by
The Bank of Japan reported that it is ready for more accommodative policy to boost economic activity and avoid deflation. It is necessary to readjust monetary policy to speed up sluggish recovery and increase further growth potential for curbing deflation, said Kiyohiko Nishimura from the BoJ. The Bank of Japan has to make efforts to achieve its target inflation rate
Crude oil futures eased up during Asian session on Wednesday, approaching two-week high after inspiring German sentiment data as well as successful Spain's auction spurred hopes for better demand prospects. Light, sweet crude oil futures for June delivery traded at 104.74 US Dollars per barrel on the New York Mercantile Exchange, rising from the previous session's low of 104.61 US
Spanish climbing proportion of bad loans are casting doubt about successful bank clean-up without damaging public finances. The proportion of non-performing loans versus total lending rallied to 7.91% January, the highest figure since 1994, Bank of Spain reported on Wednesday. Additionally credits is diminishing while defaults are climbing amid unemployment rate of 24%.
US building permits rose unexpectedly last month, topping three and a half-year high, reported the US Census Bureau. The number of US-issued building permits gained 4.5% in March on a seasonally adjusted basis, hitting 0.747 million while analysts predicted the figure to advance by 0.7%, attaining 0.710. However, the situation in the US real estate market remained mixed as new
Canadian Dollar appreciated sovereign bonds declined after the Bank of Canada indicated it may raise borrowing costs since inflation and the economic growth is likely to be faster than predicted. Canadian currency gained 0.9% versus it US peer to CAD 0.9902. Currently USD/CAD is trading at CAD 0.9890.