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May 20, 2012

Manufacturing, Housing Probably Improved: U.S. Economy Preview - Bloomberg

Filed under: Uncategorized, economics — Tags: , , , — Gogo @ 6:28 pm

Manufacturers probably received more orders in April and home sales rose, a sign the U.S. expansion is still on track, economists said before reports this week.

Factory bookings for long-lasting goods rose 0.3 percent last month after falling 3.9 percent in March, according to the median forecasts of 61 economists surveyed by Bloomberg News before a May 24 Commerce Department report. Other figures may show purchases of existing and new houses also climbed.

Manufacturers may keep forging ahead as automakers crank out more cars and trucks, while housing will probably benefit from record-low mortgage rates that are making properties more affordable. Nonetheless, those industries alone will fail to spur a pickup in growth without bigger increases in employment throughout the economy that will propel consumer spending.

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May 10, 2012

Spain Stakes Credibility on Fourth Bank Cleanup in Three Years - Bloomberg

Filed under: economics, term — Tags: , , , — Gogo @ 8:24 pm

Spain will make a fourth attempt to convince investors its banking system is solid after failing to do so with three prior tries in as many years.

May 4, 2012

Bombings reported on South Sudan-Sudan border

Filed under: economics, management — Tags: , , , — Gogo @ 8:40 am

South Sudan’s military spokesman says Sudanese aircraft dropped 10 bombs in an oil-rich region near a military base south of the shared border.

Col. Philip Aguer said Friday that the bombs were dropped late Thursday afternoon. He said two civilians were wounded in the bombings, which took place on the town of Laloba, about 50 kilometers (30 miles) north of the Unity State capital of Bentiu in South Sudan.

The attacks came one day after Sudan announced it had accepted an agreement put forward by the African Union to return to talks with South Sudan Same day payday loans. The agreement demands both sides adhere to a cease-fire.

Major violence between the two sides has flared in recent weeks, pushing the region to the edge of all-out war.

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April 19, 2012

More Americans Than Forecast Filed Weekly Jobless Claims - Bloomberg

Filed under: economics, legal — Tags: , , , — Gogo @ 11:24 am

More Americans than forecast filed applications for unemployment benefits last week, a sign the improvement in labor-market conditions may be stalling.

Jobless claims fell by 2,000 to 386,000 in the week ended April 14 from a revised 388,000 the prior period that was higher than initially estimated, Labor Department figures showed today in Washington. The median forecast of 47 economists surveyed by Bloomberg News called for a drop to 370,000. Revisions to previous data have been larger than normal and the government is trying to determine the cause, a Labor Department spokesman said as the figures were released to the press.

The claims figures raise the possibility the payroll gains that have helped push unemployment down to a three-year low may cool, weighing on consumer spending. Federal Reserve officials, awaiting evidence of a more robust job market and economic growth, have said they

April 9, 2012

Oil prices fall on economic concerns

Filed under: economics, term — Tags: , , , — Gogo @ 4:04 pm

Concerns about the economy pushed oil prices lower on Monday.

West Texas Intermediate, the U.S. benchmark crude, gave up 85 cents to end at $102.46 per barrel. Brent crude, which is used to price oil imported by U.S. refineries, fell by 76 cents to finish at $122.67 per barrel.

The U.S. economy added just 120,000 jobs in March _ half as much as each of the previous three months. The government reported the disappointing data on Friday, but Monday was the first day oil markets could react. Stocks also fell.

Analysts said the slower pace of hiring could be a symptom of a weakening economy. It also hints at a slowdown in gasoline usage.

Iran also weighed on oil markets. OPEC’s No. 2 oil producer agreed to hold talks about its nuclear program with the West starting Friday. That eased fears of a prolonged standoff that could further squeeze world oil supplies. Already, international sanctions have forced some of the biggest importers of Iranian oil to find other sources.

Renewed negotiations could lead to an agreement that lifts those sanctions. The talks also reduce the risk, for now, that Iran will try to choke off exports from other oil producers by closing shipping routes out of the Persian Gulf guaranteed approval cash loans.

Concerns about a prolonged standoff with Iran have added about $13 to $14 to the price of a barrel of oil, independent analyst Jim Ritterbusch said. Oil should fall further if Iran works with the West, although Ritterbusch expects the price to remain elevated “for months to come.”

“As long as the regime stays in place, the nuclear threat is always going to be there,” he said.

In the U.S., gasoline prices fell by about a penny over the weekend to $3.927 per gallon, according to auto club AAA, Wright Express and Oil Price Information Service. Pump prices have eased after nearing $3.94 a gallon last week.

Experts still say that prices could peak this month between $4.25 and $4.35 per gallon.

In other energy trading, heating oil fell by 2.33 cents to $3.1459 per gallon while gasoline futures fell by 4.38 cents to finish at $3.2967 per gallon. Natural gas added 1.8 cents to end at $2.107 per 1,000 cubic feet.

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April 8, 2012

Hollande rides zeitgeist as France embraces left

Filed under: economics, money — Tags: , , , — Gogo @ 7:40 am

The man polls say has the best shot at becoming France’s next president wants to hire thousands more teachers, renegotiate Europe’s expensive, hard-won bailout package, and re-assess his country’s role in both Afghanistan and NATO.

But Socialist Francois Hollande appeals less for his platform than for his persona: the innocuous, intellectual everyman is many things that conservative President Nicolas Sarkozy is not.

Hollande, 57, is tapping into a French zeitgeist wary of international finance, weary of Sarkozy’s “bling-bling” personality and eager for change. While countries in struggling Europe shift to the right, France may hand the presidency to the left for the first time in a generation, with repercussions for the continent’s direction and France’s future.

Part of Hollande’s appeal is his Mr. Nice Guy image, but he still must convince voters that he’s got what it takes to run a complex, nuclear-armed nation and one of the world’s biggest economies.

Hollande isn’t the only leftist making headlines in this campaign: Firebrand far-left candidate Jean-Luc Melenchon has amassed some of the biggest crowds so far at rallies blanketed in red communist flags. Melenchon, with the charisma that the mainstream Hollande lacks, is complicating the political calculus.

French voters kick off the balloting in two weeks, with 10 candidates from across the political spectrum facing off in a first-round vote on April 22 that will winnow the race down to two.

While Hollande has slipped a little in recent weeks, polls have suggested for months that he would win the expected two-man finale against Sarkozy on May 6 by a broad margin.

The economic crisis in Europe has felled many governments in recent years. A Hollande victory could break from a recent rightward trend in the continent, and put France out of step with other big European countries like Germany, Spain, Britain and Poland _ all run by center-right or conservative leaders. Italy, hobbled by a debt crisis, is led by technocrat Mario Monti.

Some of Hollande’s major proposals could raise eyebrows abroad: As governments enact austerity measures elsewhere in Europe, he wants to hire thousands more teachers. He wants to scrap a European bailout package led by Sarkozy and German Chancellor Angela Merkel. He has pledged to pull all French combat troops out of Afghanistan by year-end, and says that pledge would be the first thing he tells allies at a NATO summit in Chicago in May.

For many in France, the time seems ripe for a return to a Socialist president: the only one in postwar France was Francois Mitterrand, from 1981 to 1995; throw-the-bums-out has been an election theme in Europe; Sarkozy, in part for reasons of personal style, has been unpopular for years; and the financial crisis and debt crises in Europe have emboldened the left.

Hollande is seen as more of a consensus manager and a listener than visionary. For much of his tenure as party first secretary from 1997 to 2008, he served mostly as a water carrier for party elders _ and only now is coming into his own.

His advisers insist to a foreign reporter that Hollande is no old-school Socialist, but a social democrat wary of the economic challenges coming from 21st-century powers like China and India.

Yet while major parties of the left in Europe reformed and tacked toward the political center in recent years _ like Gerhard Schroeder’s Socialists in Germany, or Britain’s Labour party under Tony Blair, the Socialists in France eschewed such a move.

And when he speaks to the French faithful, Hollande’s class-warfare style rhetoric _ inveighing against the financial world that he calls his “adversary”, and demanding justice for the underclass _ often draws cheers.

Hollande, who once quipped “I don’t like the rich” on TV, got a recent boost in the polls after he announced a proposal to slap a 75-percent tax on income beyond the first (EURO)1 million ($1.3 million) earned each year.

Hollande on Wednesday drew thousands who spilled out of two warehouses at a convention center near the city of Rennes, in the heart of the left-leaning region of Brittany.

The highlight was Hollande’s appearance alongside Segolene Royal, his longtime partner and mother of his four children. Royal, who is also Socialist, was the party’s nominee in 2007 _ and lost handily to Sarkozy payday advance. Hollande and Royal split not long after that election.

On stage, Hollande and Royal appeared just seconds together, and the body language was uncomfortable: they clasped hands from a distance, and smiled to the cheering throng. But the message _ party unity _ was clear. His new romantic partner, political journalist Valerie Trierweiler, looked on from a seat in the crowd.

Hollande’s near 90-minute speech covered his platform: A focus on education, job support for French youths facing high jobless rates, equal pay for women, respect for culture and ethnic diversity. Sarkozy has structured his campaign on a theme of a “strong France.”

Hollande claimed that Sarkozy, who took office promising economic growth, fiscal responsibility and competitiveness in France, had failed on all _ and promised more responsible Socialist leadership.

“People say to us, ‘Watch out, the left is back, it’s going to empty the (state) coffers.’ It’s already happened! ‘Watch out, if the left is back, it’ll raise the debt’. It’s already happened! ‘The Left will hurt competitiveness’ _ It’s already happened,” he thundered. “Well, we’ll do the opposite.”

The rich, he said, will be asked to pay more, and more money will be redistributed “to allow France to pick itself up.”

Unlike Sarkozy rallies, where a preppier crowd often hoists tricolor French flags in abundance, the Rennes gathering mostly brought out young students and retirees.

His campaign has been textbook: He launched a 60-point platform months ago, hewing to many Socialist tenets. At times, he comes across as stiff and cautious, but has made no big gaffes.

Hollande’s biggest challenge has been to try to project presidential caliber. While his pedigree is top-tier as a graduate of the Ecole National d’Administration _ the French breeding-ground school for both political and corporate elites like former President Jacques Chirac _ he has never run a government ministry.

Under his tenure as party boss, the Socialists suffered one of the biggest shockers in recent French political history: Lionel Jospin lost the first round to far-right nationalist Jean-Marie Le Pen in the 2002 presidential race, later won by Chirac. Hollande calls it the biggest blow of his career and one he won’t soon forget.

Hollande was born in the Normandy city of Rouen, the son of a social-worker mother who he admired and a doctor father who backed the political right and whose ideas “forced me to construct my ideas,” Hollande writes in his campaign-season book entitled “Changer de Destin” (Change Destiny).

On Les Guignols de l’Info, a satirical fake news show with puppets, Hollande has long been depicted as innocent, wide-eyed and soft-in-the-middle _ with a dopey, hollow laugh.

But in the Sarkozy era, he’s tapped into frustration about unemployment and perceived economic inequality. While Sarkozy, a former hard-charging Interior Minister, has trotted out his longtime formula of playing up his security credentials, Hollande has focused on what polls show worry the French most: joblessness and the economy.

The body language at the lectern _ where both Sarkozy and Hollande can excel _ speaks volumes. Hollande often leans on his elbows, or flails his arms about in the air, and laughs. Sarkozy cuts the air in crisp movements, and is seemingly less about engaging his audience than displaying resoluteness.

People who have known Hollande for years say his human touch and his assiduousness _ often unseen _ at the ground game of politics set him apart.

“What you notice most about Francois is that he’s well-balanced, has integrity, and feels good about himself,” said Frederic Bourcier, the Socialist Party’s First Secretary in the region around Rennes, alluding to the image of Sarkozy as hasty, tempestuous and aggressive. “We need something new.”

He also said Hollande had reworked himself, with an image makeover ahead of the campaign that included trimming his midsection, and that could serve as an inspiration for the country.

“This guy is tailor-made for France nowadays,” Bourcier said.

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April 6, 2012

Roseman: Bell gets flak for bullying clients into going paperless

Filed under: Finance, economics — Tags: , , , — Gogo @ 6:00 pm

Many people don

April 3, 2012

BATS chief executive stripped of chairman title

Filed under: economics, marketing — Tags: , , , — Gogo @ 6:48 am

BATS Global Markets says it will replace Joe Ratterman as chairman of the board, even as the company’s directors expressed support for him as chief executive.

The announcement Tuesday came after technical difficulties derailed the exchange operator’s initial public offering last week.

BATS operates electronic markets for stocks and stock options in the United States and Europe. The Kansas-based company is a leading platform for high-frequency, computer-driven trading.

In a brief statement, BATS directors said Ratterman "continues to do a tremendous job as CEO of BATS."

"We fully support his leadership, vision and strategic direction as BATS continues to enhance competition and foster innovation in markets worldwide," the statement said.

But the directors still voted to replace Ratterman as chairman under "an enhanced corporate governance structure."

Ratterman, who has been the company’s chairman since 2007, will hold the position until a replacement is named, the directors said saving account payday loan.

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BATS officially withdrew its IPO late Friday after it was forced to halt trading in its own stock and others because the company’s technology malfunctioned.

Ratterman publicly apologized for the problem, saying in a letter to customers that the company’s failure to perform "has no excuses."

BATS is third largest exchange operator in the United States after NYSE Euronext (, Fortune 500), which operates the New York Stock Exchange, and the NASDAQ OMX Group. ()

The company said this week that its troubles have not impacted its market share.

As of Monday, BATS boasted a 10.3% share of the U.S. equities market and a 25.4% share of the European market. 

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March 31, 2012

Indonesian Parliament Approves Conditional Fuel-Price Increase - Bloomberg

Filed under: Mortgage, economics — Tags: , , , — Gogo @ 2:32 am

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March 29, 2012

Small biz bill goes to Obama after House OK

Filed under: Business, economics — Tags: , , , — Gogo @ 6:44 am

The House on Tuesday passed a bill making it easier for more companies to become publicly traded by bypassing audits and disclosures now required for investors.

The House voted 380-to-41 to pass the bill, which the Senate passed last week. The passage sends the bill to President Obama, who has indicated support.

The measure rolls back some rules the Securities and Exchange Commission enforces on small and medium companies attempting to make an initial public offering or IPOs.

"It is a victory for small companies and entrepreneurs who want Washington to reduce the red tape that stifles innovation, economic growth and job creation," said Rep. Spencer Bachus, an Alabama Republican who heads the House Financial Services Committee.

The bill has sparked concern from the retirement group AARP, investor groups, unions, consumer groups and even the head of the SEC. All of them said the bill could open the door for more failed IPOs and investor fraud.

The bill would relax SEC rules for small and medium-sized companies with less than $1 billion in gross revenue seeking to go public. The measure gives them up to five years, or until revenue tops $1 billion, to supply an independent audit and certain investor disclosures.

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Critics said $1 billion is too high a threshold — some 80% of firms going public would be able to bypass disclosures.

It would also make it easier for companies with as many as 2,000 shareholders to avoid registering with regulators.

The bill would also exempt firms from nonbinding shareholder votes on executive pay and benefits packages, which just came as part of the Wall Street reform law. In the aftermath of the financial crisis, the law made it tougher for CEOs to reap bonuses tied to soaring stock prices — particularly when the company is over-leveraged and making risky bets paydayloans.

Critics, including the Council of Institutional Investors, said that easing the rules applied to far too many companies and could make investors wary of investing in them.

"A company (with $1 billion in revenues) has the resources to comply with disclosures," said Jeff Mahoney, general counsel to the Council of Institutional Investors.

The bill would also allow companies to solicit investors — including the use of advertisements — when going public, which is currently prohibited. And it would allow them to raise money from larger numbers of small, less sophisticated investors.

Barbara Roper of the Consumer Federation of America warned the provision would make it easier for companies to take advantage of seniors, luring them to sink their retirement savings into an IPO.

"A retiree who has that nest egg isn’t necessarily a sophisticated investor and shouldn’t be speculating on private offerings," Roper said.

The bill would also allow what’s called "crowd funding," allowing firms to bypass regulations to raise money from large pools of small investors by directly soliciting them over the Internet. Critics are concerned about the potential for fraud.

The only change that the Senate made last week was to require that those working as an intermediary to such crowd funding register with regulators.

"The bill is far from perfect, but it’s a good bill," said Senate Majority Leader Harry Reid last week. "It’ll help capital formation." 

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