US stock indexes erase gains on credit concerns

(Reuters) - U.S. stocks erased early gains and the Nasdaq index turned negative on Monday, less than 20 minutes into the session following Friday's sharp losses on credit-related concerns.

The Dow Jones industrial average was up 15.20 points, or 0.12 percent, at 13,197.11. The Standard & Poor's 500 Index


Read more at Reuters Africa

Merrill Upgraded at UBS; Says Mortgage-Loss Risks Are Priced Into Stock

(Bloomberg) -- Merrill Lynch & Co. was raised to
``buy'' from ``neutral'' at UBS AG, which said the stock was
inexpensive after concern about losses in credit businesses drove
down the price of the world's biggest brokerage.

The shares rose $1.05 to $71.10 in trading before the open
of U.S. exchanges. Merrill ended last week down 25 percent this
year, compared with a 13 percent decline for the Standard and
Poor's 500 Financials Index.


Read more at Bloomberg Stocks News

SAIC in talks on cooperation with Shanghai Engine

(Reuters) - SHANGHAI, Aug 6 - The parent companies of China's biggest car maker, Shanghai Automotive Co. , and engine manufacturer Shanghai Diesel are in initial talks on a possible business alliance, an executive at one of the companies said on Monday.



SAIC Motor Corp., the parent of Shanghai Auto, and Shanghai Electric Group Co. , which controls 50.32 percent of Shanghai Diesel Engine Co. , are discussing ways to cooperate in the engine business, an SAIC official, who asked not to be identified, told Reuters.


Read more at Reuters.com Mergers News

UPDATE 1-Orbotech posts quarterly net loss as sales fall

(Reuters) - Orbotech, which makes automated inspection systems for
printed circuit boards and flat panel displays ,
posted a net loss of $3.4 million, or 10 cents per share,
compared with a year-earlier net profit of $15.3 million, or 46
cents per share.




Net loss in the second quarter included a $4.8 million
write-off of high-end PCB inventory from a previous generation,
and a $5 million write-off as the company decided against
investing further in Negevtech Ltd.


Read more at Reuters.com Market News

Citigroup Unit to Buy $1.7 Billion of Bonds Convertible Into Fujitsu Stock

(Bloomberg) -- Fujitsu Ltd., Japan's biggest
computer-services company, will sell 200 billion yen ($1.7
billion) of bonds convertible into its stock to a unit of
Citigroup Inc.

Citigroup Global Markets Ltd. will buy 100 billion yen of
convertible bonds maturing in May 2010 and another 100 billion
yen due the following year, Tokyo-based Fujitsu said in a
statement today.


Read more at Bloomberg Bonds News

Zoltek and certain shareholders to offer 4 mln shares

(Reuters) - The offering will consist of 3.6 million shares to be sold
by the company and 400,000 shares to be sold by certain selling
shareholders of the company.





Read more at Reuters.com Mergers News

Lead May Plummet as Xstrata, Doe Run Increase Production, Ending Squeeze

(Bloomberg) -- Lead, the best-performing commodity
in 2007, has peaked and may plummet for the rest of the year.

A supply squeeze that doubled prices will ease by the end
of the year, say JPMorgan Chase & Co. and UBS AG. A U.K.
refinery run by Xstrata Plc is increasing shipments, and
companies are recycling more of the metal. Doe Run Resources
Corp., the world's second-largest lead refiner, will begin full
output this month after an explosion at its Missouri smelter cut
production. Ivernia Inc. plans to resume exports from Australia.


Read more at Bloomberg Exclusive News

Mobile-8 Telecom of Indonesia Postpones $150 Million High-Yield Bond Sale

(Bloomberg) -- PT Mobile-8 Telecom, an Indonesian
mobile-phone operator that counts Qualcomm Inc. as an investor,
delayed its plan to sell $150 million of bonds because of
concerns about the financial markets.

Investors have been selling riskier assets including
investments in emerging markets on concerns losses in the U.S.
mortgage market will erode economic growth. The Morgan Stanley
Capital International Asia Pacific Index fell 1 percent to
151.34 as of 4 p.m. Jakarta time.


Read more at Bloomberg Bonds News

Credit Suisse Strategists Drop 7-Year-Old Negative Stance on U.S. Stocks

(Bloomberg) -- Credit Suisse Group's equity
strategists, who have been bearish on U.S. stocks since 2000,
recommended investors increase holdings of shares as a refuge
amid slowing global economic growth.

Investors should have 46.8 percent of their global equity
holdings in U.S. shares, matching a ``benchmark'' stance, a team
led by Andrew Garthwaite wrote in a report to clients today.
That's an increase from an allocation of 36.8 percent. The
strategists stopped short of an ``overweight'' recommendation.


Read more at Bloomberg Stocks News

UPDATE 1-ICI opens books to Akzo after raised $16.3 bln bid

(Reuters) - LONDON, Aug 6 - Britain's Imperial Chemical
Industries has opened its books to Akzo Nobel
after receiving an improved 8 billion-pound
takeover proposal from its Dutch suitor, it said on Monday.




ICI, the maker of Dulux paints, said the new proposal was
670 pence a share in cash, up from the 650 pence a share it
rejected last week.


Read more at Reuters.com Mergers News

Bank of Communications May Join Hang Seng Index, Nomura, Tung Tai Project

(Bloomberg) -- Bank of Communications Ltd., part
owned by HSBC Holdings Plc, may join Hong Kong's Hang Seng Index
after a quarterly review of the stock benchmark, Nomura Holdings
Inc. and Tung Tai Securities Ltd. said.

China Overseas Land & Investment Ltd., a Hong Kong-based
developer controlled by the nation's construction ministry, also
may be added, Sandy Lee, an analyst at Nomura, forecast in a
research report dated July 30. HSI Services Ltd., which compiles
Hong Kong's stock indexes, will announce the changes Aug. 10,
according to its Web site.


Read more at Bloomberg Stocks News

FTSE 100 Drops, Wiping Out Advance for Year, Led by Northern Rock, Invesco

(Bloomberg) -- U.K. stocks fell for a second day,
wiping out the benchmark FTSE 100 Index's gains for 2007.
Financial companies including Northern Rock Plc, a mortgage
lender, and Invesco Plc, a money manager, led the retreat.

The FTSE 100 Index declined 24.40, or 0.4 percent, to
6199.90 at 8:40 a.m. in London, for a loss this year of 0.3
percent. The FTSE All-Share Index slipped 14.18, or 0.4 percent,
to 3209.66. Ireland's ISEQ Index dropped 157.91, or 1.8 percent,
to 8437.32.


Read more at Bloomberg Stocks News

Pound Falls Against Euro as Traders Reduce Bets on Interest-Rate Increases

(Bloomberg) -- The pound declined against the euro as
investors cut expectations the Bank of England will raise
interest rates this year for a sixth time.

Traders are betting on one more rate increase on signs
borrowing costs at a six-year high are beginning to slow the
economy. The European Central Bank, by contrast, will raise rates
at least twice more, futures trading shows. Economists predict
U.K. industrial production almost stalled in June, adding to
signs the economy may be losing momentum.


Read more at Bloomberg Currencies News

Spain's Abengoa says buys Brazil's Dedini Agro

(Reuters) - Abengoa will assume an additional 281 million euros of debt,
it said, adding it was now the world's only bio-ethanol producer
present in the three biggest markets: Brazil, Europe and the
United States.




As of a year ago, Dedini Agro was Brazil's 16th largest
ethanol producer with around 0.4 percent of national output.


Read more at Reuters.com Mergers News

Infineon plans to cut Qimonda stake by 2009 AGM

(Reuters) - "The plan also envisages taking all necessary measures at
the Annual Shareholder Meeting 2008 required to enable
distrubution of Qimonda shares as a dividend in kind to Infineon
shareholders," the statement said.




Such a dividend would be possible after the 2009
shareholders' meeting.


Read more at Reuters.com Mergers News

European Bonds Gain for Second Day; 10-Year Yield Declines to 4.30 Percent

(Bloomberg) -- European government bonds advanced for
a second day in London, pushing yields down to their lowest in a
week.

The yield on the German 10-year bund, Europe's benchmark,
fell 2 basis points to 4.30 percent by 7:05 a.m. in London, its
lowest since Aug. 1.


Read more at Bloomberg Bonds News

Oil extends decline, falls 1 pct on poor US data

(Reuters) - Oil fell more than 1 percent to about $74 a barrel on Monday, extending the previous session's decline which saw prices dragged down by poor U.S. economic data.

U.S. crude, which slid as much as 91 cents, or 1.2 percent in early trade, reversed some losses and was down 59 cents at $74.89 a barrel by 0558 GMT.


Read more at Reuters Africa

Amazon leads investment in music site AmieStreet

(Reuters) - Started last October by three Brown University graduates, AmieStreet allows musicians to post songs with a variable pricing model, which is different from the one-price model used by Apple Inc.'s popular iTunes Music Store.




A new song on AmieStreet.com is initially priced at zero cents. The song is automatically given a starting price after users begin to download the song. The price rises gradually with popularity, to a maximum of 98 cents.


Read more at Reuters.com Business News

Chicago Soybeans, Corn Fall on Rain, Equity Concern; Wheat Price Declines

(Bloomberg) -- Soybean futures in Chicago fell after
favorable rain over the weekend benefited crops in the U.S.
Midwest and on speculation a drop in global equity markets will
dent buying interest in commodities. Corn and wheat also declined.

There was rain over the weekend in parts of the Midwest,
including Iowa and Illinois, which may help growth of the soybean
crop, said Kenji Kobayashi, an analyst at Kanetsu Asset
Management Co. Asian stocks fell on concern losses in the U.S.
mortgage market may slow the world's biggest economy.


Read more at Bloomberg Commodities News

UPDATE 1-Delphi, second biggest union reach tentative deal

(Reuters) - Union members will vote by mail on the tentative contract,
with the results expected by mid August, the International
Union of Electrical Workers-Communications Workers of America
said in a statement.




Delphi, which filed for bankruptcy in October 2005,
previously reached agreement with its biggest union, the United
Auto workers. Delphi has said it hopes to file a reorganization
plan in the third quarter and exit bankruptcy by the end of
2007.


Read more at Reuters.com Bonds News

Japan's Shares Drop on U.S. Concern, Strong Yen; Toyota Advances on Profit

(Bloomberg) -- Japanese stocks declined, paced by
exporters, on concern losses in the U.S. mortgage market may slow
the world's biggest economy and after the yen strengthened to a
four-month high against the dollar.

Sony Corp., the word's biggest video-game maker, fell the
most in almost five months and Canon Inc. dropped 3.2 percent.


Read more at Bloomberg Stocks News

Treasuries Advance on Signs of Slowing Economic Growth, Decline in Stocks

(Bloomberg) -- Treasuries rose on speculation
slowing economic growth and losses related to subprime mortgages
will prompt the Federal Reserve to cut interest rates this year.

Ten-year notes extended their gains into a fifth week after
reports showed employers added fewer jobs than expected last
month and bond investors are becoming less bearish. Treasuries
are on track to return 5.3 percent this year, the most since
2002, according to a Merrill Lynch & Co. index.


Read more at Bloomberg Bonds News

ONGC Videsh Offers 700,000 Barrels of Sokol Crude for Loading in October

(Bloomberg) -- ONGC Videsh Ltd., the overseas unit
of India's state-run explorer, offered 700,000 barrels of Sokol
crude oil from the Sakhalin-1 project for loading in October,
the company said in an offer document e-mailed to Bloomberg News.

Details of the offer are as follows:


Read more at Bloomberg Energy News

Australian Stocks Extend Declines; Macquarie Bank, BHP Billiton Lead Slide

(Bloomberg) -- Australia's benchmark stock index, the
S&P/ASX 200 Index, fell 0.84 percent at 10:05 a.m.

The index of 201 companies traded on the Australian Stock
Exchange fell 50.60 to 5,970.40. Among the stocks in the index,
34 rose, 159 fell and 8 were unchanged.


Read more at Bloomberg Stocks News

Japanese Stocks May Drop, Led by Exporters on U.S. Economy Concern, Yen

(Bloomberg) -- Japanese stocks may decline, led by
exporters such as Sony Corp., on concern losses in the U.S.
mortgage market may slow the world's biggest economy.

Exporters may also decline after the yen strengthened to a
four-month high against the dollar, eroding the value of their
dollar-denominated sales.


Read more at Bloomberg Stocks News

Crude Oil Falls a Second Day on Concern Over Weaker U.S. Equities, Growth

(Bloomberg) -- Crude oil fell a second day in New
York after declining equity markets and weak U.S. economic data
weighed on investor confidence.

Oil dropped 2 percent last week as U.S. stock prices fell
for a third week and a report showed the nation's unemployment
rate reached a six-month high in July. Oil slipped from the
record $78.77 a barrel reached on Aug. 1 after a U.S. government
report that day showed fuel stockpiles rose as refineries ran at
the highest rates since August, 2005.


Read more at Bloomberg Energy News

Northwest Airlines' pilot union approves deal

(Reuters) - The agreement makes contractual changes on several work
rules pertaining to international flying and settles an
outstanding grievance. In exchange, Northwest will reinstate
premium pay of 50 percent for all pilots flying more than 80
hours a month.




The airline said the pact was "economically neutral" with
the premium-pay costs offset by the work rule changes and the
grievance settlement.


Read more at Reuters.com Business News

PREVIEW-Fed to weigh hit of credit crunch, market slide

(Reuters) - *Fed expected to hold benchmark overnight borrowing costs
steady at 5.25 percent




By Mark Felsenthal


Read more at Reuters.com Bonds News

China says food safety needs global cooperation

(Reuters) - A range of Chinese exports, from fish and toys to pet food and toothpaste, have been found to be mislabeled, unsafe or dangerously contaminated, creating an international backlash.




But the government has hit back, saying the problems of a few small, rogue companies should not besmirch the whole made-in-China label, insisting it does take effective action to guarantee safety.


Read more at Reuters.com Business News

U.S. House shifts $16 bln toward renewable energy

(Reuters) - The 786-page bill, passed in a rare Saturday vote, was a top priority for House Speaker Nancy Pelosi, and is an amalgam of bills assembled by about a dozen of the chamber's committees in recent months.




Republicans called it a "no-energy bill" because it lacks new drilling incentives, and they derided the new emphasis on renewables as "green pork." The White House threatened to veto the bill on concerns that it could boost energy prices.


Read more at Reuters.com Business News

Barclays' ABN offer period runs until Oct 4: filing

(Reuters) - The RBS-led consortium's offer is worth 71 billion euros
and 93 percent in cash, while Barclays
65-billion-euros offer is about 38 percent in cash.




ABN shareholders can tender shares under the Barclays offer
from August 7 until October 4, Barclays said in a filing to
U.S. regulator the Securities and Exchange Commission late on
Friday.


Read more at Reuters.com Mergers News

Dollar Falls Versus Yen, Euro on Outlook for Lower U.S. Rates by Year-End

(Bloomberg) -- The dollar fell versus the yen, pound
and euro on speculation a worsening outlook for U.S. growth may
prompt the Federal Reserve to cut borrowing costs by year-end.

The U.S. currency declined to near a record low against the
euro yesterday as reports showed slowdowns in payroll growth and
service industries. The European Central Bank on Aug. 2 signaled
it may raise its interest rate in September. The Fed is forecast
to hold the U.S. lending rate at 5.25 percent on Aug. 7.


Read more at Bloomberg Currencies News

Oil tumbles below $76 on US economic data

(Reuters) - Oil tumbled below $76 a barrel on Friday, dragged down as poor U.S. economic data helped send stock markets down again.

U.S. oil CLc1> settled down $1.38 at $75.48 a barrel, after hitting a record $78.77 on Wednesday. London Brent LCOc1> gave up $1.01 to settle at $74.75.


Read more at Reuters Africa

Soybean, Corn Futures Rise After Forecasts for Dry Weather, Lower Yields

(Bloomberg) -- Soybean and corn futures rose in
Chicago on forecasts for hot, dry weather in Iowa and Illinois,
the U.S.'s two biggest growing states, and a prediction corn
yields will fall.

Forecasters in Europe and the U.S. expect a subtropical
weather system to move into the eastern Midwest next week,
Woburn, Massachusetts-based Meteorlogix LLC said. A European
model predicts the system will bring hotter, drier weather. The
American model shows rains only in the northern Great Plains.


Read more at Bloomberg Commodities News

Wall St Week Ahead: Subprime worries to spur more volatility

(Reuters) - Widening fallout from the U.S. housing slump has rattled
credit markets, putting investors on edge about the outlook
for corporate takeovers and share buybacks -- two catalysts of
the market's recent rally to record highs.




On Friday, Standard & Poor's cut its ratings outlook on
the debt of investment bank Bear Stearns Cos., fanning
concern that troubles in the subprime mortgage market are
spreading, which could threaten the economy's health.


Read more at Reuters.com Economic News

Tenaris 2nd-quarter net profit rises 8 pct yr/yr

(Reuters) - Luxembourg-based Tenaris is
controlled by Argentine conglomerate Techint, and its shares
are listed in Buenos Aires, Milan and New York.




Read more at Reuters.com Market News

RPT-TREASURIES-Bonds rally on stock rout, subprime fears

(Reuters) - By Richard Leong




NEW YORK, Aug 3 - The U.S. Treasury debt market
rallied on Friday with benchmark 10-year yields falling to
their lowest levels since May, as subprime fears drove
investors from stocks into bonds and other low-risk assets.


Read more at Reuters.com Bonds News

Barclays, ABN advisers' fees seen at 311 mln stg

(Reuters) - LONDON, Aug 3 - British bank Barclays and ABN AMRO will spend about 311 million pounds in fees to advisers and other parties if the British bank's takeover of ABN goes ahead, a regulatory filing showed.



In a filing to U.S. regulator the Securities and Exchange Commission late on Friday, Barclays also said its shareholders will be asked to vote on the deal on September 14.


Read more at Reuters.com Mergers News

U.S. issues new botulism warning for green beans

(Reuters) - The FDA said the beans may not have been processed adequately to eliminate the potential for botulinum toxin, which can cause a life-threatening illness.




"The canned green beans may cause botulism if consumed. FDA is providing this warning to make consumers aware of the possible risk of serious illness from eating these products," an FDA statement said.


Read more at Reuters.com Government Filings News

Eight Atlantic hurricanes expected in '07: Storm team

(Reuters) - Of those, four would grow into major hurricanes of Category 3 or higher with winds over 110 mph , the team founded by forecast pioneer William Gray said in its revised forecast.




The updated forecast was lower than the team's May 31 forecast for the six-month storm season that runs through November 30, which had predicted 17 tropical storms, nine hurricanes and five major hurricanes.


Read more at Reuters.com Bonds News

Bush signs bill to strengthen anti-terror effort

(Reuters) - "There is still other work to be done," Bush said as he signed the legislation.




He cited the need to reform the "dysfunctional" way Congress oversees intelligence and counter-terrorism activities and the urgent need to expand the government's powers to eavesdrop on telephone calls and e-mail from abroad.


Read more at Reuters.com Bonds News

GLOBAL MARKETS-Credit fears bruise dollar, stocks; bonds rise

(Reuters) - NEW YORK, Aug 3 - Renewed concerns over credit
liquidity and unexpectedly weak economic data hurt U.S. stocks
and the dollar, while safe-haven government bonds climbed on
Friday.




Tighter credit access worries resurfaced after Standard &
Poor's changed Wall Street investment bank Bear Stearns'
ratings outlook, to "negative" from "stable."


Read more at Reuters.com Bonds News

UPDATE 1-Agrium files shelf prospectus for $1 bln

(Reuters) - Calgary, Alberta-based Agrium said the filings would give
it the means to reduce debt and expand through acquisitions and
investments.




Agrium, which has become the top U.S. retailer of crop
supplies as measured by direct sales to farmers, has said it
wants to expand that business and double its $2 billion in
retail revenue in the next three to five years.


Read more at Reuters.com Bonds News

REFILE-UPDATE 1-Blaming begins in Minneapolis bridge collapse

(Reuters) - By Todd Melby




MINNEAPOLIS, Aug 3 - Politicians trying to
account for one of the worst bridge collapses in U.S. history
cast blame ranging from engineering faults to the Iraq war on
Friday, while divers tried to reach the bodies of more victims
in the Mississippi River's treacherous waters.


Read more at Reuters.com Bonds News

Orient Overseas, Samsung Electronics, Wipro: Asia Ex-Japan Equity Preview

(Bloomberg) -- The following stocks may rise or fall
in Asian markets, excluding Japan, on Aug. 6. This preview
includes news that broke after markets closed. Prices are from
the local market's last close. Stock symbols are in parentheses
after company names.

Auto companies: General Motors Corp. (GM US) is seeking
investment opportunities in Malaysia and Indonesia, the Wall
Street Journal reported, citing Stephen Carlisle, GM's president
for Thailand and Southeast Asia. Malaysia, Indonesia and Thailand
are among the 11 markets designated by GM for priority
development, the Journal added.


Read more at Bloomberg Stocks News

Silver Wheaton profit dips on production slip

(Reuters) - Silver Wheaton, which buys the silver produced by several
miners, also reduced its 2007 forecast for silver sales of
about 13 million ounces, down from an April estimate of 15
million ounces.




It maintained its estimate of 2009 silver sales of 23
million ounces, and 2012 sales of 28 million ounces.


Read more at Reuters.com Market News

U.K. Pound Posts Weekly Gain Against Yen, Dollar as Carry Trade Resumes

(Bloomberg) -- The pound posted its biggest weekly
gain since June against the yen as credit markets rebounded,
prompting investors to restart so-called carry trades.

The pound also had a weekly gain against the dollar as
traders bought high-yielding currencies with loans from Japan and
on expectations the Bank of England will raise interest rates at
least once more from 5.75 percent by year-end.


Read more at Bloomberg Currencies News

CheckFree posts lower Q4 net income

(Reuters) - Excluding certain items, underlying net income for the
quarter was $48.1 million, or 53 cents a share, compared with
$36.6 million, or 39 cents a share, a year ago. Total revenue
rose to $276.7 million from $224.9 million.





Read more at Reuters.com Mergers News

European Bonds Snap Three Weeks of Gains After ECB Signals Higher Rates

(Bloomberg) -- European government bonds snapped
three weeks of gains after the European Central Bank indicated
it will raise interest rates further this year.

ECB President Jean-Claude Trichet signaled rates may rise
from a six-year high of 4 percent as early as September, saying
``strong vigilance'' is needed to guard against price pressures.
Policy makers used the phrase a month before each of the ECB's
eight rate increases since late 2005. Trichet was speaking after
the bank kept borrowing costs unchanged yesterday, as forecast.


Read more at Bloomberg Bonds News

SABMiller $89 mln deal adds to Polish beer brands

(Reuters) - SABMiller, whose beers include Miller, Peroni and Castle, said the acquisition would help it keep pace with growing demand for its Polish subsidiary's beer adding that the deal was subject to approval from Polish competition authorities.



Browar Belgia brews Wojak, Gingers and Frater beers and has annual production capacity of more than 1 million hectolitres at its brewery in south east Poland.


Read more at Reuters.com Mergers News

Telemig, Amazonia shares up in Brazil on Vivo deal

(Reuters) - SAO PAULO, Aug 3 - Shares of Brazilian mobile phone companies Telemig Celular and Amazonia Celular rallied on Friday, a day after the companies agreed to be sold to the country's leading wireless operator, Vivo Participacoes.



Telemig's non-voting shares jumped 3.18 percent to 5.51 reais, while Amazonia's shares climbed 3.45 percent to 0.60 reais, outperforming a 0.79 drop by the benchmark Bovespa index in Sao Paulo.


Read more at Reuters.com Mergers News

Plusses seen in end of Boston Scientific unit sale

(Reuters) - By Debra Sherman



CHICAGO, Aug 3 - Boston Scientific Corp.'s decision not to divest part of its Endosurgery business signaled the medical devices company has confidence it can pare down its sizable debt through other means and would be better off hanging on to its most stable product line, analysts said.


Read more at Reuters.com Mergers News

Double-Take Software cuts offer size to 2.8 mln shares

(Reuters) - In a July 20 filing, the company had said it was planning
to sell 1 million shares and the selling shareholders about 2.8
million shares.





Read more at Reuters.com Government Filings News

UPDATE 3-US regulator seeks comments on 'unfair' lending

(Reuters) - WASHINGTON, Aug 3 - The U.S. Office of Thrift
Supervision on Friday asked for comment on how to address
"unfair and deceptive acts or practices" associated with
lending products.




The proposal comes at a time when U.S. banking authorities,
including the Federal Reserve, have been criticized for
responding too late to problems in home loans made to borrowers
with poor credit histories, so-called subprime loans.


Read more at Reuters.com Government Filings News

Bear hedge fund sank as Merrill protected clients

(Reuters) - Recently filed court documents in U.S. Bankruptcy Court in Manhattan reveal more details about the events that led to the collapse of two hedge funds run by Bear Stearns.




For example, the Bear Stearns High-Grade Structured Credit Strategies Enhanced Leverage Fund started performing poorly in early 2007, court papers show.


Read more at Reuters.com Business News

Oil near record highs; OPEC says no output rise

(Reuters) - Oil hovered near $77 a barrel on Friday, keeping in sight of this week's fresh record high after OPEC officials poured cold water on U.S. hopes for an output rise, reiterating that the world was not short of crude supplies.

U.S. oil dipped four cents at $76.82 a barrel by 0514 GMT after rising 33 cents on Thursday. Prices touched an all-time high of $78.77 on Wednesday, but sharply retreated on signs of improved U.S. refinery operations.


Read more at Reuters Africa

Gold edges higher on stabilising stock markets

(Reuters) - Gold edged higher on Friday as signs of stabilising equity markets encouraged investors to buy the metal, while a rise in the amount of bullion held by a key gold exchange traded fund to a record high lent support.

Spot gold was trading at $665.90/666.30 an ounce as of 0630 GMT, compared with $664.30/664.90 late in New York on Thursday.


Read more at Reuters Africa

New AngloGold Ashanti CEO to tackle mine deaths

(Reuters) - The incoming chief executive at the world's third biggest gold producer, AngloGold Ashanti Ltd, wants to cut the firm's mine fatalities as a top priority, he said on Friday.

Increasing deaths at South Africa's treacherous underground mines have thrust safety into the spotlight recently. The government briefly closed one of AngloGold's mines last week after two more miners were killed in a rock fall.


Read more at Reuters Africa

Gold hits 1-week high as dollar drops on jobs data

(Reuters) - Gold jumped more than one percent to a one-week high on Friday as a fall in the dollar after lower-than-expected U.S. data on jobs growth prompted investors to buy bullion.

Gold rose as high as $671.25 an ounce and was quoted at $669.60/670.40 by 1423 GMT, against $664.30/664.90 in New York late on Thursday.


Read more at Reuters Africa

UPDATE 1-US services growth eased considerably in July

(Reuters) - The Institute for Supply Management's services index
tumbled to 55.8 last month from 60.7 in June, well below
economists' median forecast for a drop to 59.0.




A number above 50 indicates the sector is still growing,
but the sharp pullback shows activity is much more subdued,
even as separate data point to a sluggish labor market.


Read more at Reuters.com Economic News

Coffee Rises as Brazil's Harvest May Be at Low End of Government Estimates

(Bloomberg) -- Coffee rose in New York to the
highest in more than seven weeks on speculation that this year's
crop in Brazil, the world's largest producer, will be at the low
end of government estimates.

Brazil's Census Bureau has forecast the harvest that runs
through October will be 37.5 million bags, while the
government's National Commodity Supply Corp., known as Conab,
estimated production would be 32.1 million bags. Exporters are
lowering their forecasts in line with Conab's estimates, said
Jack Scoville, vice president of Price Futures Group in Chicago.


Read more at Bloomberg Commodities News

RBS profits rise beats f/casts, lifts dividend 25 pct

(Reuters) - RBS said its underlying operating profit in the six months to the end of June was 5.1 billion pounds , up from 4.6 billion a year before and an average forecast of 5.04 billion pounds from a Reuters Estimates poll of four analysts.



The bank said income grew 8 percent to 14.7 billion pounds and costs as a percentage of revenue improved to 41.4 percent from 41.9 percent.


Read more at Reuters.com Market News

Toyota Q1 jumps on sales rise, yen; keeps forecast

(Reuters) - By Chang-Ran Kim, Asia auto correspondent



TOKYO, Aug 3 - Japan's Toyota Motor Corp. said its quarterly operating profit rose by a third as brisk European and North American sales combined with a softer yen to make up for chronic weakness in domestic demand.


Read more at Reuters.com Market News

Jean Coutu posts loss on US charges, ups dividend

(Reuters) - OTTAWA, Aug 3 - Canadian drug store chain Jean Coutu Group said on Friday it swung to a fourth-quarter loss as it accounted for charges from the sale of its U.S. network to Rite Aid Corp. , but it raised its quarterly dividend.



The company said it lost $6.9 million, or 3 cents a share, in the quarter, down from a profit of $30.3 million, or 12 cents a share, in the same period last year.


Read more at Reuters.com Market News

P&G sees strategic buyers looking at sale assets

(Reuters) - CFO Daley also said that P&G may look at raising prices
given the higher than expected energy and raw material costs it
now expects for fiscal 2008.








Read more at Reuters.com Market News

Hedge Funds Pluck Money From Air in $19 Billion Weather Derivatives Gamble

(Bloomberg) -- Credit Suisse Group trader Patrick
Ayash rarely reads earnings estimates and just skims news about
inflation. One thing he never misses: the daily weather report.

Ayash, 31, is part of an army of mathematicians, hedge-fund
whizzes and programmers pouring into the $19 billion market for
weather futures, financial instruments tied to everything from
storms over Kansas, an early frost in the Netherlands, or a
frigid spring in New York.


Read more at Bloomberg Exclusive News

Warren Buffett's $46 Billion Cash Pile Can Buy WellPoint, Nucor, Kohl's

(Bloomberg) -- Berkshire Hathaway Inc. Chairman Warren
Buffett is ready to spend $40 billion to $60 billion on an
acquisition, and his opportunities are expanding as stocks fall and
leveraged buyouts dry up.

Shares of health insurers, steelmakers and department stores
are as much as 19 percent cheaper than in May, when Buffett said he
would ``figure out a way'' to come up with $60 billion for the
right deal. WellPoint Inc., Nucor Corp., Kohl's Corp. and dozens
more companies are now closer to meeting his investment criteria.


Read more at Bloomberg Exclusive News

Dollar Falls Versus Yen, Euro as Payroll, Service Data Point to Slowdown

(Bloomberg) -- The dollar dropped the most in more
than a week against the yen and fell versus the euro after U.S.
data showed slowdowns in payroll growth and service industries.

Investors pushed down the dollar as the reports raised
speculation a slump in the housing market may spread to the
broader economy. Traders lifted bets the Federal Reserve will cut
interest rates by year-end, dimming the allure of dollar-
denominated assets. The yen gained as investors trimmed riskier
assets funded by loans in Japan as U.S. stocks dropped.


Read more at Bloomberg Currencies News

APEC Finance Ministers Say Flexible Currencies to Reduce Global Imbalances

(Bloomberg) -- Currency ``flexibility'' will reduce
imbalances in the global economy, according to a draft communique
from an Asia-Pacific finance ministers meeting.

``Orderly'' control of ``global imbalances remains a
priority,'' the ministers said in the draft statement from the 21-
member Asia Pacific Economic Cooperation forum meeting in Coolum,
Australia. The statement didn't mention specific currencies.


Read more at Bloomberg Emerging Markets News

UPDATE 1-Little subprime fallout for Asia banks, investors wary

(Reuters) - HONG KONG, Aug 3 - Asian banks, domestically
focused and risk averse after the Asia crisis, should see few
losses from the U.S. subprime meltdown, rating agencies said,
but investors worry lenders could get caught in the maelstrom.




Moody's Investors Service said on Friday that the impact of
the subprime crisis on Asia's lenders would be limited, with
the largest exposure among the biggest banks through holdings
of mortgage-backed securities and collateralised debt
obligations. [ID:nWNA7262]


Read more at Reuters.com Bonds News

TREASURIES-Bond prices flat ahead of US jobs report

(Reuters) - U.S. stock index futures pointed to a flat opening on Wall
Street on Friday. Gyrations in stocks may swiftly become the main
catalyst for Treasuries in the aftermath of the jobs data.




Stocks have recently shown a strong inverse correlation to
Treasury prices, although credit concerns still helped Treasury
prices rally on Thursday in spite of U.S. equities late day surge.
The benchmark 10-year U.S. Treasury note's yield is not far above
the 2 1/2 month lows of 4.69 percent it fell to on Wednesday. Bond
yields and prices move inversely.


Read more at Reuters.com Bonds News

RPT-US RATE FUTURES-View of Fed cut inches up on jobs

(Reuters) - Futures remain priced for the Fed to keep rates steady in
August . Implied chances for a September rate cut rose to
34 percent from 30 percent on Thursday, and prospects for an
October cut firmed to 62 percent from 58 percent.




The Labor Department said 92,000 nonfarm payroll jobs were
created in July, below the median forecast of 130,000. June
payrolls were revised to 126,000 from 132,000 earlier.


Read more at Reuters.com Bonds News

China's CSI 300 Index Rises for Fourth Straight Week; Merchants Bank Gains

(Bloomberg) -- China's stocks rose to a record, with
the key index posting a fourth weekly gain in a row. China
Merchants Bank Co. led gains among lenders and property
developers on speculation profits growth will be sustained.

``Average first-half corporate earnings will increase by
about 80 percent,'' said Fan Dizhao, who helps manage about $1.8
billion at Guotai Asset Management Co. in Shanghai. ``Lenders and
developers are among those industries that are expected to report
fastest earnings growth.''


Read more at Bloomberg Stocks News

Grupo Mexico, Iochpe Maxion, Siderar, Tam, Vivo: Latin Equity Preview

(Bloomberg) -- The following stocks may make
significant gains or losses in Argentina, Brazil, Colombia and
Mexico today. Symbols are in parentheses after the company name,
and stock prices are from the last session.

In Brazil, preferred shares are the most commonly traded
class of stock.


Read more at Bloomberg Stocks News

China Bohai Bank Wins Approval to Open Beijing Branch, First Outside Base

(Bloomberg) -- China Bohai Bank, the first national
lender set up in the country in a decade, won regulatory approval
to open a branch in Beijing, the first step in expanding outside
its home base.

Bohai Bank, one-fifth owned by Standard Chartered Plc., has
started hiring for the Beijing outlet and will commence
operations in the nation's capital later this year, the Tianjin-
based company said in an e-mailed statement.


Read more at Bloomberg Emerging Markets News

China's 2007 LNG Imports May Rise Fourfold as Power Plants Increase Usage

(Bloomberg) -- China, the world's second-biggest
energy user, may increase liquefied natural gas imports from
Australia fourfold this year as power plants use gas to generate
electricity to cut pollution, an official said.

Guangdong Dapeng LNG Co., China's only LNG import terminal,
may import 2.6 million metric tons of the fuel this year,
compared with 687,533 tons in 2006, said an official from the
plant, asking not to be named because of company policy. China
National Offshore Oil Corp. and BP Plc own the terminal.


Read more at Bloomberg Energy News

Japan Shares Tumble; Mizuho, Banks Fall on Drop in Profits; Kyocera Slips

(Bloomberg) -- Japanese stocks fell after Mitsubishi
UFJ Financial Group Inc. and Mizuho Financial Group Inc. said
their quarterly profit dropped because of increasing credit-
related costs.

A measure tracking banks plunged 4.5 percent, the worst
performer in the 33 industry groups included in the Topix. Mizuho
had the biggest loss since May 10, 2004.


Read more at Bloomberg Stocks News

Dow Jones sale to end Bancroft media reign

(Reuters) - The Bancrofts are among a group of centenarian newspaper families that includes the Sulzberger clan, who run The New York Times Co., and the Chandlers, who cashed out of Tribune Co. earlier this year.




In the sepia-toned years of the late 19th and early 20th centuries, these families were stewards of what many historians characterize as the golden age of news.


Read more at Reuters.com Business News

UPDATE 1-LandAmerica posts lower 2nd-qtr earnings

(Reuters) - The real estate insurer said net earnings were $7.9 million
or 42 cents a share, down from $35.6 million or $2.06 a share
in the year-earlier quarter.




The company also raised its dividend by 8 cents, or 36
percent, to 30 cents a share, payable on Sept. 14 to
shareholders of record Aug. 31.


Read more at Reuters.com Market News

Bear Stearns halts redemptions in third hedge fund

(Reuters) - "We believe the fund portfolio is well positioned to wait
out market uncertainty and we believe by suspending redemption
we can ensure the best long term results for our investors,"
Bear Stearns spokesman Russell Sherman said.




Unlike the two funds that collapsed, the third Bear Stearns
hedge fund is not leveraged.



Read more at Reuters.com Bonds News

FACTBOX: Companies chosen for U.S. IT contract

(Reuters) - -- Accenture National Security Services LLC




-- Advanced Management Technology


Read more at Reuters.com Business News

UPDATE 1-Tupperware posts higher 2nd-qtr quarter profit

(Reuters) - The company said second-quarter net income increased to
$35.5 million, or 56 cents per diluted share, from $25.2
million, or 41 cents, a year earlier.




Tupperware, best known for its food storage containers sold
at in-home parties, said sales climbed to $492.9 million from
$436.6 million.


Read more at Reuters.com Market News

Bear Stearns Shares Decline, Stock-Index Futures Fall: U.S. After-Hours

(Bloomberg) -- Bear Stearns Cos. shares declined in
extended U.S. trading after the Wall Street Journal reported that
it faces losses from a third hedge fund that has $900 million in
mortgage investments.

Shares of the New York-based company retreated $4.21, or 3.5
percent, to $117.01 as of 6:37 p.m. in New York.


Read more at Bloomberg Stocks News

UPDATE 1-American Financial Q2 profit falls on charges

(Reuters) - However, the company's core earnings for the quarter rose
22 percent, helped by improved underwriting profit within the
specialty property and casualty operations and higher
investment income.




The Cincinnati-based company posted second-quarter earnings
of $67.0 million, or 54 cents a share, compared with earnings
of $122.9 million, or $1.02 a share in the year-ago quarter.


Read more at Reuters.com Market News

Brasil Telecom 2nd-quarter profit up 39 pct

(Reuters) - Brasil Telecom Participacoes is the holding company that
runs Brasil Telecom SA , the country's No. 3
fixed-line operator. Its controlling shareholders include
Citigroup Inc. and several Brazilian state-run pension
funds.





Read more at Reuters.com Mergers News

UPDATE 1-US officials say Iraq role to last years, cost more

(Reuters) - WASHINGTON, July 31 - President George W. Bush's
nominee to be top military adviser said on Tuesday the United
States will be in Iraq for "years not months" and a Pentagon
official said the war was costing even more than expected.




Navy Adm. Michael Mullen, picked as chairman of the Joint
Chiefs of Staff, warned U.S. lawmakers unhappy with the
conflict against seeking a rapid pullout from Iraq, saying it
could turn the country into a "caldron."


Read more at Reuters.com Bonds News

TREASURIES-Bonds jump higher as stock market tumbles

(Reuters) - NEW YORK, July 31 - U.S. government bond prices
climbed on Tuesday, taking direction from weaker stocks on
continued concerns that a housing market slump and
deteriorating credit conditions could crimp economic growth.




Bonds have been closely mirroring stocks recently, gaining
when stocks fall as investors turn to the relative safety of
bonds.


Read more at Reuters.com Bonds News

Buffalo Wild Wings quarterly profit rises

(Reuters) - Total revenue rose 22 percent to $76 million, the operator
of Buffalo Wild Wings Grill and Bar restaurants said in a
statement.




Analysts on average expected the company to earn 22 cents a
share, before items, on revenue of $77.92 million, according to
Reuters Estimates.



Read more at Reuters.com Market News

Aon explores options, including spinoff, for CICA

(Reuters) - Case said Aon is "prepared to respond accordingly."




Aon has hired Credit Suisse Securities LLC, Merrill
Lynch & Co and Aon Capital Markets as advisors on any potential
transaction.


Read more at Reuters.com Market News

TXU's Lenders Will Go Ahead With Biggest Ever Leveraged Buyout, People Say

(Bloomberg) -- Citigroup Inc., JPMorgan Chase & Co.
and four more banks won't back out of an agreement to finance
the $32 billion takeover of TXU Corp. if they fail to sell debt
issued in the deal to investors, two people with knowledge of
the situation said.

Kohlberg Kravis Roberts & Co. and TPG Inc. agreed in
February to take the Dallas-based power producer private. The
banks said they would sell as much as $26.1 billion in loans to
fund the leveraged buyout, the second largest after the planned
acquisition of Canadian phone company BCE Inc. by a group
including Providence Equity Partners Inc. and Madison Dearborn
Partners LLC.


Read more at Bloomberg Energy News

Brookfield to spin off 60 pct infrastructure stake

(Reuters) - TORONTO, July 31 - Brookfield Asset Management Inc. will spin off a 60 percent stake in its infrastructure operations to its shareholders in a deal worth about $600 million, it said on Tuesday. Brookfield will create a new publicly traded partnership called Brookfield Infrastructure Partners L.P. and keep a 40 percent stake, spinning off the rest to existing Brookfield class A shareholders in a special dividend.



The company said the new partnership plans to seek a listing on the New York Stock Exchange.


Read more at Reuters.com Mergers News

UPDATE 1-Mexico tax reforms won't end oil dependency -Ortiz

(Reuters) - President Felipe Calderon unveiled a long-awaited tax
proposal in June to try to plug fiscal gaps as economically
vital oil reserves falter.




"It's a step in the right direction. But it obviously
doesn't resolve the country's structural fiscal problems,"
said Guillermo Ortiz, the head of the central bank.


Read more at Reuters.com Bonds News

News Corp looks set to win Dow Jones

(Reuters) - A senior executive at Dow Jones said he had received an internal e-mail that said the Bancrofts, who control the company's voting shares, had agreed to the $5 billion deal.




"Up-to-date purchase news: it appears that the Bancroft family has accepted and we're going to be part of News Corp. That just in," John Prestbo, editor and executive director of Dow Jones Indexes, told reporters in Chicago.


Read more at Reuters.com Mergers News

Wells Fargo sued for racial bias in mortgage loans

(Reuters) - In their complaint, Nancy and Johnny Jeffries accused Wells
Fargo of marking up interest rates or adding fees for black
borrowers seeking mortgages after agreeing to lend based on
more well-defined criteria such as credit histories and home
values. The southwest Chicago homeowners said this violates the
federal Fair Housing Act and Equal Credit Opportunity Act.




The lawsuit seeks class-action status, and was filed on
Monday against San Francisco-based Wells Fargo in the U.S.
District Court for the Northern District of California.


Read more at Reuters.com Bonds News

Treasuries Strengthen as Investors Seek Refuge Amid Renewed Credit Concern

(Bloomberg) -- Treasuries rose as evidence of
losses among providers of riskier mortgages encouraged investors
to seek the safety of U.S. government debt.

Ten-year note yields fell to near the lowest in two months
as American Home Mortgage Investment Corp., a lender whose stock
stopped trading after it disclosed a cash shortage, said it may
have to liquidate assets. Standard & Poor's may downgrade an
additional $1 billion of collateralized debt obligations.


Read more at Bloomberg Bonds News

US STOCKS-Earnings lift blue chips, credit woes linger

(Reuters) - NEW YORK, July 31 - U.S. blue-chip stocks rose on
Tuesday, lifted by positive earnings from companies, including
General Motors Corp. , and by reassuring reports on the
economy.




But two major stock indexes were off their highs for the
session and the Nasdaq was little changed as concerns about
deteriorating credit conditions -- which led to last week's
market rout -- returned.


Read more at Reuters.com Bonds News

American Home can't fund loans, may liquidate assets

(Reuters) - American Home shares closed Friday at $10.47. They have not traded since trading was halted on Monday morning.




Spokeswoman Mary Feder did not immediately return an e-mail seeking comment. Her telephone mailbox was not accepting messages.


Read more at Reuters.com Bonds News

Mexico stocks jump and peso firms aided by US data

(Reuters) - The benchmark IPC stock index moved up to 31,132
points, an increase of 0.75 percent. The peso currency
also firmed by 0.19 percent to 10.93 per dollar.




In debt trading, the price of the benchmark 10-year
government peso bond gained 0.248 point to bid
101.958, with a yield of 7.68 percent.


Read more at Reuters.com Bonds News

UPDATE 3-Brazil primary budget surplus rises to June record

(Reuters) - BRASILIA, July 31 - Brazil's consolidated primary
budget surplus grew to a record for the month of
June, climbing to 11.65 billion reais from a
surplus of 10.44 billion reais a year earlier, the central bank
said on Tuesday.




The result was higher than the 9.9 billion reais median
estimate of 18 economists in a Reuters poll. The estimates
ranged from 6.0 billion reais to 12.1 billion reais. In May,
the consolidated primary surplus was 9.3 billion reais.


Read more at Reuters.com Bonds News

S.African trade union calls off De Beers strike

(Reuters) - South Africa's National Union of Mineworkers (NUM) called off a planned strike at the world's biggest diamond producer De Beers on Tuesday after the company increased its wage offer.

Workers had been due to down tools on the evening shift, but the two sides agreed a deal in last-minute talks, NUM negotiator Peter Bailey said.


Read more at Reuters Africa

UPDATE 1-Saputo reports higher profit, increases dividend

(Reuters) - Saputo, one of North America's biggest cheese makers,
earned C$68.4 million , or 66 Canadian cents a
share, for the three months ended June 30. That was up from a
profit of C$53.3 million, or 51 Canadian cents a share, in the
same period a year earlier.




The company said its results included a one-time tax
reduction of about C$4 million to adjust future tax balances
due to lower Canadian federal tax rates.


Read more at Reuters.com Market News

Chile's Pinera quits as director of airline LAN

(Reuters) - Pinera, one of Chile's richest men, was fined about
$700,000 by the stock exchange regulator on July 6 after buying
3 million LAN shares in July last year while he had information
about the company's unpublished second-quarter results.




The regulator accepted the transaction was not driven by
his knowledge of that information.


Read more at Reuters.com Government Filings News

Marathon to buy Western Oil Sands

(Reuters) - Marathon said it will pay about $3.6 billion in cash plus 34.3 million shares or securities exchangeable for shares. It will also assume about $650 million of debt.




Houston-based Marathon -- which also posted a higher-than-expected second quarter profit -- has been looking for a partner in the Canadian oil sands for two years.


Read more at Reuters.com Mergers News

European Carbon Emission Permits Rise for Sixth Day; Power Prices Advance

(Bloomberg) -- European Union carbon dioxide permits
rose for a sixth day, the longest consecutive gain in more than two
months. German and French next-day power prices advanced.

Permits for December 2008 advanced as much as 60 cents, or 2.9
percent, to 21.45 euros ($29.39) a metric ton on the European
Climate Exchange in Amsterdam. They traded at 21.05 euros a ton at
5:49 p.m. local time.


Read more at Bloomberg Energy News

Aftermarket, Avon, Dow Jones, Masco, Waste Management: U.S. Equity Movers

(Bloomberg) -- The following is a list of companies
whose shares are having unusual price changes in U.S. exchanges.
Stock symbols are in parentheses after company names. Share
prices are as of 11:40 a.m. in New York.

Aftermarket Technology Corp. (ATAC US) rose the most since
September 2001, jumping $3.60, or 14 percent, to $30.09. The car-
parts maker increased its 2007 forecast, saying it expects to
earn $1.55 to $1.70 a share. The company earlier predicted profit
of as much as $1.55.


Read more at Bloomberg Stocks News

UPDATE 1-ImClone 2nd-qtr earnings fall; sees new CEO soon

(Reuters) - Net income fell to $31.9 million, or 36 cents a share, from
$37.2 million, or 42 cents a share, a year earlier.




Revenue rose to $150.4 million from $149.9 million a year
ago


Read more at Reuters.com Market News

UPDATE 1-St. Lawrence Cement reports lower earnings

(Reuters) - St. Lawrence said Holcim completed the acquisition of
minority shareholders in the company.




The company reported sales of $366 million, compared with
$364 million in the same period last year.


Read more at Reuters.com Market News

George Weston quarterly profit drops 30 pct

(Reuters) - The results were lower than analysts' average expectation of a profit of C$1.02 a share, according to Reuters Estimates.



Sales for the quarter were C$7.74 billion, up from C$7.51 billion in the corresponding quarter of last year.


Read more at Reuters.com Market News

Hilton profit rises ahead of Blackstone deal

(Reuters) - NEW YORK, July 31 - Hilton Hotels Corp , which is being acquired by private equity firm Blackstone Group , posted a better-than-expected 15 percent rise in quarterly profit on Tuesday, helped by higher room rates.



The strong earnings, fueled by robust demand from business and leisure travelers, highlights the continuing boom in the lodging industry, which has made hotel companies sought-after assets.


Read more at Reuters.com Market News

Wall St. rises on data, GM earnings

(Reuters) - U.S. stocks climbed on Tuesday after General Motors Corp. added to optimism about corporate earnings and a key inflation indicator showed a smaller-than-expected rise.

GM shares jumped 6 percent to $34.56 after the blue-chip automaker swung to a profit in the second quarter and handily topped Wall Street's expectations. For details, see ID:nN30442082.


Read more at Reuters Africa

UPDATE 2-Shoppers help Canada's economy rebound in May

(Reuters) - OTTAWA, July 31 - Canada's economy grew slightly
less than expected in May but at a still-strong 0.3 percent
pace from the previous month, setting the stage for a second
interest rate hike by the Bank of Canada in September.




Statistics Canada said on Tuesday that a surge in retail
and wholesale trade mainly drove the growth, putting the
economy on track for second-quarter annualized growth of about
3 percent.


Read more at Reuters.com Bonds News

UPDATE 1-US Midwest business grew more slowly in July

(Reuters) - CHICAGO, July 31 - Business activity in the U.S.
Midwest expanded less than expected in July and at its slowest
pace since April, constrained by a drop in new orders even as
hiring expanded, a report showed on Tuesday.




The National Association of Purchasing Management-Chicago
business barometer fell to 53.4 from 60.2 in June.


Read more at Reuters.com Bonds News

Nymex Profit Rises 9.4 Percent on Increase in Electronic-Trading Volumes

(Bloomberg) -- Nymex Holdings Inc., owner of the
world's largest energy market, said second-quarter net income
rose 9.4 percent as growth in electronic trading increased
revenue.

Net income climbed to $41.7 million, or 44 cents per share,
based on 94.8 million shares outstanding, from $38.1 million, or
44 cents per share, based on 81.6 million shares, in the year-
earlier period, New York-based Nymex said in a statement.
Operating revenue jumped 34 percent to $163.6 million from $122.5
million.


Read more at Bloomberg Commodities News

Hilton Hotels earnings rise on higher rates

(Reuters) - Excluding one-time items, including a gain from the sale of
the Scandic hotel chain, the company said it posted
second-quarter earnings of 38 cents per share.




On July 3, Hilton agreed to be acquired by Blackstone for
$47.50 a share in cash, or about $20 billion, in what would be
the largest private equity buyout of a hotel company.



Read more at Reuters.com Mergers News

Marathon to buy Western Oil Sands for $5.56 bln

(Reuters) - The company also said its second-quarter profit fell on a decline in oil and gas output and the absence of a year-ago gain from the sale of Russian operations.




Houston-based Marathon has long been looking for a partner in the Canadian oil sands. Still, it is expensive and requires special equipment to turn the tar-like sludge that comes from the region -- called bitumen -- into usable fuel.


Read more at Reuters.com Bonds News

US RATE FUTURES-Falter despite mild June inflation

(Reuters) - CHICAGO, July 31 - U.S. short-term interest rate
futures weakened on Tuesday in a profit-taking setback from
recent gains, but bounced from the day's lows after news of
mild inflation in June.




No change to overnight lending rates rates is expected to
be made at the Federal Open Market Committee policy meeting on
Aug. 7 and implied prospects for a rate cut at the Sept.
18 FOMC meeting are at 25 percent, down from 40 percent.


Read more at Reuters.com Bonds News

Gold gains in nervous market, may rise further

(Reuters) - Gold drifted higher on Tuesday as stock markets recovered and the dollar weakened, but investors remained nervous due to recent falls in bullion price.

Spot gold was quoted at $666.60/667.40 an ounce by 0959 GMT, compared with $664.60/665.40 late in New York on Monday and Friday's two-week low of $656.90.


Read more at Reuters Africa

Group 1 Automotive's quarterly profit dips

(Reuters) - The Houston-based company, the fourth-largest auto retailer in the United States, said earnings declined to $24.2 million, or $1.01 per share, from $24.9 million, or $1 per share, a year earlier.



Excluding one-time items, the company earned $1.03 per share. Analysts, on average, had expected 98 cents, according to Reuters Estimates.


Read more at Reuters.com Market News

Uribe Can't Escape Death Squad Scrutiny as Beach Tourism Fortifies Economy

(Bloomberg) -- The three-car train pulls past miles
of lush banana plantations into the Colombian town of Aracataca
after a 55-mile (89-kilometer) trip inland from the Caribbean
coastal city of Santa Marta. Remote Aracataca is the birthplace
of Nobel Prize-winning author Gabriel Garcia Marquez and was
fictionalized as Macondo in his novel ``One Hundred Years of
Solitude.''

The train, which will start making regular runs in 2008, is
Colombia's latest effort to attract tourists to a country
plagued by more than four decades of drug-funded violence and
kidnappings. Garcia Marquez himself, 80, is aboard for this test
run in June. His boyhood home is being refurbished like that of
the novel's Buendia family and will be opened to the public.


Read more at Bloomberg Exclusive News

PMI Group quarterly earnings fall

(Reuters) - Analysts on average expected earnings of $1.15 a share,
excluding any exceptional items, according to Reuters
Estimates.




Read more at Reuters.com Market News

Czech Koruna Posts Biggest Monthly Advance Versus Euro Since November 2005

(Bloomberg) -- The Czech koruna posted its biggest
monthly gain since November 2005 as risk-averse investors unwound
carry trades funded in the currency.

The currency snapped a three-month losing streak in July as
investors withdrew from these trades, which took advantage of the
Czech Republic's 3 percent interest rate to buy higher-yielding
assets elsewhere. The koruna was the second best-performer
against the euro this month, just beating the Japanese yen, which
has the lowest rates among industrialized countries.


Read more at Bloomberg Currencies News

UPDATE 1-Glaxo shares climb as U.S. panel backs Avandia

(Reuters) - LONDON, July 31 - Shares in GlaxoSmithKline Plc
, Europe's biggest drugmaker, gained more than 3 percent
on Tuesday after a U.S. advisory panel recommended its diabetes
pill Avandia should stay on the market.




Even though data suggested Avandia may increase the risk of
a heart attack for some patients, panel members voted 22-1 to
keep the medicine on sale -- but most advisers backed stronger
warnings on the widely used drug.


Read more at Reuters.com Government Filings News

Japan state pension had $30 bln profits in FY06/07

(Reuters) - About 75 percent of the profit came from investments in
foreign stocks and bonds, which accounted for just a quarter of
the total marketable financial assets, the fund said.




As of March 31, the end of fiscal 2006/07, the pension fund
held about 84.9 trillion yen of marketable financial assets.


Read more at Reuters.com Bonds News

RWE Stops Neurath C Lignite-Fired Plant, Reduces Nuclear Power Generation

(Bloomberg) -- RWE AG, Germany's second-largest
utility, reported a shutdown at a lignite-fired power plant and
said it cut capacity at its Gundremmingen C nuclear plant.

RWE's 291-megawatt Neurath C lignite-fired plant stopped
yesterday at 9:48 p.m. Central European Time, the Essen,
Germany-based company said today on its Web site. Neurath C is
expected to remain halted for less than one day, the company
said.


Read more at Bloomberg Energy News

European shares off to strong start; GSK climbs

(Reuters) - European shares got off to a strong start on Tuesday, gaining 1 percent in early trade to break a five-day losing streak as credit market worries eased and company news returned to centrestage.

At 0714 GMT, the FTSEurofirst 300 index of top European shares was up 1 percent at 1,532.78 points. Shares on Germany's DAX rose 1.3 percent, while benchmarks in Britain and France rose around 1 percent.


Read more at Reuters Africa

AngloGold Earns $152 Million in Second Quarter on Gold Prices, Contracts

(Bloomberg) -- AngloGold Ashanti Ltd., Africa's
largest gold producer, earned a profit in the second quarter,
compared with a loss in previous period, after bullion rose and
a stronger rand cut losses on forward sales contracts.

Net income was 1.08 billion rand ($152.3 million), or 3.85
rand a share, in the three months through June 30, after a loss
of 150 million rand, or 53 cents, in the first quarter, the
Johannesburg-based company said today in a statement to the
city's stock exchange. Net income was $111 million in U.S.-
currency terms, a measure that excludes the conversion of the
forward contracts into rand.


Read more at Bloomberg Emerging Markets News

Rand steady vs dollar, global sentiment eyed

(Reuters) - South Africa's rand steadied versus the dollar on Tuesday and dealers said the currency would take its direction from global investor sentiment towards emerging markets.

The rand stood at 7.0975 at 0645 GMT, not far off its New York close of 7.1010 on Monday. Dealers said the unit would likely trade between 7.05 - 7.15/dollar during Tuesday's session.


Read more at Reuters Africa

AngloGold Q2 adjusted EPS down 17 pct, CEO to retire

(Reuters) - South Africa's AngloGold Ashanti Ltd posted a 17 percent fall in second quarter adjusted headline earnings per share on Tuesday, below market expectations, and said Chief Executive Bobby Godsell would retire.

AngloGold, the world's third biggest gold producer, said adjusted headline EPS, excluding non-realised financial effects from derivatives, dropped to 29 U.S. cents from 35 cents the previous quarter.


Read more at Reuters Africa

UPDATE 1-Hitachi posts smaller Q1 loss, keeps outlook

(Reuters) - Hitachi, which competes with Toshiba Corp.'s
Westinghouse in nuclear reactors and with Seagate Technology
in hard drives, plans to cut costs and seek new demand
for ecologically friendly power plants as sales remain slow in
its core electronics businesses.




Net loss at Japan's biggest maker of industrial electronics
totalled 13.62 billion yen in April-June,
compared with a loss of 22.04 billion year the previous year.


Read more at Reuters.com Market News

Sun Microsystems and CB Richard Advance in After-Hours Trading in the U.S

(Bloomberg) -- Sun Microsystems Inc. gained in
extended U.S. trading after the world's fourth-largest maker of
server computers reported more profit than analysts estimated.

Shares of Santa Clara, California-based Sun jumped 50 cents,
or 10 percent, to $5.39 as of 6:40 p.m. in New York. Fourth-
quarter earnings were 9 cents a share, compared with the average
analyst estimate of 5 cents in a Bloomberg survey.


Read more at Bloomberg Stocks News

UPDATE 1-Mitsubishi Q1 profit dips 7.3 pct on coal

(Reuters) - Other top trading companies besides Mitsubishi are expected
to ring up record profits this business year as oil and metal
prices are seen staying above their conservative assumed prices,
while profits are expanding in non-energy businesses such as
power generation, infrastructure projects and auto sales.




Mitsubishi, a big supplier of coking coal used in steel
production, copper and liquid natural gas on the world
market, said its group net profit came to 115.3 billion yen
in the April-June first quarter.


Read more at Reuters.com Market News

Whole Foods to court to defend Wild Oats takeover

(Reuters) - Lawyers for the two companies will square off against the
Federal Trade Commission, which is asking U.S. District Judge
Paul Friedman to block the deal on the grounds it would hurt
competition in the organic grocery market.




Antitrust experts say much may depend on the words of Whole
Foods' own chief executive, who told his board in e-mails that
the deal was designed to avert price wars with Wild Oats and
head off competition with mainstream supermarkets.


Read more at Reuters.com Government Filings News

Tangshan Plans to Sell $396 Million of Bonds to Make Steel Sheets for Cars

(Bloomberg) -- Tangshan Iron & Steel Co., the
publicly traded unit of China's second-biggest steelmaker, said
it plans to sell bonds to fund the production of cold-rolled
steel sheets used in vehicles. Tangshan shares rose to a record.

The company plans to sell up to 3 billion yuan ($396.3
million) of five-year bonds that can be converted into shares,
paying interest of between 0.5 percent to 2 percent to local
investors, Tangshan Iron said today in a statement to the
Shenzhen Stock Exchange, without saying when the sale will occur.


Read more at Bloomberg Emerging Markets News

Asia stocks rise on U.S., easing credit fears

(Reuters) - U.S. shares recovered on Monday after ratings agency Standard & Poor's upgraded Morgan Stanley's debt, and a hedge fund steeped in subprime mortgage market losses was bailed out.




But investors remained cautious that ongoing U.S. subprime mortgage market woes could still spread to wider credit markets after U.S. shares had just suffered their worst week in nearly five years.


Read more at Reuters.com Hot Stocks News

UPDATE 1-Greenspan group presses case to buy Dow Jones stake

(Reuters) - A source familiar with the matter said the five possible
investors are Intel Corp's , Intel Capital, Apex
Partners, Jana Partners, a unit of Softbank Corp and
Trafelet.




Former Dow Jones board member Dieter von Holtzbrinck, who
resigned from the board in protest of Murdoch's bid, could also
be interested in investing in Greenspan's offer, the source
said.


Read more at Reuters.com Mergers News

Treasuries Set for Biggest Monthly Gain Since February on Flight to Safety

(Bloomberg) -- Treasuries headed for their biggest
monthly gain since February as a worldwide slump in stocks and
corporate bonds sent investors flocking to the relative safety of
government debt.

The Treasury rally picked up in the middle of July when
losses in mortgage-linked bonds at hedge funds run by Bear
Stearns Cos. led fund managers to dump holdings of riskier assets.
A government report today may show consumer spending increased at
the slowest pace in nine months in June.


Read more at Bloomberg Bonds News

South Korea's Kospi Index Is Little Changed; Doosan Gains, Kookmin Drops

(Bloomberg) -- South Korea's Kospi index swung
between gains and losses. Doosan Infracore Co. rose after
Hyundai Securities Co. said the $4.9 billion acquisition of an
Ingersoll-Rand Co. unit will help the company expand into
developed markets.

Kookmin Bank declined after second-quarter profit missed
analysts' estimates and profitability fell.


Read more at Bloomberg Stocks News

Japan's Topix Climbs, Nikkei Average Is Little Changed; Komatsu Advances

(Bloomberg) -- Japan's Topix index advanced, led by
companies such as Komatsu Ltd. that reported rising profits in
the first quarter.

Komatsu advanced after the world's second-largest maker of
construction machinery said net income increased 65 percent from
a year earlier and boosted its full-year profit forecast. Olympus
Corp. was poised to rise after it said profit doubled and boosted
its full-year estimate.


Read more at Bloomberg Stocks News

FBI searches home of Alaska Sen. Stevens

(Reuters) - The Alaskan politician, the longest-serving Republican in
the U.S Senate in history, issued a statement saying: "My
attorneys were advised this morning that federal agents wished
to search my home in Girdwood in connection with an ongoing
investigation.




"I continue to believe this investigation should proceed to
its conclusion without any appearance that I have attempted to
influence the outcome," the statement said.


Read more at Reuters.com Bonds News

Polish TPSA 2nd-qtr sales fall, lowers year outlook

(Reuters) - "Work will continue to ... match the size of investment
expenditures related to revenues to typical European levels for
the telecommunications sector," TPSA said in its three-year
strategy.




The former Polish monopolist reported a second-quarter net
profit of 495 million zlotys versus 571 million a year ago and
558.5 million zlotys average forecast in a Reuters poll of 12
analysts. Revenue was seen at 4.53 billion zlotys.


Read more at Reuters.com Market News

Yen Falls Against Euro as Rally in U.S. Stocks Spurs Carry Trade Demand

(Bloomberg) -- The yen fell for a second day
against the euro as a rebound in U.S. stocks restored investors'
confidence to buy higher-yielding assets funded by loans in
Japan.

Japan's currency dropped the most against the New Zealand
and Australian dollars, favorites of the so-called carry trade,
as U.S. stocks recovered from the worst two-day slide since 2003.
The yen has gained against all 16 of the most-traded currencies
this month on concern over subprime losses and credit risks.


Read more at Bloomberg Currencies News

Pitney Bowes posts profit, US equipment sales rise

(Reuters) - NEW YORK, July 30 - Pitney Bowes Inc. , the top U.S. supplier of postage meters and mailing machines, reported on Monday a quarterly profit and 11 percent revenue growth on demand sparked by a change in U.S. mail regulations.



The company, whose mailing meters are a fixture in corporate offices, said second-quarter net income was $152.2 million, or 68 cents a share, compared with a net loss of $356.1 million, or $1.59 per share, a year earlier.


Read more at Reuters.com Market News

Argentina stocks, bonds bounce back after slide

(Reuters) - Government bonds on the local market rose 2.0 percent on
average, with prices varying depending on the markets in which
they were traded.




"With global markets calmer and bond prices
very attractive, investors are going back to bidding on the
market again," said one trader, who added that the gains were
indicative only of a recovery, not a trend shift.


Read more at Reuters.com Bonds News

Paragon Shipping sets IPO at 10.3 mln shrs, $16-$18

(Reuters) - UBS Investment Bank, Morgan Stanley, Cantor Fitzgerald &
Co. and Dahlman Rose & Company will underwrite the IPO,




The company is seeking a Nasdaq listing under the symbol
"PRGN" .


Read more at Reuters.com Bonds News

UPDATE 2-Cedar Fair denies story about takeover talks

(Reuters) - Cedar Fair, which owns 12 amusement parks including Knott's
Berry Farm near Los Angeles and Cedar Point in Ohio, said it
was not in talks with "an organization referred to as 'Destiny
Capital.'" It also denied ever being contacted by the News
Corp. tabloid.




"We have never at any point in time been contacted by the
New York Post for a comment for this article," Cedar Fair
spokeswoman Stacy Frole said.


Read more at Reuters.com Mergers News

UPDATE 1-Insurer Principal Financial posts higher earnings

(Reuters) - Net earnings increased to $303.8 million, or $1.12 a share,
from $210.5 million, or 76 cents a share, in the year-earlier
quarter.




Operating earnings, which analysts use to measure
performance because it excludes investments, were $282.9
million, or $1.05 a share.


Read more at Reuters.com Market News

Director buys $1 million of Marriott stock

(Reuters) - Small, who was once president and chief operating officer of Fannie Mae , has served as a Marriott director since 1995, according to the company' Web site.




Small's buy represented a switch in a pattern of insider selling at the company, according to filing tracking Web site InsiderScore.com.


Read more at Reuters.com Hot Stocks News

UPDATE 3-U.S. foreclosures jump, trending higher-RealtyTrac

(Reuters) - Foreclosure filings in the first half spiked from the same
period last year to 925,986 as many overstretched borrowers
have been caught between rising interest rates and falling home
prices. The Federal Reserve has cited the faltering housing
market as the biggest risk to economic growth.




The foreclosure filings were also up more than 30 percent
from the previous six-month period, at a rate of one filing for
every 134 U.S. households, said RealtyTrac, an online
marketplace for foreclosure properties.


Read more at Reuters.com Economic News

UPDATE 1-US Treasury raises quarterly borrowing estimate

(Reuters) - "The increase in borrowing is primarily the result of
higher outlays, lower net issuance of state and local
government series securities and adjustments in quarterly cash
balances," Treasury said in an announcement of its anticipated
borrowing needs.




During the April-June second quarter, Treasury said it paid
down $139 billion, finishing on June 30 with a cash balance of
$25 billion. That was $6 billion less than Treasury estimated
in April that it would pay down -- a difference it said was
"primarily the result of slightly lower receipts."


Read more at Reuters.com Bonds News

Cotton Futures Rise on Speculation U.S. Farmers May Further Cut Acreage

(Bloomberg) -- Cotton rose to a one-week high in New
York on speculation farmers will switch acres to other crops
because of concern a World Trade Organization ruling may threaten
U.S. subsidies for growers of the fiber.

The WTO ruled last week the U.S. failed to overhaul its
subsidies to growers sufficiently to comply with trade rules, the
U.S. Trade Representative's office and Brazil said. U.S. farmers
cut cotton acreage by 28 percent this year from 2006, with many
switching to corn after it rallied to a 10-year high in February.


Read more at Bloomberg Commodities News

UPDATE 2-ValueClick Q2 profit misses Street, cuts '07 view

(Reuters) - Shares of the company fell more than 22 percent to $20.22
in afternoon trade on the Nasdaq.




In May, ValueClick said the U.S. Federal Trade Commission
was looking into a few of its Web sites that promise
consumers a free gift of substantial value, and the manner in
which it drives traffic to such Web sites.


Read more at Reuters.com Market News

GMAC profit falls 63 pct as home loans weigh

(Reuters) - The company's Residential Capital LLC unit posted a net loss of $254 million, compared with a profit of $548 million a year earlier, hurt by what GMAC called "severe illiquidity" in the market for subprime mortgages.




The loss, however, was 72 percent smaller than the first quarter's $910 million. Excluding ResCap, profit at GMAC more than doubled.


Read more at Reuters.com Hot Stocks News

Cambrex sees Q2 charge of $4.4 mln to discontinued ops

(Reuters) - Rutherford agreed to pay Cambrex about $813,000 for
reimbursement of certain tax refunds received from United
Kingdom taxing authorities, Cambrex added.





Read more at Reuters.com Government Filings News

UPDATE 3-Verizon quarterly net rises but margins disappoint

(Reuters) - NEW YORK, July 30 - Verizon Communications Inc. said on Monday its second-quarter profit rose, helped by growth in wireless and high-speed Internet subscribers.



The No. 2 U.S. phone company said net profit rose 4.5 percent to $1.68 billion, or 58 cents per share, from $1.61 billion, or 55 cents per share, a year earlier.


Read more at Reuters.com Mergers News

Jarden Corp. profit rises; shares fall on view

(Reuters) - NEW YORK, July 30 - Jarden Corp. said on Monday its second-quarter profit rose on higher sales, but gave a cautious outlook for the rest of the year citing weaker consumer spending, sending shares down nearly 7 percent.



While Jarden did not lower any of its specific outlook numbers, it was going to be "somewhat cautious" for the rest of the year and not"... overly aggressive on inventory positions and things like that," Chief Executive Martin Franklin said in a conference call.


Read more at Reuters.com Market News

Endo investor - Evaluate all options before diversification

(Reuters) - Endo's lead product Lidoderm, a pain patch, accounted for
more than 60 percent of the company's net sales in 2006.




The investor group also raised concerns about the company's
capital structure and cash position. It stated that Endo's
decision to hold cash in its balance sheet while evaluating
options was affecting the company's value.


Read more at Reuters.com Government Filings News

Caja Madrid buys Repsol tower for 815 mln euros

(Reuters) - It is one of four towers being built on the former training
grounds of Real Madrid football club which now dominate the
northern skyline of the Spanish capital.




Repsol plans to relocate to a new, campus-style headquarters
in the south of the city from several offices around Madrid.


Read more at Reuters.com Mergers News

Importers help push rand weaker

(Reuters) - South Africa's rand weakened to a new one-month low against the dollar on Monday, pushed down mostly by heightened importer demand during the morning session, traders said.

At 1520 GMT the domestic unit was trading at 7.1475 versus the dollar, down 0.5 percent from Friday's New York close of 7.1125, but well off the session's softest level of 7.1999 -- its weakest mark since June 27, according to Reuters data.


Read more at Reuters Africa

Nymex Gas Rises on Forecast for Warmer-Than-Normal Weather in Much of U.S.

(Bloomberg) -- Natural gas in New York rose on
forecasts that above-normal temperatures in the U.S. Midwest and
Northeast may stretch out into mid August, boosting demand for
electricity to power air conditioners.

The northern two-thirds of the nation, including such cities
as Chicago and New York, will have temperatures as much as 7
degrees above normal this week, according to forecaster MDA
Federal Inc.'s Earthsat Energy Weather.


Read more at Bloomberg Energy News

Humana quarterly revenue rises 19 percent

(Reuters) - Second-quarter revenue increased to $6.43 billion from $5.41 billion.




Net income rose to $216.8 million, or $1.28 per share, compared with $89.5 million, or 53 cents a share, a year earlier.


Read more at Reuters.com Business News

Yen climbs as risk aversion stays elevated

(Reuters) - The yen rallied against most currencies in volatile trade on Monday as concerns about the U.S. mortgage market sparked investors to unwind risky bets such as carry trades funded by the Japanese currency.

Fears that turmoil in the U.S. subprime sector have spilled over into the wider credit markets prompted traders to close carry trades, in which low-yielding currencies were used to buy high-yielding assets. The U.S. and New Zealand dollars slipped as a result.


Read more at Reuters Africa