Foodcorp to tap bond for First Lifestyle buy - lead

(Reuters) - South African food producer Foodcorp plans to increase its 8.875 percent euro bond due 2012 by around 142 million euros, sole lead manager Citigroup said.

Meetings with investors will be held on Tuesday and Wednesday, the bank said.


Read more at Reuters Africa

UniCredit to Buy Capitalia for $29.5 Billion, Creating Biggest Euro Bank

(Bloomberg) -- UniCredit SpA agreed to buy Capitalia
SpA for 21.8 billion euros ($29.5 billion), creating the biggest
bank by market value in the 13 nations using the euro.

UniCredit, Italy's largest bank, said yesterday it will swap
1.12 shares for each share of Capitalia. The deal values shares
of Rome-based Capitalia, the No. 3 Italian bank, at 8.41 euros
each, or about 5.5 percent more than the last price on May 18.


Read more at Bloomberg Bonds News

European Stocks May Rise on Takeovers, Led by Capitalia, Financial Shares

(Bloomberg) -- European stocks may climb for a third
day after Italy's UniCredit SpA agreed to buy Capitalia SpA for
21.8 billion euros ($29.5 billion), sparking speculation of more
takeovers in the financial services industry.

Banca Popolare dell'Emilia Romagna Scrl might rise after
Banca Popolare di Milano Scrl, a 142-year-old cooperative lender,
agreed to buy the smaller rival. Friends Provident Plc may
advance after the Observer reported Axa SA may consider a bid for
the U.K. insurer. BHP Billiton Ltd. and Rio Tinto Group may
advance on higher metal prices.


Read more at Bloomberg Stocks News

India's Sun Pharma Agrees to Buy Taro to Increase U.S. Generic Drug Sales

(Bloomberg) -- Sun Pharmaceutical Industries Ltd.,
India's biggest drugmaker, agreed to buy Taro Pharmaceutical
Industries Ltd., an unprofitable producer of generic medicines,
giving it factories and distribution assets in the U.S.

Sun offered $230 million in cash and an extra $224 million
to refinance Taro's debt, the Mumbai-based company said in a
statement today. Taro said March 20 it will report a
``substantial loss'' in 2006, which would put the Haifa, Israel-
based company in breach of conditions on bank loans.


Read more at Bloomberg Emerging Markets News

Malaysia's Ringgit to Rally as Yuan Band Widens, Merrill, UBS, Scotia Say

(Bloomberg) -- Malaysia's ringgit will rally from
the strongest since February 1998 as Asian currencies rise on
China's move to widen the yuan trading band, according to
Merrill Lynch & Co, Scotia Capital Inc. and UBS AG.

The local currency will extend a nine-week winning streak,
buoyed by signals that China is prepared to accept faster yuan
appreciation before an economic dialogue between Vice Premier Wu
Yi and U.S. Treasury Secretary Henry Paulson starting tomorrow
in Washington. U.S. lawmakers such as Charles Schumer argue that
the yuan is undervalued and gives China's exports an unfair
advantage.


Read more at Bloomberg Currencies News

Commerzbank, DaimlerChrysler, Deutsche Bank, Siemens: German Preview

(Bloomberg) -- The following stocks may rise or fall
in German markets today. Stock symbols are in parentheses after
the company names and prices are from the Xetra close on May 18
unless otherwise stated.

The DAX Index added 108.04, or 1.4 percent to 7607.54. DAX
Futures expiring in June gained 1.5 percent to 7630. The HDAX
Index of the country's 110 biggest companies rose 1.4 percent.


Read more at Bloomberg Stocks News

U.S. housing to weigh more than expected on growth-forecast

(Reuters) - Real gross domestic product, the government's broadest
measure of economic output, is expected to advance 2.3 percent
in 2007. That is down from an earlier estimate in February for
2.8 percent growth, a survey conducted by the National
Association for Business Economics found.




The lower forecast came after the government reported
anemic 1.3 percent GDP growth during the first three months of
this year.


Read more at Reuters.com Bonds News

Oil Rises on Concern U.S. Gasoline Stockpiles Insufficient to Meet Demand

(Bloomberg) -- Crude oil rose in New York on concern
U.S. gasoline stockpiles are insufficient to meet demand when
the peak summer driving season begins.

Crude oil for June delivery gained 31 cents, or 0.5 percent,
to $65.25 a barrel in after-hours electronic trading on the New
York Mercantile Exchange at 11:25 a.m. in Singapore.


Read more at Bloomberg Energy News

Gold Advances in Asia as Weaker Dollar Boosts Demand; Silver Price Gains

(Bloomberg) -- Gold rose in Asia as a decline in the
value of the dollar boosted the appeal of the precious metal as
a hedge against the U.S. currency. Silver also advanced.

The dollar fell against the yuan after China allowed its
currency to strengthen at a faster pace, and raised interest
rates. The U.S. currency, which generally moves in the opposite
direction to the precious metal, also declined against the euro.


Read more at Bloomberg Commodities News

Baoshan Says Second-Quarter Steel Profit Margin Rises on Non-Nickel Output

(Bloomberg) -- Baoshan Iron & Steel Co., China's
biggest steelmaker, said it has improved stainless steel
profitability this quarter by producing more nickel-free products
as raw-material prices surged to a record.

``We have significant improvement in profit margins for
stainless steel this quarter as we just started to make more
nickel-free products while keeping existing production of normal
grades,'' said Wang Chengxue, assistant to the president of
Baoshan's stainless steel unit, in an interview in Kyoto.


Read more at Bloomberg Emerging Markets News

Bank of America and Westpac Disagree on Australian Dollar Against Yen

(Bloomberg) -- Bank of America Corp. advised clients
to buy the Australian dollar, predicting it will rise to an
almost 16-year high versus the yen in coming months. Westpac
Banking Corp. will happily sell it to them.

The second-biggest U.S. bank is betting investors will
continue to put on so-called carry trades, borrowing at Japan's
0.5 percent interest rate to buy higher-yielding assets in
Australia, where rates are at a six-year high of 6.25 percent.
The strategy has pushed up the Australian dollar 18 percent
against the yen in the past 12 months to a 15-year high last week.


Read more at Bloomberg Currencies News

Japanese Shares Climb, Paced by Sharp, Exporters on U.S. Confidence, Yen

(Bloomberg) -- Japanese shares advanced after U.S.
consumer confidence unexpectedly rose this month and the yen
weakened against the dollar and euro.

Sharp Corp. advanced 1.3 percent, leading gains by
exporters. Resona Holdings Inc. which reported higher-than
estimated earnings for the last business year rose 2.3 percent.


Read more at Bloomberg Stocks News

Japan's Government Bonds Decline on Speculation Export Demand to Increase

(Bloomberg) -- Japan's government bonds may fall for a
second day after a U.S. report showing an unexpected gain in
consumer confidence tempered speculation exports will decline.

Bonds advanced last week after a Cabinet Office report showed
Japan's economic growth slowed as companies cut spending on
concerns U.S. demand will weaken. Debt in Japan may drop today
after U.S. Treasuries had the biggest weekly slump since January.


Read more at Bloomberg Bonds News

Japanese Stocks Climb, Paced by Sharp, Exporters on U.S. Confidence, Yen

(Bloomberg) -- Japanese shares advanced after U.S.
consumer confidence unexpectedly rose this month and the yen
weakened against the dollar and euro.

Sharp Corp. advanced 1.6 percent, leading gains by
exporters. Resona Holdings Inc. which reported higher-than
estimated earnings for the last business year rose 1.1 percent.


Read more at Bloomberg Stocks News

China Stocks May Fall After Central Bank Raises Interest Rates, Reserves

(Bloomberg) -- Chinese stocks, the world's best
performers this year, may decline after the country's central
bank raised interest rates to cool an investment boom in the
world's fastest-growing major economy.

The CSI 300 Index, which tracks yuan-denominated A shares
listed on the country's two exchanges, has climbed 88 percent in
dollar terms this year, leaving it valued at 35 times estimated
earnings. It's the most expensive of the world's 10 largest
stock markets, according to data compiled by Bloomberg.


Read more at Bloomberg Stocks News

Asia Energy Day Ahead: Oil May Rise This Week; California Stops LNG Plan

(Bloomberg) -- Crude oil may rise this week as U.S.
refineries increase gasoline production in the runup to the
peak-demand summer season, which begins with the Memorial Day
weekend, May 26 to 28. California Governor Arnold Schwarzenegger
rejected BHP Billiton Ltd.'s natural gas-import facility
proposed for the coast of Southern California, saying it would
harm the environment.

MOST READ MARKETS STORIES


Read more at Bloomberg Energy News

Australian Dollar Advances to 82.48 U.S. Cents in Early Sydney Trading

(Bloomberg) -- The Australian dollar was at 82.48
U.S. cents at 7:15 a.m. in Sydney compared with 82.32 cents late
in New York May 18.

To contact the reporter on this story:
David McIntyre in Sydney at
dmcintyre2@bloomberg.net


Read more at Bloomberg Currencies News

Allstate, DreamWorks, Sigma Designs, ValueClick: U.S. Equity Preview

(Bloomberg) -- The following is a list of companies
whose shares may have unusual price changes in U.S. exchanges
tomorrow. This preview includes news that broke after exchanges
closed. Stock symbols are in parentheses after company names.

Allstate Corp. (ALL US): The second-largest U.S. home and
auto insurer said a federal grand jury in Mississippi subpoenaed
the company as part of a probe into the industry's handling of
Hurricane Katrina claims. The stock rose 26 cents to $62.75 in
regular trading.


Read more at Bloomberg Stocks News

UPDATE 1-Iran inflation set to rise to 17%-bank official

(Reuters) - Ahmad Mojtahed, an adviser to Central Bank Governor Ebrahim
Sheibani, said the economy was expected to expand by 5.2 percent
in the first half of the Iranian year starting on March 21,
apparently referring to an annualised rate.




But Mojtahed, who heads a central bank monetary research
unit, warned that measures to bring down inflation could affect
growth and increase unemployment.


Read more at Reuters.com Economic News

RPT-Wall St Week Ahead: Stocks may fly on M&A; oil clouds view

(Reuters) - NEW YORK, May 20 - If bulls have their way, U.S.
stocks will extend their streak of gains this week with another
wave of takeovers expected and worries about a housing fallout
diminishing.




But rocketing crude oil prices along with disappointing
outlooks from major retailers, could spoil the party.


Read more at Reuters.com Bonds News

S.African province plans new dam, farm projects

(Reuters) - South Africa's Eastern Cape province launched a public-private investment initiative on Sunday that aims for 60 billion rands worth of projects including a new dam for hydroelectric power and an agricultural irrigation scheme.

"Centred on the former Transkei and South Africa's largest undammed river, the Umzimvubu, the economic development initiative is aimed at generating investment into the region of 60 billion rand in the next 10 years," a statement said.


Read more at Reuters Africa

Most people in transition nations not living better

(Reuters) - The Life in Transition survey, unveiled at the European Bank for Reconstruction and Development's annual meeting, asked 29,000 people across 29 countries questions about their lives.




The results were mixed.


Read more at Reuters.com Business News