Rand near 6-week peak vs ailing dollar

(Reuters) - South Africa's rand maintained its firm bias versus the dollar on Tuesday, and traders said the currency may hold current ranges as the greenback remains on the backfoot.

At 0630 GMT, the rand was still trading close to its six week high at 6.9520/dollar with some traders expecting the currency to hold its gains.


Read more at Reuters Africa

European Government Bonds Gain for Second Day as Investors Buy Safe Assets

(Bloomberg) -- European bonds advanced for a second
day as demand for fixed-income securities was stoked after a
terrorist attack on Glasgow's airport and two attempted car
bombings in London.

Gains in debt pushed 10-year yields to the lowest in more
than three weeks and two-year yields fell the most in nine days
yesterday after police found two cars packed with explosives in
London and suspected terrorists crashed a Jeep into Glasgow
airport's terminal. Coupon payments due in Germany tomorrow,
which are usually reinvested, are also buoying European bonds.


Read more at Bloomberg Bonds News

Cerberus to sell Imperial Hotel stake -Nikkei

(Reuters) - The prestigious hotel in central Tokyo is 40 percent owned by
Kokusai Kogyo Co. , an aerial surveying contractor that
Cerberus bought and is restructuring.




Imperial Hotel's shares were up by their daily limit of 500
yen, or 11.4 percent, at 4,880 yen in afternoon dealings.


Read more at Reuters.com Mergers News

Australia's Coal Ship Queue Lengthens to Record After Storm Disrptions

(Bloomberg) -- The number of ships waiting to load
coal at Newcastle, Australia, the world's largest coal-export
harbor, increased to a record, lengthening delays and raising
costs for producers and buyers.

The number of ships queuing outside the port in New South
Wales state rose to 79 yesterday from 75 a week earlier,
according to data posted on Newcastle Port Corp.'s Web site
today. Ships waited an average of more than 30 days to load coal,
compared with 0.33 days for general cargo ships, it said.


Read more at Bloomberg Commodities News

Brazilian Real, Chilean Mexican Peso: Latin American Currencies Preview

(Bloomberg) -- The following events and economic
reports may influence trading in Latin American currencies
today. Exchange rates are from the previous session.

Brazilian real: The country's trade surplus narrowed to
$3.82 billion in June, from $3.87 billion in May, the Trade
Ministry said yesterday. That compared with the $3.7 billion
median estimate in a Bloomberg survey of 12 economists.


Read more at Bloomberg Currencies News

Japan's Topix Index Falls; Nikkei 225 Advances; Sony, JFE Holdings Decline

(Bloomberg) -- Japan's Topix index fell 1.95, or 0.1
percent, to 1778.41 as of 1:03 p.m. in Tokyo. The Nikkei 225
Stock Average added 9.63, or 0.1 percent, to 18,155.93.

Sony Corp. and JFE Holdings Inc. led the declines.


Read more at Bloomberg Stocks News

UPDATE 1-Chalco to take over Baotou Aluminum, shares surge

(Reuters) - SHANGHAI, July 3 - Aluminum Corp. of China Ltd.
will take over sister firm Baotou Aluminum
in a deal worth more than $1.6 billion, joining many
big Chinese industrial groups that are restructuring to become
top global players.




Chalco , the world's fourth-biggest aluminium
producer, has expanded at a frenetic pace as Beijing consolidates
the fragmented, energy-intensive aluminium industry, aiming to be
a major aluminium producer along the lines of Alcoa --
which owns 8 percent of Chalco -- and Alcan .


Read more at Reuters.com Mergers News

Yuan Climbs Past 7.6 for First Time Since End of Link as Gains Encouraged

(Bloomberg) -- The yuan rose past 7.60 to the dollar
for the first time since the end of a link in 2005 on speculation
the central bank is using the currency's gain as one of the tools
to cool economic growth.

The currency also strengthened on speculation the central
bank will sell dollars as China sets up a fund to manage the
country's $1.2 trillion foreign-exchange reserves. The government
on June 29 approved a 1.55 trillion yuan ($204 billion) sale of
government bonds to establish the new asset-management company,
which will seek to boost returns.


Read more at Bloomberg Currencies News

Neo-China Group Hires Bank of China, Deutsche Bank for Planned Bond Sale

(Bloomberg) -- Neo-China Group (Holdings) Ltd., a
Hong Kong-based builder, hired Bank of China Ltd. and Deutsche
Bank AG to sell bonds, according to an e-mail sent to investors.

Neo-China plans to promote the sale to investors in the near
future, the e-mail shows. The sale will ``be subject to market
conditions,'' according to the e-mail.


Read more at Bloomberg Bonds News

Mexican Carso sells unit to Lamosa for $800 mln

(Reuters) - Lamosa , which has bathroom furniture and real
estate businesses, said it was mulling a capital increase to
help finance the operation.




Shares in Carso closed 0.1 percent lower at 41.77 pesos on
Monday. Lamosa stock closed up 1.5 percent at 20.45 pesos.


Read more at Reuters.com Mergers News

Chalco to take over Baotou Aluminum via share swap

(Reuters) - Chalco has expanded at a frenetic pace as Beijing
consolidates a fragmented, energy-intensive industry, trying to
become a major aluminium player along the lines of Alcan
and Alcoa -- an 8 percent shareholder -- with prices for
its main product alumina coming under pressure.




Under the merger plan, which requires approval from
shareholders and regulators, each Baotou Aluminum share can be
swapped for 1.48 Chalco shares, it said in a statement.


Read more at Reuters.com Mergers News

BHP, CEC Group, Coles, Fairfax Media, Wesfarmers: Australian Stock Preview

(Bloomberg) -- The following is a list of companies
whose shares may rise or fall in Australia. This preview includes
news announced after markets closed yesterday. Prices are from
yesterday's close unless otherwise stated. Stock symbols are in
brackets after the company names.

The S&P/ASX 200 Index futures contract due in September
gained 0.9 percent to 6349 at 9:06 a.m. in Sydney. The Bank of New
York Australia ADR Index rose 1.9 percent in New York.


Read more at Bloomberg Stocks News

Japan Stocks May Rise After U.S. Manufacturing Climbs; Mitsubishi May Gain

(Bloomberg) -- Japanese stocks may rise for a fourth
day after manufacturing in the U.S. unexpectedly climbed to a 14-
month high, boosting confidence Japan's largest export market will
weather a weak housing market.

Manufacturers such as Komatsu Ltd., the world's second-
largest maker of construction machinery, and Denso Corp., the
nation's largest auto parts maker, could lead advances.


Read more at Bloomberg Stocks News

S&P revises Mexico's Pemex outlook to 'positive'

(Reuters) - S&P said in a statement the ratings of Pemex and Mexico are
linked because of the government's ownership of the company,
the importance of Pemex to the Mexican economy, and the
government's heavy dependence on oil-related revenue.




For details on Mexico's outlook revision, see
[ID:nN02371986]


Read more at Reuters.com Bonds News

Returns to dwindle for U.S. mutual fund investors

(Reuters) - "Caution", "danger", and "unsustainable returns" were the
buzzwords at Morningstar Inc.'s annual investment
conference held last week at the research firm's headquarters
in Chicago. And these terms were applied equally to bonds and
equities, domestic and international.




"If we are to rely on history as a predictor of future
returns, we are likely to be intensely disappointed. Because
the future is simply unlikely to be anywhere near the recent or
even historical past," Ranji Nagaswami, chief investment
officer of AllianceBernstein Investments, told the conference.


Read more at Reuters.com Bonds News

Mexico's Debt Rating Outlook Raised by Standard & Poor's; Peso, Bonds Gain

(Bloomberg) -- Mexico's credit rating outlook was
raised to positive from stable by Standard & Poor's Ratings
Services, fueling a surge in the country's currency, stocks and
government bonds.

S&P, which rates Mexican foreign debt BBB, the second-
lowest investment-grade rating, said the change in outlook was
driven by the country's efforts to reduce its foreign debt and
by expectations congress will approve legislation to bolster tax
collection. S&P rates Mexico's local debt A, the sixth-highest
rating.


Read more at Bloomberg Currencies News

Mexico's Debt Rating Outlook Raised by Standard & Poor's; Bonds, Peso Gain

(Bloomberg) -- Mexico's credit rating outlook was
raised to positive from stable by Standard & Poor's, fueling a
surge in the currency and government bonds.

S&P, which rates Mexican foreign debt BBB, the second-lowest
investment-grade rating, said the change in outlook was driven by
country's efforts to reduce its foreign debt and by expectations
congress will approve legislation to bolster tax collection. S&P
rates Mexico's local debt A, the sixth-highest rating.


Read more at Bloomberg Currencies News

UPDATE 2-Medtronic stent meets goal; Abbott seeks injunction

(Reuters) - CHICAGO, July 2 - Medtronic Inc. on
Monday said its Endeavor drug-eluting stent compared favorably
to Boston Scientific Corp.'s Taxus stent in a key
study, bringing the product a step closer to market.




The data, from Medtronic's "Endeavor IV" clinical trial,
will be used to support the device maker's application to the
U.S. Food and Drug Administration to sell the Endeavor stent in
the United States.


Read more at Reuters.com Government Filings News

Fitch cuts Tyco's debt ratings on reorganization

(Reuters) - "The rating downgrades for Tyco are consistent with Fitch's
expectations for the company's financial and operating profile
upon completion of the separation transaction," Fitch said in a
statement.




The rating company cut Tyco's issuer default rating and
senior unsecured notes one notch to "BBB," the second-lowest
investment grade ranking, from "BBB-plus."


Read more at Reuters.com Bonds News

UPDATE 1-Parmalat must defend US investor class-action suit

(Reuters) - By Jonathan Stempel



NEW YORK, July 2 - A Manhattan federal judge has rejected Parmalat SpA's request to dismiss an investor class-action lawsuit stemming from the Italian dairy company's December 2003 collapse in an accounting scandal.


Read more at Reuters.com Bonds News

Manor Care Options Trading Jumped Before Carlyle $6.3 Billion Buyout Offer

(Bloomberg) -- Trading in options to buy shares of
Manor Care Inc. surged to a record June 29, the last trading day
before the operator of nursing homes and assisted-living centers
said it agreed to be acquired by Carlyle Group for $6.3 billion.

Manor Care option trading soared April 11 when the Toledo,
Ohio-based company said it hired investment bank JPMorgan Chase &
Co. to take advantage of its ``very strong financial position''
and ``enhance shareholder value.'' Since then, an average of
1,257 call-option contracts have traded each day, more than 3 1/2
times the prior year-to-date figure.


Read more at Bloomberg Stocks News

UPDATE 2-Virgin Media says receives bid approach

(Reuters) - LONDON, July 2 - British cable operator Virgin Media has received a bid approach from an unnamed group but has not engaged in negotiations, it said on Monday.



The group said it had already started a review of its strategic options, including a sale of the group, and this proposal would be considered as part of that process.


Read more at Reuters.com Mergers News

Germany's DAX Index Drops, Led by Allianz on Removal From Merrill List

(Bloomberg) -- Germany's benchmark DAX index fell for
the first time in three days, led by Allianz SE after Merrill
Lynch & Co. removed the stock from its ``most preferred'' list.

The DAX Index lost 49.08, or 0.6 percent, to 7958.24. DAX
futures expiring in September fell 0.6 percent to 8029 at 5:50
p.m. in Frankfurt. The HDAX Index of the country's 110 biggest
companies retreated 0.4 percent. The TecDAX Index of 30
technology companies jumped 2.8 percent to a five-year high at
958.58, led by a surge in Solarworld AG after the company said it
expects to double its annual production capacity.


Read more at Bloomberg Stocks News

S.African stocks close stronger, led by Anglo jump

(Reuters) - South African shares closed stronger on Monday with index heavyweight Anglo American jumping over seven percent ahead of the separate listing of its paper manufacturing unit Mondi on Tuesday.

"The broader market was in positive territory today, and there was lots of value unlocking around the Anglo stock today because of Mondi," a Johannesburg-based trader said.


Read more at Reuters Africa

Templeton's Mobius Says Stock Valuations Better Outside Central Europe

(Bloomberg) -- Mark Mobius, who oversees $30 billion
in emerging-market equities at Templeton Asset Management Ltd.,
said stock valuations are better outside central and eastern
Europe.

``Valuations have moved up to levels which make it more
interesting to look beyond central and eastern Europe,'' Mobius
said in an interview at an investor conference in Warsaw today.
``I prefer South Africa, Turkey, Brazil and China H shares. It's
cheaper and growth is good there.''


Read more at Bloomberg Stocks News

Northern Trust to oversee $29.3 bln for Tennessee

(Reuters) - Northern Trust has $3.8 trillion in assets under custody
and $756 billion in assets under management and competes
against companies like State Street Corp. and Bank of
New York Mellon Corp. for business from pension funds
and other investors.




Read more at Reuters.com Bonds News

Treasuries Advance as Concern on Housing Spurs Investors' Flight to Safety

(Bloomberg) -- Treasuries rose on speculation
weakness in the subprime mortgage market may curb U.S. economic
growth and on concern over potential terror threats before the
Fourth of July holiday.

``It's a combination of the fear the housing sector will
continue to be a drag on the economy and a flight to quality
from global tensions,'' Gary Pollack, who helps oversee $12
billion as head of fixed-income trading in New York at Deutsche
Bank AG's Private Wealth Management unit.


Read more at Bloomberg Bonds News

Virgin Media receives bid approach

(Reuters) - Virgin Media said the proposal, which carries a number of conditions, also stated that it would be withdrawn if its terms were publicly disclosed.




"The proposal is based on public information and is subject to various conditions, including a due diligence examination and a period of exclusivity," the company said in a statement.


Read more at Reuters.com Business News

Crude Oil Futures Decline as Refinery Shutdown in Kansas May Reduce Demand

(Bloomberg) -- Crude oil fell from a 10-month high in
New York as a refinery shutdown in Kansas cut demand.

Coffeyville Resources LLC shut its refinery in Coffeyville,
Kansas, yesterday because of flooding on the Verdigris River,
according to as statement on its Web site. The 108,000-barrel-a-
day refinery can produce about 2.1 million daily gallons of
gasoline.


Read more at Bloomberg Energy News

Biogen says completes $3 billion share buyback

(Reuters) - The company said it will borrow $1.5 billion through a loan
agreement with Merrill Lynch Capital Corp. as administrative
agent and Goldman Sachs Credit Partners LP as syndication agent
to partially finance the share repurchase.




Read more at Reuters.com Bonds News

NetSuite files for $75 mln IPO

(Reuters) - The filing did not reveal how many shares the vendor of
on-demand, integrated business management application suites
planned to sell or the expected price.





Read more at Reuters.com Government Filings News

U.S. Stocks Advance After Strategist Boosts S&P 500 Forecast; Costco Rises

(Bloomberg) -- U.S. stocks rose after a Bank of
America Corp. strategist raised his forecast for the Standard &
Poor's 500 Index and investors speculated factory orders held
near a 13-month high.

Costco Wholesale Corp., the largest U.S. warehouse club,
climbed after Goldman, Sachs & Co. recommended buying the
stock. Archer Daniels Midland Co., the biggest grain processor,
gained after Bank of America upgraded the stock to ``buy.''


Read more at Bloomberg Stocks News

Huntsman unit to buy Indian textile dyes unit

(Reuters) - Huntsman, which is being acquired by Basell [BASL.UL], said
the deal is expected to close in January 2008.





Read more at Reuters.com Mergers News

UPDATE 1-Medicines Co. reacquires rights on anticoagulant

(Reuters) - July 2 - Biotechnology company Medicines Co. said it reacquired all development, commercial and distribution rights in Europe for Angiox, its anticoagulant used in angioplasty, from Nycomed.



Under the terms, Medicines will pay Nycomed $20 million now and another $20 million in 2008. Medicines would also pay $5 million when European health regulators approve an expanded Angiox product label to include findings of a trial. Medicines would recognize additional revenue from the sales of Angiox starting July 1 and would begin to incur operating expenses, including reimbursement of commercial services provided by Nycomed during a transition period.


Read more at Reuters.com Mergers News

Tyco dispute shows holes in debt covenants-Moody's

(Reuters) - Tyco is being taken to court by the trustee of its bonds, The Bank of New York, and a group of bondholders who argue that the company did not get the required approval from bondholders to separate into three different entities.



"Tyco failed to obtain requisite bondholder consents for the proposed break-up of the company and instead attempted, unsuccessfully, to coerce the bondholders to accept less than the full amount of money owed to them," a bondholder group said in a letter to Tyco's board of directors last month. For details, see [nN14574946]


Read more at Reuters.com Bonds News

FTSE dips as investors await BoE rate verdict

(Reuters) - Britain's leading shares edged down 0.3 percent on Monday with investors jittery ahead of Thursday's interest rate verdict from the Bank of England (BoE) but little affected by weekend terror incidents.

At 1057 GMT the FTSE 100 was 16.6 points lower at 6,591.3.


Read more at Reuters Africa

GE raises holding in Thailand's BAY to 31 pct

(Reuters) - The deal, which included warrant exercises, was approved by
the Bank of Thailand and the Finanace Ministry, the statement
said.




GE Money Bank operates retail financial services with more
than 3 million customers in Thailand and will have to give up
its retail banking licence.


Read more at Reuters.com Mergers News

Abraxis to split into two companies

(Reuters) - As part of the move, Abraxis said it has received
commitments for a funded $1.3 billion term loan and an unfunded
$150 million revolving credit facility.




Read more at Reuters.com Mergers News

Blockbuster chain to name Keyes as CEO: report

(Reuters) - Antioco said in March he would leave by year-end.




No-one at Blockbuster could immediately be reached for comment.


Read more at Reuters.com Business News

Intercell wins $363 mln Novartis deal, shares jump

(Reuters) - The Novartis investment is the latest example of big pharma's growing interest in vaccines, a business previously thought of as low-growth and low-margin but which is being transformed by recent hi-tech innovations.




Switzerland's Novartis, Europe's third-largest drugmaker by sales, will buy 4.8 million new Intercell shares from a capital increase for 150 million euros, or 31.25 euros each. Its stake in Intercell will rise to 16 percent from 6 percent.


Read more at Reuters.com Hot Stocks News

Persian Gulf Oil Tanker Rates Snap Nine-Day Slump on Limited Ship Supplies

(Bloomberg) -- The cost of transporting Middle East
crude to Asia on supertankers snapped a nine-day slide as the
number of spare vessels dwindled.

The number of vessels available for hire next month has
shrunk about 8 percent since June 29 because of a series of
bookings that day, according to a report e-mailed today by Paris-
based shipbrokers Barry Rogliano Salles. There are 99 tankers
free today, compared with 108 on June 29.


Read more at Bloomberg Energy News

Turkish Economic Growth Accelerated More Than Forecast in First Quarter

(Bloomberg) -- Turkey's economic growth accelerated in
the first three months as record exports to the European Union and
increased government spending drove the 21st consecutive quarter
of expansion.

Gross domestic product in the EU candidate expanded an annual
6.8 percent, compared with 5.2 percent in the previous three
months, the state statistics office in Ankara said today. The
economy had been expected to grow by 5.8 percent, according to the
median estimate of 10 economists surveyed by Bloomberg.


Read more at Bloomberg Emerging Markets News

Yen Advances Against Euro, Dollar as Investors Reduce Carry Trades

(Bloomberg) -- The yen rebounded from a record low
against the euro as investors pared asset purchases funded by
loans in the Japanese currency.

Japan's yen advanced against 13 of the 16 most-actively
traded currencies tracked by Bloomberg as investors unwound the
so-called carry trade. The yen also gained against the dollar as
the Bank of Japan's Tankan report showed confidence among
manufacturers held near a two-year high, adding to expectations
the central bank will raise interest rates this year.


Read more at Bloomberg Currencies News

Emirates Bank, National Bank Agree to Create Persian Gulf's Largest Lender

(Bloomberg) -- Emirates Bank International PJSC, the
United Arab Emirates' second-biggest lender by market value, and
National Bank of Dubai have agreed to merge, creating the Persian
Gulf's largest bank.

The two banks suspended their shares from trading on the Dubai
Financial Market today and will not resume until details of the
deal are disclosed within 15 days, the chairmen of the two
companies said in a joint filing to the Dubai bourse.


Read more at Bloomberg Emerging Markets News

Brazil, Peru and Argentina: Latin American Local-Currency Bond Preview

(Bloomberg) -- The following events and economic
reports may influence trading in Latin American local bonds
today. Bond yields are from the previous session.

Argentina: The government's tax revenue probably fell to
18.0 billion pesos ($5.8 billion) in June from 18.9 billion
pesos in May, according to the median forecast in a Bloomberg
survey of three economists.


Read more at Bloomberg Bonds News

Rand steady, looks to international markets

(Reuters) - South Africa's rand was steady versus the dollar on Monday, and traders said the currency would look to international developments in the absence of local market-moving news.

The rand was trading at 7.04 to the dollar at 0645 GMT, unchanged from its New York close on Friday.


Read more at Reuters Africa

Dow Chemical paid 540 mln eur for Bayer unit

(Reuters) - "Following regulatory clearance from various authorities
around the world, payment and share transfers have occurred, and
Dow has taken full ownership of the Wolff Walsrode group of
companies on June 30, 2007," it added.




Bayer announced the divestment in December but gave no sales
price at the time.


Read more at Reuters.com Mergers News