Wal-Mart Plans to More Than Double Stores in China Over Next Five Years

(Bloomberg) -- Wal-Mart Stores Inc., the world's
biggest retailer, plans to more than double its stores in China
in the next five years to tap the country's 1.3 billion people.

The expansion will help the Bentonville, Arkansas-based
company broaden its reach beyond its 84 stores across 46 Chinese
cities. Wal-Mart expects to have a 20 percent share of the
country's retail market with the expansion, said Terrence Cullen,
Wal-Mart's vice president of China operations.


Read more at Bloomberg Emerging Markets News

Japan's Bonds Little Changed on Speculation U.S. Economic Growth to Slow

(Bloomberg) -- Japanese bonds were little changed
amid speculation signs of slowing economic growth in the U.S.
will increase demand for the fixed payments on government debt.

Bank of Japan policy makers said in the minutes of their
June meeting that it's necessary to closely monitor risks from
the property slump in the U.S., the biggest market for Japanese
exports. U.S. Treasuries rallied yesterday after Federal Reserve
Chairman Ben S. Bernanke predicted inflation will recede and
said housing market weakness may slow the economy.


Read more at Bloomberg Bonds News

Standard Chartered eyes S.Africa's Nedbank - report

(Reuters) - Emerging markets specialist Standard Chartered is in takeover talks with South Africa's fourth-biggest bank, Nedbank Group, financial daily Business Day reported on Thursday.

The newspaper, citing unnamed sources, said Asia-focused Standard Chartered had been in discussions with Nedbank for some time.


Read more at Reuters Africa

UPDATE 1-LG Elec swings to Q2 profit on LCD venture, phones

(Reuters) - LG, the world's No. 5 handset maker, is likely to enjoy a
stronger second half as a recovery at its liquid crystal display
joint venture, LG.Philips LCD Co. Ltd. , is set
to continue.




But analysts warned margins in mobile phones could fall on
growing low-cost phone sales, and said a recovery from its
loss-making plasma screen business would be limited.


Read more at Reuters.com Market News

Tokyo Electric Shares Slide; Nuclear Plant May Be Shut a Year After Quake

(Bloomberg) -- Shares of Tokyo Electric Power Co.
dropped the most in seven years on concern the company's nuclear
facility in central Japan, the world's biggest, may be shut for
a year after an earthquake caused radioactive leaks.

The stock slumped as much as 7.5 percent, the largest
intraday decline since Feb. 18, 2000, after the Nikkei said the
shutdown will be prolonged by checks to ensure the plant will
resist future earthquakes. The shares had the second-biggest
decline on the Morgan Stanley Capital International World Index.


Read more at Bloomberg Energy News

BMW, Combots, E.ON, ProSieben, HeidelbergCement, SAP, SAG: German Preview

(Bloomberg) -- The following stocks may rise or fall
in German markets.

Germany's X-DAX Index rose 0.3 percent to 7921.70. The index
provides an estimate of the DAX Index, based on trading in DAX
futures after the Xetra electronic market closes. The DAX
decreased 1.8 percent to 7893.61 on the Xetra electronic-trading
system.


Read more at Bloomberg Stocks News

Dollar Trades Near Record Low Against Euro on Signs Economy is Weakening

(Bloomberg) -- The dollar traded near a record low
against the euro and a 26-year low versus the British pound on
speculation signs of weakening economic growth will reduce
demand for U.S. assets.

The currency may drop for a third day before reports today
that will probably show the economic outlook is worsening and
manufacturing is slowing. The yen may gain on speculation faster
inflation in China and surging oil prices will prompt investors
to pare so-called carry trades, which involve borrowing in Japan
to buy higher-yielding assets.


Read more at Bloomberg Currencies News

Chidambaram Says India to Keep `Tight' Monetary Policy to Curb Inflation

(Bloomberg) -- India will maintain a ``fairly
tight'' monetary policy to curb inflation that may be stoked by
rising crude oil prices and consumer demand, Finance Minister
Palaniappan Chidambaram said.

``We have to do our best to keep inflation down in a world
where fuel prices are flaring up, commodity prices are
increasing and demand remains high in China and India,''
Chidambaram, 61, said in an interview yesterday in New Delhi.


Read more at Bloomberg Emerging Markets News

Japan's Nikkei 225, Topix Advance; Steelmakers, Shipping Lines Lead Gains

(Bloomberg) -- Japanese stocks advanced, led by
steelmakers and shipping lines, on speculation global economic
expansion will fuel demand for their goods and services.

JFE Holdings Inc., Japan's second-biggest steelmaker,
jumped by the most since May after UBS AG. said decelerating
steel output will support product prices. A measure tracking
shippers, climbed 3 percent, the best performer among the 33
industry groups in the Topix.


Read more at Bloomberg Stocks News

China May Revalue Yuan by 3.5 Percent, Societe Generale's Maguire Says

(Bloomberg) -- China may strengthen the yuan by as
much as 3.5 percent in a single day to cool the economy and
appease U.S. lawmakers, said Glenn Maguire, chief Asia economist
at Societe Generale SA.

The world's fastest-growing major economy last revalued the
currency two years ago by 2.1 percent, abolishing a decade-old
fixed exchange rate, and has since allowed it to gain a further
7.2 percent. A report today may show gross domestic product rose
11 percent in the second quarter, pushing up inflation to a more
than two-year high.


Read more at Bloomberg Currencies News

Japanese Exporter Stocks May Fall After Bernanke's Comment; Sony May Drop

(Bloomberg) -- Japanese exporter shares may decline
after Federal Reserve Chairman Ben S. Bernanke said the slump in
residential construction will continue to ``weigh'' on the growth
in the world's biggest economy. Sony Corp. may fall.

Utility and automaker shares may decline for a third day
after the Nikkei newspaper said Toyota Motor Corp. will send 300
workers to Riken Corp., an engine part maker, to help the company
restart factories damaged by the earthquake.


Read more at Bloomberg Stocks News

UPDATE 1-Danaos to acquire five containerships

(Reuters) - The Greek shipping line said the acquisition would
immediately add to earnings and cash flow upon vessel delivery,
expected in the second half of 2007.




Danaos said the block addition would contribute about $20
million to EBITDA for the first full year of operation.


Read more at Reuters.com Mergers News

Mexico's Bolsa Index Declines on Earnigns Concerns; Brazil's Gol Tumbles

(Bloomberg) -- Mexican stocks fell for a third day on
concern second-quarter earnings will miss expectations.

The benchmark Bolsa index retreated 92.40, or 0.3 percent, to
31,886.74, as such companies as America Movil, Latin America's
biggest mobile-phone company, prepared to announce this month.
Brazil's Bovespa index fell 0.2 percent, led by airline stocks.


Read more at Bloomberg Stocks News

MGI Pharma posts profit after year-ago loss

(Reuters) - Excluding items, such as restructuring costs, stock based
compensation and license and milestone payments, MGI had
adjusted income of 13 cents per share.




Read more at Reuters.com Market News

FACTBOX: Private equity manager political contributions

(Reuters) - DEMOCRATIC DONORS




$100,000 or more


Read more at Reuters.com Bonds News

UPDATE 1-CIT eyes change-of-control provisions to debt

(Reuters) - CIT is leaning toward putting these provisions in new bonds
that it issues on a case-by-case basis, should the market
demand them, Chief Executive Jeff Peek told Reuters in an
interview.




Companies in the finance sector have traditionally been
seen as immune from leveraged buyouts. But SLM Corp.,
the student loan company also known as Sallie Mae, agreed in
April to be acquired by two banks and two private equity
investors.


Read more at Reuters.com Market News

BMW denies report Mini fighting to stay profitable

(Reuters) - Manager magazin wrote in an advance copy of its Friday edition that some people at BMW are in favor of producing a Mini sport utility vehicle due in 2010 on a joint platform with the A-Class made by BMW's archrival, Mercedes-Benz.




It said the reason for the unofficial talks with Mercedes over joint Mini/A-Class production was the current difficulty BMW had to pull Mini back into the black, and that the brand would be close to posting a loss even if Mini's Oxford plant in central England were to produce at full capacity.


Read more at Reuters.com Business News

Fitch boosts default assumptions on subprime ARMs

(Reuters) - "Based on deal characteristics we will be increasing our
post-reset default rates by as much as 150 percent depending on
collateral characteristics," Glenn Costello, co-head of Fitch's
residential mortgage group, said on a conference call.




So-called 2/28 loans that have fixed rates for two years
and are adjustable thereafter make up the bulk of the subprime
mortgage market. Interest rates on many subprime loans can
surge by 6 percentage points or more on the reset date,
creating a "payment shock" that many analysts expect to worsen
already high delinquency rates.


Read more at Reuters.com Bonds News

Yahoo! Takeover Is Now More Probable, According to Stanford Group Analyst

(Bloomberg) -- The chance Yahoo! Inc. will put
itself up for sale has increased after the most-visited U.S. Web
site lowered its revenue forecast, according to Stanford Group.

Yahoo is facing tougher competition as Google Inc. extended
its lead in Internet search queries and new rivals took sales in
display advertising, the company said when it reported second-
quarter results after U.S. markets closed yesterday. The company
forecast revenue for the rest of the year that trailed most
analysts' estimates.


Read more at Bloomberg Stocks News

Cocoa Falls on Speculation Tight Supplies Aren't Enough to Extend Rally

(Bloomberg) -- Cocoa in New York fell on speculation
that investors don't expect forecasts of tight supplies to
further boost futures, which had risen 28 percent this year.

The global demand for the beans used to make chocolate may
exceed supply by as much as 125,000 metric tons, according to the
International Cocoa Organization in London. Dry weather has hurt
crops in Ivory Coast and Ghana, the two largest producers, and
Indonesia. Futures rose 9.5 percent in June and reached a four-
year high last week.


Read more at Bloomberg Commodities News

SanFran Fed sees core inflation holding below 2 pct

(Reuters) - "We anticipate that core inflation will fall and remain
below 2 percent this year and next," economist Glenn Rudebusch
said in the bank's latest "FedViews."




The outlook is a shift from June's forecast, which showed 2
percent as a floor to the core personal consumption
expenditures price index through the end of 2008.


Read more at Reuters.com Bonds News

Bernanke: Housing drag to ease, inflation a worry

(Reuters) - "Overall, the U.S. economy appears likely to expand at a moderate pace over the second half of 2007, with growth then strengthening a bit in 2008 to a rate close to the economy's underlying trend," he said in semiannual testimony prepared for delivery to the House of Representatives Financial Services Committee.




But Bernanke warned that a slowdown in the U.S. housing market may last longer than anticipated, and said that further hikes in energy and commodity prices could spark inflation and push closely watched core inflation up.


Read more at Reuters.com Business News

UPDATE 1-Northern Trust earnings jump 23 percent

(Reuters) - BOSTON, July 18 - Financial services company Northern Trust Corp. said on Wednesday that quarterly profit rose a stronger-than-expected 23 percent as revenues reached a record amid stronger markets around the world.



Chicago-based Northern Trust, which offers private banking, investment management and global custody services, said second-quarter net income rose to $206.9 million, or 92 cents a share, from $167.9 million, or 76 cents a share, a year earlier.


Read more at Reuters.com Market News

Treasuries Little Changed Before Bernanke's Testimony on Monetary Policy

(Bloomberg) -- Treasuries were little changed as
government inflation data suggested Federal Reserve Chairman Ben
S. Bernanke will reinforce expectations for steady monetary
policy in testimony before Congress.

Benchmark 10-year note yields are at the low end of their
range over the past six weeks after losses in securities backed
by subprime mortgages fueled demand for the safety of U.S.
government debt. The inflation rate for items excluding food and
energy held steady at 2.2 percent in June, matching the lowest
in more than a year.


Read more at Bloomberg Bonds News

No need for replacement covenants in hybrids-Fitch

(Reuters) - Hybrid bonds have become a popular tool for financing
mergers and acquisitions as they are counted by ratings agencies
partly as equity, allowing credit ratings to be maintained while
boosting the issuer's balance sheet.




Corporate hybrid bonds carry very long or perpetual
maturities -- making them similar to equity -- but are usually
callable by the issuer after a period of seven to 10 years.


Read more at Reuters.com Bonds News

Nigeria to auction $1.26 bln in bonds in Q3

(Reuters) - Nigeria is to raise 161 billion naira from the auction of bonds in the third quarter to fund the budget deficit and deepen the capital market, the Debt Management Office (DMO) said on Wednesday.

Africa's top oil producer sold 270 billion naira worth of long-term bonds in the six months of this year, made up of 110 billion naira in the first quarter and 160 billion in the second.


Read more at Reuters Africa

UPDATE 1-Piper Jaffray second-quarter earnings rise

(Reuters) - Second-quarter profit rose to $9.3 million, or 52 cents a
share, from $4.1 million, or 21 cents a share, a year earlier.




Income from continuing operations for the quarter ended
June 30 rose to 58 cents a share.


Read more at Reuters.com Bonds News

Canadian Pacific Rail, Husky, JumpTV, Neurochem: Canadian Equity Preview

(Bloomberg) -- The following is a list of companies
whose shares may have unusual price changes in Canadian markets.
This preview includes news that broke after markets closed. Symbols
are in parentheses after company names and prices are from the last
close.

The Standard & Poor's/TSX Composite Index rose 43.76, or 0.3
percent, to 14,382.01.


Read more at Bloomberg Stocks News

UPDATE 1-A.O. Smith 2nd-quarter profit climbs

(Reuters) - The company reported a second-quarter net profit of $27
million, or 87 cents a share, compared with $25.1 million, or
81 cents a share, last year.




However, the company noted that a lower tax rate in the
second quarter of 2007 contributed about 6 cents a share to
year over year earnings growth.


Read more at Reuters.com Market News

Continental bid for VDO nears 11 bln eur - source

(Reuters) - Continental declined comment.



Private equity firm The Blackstone Group with its U.S. car parts unit TRW Automotive Holdings Corp are also set to bid for VDO, people familiar with the matter have said.


Read more at Reuters.com Mergers News

KKR May Increase Interest on Alliance Boots LBO Debt, Default Swaps Show

(Bloomberg) -- Kohlberg Kravis Roberts & Co. may be
forced to offer higher interest to investors on 9 billion pounds
($18.5 billion) of loans to finance the buyout of U.K. pharmacist
Alliance Boots Plc, according to traders of credit-default swaps.

Investors are shunning high-yield debt as losses in U.S.
subprime mortgages roil corporate bonds and loans. The tougher
conditions forced KKR to cancel this week a 1 billion-euro ($1.4
billion) financing for Dutch retailer Maxeda NV. The New York-
based buyout firm delayed a $3 billion sale of debt last month to
acquire catering company U.S. Foodservice in Columbia, Maryland.


Read more at Bloomberg Bonds News

Botswana inflation steady at 6.4 percent in June

(Reuters) - Botswana's annual inflation rate was unchanged at 6.4 percent in June, the Central Statistics Office said on Wednesday, having dropped from a high of 7.2 percent in February.

The diamond-rich Southern African country aims for 4-7 percent inflation but will lower its goal to 3-6 percent in 2008.


Read more at Reuters Africa

Gold Rises in London to Five-Week High on Dollar's Drop; Silver Advances

(Bloomberg) -- Gold climbed to a five-week high in
London as investors sought an alternative investment to dollar-
denominated assets after the currency weakened. Silver rose.

Bullion has climbed 5.1 percent this year while the dollar
has fallen 4.4 percent against the euro. The dollar extended
losses today after New York-based investment bank Bear Stearns
Cos. yesterday told investors in two failed hedge funds that
they will get little if any money back.


Read more at Bloomberg Commodities News

U.K., Irish Stocks Decline, Led by Man Group, Tate & Lyle; Sainsbury Gains

(Bloomberg) -- U.K. stocks fell, led by Man Group
Plc, the world's largest publicly traded hedge fund manager, and
Tate & Lyle Plc, the maker of the sweetener Splenda.

The benchmark FTSE 100 Index retreated 42.9, or 0.6 percent,
to 6616.2 as of 8:07 a.m. in London. Ireland's ISEQ Index
decreased 0.6 percent to 9100.17.


Read more at Bloomberg Stocks News