China in the nearest future will remain committed to a proactive financial and moderately loose monetary policy, strengthen its targeted focus and flexibility based on the new situation and new developments. About it, says a September 17 People's Bank of China / Central / report.
The report, entitled "Financial stabilization of China in 2010," notes that in 2009 thanks to this policy and a package of measures to stimulate the economy China has a relatively short time to reverse the significant economic downturn and to ensure the growth of the economy. In the future tense should continue to pursue a moderately loose monetary policy, to build a balance between maintaining a relatively fast and sustainable economic development, economic restructuring and management of inflation.
The banking sector, the report said, should continue to implement macroeconomic policies to provide greater support to the economic restructuring and transformation of models of economic development, prevent and mitigate hidden risks, optimize the structure of earnings to further increase capacity, market competitiveness and ability to resist risks.
9/18/10
6 other U.S. banks went bankrupt. What will happen with the dollar?
As reported by Market Leader (USA), 6 more American banks declared bankrupt by the U.S. authorities. This three banks in Georgia and one each in New Jersey, Ohio and Wisconsin. Thereby add to the list for 125 U.S. banks went bankrupt due to the inability to return to the commitments they have loans. About this on his website announced on Friday 17 September the Federal Deposit Insurance Corporation (FDIC) U.S..
FDIC fund most federal bankruptcy given a cost of 347.6 million dollars. Total Federal Deposit Insurance Corporation insures deposits of 7,830 banks in America, worth $ 13.2 trillion. A growing number of bank failures has devastated the U.S. budget dollars to several billion dollars, and the federal deposit insurance fund the U.S. since 2009. is in the so-called "red zone" where the number of payments to depositors of bankrupt banks exceed receipts for insurance from the existing U.S. banks. The total deficit of the state insurance fund reached U.S. investors at June 30, 2010, $ 20.7 billion.
According to the forecasts of the federal deposit insurance fund FDIC U.S. series of bankruptcies of U.S. banks will not stop and the total amount of payments from 2010 to 2014 may total about $ 60 billion.
However, the FDIC is optimistic, because
* The number of bankruptcies of U.S. banks declined markedly in 2010 compared with the previous year in which regulators closed the 140 North American banks (125 in 2010) year.
* U.S. Government and the FDIC continues to guarantee the return of 100% of depositors, whose deposits do not exceed 250,000 dollars, the Market Leader and Bloomberg.
How does the U.S. dollar to continue a series of bankruptcies of U.S. banks?
Certainly, the ongoing series of bankruptcies of U.S. banks will not add to investor confidence in U.S. banks, analysts say Trading Academy Masterforex-V
According to the Department DFVA Academy Masterforex-V of the euro against the dollar is in a corrective movement of the medium-term range. Next month significant trend movements do not expect, though sharp plohoprognoziruemye traffic in both directions are possible. Couple found itself in the resistance level of 1.3010 and fluctuating corrective waves will show whether the euro rise to the next level of 1.39.
FDIC fund most federal bankruptcy given a cost of 347.6 million dollars. Total Federal Deposit Insurance Corporation insures deposits of 7,830 banks in America, worth $ 13.2 trillion. A growing number of bank failures has devastated the U.S. budget dollars to several billion dollars, and the federal deposit insurance fund the U.S. since 2009. is in the so-called "red zone" where the number of payments to depositors of bankrupt banks exceed receipts for insurance from the existing U.S. banks. The total deficit of the state insurance fund reached U.S. investors at June 30, 2010, $ 20.7 billion.
According to the forecasts of the federal deposit insurance fund FDIC U.S. series of bankruptcies of U.S. banks will not stop and the total amount of payments from 2010 to 2014 may total about $ 60 billion.
However, the FDIC is optimistic, because
* The number of bankruptcies of U.S. banks declined markedly in 2010 compared with the previous year in which regulators closed the 140 North American banks (125 in 2010) year.
* U.S. Government and the FDIC continues to guarantee the return of 100% of depositors, whose deposits do not exceed 250,000 dollars, the Market Leader and Bloomberg.
How does the U.S. dollar to continue a series of bankruptcies of U.S. banks?
Certainly, the ongoing series of bankruptcies of U.S. banks will not add to investor confidence in U.S. banks, analysts say Trading Academy Masterforex-V
According to the Department DFVA Academy Masterforex-V of the euro against the dollar is in a corrective movement of the medium-term range. Next month significant trend movements do not expect, though sharp plohoprognoziruemye traffic in both directions are possible. Couple found itself in the resistance level of 1.3010 and fluctuating corrective waves will show whether the euro rise to the next level of 1.39.
In August, the U.S. recorded low inflation
With the exception of gasoline prices, inflation in the last month of summer was low. Judging by the report of the Ministry of Labour, published on Friday 17 September, prices in August as in July, grew on average by three tenths of a percent.
These data indicate that the U.S. Federal Reserve Bank, probably for some time to keep the current low interest rate. Next week, the American leadership of the Central Bank will meet in Washington to address the level of interest rates and other economic problems.
The interest rate is maintained at a low level in order to stimulate economic growth. With increasing inflation the Federal Reserve Bank raises interest rates to support the economy and prevent a sharp rise in prices.
These data indicate that the U.S. Federal Reserve Bank, probably for some time to keep the current low interest rate. Next week, the American leadership of the Central Bank will meet in Washington to address the level of interest rates and other economic problems.
The interest rate is maintained at a low level in order to stimulate economic growth. With increasing inflation the Federal Reserve Bank raises interest rates to support the economy and prevent a sharp rise in prices.
The review of the stock market: results of a week in the U.S.
Middle of the week was marked by multi-directional movements of the indices. The market found support in anticipation of the beginning of the iPad sales of Apple Inc. in China, which has favorably affected the technology sector. The company's shares rose 2.2%, so the technology sector has shown very strong growth in the S & P 500.
Shares of automaker Ford Motor Co. grew by 4.9% expense of raising recommendations thereon from the bank Barclays Plc.
Paper FedEx, the second-largest U.S. company to deliver goods, by contrast, have lost 4%.
The success of the technology sector due to the fact that the shares appear cheap and investors understand that these companies can provide income to holders of its securities.
Technology stocks in the index S & P 500 showed an increase for seven consecutive days. Shares of Microsoft Corp. soared this week after reports of a possible sale of the company's debt to return cash to holders of securities. Stock quotes, Cisco Systems Inc. also went up after the announcement of the dividend payments to shareholders.
S & P 500: 1,124.66 points, losing 0.036%
DJIA: 10594,83 points, the addition of 0.209%
Nasdaq Composite: 2301,32 points, the addition of 0.084%
Shares of automaker Ford Motor Co. grew by 4.9% expense of raising recommendations thereon from the bank Barclays Plc.
Paper FedEx, the second-largest U.S. company to deliver goods, by contrast, have lost 4%.
The success of the technology sector due to the fact that the shares appear cheap and investors understand that these companies can provide income to holders of its securities.
Technology stocks in the index S & P 500 showed an increase for seven consecutive days. Shares of Microsoft Corp. soared this week after reports of a possible sale of the company's debt to return cash to holders of securities. Stock quotes, Cisco Systems Inc. also went up after the announcement of the dividend payments to shareholders.
S & P 500: 1,124.66 points, losing 0.036%
DJIA: 10594,83 points, the addition of 0.209%
Nasdaq Composite: 2301,32 points, the addition of 0.084%
9/17/10
The volume of remittances to Georgia in August increased by 8.8%
Remittances from abroad to Georgia in August 2010 in comparison with the same period last year grew by 6.6 million dollars, or 8.8%, to $ 81.6 million
According to the National Bank of Georgia, first in terms of remittances continues to occupy Russia, where in August, received 48.9 million dollars. This is 8.8 million more than in August 2009.
The second place United States: 6.1 million dollars, 0.1 million more than the same period last year. In third place Greece with exponent 4.7 million dollars and remittances from there dropped by 1 million
Remittances from abroad of Georgia in August 2010 totaled 6.3 million dollars. This is 0.7 million, or 12.5% more than in August last year. There is also the first place Russia - 2.34 million dollars, 0.05 million less than the same period last year. Second place is occupied Ukraine: 1.3 million dollars - to 0.3 million more than in August last year.
According to the National Bank of Georgia, first in terms of remittances continues to occupy Russia, where in August, received 48.9 million dollars. This is 8.8 million more than in August 2009.
The second place United States: 6.1 million dollars, 0.1 million more than the same period last year. In third place Greece with exponent 4.7 million dollars and remittances from there dropped by 1 million
Remittances from abroad of Georgia in August 2010 totaled 6.3 million dollars. This is 0.7 million, or 12.5% more than in August last year. There is also the first place Russia - 2.34 million dollars, 0.05 million less than the same period last year. Second place is occupied Ukraine: 1.3 million dollars - to 0.3 million more than in August last year.
Fitch Assigns Eurobond Ukraine rating to «B»
International rating agency Fitch Assigns Eurobond Ukraine - a decade at 1.5 billion dollars and a five-year 500 million - the rating «B», RIA Novosti reported.
The ratings are assigned in accordance with long-term issuer default rating «B», which has a stable outlook.
Ukraine on Thursday, the placement of external public borrowing. The interest rate on loans was 6.875% for the five-year bonds, and 7.775% - for a decade.
"Implementation of the bond issue is unprecedented in the history of foreign loans, the history of Ukraine's independence, both in volume and the number of instruments," - told journalists on Friday, Prime Minister Mykola Azarov. He also added that after a failed attempt to issue Eurobonds in 2008, this edition was the first successful one.
The proceeds from the Eurobond may be partly repaid loan of a Russian bank VTB's $ 2 billion, told the minister of finance of Ukraine Fedor Yaroshenko.
The ratings are assigned in accordance with long-term issuer default rating «B», which has a stable outlook.
Ukraine on Thursday, the placement of external public borrowing. The interest rate on loans was 6.875% for the five-year bonds, and 7.775% - for a decade.
"Implementation of the bond issue is unprecedented in the history of foreign loans, the history of Ukraine's independence, both in volume and the number of instruments," - told journalists on Friday, Prime Minister Mykola Azarov. He also added that after a failed attempt to issue Eurobonds in 2008, this edition was the first successful one.
The proceeds from the Eurobond may be partly repaid loan of a Russian bank VTB's $ 2 billion, told the minister of finance of Ukraine Fedor Yaroshenko.
U.S. asked the WTO to do the conflict Visa c Chinese authorities
U.S. Trade Representative requested the WTO to protest the actions of Chinese authorities in respect of one of the largest global payment systems Visa. About this newspaper The Financial Times.
Since 2009, China is blocking all new projects Visa because of its conflict with the local payment system UnionPay. The U.S. side believes that monopoly UnionPay violates the obligation to make Beijing's financial services market more open.
Visa last year UnionPay accused of unfair competition, pointing out that often cross-border payments using Visa cards in China is actually carried through UnionPay. However, the Chinese company refused to cooperate with Visa on this issue.
China UnionPay, founded in 2002, is the only nationwide company in China, servicing credit cards. Company now has all the financial institutions are issuing debit cards.
Since 2009, China is blocking all new projects Visa because of its conflict with the local payment system UnionPay. The U.S. side believes that monopoly UnionPay violates the obligation to make Beijing's financial services market more open.
Visa last year UnionPay accused of unfair competition, pointing out that often cross-border payments using Visa cards in China is actually carried through UnionPay. However, the Chinese company refused to cooperate with Visa on this issue.
China UnionPay, founded in 2002, is the only nationwide company in China, servicing credit cards. Company now has all the financial institutions are issuing debit cards.
The World Bank began to develop new country strategy for Belarus for 2012-2015
The World Bank began to develop new country strategy for Belarus for 2012-2015. This was stated by Director of World Bank for Ukraine, Belarus and Moldova Martin Raiser at a press conference in Minsk on Friday.
"While we are at the very beginning of this discussion. The recently held World Bank capital increase, but the amount that will be available to each country, yet determined. Therefore, to talk about any particular level of funding early "- said Reiser.
"But I believe that our goal in Belarus should be the development of the successful results that were achieved under the current strategy. I think this should take the form of a very intensive dialogue on structural reforms. And if these reforms will take place, we will be ready to support these reforms as part of our development loans "- he added.
Reiser also said that the World Bank has a number of successful investments in the modernization of social and economic infrastructure of Belarus, under which the bank also plans to develop cooperation.
According to him, the next phase of economic growth in Belarus has "a much greater reliance on the dynamic development of private entrepreneurship and the growth of foreign direct investment, which will attract new technology and gain access to new markets."
As stated permanent representative of the World Bank in the country, Ivan Velev, the general direction the country strategy for Belarus for 2012-2015 will remain the same. Particular attention will be given to structural reforms and government programs for infrastructure development.
As previously reported, the World Bank under the revised strategy for cooperation with Belarus for 2008-2011 has increased the possibility of providing annual financial support the country with 100 million to $ 250 million.
"While we are at the very beginning of this discussion. The recently held World Bank capital increase, but the amount that will be available to each country, yet determined. Therefore, to talk about any particular level of funding early "- said Reiser.
"But I believe that our goal in Belarus should be the development of the successful results that were achieved under the current strategy. I think this should take the form of a very intensive dialogue on structural reforms. And if these reforms will take place, we will be ready to support these reforms as part of our development loans "- he added.
Reiser also said that the World Bank has a number of successful investments in the modernization of social and economic infrastructure of Belarus, under which the bank also plans to develop cooperation.
According to him, the next phase of economic growth in Belarus has "a much greater reliance on the dynamic development of private entrepreneurship and the growth of foreign direct investment, which will attract new technology and gain access to new markets."
As stated permanent representative of the World Bank in the country, Ivan Velev, the general direction the country strategy for Belarus for 2012-2015 will remain the same. Particular attention will be given to structural reforms and government programs for infrastructure development.
As previously reported, the World Bank under the revised strategy for cooperation with Belarus for 2008-2011 has increased the possibility of providing annual financial support the country with 100 million to $ 250 million.
Annual inflation in the U.S. in August slowed to 1.1%
Inflation in the U.S. in August of this year slowed to 0.1 percentage points - up 1.1% year on year from 1.2% in July, figures from the Bureau of Labor Statistics U.S. Department of Labor.
Published data coincided with expectations of analysts surveyed by the information-analytical Internet portal dailyFX.com.
According to the report, the main factors of inflation on an annualized basis in the country are raising prices for used cars and fuel. At the same time on a monthly basis, consumer prices in the U.S. last month rose by 0.3% compared with July.
Meanwhile, consumer prices, excluding food and energy industries, remained unchanged in August on a monthly basis. Annualised growth rate amounted to 0,9%. Analysts believed that consumer prices excluding food and energy industry, rose in August by 1.0% over the same period last year.
U.S. Labor Department prepares and publishes a monthly basis relating to the most important indicators of U.S. economic report on the consumer price index (CPI, the cost of a fixed market basket of goods and services - 40% and 60%). This index is used for cost accounting in constant prices and is the main measure of inflation in the country: it was to him "tied" contracts for possible changes in the cost of living, employment contracts, payment of social security and tax benefits.
Published data coincided with expectations of analysts surveyed by the information-analytical Internet portal dailyFX.com.
According to the report, the main factors of inflation on an annualized basis in the country are raising prices for used cars and fuel. At the same time on a monthly basis, consumer prices in the U.S. last month rose by 0.3% compared with July.
Meanwhile, consumer prices, excluding food and energy industries, remained unchanged in August on a monthly basis. Annualised growth rate amounted to 0,9%. Analysts believed that consumer prices excluding food and energy industry, rose in August by 1.0% over the same period last year.
U.S. Labor Department prepares and publishes a monthly basis relating to the most important indicators of U.S. economic report on the consumer price index (CPI, the cost of a fixed market basket of goods and services - 40% and 60%). This index is used for cost accounting in constant prices and is the main measure of inflation in the country: it was to him "tied" contracts for possible changes in the cost of living, employment contracts, payment of social security and tax benefits.
WB to support the Finance Ministry of Belarus in the development of domestic securities market
The World Bank stands ready to support the Ministry of Finance of Belarus in the development of domestic securities market. This was stated by Director of World Bank for Ukraine, Belarus and Moldova Martin Raiser at a press conference in Minsk on Friday.
"We are at the beginning of this work. Ministry of Finance is willing to develop domestic securities markets, so we are negotiating. In addition, we have some experience in this sphere ", - said Reiser.
Belarus joined the World Bank in 1992. Since that time the country had allocated 643 million dollars for nine projects, about 30 national programs have received grant support totaling $ 18 million now Belarus uses World Bank funds to finance four projects related to infrastructure development.
"We are at the beginning of this work. Ministry of Finance is willing to develop domestic securities markets, so we are negotiating. In addition, we have some experience in this sphere ", - said Reiser.
Belarus joined the World Bank in 1992. Since that time the country had allocated 643 million dollars for nine projects, about 30 national programs have received grant support totaling $ 18 million now Belarus uses World Bank funds to finance four projects related to infrastructure development.
Greece will not restructure the debt and try to return to financial markets during 2011
Greece will not restructure their debts and try to return to financial markets during 2011. This was stated before, speaking to investors, Finance Minister Giorgos Papaconstantinou.
According to him, "the restructuring will not be because such a move would have far-reaching implications for the euro zone."
According to ITAR-TASS, Papaconstantinou said that currently being implemented in Greece, the reform program was "very strongly initiated and established on the basis of this trust would allow Athens to regain access to capital markets. "By 2012 we can stay out of markets", - he said, explaining that a large-scale financial aid from the EU and the IMF.
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According to him, "the restructuring will not be because such a move would have far-reaching implications for the euro zone."
According to ITAR-TASS, Papaconstantinou said that currently being implemented in Greece, the reform program was "very strongly initiated and established on the basis of this trust would allow Athens to regain access to capital markets. "By 2012 we can stay out of markets", - he said, explaining that a large-scale financial aid from the EU and the IMF.
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Obama: gloomy economic indicators, the U.S. could be even more bleak
President Barack Obama believes that, despite not being too optimistic economic indicators, America will be able to overcome the most serious since the Great Depression of the economic crisis.
United States Census Bureau on Thursday released new data for 2009, which suggests that the proportion of Americans living in poverty increased from 13.2% in 2008 to 14,3% (ie one in every seven is living below the poverty line) and the number of people without health insurance increased from 15.4% in 2008 to 16,7% (50,7 million).
"Data published today remind us that historical in its scope recession does not necessarily lead to the same historic drop in the welfare of families. Thanks to the anti-crisis package of measures and many other programs that provide tax incentives and financial support for most working families, and especially those most in need, millions of Americans last year were saved from poverty, "- said in a press the White House a written statement, Obama.
"Even before the recession, income middle class families have not increased and the number of people living in poverty in America, was unacceptably high, and today's figures demonstrate that our work has just begun", - continued the President.
"Despite all the difficulties I continue to be inspired by the zeal and optimism of the American working population and is confident that we will emerge from this storm with a much stronger economy," - Obama said.
United States Census Bureau on Thursday released new data for 2009, which suggests that the proportion of Americans living in poverty increased from 13.2% in 2008 to 14,3% (ie one in every seven is living below the poverty line) and the number of people without health insurance increased from 15.4% in 2008 to 16,7% (50,7 million).
"Data published today remind us that historical in its scope recession does not necessarily lead to the same historic drop in the welfare of families. Thanks to the anti-crisis package of measures and many other programs that provide tax incentives and financial support for most working families, and especially those most in need, millions of Americans last year were saved from poverty, "- said in a press the White House a written statement, Obama.
"Even before the recession, income middle class families have not increased and the number of people living in poverty in America, was unacceptably high, and today's figures demonstrate that our work has just begun", - continued the President.
"Despite all the difficulties I continue to be inspired by the zeal and optimism of the American working population and is confident that we will emerge from this storm with a much stronger economy," - Obama said.
The U.S. Senate approved a bill to support small businesses worth $ 30 billion
The U.S. Senate approved Thursday a bill on supporting small businesses $ 30 billion. For this document to U.S. bank lending to entrepreneurs, the senator voted in 1961, including two Republicans, while 38 members of the upper house of parliament voted against, reports Associated Press.
Under the new program of small business financing in the U.S., the bill will not only support banks in granting loans, but also provide various business tax breaks. In this case, the main goal of Washington - creating jobs and fighting unemployment by encouraging small businesses.
After approval in the Senate bill will be sent back to a vote in the House of Representatives, and then - the President for signature Barack Obama.
Under the new program of small business financing in the U.S., the bill will not only support banks in granting loans, but also provide various business tax breaks. In this case, the main goal of Washington - creating jobs and fighting unemployment by encouraging small businesses.
After approval in the Senate bill will be sent back to a vote in the House of Representatives, and then - the President for signature Barack Obama.
9/16/10
Stock Europe gone on closing in minus on data from UK
Leading European stock indexes declined on the basis of trading on Thursday against the backdrop of weak statistical data on retail sales in the UK, as well as negative trends on U.S. exchanges, according to data exchanges.
The British FTSE 100 has fallen on 0,28% to 5 540.14 points, the German DAX - on 0,20% to 6 249.65 points, the French CAC 40 - on 0,52% to 3 736.30.
"The second wave of crisis in the foreseeable future will not happen, but economic growth will be weak, - told the news agency Bloomberg strategist at Deutsche Postbank AG shares of Heinz-Gerd Zonenshain (Heinz-Gerd Sonnenschein). - Financial results for the III and IV quarters will not be as strong as in the previous two quarters, and the shares will be difficult to find support for growth. Market participants have taken a wait and see position. "
According to experts, the European stock indicators in early trading were under pressure from negative statistics from the UK. Retail sales in the country in August this year increased by 0,4% compared with August of 2009, but decreased to the previous month by 0,5%, which was much worse than expected. Analysts had expected growth in August on 0,3% compared with July and by 2% - in annualized.
In this case, a more significant compared to experts' forecasts growth of foreign trade balance surplus in the euro zone in July, as well as the successful placement of the Spanish government bonds with various maturities totaling $ 4 billion could not support the investor sentiment.
Later on Thursday a negative impact on the dynamics of the stock market indicator of the Old World had an opening of U.S. exchanges in the red zone against the backdrop of fears of low rates of recovery of the largest in the world economy. Market not reacted on moderately positive statistics by number primary nominations dole and prices producers United States.
The British FTSE 100 has fallen on 0,28% to 5 540.14 points, the German DAX - on 0,20% to 6 249.65 points, the French CAC 40 - on 0,52% to 3 736.30.
"The second wave of crisis in the foreseeable future will not happen, but economic growth will be weak, - told the news agency Bloomberg strategist at Deutsche Postbank AG shares of Heinz-Gerd Zonenshain (Heinz-Gerd Sonnenschein). - Financial results for the III and IV quarters will not be as strong as in the previous two quarters, and the shares will be difficult to find support for growth. Market participants have taken a wait and see position. "
According to experts, the European stock indicators in early trading were under pressure from negative statistics from the UK. Retail sales in the country in August this year increased by 0,4% compared with August of 2009, but decreased to the previous month by 0,5%, which was much worse than expected. Analysts had expected growth in August on 0,3% compared with July and by 2% - in annualized.
In this case, a more significant compared to experts' forecasts growth of foreign trade balance surplus in the euro zone in July, as well as the successful placement of the Spanish government bonds with various maturities totaling $ 4 billion could not support the investor sentiment.
Later on Thursday a negative impact on the dynamics of the stock market indicator of the Old World had an opening of U.S. exchanges in the red zone against the backdrop of fears of low rates of recovery of the largest in the world economy. Market not reacted on moderately positive statistics by number primary nominations dole and prices producers United States.
U.S. Treasury: Russia in July increased its investments in US Treasuries at 6.1%
Russia, in July increased its investments in U.S. government bonds (US Treasuries) at 6.08% - up to 130.9 billion dollars from 123.4 billion at end-June, according to the Ministry of Finance of the United States.
Since the end of November 2009 to late April 2010, the volume belonging to Russia of U.S. debt fell to 113.1 billion dollars from 151.4 billion in May, the Russian Federation has increased investment in US Treasuries to 126.8 billion dollars, and in June fell back .
On an annualized basis (the end of July 2009 to the end of July of 2010) the volume of Russian-owned US Treasuries fell on the balance sheet date at 7.36%.
As of July 2010 the main holders of US Treasuries serve mainland China (846.7 billion U.S. dollars), Japan (821.0 billion) and Britain (374300000000). All of them have built up their investments in U.S. Treasuries in July compared with June - on 0,36%, 2,17% and 3.34% respectively.
US Treasuries - the main instrument for financing U.S. government debt. Their value in the auctions held depends on the level of profitability, which in turn is determined by forecasts of investors concerning the further development of economy of the United States and the world at large.
Instability in the global economy, as a rule leads to an increase in the value of government bonds the U.S., whereas in the absence of crisis investors prefer to invest in riskier assets with higher returns.
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Since the end of November 2009 to late April 2010, the volume belonging to Russia of U.S. debt fell to 113.1 billion dollars from 151.4 billion in May, the Russian Federation has increased investment in US Treasuries to 126.8 billion dollars, and in June fell back .
On an annualized basis (the end of July 2009 to the end of July of 2010) the volume of Russian-owned US Treasuries fell on the balance sheet date at 7.36%.
As of July 2010 the main holders of US Treasuries serve mainland China (846.7 billion U.S. dollars), Japan (821.0 billion) and Britain (374300000000). All of them have built up their investments in U.S. Treasuries in July compared with June - on 0,36%, 2,17% and 3.34% respectively.
US Treasuries - the main instrument for financing U.S. government debt. Their value in the auctions held depends on the level of profitability, which in turn is determined by forecasts of investors concerning the further development of economy of the United States and the world at large.
Instability in the global economy, as a rule leads to an increase in the value of government bonds the U.S., whereas in the absence of crisis investors prefer to invest in riskier assets with higher returns.
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Producer prices in the U.S. in August grew stronger expectations
Producer prices in the U.S. in August this year, after eliminating seasonal fluctuations have increased by 0,4% compared with July, according to a press release from the Ministry of Labour.
Annualised growth rate in August was 3.1%.
Analysts polled by information-analytical Internet portal dailyFX.com, expected growth in producer prices in the reporting period only 0.3% compared with July and 3% annualized.
In July the index showed slightly smaller gains - by 0,2% in June - a decline of 0.5%.
The main factor for the upward dynamics of the index has increased over the period producer prices for energy - they rose in August by 2.2% compared with July.
The index of producer prices, excluding energy and food, in the U.S. in August grew by 0,1% compared with July, which coincided with the expectations of analysts.
Producer price index reflects the average change in prices for raw materials and goods of intermediate consumption and is formed from the prices of intermediate and finished products. The final indicator, which includes labor costs, gives an idea of inflation caused by changes in labor costs.
Some analysts prefer to track changes in producer prices excluding energy and food, believing this figure to be more reliable indicator of the increased cost of goods of intermediate consumption.
Annualised growth rate in August was 3.1%.
Analysts polled by information-analytical Internet portal dailyFX.com, expected growth in producer prices in the reporting period only 0.3% compared with July and 3% annualized.
In July the index showed slightly smaller gains - by 0,2% in June - a decline of 0.5%.
The main factor for the upward dynamics of the index has increased over the period producer prices for energy - they rose in August by 2.2% compared with July.
The index of producer prices, excluding energy and food, in the U.S. in August grew by 0,1% compared with July, which coincided with the expectations of analysts.
Producer price index reflects the average change in prices for raw materials and goods of intermediate consumption and is formed from the prices of intermediate and finished products. The final indicator, which includes labor costs, gives an idea of inflation caused by changes in labor costs.
Some analysts prefer to track changes in producer prices excluding energy and food, believing this figure to be more reliable indicator of the increased cost of goods of intermediate consumption.
Fitch upgraded its outlook on Moscow and St. Petersburg to "positive" from "stable"
International rating agency Fitch on Thursday improved its outlook on Moscow and St. Petersburg to the "positive" from "stable" and affirmed the long-term ratings of cities in national and foreign currencies at level «BBB», the agency said in a statement.
This action reflects the recent revision of forecasts of long-term issuer default rating of Russia to "positive" from "stable" against the backdrop of recovery of the domestic economy, as well as confirmation of long-term IDR of Russia in foreign and national currencies at the level «BBB».
In addition, according to a release, increase forecast reflects expectations of analysts Fitch, which both Moscow and St. Petersburg will continue to demonstrate strong operating results amid economic development.
Also confirmed by short-term foreign currency ratings of Moscow and St. Petersburg - at the level «F3» and long-term ratings of cities on a national scale - «AAA (rus)» from "stable" outlook.
The outlook revision on the ratings of the Russian Federation to "positive» Fitch explain analysts' expectations that the decrease in inflation, the transition to a policy of more flexible exchange rate, a significant repayment of private external debt, the stabilization of the banking sector and increased foreign exchange reserves will reduce the financial vulnerability of Russia.
This action reflects the recent revision of forecasts of long-term issuer default rating of Russia to "positive" from "stable" against the backdrop of recovery of the domestic economy, as well as confirmation of long-term IDR of Russia in foreign and national currencies at the level «BBB».
In addition, according to a release, increase forecast reflects expectations of analysts Fitch, which both Moscow and St. Petersburg will continue to demonstrate strong operating results amid economic development.
Also confirmed by short-term foreign currency ratings of Moscow and St. Petersburg - at the level «F3» and long-term ratings of cities on a national scale - «AAA (rus)» from "stable" outlook.
The outlook revision on the ratings of the Russian Federation to "positive» Fitch explain analysts' expectations that the decrease in inflation, the transition to a policy of more flexible exchange rate, a significant repayment of private external debt, the stabilization of the banking sector and increased foreign exchange reserves will reduce the financial vulnerability of Russia.
U.S. intends to increase exports to 1.57 trillion dollars in 2009 to 3.14 trillion in 2015
U.S. intends to seriously increase the volumes of exports of goods and services, thereby accelerating the pace of economic growth. According to ITAR-TASS reported, this conclusion is contained in the new report published today, prepared by a number of federal ministries and departments.
The document was prepared within the framework of the declared U.S. President Barack Obama's National Export initiative to double exports by 2015. "The volume of exports should rise from 1.57 trillion dollars in 2009 to 3.14 trillion in 2015. This task will be feasible only if the American companies, farmers, small and medium businesses, which are the engine of economic growth, will receive encouragement and support in finding new markets for their goods and services "- the report says.
It deals with "increasing number of trade missions of the U.S. abroad, especially under the leadership of the U.S. government's highest rank, as well as on the invitation of the same foreign delegations in the country."
"As Americans began to spend a little less and save a little more now than ever, it is important to connect U.S. businesses with 95% of consumers who live outside of our country", - explained the problem of U.S. Commerce Secretary Gary Locke, whose department has made a significant contribution to development report.
The document was prepared within the framework of the declared U.S. President Barack Obama's National Export initiative to double exports by 2015. "The volume of exports should rise from 1.57 trillion dollars in 2009 to 3.14 trillion in 2015. This task will be feasible only if the American companies, farmers, small and medium businesses, which are the engine of economic growth, will receive encouragement and support in finding new markets for their goods and services "- the report says.
It deals with "increasing number of trade missions of the U.S. abroad, especially under the leadership of the U.S. government's highest rank, as well as on the invitation of the same foreign delegations in the country."
"As Americans began to spend a little less and save a little more now than ever, it is important to connect U.S. businesses with 95% of consumers who live outside of our country", - explained the problem of U.S. Commerce Secretary Gary Locke, whose department has made a significant contribution to development report.
Japan is ready to again intervene in the foreign exchange market
Prime Minister of Japan, Naoto Kan has hinted on Thursday that the authorities are ready to continue the intervention in the foreign exchange market to stop the rapid growth of the yen threatens economic recovery. Kahn will take decisive action if needed to loosen the yen, the news agency quoted Prime Minister Jiji.
Yesterday the government for the first time in six years, intervened in the foreign exchange market and sold about 2 trillion yen, making Japanese currency began to fall rapidly to a maximum of 15 years against the U.S. dollar.
However, the Asian currency trading session on Thursday morning, the yen began to rise again. Several players are waiting for a new intervention from the Japanese government, if the dollar falls to the Japanese currency to a level below 85 yen.
Analysts believe that Kahn wants to show initiative in the matter of increasing the yen, after he won election as leader of the ruling Democratic Party on Tuesday and intends to make clear that the government can put pressure on the central bank, that he eased monetary policy .
"Kahn tries send signal that his party solidary. He emphasizes intention Japan take resolute measures through intervention "- notes strategist Sumitomo Trust & Banking Ayako Sera.
Bank of Japan has no plans to support government intervention to new mitigation of monetary policy, but expressed the willingness to step in early October, if the economic recovery will remain under threat, sources said.
CB Chairman Masaaki Shirakawa said on Thursday that the saturation of the economy the money supply - the so-called quantitative easing - leads to low prices and stimulate the economy.
Yesterday the government for the first time in six years, intervened in the foreign exchange market and sold about 2 trillion yen, making Japanese currency began to fall rapidly to a maximum of 15 years against the U.S. dollar.
However, the Asian currency trading session on Thursday morning, the yen began to rise again. Several players are waiting for a new intervention from the Japanese government, if the dollar falls to the Japanese currency to a level below 85 yen.
Analysts believe that Kahn wants to show initiative in the matter of increasing the yen, after he won election as leader of the ruling Democratic Party on Tuesday and intends to make clear that the government can put pressure on the central bank, that he eased monetary policy .
"Kahn tries send signal that his party solidary. He emphasizes intention Japan take resolute measures through intervention "- notes strategist Sumitomo Trust & Banking Ayako Sera.
Bank of Japan has no plans to support government intervention to new mitigation of monetary policy, but expressed the willingness to step in early October, if the economic recovery will remain under threat, sources said.
CB Chairman Masaaki Shirakawa said on Thursday that the saturation of the economy the money supply - the so-called quantitative easing - leads to low prices and stimulate the economy.
Hungary cut the budget deficit
The Hungarian Government has approved a plan to cut next year, the country's budget deficit to below 3% of GDP, told reporters after a meeting of the Government Economics Minister Gyorgy Matolcsy.
Matolcsy said that Hungary would not sign a new loan agreement with the International Monetary Fund and the European Union after it expires in October and November of the current agreements.
In addition, the Minister of Economy said that economic growth in 2,5-3% make public administration more affordable and will provide financial transparency of public companies. Achieve the target rate this year the budget deficit by 3,8% will only be if they received the planned 200 billion forints (692.57 million euros) of bank tax and if government spending this year will be reduced by 120 billion forints.
In addition, Matolcsy told reporters that the official date of introduction of the euro in Hungary does not exist, but since joining the euro zone, Hungary took on this responsibility, it will continue to move in this direction.
Matolcsy said that Hungary would not sign a new loan agreement with the International Monetary Fund and the European Union after it expires in October and November of the current agreements.
In addition, the Minister of Economy said that economic growth in 2,5-3% make public administration more affordable and will provide financial transparency of public companies. Achieve the target rate this year the budget deficit by 3,8% will only be if they received the planned 200 billion forints (692.57 million euros) of bank tax and if government spending this year will be reduced by 120 billion forints.
In addition, Matolcsy told reporters that the official date of introduction of the euro in Hungary does not exist, but since joining the euro zone, Hungary took on this responsibility, it will continue to move in this direction.
Geithner: U.S. study opportunities to influence China to accelerate the strengthening of the yuan
U.S. authorities are dissatisfied with the pace of the yuan, and considering various options for the impact on China to speed up the process, said U.S. Treasury Secretary Timothy Geithner, as quoted by agency Bloomberg.
Union officials and the U.S. has repeatedly advocated the strengthening of the renminbi, because the relative weakness of China's currency led to a negative for western trade surplus with China, and also reduces the competitiveness of American and European products in the Chinese domestic market.
"The pace of strengthening the yuan too low, and the extent of its capacity is too limited - said Geithner. - We consider the important question as to what different combinations of measures available to the U.S. and internationally, may encourage the Chinese authorities to accelerate the process. "
"Power of intervention" still contribute to the preservation of an undervalued renminbi, even after the adoption in June, China's government decision to abandon the currency peg to the dollar, said the U.S. Treasury.
The Central Bank of China on June 19 this year, announced the rejection of pegging the Yuan to the dollar and increasing the flexibility of formation of the RMB exchange rate, that is, the return mechanism that existed before the global economic crisis. Nevertheless, since the adoption of this decision the yuan has appreciated against the dollar by only 1%.
Given the approach of November's congressional elections, U.S. lawmakers have scheduled hearings on the issue of monetary policy in China and can pass a law providing for a mechanism that compensates for U.S. companies to the negative impact of cheap yuan, which makes Chinese goods more attractive in foreign markets.
Such statements Geithner became the most serious on this issue since its entry into the position of finance minister in January 2009. Previously, he has been repeatedly criticized by some U.S. lawmakers for not doing enough tough stance against Beijing on the exchange rate.According to the U.S. Treasury, the strengthening of the yuan would help rebalance its economy, but does not change the situation with a deficit of U.S. trade with China.
Union officials and the U.S. has repeatedly advocated the strengthening of the renminbi, because the relative weakness of China's currency led to a negative for western trade surplus with China, and also reduces the competitiveness of American and European products in the Chinese domestic market.
"The pace of strengthening the yuan too low, and the extent of its capacity is too limited - said Geithner. - We consider the important question as to what different combinations of measures available to the U.S. and internationally, may encourage the Chinese authorities to accelerate the process. "
"Power of intervention" still contribute to the preservation of an undervalued renminbi, even after the adoption in June, China's government decision to abandon the currency peg to the dollar, said the U.S. Treasury.
The Central Bank of China on June 19 this year, announced the rejection of pegging the Yuan to the dollar and increasing the flexibility of formation of the RMB exchange rate, that is, the return mechanism that existed before the global economic crisis. Nevertheless, since the adoption of this decision the yuan has appreciated against the dollar by only 1%.
Given the approach of November's congressional elections, U.S. lawmakers have scheduled hearings on the issue of monetary policy in China and can pass a law providing for a mechanism that compensates for U.S. companies to the negative impact of cheap yuan, which makes Chinese goods more attractive in foreign markets.
Such statements Geithner became the most serious on this issue since its entry into the position of finance minister in January 2009. Previously, he has been repeatedly criticized by some U.S. lawmakers for not doing enough tough stance against Beijing on the exchange rate.According to the U.S. Treasury, the strengthening of the yuan would help rebalance its economy, but does not change the situation with a deficit of U.S. trade with China.
Foreign Ministry: the appreciation of the yuan will not solve the U.S. deficit in trade with China
Appreciation of the national currency of China did not solve the problem of the U.S. deficit in trade with China. According to ITAR-TASS news agency, a position expressed at the briefing, Foreign Ministry Spokeswoman Jiang Yu.
Her words came in response to a request by journalists to comment on the recent statement by the head of U.S. Treasury Secretary Timothy Geithner that the revaluation of the yuan is too slow.
"The appreciation of national currency does not solve the problem of the U.S. trade deficit and the issue of unemployment in the country - said Jiang. - Sino-US economic and trade cooperation is mutually beneficial. "
"With regard to existing problems, China has always advocated for their decision on the basis of equal consultation," - she said. Pressure, stressed the representative of the Chinese Foreign Ministry, not only will allow the existing difficulties, but also lead to the opposite result.
RMB exchange rate - one of the most acute problems in the relationship between the U.S. and China. The position of the American side, the course of China's currency is strongly underestimated, which leads to the formation of the huge U.S. deficit in trade with China.
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Her words came in response to a request by journalists to comment on the recent statement by the head of U.S. Treasury Secretary Timothy Geithner that the revaluation of the yuan is too slow.
"The appreciation of national currency does not solve the problem of the U.S. trade deficit and the issue of unemployment in the country - said Jiang. - Sino-US economic and trade cooperation is mutually beneficial. "
"With regard to existing problems, China has always advocated for their decision on the basis of equal consultation," - she said. Pressure, stressed the representative of the Chinese Foreign Ministry, not only will allow the existing difficulties, but also lead to the opposite result.
RMB exchange rate - one of the most acute problems in the relationship between the U.S. and China. The position of the American side, the course of China's currency is strongly underestimated, which leads to the formation of the huge U.S. deficit in trade with China.
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Merkel: Germany will demand at the EU summit tough sanctions against states - violators of budgetary discipline
Germany will demand at the EU summit as tough sanctions against states - the EU budget discipline violators. According to ITAR-Tass said today Chancellor Angela Merkel's arrival at the EU summit.
"Germany will support the most severe sanctions", - she said.
At the last EU summit in June, just after the peak of the financial crisis, the euro area, community leaders agreed on the need to agree on a clear set of measures that would compel states to comply with EU fiscal discipline. At the same time to the present moment a compromise is not found.
On the negotiating table only two real proposals. The first of them developed by Germany and the deprivation of offending the right to vote in the EU Council to rectify the situation. This option, however, met stiff resistance of the majority of the community. The second option - the proposal of the task force to develop measures of fiscal discipline under the direction of EU president Herman van Rompuy providing funding cuts of the violator from the funds of the EU. A serious drawback of this project is that it puts the state community at a disadvantage because the amounts of their European subsidies varies significantly.
Basic economic document community - Stability and Growth Pact - set limit budget deficits of EU countries at 3% of GDP, but this rule is violated everywhere. Original record was set in 2009, when the global financial crisis, these norms are violated 20 of the 27 EU states.
Compliance with the Stability and Growth Pact today is based solely on the goodwill of EU member states. There is only so-called "procedure to eliminate violations, which initiates EU Commission, however, it is solely in the preparation of perspective plan of action for 6-18 months to rectify the situation and has no real sanctions that can be applied to the country of the offender.
"Germany will support the most severe sanctions", - she said.
At the last EU summit in June, just after the peak of the financial crisis, the euro area, community leaders agreed on the need to agree on a clear set of measures that would compel states to comply with EU fiscal discipline. At the same time to the present moment a compromise is not found.
On the negotiating table only two real proposals. The first of them developed by Germany and the deprivation of offending the right to vote in the EU Council to rectify the situation. This option, however, met stiff resistance of the majority of the community. The second option - the proposal of the task force to develop measures of fiscal discipline under the direction of EU president Herman van Rompuy providing funding cuts of the violator from the funds of the EU. A serious drawback of this project is that it puts the state community at a disadvantage because the amounts of their European subsidies varies significantly.
Basic economic document community - Stability and Growth Pact - set limit budget deficits of EU countries at 3% of GDP, but this rule is violated everywhere. Original record was set in 2009, when the global financial crisis, these norms are violated 20 of the 27 EU states.
Compliance with the Stability and Growth Pact today is based solely on the goodwill of EU member states. There is only so-called "procedure to eliminate violations, which initiates EU Commission, however, it is solely in the preparation of perspective plan of action for 6-18 months to rectify the situation and has no real sanctions that can be applied to the country of the offender.
U.S. Congress: TARP program has not reached its goals
Program for the release of their troubled assets (TARP - Troubled Asset Relief Program) has provided crucial support to financial markets during the fall of confidence in the U.S. economy, but it was much less effective in achieving other goals such as promoting economic growth, increase retirement savings and support residential real estate market, according to the report of the Commission for Supervision of the U.S. Congress (Congressional Oversight Panel).
"The change in strategy from the TARP to acquire assets at a capital injection, as well as the deployment of many unrelated to each other programs, along with poor information support for the argument taken action led to the ambiguous attitude of the population to the program and undermined its credibility" - the report says.
"Among the population remains negative attitude to the program due to the fact that the support of major U.S. banks are taxpayer funds, and this negativity is only strengthened amid continuing economic problems", - believes the agency.
Supervisory Commission of the U.S. Congress also believed that the unpopularity of the program may mean that in future the government will probably refuse such measures. "Thus, the most important consequence of the TARP was the loss of government capacity to counter the financial crisis" - the document says.
TARP program totaling $ 700 billion was adopted in October 2008, shortly after the bankruptcy of investment bank Lehman Brothers. The objective of the program was to prevent the collapse of the U.S. financial system. The program, which began operation in 2008, originally was to be completed at the end of 2009, however, the government approved its extension until October 3, 2010.
"The change in strategy from the TARP to acquire assets at a capital injection, as well as the deployment of many unrelated to each other programs, along with poor information support for the argument taken action led to the ambiguous attitude of the population to the program and undermined its credibility" - the report says.
"Among the population remains negative attitude to the program due to the fact that the support of major U.S. banks are taxpayer funds, and this negativity is only strengthened amid continuing economic problems", - believes the agency.
Supervisory Commission of the U.S. Congress also believed that the unpopularity of the program may mean that in future the government will probably refuse such measures. "Thus, the most important consequence of the TARP was the loss of government capacity to counter the financial crisis" - the document says.
TARP program totaling $ 700 billion was adopted in October 2008, shortly after the bankruptcy of investment bank Lehman Brothers. The objective of the program was to prevent the collapse of the U.S. financial system. The program, which began operation in 2008, originally was to be completed at the end of 2009, however, the government approved its extension until October 3, 2010.
9/15/10
The volume of currency intervention by Japan had exceeded 23.5 billion dollars
The volume of currency intervention, which is held on the eve of Japan in the currency markets in London and New York, more than 2 trillion yen (23.5 billion U.S. dollars). ITAR-TASS referring to the Tokyo media.
This step was carried out by Government and the Central Bank to contain the further strengthening of the yen against the dollar and other currencies. On Wednesday, the dollar fell in Tokyo to its lowest from May, 1995 level, when he gave a little more than 82 yen. It is this feature for the recognition of the authorities last week was identified in the government so the limit, when the intervention is imminent. Strengthening of the yen has created serious problems for Japanese exporters who spoke in recent months with sharp criticism of the current study.
The Government of Japan has high hopes for currency intervention begun in order to stabilize the yen, said on the eve of Prime Minister Naoto Kan. However, within business circles of Japan tend to consider this extraordinary step taken by the first time since March 2004, a few late. In addition, Japan has acted unilaterally and can not count on the support of the U.S. and EU, which at this stage is not interested in strengthening the dollar and euro.
However, unilateral measures in Japan have led to the fact that the dollar has appreciated markedly against the yen and has already reached 85.57 yen in Tokyo, almost 3 yen more than last Tuesday. According to the statement made by the Ministry of Finance of Japan currency intervention will continue. Also in Tokyo, expressed the hope that the governments of several other Asian countries also will be used for similar operations against the dollar.
The total amount taken by Japan currency intervention in the previous period from May 2003 to March of 2004, experts say, amounted to nearly 33 trillion yen.
This step was carried out by Government and the Central Bank to contain the further strengthening of the yen against the dollar and other currencies. On Wednesday, the dollar fell in Tokyo to its lowest from May, 1995 level, when he gave a little more than 82 yen. It is this feature for the recognition of the authorities last week was identified in the government so the limit, when the intervention is imminent. Strengthening of the yen has created serious problems for Japanese exporters who spoke in recent months with sharp criticism of the current study.
The Government of Japan has high hopes for currency intervention begun in order to stabilize the yen, said on the eve of Prime Minister Naoto Kan. However, within business circles of Japan tend to consider this extraordinary step taken by the first time since March 2004, a few late. In addition, Japan has acted unilaterally and can not count on the support of the U.S. and EU, which at this stage is not interested in strengthening the dollar and euro.
However, unilateral measures in Japan have led to the fact that the dollar has appreciated markedly against the yen and has already reached 85.57 yen in Tokyo, almost 3 yen more than last Tuesday. According to the statement made by the Ministry of Finance of Japan currency intervention will continue. Also in Tokyo, expressed the hope that the governments of several other Asian countries also will be used for similar operations against the dollar.
The total amount taken by Japan currency intervention in the previous period from May 2003 to March of 2004, experts say, amounted to nearly 33 trillion yen.
Analysts: the number of initial applications for unemployment benefits in the U.S.A increased by 9 thousand
The U.S. Labor Department on Thursday at 16:30 Moscow time data on the number of primary applications for unemployment benefits in the country for week ending September 11. Analysts polled by the information-analytical Internet portal dailyFX.com, expect that the number of such applications will grow by 9 thousand compared with the previous week and 460 thousand
The European statistical agency Eurostat, at 13:00 Moscow time publish data on foreign trade of the euro zone in July. Account surpluses of 16 European countries using the single currency, in July this year will amount to 1.3 billion euros against 2.4 billion in June, analysts said.
Office for National Statistics, UK at 12:30 Moscow time publish information on retail sales in the country in August. As analysts say, sales in the retail sector rose in this period by 0,3% compared with July and by 2% in annual terms.
U.S. Labor Ministry at 16:30 Moscow time, provide data on producer prices for August. Producer prices in the reporting period increased by 0,3% compared with July and by 3% year on year, analysts say.
The European statistical agency Eurostat, at 13:00 Moscow time publish data on foreign trade of the euro zone in July. Account surpluses of 16 European countries using the single currency, in July this year will amount to 1.3 billion euros against 2.4 billion in June, analysts said.
Office for National Statistics, UK at 12:30 Moscow time publish information on retail sales in the country in August. As analysts say, sales in the retail sector rose in this period by 0,3% compared with July and by 2% in annual terms.
U.S. Labor Ministry at 16:30 Moscow time, provide data on producer prices for August. Producer prices in the reporting period increased by 0,3% compared with July and by 3% year on year, analysts say.
U.S. lacks market maker SEC feared for the stability of the stock market
The events of May 6, 2010, when the collapse of the New York Stock Exchange (NYSE) for 20 minutes reduced its capitalization by 862 billion dollars and the Dow Jones index dropped by more than 9%, was seriously puzzled by U.S. regulators. In the course of a lengthy investigation by the Commission on the Securities and Exchange Commission (SEC) found several possible causes of the collapse. One of them was the virtual absence in the market of traditional market maker.
According to the rules (NYSE) is market-makers before carrying major risks: a collapse of the market at the moment they had to actively buy a depreciating asset, giving investors an opportunity to sell the falling paper. The activities of the players in conjunction with the restriction on opening short positions on the market decreasing gave significant results to prevent landslides.
Exodus of the traditional market maker, for example, the company LaBranche, which was founded in the early last century, have contributed to the reform of SEC. For example, the controller ordered the U.S. brokers and dealers to move to a small step for the display of applications. After that, prices for an asset were to be displayed with an accuracy of one cent. This measure has reduced the difference between bid and ask prices have hurt profits market maker.
Then, the traditional market-makers at the largest U.S. trading floors were gradually replaced by automated trading systems, which gave control function of liquidity. However, due to a number of legislative changes in the firm, supporting the liquidity of electronic means, were not particularly burdened by obligations to buy in a falling market. As a result, the traditional market-makers almost extinct as a species. Thus, since 2000 their number on the NYSE fell from 25 to 5 firms.
Now, the SEC is no easy task - to make the existing market maker to work not only on the normal market, accumulating profits, but also to perform its functions in times of crisis. The current problem is compounded by the rather large number of trading floors - in the U.S., there are 11.
"Today, liquidity is fragmented into different electronic exchanges (ECN), and no single center, and no specialist dealing with a specific action and the leading order book. All this makes it impossible to give a market maker functions to control liquidity, especially in difficult times - explained RBC daily, former development director of sales in international markets one of the largest brokerage firms of Russia Nikolai Makarichev. - Another attempt to fight the regulator, first with "dark pool", but now for the full restoration of function binding liquidity support could lead to control and ban the activities of automated trading systems, or to restrict the activities of ECN. As we remember, in the summer regulator have been attempts to limit the speed of delivery of applications in cases surge in volatility. " However, according to Mr. Makarycheva, at the moment it is unclear exactly how the regulator will be able to control the stability of the market. After all, SEC will not be able to turn back the technological progress and transplanted traders on dial telephones, making voice to give instructions to buy shares of more than 1000 pieces. Nor will the regulator on and off the electricity in data centers, where servers are electronic brokers, said Mr. Makarichev.
AIG is bursting to freedom
The American insurance company AIG has been negotiating with the U.S. government to accelerate the process of re-privatization. As reported by The Wall Street Journal, it is expected that the transfer of the insurer in private hands will start in early 2011 and will take several years. The Treasury plans to turn owned preferred shares of AIG for 49 billion dollars in common and slowly sell them to private investors. Specific dates and details of the translation group in private hands will be released in the next few weeks.
Buffett does not believe in recession
"I have a very" bullish "attitude about this country (USA). Repeated recession, we will not be completely accurate. I see that our business in almost all directions comes back to normal, "- said the billionaire Warren Buffett, expressing the view that most economists predicted the opposite.
According to the rules (NYSE) is market-makers before carrying major risks: a collapse of the market at the moment they had to actively buy a depreciating asset, giving investors an opportunity to sell the falling paper. The activities of the players in conjunction with the restriction on opening short positions on the market decreasing gave significant results to prevent landslides.
Exodus of the traditional market maker, for example, the company LaBranche, which was founded in the early last century, have contributed to the reform of SEC. For example, the controller ordered the U.S. brokers and dealers to move to a small step for the display of applications. After that, prices for an asset were to be displayed with an accuracy of one cent. This measure has reduced the difference between bid and ask prices have hurt profits market maker.
Then, the traditional market-makers at the largest U.S. trading floors were gradually replaced by automated trading systems, which gave control function of liquidity. However, due to a number of legislative changes in the firm, supporting the liquidity of electronic means, were not particularly burdened by obligations to buy in a falling market. As a result, the traditional market-makers almost extinct as a species. Thus, since 2000 their number on the NYSE fell from 25 to 5 firms.
Now, the SEC is no easy task - to make the existing market maker to work not only on the normal market, accumulating profits, but also to perform its functions in times of crisis. The current problem is compounded by the rather large number of trading floors - in the U.S., there are 11.
"Today, liquidity is fragmented into different electronic exchanges (ECN), and no single center, and no specialist dealing with a specific action and the leading order book. All this makes it impossible to give a market maker functions to control liquidity, especially in difficult times - explained RBC daily, former development director of sales in international markets one of the largest brokerage firms of Russia Nikolai Makarichev. - Another attempt to fight the regulator, first with "dark pool", but now for the full restoration of function binding liquidity support could lead to control and ban the activities of automated trading systems, or to restrict the activities of ECN. As we remember, in the summer regulator have been attempts to limit the speed of delivery of applications in cases surge in volatility. " However, according to Mr. Makarycheva, at the moment it is unclear exactly how the regulator will be able to control the stability of the market. After all, SEC will not be able to turn back the technological progress and transplanted traders on dial telephones, making voice to give instructions to buy shares of more than 1000 pieces. Nor will the regulator on and off the electricity in data centers, where servers are electronic brokers, said Mr. Makarichev.
AIG is bursting to freedom
The American insurance company AIG has been negotiating with the U.S. government to accelerate the process of re-privatization. As reported by The Wall Street Journal, it is expected that the transfer of the insurer in private hands will start in early 2011 and will take several years. The Treasury plans to turn owned preferred shares of AIG for 49 billion dollars in common and slowly sell them to private investors. Specific dates and details of the translation group in private hands will be released in the next few weeks.
Buffett does not believe in recession
"I have a very" bullish "attitude about this country (USA). Repeated recession, we will not be completely accurate. I see that our business in almost all directions comes back to normal, "- said the billionaire Warren Buffett, expressing the view that most economists predicted the opposite.
Swiss franc for the first time this year proved to be more expensive than the U.S. dollar
On Tuesday, a result of aggressive buying up the franc for the first time this year fell below parity to the dollar, writes the newspaper Kommersant. The global foreign exchange market for 1 dollar gave 0.9957 francs, that on 1,2% above the closing Monday. This high rate of the franc did not rise from December 4, 2009.
Earlier franc for a long time exceeded the dollar only twice - in March 2008 and in November-December 2009. At this time the maximum rate of the franc was recorded in March 2008 - 0.9674 francs to 1 dollar. Regarding the euro, the franc rose by 0,84%, to 1,287 francs to 1 euro.
The current strengthening of the franc began in mid-June, immediately after the Bank of Switzerland stopped conducting interventions in the foreign exchange market against your own currency, the newspaper reminds. "More than a year the Central Bank of Switzerland participated in the tender for the currency market, limiting the growth of the national currency", - said the head of conversion operations in international markets Promsvyazbank Andrew Skabelin. In March 2009 the Supervisory Board of the Bank of Switzerland, concerned about economic growth prospects of the country, has decided to limit the strengthening of its currency, as it negatively affects the export. But by the summer of 2010 the need for interventions weakened by itself, as the dollar approached a mark of 1.18 francs.
"Investors have traditionally bought francs in turbulent times, especially now that the Swiss economy is steady, stable and has a permanent trade surplus and current account", - said partner UFG Wealth Management Oksana Kuchuriv. According to the official statistical office of Switzerland, the country's GDP in the second quarter increased by 0,9% in annual terms amounted to 3,4%. Budget surplus for this year is expected to reach 1% of GDP, trade balance - 9,5% of GDP. This weak data on U.S. economy make you think about the prospects of its recovery. On Monday, analysts Bank of America - Merrill Lynch lowered the growth forecast for U.S. GDP in 2010 to 0,1 percentage points to 2.6% in 2011 to 0,5 PP to 1,8%.
According to the forecast, professor of economics at New York University, Nouriel Roubini, made them in early September, the agency Bloomberg, «if the global economy from slipping back into recession, with increasing risk aversion," the U.S. dollar, franc and yen have greater growth potential than gold.
Earlier franc for a long time exceeded the dollar only twice - in March 2008 and in November-December 2009. At this time the maximum rate of the franc was recorded in March 2008 - 0.9674 francs to 1 dollar. Regarding the euro, the franc rose by 0,84%, to 1,287 francs to 1 euro.
The current strengthening of the franc began in mid-June, immediately after the Bank of Switzerland stopped conducting interventions in the foreign exchange market against your own currency, the newspaper reminds. "More than a year the Central Bank of Switzerland participated in the tender for the currency market, limiting the growth of the national currency", - said the head of conversion operations in international markets Promsvyazbank Andrew Skabelin. In March 2009 the Supervisory Board of the Bank of Switzerland, concerned about economic growth prospects of the country, has decided to limit the strengthening of its currency, as it negatively affects the export. But by the summer of 2010 the need for interventions weakened by itself, as the dollar approached a mark of 1.18 francs.
"Investors have traditionally bought francs in turbulent times, especially now that the Swiss economy is steady, stable and has a permanent trade surplus and current account", - said partner UFG Wealth Management Oksana Kuchuriv. According to the official statistical office of Switzerland, the country's GDP in the second quarter increased by 0,9% in annual terms amounted to 3,4%. Budget surplus for this year is expected to reach 1% of GDP, trade balance - 9,5% of GDP. This weak data on U.S. economy make you think about the prospects of its recovery. On Monday, analysts Bank of America - Merrill Lynch lowered the growth forecast for U.S. GDP in 2010 to 0,1 percentage points to 2.6% in 2011 to 0,5 PP to 1,8%.
According to the forecast, professor of economics at New York University, Nouriel Roubini, made them in early September, the agency Bloomberg, «if the global economy from slipping back into recession, with increasing risk aversion," the U.S. dollar, franc and yen have greater growth potential than gold.
Britain plans to benefit from the rapidly developing markets
Great Britain intends not to oppose, and to extract benefits for themselves from a situation where an increasing proportion of world production comes from growing markets, said on Wednesday the British Minister of State for Business and Enterprise Vince Cable.
"Nothing surprising is not that India and China, which accounts for 20% of world population, begin to dominate the world economic arena.
It is obvious that in the near future, Brazil, Mexico and Russia together will have a production of more than Western Europe, "- said Cable Summit on countries with developing economies (Emerging Markets Summit).
Moreover, the minister said, many of the rapidly growing economies "has rapidly grown.
"We intend to use it as an opportunity for themselves, rather than a threat. The coalition government has stated its priority to establish and develop with these countries closer diplomatic and economic relations ", - said Cable. The British government, he said, also makes no effort to create favorable conditions in equity markets, for a favorable investment climate in countries such as Brazil, Thailand and so on, for government investment funds.
"Nothing surprising is not that India and China, which accounts for 20% of world population, begin to dominate the world economic arena.
It is obvious that in the near future, Brazil, Mexico and Russia together will have a production of more than Western Europe, "- said Cable Summit on countries with developing economies (Emerging Markets Summit).
Moreover, the minister said, many of the rapidly growing economies "has rapidly grown.
"We intend to use it as an opportunity for themselves, rather than a threat. The coalition government has stated its priority to establish and develop with these countries closer diplomatic and economic relations ", - said Cable. The British government, he said, also makes no effort to create favorable conditions in equity markets, for a favorable investment climate in countries such as Brazil, Thailand and so on, for government investment funds.
Merkel: Germany's economy is again on the rise
Two years after the start of the global economic and financial crisis in Germany again, there is an economic upturn. This was announced on Wednesday in the Bundestag during the debate on the state budget of Germany in 2011 Chancellor Angela Merkel, stressing that "we have reason to feel confident."
"We showed what we can do", - said the head of government of Germany, adding that "we have passed most of the way." According to her, ITAR-TASS, experts suggest that this year economic growth in Germany will exceed 3%.
But most important, says Merkel, is to improve the situation on the labor market. Unemployment dropped to a level below 3 million people, reaching pre-crisis point. Five years ago in Germany were unemployed almost 5 million citizens, reminded Merkel, calling this development "success of Christian-liberal government coalition" of CDU / CSU and FDP.
The Chancellor praised the economic decisions taken by the Government of Germany recently. According to her, they led to the fact that "we are now the locomotive of economic growth in Europe. The coming period will be in Germany "in the autumn of important decisions," Merkel has promised.
"We showed what we can do", - said the head of government of Germany, adding that "we have passed most of the way." According to her, ITAR-TASS, experts suggest that this year economic growth in Germany will exceed 3%.
But most important, says Merkel, is to improve the situation on the labor market. Unemployment dropped to a level below 3 million people, reaching pre-crisis point. Five years ago in Germany were unemployed almost 5 million citizens, reminded Merkel, calling this development "success of Christian-liberal government coalition" of CDU / CSU and FDP.
The Chancellor praised the economic decisions taken by the Government of Germany recently. According to her, they led to the fact that "we are now the locomotive of economic growth in Europe. The coming period will be in Germany "in the autumn of important decisions," Merkel has promised.
Stock indexes in the U.S. decreased by weak domestic statistics has
U.S. stock markets show negative dynamics at the opening of trading on Wednesday after the country published a number of pessimistic macroeconomic data.
The index of blue chips »DJIA as of 17:32 Moscow time dropped to 0.30% to 10 496.37 points, the index of wide market S & P 500 - on 0,49% to 1 115.65, the index of high-tech companies Nasdaq Composite - on 0,37% to 2 281.17.
On Wednesday it became known that the volume of industrial production in the U.S. in August increased by 0,2% compared with July, when, according to revised data, industrial production in the country increased by 0,6%. In this initial rate for July was at around 1,0%. Analysts had expected growth in industrial production in August at 0.3%.
In addition, business activity in the industry in New York has slowed to 4.14 in September to 7.10 points in August. Analysts expected indicator value at around 7.0 points.
Import prices in the U.S. in August rose by 0,6% compared with July, when growth was at 0,1%. At the same time analysts expected growth of only 0,2%. Prices for export commodities in August compared to the previous month rose by 0,8%.
The index of blue chips »DJIA as of 17:32 Moscow time dropped to 0.30% to 10 496.37 points, the index of wide market S & P 500 - on 0,49% to 1 115.65, the index of high-tech companies Nasdaq Composite - on 0,37% to 2 281.17.
On Wednesday it became known that the volume of industrial production in the U.S. in August increased by 0,2% compared with July, when, according to revised data, industrial production in the country increased by 0,6%. In this initial rate for July was at around 1,0%. Analysts had expected growth in industrial production in August at 0.3%.
In addition, business activity in the industry in New York has slowed to 4.14 in September to 7.10 points in August. Analysts expected indicator value at around 7.0 points.
Import prices in the U.S. in August rose by 0,6% compared with July, when growth was at 0,1%. At the same time analysts expected growth of only 0,2%. Prices for export commodities in August compared to the previous month rose by 0,8%.
French deputies approved an increase in retirement age
The lower house of French parliament adopted Wednesday the law on reforming the pension system of the country, reports BBC. According to the document, by 2018 the retirement age will rise from 60 to 62 years.
The bill supported by 329 deputies against him were 233 parliamentarians. Now the document to be approved by the Senate.
Against the adoption of the law expressed by representatives of the faction of Socialists, they tried to disrupt the vote, but failed. When the speaker called for an vote, the Left began to demand his resignation.
The French trade union organizations have also not fond of innovations, their leaders are threatening mass protests.
According to estimates of the Government, the law would save about 70 billion euros. Thus, President Nicolas Sarkozy hopes to reduce the budget deficit. Socialist Party of Sarkozy that by blocking the passage of the bill, they do not offer alternative savings measures.
The bill supported by 329 deputies against him were 233 parliamentarians. Now the document to be approved by the Senate.
Against the adoption of the law expressed by representatives of the faction of Socialists, they tried to disrupt the vote, but failed. When the speaker called for an vote, the Left began to demand his resignation.
The French trade union organizations have also not fond of innovations, their leaders are threatening mass protests.
According to estimates of the Government, the law would save about 70 billion euros. Thus, President Nicolas Sarkozy hopes to reduce the budget deficit. Socialist Party of Sarkozy that by blocking the passage of the bill, they do not offer alternative savings measures.
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Gates: U.S. wary of military supplies Georgia
Washington is providing military assistance to Georgia is largely due to the participation of the country's Afghan operation, said U.S. Defense Secretary Robert Gates.
"Much of what we're doing in Georgia - the training of personnel and so on - is due to the fact that they (the Georgians) are willing to make an important contribution to our efforts in Afghanistan", - stressed the head of the Pentagon.
Asked whether Washington would continue to supply weapons to this country, he noted the U.S. interest "to give Georgia the means by which they can help us in Afghanistan."
"Every sovereign country has the right to ensure its defense" - Gates said.
"We were quite cautious in what we deliver Georgia", - said the minister added.
"Much of what we're doing in Georgia - the training of personnel and so on - is due to the fact that they (the Georgians) are willing to make an important contribution to our efforts in Afghanistan", - stressed the head of the Pentagon.
Asked whether Washington would continue to supply weapons to this country, he noted the U.S. interest "to give Georgia the means by which they can help us in Afghanistan."
"Every sovereign country has the right to ensure its defense" - Gates said.
"We were quite cautious in what we deliver Georgia", - said the minister added.
"RBC daily": Two years of "no" Lehman Brothers.
Investment bank Lehman Brothers even two years after the collapse continues to pay generous bonuses to their employees. Commissions and fees of lawyers and accountants involved in the liquidation of the remaining assets of Lehman Brothers, approached $ 2 billion cost of liquidation of bank assets in the U.S., according to July 2010. Accounted for 917 million dollars and should exceed $ 1 billion in September. In London, the work of 300 lawyers and consultants PricewaterhouseCoopers, involved the liquidation of the European assets of the bank, demanded nearly $ 900 million, writes today, "RBC daily".
It is noted that the total cost of bankruptcy Lehman Brothers will continue to grow, as to its end yet. " Only in the U.S. payment to the liquidators will take another two years and a total of about $ 2 billion
Exactly two years ago - September 15, 2008. - One of the world's largest investment banks Lehman Brothers in assets at 639 billion dollars declared bankruptcy and filed in court a petition for protection from creditors. Lehman Brothers bankruptcy was the largest in the history of American business. It was after the collapse of Lehman Brothers the financial crisis become a global scale, the panic on Wall Street spread to all the world trading floors. Economists believe that the history of financial markets is now divided into "before" and "after" bankrupt Lehman Brothers.
In addressing the consequences of economic crisis and bank bailouts governments worldwide have spent 15 trillion euros, representing about a third of world gross national product (GNP). Only the U.S. government has allocated to support the financial system to $ 787 billion
It is noted that the total cost of bankruptcy Lehman Brothers will continue to grow, as to its end yet. " Only in the U.S. payment to the liquidators will take another two years and a total of about $ 2 billion
Exactly two years ago - September 15, 2008. - One of the world's largest investment banks Lehman Brothers in assets at 639 billion dollars declared bankruptcy and filed in court a petition for protection from creditors. Lehman Brothers bankruptcy was the largest in the history of American business. It was after the collapse of Lehman Brothers the financial crisis become a global scale, the panic on Wall Street spread to all the world trading floors. Economists believe that the history of financial markets is now divided into "before" and "after" bankrupt Lehman Brothers.
In addressing the consequences of economic crisis and bank bailouts governments worldwide have spent 15 trillion euros, representing about a third of world gross national product (GNP). Only the U.S. government has allocated to support the financial system to $ 787 billion
They believed in a recession Economists lower forecasts for U.S. economic
The weakening of U.S. macroeconomic indicators in the second quarter has given rise to serious concerns the possibility of recurrence of recession. The average probability of re-recession of more than 20%, calculated Wall Street Journal (WSJ). Economists continue to cut growth forecasts for GDP, and wait for improvements should be no earlier than mid-2011.
According to a survey WSJ among the 53 economists, the probability of the second decline in the average is 22%. According to the respondents publishing experts, a significant slowdown in U.S. economic growth in the second quarter (up 1.6%) increases the risk of double recession. "I appreciate the likelihood of re-recession to 25%. The remaining respondents had a similar opinion, "- said RBC senior economist at Nomura daily by U.S. Wrestle David, who participated in the study. Formerly a professor at New York University Nouriel Roubini assess the likelihood of re-recession in the U.S. 40%.
According to the median estimate of survey participants, the U.S. GDP in the third quarter of this year will grow by 1,9%, while in the fourth quarter - by 2,4% in annual terms. The previous forecast was more optimistic: three months ago, experts expected that in both quarters, the U.S. economy will grow by 3%.
Bank UniCredit Group also reduced the growth forecast of U.S. GDP in the second half with 2,25 to 1,75%. This annual rise in the U.S. economy will be only 2.6%. UniCredit economists justify the reduction in U.S. economic growth so that the effect of stimulating economic activity and the stock dropped significantly in April-June, and in the second half of the year in general can be negative.
However, a recession waiting, not all analysts. "Re-recession - not our base scenario, - said RBC economist at BNP Paribas daily on U.S. Elena Shulyateva. - We believe that the economy will grow long rates below average. We expect growth in 1.5% in the third and fourth quarters. " In 2011, as predicted by BNP Paribas, U.S. GDP will grow by 1,7% (with potential for growth in the 2,25%).
Economists Blue Chip Economic Indicators (52 leading experts from American companies, banks and universities) last week for the third consecutive time lowered the forecast for U.S. GDP growth. They believe that in the second half of the year this figure will be lower than 1,6%, which the United States demonstrated in the second quarter.
One reason for the slow recovery of the U.S. economy is the high level of unemployment in the country. Respondents expect WSJ, however, that the U.S. unemployment rate drops slightly in December to 8,9 from 9,6% in August.
UniCredit Group experts also believe that job growth will occur very slowly. According to their forecast, in late 2011, the unemployment rate was 8,75-9%. According to the forecast of Ms. Shulyatevoy, to the end of 2010 the unemployment rate will rise to 9.8%, and by the end of 2011 will drop to 9,4%.
It is believed the majority of experts interviewed by the WSJ, in such circumstances, the U.S. Federal Reserve will not be solved within the next 12 months to raise the primary discount rate from near-zero values. More than a quarter of respondents even believe that the rate increase may not happen before 2012. The Fed, however, will resume buying long-term commitment, I'm sure 31 out of 51 respondents.
"The actions the Fed might be effective, but may not be. But this does not mean that the Fed does not try to influence the situation. The Fed will begin to operate until the end of the year, most likely, resuming buying state bonds ", - said Mr. Wrestle. According to Ms. Shulyatevoy, Fed with 50-percent probability the next week may announce additional measures are likely related to the government bond market. "The Fed is ready to act, but need a reason. In the meantime, we will not grow fast, but still grow ", - noted the analyst.
Experts virtually unanimous that the next two to three quarters of the U.S. economy expect a serious test. At the same time since the second half of 2011 it will accelerate growth. "The results of the November congressional elections will have a positive impact on the economy: even initiated by President George Bush tax breaks, which should expire this year will be extended, as the congressional elections the Republicans will win", - said David Wrestle.
According to a survey WSJ among the 53 economists, the probability of the second decline in the average is 22%. According to the respondents publishing experts, a significant slowdown in U.S. economic growth in the second quarter (up 1.6%) increases the risk of double recession. "I appreciate the likelihood of re-recession to 25%. The remaining respondents had a similar opinion, "- said RBC senior economist at Nomura daily by U.S. Wrestle David, who participated in the study. Formerly a professor at New York University Nouriel Roubini assess the likelihood of re-recession in the U.S. 40%.
According to the median estimate of survey participants, the U.S. GDP in the third quarter of this year will grow by 1,9%, while in the fourth quarter - by 2,4% in annual terms. The previous forecast was more optimistic: three months ago, experts expected that in both quarters, the U.S. economy will grow by 3%.
Bank UniCredit Group also reduced the growth forecast of U.S. GDP in the second half with 2,25 to 1,75%. This annual rise in the U.S. economy will be only 2.6%. UniCredit economists justify the reduction in U.S. economic growth so that the effect of stimulating economic activity and the stock dropped significantly in April-June, and in the second half of the year in general can be negative.
However, a recession waiting, not all analysts. "Re-recession - not our base scenario, - said RBC economist at BNP Paribas daily on U.S. Elena Shulyateva. - We believe that the economy will grow long rates below average. We expect growth in 1.5% in the third and fourth quarters. " In 2011, as predicted by BNP Paribas, U.S. GDP will grow by 1,7% (with potential for growth in the 2,25%).
Economists Blue Chip Economic Indicators (52 leading experts from American companies, banks and universities) last week for the third consecutive time lowered the forecast for U.S. GDP growth. They believe that in the second half of the year this figure will be lower than 1,6%, which the United States demonstrated in the second quarter.
One reason for the slow recovery of the U.S. economy is the high level of unemployment in the country. Respondents expect WSJ, however, that the U.S. unemployment rate drops slightly in December to 8,9 from 9,6% in August.
UniCredit Group experts also believe that job growth will occur very slowly. According to their forecast, in late 2011, the unemployment rate was 8,75-9%. According to the forecast of Ms. Shulyatevoy, to the end of 2010 the unemployment rate will rise to 9.8%, and by the end of 2011 will drop to 9,4%.
It is believed the majority of experts interviewed by the WSJ, in such circumstances, the U.S. Federal Reserve will not be solved within the next 12 months to raise the primary discount rate from near-zero values. More than a quarter of respondents even believe that the rate increase may not happen before 2012. The Fed, however, will resume buying long-term commitment, I'm sure 31 out of 51 respondents.
"The actions the Fed might be effective, but may not be. But this does not mean that the Fed does not try to influence the situation. The Fed will begin to operate until the end of the year, most likely, resuming buying state bonds ", - said Mr. Wrestle. According to Ms. Shulyatevoy, Fed with 50-percent probability the next week may announce additional measures are likely related to the government bond market. "The Fed is ready to act, but need a reason. In the meantime, we will not grow fast, but still grow ", - noted the analyst.
Experts virtually unanimous that the next two to three quarters of the U.S. economy expect a serious test. At the same time since the second half of 2011 it will accelerate growth. "The results of the November congressional elections will have a positive impact on the economy: even initiated by President George Bush tax breaks, which should expire this year will be extended, as the congressional elections the Republicans will win", - said David Wrestle.
Japanese investors are not thrown in trouble The authorities have paid back the bank customers of a bankrupt
A small Japanese bank Incubator Bank, who announced last Friday about the bankruptcy, will not remain with their problems alone. To help its depositors national financial regulator for the first time in forty years, has decided to use a system of state guarantees. As a result, almost everyone who has trusted the bank will be able to recover their money.
The collapse of the Incubator Bank - the first bankruptcy in the Japanese banking sector over the past seven years and the first of which was used for the safeguards system, established in 1971. Under this system, each depositor is guaranteed a return of 10 million yen (94 thousand euros) and interest on the deposit. In the 90 years during the financial crisis the government was forced to extend their commitments for the full amount of deposits of citizens, but then in 2002 it was decided to once again limit the amount of compensation on short-term deposits. An exception was made only once. In 2003, bankruptcy Resona Bank and Ashikaga Bank to prevent the collapse of the financial system, both financial institutions were nationalized and their investors got back all their money.
On deposits bankrupt due to financial machinations of top management Incubator Bank at the end of June was 610 million yen (5.7 million euros). In this case, as reported by executives Incubator Bank, only 3500 investors (or less than 3% of the total) were deployed on the bank accounts more than 10 million yen.
According to the financial regulator, the depositors Incubator Bank state guarantees will be provided primarily because the Bank's work differed from the work of other Japanese financial institutions. In bankruptcy was not out on the interbank market, it functioned in isolation.
According to Japanese media, Japan's financial regulator has repeatedly accused the Incubator Bank that he entices customers immoral ways. Thus, the bank offered the investors a much higher percentage than its competitors, assuring that in case of bankruptcy of the state will not abandon them. With this amount of deposits grew by leaps and bounds. Thus, by March this year the volume of deposits increased by 40% compared to the same month last year.
Last year, the regulator began an investigation of leadership Incubator Bank. In July, former chairman of the bank Takeshi Kimura, and three other top managers were arrested on suspicion of obstructing an audit. In particular, they suspected that at the end of last year - the beginning of the current deleted hundreds of emails to be sent for verification. Mr. Kimura has left his post in May, when they were made public the bank's net loss for the past fiscal year on March 31 in the amount of 5.1 billion yen (48 million euros).
The authorities, meanwhile, insist that the wave of bankruptcies in the country will be no investors other Japanese banks, yet do not worry. As the head of the Central Bank of Japan Masaaki Shirakawa, bankruptcy Incubator Bank does not threaten the stability of the Japanese financial system.
«Incubator Bank - a special case: a small bank. So bankruptcy is not an issue for the financial system, it is only a problem bank customers ", - told RBC daily IHS Global Insight analyst Dan Ryan.
Japan will stimulate the economy
Prime Minister of Japan, Naoto Kan on Friday unveiled details of the plan for infusion into the economy of the country's 920 billion yen (11 billion dollars). These funds are needed to stimulate the growth of GDP due to the slowdown of the global environment and the appreciation of the yen against the dollar by 10% since the beginning of this year. In the second quarter of Japan's GDP was 1.295 trillion dollars, which is 3% less than China's GDP over the same period - to $ 1.337 trillion According to the prime minister, will support the infusion of economic activity in the country and help create 200 thousand jobs.
The collapse of the Incubator Bank - the first bankruptcy in the Japanese banking sector over the past seven years and the first of which was used for the safeguards system, established in 1971. Under this system, each depositor is guaranteed a return of 10 million yen (94 thousand euros) and interest on the deposit. In the 90 years during the financial crisis the government was forced to extend their commitments for the full amount of deposits of citizens, but then in 2002 it was decided to once again limit the amount of compensation on short-term deposits. An exception was made only once. In 2003, bankruptcy Resona Bank and Ashikaga Bank to prevent the collapse of the financial system, both financial institutions were nationalized and their investors got back all their money.
On deposits bankrupt due to financial machinations of top management Incubator Bank at the end of June was 610 million yen (5.7 million euros). In this case, as reported by executives Incubator Bank, only 3500 investors (or less than 3% of the total) were deployed on the bank accounts more than 10 million yen.
According to the financial regulator, the depositors Incubator Bank state guarantees will be provided primarily because the Bank's work differed from the work of other Japanese financial institutions. In bankruptcy was not out on the interbank market, it functioned in isolation.
According to Japanese media, Japan's financial regulator has repeatedly accused the Incubator Bank that he entices customers immoral ways. Thus, the bank offered the investors a much higher percentage than its competitors, assuring that in case of bankruptcy of the state will not abandon them. With this amount of deposits grew by leaps and bounds. Thus, by March this year the volume of deposits increased by 40% compared to the same month last year.
Last year, the regulator began an investigation of leadership Incubator Bank. In July, former chairman of the bank Takeshi Kimura, and three other top managers were arrested on suspicion of obstructing an audit. In particular, they suspected that at the end of last year - the beginning of the current deleted hundreds of emails to be sent for verification. Mr. Kimura has left his post in May, when they were made public the bank's net loss for the past fiscal year on March 31 in the amount of 5.1 billion yen (48 million euros).
The authorities, meanwhile, insist that the wave of bankruptcies in the country will be no investors other Japanese banks, yet do not worry. As the head of the Central Bank of Japan Masaaki Shirakawa, bankruptcy Incubator Bank does not threaten the stability of the Japanese financial system.
«Incubator Bank - a special case: a small bank. So bankruptcy is not an issue for the financial system, it is only a problem bank customers ", - told RBC daily IHS Global Insight analyst Dan Ryan.
Japan will stimulate the economy
Prime Minister of Japan, Naoto Kan on Friday unveiled details of the plan for infusion into the economy of the country's 920 billion yen (11 billion dollars). These funds are needed to stimulate the growth of GDP due to the slowdown of the global environment and the appreciation of the yen against the dollar by 10% since the beginning of this year. In the second quarter of Japan's GDP was 1.295 trillion dollars, which is 3% less than China's GDP over the same period - to $ 1.337 trillion According to the prime minister, will support the infusion of economic activity in the country and help create 200 thousand jobs.
Deutsche Bank increases capital He needs money for acquisitions Postbank
The leader of the banking sector in Germany Deutsche Bank (DB) is preparing the biggest difference in their recent history of increasing equity. As a result of the additional issue of its shares of the bank intends to bail out 9 billion euros. The money will be directed to the full redemption of securities Postbank. As a result, the number of private clients DB should double.
According to information received Handelsbank of the financial community, the head of Deutsche Bank Josef Ackermann and his chief financial officer Stefan Krause complete now negotiating with investment banks, and now may be known which of them will be the organizer of the forthcoming in the coming weeks additional issue. Issue of new shares for sale will allow Postbank DB closer to his goal - to reduce dependence on the volatility-prone areas of investment banking. And if in 2013 or even earlier, Mr. Ackermann will relinquish its seat successor, then give him a stable financial structure, based on its investment banking business and private clients.
The expansion of the local market has already begun DB, absorbing previously Berliner Bank, Norisbank and Bank Sal. Oppenheim, as well as gaining nearly 30% stake in Postbank. Incidentally, if the DB will be the sole owner of Postbank (DB has an option to acquire all the securities of the bank), it would mean that the current number of its private customers (14 million) increase immediately doubled.
However, as recently noted chief financial officer Stefan Krause, DB, deal with the Postbank «not so easy. When in 2008, Josef Ackermann bought a stake in Postbank at this bank owned the entire e-mail group Deutsche Post, capital adequacy ratio of the subject transaction was very low and amounted to 7,3%. No wonder that in the course of this summer, the European Regulators stress tests assessing Postbank were worse than any other German bank.
Now, if DB really intends to fully acquire Postbank, something other than 3 billion euros to buy itself it needs to raise at least another 5 billion euros - in order to maintain its capital adequacy ratio at 10% or higher. Besides, we should not forget that on the balance Postbank lurking still illiquid assets of almost 6 billion euros. In this regard, Thomas Shtegner of investment bank Macquarie believes that in order to buy Postbank not worsen the capital adequacy ratio DB, it should be 9.6 billion euros.
Experts believe that Messrs. Ackermann and Krause decided to act now because they want ahead of other banks, which will inevitably rush to the money market in order to meet more stringent requirements on the amount of equity under the new rules of Basel III ». From the comments in this regard the official representative of Deutsche Bank abstained. Meanwhile it became known that an increase in capital planning and the second largest bank of Germany - Commerzbank, but the timing of the additional issue he had not yet determined.
According to information received Handelsbank of the financial community, the head of Deutsche Bank Josef Ackermann and his chief financial officer Stefan Krause complete now negotiating with investment banks, and now may be known which of them will be the organizer of the forthcoming in the coming weeks additional issue. Issue of new shares for sale will allow Postbank DB closer to his goal - to reduce dependence on the volatility-prone areas of investment banking. And if in 2013 or even earlier, Mr. Ackermann will relinquish its seat successor, then give him a stable financial structure, based on its investment banking business and private clients.
The expansion of the local market has already begun DB, absorbing previously Berliner Bank, Norisbank and Bank Sal. Oppenheim, as well as gaining nearly 30% stake in Postbank. Incidentally, if the DB will be the sole owner of Postbank (DB has an option to acquire all the securities of the bank), it would mean that the current number of its private customers (14 million) increase immediately doubled.
However, as recently noted chief financial officer Stefan Krause, DB, deal with the Postbank «not so easy. When in 2008, Josef Ackermann bought a stake in Postbank at this bank owned the entire e-mail group Deutsche Post, capital adequacy ratio of the subject transaction was very low and amounted to 7,3%. No wonder that in the course of this summer, the European Regulators stress tests assessing Postbank were worse than any other German bank.
Now, if DB really intends to fully acquire Postbank, something other than 3 billion euros to buy itself it needs to raise at least another 5 billion euros - in order to maintain its capital adequacy ratio at 10% or higher. Besides, we should not forget that on the balance Postbank lurking still illiquid assets of almost 6 billion euros. In this regard, Thomas Shtegner of investment bank Macquarie believes that in order to buy Postbank not worsen the capital adequacy ratio DB, it should be 9.6 billion euros.
Experts believe that Messrs. Ackermann and Krause decided to act now because they want ahead of other banks, which will inevitably rush to the money market in order to meet more stringent requirements on the amount of equity under the new rules of Basel III ». From the comments in this regard the official representative of Deutsche Bank abstained. Meanwhile it became known that an increase in capital planning and the second largest bank of Germany - Commerzbank, but the timing of the additional issue he had not yet determined.
Russia, as never before, is close to joining the World Trade Organization
Washington and Moscow have until Sept. 30 to complete the harmonization of the remaining unresolved bilateral issues on Russia's accession to the WTO. According to the Under Secretary for Political Affairs William Burns, now Russia, as never before, is close to joining this organization. He noted that the U.S. will support Russia in the multilateral negotiations in Geneva, but added that as Russia is close to joining the organization, it is important to avoid protectionist measures.
Recall that the World Trade Organization is an international corporation created in 1995 to liberalize international trade and regulation of trade and political relations between member states. WTO replaced the General Agreement on Tariffs and Trade, concluded in 1947. Russia is trying to join the organization since 1995. During the negotiations, it is not just differences arose with the partner countries. The hardest thing was to agree with the U.S.. The main differences concerned the financial markets, supply of agricultural products in Russia and the protection of intellectual property rights. In November 2006, Russia and the U.S. signed a protocol on Russia's accession to the WTO. The only country which until recently opposed our entry into this organization, was Georgia. However, this country is not included in the working group on Russia's accession to the organization and can not unilaterally block Russia's accession to the WTO.
In June of this year, Russia and the United States at a summit in Washington set a goal to complete the work on outstanding bilateral issues until September 30. "We hope that this work (WTO), and we talked about this today and agreed to be completed by the end of September this year - had said after the talks, President Dmitry Medvedev. - I am pleased that we have set a time frame so as not to lose the positive foundation that we have gained in dealing with President Obama and does not dissolve the talk of the WTO endless discussions about the fate of a chicken and trimmings pigs. "I agree with the vision of President Medvedev of Russia as a new innovation, modernize the economy, and there are no serious obstacles to Russia's WTO accession", - said, in turn, the American president Barack Obama. He said after the talks that Moscow and Washington agreed to remove barriers to imports into Russia of U.S. products, particularly chicken. "We have agreed that they will overcome the barriers that stood in the way of imports into Russia of American products, particularly poultry meat, - Obama said. - This is the billions of dollars of revenue for the U.S. economy, and this important question. "
As stated in an interview to a Russian news agency Deputy Secretary of State for Political Affairs William Burns, now Russia is very close to the entry into the WTO. "Russia has made good progress in this direction, Obama declared Russia's help in achieving this goal as one of its highest priorities in relations with Russia", - said U.S. Undersecretary of State. He stated that "the U.S. will support Russia in the multilateral negotiations in Geneva on its accession to the WTO. To the question, lest the process of Russia joining the WTO, the Russian government plans to raise import duties on foreign cars, Burns said, "joining the WTO, Russia will have to follow standards that are mandatory for other members of the Organization." "And of course, yet (as far as how close to Russia joining the WTO) it is important to refrain from protectionist measures", - said the diplomat.
The experts expressed mixed views on this farewell senior official. According to the deputy director of the Institute of CIS Vladimir Zharikhin, the Americans use protectionist measures, Japan is using harsh measures against the imported goods, but this does not prevent them from being in the WTO. "Most Americans concerned about the customs duties on imported aircraft, - said" NO "expert. - Flights - this is one of the few types of goods, which America still is not on the territory of China. If we remove those fees, the revival of our aviation industry will end. The very conditions of entry into this organization involve lengthy and difficult negotiations, so Mr. Zharikhin sees nothing surprising in the statement of a diplomat. Because once joined, and then life play by those rules. "So there is nothing personal, just pure trade", - says the analyst.
Senior Fellow, Institute for Trade Policy Alexei Portansky believes that the statement by Mr. Burns has a certain basis. "Just remember the recent statement by Vladimir Putin about the fact that we are still not WTO members, so we can still raise taxes on cars, - said" NO "Mr. Portansky. - Formally, this is so. But there is a tradition: the countries that joined the WTO, trying to stay within those rules, which have been agreed upon during negotiations. We have already gone beyond those boundaries, we have increased during the crisis of duty. Now we want to raise them. It should be noted that protectionism to anything good usually does not lead. In addition, our country has slowed the process of bringing legislation into line with the requirements of the organization. "New requirements we do not impose, but we sometimes do not fulfill their promises, - said Alexei Portansky. - For example, the adoption of important laws relating to the protection of intellectual property, we pulled two years. That is, the ball is on our side. Of course, soft partners does not happen, because they want to get the maximum. But in this case we were not so fast, as is required for the negotiations.
Recall that the World Trade Organization is an international corporation created in 1995 to liberalize international trade and regulation of trade and political relations between member states. WTO replaced the General Agreement on Tariffs and Trade, concluded in 1947. Russia is trying to join the organization since 1995. During the negotiations, it is not just differences arose with the partner countries. The hardest thing was to agree with the U.S.. The main differences concerned the financial markets, supply of agricultural products in Russia and the protection of intellectual property rights. In November 2006, Russia and the U.S. signed a protocol on Russia's accession to the WTO. The only country which until recently opposed our entry into this organization, was Georgia. However, this country is not included in the working group on Russia's accession to the organization and can not unilaterally block Russia's accession to the WTO.
In June of this year, Russia and the United States at a summit in Washington set a goal to complete the work on outstanding bilateral issues until September 30. "We hope that this work (WTO), and we talked about this today and agreed to be completed by the end of September this year - had said after the talks, President Dmitry Medvedev. - I am pleased that we have set a time frame so as not to lose the positive foundation that we have gained in dealing with President Obama and does not dissolve the talk of the WTO endless discussions about the fate of a chicken and trimmings pigs. "I agree with the vision of President Medvedev of Russia as a new innovation, modernize the economy, and there are no serious obstacles to Russia's WTO accession", - said, in turn, the American president Barack Obama. He said after the talks that Moscow and Washington agreed to remove barriers to imports into Russia of U.S. products, particularly chicken. "We have agreed that they will overcome the barriers that stood in the way of imports into Russia of American products, particularly poultry meat, - Obama said. - This is the billions of dollars of revenue for the U.S. economy, and this important question. "
As stated in an interview to a Russian news agency Deputy Secretary of State for Political Affairs William Burns, now Russia is very close to the entry into the WTO. "Russia has made good progress in this direction, Obama declared Russia's help in achieving this goal as one of its highest priorities in relations with Russia", - said U.S. Undersecretary of State. He stated that "the U.S. will support Russia in the multilateral negotiations in Geneva on its accession to the WTO. To the question, lest the process of Russia joining the WTO, the Russian government plans to raise import duties on foreign cars, Burns said, "joining the WTO, Russia will have to follow standards that are mandatory for other members of the Organization." "And of course, yet (as far as how close to Russia joining the WTO) it is important to refrain from protectionist measures", - said the diplomat.
The experts expressed mixed views on this farewell senior official. According to the deputy director of the Institute of CIS Vladimir Zharikhin, the Americans use protectionist measures, Japan is using harsh measures against the imported goods, but this does not prevent them from being in the WTO. "Most Americans concerned about the customs duties on imported aircraft, - said" NO "expert. - Flights - this is one of the few types of goods, which America still is not on the territory of China. If we remove those fees, the revival of our aviation industry will end. The very conditions of entry into this organization involve lengthy and difficult negotiations, so Mr. Zharikhin sees nothing surprising in the statement of a diplomat. Because once joined, and then life play by those rules. "So there is nothing personal, just pure trade", - says the analyst.
Senior Fellow, Institute for Trade Policy Alexei Portansky believes that the statement by Mr. Burns has a certain basis. "Just remember the recent statement by Vladimir Putin about the fact that we are still not WTO members, so we can still raise taxes on cars, - said" NO "Mr. Portansky. - Formally, this is so. But there is a tradition: the countries that joined the WTO, trying to stay within those rules, which have been agreed upon during negotiations. We have already gone beyond those boundaries, we have increased during the crisis of duty. Now we want to raise them. It should be noted that protectionism to anything good usually does not lead. In addition, our country has slowed the process of bringing legislation into line with the requirements of the organization. "New requirements we do not impose, but we sometimes do not fulfill their promises, - said Alexei Portansky. - For example, the adoption of important laws relating to the protection of intellectual property, we pulled two years. That is, the ball is on our side. Of course, soft partners does not happen, because they want to get the maximum. But in this case we were not so fast, as is required for the negotiations.
In Austria, Raiffeisen investigate the involvement of the case Magnitskiy
Austrian authorities are investigating the possible involvement of bank Raiffeisen Zentralbank Austria (RZB) to the fraudulent scheme of theft from the Russian budget $ 230 million as a result of the investigation which has died in jail a lawyer investment fund Hermitage Serey Magnitskyi. Suspicions of the Austrian RZB investigators called the relationship with the Russian bank "Universal Savings Bank (" UBS "), through which could be derived at least part of the stolen funds, writes The Financial Times.
In response to a complaint Hermitage Austrian prosecutors in late June ordered an initial inquiry in respect of RZB and a number of individuals involved in transactions with UBS and another bank. According to the prosecutor, Michael Haller, the authorities intend to establish why, in conducting these transactions was not filed notification of a suspected money laundering, why not test was conducted by the origin of funds, as well as their possible criminal origin.
The need for such testing should be dictated by the fact that the owner of "CSS" is a Russian businessman Dmitry Klyuev, who in 2005 was held on charges of attempting to steal the shares of Mikhailovsky GOK and the result was found guilty and received a suspended sentence. In June 2008, the license "CSS" was canceled in connection with the decision of members of the bank on its voluntary liquidation.
RZB totally denies any involvement in money laundering and claims with reference to the results of an internal investigation, that in relations with "UBS" everything was clean. In particular, RZB insists on his innocence "or to convert Russian rubles and U.S. dollars ... not to transfer these funds. Comment on relationships with their customers RZB has refused, citing the Austrian banking laws. Prosecutors said that RZB is not accused in this investigation, and its purpose is to establish the feasibility facie case on the facts provided by the Hermitage.
Magnitskyi, who was arrested in November 2008 on charges of tax evasion with the organization, died a year later in a remand prison. According to the Prosecutor General's Office, 37-year-old Magnitskyi died of cardiovascular failure. However, his friends and colleagues argue that it "brought to death" in the detention facility "embezzlers in uniform", the crime of which he opened. Lawyer found that in mid-2007, MUP helped steal the three companies owned by Hermitage, deleting the originals of their statutory and financial documents. Then, in collusion with the tax inspections "kaznokardy in uniform" for one day stolen from the budget of 5.4 billion rubles. Paid by companies of Hermitage in the form of taxes.
Magnitskiy death sparked widespread public outcry, but the case of his death was opened only after the direct orders of President Dmitry Medvedev. This result at first said he did not find grounds to initiate proceedings against members of the Ministry of Internal Affairs and Investigations Committee of the Russian Interior Ministry, who investigated the case Magnitskiy, but later reversed the decision of the UPC to dismiss the case. In July, were published material, which alleged that the investigators on the case Magnitskiy - Maj. Pavel Karpov and Lt. Col. Artem Kuznetsov - after the theft of 5.4 billion rubles. began to lead a life not commensurate with their salaries. In early August, Interior Minister Rashid Nurgaliyev ordered the department's own security (DRC) to deal with accusations against these investigators.
In late August, Daily Telegraph reported that the names of several high-ranking representatives of the Russian law enforcement bodies were in the black lists of leading Western banks because of possible involvement in the death of Magnitskiy. They were in the database politically important persons (Politically Exposed Persons, PEP) organization World-Check, collecting from public sources on the potential corrupt in the world.
In response to a complaint Hermitage Austrian prosecutors in late June ordered an initial inquiry in respect of RZB and a number of individuals involved in transactions with UBS and another bank. According to the prosecutor, Michael Haller, the authorities intend to establish why, in conducting these transactions was not filed notification of a suspected money laundering, why not test was conducted by the origin of funds, as well as their possible criminal origin.
The need for such testing should be dictated by the fact that the owner of "CSS" is a Russian businessman Dmitry Klyuev, who in 2005 was held on charges of attempting to steal the shares of Mikhailovsky GOK and the result was found guilty and received a suspended sentence. In June 2008, the license "CSS" was canceled in connection with the decision of members of the bank on its voluntary liquidation.
RZB totally denies any involvement in money laundering and claims with reference to the results of an internal investigation, that in relations with "UBS" everything was clean. In particular, RZB insists on his innocence "or to convert Russian rubles and U.S. dollars ... not to transfer these funds. Comment on relationships with their customers RZB has refused, citing the Austrian banking laws. Prosecutors said that RZB is not accused in this investigation, and its purpose is to establish the feasibility facie case on the facts provided by the Hermitage.
Magnitskyi, who was arrested in November 2008 on charges of tax evasion with the organization, died a year later in a remand prison. According to the Prosecutor General's Office, 37-year-old Magnitskyi died of cardiovascular failure. However, his friends and colleagues argue that it "brought to death" in the detention facility "embezzlers in uniform", the crime of which he opened. Lawyer found that in mid-2007, MUP helped steal the three companies owned by Hermitage, deleting the originals of their statutory and financial documents. Then, in collusion with the tax inspections "kaznokardy in uniform" for one day stolen from the budget of 5.4 billion rubles. Paid by companies of Hermitage in the form of taxes.
Magnitskiy death sparked widespread public outcry, but the case of his death was opened only after the direct orders of President Dmitry Medvedev. This result at first said he did not find grounds to initiate proceedings against members of the Ministry of Internal Affairs and Investigations Committee of the Russian Interior Ministry, who investigated the case Magnitskiy, but later reversed the decision of the UPC to dismiss the case. In July, were published material, which alleged that the investigators on the case Magnitskiy - Maj. Pavel Karpov and Lt. Col. Artem Kuznetsov - after the theft of 5.4 billion rubles. began to lead a life not commensurate with their salaries. In early August, Interior Minister Rashid Nurgaliyev ordered the department's own security (DRC) to deal with accusations against these investigators.
In late August, Daily Telegraph reported that the names of several high-ranking representatives of the Russian law enforcement bodies were in the black lists of leading Western banks because of possible involvement in the death of Magnitskiy. They were in the database politically important persons (Politically Exposed Persons, PEP) organization World-Check, collecting from public sources on the potential corrupt in the world.
U.S. stock markets have closed, changed slightly and in different directions
U.S. stock indexes up to the auction on Tuesday, September 14, changed in different directions within the limits of 0,1-0,2% on the background of negative statistics has on the economy of Europe, reports Associated Press.
On Tuesday it became known that the index of business confidence of investors in the economy of Germany in September fell to minus 4.3 points compared with 14 points in August, which was worse than expectations of analysts, forecast that figure drops to 10 points. In addition, industrial production in the euro zone in July remained at the level of June, which also turned out worse than forecast.
By the closing trading the Dow Jones index fell by 0,2% - to 10 526.49 points. S & P's 500 lost 0.1% Tuesday, falling to 1 121.10 points. The Nasdaq up trades rose by 0,2% - to 2 289.77 points.
On Tuesday it became known that the index of business confidence of investors in the economy of Germany in September fell to minus 4.3 points compared with 14 points in August, which was worse than expectations of analysts, forecast that figure drops to 10 points. In addition, industrial production in the euro zone in July remained at the level of June, which also turned out worse than forecast.
By the closing trading the Dow Jones index fell by 0,2% - to 10 526.49 points. S & P's 500 lost 0.1% Tuesday, falling to 1 121.10 points. The Nasdaq up trades rose by 0,2% - to 2 289.77 points.
Forecast: Estonian state budget deficit in 2011 will amount to 1,3% of GDP
The Government of Estonia on the evening session on Tuesday agreed on a draft budget for 2011, according to which a deficit of 4 billion euros (about 256 million euros), or 1,3% of GDP, and is likely to become one of the lowest in the EU, the press office of the government.
According to the draft budget, the amount of state spending will exceed 94 billion euros (about 6 billion euros), the income of $ 90 billion kronor (about 5.76 billion euros). 2010 budget was adopted with a deficit of 5.2 billion euros (more than 330 million euros): then budget revenues amounted to 84.5 billion euros (more than 5.4 billion euros), the cost - 89.7 billion euros (about 5,7 billion euros).
Budget expenditures in 2011 could increase by almost 4 billion euros from the sale of quotas on carbon dioxide emissions and through more efficient use of financial assistance from the EU.
According to the government's plans in 2011 to 7,9% rise the cost of education. The draft budget 2011 provides the largest since 1990, the share of investment. The state plans in 2011 to invest 16 billion euros, which is 16% more than in 2010. The agreed draft budget will be sent for approval to parliament on September 27.
According to the draft budget, the amount of state spending will exceed 94 billion euros (about 6 billion euros), the income of $ 90 billion kronor (about 5.76 billion euros). 2010 budget was adopted with a deficit of 5.2 billion euros (more than 330 million euros): then budget revenues amounted to 84.5 billion euros (more than 5.4 billion euros), the cost - 89.7 billion euros (about 5,7 billion euros).
Budget expenditures in 2011 could increase by almost 4 billion euros from the sale of quotas on carbon dioxide emissions and through more efficient use of financial assistance from the EU.
According to the government's plans in 2011 to 7,9% rise the cost of education. The draft budget 2011 provides the largest since 1990, the share of investment. The state plans in 2011 to invest 16 billion euros, which is 16% more than in 2010. The agreed draft budget will be sent for approval to parliament on September 27.
Japan conducted foreign exchange intervention to the suspension of yen
Bank of Japan on the instructions of the Ministry of Finance of the country has intervened in the currency market for the suspension of yen, said Japanese Finance Minister Iosihiko Noda on an emergency press conference.
The decision on currency intervention was due to a sharp yen. In the morning on Tuesday the Japanese currency rose to a record 15 years mark in 82.87 yen to the dollar.
"Since yesterday, the yen has risen in price more ... This negatively affects our economy and businesses. We can not ignore (the situation) on the market. To curb excessive shocks, we conducted an intervention in the foreign exchange market ", - said the Minister. He stressed that the intervention was independent, but were held all coordination with foreign partners.
Appreciation of the yen market reacted to the victory of acting Prime Minister Naoto Kan and defeat his rival, Ichiro Ozawa on Monday in the past elections the leader of the ruling Democratic Party - thus Kahn retained the premiership. Ozawa advocated a more active policy on the market, and promised, if elected, to immediately carry out the intervention in the foreign exchange market. However, Kahn's victory was seen as an extension of half-hearted government policy, not excluding the intervention, but try to avoid specific statements and actions in this direction.
After the intervention, the yen fell below the 84 yen per dollar. The high yen threatens Japan's enterprises, export-oriented, big losses. In addition, in recent times due to the persistently high rate of Japanese currency risk arises inference production from Japan abroad. This could lead to job losses and threatening to gradually recovering economy.
The decision on currency intervention was due to a sharp yen. In the morning on Tuesday the Japanese currency rose to a record 15 years mark in 82.87 yen to the dollar.
"Since yesterday, the yen has risen in price more ... This negatively affects our economy and businesses. We can not ignore (the situation) on the market. To curb excessive shocks, we conducted an intervention in the foreign exchange market ", - said the Minister. He stressed that the intervention was independent, but were held all coordination with foreign partners.
Appreciation of the yen market reacted to the victory of acting Prime Minister Naoto Kan and defeat his rival, Ichiro Ozawa on Monday in the past elections the leader of the ruling Democratic Party - thus Kahn retained the premiership. Ozawa advocated a more active policy on the market, and promised, if elected, to immediately carry out the intervention in the foreign exchange market. However, Kahn's victory was seen as an extension of half-hearted government policy, not excluding the intervention, but try to avoid specific statements and actions in this direction.
After the intervention, the yen fell below the 84 yen per dollar. The high yen threatens Japan's enterprises, export-oriented, big losses. In addition, in recent times due to the persistently high rate of Japanese currency risk arises inference production from Japan abroad. This could lead to job losses and threatening to gradually recovering economy.
With Italian bankers ready to send up to $ 1 billion to build Olympic venues Sochi 2014
With Italian bankers invited to send up to $ 1 billion to build Olympic venues Sochi 2014, said in an interview published on Wednesday, the newspaper "Kommersant" supervisory board chairman and one of the major shareholders of the bank Intesa Sanpaolo Giovanni Badzoli.
"We have made the administration of President Medvedev simple sentence. There are a number of small, medium and large Italian companies that have declared their willingness to be built in Sochi, the infrastructure needed for the Olympics in 2014 ... enough participation of Italian firms in the 40-50% of the total work at the site, and we are ready to finance its construction on all 100% ", - said Badzoli edition.
At work in Sochi claimed more than 100 Italian companies, added the source of the newspaper.
"We have made the administration of President Medvedev simple sentence. There are a number of small, medium and large Italian companies that have declared their willingness to be built in Sochi, the infrastructure needed for the Olympics in 2014 ... enough participation of Italian firms in the 40-50% of the total work at the site, and we are ready to finance its construction on all 100% ", - said Badzoli edition.
At work in Sochi claimed more than 100 Italian companies, added the source of the newspaper.
Foreign direct investment in Georgia in II quarter has grown by 11%
Foreign direct investment (FDI) in Georgia in the II quarter compared to the same period last year rose 11% to $ 196.9 million dollars, according to the preliminary data published by the National Statistical Service of Georgia. FDI in the first half amounted to 272.6 million dollars, which is 6,38% less data over the same period last year.
Data on the activity of foreign investors seem, according to experts, rather blankly. In II quarter has become the largest investor in Georgia Holland with 77 million dollars, followed by USA with 42 million, British Virgin Islands (offshore zone) - 32 million, and Japan - 18 million dollars.
The largest share of direct foreign investment - 53% in II quarter has been involved in the transport and communications in the amount of 104.4 million dollars. This is followed by industry - 42 million dollars (21%) and real estate - 33.2 million (17%).
Foreign direct investment in Georgia in the I quarter totaled 75.7 million dollars. In 2009, FDI inflows declined by more than half - up to 658.4 million compared with $ 1.563 billion for the 2008-th.
Data on the activity of foreign investors seem, according to experts, rather blankly. In II quarter has become the largest investor in Georgia Holland with 77 million dollars, followed by USA with 42 million, British Virgin Islands (offshore zone) - 32 million, and Japan - 18 million dollars.
The largest share of direct foreign investment - 53% in II quarter has been involved in the transport and communications in the amount of 104.4 million dollars. This is followed by industry - 42 million dollars (21%) and real estate - 33.2 million (17%).
Foreign direct investment in Georgia in the I quarter totaled 75.7 million dollars. In 2009, FDI inflows declined by more than half - up to 658.4 million compared with $ 1.563 billion for the 2008-th.
Ukrainian VAB Bank to increase capital by 78%
Shareholders VAB Bank on September 9 has decided to increase its authorized capital by 78% - to 1.25 billion hryvnia ($ 1 - 7.9 hryvnia), wrote in a Wednesday newspaper Kommersant, citing the press service of the credit institution.
According to NBU, July 1, VAB Bank ranked 27 th in terms of assets (7.12 billion hryvnia) with his own capital 536.71 million As a result of recent additional issue of its major shareholders were TBIF Financail Services B. V. (Netherlands, 71.26%) and a Russian citizen Sergei Maksimov (11.23% directly and 16.08% through LLC Bauman Trade ").
As reported, late last year, the group Kardan, which owns TBIF, agreed with Sergey Maximov on redemption of its shares to bring its presence in the bank up to 98%.
According to NBU, July 1, VAB Bank ranked 27 th in terms of assets (7.12 billion hryvnia) with his own capital 536.71 million As a result of recent additional issue of its major shareholders were TBIF Financail Services B. V. (Netherlands, 71.26%) and a Russian citizen Sergei Maksimov (11.23% directly and 16.08% through LLC Bauman Trade ").
As reported, late last year, the group Kardan, which owns TBIF, agreed with Sergey Maximov on redemption of its shares to bring its presence in the bank up to 98%.
China has set the task to improve the free movement of the RMB exchange rate
China puts the task of ensuring a freer movement of yuan's exchange rate in accordance with economic needs, this goal is long-term. According to ITAR-Tass said the adviser of the Central Bank of China Xia Bin.
He said the government "plans to have the exchange rate, which is how you can better meet the needs of the real economy and that is more flexible." "The economic situation does not allow for abrupt changes in monetary policy", - said Xia Bin.
"The government should more accurately gauge the macroeconomic policy, but it will not change the fundamentals of his course", - concluded adviser.
He said the government "plans to have the exchange rate, which is how you can better meet the needs of the real economy and that is more flexible." "The economic situation does not allow for abrupt changes in monetary policy", - said Xia Bin.
"The government should more accurately gauge the macroeconomic policy, but it will not change the fundamentals of his course", - concluded adviser.
The Japanese government paid back to depositors Incubator Bank
To help small Japanese bank depositors Incubator Bank, which announced on Friday about the bankruptcy, the central bank of Japan for the first time in 40 years, employs a system of state guarantees, wrote on Monday, the newspaper "RBC daily».
The collapse of the Incubator Bank - the first bankruptcy in the Japanese banking sector over the past 7 years and the first of which was used for the safeguards system, established in 1971, according to the material. Under this system, each depositor is guaranteed a return of 10 million yen (94 thousand euros) and interest on the deposit. On deposits bankrupt due to financial machinations of top management Incubator Bank at the end of June was 610 million yen (5.7 million euros). However, as indicated Guide Incubator Bank, only 3,500 depositors (or less than 3% of the total) were deployed at the bank accounts more than 10 million yen.
According to the financial regulator, the depositors Incubator Bank state guarantees will be provided primarily because the Bank's work differed from the work of other Japanese financial institutions. In bankruptcy was not out on the interbank market, it functioned in isolation.
As reported last year, the regulator began an investigation of leadership Incubator Bank. In July, former chairman of the bank Takeshi Kimura, and three other top managers were arrested on suspicion of obstructing an audit. Kimura, left his post in May, when they were made public a net loss of the bank during the past fiscal year on March 31 in the amount of 5.1 billion yen (48,000,000 euros).
Authorities claim that the wave of bankruptcies in the country there will be no investors other Japanese banks have not yet worry. As the head of the Central Bank of Japan Masaaki Shirakawa, bankruptcy Incubator Bank does not threaten the stability of the Japanese financial system
The collapse of the Incubator Bank - the first bankruptcy in the Japanese banking sector over the past 7 years and the first of which was used for the safeguards system, established in 1971, according to the material. Under this system, each depositor is guaranteed a return of 10 million yen (94 thousand euros) and interest on the deposit. On deposits bankrupt due to financial machinations of top management Incubator Bank at the end of June was 610 million yen (5.7 million euros). However, as indicated Guide Incubator Bank, only 3,500 depositors (or less than 3% of the total) were deployed at the bank accounts more than 10 million yen.
According to the financial regulator, the depositors Incubator Bank state guarantees will be provided primarily because the Bank's work differed from the work of other Japanese financial institutions. In bankruptcy was not out on the interbank market, it functioned in isolation.
As reported last year, the regulator began an investigation of leadership Incubator Bank. In July, former chairman of the bank Takeshi Kimura, and three other top managers were arrested on suspicion of obstructing an audit. Kimura, left his post in May, when they were made public a net loss of the bank during the past fiscal year on March 31 in the amount of 5.1 billion yen (48,000,000 euros).
Authorities claim that the wave of bankruptcies in the country there will be no investors other Japanese banks have not yet worry. As the head of the Central Bank of Japan Masaaki Shirakawa, bankruptcy Incubator Bank does not threaten the stability of the Japanese financial system
The Americans hide their money in his underwear and a cat trays
American portal WalletPop asked its readers where they are hiding money. According to the survey, residents of the United States at times have shown their ingenuity.
For example, one of the visitors of the portal told about her cousin, hiding money from her husband in pack tampons, the other turns notes into a toilet paper roll, which keeps in the bathroom with the other spare rolls. Another "house bank" - underwear: clean (in the bra cups) or dirty (laundry basket).
In addition, money caches may be hollow cornices, cans or pots with artificial flowers. Sometimes caches created specially. For example, the father of one of the readers, plumber by profession, attached to the wall of the garage fake heating pipes, which look like real, and the other portal visitors carved out a hiding place in a thick wooden door. Also, caches make the frames of paintings or the vacuum cleaner (in the department for replacement bags).
One respondent keeps cash in the lining of an old coat, the other - in a pile of bags of concrete in the basement.
But most probably the original way to hide savings - under the cat litter. "I think the thieves will choke on the" flavors "even before they take possession of my meager savings" - shares his thoughts resourceful reader.
For example, one of the visitors of the portal told about her cousin, hiding money from her husband in pack tampons, the other turns notes into a toilet paper roll, which keeps in the bathroom with the other spare rolls. Another "house bank" - underwear: clean (in the bra cups) or dirty (laundry basket).
In addition, money caches may be hollow cornices, cans or pots with artificial flowers. Sometimes caches created specially. For example, the father of one of the readers, plumber by profession, attached to the wall of the garage fake heating pipes, which look like real, and the other portal visitors carved out a hiding place in a thick wooden door. Also, caches make the frames of paintings or the vacuum cleaner (in the department for replacement bags).
One respondent keeps cash in the lining of an old coat, the other - in a pile of bags of concrete in the basement.
But most probably the original way to hide savings - under the cat litter. "I think the thieves will choke on the" flavors "even before they take possession of my meager savings" - shares his thoughts resourceful reader.
The WB experts and executives of Belarus, 13-17 September to discuss the socio-economic situation in the country
The Expert Group of the World Bank headed by the Director for Ukraine, Belarus and Moldova Martin Raiser will be working in Belarus from 13 to 17 September. This Prime-TASS reported at the World Bank in Minsk.
"During the visit, will discuss the current socio-economic situation, the priority of economic policy measures the country, the course of implementation and training projects supported by the World Bank, carried out analytical work, as well as prospects of further cooperation of Belarus and the World Bank", - the representation.
In particular, Reiser will meet in the government, the National Bank and the Presidential Administration of Belarus, as well as meet with representatives of the international community, business and analytical circles.
In addition, on September 16 will pay a visit Reiser in the free economic zone "Brest" and a meeting with the leadership of the field.
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"During the visit, will discuss the current socio-economic situation, the priority of economic policy measures the country, the course of implementation and training projects supported by the World Bank, carried out analytical work, as well as prospects of further cooperation of Belarus and the World Bank", - the representation.
In particular, Reiser will meet in the government, the National Bank and the Presidential Administration of Belarus, as well as meet with representatives of the international community, business and analytical circles.
In addition, on September 16 will pay a visit Reiser in the free economic zone "Brest" and a meeting with the leadership of the field.
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Petroleum rises in price against the suspension of deliveries by pipeline Canada - USA
Oil prices continue to rise on Monday after reports that the pipeline Canada - USA, Canadian-owned Enbridge Energy Partners LP, is still not working, reports Dow Jones.
The cost of the October oil futures WTI (Light Sweet Crude Oil) in electronic trading in New York as of 18:30 Moscow time increased by 1.49 dollar per barrel, or 2.0% - to 77.94. Spot price of Brent crude to 18:39 Moscow time the dollar rose to 1,06, or 1,4% - to 78.65.
Following Friday October futures price U.S. light crude oil WTI stood at 76.45 dollars per barrel.
On Friday, U.S. media reported that the Enbridge Energy after small oil spills in the territory of Illinois, stopped pumping on the pipeline Line 6A, which delivers 670 thousand barrels per day from Canada to refineries in the U.S..
The pipeline - one of the most important links between production at oil sands of Canada and U.S. refiners. Deliveries for about 3% of the total fuel demand in the U.S..
The jump in prices reflects the fact that oil refineries in the western United States think about the possibility of replacing oil supplies, according to market participants. October futures rise in price faster than November, as demand is growing for the next time of delivery. However, due to the high level of stocks of raw materials for the country overall effect of the closure of the pipeline will be short-term, says Dow Jones.
"As soon as the incident will be settled, I think, will be active sale (fyuchersov. - approx. Ed.). At some point, prices will go down when people realize that there are other sources of oil to these refineries, "- said an analyst at Vantage Trading Tim Jennings (Tim Jennings).
The cost of the October oil futures WTI (Light Sweet Crude Oil) in electronic trading in New York as of 18:30 Moscow time increased by 1.49 dollar per barrel, or 2.0% - to 77.94. Spot price of Brent crude to 18:39 Moscow time the dollar rose to 1,06, or 1,4% - to 78.65.
Following Friday October futures price U.S. light crude oil WTI stood at 76.45 dollars per barrel.
On Friday, U.S. media reported that the Enbridge Energy after small oil spills in the territory of Illinois, stopped pumping on the pipeline Line 6A, which delivers 670 thousand barrels per day from Canada to refineries in the U.S..
The pipeline - one of the most important links between production at oil sands of Canada and U.S. refiners. Deliveries for about 3% of the total fuel demand in the U.S..
The jump in prices reflects the fact that oil refineries in the western United States think about the possibility of replacing oil supplies, according to market participants. October futures rise in price faster than November, as demand is growing for the next time of delivery. However, due to the high level of stocks of raw materials for the country overall effect of the closure of the pipeline will be short-term, says Dow Jones.
"As soon as the incident will be settled, I think, will be active sale (fyuchersov. - approx. Ed.). At some point, prices will go down when people realize that there are other sources of oil to these refineries, "- said an analyst at Vantage Trading Tim Jennings (Tim Jennings).
Obama: the state of the U.S. economy is far from ideal
Status of the American economy is far from ideal. According to ITAR-TASS, such recognition did the president Barack Obama, speaking in a suburb of Washington - the city of Fairfax (Virginia).
"The first step that we had to do - to stabilize the financial system and ensure that we again find ourselves in the Great Depression. We were able to restore stability ", - said the U.S. leader. However, he warned, "this is not all that needs to be done. The President recalled that the result of the crisis was the decline in the U.S. 8 million jobs. "Even taking into account the fact that this year we have created new jobs, we have so far failed to restore all those millions of items that have been lost", - declared head of state.
Among the main steps, which, in his view, lead to the improvement of the situation, the president called the tax cuts for the middle class, reforming the national health system and education.
Asked whether Obama is ready to cooperate with the U.S. Congress on these and many other key issues in the case after the November midterm elections power on Capitol Hill have moved from Democrats to Republicans, he proposed to "hold hands and go forward together."
Numerous public opinion polls show that control of Congress in November can go into the hands of Republicans, and then Democratic president will be much harder to carry out reforms.
Almost simultaneously with the speech of Obama's U.S. Treasury Department has distributed information on budget deficits. Following 11 months of fiscal year 2010, ending September 30, it was about 1.3 trillion dollars.
"The first step that we had to do - to stabilize the financial system and ensure that we again find ourselves in the Great Depression. We were able to restore stability ", - said the U.S. leader. However, he warned, "this is not all that needs to be done. The President recalled that the result of the crisis was the decline in the U.S. 8 million jobs. "Even taking into account the fact that this year we have created new jobs, we have so far failed to restore all those millions of items that have been lost", - declared head of state.
Among the main steps, which, in his view, lead to the improvement of the situation, the president called the tax cuts for the middle class, reforming the national health system and education.
Asked whether Obama is ready to cooperate with the U.S. Congress on these and many other key issues in the case after the November midterm elections power on Capitol Hill have moved from Democrats to Republicans, he proposed to "hold hands and go forward together."
Numerous public opinion polls show that control of Congress in November can go into the hands of Republicans, and then Democratic president will be much harder to carry out reforms.
Almost simultaneously with the speech of Obama's U.S. Treasury Department has distributed information on budget deficits. Following 11 months of fiscal year 2010, ending September 30, it was about 1.3 trillion dollars.
Forbes named the best and worst countries for those looking for work
Forbes magazine published the rating of best and worst countries in terms of job search. It is based on a survey of the largest recruitment agency Manpower among 62 thousand employees and is based on their intention to reduce or expand jobs in the period from October to December.
Superiority in the list of the most disadvantaged countries, given to Greece, where the index of employment is -10%. Compared with the previous quarter, it had worsened in two. Total listed with a negative outlook for the opening of new vacancies appear on five countries, including Italy (-8%), Spain (-4%), Ireland (-3%) and Czech Republic (-2%).
A sad prospect for the opening of jobs is also stored in Hungary, Romania, France, Holland and Britain.
Islands of prosperity in Europe in terms of the labor market looks only Germany with a value of +7%. U.S. not included in the top worst with an index of 4%.
Center for the opening of new vacancies in the current year will be China and India with 51% and 42% respectively. More likely to find jobs in Taiwan, Brazil, Costa Rica, Peru, Singapore, Australia and Panama.
Russia was not included in the ranking of best and worst countries in terms of job search.
Experts believe that the labor market remains an important indicator of the output from the recession in developed economies.
Superiority in the list of the most disadvantaged countries, given to Greece, where the index of employment is -10%. Compared with the previous quarter, it had worsened in two. Total listed with a negative outlook for the opening of new vacancies appear on five countries, including Italy (-8%), Spain (-4%), Ireland (-3%) and Czech Republic (-2%).
A sad prospect for the opening of jobs is also stored in Hungary, Romania, France, Holland and Britain.
Islands of prosperity in Europe in terms of the labor market looks only Germany with a value of +7%. U.S. not included in the top worst with an index of 4%.
Center for the opening of new vacancies in the current year will be China and India with 51% and 42% respectively. More likely to find jobs in Taiwan, Brazil, Costa Rica, Peru, Singapore, Australia and Panama.
Russia was not included in the ranking of best and worst countries in terms of job search.
Experts believe that the labor market remains an important indicator of the output from the recession in developed economies.
Ministry of Finance in Japan: Elections will not affect the monetary policy
Japanese Finance Minister Yoshihiko Noda said Tuesday that the government will maintain its policy of intervention in currency markets aimed at limiting the growth of the Japanese yen, regardless of the election results a leader of the ruling party to be held later in the day.
"Whatever the outcome of presidential elections the Democratic Party of Japan, the political vacuum is not formed and, in accordance with our long-standing policy, we will take decisive steps, including intervention where necessary", - he said.
Noda also said that the government will not tolerate the rapid, dramatic or prolonged yen, could destabilize the economy.
"Whatever the outcome of presidential elections the Democratic Party of Japan, the political vacuum is not formed and, in accordance with our long-standing policy, we will take decisive steps, including intervention where necessary", - he said.
Noda also said that the government will not tolerate the rapid, dramatic or prolonged yen, could destabilize the economy.
Ministry of Finance of Germany: the threat of a new credit crisis, there
His Government welcomed the new capital requirements set by the leadership of the international financial institutions on Sunday, and while he does not think that the new requirements will worsen the situation with the lending in the country. Told a representative of the Ministry of Finance of Germany Michael Hoffert.
"We do not see any threat to the credit crisis in connection with these rules," - he said. Finance Minister Wolfgang Schäuble does not think that these rules will be an excessive burden for German banks, including savings and cooperative banks, he added.
These rules are an important element of international efforts aimed at preventing a new financial crisis, said Hoffert. "We expect that this will become a landmark in the coming years", - he said.
On Sunday, leaders of international financial institutions have agreed to significantly increase the amount of capital that banks must reserve for potential losses, and they gave banks several years to adapt to the new rules.
"We do not see any threat to the credit crisis in connection with these rules," - he said. Finance Minister Wolfgang Schäuble does not think that these rules will be an excessive burden for German banks, including savings and cooperative banks, he added.
These rules are an important element of international efforts aimed at preventing a new financial crisis, said Hoffert. "We expect that this will become a landmark in the coming years", - he said.
On Sunday, leaders of international financial institutions have agreed to significantly increase the amount of capital that banks must reserve for potential losses, and they gave banks several years to adapt to the new rules.
U.S. budget deficit in August decreased by 13.6%
U.S. budget deficit in August this year decreased by 13,6% - to 90.53 billion against $ 103.56 billion in August 2009, reports the U.S. Treasury.
Analysts polled by Reuters, predicted value of the U.S. budget deficit in August at 95 billion dollars.
Following 11 months of 2009-2010 fiscal year, which will culminate in the USA 30 September of this year, the U.S. budget deficit amounted to 1,260 trillion dollars, which is 8.1% lower than the deficit figure of 1.371 trillion a year earlier.
U.S. budget deficit recorded the 23rd consecutive month.
In August, the U.S. Congressional Budget Office (Congressional Budget Office) increased the forecast deficit for 2011 fiscal year to 1.066 trillion dollars, or 7% of GDP, with a target deficit of 996 billion projected in March. At the same time, according to the U.S. Congressional Budget Office, the U.S. budget deficit in fiscal 2010 will amount to 9,1% of GDP, or 1.342 trillion dollars.
Analysts polled by Reuters, predicted value of the U.S. budget deficit in August at 95 billion dollars.
Following 11 months of 2009-2010 fiscal year, which will culminate in the USA 30 September of this year, the U.S. budget deficit amounted to 1,260 trillion dollars, which is 8.1% lower than the deficit figure of 1.371 trillion a year earlier.
U.S. budget deficit recorded the 23rd consecutive month.
In August, the U.S. Congressional Budget Office (Congressional Budget Office) increased the forecast deficit for 2011 fiscal year to 1.066 trillion dollars, or 7% of GDP, with a target deficit of 996 billion projected in March. At the same time, according to the U.S. Congressional Budget Office, the U.S. budget deficit in fiscal 2010 will amount to 9,1% of GDP, or 1.342 trillion dollars.
Exchange opened in the U.S. "red zone" on statistics has from Europe
Major U.S. stock indices dropped at the opening of trading on Tuesday on the background of a significant reduction in investor confidence in the economy of Germany, despite the increase in retail sales in the U.S..
The index of blue chips »DJIA at auction in New York as of 17:31 Moscow time decreased by 0.10% to 10 533.76 points, the index of wide market S & P 500 - on 0,14% to 1 120.32, the index high-tech companies Nasdaq Composite - on 0,17% to 2 281.83.
"The range of fluctuations in the market is limited - lead agency Bloomberg opinion of Vice-President of BlackRock Inc. Bob Doll (Bob Doll). - The stock market will break the current stalemate or in a positive direction, or in the negative. Now we are on the positive side, but recognize that investors need more solid evidence that the decline will not be repeated again. "
As it became known on Tuesday, retail sales in the U.S. in August increased by 0,4% compared to July - up to 363.7 billion dollars, while analysts polled by the information-analytical Internet portal dailyFX.com, predicted growth of only 0,3%.
Better prediction and another important parameter - the volume of retail sales, excluding automobiles and parts. He rose in August at 0.6% compared with July. Analysts had expected growth also by 0,3%.
Nevertheless, some experts note that to restore the world's largest economy, 70% of the runway which is spent on personal consumption, such rates are not enough.
In addition, pressure on U.S. stock indexes have negative news from Europe, where the index of investor confidence in the region's largest economy, Germany, fell in September to minus 4.3 points versus 14 points in August.
The index of blue chips »DJIA at auction in New York as of 17:31 Moscow time decreased by 0.10% to 10 533.76 points, the index of wide market S & P 500 - on 0,14% to 1 120.32, the index high-tech companies Nasdaq Composite - on 0,17% to 2 281.83.
"The range of fluctuations in the market is limited - lead agency Bloomberg opinion of Vice-President of BlackRock Inc. Bob Doll (Bob Doll). - The stock market will break the current stalemate or in a positive direction, or in the negative. Now we are on the positive side, but recognize that investors need more solid evidence that the decline will not be repeated again. "
As it became known on Tuesday, retail sales in the U.S. in August increased by 0,4% compared to July - up to 363.7 billion dollars, while analysts polled by the information-analytical Internet portal dailyFX.com, predicted growth of only 0,3%.
Better prediction and another important parameter - the volume of retail sales, excluding automobiles and parts. He rose in August at 0.6% compared with July. Analysts had expected growth also by 0,3%.
Nevertheless, some experts note that to restore the world's largest economy, 70% of the runway which is spent on personal consumption, such rates are not enough.
In addition, pressure on U.S. stock indexes have negative news from Europe, where the index of investor confidence in the region's largest economy, Germany, fell in September to minus 4.3 points versus 14 points in August.
Negative from Europe brought the gold in dramatic, plus
Gold on Tuesday, are increasing significantly in value against the background of falling investor confidence in Europe's largest economy - Germany - and renewed speculation about the slow pace of recovery of the world economy.
The December futures for gold at 17:58 Moscow time in the New York Stock Exchange on the Comex rose by 19.9 dollars, or 1,6% - 1 267.0 dollars per troy ounce.
Fears of inhibition of growth "may be another factor that contributes to an increasing interest in gold," said Bloomberg agency vice-president of MKS Finance Afshin Nabavi (Afshin Nabavi).
In addition, according Nabavi, a weak dollar is also supporting the precious metal.
The index of business confidence of investors in the economy of Germany in September fell to minus 4.3 points compared with 14 points in August, which was worse than expectations of analysts, forecast that figure drops to 10 points. In addition, industrial production in the euro zone in July remained at the level of June, which is also worse than forecasts.
Top gold prices also pushed the opening of U.S. stock exchanges in the "red zone" and the weak dollar. At 18:04 Moscow time the leading U.S. stock indexes fall at 0,14-0,23%, and the dollar to a basket of six currencies of countries - major U.S. trading partners - on 0,20% to 81.75 points.
Gold from the beginning of this year increased in price by 14% and can demonstrate the rising cost of the tenth consecutive year that will be the longest period of increasing prices of the metal at least since 1920. Rise in price of gold in recent years was due to growing instability in global financial system, the economic crisis, and since the beginning of this year, the main engine of growth of prices for the metal has become a debt crisis in Europe.
In periods of crisis in the economy of the gold is particularly popular with investors, who see it as a more reliable alternative to volatile currencies and subject to severe fluctuations in shares of companies.
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The December futures for gold at 17:58 Moscow time in the New York Stock Exchange on the Comex rose by 19.9 dollars, or 1,6% - 1 267.0 dollars per troy ounce.
Fears of inhibition of growth "may be another factor that contributes to an increasing interest in gold," said Bloomberg agency vice-president of MKS Finance Afshin Nabavi (Afshin Nabavi).
In addition, according Nabavi, a weak dollar is also supporting the precious metal.
The index of business confidence of investors in the economy of Germany in September fell to minus 4.3 points compared with 14 points in August, which was worse than expectations of analysts, forecast that figure drops to 10 points. In addition, industrial production in the euro zone in July remained at the level of June, which is also worse than forecasts.
Top gold prices also pushed the opening of U.S. stock exchanges in the "red zone" and the weak dollar. At 18:04 Moscow time the leading U.S. stock indexes fall at 0,14-0,23%, and the dollar to a basket of six currencies of countries - major U.S. trading partners - on 0,20% to 81.75 points.
Gold from the beginning of this year increased in price by 14% and can demonstrate the rising cost of the tenth consecutive year that will be the longest period of increasing prices of the metal at least since 1920. Rise in price of gold in recent years was due to growing instability in global financial system, the economic crisis, and since the beginning of this year, the main engine of growth of prices for the metal has become a debt crisis in Europe.
In periods of crisis in the economy of the gold is particularly popular with investors, who see it as a more reliable alternative to volatile currencies and subject to severe fluctuations in shares of companies.
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Stock market. Results of the day: the players have decided to take profit
Trading on Russian stock exchanges on Tuesday ended in the red zone. Following the session on the MICEX index dropped 0.58% to 1 433.22 items, RTS index - on 0,67% to 1 493.21. Quotes of Gazprom shares on the MICEX fell by 1,21%, LUKoil - on 0,61%, "Rosneft" - on 0,79%, Sberbank - on 0,11%, RusHydro - on 1,40 %. Paper Rostelecom grew by 9.06%.
"Today, trading on the Russian sites have opened lower quotes on a background of negative dynamics of futures for U.S. indices and the unstable dynamics of the quotations for the Asian sites - said the chief of analytical department of the company NetTrader.Ru Bogdan Zvarich. - In the future, negative sentiment in the Russian market have increased, but then started to restore, to let the market by the middle of the day to win back the morning and leave in the fall plus.
According to the head of analytical department IC Zerich Capital Management Nicholas Podlevskikh, in the middle of the day came a disappointing ZEW index of economic sentiment in Germany. As a result, went to the decrease in quotations of European and then the Russian market. Simultaneously, the players expect the publication of important economic data from the U.S..
Analyst company Aton Elena Kozhukhova indicates that the macroeconomic news from the States were positive. So, overall U.S. retail sales in August rose by 0.4%, while sales excluding cars rose by 0.6%, exceeding forecasts. The index of economic optimism IBD for September showed an increase from 43,6 to 45,3 points, which also turned out better than expected. Inventories for July, while increased by 1%. However, these data are brought to the markets only a temporary positive.
"It seems that Russian players have decided to take profits after four days growth of quotations", - believes senior trader at SG "Grandis Capital, Michael Kahn.
Zvarich concludes that today, more than any other fallen stock prices of Norilsk Nickel "and" InterRAO "(-2,5% and -1,9% respectively). Became more expensive paper Rostelecom and Uralsvyazinform (9.06% and 2.4% respectively).
Kozhukhova recalled that tomorrow in the U.S. at 17:15 Moscow time the change becomes known industrial output for August. At 12:30 Moscow time will also be published in the UK unemployment rate for July, and at 13:00 Moscow time - an index of economic expectations ZEW in Switzerland in September.
"Today, trading on the Russian sites have opened lower quotes on a background of negative dynamics of futures for U.S. indices and the unstable dynamics of the quotations for the Asian sites - said the chief of analytical department of the company NetTrader.Ru Bogdan Zvarich. - In the future, negative sentiment in the Russian market have increased, but then started to restore, to let the market by the middle of the day to win back the morning and leave in the fall plus.
According to the head of analytical department IC Zerich Capital Management Nicholas Podlevskikh, in the middle of the day came a disappointing ZEW index of economic sentiment in Germany. As a result, went to the decrease in quotations of European and then the Russian market. Simultaneously, the players expect the publication of important economic data from the U.S..
Analyst company Aton Elena Kozhukhova indicates that the macroeconomic news from the States were positive. So, overall U.S. retail sales in August rose by 0.4%, while sales excluding cars rose by 0.6%, exceeding forecasts. The index of economic optimism IBD for September showed an increase from 43,6 to 45,3 points, which also turned out better than expected. Inventories for July, while increased by 1%. However, these data are brought to the markets only a temporary positive.
"It seems that Russian players have decided to take profits after four days growth of quotations", - believes senior trader at SG "Grandis Capital, Michael Kahn.
Zvarich concludes that today, more than any other fallen stock prices of Norilsk Nickel "and" InterRAO "(-2,5% and -1,9% respectively). Became more expensive paper Rostelecom and Uralsvyazinform (9.06% and 2.4% respectively).
Kozhukhova recalled that tomorrow in the U.S. at 17:15 Moscow time the change becomes known industrial output for August. At 12:30 Moscow time will also be published in the UK unemployment rate for July, and at 13:00 Moscow time - an index of economic expectations ZEW in Switzerland in September.
British trade unions will hold a series of protests against the reduction of expenditure budget
The annual Congress of Trade Unions of Great Britain, held in Manchester, agreed on the consolidated holding a series of protests against the Government's planned reductions of budget expenditure. On Tuesday ITAR-TASS reported with reference to the British media.
In October in central London held a mass demonstration on the eve of the official presentation of the Minister of Finance budget report that lists the basic parameters of cost, which would plan for the next 12 months, the government coalition Tories and Liberal Democrats. The next phase of the nationwide demonstrations, designed to persuade the Government to abandon cost reductions as a means of leveling the budget deficit, will be held in March. If such actions are not persuade Whitehall to the need to change fiscal policies, trade unions will resort to the organization of strikes.
So the latest of these events because, according to the calculations of the trade unions, it was the spring of the residents of the United Kingdom, who will be able to enjoy myself all the "charms" to reduce budget expenditures, should increase the sense of dissatisfaction with government policy. Accordingly, and support for the strikes will then be larger. For example, the city council's second-largest British cities - Birmingham - has already sent 26 thousand people employed in government service (except for employees of educational institutions), the message warning of an excessive labor force and, consequently, the threat of dismissal in the case if they do not agree with the new conditions of employment contracts. Cuts in budgetary expenditures are incurred in order to save 330 million pounds.
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In October in central London held a mass demonstration on the eve of the official presentation of the Minister of Finance budget report that lists the basic parameters of cost, which would plan for the next 12 months, the government coalition Tories and Liberal Democrats. The next phase of the nationwide demonstrations, designed to persuade the Government to abandon cost reductions as a means of leveling the budget deficit, will be held in March. If such actions are not persuade Whitehall to the need to change fiscal policies, trade unions will resort to the organization of strikes.
So the latest of these events because, according to the calculations of the trade unions, it was the spring of the residents of the United Kingdom, who will be able to enjoy myself all the "charms" to reduce budget expenditures, should increase the sense of dissatisfaction with government policy. Accordingly, and support for the strikes will then be larger. For example, the city council's second-largest British cities - Birmingham - has already sent 26 thousand people employed in government service (except for employees of educational institutions), the message warning of an excessive labor force and, consequently, the threat of dismissal in the case if they do not agree with the new conditions of employment contracts. Cuts in budgetary expenditures are incurred in order to save 330 million pounds.
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Brazilian minister: Brazil will be presented to the largest banks in Russia and in Moscow - the largest banks in Brazil
"Urgent issue that we are now doing - is present in Brazil's largest banks of Russia, and Moscow - the largest banks in Brazil" - this in an interview RT said Brazilian Minister of Strategic Affairs Samuel Guimaraes.
"It is also - along with the introduction of direct flight - is of great importance for businessmen, facilitating the procedure of issuing banks loans. Today we have come to this decision, and in the future, this plan will be implemented "- he said.
Asked about the prospects of RT BRIC bloc in the context of international relations, Guimaraes said that "it is not an economic association - no, this is a political association. "I think there are very good prospects, - the Minister said. - This country has a great weight on the international arena, China, India, Russia, Brazil, they have a very large weight. And they can very positively affect the course of international negotiations in various areas ... As part of the BRIC bloc, we try to cooperate, coordinate our actions. There are many joint projects, such as a project to introduce a national currency for trade between member countries.
"It is also - along with the introduction of direct flight - is of great importance for businessmen, facilitating the procedure of issuing banks loans. Today we have come to this decision, and in the future, this plan will be implemented "- he said.
Asked about the prospects of RT BRIC bloc in the context of international relations, Guimaraes said that "it is not an economic association - no, this is a political association. "I think there are very good prospects, - the Minister said. - This country has a great weight on the international arena, China, India, Russia, Brazil, they have a very large weight. And they can very positively affect the course of international negotiations in various areas ... As part of the BRIC bloc, we try to cooperate, coordinate our actions. There are many joint projects, such as a project to introduce a national currency for trade between member countries.
Secretary General of OPEC does not rule out the decision to change quotas on oil production until the end of the year
Countries - OPEC members have until the end of the year to decide to change the quota of oil production. This possibility does not exclude the OPEC Secretary General Abdalla Salem al-Badri, as he said in Vienna at a press conference on the 50 th anniversary of the organization.
"Currently, oil market is quite enough - he said. - We closely monitor the situation, the market behavior and the trends that can occur before the end of the year. Everything will depend on the circumstances. If demand increases, we will increase production of oil, if reduced, then we decrease its prey. By the end of the year, we still have two meetings - one month later, another in December. In the meantime, the Secretariat remains in close contact with ministers and furnishes them with operational information. "
OPEC Secretary-General also found that almost half of the countries - OPEC members do not adhere to individual quotas and caught more than the allocated limits, ITAR-TASS.
In an interview published on Tuesday Handelsblatt newspaper al-Badri also expressed the view that demand for oil, the price of which is now a "normal" in the world in the next 12 months will grow.
"The current level of prices in the area of $ 80 per barrel is normal" - quoted by al-Badri said. According to him, in the next year we should expect oil demand growth - a move back over "thanks to a new global economic recovery, particularly intense in Asia
"Currently, oil market is quite enough - he said. - We closely monitor the situation, the market behavior and the trends that can occur before the end of the year. Everything will depend on the circumstances. If demand increases, we will increase production of oil, if reduced, then we decrease its prey. By the end of the year, we still have two meetings - one month later, another in December. In the meantime, the Secretariat remains in close contact with ministers and furnishes them with operational information. "
OPEC Secretary-General also found that almost half of the countries - OPEC members do not adhere to individual quotas and caught more than the allocated limits, ITAR-TASS.
In an interview published on Tuesday Handelsblatt newspaper al-Badri also expressed the view that demand for oil, the price of which is now a "normal" in the world in the next 12 months will grow.
"The current level of prices in the area of $ 80 per barrel is normal" - quoted by al-Badri said. According to him, in the next year we should expect oil demand growth - a move back over "thanks to a new global economic recovery, particularly intense in Asia
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