Dec 3, 2010 ~ Business

Friday, December 3, 2010

Stocks in U.S. Gain as Commodities dollar weakens after jobs data

U.S. stocks raw materials increased and extended its biggest weekly rise in more than a year as a falling dollar drove oil prices and metals, helping to overcome a drop early action following an unexpected rise in unemployment.

The Standard & Poor's 500 rose 0.3 percent to 1,224.71 at 4 pm in New York, adding to gains in the last half hour after CBS reported that the Federal Reserve, Ben S. Bernanke has not ruled out expanding the central bank program to buy assets beyond $ 600 billion. The dollar index lost 1.5 percent to its biggest drop since July. Oil rose to a 25 - month high near $ 89 a barrel and the S & P / GSCI index of prices rose to its highest level in more than two years.

The Dow Jones Industrial Average and S & P 500 earnings rose more than 3.2 percent in the last two days I was optimism in the economy was driven by home sales and retail purchases that exceeded projections and assessment of the Fed that recovery is gaining strength in most regions. Earlier today the decline came after the Labor Department said U.S. payrolls increased by 39,000 last month, behind the median forecast of economists in a survey for an increase of 150,000 jobs.

"The fact that stocks rallied despite a bad jobs report is a good sign," said Michael Holland, who oversees more than $ 4 billion as chairman of Holland & Co. in New York. "People are starting to focus on other economic data points showing that the economy will surprise positively. Is a reason to buy into the rally. It is a bad place for anyone who bet against stocks."

Weekly Rally

The S & P 500 rose 3 percent this week, its biggest gain in a month, with Newmont Mining Co. and Schlumberger Ltd. stimulating progress today in commodity shares. The Thomson Reuters / Jefferies CRB Index of 19 commodities rose 1.3 percent today and met the 5 percent this week, its biggest increase since October 2009.

The dollar weakened against 14 of 16 major pairs, losing more than 1.7 percent against the Swedish krona, Swiss franc and Norwegian krone. The drop came after the government in November employment report showed the unemployment rate rose to 9.8 percent, pointing to economic weakness is likely to keep the Fed's money pumping into the financial system.

"It will present a challenge to short-term views on the labor market, however at this point I do not think it will be detrimental to earnings expectations in 2011," said David Sowerby, a field Hills, Michigan, fund manager at Loomis Sayles & Co., which oversees $ 150 billion. "There has been a separation between the lack of health and labor market conditions very positive for corporate balance sheets. The benefits traditionally rebound before making markets work."

Bernanke Interview

Fed chairman, Ben S. Bernanke, in a television interview on CBS "60 Minutes", defended the Fed's decision to purchase $ 600 billion in Treasury bills and did not rule out extending the program, the network said.

"It explains why the Fed announced its intention to buy $ 600 billion in Treasury securities, the defense against the charges of the measure will lead to inflation and does not rule out buying more," according to a press release today CBS.

Stocks recovered from their lows of the session in the first half hour after the service industries expanded in November at its fastest pace in six months. The index of the Institute for Supply Management non-manufacturing, which covers about 90 percent of the economy, rose to 55 last month from 54.3 in October. A reading above 50 signals growth.

European shares erased earlier gains, with the Stoxx Europe 600 Index dropped 0.3 percent. GN Store Nord A / S fell 4.4 percent after Telekomunikacja Polska SA filed a complaint for arbitration.

Portuguese, Irish Bonds

Portugal and Ireland met bonds after the European Central Bank bought the debt of the nation today as policy makers try to combat the crisis in the region of the debt, according to people with knowledge of the transactions. An ECB spokesman declined to comment Frankfurt

The extra yield, or spread, investors demand to hold the values of 10 years Irish Landmark German bonds fell 39 basis points to 529 basis points, while the Portuguese-German spread fell 25 basis points to 307 points basic.

The Markit iTraxx Crossover Index of credit-default swaps on 50 companies with credit ratings on all high performance fell 7.3 basis points at an average price of 469.5.

Ruble rallies

The ruble appreciated 0.6 percent against the dollar after Russia was destined to host the World Cup 2018. Russia's MICEX Index advanced 1.1 percent to the highest level since July 2008, OAO Severstal and OAO Novolipetsk Steel rose more than 3 percent. The MSCI Emerging Markets Index rallied 0.8 percent.

Copper extended its biggest weekly gain in four months, the March futures rising 0.5 percent to $ 3.999 a pound and gaining 6.3 percent in the last five days.

Cotton futures rose, heading for the biggest weekly gain in 39 years, the growing concern that supplies will be limited in India, the world's largest exporter after the U.S. Prices rose the maximum allowed by the exchange for a third day, rising six cents to $ 1.3234 a pound weekly demonstration expand to 18 percent. Wheat reached its highest price in almost four months of heavy rains in Australia concerns delayed the harvest.

U.S. service economy grows more than expected as ISM index rises to 55

Service industries expanded in November at its fastest pace in six months, showing the U.S. recovery is expanding throughout the year comes to an end.

The index of the Institute for Supply Management non-manufacturing, which covers about 90 percent of the economy, rose to 55 last month from 54.3 in October. A reading above 50 signals growth.

Target Corp. is one of the largest retailers and sales during the holiday shopping season, testament to the earnings of the costs needed to encourage U.S. companies to increase hiring. A report from the Labor Department today showed the economy generates fewer jobs than expected last month while the unemployment rate rose to its highest level since April.

"The economy is improving," said Jeffrey Roach, chief economist at Horizon Investments in Charlotte, North Carolina. "It's a slow recovery. The consumer is beginning to happen, begin to show renewed confidence in recovery."

The median forecast of 76 economists surveyed by us expected the ISM index would rise to 54.8. Estimates ranged from 52.3 to 59.4.

Shares trim losses and Treasuries rose after the report. 500 of Standard & Poor's fell 0.2 percent to 1,219.27 at 10:39 am in New York. The yield on the benchmark 10-year Treasury, which moves inversely to its price, fell to 2.96 percent from 2.99 percent late yesterday.

November Employment

Employers added 39,000 workers to their payrolls in November, less than the most pessimistic forecast of economists surveyed by us, the Labor Department figures showed today. The unemployment rate rose to 9.8 percent from 9.6 percent. In October 2009, unemployment rose to a maximum of 26 years of 10.1 percent.

The ISM non-manufacturing employment increased to 52.7, the highest since October 2007, from 50.9 the previous month. The measure of new orders rose to 57.7, the highest since April, from 56.7. Business activity fell to 57 from 58.4.

The ISM's prices paid index fell to 63.2 from 68.3 the previous month.

The survey covers the services industries ranging from utilities and traders to health care, housing, finance and transport. The group index of the factory, published on 1 December fell to 56.6 last month from 56.9 in October.

The services index averaged 56.1 in the five years to December 2007, when the last recession. Is an average of 51.6 since the current recovery began in June 2009 through October, behind the 55.2 reading for the ISM manufacturing index over the same period.

Consumer spending

The recovery from the worst recession since the 1930s has been led by manufacturing exports have increased, business investment picked up and inventories are replenished. While the housing industry remains a weak link, consumer spending, which accounts for 70 percent of the economy has been growing.

The Federal Reserve, in its latest survey of regional economies, said on 01 December the economy was strong in much of the U.S. the hiring of the improvement, expansion of manufacturing and retailers anticipated a holiday shopping season stronger. The survey covered the period from early October to mid November.

Sales Target, Limited Brands Inc. and Costco Wholesale Corp. rose more than analysts estimated in November as more consumer goods to insurance broke off, especially during the weekend of Thanksgiving.

Estimated sales for Thanksgiving and three days after U.S. holidays reached $ 45 billion, a gain of 9.1 percent from a year ago, as the number of buyers increased by 8.7 percent to $ 212 million, according to the National Retail Federation.

November Sales

"November sales were better than expected, driven by strong customer traffic during the month," said Gregg Steinhafel, Target's executive director, yesterday in a statement.

At the same time, construction is one of the industries that have weighed on the non-manufacturing ISM survey and stay home sales near historic lows. new homes sold at an annual rate of 283,000 in October, near its lowest point of all time and below a recent peak of 1.39 million in July 2005.

"Sales of new homes are extremely low," said Larry W. Seay, chief financial officer of Meritage Homes Corp., in a teleconference on 11 November. "The reason sales are so low due to fear" that potential buyers "could lose their jobs."

As part of an effort to reach some of the largest employers in the nation, President Barack Obama met with Wal-Mart Stores Inc., CEO, Mike Duke at the White House on 29 November. The meeting is part of a series of meetings to seek the views of businesses, aimed to spur recovery and adding jobs.

The fall of the euro in the last month has led to the currency through key levels on a table Ichimoku call, indicating the decline may continue to $ 1.25 next year, Merrill Lynch Bank of America said, citing patterns trade.

The single currency reached a maximum of nine months of $ 1.4282 on Nov. 4, from $ 1.1877 on June 7, the lowest level since March 2006. The currency broke below the bottom of a chart Ichimoku the $ 1.3374 level, and its line of short-term conversion crossed below its long-term base. Also fell below $ 1.3080, representing a 50 percent Fibonacci retracement of the rally from June to November.

"After the euro broke below on key Ichimoku and Fibonacci levels, the momentum is clearly downward," said Tomoko Fujii, senior currency strategist at Bank of America Merrill Lynch in Tokyo. "With the downward trend likely to continue for at least several quarters, the euro will go down four-year high in June."

$ 1.2796 level "comes naturally to the view" as it is a 61.8 percent decline from a peak last month, with the next key level of $ 1.2445, a 76.4 percent change, Fujii said, citing the percentage changes provided by the Fibonacci sequence. The euro may fall below $ 1.25 next year at the earliest and the middle of next year at the latest, he said.

The currency has been the worst performer against the dollar so far this year after the Danish krone.

Ichimoku letters are used to predict the direction of a coin by analyzing the midpoints of highs and lows. Line charts conversion of the sum of the highest high and lowest low over the last nine trading days. The baseline is the same calculation in the last 26 days. The tag refers to the area between the lines first section and the second leader in the table and is used to show an area where buy orders may be grouped.

Fibonacci analysis is based on the idea that asset prices reach the peaks and valleys in a specific percentage of past trends in the table.

In technical analysis, investors and analysts charts on trading patterns and prices to forecast changes in the security, commodity, currency or index.

Cotton prices rose, capping the biggest weekly gain in 39 years, the growing concern that exports will be limited in India, the second largest producer in the world.

shipments of cotton yarn will be capped at 720,000 metric tons in the year that began October 1 in a bid to stabilize domestic prices and increase supply, the government of India said Dec. 1. New York futures have soared 75 percent this year as demand in China rose and stocks fell in the U.S., the leading exporter.

"India is not reliable," said Keith Brown, president of Keith Brown & Co., a brokerage firm in Moultrie, Georgia. "We have not solved any problem."

For the third consecutive day, the futures prices of U.S. ICE most animals raised. Cotton for March delivery rose the limit of 6 cents, or 4.7 percent, to settle at 1.3234 dollars per pound at 2:56 pm in New York, the biggest gain since July 2009.

May and July contracts also rose by the exchange limit.

This week, the most active contract rose by 18 percent, the most since July 9, 1971. Cotton rose to a record $ 1.5195 on 10 November.

Cotton has "seen a lot of bullish news such problems in India this week and we had some good export sales last week" for U.S. supplies, said Jack Scoville, vice president of futures prices Group Inc . in Chicago. "We have finished our correction, and we go to the races."

The increase in exports

U.S. cotton shipments totaled 322,977 bales in the week ended Nov. 25 compared with 250,684 the previous year, the U.S. Agriculture Department said yesterday. A bullet weighs 480 pounds, or 218 kilograms. China is the largest producer and consumer.

U.S. inventories have fallen 74 percent this year, heading for the biggest annual fall since at least 2003, when the data starts. Stocks held in warehouses monitored by ICE fell to bullets in October 8910, playing at least a minimum of eight years.

In July, there may be a "crisis" in the market because "they have exhausted all of the offer last year and have yet to reap the harvest of next year," said Brown, Keith Brown & Co.. "That's when the market could go into what I call 'the white heat," which is as hot as it gets to the head. "

Last month, the USDA projected to increase plantings by 21 percent to 11.04 million acres in the spring. Wheat and feed grain area decrease, the agency said in a report of 09 November. In India, production will rise to 26 million bales in the season that began on 1 August to 12 percent over the previous year, USDA estimates.

"Squeeze" December

Cotton for December delivery rose to 12.64 cents, or 9.2 percent, to $ 1.4998.

"The pressure we are seeing indicates that the immediate demand for cotton remains strong," said OA Cleveland, analyst cottonexperts.com in Starkville, Mississippi. "People are struggling more than 70,000 bullets."

Last month, Cleveland predicted the contract jumped 20 cents to $ 1,479 went to lapse. The last trading day is December 8.

As of today, 697 contracts, or about 72,500 bales were called for physical delivery, according to the exchange.

Crude oil futures increase to 25 months ago in New York as Dollar Falls

Crude oil rose to its highest level in 25 months, while the dollar fell, increasing the appeal of commodities as an alternative investment.

Oil jumped 1.4 percent in the dollar index fell to its lowest level since Nov. 23 after U.S. employers added fewer jobs than expected in November. The unemployment rate rose unexpectedly. Futures for delivery from 2013 to 2018 fell below the price of the current month.

"The increase is due to a dollar much lower," said Hamza Khan, an analyst of Schork Group Inc., a consulting firm in Villanova, Pennsylvania. "This is not based on fundamentals."

Crude oil for January delivery rose $ 1.19 to settle at $ 89.19 a barrel on the New York Mercantile Exchange, the highest closing price since Oct. 7, 2008. Futures rose 6.5 percent this week and 12 percent this year.

Oil futures for delivery in March 2012 decreased as the shorter-term contracts rose, a sign that the participants are betting on reducing the slope of a price increase in the coming years. The long-term contracts moved to a market structure known as backwardation.

"The movement has been working for a while, and that's what you expect when the fundamentals are tightening," said Costanza Jacazio, commodities analyst at Barclays Capital in New York. "Since the end of September we have seen a major redesign. The trend has changed."

Dollar Index

The dollar index, which is the currency against six others, fell 1.1 percent, the most since October 20, 14:38 in New York. The U.S. currency fell 1.2 percent to $ 1.3371 per euro, compared with $ 1.3209 yesterday.

The Thomson Reuters / Jefferies CRB Index of 19 raw materials advanced 1.3 percent to 316.16, the strongest level since 10 November. Fifteen of the commodities increased.

"The rally continues, with $ 90 now in sight," said Gene McGillian, an analyst and broker at Tradition Energy in Stamford, Connecticut. "We shrugged off the unemployment figures because of the way in which the dollar reacted to it."

U.S. payrolls increased 39 thousand less than the most pessimistic forecast of economists surveyed by us, according to Labor Department figures released today in Washington, a fuel demand signal may be slow to recover. The unemployment rate rose to 9.8 percent, the highest since April, the Labor Department figures showed today.

Fuel Consumption

Fuel consumption U.S. decreased 1.8 percent in the week ended on Nov. 26 to 18,500,000 barrels, the lowest since the seven days that ended on 15 October an Energy Department report this week showed. It was the third weekly decline.

"When the market does not sell on bearish news, it shows that there is a kind of inner strength there," said Matt Smith, a commodities analyst at Summit Energy in Louisville, Kentucky.

The index of the Institute for Supply Management non-manufacturing, which covers about 90 percent of the economy, rose to 55 in November from 54.3 the previous month. A reading above 50 signals growth.

Oil extended gains, touching $ 89.33 a barrel in intraday trading after breaking support at $ 88.63, the highest of 11 November.

"Some of it is just the ongoing bull market sentiment only briefly influenced by the employment report," said Tim Evans, energy analyst at Citi Futures Perspective in New York. "The softer U.S. dollar is one approach, although it has been a real argument of convenience. We are not implemented in any consistent manner."

$ 120 oil

Oil advances to $ 120 a barrel before the end of 2012 as consumption grows in emerging economies, according to a report today by JPMorgan Chase & Co.

Crude futures in New York will average $ 93 a barrel next year, compared with a previous estimate of $ 89.75 and London Brent crude will average $ 95 a barrel, compared with an earlier assessment $ 91.75, the bank's analysts forecast.

"Strong growth in oil demand emerging in the next 24 months is likely to pick up the call on OPEC production levels last seen at the top of the rise in oil prices in 2008," analysts led by Lawrence Eagles in New York, said.

The Organization of Petroleum Exporting Countries, which accounts for about 40 percent of global supplies is unlikely to increase production in the first half of next year unless prices increase by $ 100 a barrel, said analysts. oil ministers of OPEC meeting Dec. 11 in Quito, Ecuador.

Brent crude oil for January settlement on the ICE Futures exchange in London, Europe won 73 cents, or 0.8 percent, to $ 91.42 a barrel. Earlier, it reached a maximum of two years of $ 91.85 a barrel.

volume of oil in electronic commerce on the Nymex was 756,029 contracts in New York 14:42. Volume was 712,492 contracts yesterday, 2.7 percent above the average of the last three months. Open interest was 1.37 million contracts.

The administrator liquidate the investment firm Bernard Madoff sued former JPMorgan Chase & Co. for 6.4 billion U.S. dollars of bank credits with the complicity of fraud the fraudster jailed.

Irving H. Picard, the attorney appointed as trustee for a bankruptcy court in New York, said in a statement yesterday that JPMorgan sued seeking $ 1 billion in fees and $ 5.4 billion in damages.

"JP Morgan was willfully blind to the fraud, even after knowing many red flags surrounding Madoff," said David J. Sheehan, "Picard's lawyer, said in a statement." CCPE was in the center of that fraud, and fully complicit in it. "

Any money recovered from JPMorgan will be returned to victims of Madoff on a prorated basis, said Picard, who until now has recovered about $ 1.5 billion to creditors of Madoff.

Picard's claim "grossly distorts both the facts and the law in an attempt to grab headlines," said JP Morgan, the second largest U.S. bank, yesterday in a statement. "JP Morgan did not know anything or in any way contribute to the fraud orchestrated by Bernard Madoff."

JPMorgan, based in New York, said Picard has helped in their investigation of the signing of Madoff and called his claims "irresponsible and more range."

'XYZ'

Picard separately filed a complaint yesterday seeking $ 3,140,000 from a company not identified. The complaint against "XYZ" was filed under seal in U.S. Bankruptcy Court in Manhattan. The entry of record demand and demand include "$ 3135671000", or 3.14 billion U.S. dollars. In an email today, Picard provided the amount of the claim and said the judicial record is being corrected.

The lawsuit against JP Morgan, which Picard Madoff called "primary banker, was filed under seal in the same court, according to the statement of the administrator.

JP Morgan has appointed nearly all information as confidential, "said Picard. "We intend to pass the claim is made public as soon as possible."

The lawsuit is the second largest by Picard Madoff bankruptcy after a $ 7,200,000,000 claim presented against the investor Jeffry Picower May 2009. Picower died in October 2009.

$ 15.5 billion

Besides the demand Picower, Picard had at least 18 other lawsuits seeking repayment of $ 15.5 million paid to friends and family Madoff, funds, to investors and others.

On November 23, Picard sued UBS AG, at least $ 2 million, claiming that the Swiss wealth management also helped in the fraud Madoff. UBS said it would not be held responsible for crimes Madoff. Three days later, Picard sued 40 people who were former employees or relatives of Madoff Madoff and his wife, Ruth Madoff.

During the past week, Picard has sued hundreds of so-called "net winners", investors withdrew more of their accounts than they invested Madoff. Picard, supported by a failure of the U.S. bankruptcy case Judge Burton Lifland, such claims must be fictitious profits returned to the bankruptcy estate and paid to all victims with valid claims Madoff. Yesterday, sued the entities of the Paris-based BNP Paribas to recover $ 160 million fraud allegedly received Madoff.

Picard is demanding the return of fictitious profits obtained in the last six years.

Deadline December 11

Picard faces a December 11 deadline for the submission of claims to recover benefits false.

Madoff, 72, is serving a sentence of 150 years in a federal prison in North Carolina after admitting he runs the largest Ponzi scheme in history. Madoff was arrested and his firm, in New York, Bernard L. Madoff Investment Securities LLC, forced into bankruptcy when the news of the fraud became public in December 2008.

At the time of his arrest, Madoff account statements reflecting the accounts of 4900 with $ 65 billion in balances exist. Investors lost about $ 20 billion in capital.

The case is Picard against JPMorgan Chase & Co., 10-AP-4932, USA Bankruptcy Court Southern District of New York (Manhattan).

U. S. crop commodity stocks gain as producers

U.S. stocks erased losses as the weak dollar boosted oil prices and metals, which sparked a rally in commodity producers helped overcome an early fall action caused by an unexpected rise in unemployment.

500 of Standard & Poor's raised less than 0.1 percent, to 1,222.19 at 3:36 pm in New York after falling to 0.4 percent previously. The dollar index, which measures the currency against six major peers, dropped 1.2 percent to its biggest decline since October. Oil rose 1.4 percent to a 25-month high near $ 89 a barrel and the S & P / GSCI index products rose 1.3 percent above its highest closing level since October 2008 .

At the beginning of the decline in stocks came after the Labor Department said U.S. payrolls increased by 39,000 last month, behind the median forecast of economists in a survey of an increase of 150,000 jobs. The unemployment rate rose to 9.8 percent from 9.6 percent.

U.S. lawmakers selected to negotiate with the government of Obama on the extension of all or some of the tax cuts the Bush said congressional leaders should abandon plans to hold polls until the negotiators can meet.

Sen. Max Baucus, Montana Democrat, and Rep. David Camp, a Michigan Republican, said having the votes immediately on extending lower tax rates for the first $ 250,000 of income, that President Barack Obama proposed would be premature.

Camp, who is the chairman of the House Ways and Means Committee starting in January, and Baucus, chairman of the Senate Finance Committee, was appointed yesterday as Congress delegates to the negotiations. Obama Treasury Secretary Timothy Geithner and the Office of Management and Budget, Jack Lew as representatives of the administration. Arizona Sen. Jon Kyl, Republican House No. 2, and Maryland Rep. Chris Van Hollen, Member of the House Democratic leadership, complete the group.

The negotiators held their first meeting today, the Treasury said.

"I think it's important to have that first meeting to see where we are" before the vote, Baucus said yesterday. Campo agreed, saying that "I think we should give a chance" to start talks on tax cuts.

Negotiating a

Obama appointed Lew Geithner and reached an agreement with lawmakers seeking to prevent the expiration of all 2001 and 2003 tax cuts on 31 December. Obama and many Democrats want to keep rates lower for people with an annual income of $ 200,000 or less and married couples earning no more than $ 250,000 a year. Under the president's proposal, the lower rates expire on incomes above these figures.

Republicans support extending the tax cuts permanent for all income levels.

House of Representatives, Nancy Pelosi, a California Democrat whose party lost control of the camera next month, said earlier that she was planning a vote this week on Obama's proposal.

Senate Democrats have been planning a vote on the same legislation next week, Baucus said earlier this week. Majority Leader Harry Reid, a Nevada Democrat, yesterday declined to say whether that vote would be delayed.

Democratic leaders face some pressure from his party to hold the vote as a test of mettle through Republican to oppose legislation that would keep rates lower for middle-income taxpayers.

"Myself, I'm not talking about commitment," said Sen. Jeff Merkley, a Democrat from Oregon. "I think we should go to the plant and have the vote at $ 250,000."

Seeking a vote

In the House, Massachusetts, Democrat Richard Neal said he was also eager for a vote. Neal is a challenge to Michigan Representative Sander Levin Democrat for first place in the tax-writing Ways and Means Committee.

"I think we're close to the big time," said Neal. "I think both sides want to get a vote on the table."

Van Hollen said the House may vote tomorrow even before adding that "things can change quickly around here."

Obama and Lew Geithner appointed yesterday after meeting for nearly two hours with Republican congressional leaders and Democratic White House. The president said both sides agree that it is necessary to adopt measures to extend tax cuts for middle-income families before the end of the year, though still divided on the tax rates for wealthier Americans.

"There must be some sensible common ground" to resolve differences on taxes, Obama said. Geithner said Lew appointed "to break through this impasse."

Tax Puzzle

The negotiators must deal with six pieces of a puzzle to complete their tax work. Besides the question of the extension of a reduced rate of corporation tax, which must decide whether to keep the rate of 15 per cent tax on most dividends and capital gains in the long term or bring them back to levels higher. They must also resolve a dispute than a decade on the appropriate level of tax on properties worth $ 1 million or more.

Soon expire tax breaks for parents, married couples and low-income workers are also in the mix, as is action to reverse a $ 66 billion in alternative minimum tax in place for this year. Lawmakers are scrambling to restore dozens of tax breaks associated with the company expired at the end of 2009, including a research credit claimed more than 6,000 companies.

Bangalore Jokes Manila beatings at $ 21 billion-Call Center Career

During the last decade, Americans dial customer service was a great opportunity to be connected to someone in India. Now they are more likely to end up calling the Philippines.

Strong government support, a supply of university graduates speak English and an effort to call center operators to reduce their dependence on India have helped Argentina beat India in call center revenue, Bloomberg reported BusinessWeek in its issue of 06 December.

"Not that we're trying to take business from India," said Oscar Sanez, executive director of the Business Processing Association of the Philippines, an industry group. "We're finding our own place in the sun."

Philippines earn 5.7 billion U.S. dollars for the call center job this year in the U.S., Europe and Australia, compared with 5.5 billion dollars generated by India, according to the Everest Group, one with Dallas-based outsourcing advisory firm working with industry in the Philippines. The two centers represent about half of the global industry of 21 billion U.S. dollars, according to the Everest.

Call center operators said they like the Philippines because English is taught in schools and Filipinos have a cultural affinity of the U.S., which ruled the country from 1898 to 1946.

6 percent of GDP

"Clearly these guys had a much later start, but they have achieved," said Everest Group partner Nikhil Rajpal.

India remains a leader in global outsourcing revenue at $ 70 billion, compared with $ 9 billion to the Philippines, according to BPAP-India National Association of Software and Services Companies, a lobbying group in New Delhi . The outsourcing industry now employs 530,000 people in the Philippines, according to Everest, and is about 6 percent of gross domestic product, according to data compiled by Bloomberg.

A decade ago, millions of young Filipinos, especially the English-speaking nurses and students of law, immigrated to the U.S., Hong Kong and elsewhere. The billions of dollars sent home each year represented the country's second largest foreign exchange earner after Texas Instruments chips and other technology companies, according to World Bank data.

Tax Breaks

Frustrated government officials looked to India for inspiration, said Celeste Ilagan, who spent the last ten years working in government programs to encourage outsourcing and now heads the Global SPI communications, a call center operator property Philippine Long Distance Telephone Co., the nation's largest company by market value.

"India had become very famous for call centers, and decided to learn from their example," he said.

To better understand India's success, Filipino officials visited industry representatives there. The Philippine government has streamlined the approval process for companies setting up call centers and change its rules to allow individual buildings to be designated special economic zones, according to the Economic Zone Authority of the Philippines.

These zones offer tax incentives, authorizations for building permits quick and exemption from import duties on computers and telecommunications equipment. About 40,000 students have benefited from government-sponsored training to improve their English skills and communication, Sanez said.

English Jokes

Call centers are changing the rhythms of Philippine life. Shopping malls, bars, cinemas and cafes have appeared near the buildings where young workers earn up to 300,000 pesos night ($ 6.850) per year in a country where annual per capita GDP in 2009 was about 83 thousand dollars, depending data compiled by Bloomberg.

Weaned on radio stations that play U.S. Top 40 pop and hip-hop, young people seeking work in call centers can joke in English as naturally as his native Tagalog. Most shifts begin at 8 pm, as the U.S. East Coast wakes up.

"Before I had some doubts about letting young people work so late at night, but now has become an industry that young people aspire to," said Thea Lu, 30, team leader with 24 / 7 care client, based in Campbell, California.

Several companies currently operating in the Philippines participated in the revolution of outsourcing in India and then spread abroad. A tax break for outsourcing wigwams expires in 2011, although the industry is lobbying hard against it.

Wipro, Tata Consultancy

In Bangalore and Gurgaon, the India's largest outsourcing centers, businesses rely on diesel generators to ensure electricity, running fleets of buses to transport employees to and from work, and struggle with the wear that can reach 50 percent per year. These challenges and the desire to diversify geographically, have encouraged the Indian and U.S. companies operating call centers in India for work to the Philippines.

Wipro Ltd., based in Bangalore, India, established in the Philippine city of Cebu in 2007 and now has 2,000 workers in the country. For the year 2014, is expected to be 8,000.

24 / 7 Customer, which started operations in India in 2000, opened an office in the Philippines in 2005. Currently has 4,000 employees in the country, compared with 3,000 in India.

Tata Consultancy Services Ltd., the largest of India's software services, said on 02 December would open a business process outsourcing in the central Philippines.

Double revenues

"It's very sad that India could not keep up with their neighbors," 24 / 7 co-founder Shanmugam Nagarajan said.

The outsourcing industry in the Philippines has set a goal of doubling revenues by at least 2015, said Sanez. The biggest challenge is the shortage of managerial talent, Rajpal said. In an industry so young, few people have enough time for work in management or strategy.

"Where will we find the right kind of leadership that can make our business stand out?" Said Steve Baker, who heads the Asian operations of Sitel Worldwide Corp., a company in Nashville, Tennessee-based which has 10,000 workers and seven facilities in the Philippines.

The Philippines also produces only about 10 percent, many engineers as India, according to the graduation of both countries. ready supply of engineers in India has helped its companies range from outsourcing your call attention to the account management, technical support and consultancy work include banks to help manage financial derivatives and improving supply retailers.

"Ten years after the line, the Philippines can be a hot destination," said Sanjeev Bhatia, who oversees the international operations of Wipro BPO. "But in IT and software, India does not really have any competition."

JP Morgan said that oil prices will reach $ 120 a barrel before the end of 2012

Oil advances to $ 120 a barrel before the end of 2012 as consumption grows in emerging economies, according to JPMorgan Chase & Co.

The Organization of Petroleum Exporting Countries, which accounts for about 40 percent of global supplies is unlikely to increase production in the first half of next year unless prices increase by $ 100 a barrel, said the bank said in a report released today. Futures traded at around $ 87 a barrel in New York today, near its highest price in two years.

"Strong growth in oil demand emerging in the next 24 months is likely to pick up the call on OPEC production levels last seen at the top of the rise in oil prices in 2008," analysts led by Lawrence Eagles in New York, said. "We expect oil stocks to continue their trend of drawing in the first quarter."

JP Morgan raised price forecasts for 2011 oil contracts in New York and London. West Texas Intermediate on the New York Mercantile Exchange averaged $ 93 a barrel next year, 3.6 percent from an earlier estimate of $ 89.75, he said. Brent crude traded in London will average $ 95 a barrel next year, up from a previous assessment of $ 91.75.

The bank said the benchmark North Sea, used the price of two-thirds of the world's oil, will average $ 105 in 2012. Future are expected to reach $ 100 a barrel in the first half of 2011.

Brent crude for next month is trading at a premium of 4 cents for the future of February, the price situation known as backwardation suggests that supplies are more immediately in demand for later delivery. This is a "structure that is likely to remain in place for much of 2011 and 2012," said JP Morgan.Oil advances to $ 120 a barrel before the end of 2012 as consumption grows in emerging economies, according to JPMorgan Chase & Co.

The Organization of Petroleum Exporting Countries, which accounts for about 40 percent of global supplies is unlikely to increase production in the first half of next year unless prices increase by $ 100 a barrel, said the bank said in a report released today. Futures traded at around $ 87 a barrel in New York today, near its highest price in two years.

"Strong growth in oil demand emerging in the next 24 months is likely to pick up the call on OPEC production levels last seen at the top of the rise in oil prices in 2008," analysts led by Lawrence Eagles in New York, said. "We expect oil stocks to continue their trend of drawing in the first quarter."

JP Morgan raised price forecasts for 2011 oil contracts in New York and London. West Texas Intermediate on the New York Mercantile Exchange averaged $ 93 a barrel next year, 3.6 percent from an earlier estimate of $ 89.75, he said. Brent crude traded in London will average $ 95 a barrel next year, up from a previous assessment of $ 91.75.

The bank said the benchmark North Sea, used the price of two-thirds of the world's oil, will average $ 105 in 2012. Future are expected to reach $ 100 a barrel in the first half of 2011.

Brent crude for next month is trading at a premium of 4 cents for the future of February, the price situation known as backwardation suggests that supplies are more immediately in demand for later delivery. This is a "structure that is likely to remain in place for much of 2011 and 2012," said JP Morgan.

Advances in gold above U.S. $ 1,400 Increase payroll less than estimated

Gold rose above $ 1,400 an ounce in New York, USA employers added fewer jobs than expected in November, increasing the demand for wealth protection.

Payrolls increased by 39,000 jobs, less than the most pessimistic forecast of economists surveyed by us , the Labor Department figures showed today. The unemployment rate rose to 9.8 percent, the highest since April. Gold futures reached a record $ 1424.30 an ounce on November 09.

Weaker than expected jobs data is likely to keep metals driven by continued focus on easy Fed policy, "said Tom Pawlicki, an analyst at MF Global Holdings Ltd. in Chicago, in a report, referring to Federal Reserve.

Gold futures for February delivery added $ 13.90, or 1 percent, to $ 1,403.20 an ounce at 8:42 am on the Comex in New York. The metal for immediate delivery in London was 1.2 percent, to $ 1,402.25.

Rules of the Stock Exchange of research can be affected by U.S. trade probe

Rules for research analysts of stocks will probably not be affected by the U.S. research insider trading has resulted in the arrest of an "expert network" of employees, securities lawyers and law professors said.

A technology specialist Asia in Primary Global Research LLC, which matches investors with industry experts, was accused of leaking inside information within the framework of U.S. Attorney General Eric Holder, called a "very serious "criminal investigation of illegal operations on Wall Street. Researchers have assaulted three hedge funds and money managers including Janus Capital Group Inc. said

The shares, which are an extension of federal cases filed last year that have produced 14 convictions, raising questions about whether regulators are redefining what constitutes legitimate research value, especially the practice of digging small pieces of information to create a better understanding of a company, industry or trend. That's probably not the case, according to lawyers and academics.

"I do not think the rules are changing," said David S. Stone, head of corporate and securities practice at Neal, Gerber & Eisenberg LLP, a law firm in Chicago. The Securities and Exchange Commission focuses "on a different group that had not been in the spotlight."

While researchers have not detailed what they are examining his work has had an immediate impact on research practices on Wall Street, said Michael W. Mayhew, founder of Integrity Research Associates LLC, a New York firm that tracks trends in research investment.

Business Positions

expert networks have become an industry with $ 450 million to U.S. $ 500 million in revenues last year, estimates of Mayhew. The offensive has caused much of their business away, Mayhew said.

"The use of their services has been suspended or stopped, because their customers are concerned," he said.

The growth of networks of experts - from eight companies a decade ago to 40 today - is part of a campaign by hedge funds and other investors to be more aggressive about collecting information. Not the idea of networks of experts that may be illegal, but how they are used, and in particular investors to consult the experts.

"Analysts have become very sophisticated," said Perrie Weiner, international co-chairman of securities litigation at the law firm DLA Piper LLP in Los Angeles. "The question is: When you have expert analysts dig deeper than the average of analysts to dig, how far they have dug too far?"

Chu, Kinnucan

Don Chu Ching Trang, 56, an expert in wireless broadband and the World Elementary employee, was arrested Nov. 24 on charges that he provided inside information to a hedge fund manager who was cooperating with the government. Chu, who had worked at Mountain View, California-based company for seven years, was fired, said Dan Charnas, a spokeswoman. Chu James DeVita Attorney has refused comment.

The Federal Bureau of Investigation questioned John Kinnucan, who heads the broadband Research LLC in Portland, Oregon, and obtain most of their information by talking with people who do business with companies. Kinnucan, 53, said the FBI asked him to secretly tape a conversation with a client manager funds that were intended. He refused and has spoken out against the government's tactics.

"The Justice Department clearly wants to penalize retroactively research activities have been complicit tolerated by the SEC for the year," he said in an interview. "If you do not raise my voice, no one because everyone has gone underground."

"Violation of Duty"

Asked to comment on whether the definition of inside information is evolving, John Nester, SEC spokesman, said in an e-mail: "The illegal trade in insider trading is the act or causing someone to trade on the basis of material nonpublic information in violation of a right. "

Securities experts said that in recent cases, the key phrase is the rumor mills of Wall Street or in Silicon Valley "in violation of a right." - Or even parts travel agency - have always been places to gather information on public companies. This information is unlawful for the trade when it comes from someone who had the obligation to keep it secret.

The problem is not when research analysts talk to the competitors of a company or industry experts, or when hundreds of customers surveyed said Christopher Robertson, a partner at the law firm Seyfarth Shaw in Boston. legal problems when it comes to getting information from people - current or former employees, attorneys or consultants - who are forced to remain silent.

Richard Lee

Research networks routinely has a policy against connecting investors with employees of public companies if customers are looking to invest in them, "said Mayhew Integrity Research. He said that networks can not be sure their customers are being honest about their intentions.

World Primary Chu facilitated the passage of the tips on Atheros Communications Inc., Broadcom Corp. and Sierra Wireless Inc. to Spherix Capital LLC, a hedge fund run by Richard Lee Beng Choo, according to the complaint of the government. Lee had been cooperating with other research, which began in 2009, looking at the Galleon Group LLC, a hedge fund based in New York.

Chu had found a way to "privileged information", such as sales and numbers of contracts in public enterprises before posting quarterly results, according to the complaint. The information probably came from people who were obliged to keep it private.

Many other research methods are still legitimate, "said Harold Gordon, a partner at law firm Jones Day in New York.

Confusion

"There is still room for good research, fundamental," said Gordon, especially when analysts' build a picture of how a company is doing ", based on various information sources such as surveys competitors, control orders, parts or shipments load. "Go out and find information about a company without going inside," has always been allowed, "Stone said of Neal Gerber.

One area of confusion among lawyers and analysts is whether the store managers or other low-level employees can be sources of legal research data. Inside information is illegal only if it is material, which means it would be important enough to move the stock price.

"If you're really low on the food chain, the amount of information we have is that no one could say that the material," said Eric W. Orts, professor of management who specializes in legal studies and business ethics at the University of Pennsylvania Wharton School in Philadelphia.

Store Managers

The prosecution may argue that, although individual directors may not possess important information, a study of hundreds of managers yields important information that an investor can act, "said Stone.

"You go into gray areas when you start surveying managers of the stores," he said. Another question is whether the store managers or other low-level employees are forbidden by company policy to respond to these surveys and spoken "in violation of a right."

The answer may vary according to the company, and many employees probably do not know their own company policies on confidentiality, says Orts. "There needs to better inform employees about their responsibility."

With so much firepower for getting better information to investors, there may be an inevitable temptation for some people to push research to its legal limits.

"If joint work is to obtain an advantage in information," Orts said, "there are a lot of people that the temptation to step over that line."

U.S. stock Futures Retreat unexpected increase in unemployment rate

The U.S. stock futures slid, indicating the market may cut a weekly meeting, after slower growth than expected in payroll and an unexpected increase in the unemployment rate dampened optimism about economic recovery.

Hewlett-Packard Co., Citigroup Inc. and Amazon.com Inc. retreated at least 1.3 percent to lead abatement among the largest U.S. companies. Kroger Co. and Safeway Inc. fell more than 1 percent each after Barclays Plc lowered the ratings of the two supermarket chains.

Futures on the Standard & Poor's 500 Index expiring this month lost 0.6 percent to 1,215.8 at 9:11 am after climbing to 0.4 percent before the jobs report. Dow Jones Industrial Average futures fell 57 points, or 0.5 percent, to 11,306.

"It is a recovery of the glaciers to the labor market," said Chad Morganlander, a Florham Park, New Jersey-based fund manager at Stifel Nicolaus, which has $ 90 billion in client assets. "Today's numbers were surprising, especially in light of the best ever figures this week. That just tells me they still have to keep a careful eye at this stage."

The Dow and the S & P 500 were ready to end a two-day rally after the Labor Department said U.S. payrolls increased by 39,000 last month, behind the median estimate of economists surveyed by us for an increase of 150,000 jobs. The unemployment rate rose to 9.8 percent from 9.6 percent.

The S & P 500 is up 19 percent from its low in July 2010 as corporate profits and improving the Federal Reserve expanded its asset purchase program to suppress interest rates and fuel the economic recovery.

Rally Arrested

Stocks rose for a second day yesterday, giving the Dow Jones industrial average its biggest rally back to back since July, as sales in U.S. of origin and retail purchases and beat estimates by Goldman Sachs Group Inc. recommended buying the banks about the prospects for an improvement in the economy. The Dow and the S & P 500 have risen more than 3 percent each so far in December.

The Dow Jones industrial average has risen in December than in any other month in the last century, according to data compiled by Bespoke Investment Group. On average, the indicator of 30 stocks has risen 1.3 percent in the month in the last 100 years, while gaining 1.5 percent and 1.7 percent in the last 50 and 20 years respectively according to the data.

Stocks fell for the first two days of this week amid concerns that the crisis of European sovereign debt spreads. The European Central Bank President Jean-Claude Trichet said yesterday the bank to delay the withdrawal of stimulus and buy more government bonds.

Grocers Ratings Cut

Kroger, the U.S. supermarket chain who had the biggest drop in a year ago after dropping the top end of its earnings forecast for the year, fell 23 cents to $ 21.40 today after Barclays Plc lowered its rating to "equal weight" from "overweight." Safeway Inc., the U.S. supermarket chain fourth-largest, lost 1.1 percent to $ 22.04 after the stock was reduced to "underweight" from "equal weight" by the broker.

Coldwater Creek Inc. fell 3.5 percent to $ 3.32 after the women's clothing retailer reported a loss in the third quarter of 12 cents per share, lower than analysts' average estimate of 17 cents in a survey.

Walter Energy Inc. sank 3.8 percent to $ 101.60 after it agreed to buy coal from western Canada to add reserves and increase production of the commodity as prices rise. Walter Power offered C $ 11.50 per share in cash or 0.114 share Walter Energy companies said today in a joint statement. The price is a 56 percent premium to the closing price of Western coal for action on November 17, the day before the two companies announced they were in exclusive talks.

Unemployment climbs to 9.8% in the U.S. Only adds 39,000 jobs

Employers added jobs Fewer Than forecast in November and the Unemployment rate unexpectedly increaser, underscoring the Federal Reserve's decision to pump more money Into the economy to spur growth.

Payrolls INCREASED 39.000, Less Than The Most pessimistic projection of Economists survey by us, after a revised 172.000 Increase the prior month, Labor Department figures today Eichmann in Washington. The jobless rate rose to 8.9 Percent, the Highest Since April, while earnings stagnate and Worked hours.

Stocks Decline and Treasury securities as the report Eichmann Jumped Payrolls Are not growing fast enough to reduce the jobless rate, one reason why Fed policy makers Announced a new round of Monetary stimulus. More Jobs Are Needed to Sustain the holiday-season input gains in Consumer Spending, The Biggest part of the economy, Into the new year.

"The labor market is Not turning around, and that's key to the recovery overalls," Said David Semmens, U.S. economist at Standard Chartered Bank in New York. "Anyone Who Feels That ACTED Perhaps the Fed is definitely going too prematurely to Have to Eat Their Words."

Futures on the Standard & Poor's 500 Index expiring this month dropped 0.7 Percent to 1,214.02 at 8:50 a.m. in New York. The benchmark 10-year Treasury note rose, pushing the yield down to 2.93 Percent 2.99 Percent from late yesterday.

Private Payrolls

That Private Payrolls Also exclude Government agencies Gained Less Than forecast, rising by 50.000 in November. Economists 160.000 Project to gain, the survey Eichmann.

The WAS Unemployment rate forecast to hold at 9.6 Percent, According To mediate the prediction of 83 Economists survey by us. Estimates ranged from 9.4 Percent to 9.7 percent.

Manufacturers cut jobs for a Fourth straight month, Payrolls dropped at construction companies and Government Employment decline.

Overall Payrolls Were forecast to climb by 150,000, According To the survey median, with Estimates ranging from 75.000 to 200.000. The October figure revised up from an WAS INITIALLY Reported gain of 151.000.

Manufacturing Payrolls dropped by 13.000 in November, The Most in three months. Economists Projected Had an Increase of 5.000.

Construction Payrolls

Employment service-providers at 54.000 INCREASED. The number of temporary Workers rose 39.500. Construction companies and retailers subtracter 5.000 Workers 28.100 Workers let go.

Average hourly earnings in November Were $ 22.75 from $ 22.74 in the prior month, today's report Eichmann.

Government Decreased Payrolls by 11,000. State and Local Governments Employment Reduced by 13,000, while the Federal Government added 2.000 jobs.

New York City, Facing a $ 3.3 billion deficit in next year's budget, will cut workforce by more Than STI 10.000 over the next year-and-a-half, Mayor Michael budget office Said Nov. 18. More than 6.200 Workers Will Be Fired, and the remainder of the cuts will Be Made Through attrition, His office said.

The average work week for all Workers held at 34.3 hours.

The So-Called underemployment rate - Which includes part-time Workers who'd prefer a full-time position work and people Who Want to Have Given Up But looking - held at 17 percent.

Rate underemployment

The Eichmann Also report an Increase in the number of long-term Unemployed Americans. The number of people Unemployed for 27 weeks or more INCREASED as a Percentage of all jobless, to 41.9 Percent, the Highest Since August.

One reason why isn't Hiring Gaining speed is the economy's Inability to match the pace of recovery's Earlier growth. Gross domestic product expanded at annual rate to 2.5 Percent in the third quarter, half the pace in the last three months of 2009.

Also it'll take time to make up for the loss of More Than 8 million jobs, a result of the worst recession Since the 1930s.

Fed policy makers last month Began BUYING Treasury securities as part of a plan to pump as much as $ 600 billion more Into the Financial System in a bid to keep Interest Rates low and spur growth. Chairman Ben S. Bernanke Has Been Among Those Saying the recovery has-been too slow, too high and paro Keeping Leading to a deceleration in inflation That raises the Risk of deflation, or Damaging Sustainable and price decreases.

In an Effort to Reach Out to Some of the nation's largest Employers, President Barack Obama met with Wal-Mart Stores Inc. Chief Executive Officer Mike Duke at the White House on Nov. 29. The meeting is one of a series of sessions Aimed at soliciting the views of companies, with the goal of spurring the recovery and Adding jobs.

Oil falls after U.S. Payrolls rise less than expected

Oil fell, cutting its biggest weekly gain in a month on signs that economic recovery in the U.S. is fighting the world's largest consumer of crude.

Future resigned earlier gains after the Labor Department figures showed that U.S. employers added fewer jobs than expected in November and the unemployment rate rose unexpectedly, claiming the Federal Reserve's decision to inject more money into the economy to stimulate growth.

Oil for January delivery on the New York Mercantile Exchange fell to 58 cents to $ 87.42 and was at $ 87.71 a barrel at 13:35 London time. Earlier it rose to $ 88.33 a barrel, the highest since Nov. 11, and 4.5 percent this week. Brent crude for January in Europe ICE Futures exchange in London fell 23 cents to $ 90.46 a barrel, after reaching a maximum of two years of $ 91.13 a barrel.

Payrolls increased 39,000, less than the most pessimistic forecast of economists surveyed by us, after a revised gain of 172,000 last month, the Labor Department figures showed today in Washington. The unemployment rate rose to 9.8 percent, the highest since April, while the hours worked and incomes stagnated.

U.S. Treasuries Advance Then adds fewer jobs than expected in November

Treasuries rose after U.S. employers added fewer jobs in November forecast of economists, reigniting concern the pace of economic recovery will be slow.

yields ten-year note fell from the highest level since July yesterday reached the Labor Department said the economy created 39,000 jobs, below the median of a survey.

"I see nothing good in numbers," said John Briggs, government bond strategist U.S. at the Royal Bank of Scotland, RBS Securities unit in Stamford, Connecticut, one of the 18 primary dealers trade with the Federal Reserve. "Despite the stronger manufacturing data, which could be a reflection of the weakness of the dollar in recent months, there are a lot of wood to chop in the field of employment and firms seem to be reluctant to continue to recruit" .

The yield on the 10-year bond fell seven basis points, or 0.07 percentage point to 2.92 percent at 8:46 am in New York, according to BGCantor Market Data. The price of the security of 2,625 percent due November 2020 rose 18/32, or $ 5.63 per $ 1,000 face amount, to 97 14/32.

Payrolls increased less than the most pessimistic forecast of economists surveyed by us, after a revised gain of 172,000 last month, the Labor Department figures showed today in Washington.
The unemployment rate rose to 9.8 percent, the highest since April, while the hours worked and incomes stagnated.

Fed officials on November 12 began a round of $ 600,000,000,000 second asset purchases to support the growth of the economy and reduce unemployment and prevent deflation.

Employment days

The drop in payroll forecast comes after recent data pointed to an improving economy. The index of pending home resales rose 10 percent in October after falling 1.8 percent in September, the National Association of Realtors said yesterday in Washington. The median forecast in a survey called for a decline of 1 percent. The group's data back to 2001.

The Federal Reserve said on 01 December the economy was strong in 10 of its 12 regions as recruitment of the improvement, expansion of manufacturing and retailers anticipated a holiday shopping season stronger.

Goldman Sachs Group Inc. on December 01 raised its forecast for U.S. Gross domestic product growth next year to 2.7 percent from 2 percent. The U.S. economy will expand 3.6 percent in 2012, according to the report sent to clients of Goldman Sachs.

Gross domestic product grew at a rate of 2.5 percent per year between July and September, according to the Department of Commerce. The rate was 1.7 percent in the second quarter and 3.7 percent in the first.

Performance Forecast

U.S. sales retail rose 1.2 percent in October, above the forecast of a 0.7 percent increase based on the median estimate of economists polled by us, the Commerce Department said that 15 November.

The yield on the 10 years end the year at 2.56 percent, according to the median forecast in a survey of 63 banks and securities firms, with recent estimates given more weight. The yield on the two years is expected to end 2010 at 0.5 percent.

Big Lots, Chipotle, CVB, eBay, Teekay, Walter Power

Shares of the following companies may have unusual movements in U.S. trade. Stock symbols are in parentheses and prices are from 7:45 am in New York.

Amazon.com Inc. (AMZN U.S.) increased 0.3 percent to $ 177.07. Most e-commerce company invested $ 175 million in LivingSocial.com, a newspaper coupon website to benefit from growing demand for online discounts on products and services.

Big Lots Inc. (BIG U.S.) fell 3.7 percent to $ 29.94. The seller of excess inventory reduced its earnings forecast for 2010 to no more than $ 2.81 per share. The company previously projected at least $ 2.82 per share.

Cadence Pharmaceuticals Inc. (CADX U.S.): The San Diego company, signed Bristol-Myers Squibb Co. (BMY U.S.) to injections Ofirmev for sale in the U.S. and Canada, according to a regulatory filing.

Chipotle Mexican Grill Inc. (CMG U.S.) fell 1.2 percent to $ 247.86. The burrito chain McDonald separated from the AM Corp. in 2006 was reduced, weight Äúequal, UA, Äúoverweight, the AU of Morgan Stanley.

CNinsure Inc. (IMC USA) gained 8.6 percent to $ 19.99. An insurance brokerage company based in Guangzhou, China, said it plans to repurchase up to $ 100 million in American depositary shares.

Coldwater Creek Inc. (CWTR U.S.) fell 2 percent to $ 3.37. Women AOs clothing retailer reported a loss in the third quarter of 12 cents per share, lower than analysts' average estimate of 17 cents.

CVB Financial Corp. (CVBF U.S.): The bank holding company had its credit ratings cut by Fitch Ratings, which cited concerns about asset quality and the potential volatility of credit.

EBay Inc. (EBAY U.S.) fell 1.8 percent to $ 29.36. The owner of the second most visited U.S. site electronic commerce was reduced, Äúhold, UA, Äúbuy, UA Citigroup Inc.

Emergency Medical Services Corp. (EMS USA): The largest U.S. operator ambulance service said it agreed to buy Milford Anesthesia Associates, which has about 100 physicians and provides outsourced anesthesia at nine hospitals and 18 ambulatory surgery centers in Connecticut and Massachusetts. Financial terms were not AOT known.

Novell Inc. (NOVL U.S.) fell 0.5 percent to $ 5.93. The software maker Attachmate Corp. to be bought for $ 2.2 billion reported fourth-quarter sales of 206.5 million U.S. dollars, exceeding the average analyst estimate compiled by us.

Phillips-Van Heusen Corp. (PVH U.S.): The apparel maker said its fourth-quarter earnings will not exceed 81 cents per share, compared to the average estimate of 82 cents by analysts in a survey.

Sunoco Inc. (SUN U.S.): The Philadelphia-based refiner agreed to sell its Toledo, Ohio, the Toledo refinery to Refining Co., a unit of PBF Energy Co., for $ 400 million.

Teekay Offshore Partners LP (TOO U.S.): The owner of oil tankers, said it plans to sell 5.6 million units to fund vessel acquisitions.

Ulta Salon Cosmetics & Fragrance Inc. (ULTA U.S.): The beauty products retailer said its fourth-quarter earnings to 39 cents to 41 cents per share, according to analysts, the projection of AO for 40 cents, according to the average of a survey.

VeriFone Systems Inc. (PAY U.S.): The second largest manufacturer of electronic payment equipment forecast 2011 earnings of at least $ 1.60 per share on sales of at least $ 1.13 billion, much higher than the projection analysts' average.

Walter Energy Inc. (WLT U.S.) fell 2.8 percent to $ 102.60. Southern Appalachian coal producer has agreed to buy steel from Canada, the AM Western Coal Corp. for C $ 3,300,000,000 ($ 3.3 million) to add reserves and increase production of the commodity as prices rise.

Snow and freezing temperatures continue to affect services to the Channel Tunnel rail passengers, while airport operators say travelers tend to have more breaks in the tracks reopened across Europe.

Eurostar Group Ltd. plans to operate a "significant reduction" calendar until at least Dec. 5 and has halted all sales of tickets to next week, said on its website. London Gatwick Airport, the UK's second busiest, opened this morning after being closed since 30 November. Passengers should expect delays and cancellations, according to the website of the airport.

The unusually cold weather caused a major disruption of air transportation in Europe since the eruption of the volcano in Iceland in April Eyjafjallajökull land of 100,000 flights in six days. Eurostar is changing the schedule to avoid a repeat of last winter's freeze, in which five trains carrying 2,000 people stuck in the Channel Tunnel after the snow with disabilities in your electrical system, with 90,000 more stranded in stations.

"We have been warning that the journey is interrupted over the weekend," said Leigh Calder, a spokesman for Eurostar, by telephone. "The snow in Kent is quite extraordinary. If the trip is essential that they are advising clients not to do. Quite a lot of people are left out."

Revised list

Eurostar scrapped 17 services, six fewer than yesterday, and said today that 38 continues to operate may be delayed for 1 1 / 2 hours. The company plans to publish its revised schedule for tomorrow at about 4 pm today and customers should check the website before going to the stations, "said Calder. Eurostar has drastically cut services after the speed limit of 300 kilometers per hour (186 mph) just 160 kilometers per hour.

Trains canceled today, including six from London to Paris and five in the other direction, plus three in each direction between the capital of the United Kingdom and Brussels. While ticket holders may obtain a refund or rebooking, no new entries are available until at least December 6.

At Gatwick, about 1,200 flights were canceled more than 48 hours. The airport normally attracts about 70,000 passengers a day at this time of year, CEO Stewart Wingate, said yesterday.

"We had tickets to fly out of Gatwick on Wednesday, but said it was canceled," said UK resident Jamie Wigley, 33, who was to get married in Barbados today. "Although the airport is open, flights are going full, and our company can not tell us when the next available."

Delays, cancellations

BAA Ltd. said London's Heathrow airport was operating normally, but had delays and cancellations due to disruption elsewhere. The company advised passengers using Edinburgh airport to contact their airlines before traveling. Robin Hood Airport Doncaster Sheffield is expected to be closed until 05 December, according to its website. Airports in Geneva, London, Dublin and Belfast yesterday resumed operations.

The first widespread snowfall in the United Kingdom since 1993 has disrupted road and rail traffic, with very low temperatures and widespread ice likely to last into next week, according to the Met Office.

The government has "great concerns" about the supply of gasoline, diesel fuel and food, spokesman for Prime Minister David Cameron, Vickie Sheriff, told reporters in London today.

Economic impact

Any impact of severe weather conditions in the UK economy will be largely shaped by early summer, the Centre for Economics and Business Research Ltd., said in an emailed statement. However, up to 1,000 additional companies may run out of cash this winter as the recession has put more companies "near the edge of bankruptcy," he said.

CEBR estimated that the interruption of the time could cost the economy about 1 billion pounds ($ 1,570,000,000) per day, while the German economy, where construction activity is sensitive to climate, may be more severely affected.

Green South Railway Group Ltd. Plc, which operates commuter services from the southeast of England in London, will run a reduced service on a limited number of routes from now until 21:00 local time with snow and ice that covers much of the corporate network in the south said on its website today. Passengers can expect shorter trains on some routes.

South West Trains Stagecoach Group Plc, the largest British passenger, said the services run out of London Waterloo to most destinations, subject to delays. canceled services include Salisbury to Bristol and Hampton Court.

Germany, France

state rail operations in Germany Deutsche Bahn AG ran relatively well this morning, as the situation "significantly reduced", said spokeswoman Kathrin Fellenberg. The operator expects to improve further today when the trains are still facing delays, especially in northern and eastern Germany.

Traffic at Frankfurt Airport is running smoothly, "without disruption to aviation" in it, Thomas Uber, a spokesman for operator Fraport AG said. Of the 44 canceled flights so far today, caused by the weather, "not because of problems in Frankfurt, but in other" airports, Uber said.

French high speed train network was running a full schedule today, although there are small delays due to temporary speed limits in areas of the network still under snow, Julie Vion-Broussailles, a spokesman national SNCF, said by telephone.

Lyon airport, which was closed to flights in poor visibility due to earlier this week, was opened today. The passengers were to check their flights before leaving operator Aeroports de Lyon, said in a message on his website. Paris Charles de Gaulle and Orly airports were operating normally.

Freezing temperatures and blowing snow has claimed 28 lives across Central Europe this week, according to Agence France-Presse. Two pensioners were found dead in separate incidents in Cumbria this week, the Press Association reported.

U.S. -stock futures fell, erasing an earlier gain, and Treasury bonds rose after losing employment growth estimates of economists in November and the unemployment rate rose unexpectedly, dampening optimism about economic recovery. Gold rose and left the oil.

Futures on the Standard & Poor's 500 Index expiring this month lost 0.5 percent to 1,217.1 at 8:36 am in New York after rising to 0.4 percent before the jobs report. Dow Jones Industrial Average futures fell 46 points, or 0.4 percent, to 11,317. The yield on the benchmark 10-year Treasury lost seven basis points to 2.92 percent. Gold for immediate delivery rose 0.8 percent and oil fell 0.4 percent from a maximum of two years.

The Labor Department said U.S. payrolls increased by 39,000 last month, behind the median estimate of economists surveyed by us ,for an increase of 150,000 jobs. The unemployment rate rose to 9.8 percent from 9.6 percent.

The S & P 500 is up 19 percent from its low in July 2010 as corporate profits and improving the Federal Reserve expanded its asset purchase program to suppress interest rates and fuel the economic recovery.

Stocks rose for a second day yesterday, giving the Dow Jones industrial average its biggest rally back to back since July, as sales in U.S. of origin and retail purchases and beat estimates by Goldman Sachs Group Inc. recommended buying the banks about the prospects for an improvement in the economy. The Dow and the S & P 500 have risen more than 3 percent each so far in December.

The Dow Jones industrial average has risen in December than in any other month in the last century, according to data compiled by Bespoke Investment Group. On average, the indicator of 30 stocks has risen 1.3 percent in the month in the last 100 years, while gaining 1.5 percent and 1.7 percent in the last 50 and 20 years respectively according to the data.

Stocks fell for the first two days of this week amid concerns that the crisis of European sovereign debt spreads. The European Central Bank President Jean-Claude Trichet said yesterday the bank to delay the withdrawal of stimulus and buy more government bonds.

European shares fall as U.S. employers create fewer jobs than forecast

European shares retreated after the U.S. economy generates fewer jobs in November than economists had forecast.

The benchmark Stoxx Europe 600 Index lost 0.5 percent to 270.33 at 1:34 pm in London, having swung between gains to losses of at least 13 times. The number of jobs increased by 39,000 last month, the lack of the average estimate of 150,000.

Best World Cup Promotion Units Steel Bond Rally in Five Months

Russia's bid to 2018 World Cup host football is driving the biggest bond rally in five months for most steel producers as the government prepares to spend at least 9.6 billion U.S. dollars and expanding stage airports and roads.

The yield on dollar bonds maturing in 2013, OAO Severstal, Russia's largest steelmaker, fell 5 basis points to 5.235 percent, adding to 26 from yesterday's drop point, the biggest drop since July. Advances in Evraz Group SA, the second largest steelmaker, boosted the performance of its bonds in dollars for 2015, the biggest drop in three days since May.

costs of borrowing relative to the U.S. Russia Treasury bonds fell and the benchmark Micex stock rose to the highest level since July 2008, after soccer governing body FIFA gave the world's most-watched sporting event in the country. The World Cup may be responsible for half of a percentage point of growth of gross domestic product of South Africa, hosts of this year, the finance minister said in July Pravin Gordhan.

"The World Cup will be a great support from the bonds of the names of steel, construction and transportation companies, to be played over the next three months," said Vladimir Gersamia, who helps manage more than $ 2 million at Threadneedle Asset Management in London. "The victory will lead to a large number of orders that has been lacking in the country."

13 Stadiums

Russia defeated a challenge from England and joint bids from Belgium and the Netherlands, Portugal and Spain. Your winning bid is committed Russia to build 13 stadiums and renovate three others. The government will make "significant improvements and capacity increases" in most airports serving the 13 cities receiving proposals, including Sochi, home of the Winter Olympics of 2014, according to the FIFA website. Russia's victory marks the third straight year of property in an emerging market this year after South Africa and Brazil in 2014.

The country will spend 300 billion rubles ($ 9,600,000,000) to build stadiums for the tournament, Prime Minister Vladimir Putin said yesterday afternoon after flying to Zurich to meet with Joseph Blatter, president of FIFA, the Federation Internationale de Football Association, soccer's world governing body,

The total cost can be as much as $ 500 billion and loans from the government because of increase of 15 percent of gross domestic product of 11 percent over the next three or four years, said Chris Weafer, chief strategist at UralSib Financial Corp .

"It's a boost for Russia's actions, bonds and investment for Russia," Weafer said in a telephone interview from London. "The news is very good for the names of steel, transport and construction companies, and establishing a specific timeline of six years to Russia to complete its infrastructure program."

The program will encourage Russia to boost joint ventures with companies through public-private call and attract more foreign direct investment, Weafer said.

'Look Greek

The costs of the risks that cause "high debt" if the government in its existing program for infrastructure projects over the next five years, said Luis Costa, emerging market debt strategist at Citigroup Inc. emerging in London.

"Look at the Greeks, that hosted the Olympic Games increased its debt, there was a big part of the debt of the Olympic Games," Costa said in a telephone interview yesterday.

The ruble strengthened 0.5 percent to 31.3169 per dollar by 15:40 in Moscow trading, heading for the biggest daily gain since Nov. 18. non-deliverable, or opinions that provide guidance to the expectations of currency movements and interest rate differentials and allow companies to hedge against currency movements, show the ruble at 31.5725 per dollar in three months.

The price of the ruble in the country due August 2016 rose, leaving the yield 2 basis points lower to 7.31 percent.

Default Swaps

The cost of protecting Russian debt against default by five-year credit-default swaps was little changed at 156 basis points, compared to a peak of 217 this year, according to data provider CMA. The contracts pay the buyer face value in exchange for the underlying securities or the cash equivalent of a government or a company fail to adhere to its debt agreements.

Swaps credit-default for Russia, rated Baa1 by Moody's Investors Service, the third lowest investment grade rating, cost 18 basis points more than the contracts in Turkey, classified as four levels lower than Ba2. Russia swaps cost as much as 40 basis points less on 20 April.

The extra yield investors demand to hold the Russian debt rather than U.S. Treasuries fell 12 basis points to 210 yesterday, according to JPMorgan Chase & Co. 's EMBI index. The difference compared to 142 for Mexico's debt with similar qualifications and 175 for Brazil, two steps that is rated below Baa3 by Moody's.

The yield spread call Russian bonds is 28 basis points below the average for emerging markets, compared to a 15 - month high of 105 in February, according to JPMorgan indexes.

"Decline of the Sea '

"The benefits of hosting the World Cup is a matter of perception than reality," said Kingsmill Bond, chief strategist at Troika Dialog, by telephone from London. Expenditure is a "drop in the ocean" compared with $ 1,200,000,000,000 Russia's economy, he said.

The victory may help stock indexes from Russia to other emerging markets than in up to 10 percent in the next three months, analysts at VTB Capital, the investment banking arm of the second largest lender in Russia, wrote in a report e-mailed today. The Micex has risen 20 percent this year compared with an increase of 13 percent for the MSCI Emerging Markets Index.

Actions based OAO Severstal Cherepovets and Novolipetsk Steel, Russia's largest steelmaker by market value, jumped more than 3 percent today, adding to yesterday's gains of 4.6 percent and 4.9 percent.

The yield on the Lipetsk-based Novolipetsk of 2,013 rubles fel1 21 basis points yesterday, the most since Nov. 11. Rouble bonds due 2016 of the Moscow-based OAO Mechel, the largest Russian producer of coal for steelmakers, rose, pushing the yield up 27 basis points to 7.42 percent.

JPMorgan Chase & Co., Deutsche Bank AG and Citigroup Inc. are hiring bankers who cater to wealthy clients as the more stringent capital standards reduces the profitability of investment banking.

JPMorgan, the largest U.S. bank by market value, plans to increase their personal wealth management in Europe, Middle East and Africa up to 20 percent per year until 2013. Frankfurt-based Deutsche Bank is strengthening its business in Asia after the purchase of Sal Oppenheim Group, the largest independent private bank in Germany, nine months ago, said spokesman Klaus Winkler.

Leaders of the Group of 20 plans approved last month at a meeting in Seoul to the capital requirements for banks twice to industry losses of over $ 1.3 trillion between 2007 and 2009. The change gives new impetus for banks to focus on units of capital-intensive, less risky and less as the supervision of the assets of wealthy clients, said Cedric Tille, Professor at the Graduate Institute in Geneva.

"It's a natural reaction of banks to go further into fee-based advisory activities, in response to capital requirements," said Tiller, a former economist at the Federal Reserve Bank of New York. "If you make a mistake, only customers who are upset."

Citigroup and Goldman Sachs Group Inc., both based in New York, are also building their divisions of wealth management what is known as Basel III sets out rules to curb risk-taking that led to a crisis in credit markets in 2008.

Wealth Management rebound

Citigroup, which received a taxpayer bailout 45 billion U.S. dollars in 2008 after losses in subprime mortgages and collateralized debt obligations, plans to double the wealth management advisors in North America about 260. Goldman Sachs CEO Lloyd Blankfein November 16, said "it is important to get bigger" in private wealth management.

"We have seen a massive upsurge in the number of banks wishing to participate as global wealth managers," said John Cryan, chief financial officer of UBS AG, Switzerland's largest bank, bankers in London on 30 September.

The new Basel proposals will reduce the profitability of operations as underwriting bond sales, lending to hedge funds and proprietary trading, said Professor Christoph Lechner Institute of Management, University of St. Gallen in Switzerland. The wealth of lower margin business management will help plug some of the void left by the investment bank said.

"Less risk"

"Private banking offers a more stable cash flow along the cycle and requires less capital," said Lechner. "But it's difficult because investment banking is very profitable when markets are working well, so that private banks can not be."

Additional capital requirements, return on capital companies - a measure of profitability - is reduced. investment banking unit of UBS reported a return on equity of 10.5 percent in the first nine months of the year, compared with 24 percent of the wealth management division.

Barclays Capital, the securities unit of Barclays Plc, who have lost money in the last decade under the rules of Basel III of capital forced banks to reserve more capital to cover risky units, analysts at UBS, said in a November 15 note clients. Barclays plans to reduce the ratio of earnings before taxes generated by its investment bank to 33 percent below two-thirds in the first half of this year.

Money "of other peoples'

While private banks capital to support lending to wealthy clients, client assets are considered low risk because they are "other people's money," said Bob FAWLER, managing partner of Boston Basis Point Group LLC, a consulting firm industry. "The risk is supposedly in charge of another person and the bank is acting as an agent."

Wealth management generates a stable income that supplements the less predictable rates obtained from investment banking, said Francois Reyle CEO Reyle & Cie, a Geneva-based bank with nearly 4 million Swiss francs ($ 4 million euros) under management.

"If you're going to create a single high-benefit and risk behaviors, then you need an engine of private banking and its recurring revenue viscosity," said Reyle.

While wealthy clients withdrew a net 251.6 billion francs in Zurich-based UBS in the 27 months to June, the unit pre-tax loss was only 166 million francs in the fourth quarter of 2008. Most of UBS more than $ 57 billion in writedowns and losses during the credit crisis - only surpassed by Royal Bank of Scotland Group Plc among European lenders - came from its investment bank.

'More competitive'

Market fragmentation of global wealth, which, according to London-based Scorpio Partnership has about 16.5 trillion U.S. dollars under management, means that there is room for specialized banks, said Benoit Dumont, president of the headquarters in Geneva, Switzerland JPMorgan unit. JPMorgan aims to double client assets in Switzerland during the next five years, focusing on wealthy families.

"The market is increasingly competitive, but no one dominates there is something for everyone," said Dumont, which is aimed at customers with at least $ 25 million to invest. "The good news for this business is that there is a new millionaire created every minute."

The number of households worldwide with at least $ 1 million in investable assets, excluding primary residences, increased to 10 million in 2009 from 8.6 million last year, according to a report published in June by Merrill Lynch and Capgemini.

DnB NOR ASA, Norway's largest bank, is seeking to expand its market share of wealthy clients in the world's second-richest country per capita, Karstensen said Paal, head of private equity markets in DNB.

Cultural differences

"We are increasing our focus on high net worth individuals in Norway, because we see is a group of customers is increasingly important for us," Karstensen said in a telephone interview from Oslo today. "There is great potential for growth."

While private banking is less capital intensive, are not "cultural" differences that make it difficult for large banks led by investment bankers to enter the market, said Jacques de Saussure, senior partner at Pictet & Cie , the largest wealth manager in Geneva.

"The key factors are the human qualities and the ability to invest for the long term," said De Saussure. "You can buy human relationships."

However, customers are more concerned than ever by relations of capital strength in holding that the bank, said Jean-Pierre Cuoni, Chairman of EFG International AG, which reached 87.5 billion francs on behalf of clients at the end of June.

"Suddenly it has become a problem," said Cuoni. "It's kind of a competitive advantage if it can be said today at least 19 percent, while the other has only 13 percent."

Copper heads for first weekly advance in four weeks before U.S. payrolls

Copper headed for the first weekly advance in four weeks in New York before a report that may indicate a strengthening U.S. economy, the second largest consumer of the metal world.

An increase in November payrolls probably pushed U.S. gains work beyond the 1 million mark for the year, economists said. Copper added 5.6 percent this week as reports showed stronger manufacturing in China, USA and Europe and inventory followed by the London Metal Exchange shrank during 41 weeks in a row.

"The market is just waiting ahead of U.S. payrolls today," said David Thurtell, analyst at Citigroup Inc. in London.

Copper for March delivery fell 0.4 cents, or 0.1 percent, to $ 3.975 a pound at 7:47 am on the Comex in New York. Copper for delivery in three months lost 0.1 percent to $ 8,710 a ton on the LME. The six main metals traded on the LME were removed, except nickel.

The payroll figures are due at 8:30 am New York. They show that employment rose by 150,000 last month, according to the median forecast of 87 economists surveyed by us, which gain so far this year to 1.02 million euros.

"Blue Skies"

"The report of the monthly nonfarm payroll in the U.S. will either confirm the optimism that positive economic reports have helped build this week, in which case it really is a blue sky at the end of the year, or disappointing figure cut the rally short, "said Chris Weafer, chief strategist at UralSib Financial Corp. in Moscow. "Investors are, however, clearly in the mood for a strong finish for 2010."

Separate figures due at 10 am New York can show that service industries, representing almost 90 percent of the U.S. economy, grew last month at the fastest pace since May as more jobs and increased wages increased holiday sales.

Copper stocks in LME fell 0.9 percent this week to 353,625 tonnes. Are 30 percent this year, during the first annual decline since 2004. Actions monitored by the Shanghai Futures Exchange fell for the second consecutive week, the stock exchange said today.

premium immediate delivery of LME copper metal in three months fell for a second day, falling 8.3 percent to $ 50 per ton after reaching $ 74, the highest since October 2008, 1 December. Prices moved to 08 November at a backwardation call when near metal operations over the longer-term contracts, which could signal the concern of supply.

Loan Fee

Tightness in the copper market "greatly relieved" yesterday, Citigroup's Thurtell said.

The rate of borrowing copper for delivery next day, the spread called tom-next, was passed at a discount of $ 1.75, compared to the closing night $ 4 discount. An increase in the price indicates contraction in supply.

An unidentified group held between 50 percent and 79 percent of LME copper stocks on 22 November at least December 1, recent data show exchange. Another unidentified company held the same amount of nickel stocks in LME 1 December.

Wage talks with Anglo American Plc and Xstrata Plc Collahuasi mine in Chile are set to turn it into a fifth day as union representatives and the company try to end a strike at copper mine in the world's third largest, a union leader said yesterday. The strike entered its 28th day yesterday, the longest recorded in a major Chilean copper mine.

Tin for delivery in three months on the LME fell 0.6 percent to $ 25,400 a tonne. Prices reached a record $ 27,500 on 9 November. The metal has risen 50 percent this year, advances in the bag, after production was halted in Indonesia and the Democratic Republic of Congo.

Aluminium fell 0.2 percent to $ 2,343 a tonne and nickel remained at $ 23,650 per ton. Lead fell 0.3 percent to $ 2,367 a tonne and zinc fell 1.4 percent to $ 2,228 a tonne.

Peripheral Debt Falls Central Bank May Buy Bonds speculation Region

bonds Irish, Greek and Portuguese rose, reducing the performance gap with the benchmark German bonds amid speculation the European Central Bank to buy more assets from countries with high deficits to curb the debt crisis.

Ireland 10-year bonds headed for their biggest weekly advance since May 14, when the European Union and the International Monetary Fund announced an endorsement for nations in crisis. The ECB Irish buy bonds today, according to three traders with knowledge of the transactions. Growth of regional service and manufacturing industries accelerated more than initially estimated in November.

"We've seen quite a tightening of spreads in the last two days on increasing the purchase of BCE," said Vincent Chaigneau, head of rate strategy at Societe Generale SA in London. "Investors are worried about buying will continue in the short term. Nobody seems willing to fight this."

The yield on the benchmark 10-year Irish fell for the fourth consecutive day, falling 34 basis points to 8.42 percent, as of 12:42 pm in London. The guarantee of a 5 per cent, maturing in October 2020 gained 1.85, or € 18.50 per 1,000 ($ 1.326) par value, 77.69. Production fell 93 basis points this week, reducing the premium investors demand to hold debt rather than retaining walls to 531 basis points from 646 basis points last week.

The yield on Germany, Europe's benchmark, rose six basis points to 2.87, the highest since May 18.

Increase purchases

Bonds called peripheral countries met yesterday traders said the ECB increased its purchases of government bonds. The central bank bought debt Portuguese and Irish bonds today, said two people with knowledge of the deals we do not want to be identified because the transactions are confidential.

ECB President Jean-Claude Trichet said yesterday policy makers apply the stimulus to the mother "acute" European market tensions. The central bank will maintain its bond program to buy and continue to sterilize the purchases of assets, he said. The ECB offered banks unlimited loans through the first quarter, said Trichet.

The ECB could increase purchases of government bonds to ensure the sovereign debt crisis of decline, as Dirk Schumacher, economist at Goldman Sachs Group Inc. in Frankfurt.

"We remain convinced that the political will among political leaders, including the ECB, to avoid any systemic event is unquestionable," he wrote in a research report dated yesterday. "We could easily see the ECB to increase its purchases of bonds aggressively if things begin to normalize."

Narrowing yields

Portuguese yields on government bonds fell 27 basis points to 6.04 percent, after flooding by levees was reduced to less than 3 percentage points or 300 basis points for the first time since Aug. 24.

Greek 10-year bonds rose, sending the yield up 10 basis points to 11.75 percent, even after Standard & Poor's placed the sovereign nation of BB long-term rating on "CreditWatch" with negative outlook. S & P said the impact assessment of the Stability Pact mechanism called the European Union governing sovereign bonds from July 2013.

Greece risks that have to restructure its debt, even with an extension in terms of loan repayments by the European Union, said John Stopford, head of fixed income in London at Investec Asset Management, who helps oversee 65 billion U.S. dollars for customers.

"You would be wrong to rule out the possibility of restructuring the debt at some point," said Stopford. "Greece has a structural problem and not have to be at risk we have another recession or economic crisis."

Retirement Incentive

Austria said it plans to reduce sales of bonds by up to 27 percent next year as the nation is removed emergency stimulus spending, banks begin to repay the state aid, less debt must be refinanced.

Federal Finance Agency to issue 16 billion euros worth of 19 million euros of bonds in 2011, down from 22 million euros this year, slides were shown to primary dealers said late yesterday. Including instruments such as Treasury bonds, private placements and loans, will issue 22 billion to 25 billion euros, compared with 27 million euros this year.

The 10-year Austrian production rose five basis points to 3.32 percent.

Spanish yields fell six basis points to 5.07 percent and Italian yields little changed at 4.41 percent.

Markit Economics composite index based on a survey of purchasing managers in the euro zone services and manufacturing rose to 55.5 last month from 53.8 in October, damping demand for the security of income assets fixed. Retail sales rose 0.5 percent in October, the European Union statistics office said separately.

"They leave a margin Volver '

LCH Clearnet Ltd. further reduce the margin charged by the Irish operations corresponding bond yields, with the same applies when he rose, his head of fixed income, he said.

"Our tendency is to give room for people as soon as reasonably possible," said London-based fixed income director John Burke in a telephone interview yesterday. "Along the way, was the fact that the levels were that they were reviewing. Also on the back, needs to be sustained when it is below the threshold on the way down, and depends on how far below she is gone and the speed at which it got there. "

Business

Welcome to our website

Friday, December 3, 2010

Stocks in U.S. Gain as Commodities dollar weakens after jobs data

U.S. service economy grows more than expected as ISM index rises to 55

Euro may reach $ 1.25 in 2011 Ichimoku

Cotton Has Biggest Weekly Gain in 39 Years

Crude oil futures increase to 25 months ago in New York as Dollar Falls

Madoff Trustee Sues Picard JP Morgan for $ 6.4 billion

U. S. crop commodity stocks gain as producers

Tax Negotiators Urge Court Delay bipartisan vote pending talks

Bangalore Jokes Manila beatings at $ 21 billion-Call Center Career

JP Morgan said that oil prices will reach $ 120 a barrel before the end of 2012

Advances in gold above U.S. $ 1,400 Increase payroll less than estimated

Rules of the Stock Exchange of research can be affected by U.S. trade probe

U.S. stock Futures Retreat unexpected increase in unemployment rate

Unemployment climbs to 9.8% in the U.S. Only adds 39,000 jobs

Oil falls after U.S. Payrolls rise less than expected

U.S. Treasuries Advance Then adds fewer jobs than expected in November

Big Lots, Chipotle, CVB, eBay, Teekay, Walter Power

Snow, frost disrupted trains, planes across Europe for Fifth Day

U.S. equity futures decrease as Treasuries, Gold Rally Report weaker employment

European shares fall as U.S. employers create fewer jobs than forecast

Best World Cup Promotion Units Steel Bond Rally in Five Months

JP Morgan, Deutsche Bank Battle of Rich as the rules change

Copper heads for first weekly advance in four weeks before U.S. payrolls

Peripheral Debt Falls Central Bank May Buy Bonds speculation Region

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