Posts from Wednesday Jan 30 2013

The Closer

ROUND-UP

Fed-falling: the S&P 500 fell 0.4 per cent to close at 1,501.96, while the Russell 2000 lost sight of Tuesday’s record high, dropping 1.2 per cent (Bloomberg). Read more

The Fed holds

And a dissent from Esther George. Full statement from the Fed’s open market committee:

Information received since the Federal Open Market Committee met in December suggests that growth in economic activity paused in recent months, in large part because of weather-related disruptions and other transitory factors. Employment has continued to expand at a moderate pace but the unemployment rate remains elevated. Household spending and business fixed investment advanced, and the housing sector has shown further improvement. Inflation has been running somewhat below the Committee’s longer-run objective, apart from temporary variations that largely reflect fluctuations in energy prices. Longer-term inflation expectations have remained stable. Read more

“Keep moving”

“Alicia Keys has come to BlackBerry because she believes in the product and technology, and subscribes to our overriding philosophy to “Keep Moving”: to empower people through mobile computing and communications,” said BlackBerry President and CEO Thorsten Heins…

Yes, Blackberry’s Global Creative Director outed herself as an iPhone junky! a year ago. Read more

LTRO flowed

That’s a very small €3.7bn take up by banks participating in the European Central Bank’s three-month Long Term Refinancing Operation on Wednesday. We’d expected more. Read more

Here’s holding out on you, kid

At times, pursuing a defaulted sovereign debtor for full payment can almost (almost) come across as a facetious exercise. As when NML’s latest brief in the Argentine pari passu case quotes CasablancaRead more

UK PLC goes behind the paywall on Friday – UPDATE

So here’s the bad news.

WHAT’S NEW

RNS, the newswire used by most U.K. companies to distribute time-sensitive press releases, will require anyone wishing to receive announcements in real-time must register before Feb. 1, 2013. Anyone who fails to register will receive the press announcements after a 60-minute delay. There is no cost at this time to register.

 Read more

Advance reading of US Q4 GDP: -0.1% annual rate

The top par of the release:

Real gross domestic product — the output of goods and services produced by labor and property located in the United States — decreased at an annual rate of 0.1 percent in the fourth quarter of 2012 (that is, from the third quarter to the fourth quarter), according to the “advance” estimate released by the Bureau of Economic Analysis. In the third quarter, real GDP increased 3.1 percent. Read more

FTAV video: the robot employment threat

We had a lot of fun making this short video, which is based on a topic that’s been discussed energetically in the blogosphere and elsewhere for a few months, and which has captured Izabella’s fascination for nearly a year. Read more

Value-at-risk for oil and gas reserves?

How much of the oil and gas sector’s asset valuations could be at risk from climate mitigation policy?

The International Energy Agency’s latest annual World Energy Outlook, released in November, followed the popular practice in long-term forecasts of using several scenarios. One involves global policymakers moving to limit atmospheric CO2 concentration to 450 parts per million, in order to limit to 50 per cent the probability of average temperatures rising 2 degrees or more.

The problem for fossil fuel companies is that could limit their ability to utilise all their reserves. Read more

Markets Live: Wednesday, 30th January, 2013

Live markets commentary from FT.com 

The (early) Lunch Wrap

The Bank of Italy has provided a robust defence of its regulation of Monte dei Paschi di Siena || Monte Paschi ignored warnings over risk, documents show || RBS is winding down its M&A business || Wider euro ‘Tobin tax’ will net €35bn || Chesapeake’s controversial CEO, Aubrey McClendon, is resigning || Individual investors helping drive US stockmarket surge || Swiss banks lose old taste for gold || Brussels soften line on bank ringfences || Euro zone economic sentiment rises more than expected || Euro carry reversal inflicts global pain || Amazon’s profits fell 45% in Q4 || India’s finance minister sees end to Vodafone dispute || Apple failed to get its $1.05bn damages award against Samsung increased || China anger at EU telecoms demands || Toyota to recall 752,000 Corollas in U.S. for airbag problems || European Cloud Over Ford || Markets roundup || Germany won’t stand in Cyprus’ way, apparently || Backloading the carbon markets || FOMC preview Read more

Germany won’t stand in Cyprus’ way, apparently

Cyprus, the small economy with the relatively massive bank recapitalisation problem, may have some kind of good news in its quest for a bailout: Germany might not be so wedded to blocking or delaying said bailout after all.

Schauble Cyprus screenshot - SZ  Read more

Backloading the carbon markets

The EU carbon market has been miserable for most of the past few years, with prices staggering downwards from their c.€30 levels on the scheme’s launch in 2005. But it’s become very gloomy in the past couple of weeks, with mid single digits prices falling as much as 40 per cent to a record low of €2.81 last Thursday. Read more

Further reading

Elsewhere on Wednesday,

- Incestuous amplification, economics edition.

- Why is there still a shortage of safe assets?

- Consumer spending isn’t enough… Read more

The 6am Cut London

RBS winds down M&A business || Asian stocks rise || Brussels may soften line on ringfencing || Chesapeake’s McClendon to retire || Bank of Italy defends MPS supervision || Apple fails to get Samsung penalty raised || Italy’s foreign tax crackdown Read more