Posts from Tuesday Apr 2 2013

The Closer


FT markets round-up: “Further signs of underlying weakness in the eurozone economy did little to curtail demand for US and European equities, as Wall Street continued its advance into record territory. The S&P 500 ended 0.5 per cent firmer, surpassing the record closing high it set last Thursday and just a few points off the intraday record peak of 1,576.09 achieved in October 2007. The FTSE Eurofirst 300 index, meanwhile, climbed 1.3 per cent as European markets reopened after the Easter break. However, the Tokyo market failed to join in the party as the Nikkei 225 fell 1.1 per cent to a four-week low after disappointing US manufacturing data on Monday triggered losses for leading Japanese exporters.” (Financial TimesRead more

Gold to grey

Societe Generale’s big (bearish) scorecard on “the end of the gold era” – click to enlarge:

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Ambani peace accord − here’s the document

Mukesh and Anil, India’s billionaire Ambani brothers, have been at each other’s throats for years. They spilt the family business in 2005 and have feuded ever since.

Now, quite suddenly, Mukesh has agreed to use his younger brother’s fibre optic network for the launch of a new broadband telecoms venture. The initial contract is worth 1,200 crore rupees, which translates into about $220m. Read more

Expectations management for the BoJ

We’ve used that kind of header before… but Abe is forcing us to crack it out again. From the FT on Tuesday:

Japanese Prime Minister Shinzo Abe has said that the 2 per cent inflation target he imposed on the Bank of Japan may not be reached within two years…

In an exchange with Seiji Maehara, an opposition politician and former economy minister, Mr Abe said the BoJ should not pursue the inflation target “at all costs”.

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Markets Live: Tuesday, 2nd April, 2013

Live markets commentary from 

The (early) Lunch Wrap

Vodafone-Verizon: a $245bn solution || North Korea to restart nuclear facilities || Abe warns over Japan inflation target || Slight easing of Cyprus bailout terms || PMI summary: bad || Central Bank of Cyprus governor Panicos Demetriades tried to calm fears of a deposit flight || Air pollution linked to 1.2m premature deaths in China || Euro area unemployment rate at 12.0 per cent || US banks are weighing tactics to mitigate the effect of EU bonus caps || The US has gained 387,000 managers and lost almost 2m clerical jobs since 2007 || Goldman moves into mid-market business lending || Novartis loses Glivec patent battle in India || Markets roundup Read more

Further reading

Elsewhere on Tuesday,

– What is an economic equilibrium?

Bitcoin is unstoppable (not a guarantee).

Bowling for LiborRead more

Vodafone-Verizon: a $245bn solution — UPDATE 2

Hello to the City’s new watchdog, the Financial Conduct Authority. It may seem rude to make requests on your first working day but there’s a market rumour on which we would like some clarity. It involves what would be the biggest M&A deal ever, and it’s on your patch. Read more

The 6am Cut London

Asian markets down after US manufacturing data || Cyprus rescue terms eased slightly || New UK finance regulators open doors today || US banks mull EU bonus cap avoidance || UK business surveys upbeat Read more