DealTalk: Fewer big fish means fewer large chemical deals

(Reuters) - Chemical deals are up 76 percent globally so far this year and U.S.-target deals are up 325 percent to about $37.5 billion, according to market research firm Dealogic.




A lot of the biggest deals have come to fruition in the past week. Basell , a plastic and chemical company, said on Tuesday that it would buy Lyondell Chemical Co. for about $12.7 billion.


Read more at Reuters.com Business News

International Business Machines and Macy's Calls Jump: U.S. Option Movers

(Bloomberg) -- The following is a list of companies
with unusual option trading in U.S. exchanges today. Stock
symbols are in parentheses after company names. Option trading
and stock prices are as of 3:15 p.m. in New York.

Each call option gives investors the right to buy 100 shares
of a company at a certain price, called the strike price, by a
given date. A put conveys the right to sell 100 shares.


Read more at Bloomberg Stocks News

Bear Stearns, Delphi, Macy's, Newmont, Pulte, UAL: U.S. Equity Movers

(Bloomberg) -- The following is a list of companies
whose shares are having unusual price changes in U.S. exchanges
today. Stock symbols are in parentheses after company names.
Share prices are as of 2:40 p.m. New York time.

Brazilian airline American depositary receipts fell after a
passenger plane owned by Tam SA crashed on landing at Sao Paulo's
domestic airport, killing as many as 200 people in the country's
worst air disaster. Tam's ADRs (TAM US), each worth one share,
fell $3.28, or 9.2 percent, to $32.55. Gol Linhas Aereas
Inteligentes SA's ADRs (GOL US), each worth one share, fell
$1.20, or 4 percent, to $29.21.


Read more at Bloomberg Stocks News

Copper Rebounds as Worker Protests in Chile Curbs Production at Some Mines

(Bloomberg) -- Copper rebounded in New York on
speculation that metal output will fall further in Chile, the
world's largest producer, amid worker protests at some mines.

Chile's state-owned Codelco said output has been reduced at
three of its mines. A four-week strike by contract workers
triggered most of the shotfall. The metal has gained 4.2 percent
in the past month on concern that labor unrest would disrupt
supplies.


Read more at Bloomberg Commodities News

Moody's Excluded From Rating 70 Percent of New Commercial-Mortgage Bonds

(Bloomberg) -- Moody's Investors Service has been
excluded from rating 70 percent of new commercial mortgage-backed
securities after toughening its guidelines.

Moody's has been shut out of nine of the past 13 deals as
underwriters sought better ratings from rival companies, Tad
Philipp, a managing director at Moody's said today in a telephone
interview. The securities had a face value of more than $25
billion.


Read more at Bloomberg Bonds News

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

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




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


Read more at Reuters.com Bonds News

EU experts back Glaxo's cervical cancer vaccine

(Reuters) - Europe's largest drugmaker said an expert committee at the European Medicines Agency had given a positive opinion on Cervarix based on data from clinical trials involving the vaccination of girls and women aged between 10 and 25.



Recommendations for marketing approval by the agency's Committee for Medicinal Products for Human Use are normally endorsed by the European Commission within a couple of months.


Read more at Reuters.com Government Filings News

Canadian Stocks Rise on Takeover Speculation; Canadian Pacific Is Halted

(Bloomberg) -- Canadian stocks rose for a second day,
after a report that the nation's second-largest railroad, Canadian
Pacific Railway Ltd., may receive a takeover bid.

The S&P/TSX Composite Index gained 45.61, or 0.3 percent, to
14,427.62, led by Canadian Pacific and Canadian National Railway
Co., the country's largest rail company.


Read more at Bloomberg Stocks News

Avocent, Delphi, Humana, IndyMac Bancorp, Warner: U.S. Equity Movers

(Bloomberg) -- The following is a list of companies
whose shares are having unusual price changes in U.S. exchanges
today. Stock symbols are in parentheses after company names.
Share prices are as of 1:10 p.m. New York time.

Brazilian airline American depositary receipts fell after a
passenger plane owned by Tam SA crashed on landing at Sao Paulo's
domestic airport, killing as many as 200 people in the country's
worst air disaster. Tam's ADRs (TAM US), each worth one share,
fell $2.99, or 8.3 percent, to $32.84. Gol Linhas Aereas
Inteligentes SA's ADRs (GOL US), each worth one share, fell
$1.27, or 4.2 percent, to $29.14.


Read more at Bloomberg Stocks News

Orange-Juice Rises Most in Two Weeks as Processors Buy After Price Slump

(Bloomberg) -- Orange juice in New York rose the
most in two weeks on speculation processors are taking
advantage of cheap supplies that may become more expensive as
the most active part of Florida's hurricane season nears.

Futures have dropped 34 percent this year partly on
forecasts that Florida, the largest grower after Brazil, will
produce a bigger crop in the harvest starting in October than
the season that wrapped up in June. Prices tend to rise sharply
as hurricanes move closer to Florida's groves.


Read more at Bloomberg Commodities News

Fitch boosts default assumptions on subprime ARMs

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




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


Read more at Reuters.com Bonds News

Bernanke: Job shifts offset home-building losses

(Reuters) - Bernanke also told the panel that first-quarter growth in gross domestic product was held down by temporary factors and that second-quarter growth would be closer to a 3 percent rate.




The Fed chief separately said, when asked about the value of the dollar, that he does not anticipate a crisis like that seen in 1979-80.


Read more at Reuters.com Business News

Weak US home prices should spur savings - Bernanke

(Reuters) - Bernanke also told the House of Representatives Financial Services Committee that it was important to improve the efficiency of the U.S. health care system.




Read more at Reuters.com Bonds News

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

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

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


Read more at Bloomberg Stocks News

Humana, I2, NovaStar, Pfizer, Piper, SemGroup, Warner: U.S. Equity Movers

(Bloomberg) -- The following is a list of companies
whose shares are having unusual price changes in U.S. exchanges
today. Stock symbols are in parentheses after company names.
Share prices are as of 11:40 a.m. New York time.

Brazilian airline American depositary receipts fell after a
passenger plane owned by Tam SA crashed on landing at Sao Paulo's
domestic airport, killing as many as 200 people in the country's
worst air disaster. Tam's ADRs (TAM US), each worth one share,
fell $2.37, or 6.6 percent, to $33.46. Gol Linhas Aereas
Inteligentes SA's ADRs (GOL US), each worth one share, fell
$1.26, or 4.1 percent, to $29.15.


Read more at Bloomberg Stocks News

Bear Stearns, Lehman Bond Risks Soar as Worries About Subprime Losses Grow

(Bloomberg) -- The risk of owning securities firms'
bonds surged as Bear Stearns Cos. informed its hedge-fund
investors of ``unprecedented declines'' in the value of the
highest-rated securities backed by subprime mortgages.

Lehman Brothers Holdings Inc. and Bear Stearns, both based
in New York, led the leap in risk premiums, which reached their
highest since November 2002, credit-default swaps show. An index
tied to subprime mortgage bonds, known as ABX, dropped to a
record for the third day, signaling a higher default risk.


Read more at Bloomberg Bonds News

Gold, Silver Prices Climb in New York as Dollar Declines Against Euro

(Bloomberg) -- Gold and silver prices rose in New
York on speculation that a decline in the value of the dollar
will boost the appeal of the precious metals as alternative
investments.

Gold generally moves in tandem with the euro, which gained
after the Federal Reserve tempered its forecasts for U.S.
economic growth for this year and next. Before today, gold and
the euro both had gained 4.4 percent this year.


Read more at Bloomberg Commodities News

Tam, Gol Shares Tumble After Airplane Crash in Brazil Kills as Many as 200

(Bloomberg) -- The shares of Tam SA and Gol Linhas
Aereas Inteligentes SA, Brazil's biggest two airlines, fell after a
crash in Sao Paulo's city airport claimed the lives of as many as
200 people in the country's worst air disaster.

The A320 plane, built by Airbus SAS and operated by Tam, slid
off the runway, crossed a highway and slammed into a gas station
and building last night. Rescue workers pulled 102 bodies from the
debris. Survivors probably won't be found on the plane, which was
carrying 186 people when it crashed and burst into flames, Sao
Paulo State Governor Jose Serra said.


Read more at Bloomberg Emerging Markets News

Optimism for Global Stock Gains Reaches 16-Month High, Merrill Survey Says

(Bloomberg) -- Optimism that global stocks will
climb has increased to a 16-month high in July as investors cast
aside concerns about the effects of rising credit-default risk,
a Merrill Lynch & Co. survey showed.

Confidence that economic growth will continue spurred money
managers to buy riskier assets, including emerging-market
shares, while they reduced holdings of bonds and cash, according
to 186 poll respondents, who together manage $618 billion.


Read more at Bloomberg Stocks News

Enron creditors recover $149 mln in settlement

(Reuters) - The settlement with Enron Creditors Recovery Corp., which legally changed its name from Enron Corp. on March 1, resolves claims against roughly 80 defendants, court papers show. Enron accused the defendants of receiving preferential treatment and fraudulent transfers at the expense of other creditors.




Among the settling defendants are affiliates of Allstate Corp , Lehman Brothers Holdings Inc , Merrill Lynch & Co , Northern Trust Co and Prudential Financial Inc , court papers show.


Read more at Reuters.com Bonds News

Canada's Dollar Drops From 30-Year High After Inflation Declines in June

(Bloomberg) -- Canada's dollar fell from a three-
decade high after a government report showed consumer prices
unexpectedly declined last month, reducing the likelihood of
another increase in borrowing costs by the central bank.

The currency has gained 11 percent this year on a
strengthening economy and higher prices for Canada's commodity
exports including oil. The Bank of Canada raised its benchmark
interest rate to 4.5 percent last week after inflation exceeded
its target of 2 percent.


Read more at Bloomberg Currencies News

Vattenfall's European Unit Chief Steps Down After Nuclear Plant Incidents

(Bloomberg) -- Vattenfall AB said Klaus Rauscher
stepped down as head of its European unit after incidents at two
of the company's nuclear plants led regulators to consider
revoking its operating license.

``He has left his post,'' said Maria Parent, a spokeswoman
for the Stockholm-based utility. Hans-Juergen Cramer was named
as acting head of Vattenfall Europe AG, the parent company said
today in an e-mailed statement. German Chancellor Angela Merkel
said today that the company made ``dramatic mistakes.''


Read more at Bloomberg Energy News

Canadian Stocks Rise on TakeoverSpeculation; Canadian Pacific Is Halted

(Bloomberg) -- Canadian stocks rose for a second day,
after a report that the nation's second-largest railroad, Canadian
Pacific Railway Ltd., may receive a takeover bid.

The S&P/TSX Composite Index gained 43.44, or 0.3 percent, to
14,425.45, led by Canadian National Railway, the country's largest
rail company.


Read more at Bloomberg Stocks News

TREASURIES-Bonds down after Bernanke inflation remarks

(Reuters) - The benchmark 10-year note's price traded down 2/32 for a
yield of 5.06 percent , versus 5.06 percent before
Bernanke started speaking and compared with 5.05 percent late
on Tuesday. Bond yields and prices move inversely.




Read more at Reuters.com Bonds News

Bear Stearns, Lehman Bond Risk Soar As Worries About Subprime Losses Grow

(Bloomberg) -- The risk of owning securities firms'
bonds surged, as Bear Stearns Cos. informed its hedge-fund
investors of ``unprecedented declines'' in the value of the
highest-rated securities backed by subprime mortgages.

Lehman Brothers Holdings Inc. and Bear Stearns, both based
in New York, led the jump in risk premiums, which reached their
highest levels since November 2002, credit-default swaps show.


Read more at Bloomberg Bonds News

US STOCKS-Indexes lower on subprime woes, tech results

(Reuters) - The Dow Jones industrial average was down 35.85
points, or 0.26 percent, at 13,935.70. The Standard & Poor's
500 Index was down 3.06 points, or 0.20 percent, at
1,546.31. The Nasdaq Composite Index was down 16.80
points, or 0.62 percent, at 2,695.49.




Read more at Reuters.com Bonds News

U.S. Stocks Retreat on Subprime, Earnings Concerns; Intel, Pfizer Decline

(Bloomberg) -- U.S. stocks fell after Bear Stearns
Cos. told investors there's little value left in its two failed
hedge funds while Intel Corp. and Pfizer Inc. said competition
hurt earnings.

Financial shares were the biggest drag on the Standard &
Poor's 500 Index after Bear Stearns said ``unprecedented
declines'' in securities used to bet on subprime mortgages wiped
out the funds. Intel, the world's biggest chipmaker, and Pfizer,
the largest drugmaker, led the Dow Jones Industrial Average down
from a fourth-straight record.


Read more at Bloomberg Stocks News

McClatchy, New York Times Profit Hit as Home-Sale Ads Migrate to Internet

(Bloomberg) -- Richard A. Smith knows something
anyone considering buying a newspaper company needs to know.
He's taking his advertising dollars somewhere else.

Smith, president of Realogy Corp., the largest residential
real estate broker in the U.S., said the portion of his Coldwell
Banker and Century 21 branding budget devoted to newspapers will
shrink by as much as two-thirds next year from 2006 as spending
moves online. Newspapers will receive 70 percent of Realogy's
home-sale advertising by 2010, down from 84 percent this year.


Read more at Bloomberg Exclusive News

Egyptian bourse edges down, but Raya and CIB shine

(Reuters) - Main Egyptian stock indexes dropped on Wednesday driven by market mainstay Orascom Telecom (OT), which shed 1.5 percent after offering to acquire technology and communications firm Raya.

But traders said the drop in the OT share price to 77.60 pounds was probably not related with the offer to buy Raya and may be attributed to profit-taking that has hit blue-chip stocks after a bullish run last week saw the market hit record closing highs.


Read more at Reuters Africa

Alcan agrees to sell Utkal alumina venture stake

(Reuters) - Alcan did not disclose terms of the transaction, which it expects to close in the third quarter of 2007. Hindalco owns the other 55 percent of Utkal, which was established in 1992 to develop a new bauxite mine and alumina refinery in the Indian state of Orissa.







Read more at Reuters.com Mergers News

UPDATE 1-US June CPI up 0.2 pct, core up 0.2 pct

(Reuters) - WASHINGTON, July 18 - U.S. consumer prices rose
by a slightly bigger-than-expected 0.2 percent in June on
higher food costs and they were up by the same amount after
stripping out volatile food and energy prices, the Labor
Department reported on Wednesday.




Last month's gain in the Consumer Price Index was slightly
larger than the 0.1 percent advance Wall Street economists were
expecting to see after a fall-off in energy prices. But the
increase in the more closely watched core prices index was
directly in line with expectations.


Read more at Reuters.com Economic News

Colonial BancGroup quarterly results

(Reuters) - Analysts on average were expecting the company to earn 43
cents a share, before any exceptional items, according to
Reuters Estimates.





Read more at Reuters.com Market News

FTSE 100 Index Slides as Man Group, Tate & Lyle Decline; Sainsbury Climbs

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

Experian Group Ltd., a provider of credit information, and
Invensys Plc, an energy-management company, led losses among
companies dependent on U.S. sales as the pound rose to a 26-year
high against the dollar.


Read more at Bloomberg Stocks News

UPDATE 1-Johnson Controls profit up, in line with forecasts

(Reuters) - Net income rose to $396 million, or $1.98 per share, for
the fiscal third quarter that ended June 30, from $338 million,
or $1.71, a year earlier.




Earnings per share from continuing operations were also
$1.98, which analysts on average had expected the
Milwaukee-based company to post on that basis, according to
Reuters Estimates.


Read more at Reuters.com Market News

UPDATE 1-Piper Jaffray second-quarter earnings rise

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




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


Read more at Reuters.com Market News

Enron creditors to get $149 mln in legal settlement

(Reuters) - The lawsuit requires approval by the U.S. bankruptcy court in Manhattan. Enron said it originally filed suit in November 2003 to recover commercial paper payments from about 180 defendants, and that the lawsuit against other defendants will continue.







Read more at Reuters.com Business News

Treasuries Are Little Changed After Bear Stearns Tells of Subprime Losses

(Bloomberg) -- Treasuries were little changed
after Bear Stearns Cos. told investors in two funds they will
get little if any money back because of losses on securities
used to bet on subprime mortgages.

U.S. government debt pared gains before Federal Reserve
Chairman Ben S. Bernanke testifies before Congress today on the
state of the economy and interest-rate policy and the Labor
Department delivers its report on consumer inflation.


Read more at Bloomberg Bonds News

Acciona agrees 1.8 bln euro loan for Endesa buy

(Reuters) - Enel and Acciona, who together control 46 percent of Endesa,
plan to launch a takeover bid for the rest valuing the company
at 42.5 billion euros.




Read more at Reuters.com Mergers News

Orbital Sciences Q2 profit up, raises '07 view

(Reuters) - July 18 - Orbital Sciences Corp. , which makes small rockets and space systems, said quarterly profit rose 40 percent, helped by robust revenue and operating profit growth in its satellite and space systems segment.



The Dulles, Virginia-based company also raised its full-year earnings and revenue outlook on the back of strong new business bookings received during the second quarter.


Read more at Reuters.com Market News

ABN AMRO assessing 2 bids for bank, no disposal plans

(Reuters) - ABN said it would "assess the proposed offers in a fair and
transparent manner" and, in response to a conditionality in the
consortium's bid that ABN refrain from disposing of major
assets, said it had no intention of selling off big parts of its
business.




Read more at Reuters.com Mergers News

St Jude profit off on legal charges

(Reuters) - Analysts on average expected 43 cents per share, according to Reuters Estimates.




Read more at Reuters.com Hot Stocks News

Yen Advances as Bear Stearns Hedge-Fund Losses Restrain Carry Trades

(Bloomberg) -- The yen rose as losses on Bear
Stearns Cos. hedge funds prompted investors to reduce purchases
of financial assets funded by borrowing in Japan.

The Japanese yen advanced against 15 of the 16 most-actively
traded currencies as investors scaled back so-called carry
trades. The dollar touched a record low against the euro earlier
after Bear Stearns told investors in two of its hedge funds they
will get little if any money back after losses related to U.S.
subprime mortgages.


Read more at Bloomberg Currencies News

Pakistan's Stocks Fall Most in More Than 10 Weeks: World's Biggest Mover

(Bloomberg) -- Pakistan's stocks posted the biggest
drop in 10 weeks, fluctuating the most among markets included in
global benchmarks on concern escalating violence will prompt
investors to seek safer bets than the country's equities.

Oil & Gas Development Co. Ltd., Pakistan's biggest energy
explorer, led declines among some of the nation's largest listed
companies.


Read more at Bloomberg Stocks News

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

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

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


Read more at Bloomberg Bonds News

Lead Rises to Record for 6th Straight Day on Supply Concern; Nickel Gains

(Bloomberg) -- Lead rose to a record in London for
a sixth consecutive session on speculation that production will
fail to meet demand after a U.S. smelter was damaged by an
explosion. Nickel also climbed.

Doe Run Resources Corp., the world's second-largest lead
refiner, said yesterday that a blast at its Herculaneum smelter
in Missouri cut the plant's output by half. Lead's advance this
year has outpaced other industrial metals traded on the London
Metal Exchange as supplies from Australia were disrupted by a
pollution investigation.


Read more at Bloomberg Commodities News

Iliad Africa shares surge after private equity bid

(Reuters) - Shares in South African building supplies firm Iliad Africa surged over 14 percent on Wednesday after the firm said it had received a 24 rand per share initial buyout bid from a private equity consortium.

Iliad Africa said the 24 rand per share indicative price represented a 37 percent premium to the 30-day volume weighted average price of the company's stock on June 7, when it first announced it was in talks. By 0952 GMT, shares in the group were 13.71 percent firmer at 22.81 rand.


Read more at Reuters Africa

Hungarian Forint Falls as Wage Data Spurs Interest-Rate Cut Expectations

(Bloomberg) -- Hungary's forint fell against the
euro after a report showing wages grew less than expected buoyed
expectations the central bank will lower the European Union's
highest interest rates.

The forint slid to its lowest in a week after Hungary's
Statistics office said gross wages grew 7.4 percent in May on the
year, compared with the 8 percent forecast in a Bloomberg News
survey. Slower earnings growth may prompt the central bank to cut
its base rate for a second time in two months.


Read more at Bloomberg Currencies News

European shares take a hit on subprime concerns

(Reuters) - European stock markets suffered sharp losses across-the-board on Wednesday, extending the previous session's falls, on subprime worries and ahead of Fed chief Ben Bernanke's semi-annual testimony to Congress.

Technology shares led a decline in Asia as Intel missed its profit margin target. Shares in Franco-Italian chipmaker STMicroelectronics and German rival Infineon both lost 1.3 percent.


Read more at Reuters Africa

European Emission Permits Prices Fall as U.K. Natural-Gas Costs Decline

(Bloomberg) -- European Union carbon dioxide
permits declined as the cost of U.K. natural gas fell, making
the fuel more profitable for power generators. Natural gas emits
half the carbon dioxide produced by burning coal.

Permits for December 2008 fell 2.3 percent to 18.80 euros
($26.06) a metric ton at 10:49 a.m. local time on the European
Climate Exchange in Amsterdam. They traded at an 11-week low of
18.65 euros a ton on July 16.


Read more at Bloomberg Energy News

Yen Rebounds as Bear Stearns Hedge-Fund Losses Restrain Carry Trades

(Bloomberg) -- The yen rose against the dollar and
the euro as losses on Bear Stearns Cos. hedge funds caused
investors to scale back purchases of riskier assets with money
borrowed in Japan.

The Japanese yen rose against all 16 most-actively traded
currencies as investors pared so-called carry trades. The dollar
touched a record low against the euro earlier after Bear Stearns
told investors in two of its hedge funds they will get little if
any money back after losses related to subprime mortgages.


Read more at Bloomberg Currencies News