Kuwait Says Currency Peg Gives It `Flexibility' in Setting Exchange Rate

(Bloomberg) -- Kuwait's decision to peg the dinar to
a basket of currencies gives it flexibility in setting its
exchange rate, Kuwait News Agency reported, citing central bank
governor Sheikh Salem Abdul Aziz al-Sabah.

Markets needed time to adequately absorb the new currency
arrangement that was adopted on May 20, KUNA reported, citing the
governor. The central bank has sufficient expertise in managing a
currency basket to boost monetary stability and confidence in the
dinar, he said, the state news agency reported.


Read more at Bloomberg Currencies News

Europe Bonds Fall on Concern Recent Gains Aren't Justified By Rising Rates

(Bloomberg) -- European bonds fell on speculation
the longest run of weekly gains in five months isn't justified
by expectations for higher interest rates in the euro region.

The yield on the German 10-year bund, Europe's benchmark,
rose 2 basis points to 4.33 percent as of 7:21 a.m. in London,
after reaching 4.30 percent last week, its lowest since mid-May.
The price of the 4.25 percent security due July 2017 fell 0.16,
or 1.6 euros per 1,000-euro ($1,364) face amount, to 99.34.


Read more at Bloomberg Bonds News

Atos, Cap Gemini, France Telecom, NicOx and Steria: French Equity Preview

(Bloomberg) -- The following stocks may rise or
fall on the Paris stock exchange. Symbols are in parentheses
after company names. Prices are from the last close.

August futures on the benchmark CAC 40 Index slipped 10 to
5641 at 8:13 a.m. in Paris.


Read more at Bloomberg Stocks News

South Africa eyes import tariff cuts to aid manufacturing

(Reuters) - South African President Thabo Mbeki said on Sunday his government may cut tariffs on some imported equipment and goods in a bid to boost the manufacturing sector and make it more competitive internationally.

In a briefing to discuss the outcome of a mid-year meeting of his cabinet and other senior officials, Mbeki said a healthier manufacturing sector was critical to the government's efforts to narrow the country's trade deficit.


Read more at Reuters Africa

MegaFon stake dispute may be near end - Vedomosti

(Reuters) - Vedomosti said representatives of Alfa and IPOC were nearing an agreement under which both sides would withdraw their claims against one another, an unidentified source close to MegaFon told the paper.



Sources close to IPOC and Alfa confirmed the intention to sign an agreement, but the paper said some details remained to be worked out.


Read more at Reuters.com Mergers News

KPN to bid for Getronics, reports Q2 results

(Reuters) - KPN's second-quarter earnings before interest, tax,
depreciation and amortisation were flat at 1.28 billion
euros and compared with an average forecast of 1.23 billion in a
Reuters poll of 12 analysts.




Read more at Reuters.com Mergers News

Asian Stocks Rebound From 1-Month Low; JFE, Nippon Steel Rise, Sony Falls

(Bloomberg) -- Asian stocks rebounded from a one-
month low after higher profits at JFE Holdings Inc. and Nippon
Steel Corp. helped offset concerns of a slump in U.S. housing.

Sony Corp., the maker of Cyber-shot cameras and PlayStation 3
consoles, and James Hardie Industries NV, the biggest supplier of
home siding in the U.S., led declines after a report showed a
decline in U.S. housing investment.


Read more at Bloomberg Stocks News

India's Central Bank May Keep Benchmark Rate Unchanged as Inflation Slows

(Bloomberg) -- India's central bank will probably
keep its benchmark interest rate unchanged for a second quarter
as slower credit growth helps curb inflation.

Reserve Bank of India Governor Yaga Venugopal Reddy will
leave the overnight lending rate at 7.75 percent, according to
all 19 analysts in a Bloomberg News survey. The quarterly
monetary policy statement is due at noon in Mumbai tomorrow.


Read more at Bloomberg Emerging Markets News

Yen rises, risk aversion overshadows Japan election

(Reuters) - But the yen gave up some gains as overall losses in Asian equities turned out to be limited, and as Japanese investors and other market players seized on the rise as an opportunity to sell the low-yielding yen for higher-yielding currencies.




"A lot of people are wanting to sell on any rallies," said Luke Waddington, head of forex trading at Royal Bank of Scotland in Tokyo.


Read more at Reuters.com Hot Stocks News

Verizon May Say Today Earnings Rose as Fiber-Optic Network Pared Loss

(Bloomberg) -- Verizon Communications Inc.'s $22.9
billion gamble on a new fiber-optic network may have started to
pay off in the second quarter as new customers and reduced
expenses pared the project's losses.

Net income of the second-largest U.S. phone company
probably rose to $1.69 billion, or 58 cents a share, from $1.61
billion, or 55 cents, a year ago, according to the average of 13
analysts' estimates in a Bloomberg survey. Sales may have
increased 5.1 percent to $23 billion.


Read more at Bloomberg Stocks News

Atos, Danone, Euler Hermes, Lectra and Natixis: French Equity Preview

(Bloomberg) -- The following stocks may rise or
fall on the Paris stock exchange tomorrow. Symbols are in
parentheses after company names. Prices are from the last close.

The benchmark CAC 40 Index lost 31.09, or 0.6 percent, to
5643.96. The broader SBF 120 Index also fell 0.6 percent.


Read more at Bloomberg Stocks News

ABN AMRO reports Q2, says is neutral on bids

(Reuters) - ABN said it was currently not in the position to recommend the offers from Barclays or the RBS-led consortium, which also includes Belgian-Dutch Fortis and Spain's Santander.




ABN had a net profit of 1.13 billion euros in the second quarter, compared with 1.216 billion euros a year earlier and the 1 billion euros average forecast in a Reuters survey of five analysts.


Read more at Reuters.com Business News

Mitsubishi Electric profit up, raises H1 outlook

(Reuters) - The announcement sent shares of Mitsubishi Electric up 6.9
percent to 1,232 yen as of 0426 GMT, while the benchmark Nikkei
average fell 0.8 percent.




Few analysts give estimates for Mitsubishi Electric's first
quarter earnings, but the result compares with Mitsubishi UFJ
Securities' estimate for a 41 billion yen profit.


Read more at Reuters.com Market News

Gold, Silver Little Changed After Drop on Concern Global Growth May Slow

(Bloomberg) -- Gold was little changed in Asia after
the biggest weekly decline in almost two months on concern that
global economic growth may slow, reducing the metal's appeal as a
hedge against inflation. Silver was also little changed.

Gold fell 3.3 percent last week amid a $2.1 trillion world
stock market rout and concern that U.S. subprime mortgage losses
may slow economic growth, reducing inflation. Investors usually
buy gold at time of rising raw material prices to preserve wealth.


Read more at Bloomberg Commodities News

IKB Deutsche Cuts Profit Forecast Amid Rout in the U.S. Subprime Mortgages

(Bloomberg) -- IKB Deutsche Industriebank AG, a
German lender that invested in U.S. subprime mortgages, said its
profit will be ``significantly'' lower than forecast as fallout
from the deteriorating North American home-loan market spreads.

``IKB is no longer in a position to maintain its earnings
forecast of 280 million euros ($382 million),'' the Dusseldorf-
based bank said in a statement distributed on the DGAP newswire.
Chief Executive Officer Stefan Ortseifen resigned and will be
replaced by Guenther Braeunig, the statement said.


Read more at Bloomberg Bonds News

New Zealand Dollar Is Overvalued, Will Decline, Agriculture Minister Says

(Bloomberg) -- The New Zealand dollar, the best
performer of 16 major currencies against the dollar in the past
year, is over-valued and will eventually decline, Agriculture
Minister Jim Anderton said today.

``There is no question it is overvalued,'' Anderton said in
e-mailed notes for a speech in Christchurch. ``A lot of the hot
money coming in here thinking it won't decline, will eventually
get burned because the dollar will, sooner or later, return to
more normal levels.''


Read more at Bloomberg Commodities News

UPDATE 1-Japan Fast Retailing to open big London Uniqlo shop

(Reuters) - Fast Retailing, one of Japan's largest retailers with a
nationwide chain of more than 700 Uniqlo shops, has pledged to
invest up to 400 billion yen over the next three
years on mergers and acquisitions in a bid to double annual
sales to 1 trillion yen by 2010.




The clothing retailer unveiled a $900 million bid for Jones
Apparel Group's upscale clothing chain Barney's New York
Inc. in early July.


Read more at Reuters.com Mergers News

Deutsche Bank Payday Burgeons With Trading Bets Against Subprime Mortgages

(Bloomberg) -- Deutsche Bank AG analyst Eugene Xu
recognized a financial train wreck in the making two years ago
when he predicted ``quite probable'' losses from the least
creditworthy home loans in America's runaway property market.

Now Germany's largest bank is poised to reap a bonanza of at
least $270 million and as much as $540 million from a strategy
that enabled its traders to sell subprime mortgage loans with
derivatives contracts that appreciated as the U.S. housing market
suffered its worst slump in 16 years.


Read more at Bloomberg Bonds News

Nikkei hits 4-month low on election

(Reuters) - The defeat of Japanese Prime Minister Shinzo Abe's ruling camp in upper house elections left political uncertainties, while drops in U.S. stocks on credit concerns put a lid on the overall market.




The Nikkei gave up 172.64 points to 17,111.17, after earlier falling to 17,042.66, the lowest level since April 2. The broader TOPIX index declined 0.72 percent to 1,687.39.


Read more at Reuters.com Hot Stocks News

China's 2007 Steel Production May Rise by 14 Percent, Industry Guild Says

(Bloomberg) -- China, producer of one third of the
world's steel, may increase output of the metal by 14 percent
this year, the China Iron and Steel Association said.

Production may reach 480 million tons this year, the
association said in a statement in Beijing. That compares with
its previous forecast of 475 million tons.


Read more at Bloomberg Emerging Markets News

Doosan Infracore to Acquire Ingersoll-Rand's Bobcat Unit for $4.9 Billion

(Bloomberg) -- Doosan Infracore Co., South Korea's
largest maker of construction machinery, agreed to buy Ingersoll-
Rand Co.'s Bobcat and other units for $4.9 billion, the biggest
overseas acquisition by a South Korean company.

The company will buy the Bobcat compact-equipment unit,
and the Utility Equipment and Attachments divisions, Incheon,
South Korea-based Doosan Infracore said in an e-mailed statement
today. Ingersoll-Rand has its headquarters in Bermuda.


Read more at Bloomberg Emerging Markets News

Tunisia Central Bank, Kingboard, Hong Long, Sri Lanka: Asia Bond Alert

(Bloomberg) -- PT Mobile-8 Telecom, an Indonesian
mobile-phone operator that counts Qualcomm Inc. as an investor,
and Hong Long Holdings Ltd., a Chinese developer, are among
borrowers seeking to sell at least $5.6 billion of bonds in Asia,
according to data compiled by Bloomberg.

Governments and companies in Asia sold $43.8 billion of
debt denominated in dollars, euros and yen this year, up from
$38.2 billion a year earlier, Bloomberg data show. Sales of
Samurai bonds, yen debt sold by foreign entities in Japan, rose
to 1.4 trillion yen ($11.8 billion), from 741 billion yen in the
whole of 2006.


Read more at Bloomberg Bonds News

JGB futures fall from 2-mth high on rate jitters

(Reuters) - The Nikkei share average was down 1.1 percent by late
morning.




A slump in Tokyo share prices in the past week along with a
plunge in global equity markets has stirred doubts about a BOJ
interest rate increase next month, driving benchmark JGB yields
to two-month lows.


Read more at Reuters.com Bonds News

Iran Doesn't Back OPEC Output Increase in September, Ministry Agency Says

(Bloomberg) -- Iran, the second-largest producer in
OPEC, doesn't support an increase in oil production at the
group's next meeting because high prices are being caused by
geopolitical issues and U.S. gasoline shortages, Shana reported.

Iran won't favor a production increase if the oil market
situation remains the same, the Tehran-based oil ministry press
agency said, citing Oil Minister Kazem Vaziri-Hamaneh.


Read more at Bloomberg Energy News

China Yangtze Power Profit Jumps 72 Percent on Output, Sale of Bank Stake

(Bloomberg) -- China Yangtze Power Co., operator of
the world's biggest hydropower project, said first-half profit
jumped 72 percent after the company sold shares in a bank and as
electricity output rose.

Net income surged to 2.25 billion yuan ($298 million), or
0.268 yuan a share, from 1.31 billion yuan, or 0.16 yuan, a year
earlier, Yangtze Power said in a statement to Shanghai's stock
exchange today. Sales rose 12 percent to 3.4 billion yuan.


Read more at Bloomberg Energy News

RWE Reports Lignite-Fired Power-Plant Shutdowns, Reduced Nuclear Capacity

(Bloomberg) -- RWE AG, Germany's second-largest
utility, reported shutdowns at three lignite-fired power plants
and a capacity reduction at a nuclear plant.

RWE's 289-megawatt Neurath B lignite-fired plant stopped on
July 27, the Essen, Germany-based company said today on its Web
site. Neurath B is expected to remain halted for between six days
and eight days, the company said.


Read more at Bloomberg Energy News

Japan Stocks Fall on U.S. Subprime Concern, Ruling Party's Election Defeat

(Bloomberg) -- Japanese stocks dropped after a
report on economic growth in the U.S. showed residential
investment slumping as the subprime problem worsens, pointing to
a weaker outlook for Japan's largest overseas market.

Toyota Motor Corp. and Canon Inc. led exporters lower after
the yen advanced to the highest against the dollar in more than
three months, reducing the value of their overseas sales.


Read more at Bloomberg Stocks News

Crude Oil Falls From One-Year High as Sliding Equities Weigh on Confidence

(Bloomberg) -- Crude oil fell from a one-year high
in New York as sliding world equity markets weighed on investor
confidence.

A two-day slump on world equity markets pushed the Standard
& Poor's 500 index to its lowest in 3 1/2 months and knocked
$2.1 trillion off the value of global shares last week. Oil
climbed to within 1 cent of a record close on July 27 after a
report showed the U.S. economy, the world's biggest consumer,
expanded by 3.4 percent in the second quarter.


Read more at Bloomberg Energy News

Australia's Dollar Declines as Investors Shun Higher-Yielding Securities

(Bloomberg) -- The Australian dollar fell to the
weakest in a month against the U.S. currency and a two-month low
versus the yen as a slide in stocks eroded investor confidence to
buy higher-yielding assets with loans from Japan.

The currency fell for a third day as a 4.2 percent loss in
the Dow Jones Industrial Average last week led a worldwide slump
in shares. The local dollar this month reached an 18-year high
against its U.S. counterpart and the strongest in 16 years versus
the yen as rising equities encouraged investors to put on so-
called carry trades, in which they take advantage of Australia's
higher interest rates with borrowed money from Japan.


Read more at Bloomberg Currencies News

Japan's Stocks May Drop on U.S. Subprime Concern, Stronger Yen, LDP Defeat

(Bloomberg) -- Japanese stocks may drop after a
report on economic growth in the U.S. showed residential
investment slumping as the subprime problem worsens, pointing to a
weaker outlook for Japan's largest overseas market.

Toyota Motor Corp. and Sony Corp. may lead exporters lower
after the yen advanced to the highest against the dollar in more
than three months, reducing the value of their overseas sales.


Read more at Bloomberg Stocks News

New Zealand Dollar Falls to Four-Week Low, Investors Avoid Carry Trade

(Bloomberg) -- The New Zealand dollar fell to a
four-week low as falling global stock markets and U.S. subprime
mortgage losses prompted investors to avoid riskier assets.

The currency, known as the kiwi, is a favorite for the
carry trade, where investors borrow cheaply in yen to put their
funds in countries that offer higher yields. New Zealand's
record 8.25 percent benchmark interest rate is 7.75 percentage
points more than Japan's, luring traders to the higher returns
offered by the nation's fixed income assets.


Read more at Bloomberg Currencies News

Amazon.com, Brown Shoe, Deckers, NetGear, Rambus: U.S. Equity Preview

(Bloomberg) -- The following is a list of companies
whose shares may have unusual price changes in U.S. exchanges
tomorrow. This preview includes news that broke after exchanges
closed. Stock symbols are in parentheses after company names.

Amazon.com Inc. (AMZN US): Shares of the world's biggest
online retailer are too expensive after this past week's
increase, and expansion plans threaten its profit margins,
Barron's said, citing no one. Amazon stock rose 3 cents to
$84.04 on July 27.


Read more at Bloomberg Stocks News

Union ratifies trash collection contract in Calif

(Reuters) - The contract includes "strong wage and pension increases
and protection from future cost increases in health care," the
group said.







Read more at Reuters.com Bonds News

Paulson's Yuan Appreciation Anticipated by Pictet, Western Asset's Trades

(Bloomberg) -- Investors from Switzerland to
California are banking on U.S. Treasury Secretary Henry Paulson
convincing China to let its yuan appreciate more than 5 percent
in coming months.

Western Asset Management Co. in Pasadena and Pictet Asset
Management in Geneva are buying contracts tied to the future
value of the yuan, driving the price so high that the currency
must strengthen at least 5.5 percent in the next 12 months
before they see any profit. The so-called non-deliverable
forwards are rising at the fastest pace in two years.


Read more at Bloomberg Currencies News

In China, Paulson eyes debate shift to environment

(Reuters) - Aiming to keep his strategic economic dialogue with China
on track amid controversies over Chinese product and food
safety and currency legislation gaining momentum in the U.S.
Congress, Paulson will visit Qinghai lake in western China on
Monday before meeting President Hu Jintao and Vice Premier Wu
Yi on Tuesday and Wednesday.




The lake and surrounding glacial watershed are threatened
by global warming and encroaching desert, with Paulson saying
the area was a strong symbol of the need for U.S.-China
cooperation on environmental issues.


Read more at Reuters.com Bonds News

Porsche not planning now to raise VW stake: paper

(Reuters) - The federal law guarantees special rights for the German state of Lower Saxony, where VW's headquarters in Wolfsburg are located, as a shareholder as well as preventing any one individual investor from exercising more than 20 percent of their voting rights.




Wolfgang Porsche did not deny that the Porsche and Piech families who control the sports car maker were immune to the idea of controlling VW itself, effectively founded in 1937 by Beetle designer and family patriarch Ferdinand Porsche.


Read more at Reuters.com Business News

RPT-Bay Street Week Ahead - Offshore sirens beckon

(Reuters) - VANCOUVER, British Columbia, July 29 - As foreign
takeovers and private equity buyouts strip the Toronto Stock
Exchange of some of its biggest names, institutional investors
are increasingly shifting their gaze outside Canada.




Those investors with mandates to invest domestically, such
as "pure" Canadian mutual funds, say they might at some point
ask their fundholders to let them rejig their limits so that
they too can follow their peers to greater choice offshore.


Read more at Reuters.com Mergers News

UPDATE 9-Japan PM says to stay despite huge election defeat

(Reuters) - TOKYO, July 29 - Japanese Prime Minister Shinzo
Abe's conservative ruling camp suffered a devastating defeat in
upper house elections on Sunday, but the 52-year-old conservative
said he intended to stay in his post despite the drubbing.




"I am determined to carry out my promises although the
situation is severe," Abe said, after acknowledging that he was
responsible for the huge loss.


Read more at Reuters.com Bonds News

Egypt's El Sewedy H1 net profit rises 32 pct

(Reuters) - Egypt's El Sewedy Cables posted a 32 percent rise in consolidated net profit to 337 million Egyptian pounds in the first half of 2007, the stock exchange said on Sunday.

Net profit in the year-ago period was 256 million pounds.


Read more at Reuters Africa