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Hunt ex-aide to face Leveson probe - WalesOnline
23 May 2012 at 9:23pm

The Guardian
Hunt ex-aide to face Leveson probe
WalesOnline
Culture Secretary Jeremy Hunt's interactions with Rupert Murdoch's media empire are to come under the spotlight when his former special adviser and a News Corporation lobbyist appear at the Leveson Inquiry. News Corp's Frederic Michel has been called ...
Tories give Hunt's ex-aide legal advice as he braces for a grilling at LevesonThe Independent
Jeremy Hunt adviser's evidence could skewer his former bossThe Guardian
Media Analysis: My soft spot has hardened as Hunt's shown his coloursEvening Standard
Belfast Telegraph -ITV News
all 180 news articles »
Boy, 14, is arrested as pupil fights for his life - Scotsman
23 May 2012 at 5:47pm

Montrose Review
Boy, 14, is arrested as pupil fights for his life
Scotsman
A 14-YEAR-OLD schoolboy has been arrested after a fellow pupil collapsed during an altercation at a high school in Glasgow. The victim, also aged 14, was fighting for his life last night following the incident near the gymnasium at Rosshall Academy, ...
Life fight of bust-up pupil, 14The Scottish Sun
14-year-old boy critically injured after fight at secondary schoolstv.tv
Schoolboy held after boy collapses at Glasgow schoolBBC News
The Galloway Gazette -Scotland on Sunday
all 103 news articles »
Oh, Balls... when Cameron lost his temper ? again - The Independent
23 May 2012 at 5:03pm

Telegraph.co.uk
Oh, Balls... when Cameron lost his temper ? again
The Independent
Rarely can being labelled idiotic have been such a source of pride. David Cameron's dismissal of Ed Balls as a "muttering idiot" at Prime Minister's Questions yesterday was celebrated by Labour politicians after their shadow Chancellor provoked the ...
Not so chillaxed: Hot-headed PM forced to apologise after calling Ed Balls a ...Mirror.co.uk
Tantrum PM says: 'Balls is an idiot'The Sun
Sketch: 'Muttering idiot' makes Daddy jolly crossTelegraph.co.uk
The Guardian -BBC News -The Press Association
all 377 news articles »
Gay marriage: Conservative MPs to get free vote - BBC News
23 May 2012 at 8:19pm

BBC News
Gay marriage: Conservative MPs to get free vote
BBC News
Conservative MPs will be allowed a free vote on gay marriage, senior party sources have told the BBC. A formal consultation on how civil marriage will be reformed in England and Wales began earlier this year. Prime Minister David Cameron has personally ...
Paterson's opposition to gay marriage stokes up battleBelfast Telegraph
Tory MPs will get a free vote on gay marriage as issue is a 'matter of conscience'Daily Mail
Cameron rebukes Northern Ireland Secretary over gay marriageThe Independent
The Guardian -Telegraph.co.uk -The Press Association
all 21 news articles »
Euro: Enough is enough says Cameron - shropshirestar.com
23 May 2012 at 6:19pm

shropshirestar.com
Euro: Enough is enough says Cameron
shropshirestar.com
David Cameron has called for a ?lasting solution? to the eurozone crisis after enduring 18 EU summits on the subject since he became Prime Minister. He voiced his frustration to fellow EU leaders at the latest such summit in Brussels on Wednesday night ...
Cameron urges 'decisive' EU actionThe Press Association
David Cameron: a master of the art of chillaxingTelegraph.co.uk
Cameron 'posturing' is exacerbating eurozone crisis, says BallsThe Guardian
Daily Mail
all 952 news articles »
First Minister Carwyn Jones accuses UK Government of "demonising" public ... ...
23 May 2012 at 5:01pm

Left Foot Forward
First Minister Carwyn Jones accuses UK Government of "demonising" public ...
WalesOnline
by Martin Shipton, WalesOnline First Minister Carwyn Jones will today launch an outspoken attack on the UK Government, accusing it of ?deriding and demonising? the public sector workforce. And in a second major pronouncement, he last night claimed the ...
£3.5bn fund for Wales' infrastructure projectsBBC News
Jones queries electoral change planThe Press Association
Welsh Secretary to outline possible Assembly voting system changesITV News
New Civil Engineer -Daily Post North Wales -Caerphilly Observer
all 57 news articles »
The issue isn't prisoners getting the vote ... it's about who really governs ...
23 May 2012 at 7:21pm

The Sun
The issue isn't prisoners getting the vote ... it's about who really governs ...
The Sun
By PRITTI PATEL, Conservative MP for Witham BARMY human rights laws and rulings from unaccountable judges at the European Court of Human Rights have left this country powerless to punish criminals and keep British people safe.
UK to resist giving prisoners the vote despite European court rulingThe Guardian
David Cameron: Britain will decide on votes for prisoners not a 'foreign court'Telegraph.co.uk
Labour will back David Cameron in prisoner vote fight, says Ed BallsThe Independent
Financial Times -Daily Mail -BBC News
all 675 news articles »
Blair's rottweiler in first job since No 10: Campbell takes lucrative role .....
23 May 2012 at 6:49pm

Daily Mail
Blair's rottweiler in first job since No 10: Campbell takes lucrative role ...
Daily Mail
By Kirsty Walker Tony Blair's controversial former spin doctor Alastair Campbell has taken a lucrative job in PR ? his first permanent position since he left Downing Street. Mr Campbell has been hired by public relations firm Portland to act as a ...
Alastair Campbell returns to PR with Tim Allan's PortlandPRWeek UK
Back in the thick of it... Alastair Campbell returns to work as a spin doctorThe Independent
Alastair Campbell takes PR job with Downing St colleaguesTelegraph.co.uk
The Guardian -Huffington Post UK
all 10 news articles »
Murder jury told victim drank bleach - Herald Scotland
23 May 2012 at 8:07pm

ITN
Murder jury told victim drank bleach
Herald Scotland
A TEENAGER'S weight plunged to just five stone after she drank bleach over fears she was going to be left in Pakistan by her family, her sister told a murder trial. Alesha Ahmed was giving evidence at the trial of her parents Iftikhar and Farzana, ...
Shafilea Ahmed's sister tells court of rows with motherThe Guardian
Shafilea Ahmed's parents abused her daily, sister tells courtBBC News
'I watched my parents suffocate Shafilea by forcing a bag into her mouth ...Daily Mail
The Independent -Sky News -Telegraph.co.uk
all 830 news articles »
Coalition to back investment in housing, infrastructure and jobs for youth to...
23 May 2012 at 6:36pm

Daily Mail
Coalition to back investment in housing, infrastructure and jobs for youth to ...
Daily Mail
By James Chapman David Cameron and Nick Clegg yesterday signalled a shift in the Government's austerity programme towards a fresh emphasis on growth through state-backed investment in housing, infrastructure and youth employment.
Clegg sounds new economic toneFinancial Times
Nick Clegg signals new phase as victory for French left adds strain to coalitionThe Guardian
Nick Clegg visits BerlinThe Economic Voice
Telegraph.co.uk -The Independent -The Press Association
all 71 news articles »
 

Business News
Business News continually updated from thousands of sources around the net.


Morgan Stanley Under Fire Over Facebook IPO - And Other News Told In Charts
23 May 2012 at 9:19pm

Facebook's blown IPO has investors and regulators sharpening knives, and they're pointing at lead underwriter Morgan Stanley .

Hong Kong Billionaire Lau Charged With Bribery in Macau
23 May 2012 at 9:19pm

Joseph Lau, the billionaire chairman of Chinese Estates Holdings Ltd., will stand trial for bribery and money laundering in Macau in connection with a land purchase in the world's biggest gambling hub Macau's Court of Criminal Instruction accepted charges brought by the public prosecutor against Lau, rejecting a request to dismiss the case on lack ... (more)

Between Facebook and JPMorgan, Wall St. woes mount
23 May 2012 at 8:14pm

Investor anger mounted Wednesday over the initial public offering of Facebook stock last week, which was fumbled by the banks that managed the deal and complicated by technical problems at the Nasdaq stock exchange.

Alere Recalls 803,000 Heart Attacks and Heart Failure Tests
23 May 2012 at 7:09pm

Alere Inc. is recalling 803,000 tests used to detect heart attacks and manage heart failure patients that failed to meet quality control guidelines.

michael_cavna
23 May 2012 at 5:00pm

Comic Riffs is a blog devoted to the comics fan. Come in, sit down and put your feet up as we celebrate, contemplate, eviscerate and pontificate on cartoons.

NFLPA Files Collusion Charges Against NFL Claiming 'Secret Cap' In 2010
23 May 2012 at 2:55pm

The NFL Players Association today filed suit against the NFL claiming that 28 of the 32 clubs in the league conspired to keep salaries down during the uncapped year of 2010.

WFNX going for $14.5M in sale to Clear Channel
23 May 2012 at 1:55pm

The purchase price was listed in an asset purchase agreement filed today with the Federal Communications Commission, which must approve the deal.

Is Everest Climber's Death A Case Of Goal Setting Gone Terribly Wrong?
23 May 2012 at 1:55pm

Shriya Shah-Klorfine had wanted to scale Everest since she was nine years old. She and her husband remortgaged their house to raise the $100 000 the trek would cost and put off having children so she could pursue her dream.

Here's The Damning Facebook Lawsuit From The Guys Who Won $7 Billion From Enr...
23 May 2012 at 10:56am

Earlier, we reported that Robbins Geller, the law firm that won $7 billion from Enron's bankers, has filed a class action lawsuit against Facebook and Morgan Stanley .

Greek banks to get $23 billion from bailout fund
23 May 2012 at 10:56am

Four of Greece's leading banks are to receive a 18 billion capital injection to replenish reserves which were hit by country's massive debt restructuring deal.

Reebok India alleges $233m fraud
23 May 2012 at 8:55am

Reebok India has lodged a police complaint against former managing director Subhinder Singh Prem and ex-chief operating officer Vishnu Bhagat accusing them of commercial and financial irregularities.

Shareholders May Bust Up JPMorgan: KBW
23 May 2012 at 7:51am

Konrad said that his firm did not think that JPMorgan CEO James Dimon was "going anywhere soon," in the wake of the company's $2 billion second-quarter hedge trading loss and its suspension of its share buyback program, but that "should the market continue to depress the multiples of universal banks regardless of underlying values, we believe the ... (more)

Bank eyed case for more stimulus
23 May 2012 at 4:36am

Bank of England policymakers voted by 8-1 this month against pumping more money into the economy, but the decision was "finely balanced" for some members, minutes show.

EU appeals to China to join global emissions talks
23 May 2012 at 1:26am

A European envoy held out a possible compromise in a fight with China over carbon emissions charges on airlines, saying Wednesday that Europe might alter its system if Beijing helps negotiate global regulations.

No 10 Adviser Attacks 'Socialist' Vince Cable
23 May 2012 at 1:26am

A controversial Downing Street adviser has accused Business Secretary Vince Cable of being a socialist who "appears to do very little to support business". Venture capitalist Adrian Beecroft, who wrote a report for No 10 calling for proposals making it easier to fire workers, said the Liberal Democrat's objections to his plans were "ideological not ... (more)

 

BBC News - Business
The latest stories from the Business section of the BBC News web site.


Merkel challenged over EU growth
23 May 2012 at 4:59pm
EU leaders are continuing talks in Brussels with Germany resisting pressure to launch eurobonds as a way to ease the debt crisis and revive growth.

Hewlett-Packard cuts 27,000 jobs
23 May 2012 at 3:34pm
Hewlett-Packard, the world's largest computer maker, is to cut 27,000 jobs by end of 2014 as part of a drive to "simplify" the business.

Facebook and banks face lawsuit
23 May 2012 at 3:37pm
Facebook, its founder Mark Zuckerberg, and the banks leading its flotation are sued over claims that financial information was not disclosed.

China seeks economic growth boost
23 May 2012 at 8:05pm
China says it will take measures to boost demand and sustain growth amid fears of a slowdown in its economy.

Chinese manufacturing 'declines'
23 May 2012 at 9:23pm
China's manufacturing activity contracted in May, a survey shows, indicating that the rate of growth in the economy is continuing to slow.

Tax effort 'stunted by job cuts'
23 May 2012 at 5:08pm
Impressive efforts have been made by the UK tax authority to collect outstanding tax but more could have been done without job cuts, MPs say.

Jury backs Google in Oracle fight
23 May 2012 at 1:23pm
Internet giant Google did not infringe patents belonging to software developer Oracle, a court in California has ruled.

Big fall in April UK retail sales
23 May 2012 at 3:33am
UK retail sales volumes fell sharply in April largely because of a record fall in petrol sales, according to official figures.

Bank eyed case for more stimulus
23 May 2012 at 4:21am
Bank of England policymakers voted by 8-1 this month against pumping more money into the economy, but the decision was "finely balanced" for some.

BAE signs £1.9bn Saudi jet deal
23 May 2012 at 10:40am
British defence giant BAE signs a £1.9bn ($3bn) deal with Saudi Arabia to supply Hawk trainer jets, safeguarding over 200 UK jobs.

Google funds computer teaching
23 May 2012 at 12:00pm
The search firm's chairman announces funds to place new computer science teachers in English schools.

Courier scam 'nets conmen £1.5m'
23 May 2012 at 8:32am
Fraudsters are making increasing profits from a scam in which people are tricked into allowing their bank card to be sent straight to the conmen.

Sky cleared in pay-TV film probe
23 May 2012 at 4:10am
Netflix and Lovefilm have weakened Sky's grip on the pay-TV film market, the regulator says, meaning it is unlikely to intervene in the sector.

Catalogue debt problems 'rising'
23 May 2012 at 4:50am
Unaffordable debt from mail order catalogues is prompting more calls for help to a charity than payday loans, mortgages or rent.

Dell focuses on touchscreen PCs
23 May 2012 at 4:14am
The US computer maker hopes new Windows 8 touchscreen computers can turn around a slump in sales to consumers.
 

Financial Services company and industry news from the Financial Times
The financial services company and industry news with expert analysis from the Financial Times on FT.com

Tax protests disrupt CME annual meeting
23 May 2012 at 7:41pm
Demonstrators repeatedly challenged management about tax relief the company received from the cash-strapped state of Illinois last year
Paragon gains from downturn
23 May 2012 at 2:18pm
Much of the buy-to-let lender?s double-digit rise in profit was because of acquisitions of loan portfolios from lenders that are shrinking
WorldSpreads? high-rollers to be pursued
23 May 2012 at 1:55pm
Administrators of the defunct spread betting group say debtors owe the company £2.5m, with most of this owed by several high-value clients
Buffett banker details ?top secret? deal
23 May 2012 at 12:28pm
Byron Trott, the former Goldman banker responsible for a relationship with Warren Buffett, gave an inside detailed account of how the bank struck a deal at the heart of an insider trading trial involving a former bank director.
Investor interest in HICL equity surges
23 May 2012 at 10:08am
UK-listed infrastructure fund, which reported an annual pre-tax profit increase to £62m, says a recent £250m equity raising was oversubscribed by 20%
Knight puts Facebook glitch loss at $35m
23 May 2012 at 6:18pm
The first official statement about the impact of the opening moments of Facebook share trading highlights an expected flood of customer claims against Nasdaq
Investors lose faith in banks? RWA models
23 May 2012 at 4:58pm
Barclays report finds that 63 per cent of institutional investors asked have less faith in bank RWA models than they did a year ago
M Stanley turns profit on Facebook support
23 May 2012 at 2:11pm
The profit for the lead underwriter is likely to focus attention on the mechanics of how big Wall Street banks ?stabilise? shares in IPOs
Cable enterprise measures hit criticism
23 May 2012 at 1:34pm
Launch against a backdrop of criticism for refusing to back radical employment law reform, and cross-party claims Treasury failing to rise to challenge
Markets: Out of stock
23 May 2012 at 1:14pm
The end of a six-decade passion for equities could lead to a less flexible, more conservative model of corporate financing. By John Authers and Kate Burgess
Investors sue Facebook and banks on IPO
23 May 2012 at 12:59pm
Group files lawsuit in a US federal district court, alleging ?untrue statements of material facts? in the social network group?s prospectus
US money market funds shun eurozone banks
23 May 2012 at 12:27pm
Funds have cut their exposure to the financial sector by two-thirds in past year while sharply increasing holdings of so-called secured debt
Many synthetic ETFs in ?danger zone?
23 May 2012 at 11:38am
More than three-quarters of the synthetic exchange traded funds listed in Europe are at risk of closure after failing to attract sufficient inflows in their first three years
HK bans former Fidelity fund manager
23 May 2012 at 5:51am
Former Fidelity fund manager based in the US is banned from trading in Hong Kong after improperly placing sell orders ahead of a rights issue
Morgan Stanley subpoenaed over IPO
22 May 2012 at 5:25pm
An investigation is being launched into whether Morgan Stanley analysts communicated revisions of Facebook?s revenue forecasts to all clients before the initial public offering.
 

Sky News | Business | First For Breaking News
The latest business news on British and international companies, stocks and shares news, the FTSE, Dow Jones and main market movers. What???s up and what???s down in business.

Facebook Founder And Banks Sued Over Float
Facebook has said it will defend itself "vigorously" against claims it hid the its weakened growth forecasts ahead of its $16bn (£10bn) initial public offering (IPO).
Euro Summit: PM Angry At Failure To Agree
A summit of European leaders has ended without clear agreement on how best to restore confidence in the euro, despite pleas from the British PM to get a grip on the crisis.
'Supermarkets Using Dodgy Pricing Tactics'
Shoppers are being duped into thinking they are getting great offers from the major supermarkets when in fact many of the deals fail to deliver.
Burberry Profits Up 26% On Asia Growth
Annual net profits for luxury clothing company Burberry have jumped by more than a quarter, boosted once again by surging demand in Asia.
BAE Lands £1.6bn Saudi Arabian Jet Deal
British defence company BAE Systems has confirmed it has won a £1.6bn deal to provide military trainer jets to Saudi Arabia.
 

Forex Blog
Learn about the world of Forex

Loonie and Aussie Share Downward Bond
by Adam Kritzer
30 Jun 2011 at 9:15am

In yesterday’s post (Tide is Turning for the Aussie), I explained how a prevailing sense of uncertainty in the markets has manifested itself in the form of a declining Australian Dollar. With today’s post, I’d like to carry that argument forward to the Canadian Dollar.

As it turns out, the forex markets are currently treating the Loonie and the Aussie as inseparable. According to Mataf.net, the AUD/USD and CAD/USD are trading with a 92.5% correlation, the second highest in forex (behind only the CHFUSD and AUDUSD). The fact that the two have been numerically correlated (see chart below) for the better part of 2011 can also be discerned with a cursory glance at the charts above.

Why is this the case? As it turns out, there are a handful of reasons. First of all, both have earned the dubious characterization of “commodity currency,” which basically means that a rise in commodity prices is matched by a proportionate appreciation in the Aussie and Loonie, relative to the US dollar. You can see from the chart above that the year-long commodities boom and sudden drop corresponded with similar movement in commodity currencies. Likewise, yesterday’s rally coincided with the biggest one-day rise in the Canadian Dollar in the year-to-date.

Beyond this, both currencies are seen as attractive proxies for risk. Even though the chaos in the eurozone has very little actual connection to the Loonie and Aussie (which are fiscally sound, geographically distinct, and economically insulated from the crisis), the two currencies have recently taken their cues from political developments in Greece, of all things. Given the heightened sensitivity to risk that has arisen both from the sovereign debt crisis and global economic slowdown, it’s no surprise that investors have responded cautiously by unwinding bets on the Canadian dollar.

Finally, the Bank of Canada is in a very similar position to the Reserve Bank of Australia (RBA). Both central banks embarked on a cycle of monetary tightening in 2010, only to suspend rate hikes in 2011, due to uncertainty over near-term growth prospects. While GDP growth has indeed moderated in both countries, price inflation has not. In fact, the most recent reading of Canadian CPI was 3.7%, which is well above the BOC’s comfort zone. Further complicating the picture is the fact that the Loonie is near a record high, and the BOC remains wary of further stoking the fires of appreciation by making it more attractive to carry traders.

In the near-term, then, the prospects for further appreciation are not good. The currency’s rise was so solid in 2009-2010 that it now seems the forex markets may have gotten ahead of themselves. A pullback towards parity – and beyond – seems like the only realistic possibility. If/when the global economy stabilizes, central banks resume heightening, and risk appetite increases, you can be sure that the Loonie (and the Aussie) will pick up where they left off.

Tide is Turning for the Aussie
by Adam Kritzer
29 Jun 2011 at 10:40am

“Australia is about to enter a boom that should last decades…The Australian dollar is unlikely to go back to where it was, and manufacturing will shrink in importance to the economy, perhaps even faster than it has been.” This, according to Martin Parkinson, Treasury Minister of Australia. While 30 years from now, Mr. Parkinson’s prognosis might probe to be accurate, I’m not so sure it applies to the period 3 months from now. Here’s why:

First of all, the putative economic boom that is taking place in Australia is being driven entirely by high commodity prices and surging production and exports. Since peaking at the end of April, commodity prices have fallen mightily. You can see from the chart above that there continues to exist a tight correlation between the AUD/USD and commodities prices. As commodities prices have fallen over the last two months, so has the Australian Dollar.

In addition, while demand will probably remain strong over the long-term, it may very well slacken over the short-term, due to declining economic growth across the industrialized world.  Consider also that Australia’s largest market for commodity exports – China – may have difficulty sustaining a GDP growth rate of 10%, and at the very least, new fixed-asset investment (which necessitates demand for raw materials) will temporarily peak in the immediate future.

Finally, the mining sector directly accounts for only 8% of Australia’s economy, which means that only to a limited extent to high commodities prices contribute to the bottom line of Australian GDP. This notion is reinforced by the 1.2% economic contraction in the second quarter – the biggest decline in 20 years – and the fact that GDP is basically flat over the last three quarters. Many non-mining economic indicators are sagging, and the number of corporate bankruptcies is 10% higher than in 2010. In the end, then, the ebb and flow of Australia’s fortune depends less on commodities, and more on other sectors.

Mr. Parkinson’s optimistic forecasts might also be undermined in the short-term by a looser-than-expected monetary policy. The Reserve Bank of Australia last hiked its benchmark interest rate in November 2010, and may not hike again for a few more months due to moderating economic growth and proportionally moderate inflation. Given that an attractive interest rate differential may be driving some of the speculative activity that has girded the Aussie’s rise, a decline in this differential could likewise propel it downward.

That’s because anecdotal reports suggest that the Australian Dollar remains a popular long currency for carry traders, funded by shorting the US Dollar, and to a lesser extent, Japanese Yen. Given that many of these carry trades are heavily leveraged, it wouldn’t take much to trigger a short squeeze and a rapid decline in the AUD/USD. For evidence of this phenomenon, one has to look no further back than May 2010, when the Aussie fell 10-15% in only three weeks.

Ultimately, as one commentator recently pointed out, the Aussie’s 70% rise since 2008 might better be seen as US Dollar weakness (which also catalyzed the rise in commodity prices). The apparent stabilizing of the dollar, then, might let some air out of the currency down under.

Emerging Market Currencies Brace for Correction
by Adam Kritzer
28 Jun 2011 at 2:42am

“It was the spring of hope, it was the winter of despair,” begins Charles Dickens’ The Tale of Two Cities. In 2011, the winter of despair was followed by the spring of uncertainty. Due to the earthquake/tsunami in Japan, the continued tribulations of Greece, rising commodity prices, and growing concern over the global economic recovery, volatility in the forex markets has risen, and investors are unclear as to how to proceed. For now at least, they are responding by dumping emerging market currencies.

As you can see from the chart above (which shows a cross-section of emerging market forex), most currencies peaked in the beginning of May and have since sold-off significantly. If not for the rally that started off the year, all emerging market currencies would probably be down for the year-to-date, and in fact many of them are anyway. Still, the returns for even the top performers are much less spectacular than in 2009 and 2010. Similarly, the MSCI Emerging Markets Stock Index is down 3.5% in the YTD, and the JP Morgan Emerging Market Bond Index (EMBI+) has risen 4.5% (which is reflects declining growth forecasts as much as perceptions of increasing creditworthiness).

There are a couple of factors that are driving this ebbing of sentiment. First of all, risk appetite is waning. Over the last couple months, every flareup in the eurozone debt crisis coincided with a sell-off in emerging markets. According to the Wall Street Journal, “Central and eastern European currencies that are seen as being most vulnerable to financial turmoil in the euro zone have underperformed.” Economies further afield, such as Turkey and Russia, have also experienced weakness in their respective currencies. Some analysts believe that because emerging economies are generally more fiscally sound than their fundamental counterparts, that they are inherently less risky. Unfortunately, while this proposition makes theoretical sense, you can be assured that a default by a member of the eurozone will trigger a mass exodus into safe havens – NOT into emerging markets.

While emerging market Asia and South America is somewhat insulated from eurozone fiscal problems. On the other hand, they remain vulnerable to an economic slowdown in China and to rising inflation. Emerging market central banks have avoided making significant interest rate hikes (hence, rising bond prices) – for fear of inviting further capital inflow and stoking currency appreciation – and the result has been rising price inflation. You can see from the chart above that the darkest areas (symbolizing higher inflation) are all located in emerging economic regions. While high inflation is not inherently problematic, it is not difficult to conceive of a downward spiral into hyperinflation. Again, a sudden bout of monetary instability would send investors rushing to the exits.

While most analysts (myself included) remain bullish on emerging markets over the long-term, many are laying off in the short-term. “RBC emerging market strategist Nick Chamie says his team has recommended ‘defensive posturing’ to clients since May 5 and isn’t recommending new bullish emerging currency bets right now….HSBC said Thursday that it isn’t recommending outright short positions on emerging market currencies to clients but suggested a more ‘cautious’ and selective approach in making currency bets.” This phenomenon will be exacerbated by the fact that market activity typically slows down in the summer chart above courtesy of Forex Magnates) as traders go on vacation. With less liquidity and an inability to constantly monitor one’s portfolio, traders will be loathe to take on risky positions.

NO QE3: What are the Implications for the Dollar?
by Adam Kritzer
25 Jun 2011 at 7:28am

The verdict is nearly in; there will be no QE3. The second round of quantitative easing (?QE2?) will expire at the end of this month, and while it will not be unwound for quite some time, the Fed has indicated that it will not be followed by yet another round. The question on the minds of forex traders, of course, is what does this mean for the Dollar?

In his most recent press conference, Ben Bernanke, himself, indicated that QE3 was unlikely. According to a survey conducted by Bloomberg News, the majority of FX analysts (65%) believe him. Simply, the circumstances don?t support further easing. To be sure, the unemployment rate remains high, and the economy is teetering on the verge of double-dip recession. However, the last two rounds did little to address either of these problems, and companies have hoarded cash rather than investing in new plant and workers.

Interest rates are still hovering around record lows, and there isn?t anything to be gained from trying to lower them further. Besides, given that inflation is now above 3% ? due to an explosion in good and energy prices ? QE3 would simply be too risky. Economist Ken Goldstein summarized the situation as follows: “We will come to the end of QE2 and largely we mark about how little happened when it ended and that?s also an argument about why there may not be persuasive argument to do a QE3.”

On the other hand, there are some analysts who think that QE3 is inevitable (29%). PIMCO?s Bill Gross, manager of the world?s biggest bond fund, recently indicated that, ?Next Jackson Hole in August will likely hint at QE3/interest rate caps.? (Personally, I think that he?s probably just bitter that his forecast of a decline in Treasury Bond prices hasn?t materialized). One columnist wrote that the Fed?s arm will be twisted by the ongoing collapse of the housing market, while others have argued that the recent decline in the S&P 500 will spur the Fed into action. Most of us, however, believe that the Fed will adopt a wait-and-see approach before ultimately conceding that more easing is necessary.

For now at least, then, the prevailing assumption is that there will not be a QE3. As for how forex markets have digested this news, they have taken it in stride. The Dollar is now holding its value, and as I wrote in a previous post, it may even have bottomed out. Of course, it doesn?t hurt that the Euro is being punished by another flare-up in the sovereign debt crisis and investors are getting nervous about bubbles in emerging market currencies, all of which provide support for the dollar.

The fact that QE2 will soon end without having triggered financial apocalypse or hyperinflation ? as some cassandras initially predicted ? is something that is worth nothing. Of course, the proceeds of QE1 and QE2 will be recycled indefinitely into the markets, and forex investors can?t completely put quantitative easing behind them. Still, that there won’t be any more additional cash injected into commodities markets and emerging economy asset markets means that one of the main sources of downward pressure on the dollar has been eliminated.

Ironically, it is possible that the unveiling of QE3 could actually cause the dollar to rally. The reason is that there is still a tremendous amount of uncertainty in the markets, which provides the dollar with some safe haven demand. If the Fed were to concede that all is not well on the economic front and respond by more money printing, it could drive some safe haven flows into the US, even to the extent that it would overwhelm outflows driven by concerns over inflation.

Personally, I think the dollar will continue to hold its value, and perhaps even appreciate slightly in the near-term, as forex markets dither over the way forward.

http://www.forexblog.org/2011/06/has-the-us-dollar-hit-bottom.html Swiss Franc is the Only Safe Haven Currency
by Adam Kritzer
23 Jun 2011 at 10:11am

According to conventional market wisdom, there are three safe haven currencies: the Swiss Franc, Japanese Yen, and US Dollar. It is to these currencies that investors flock whenever there is a crisis, or merely an outbreak of uncertainty, and for much of the period following the collapse of Lehman Brothers, the three were closely correlated. As you can see from the chart below, however, one of these currencies has begun to distinguish itself from the other two, leading some to argue that there is now only one true safe haven currency: the Swiss Franc.

What’s not to like about the Franc? It boasts a strong economy, low inflation, and low unemployment. Unlike the US and Japan, Switzerland is not plagued by a high national debt and perennial budget deficits. Its monetary policy has been extremely conservative: no quantitative easing, asset-purchases, or any other money printing programs with euphemistic names.

Ironically, the only thing that makes investors nervous about the franc is that it has already risen so much. Remember when it reached the milestone of parity against the dollar in 2010? Since then, it has appreciated by an additional 20%, and seems to breach a new record on an almost weekly basis. The same goes for the CHF/EUR and CHF/JPY. The President of Switzerland’s export association is expecting further gains: “Parity is a realistic scenario. Given the indebtedness of the eurozone and the strong attraction of the franc, the euro is likely to continue to lose value.”

Given that Swiss exports have surged in spite of (or even because of) the rising Franc, however, he has very little to worry about at the moment. As you can see fromt he graphic below (courtesy of the Financial Times), the balance of trade continues to expand, and has exploded in a handful of key sectors. To be sure, economists expect that this situation will eventually correct itself and are already moving to revise downward 2011 and 2012 GDP growth estimates. Then again, they made the same erroneous predictions in 2010.

The main variable in the Swiss Franc is the Swiss National Bank (SNB). Having booked a loss of CHF 20 Billion from failed intervention in 2010, the SNB is not in a position to make the same mistake again. In fact, SNB President Philipp Hildebrand has not even stooped to verbal intervention this time around, undoubtedly cognizant of the fact that he has very little credibility in forex markets.

At the same time, the SNB is not in any hurry to raise interest rates, lest it stoke further speculative interest in the Franc. Its June meeting came and went without any indication of when it might tighten. Interest rate futures currently reflect an expectation that the first rate hike won’t come until March 2012. Thus, the downside of holding the Franc is that it will continue to pay a negative real interest rate. The only upside, then, is the possibility of further appreciation. Fortunately, the SNB is unlikely to stop the Franc from rising, since it serves the same monetary end as higher interest rates. In other words, a more valuable Franc serves as a direct check on inflation because it lowers the cost of commodity imports and should (eventually) soften demand for Swiss exports.

It is possible that the Swiss Franc will suffer a correction at some point, if only because it rose by such a large margin in such a short period of time. On the other hand, given that its economy has proved its ability to withstand the Franc’s appreciation, it’s no wonder that investors continue to bet on its rise.

Is it Possible to Trade Forex Part-time?
by Adam Kritzer
22 Jun 2011 at 10:17am

This week, I came across an article in the San Francisco Gate (which, incidentally, has really ramped up its forex coverage over the last year) that addressed this very topic. Given that part-time forex traders probably outnumber those that practice the craft full-time, such an article was long overdue.

In sum, the author advises part-time traders to concentrate their trading during the busiest times of the day, or failing that, to simply trade the most active currency pairs during the period of the day that one happens to have time to trade. For example, if you wish to trade the USD/EUR but only have a limited amount of time to do so, you are advised to trade the opening of the New York and/or London sessions, at 8AM EST and 3AM EST, respectively. Alternatively, if you only have time to trade from midnight to 2am, for example, you are advised to trade currency pairs in which the quote currency is the Yen, because during that time the Tokyo session is “in full swing.”

Alas, this kind of strategy is based on a very dubious assumption, which is that you should aim to trade the currency pairs which are both the most liquid and most volatile (ignore the contradiction here), because this will yield the most profits. In other words, it’s easy to capture profits when trading pairs that tend to bounce around a lot and which are cheap and easy to buy and sell. Right?

If you read the Forex Blog with any regularity and are ware that my bend is towards fundamental analysis, it’s probably already obvious to you that I don’t think this is necessarily the case. Consider that forex is a zero-sum game. In other words, on average, 50% of traders win and 50% lose. [When you account for trading costs (i.e. spreads), its probably closer to 30% win and 70% lose, but let's ignore this for the sake of argument]. Thus, the way I see it, a trader that enters the market during the busiest times has the same chance of winning (~50%) as a different trader that enters the market during the least busy time of day. Either way you cut it, someone has to win and someone has to lose, and no amount of liquidity or volatility can rectify this situation.

Thus, my advice for part-time traders is to forget trading altogether. If you don’t have the time to constantly monitor the market, pore over charts, and develop technical strategy, the odds of winning are pretty low. On the other hand, why not shift your focus from trading to investing? Trading is difficult under the best of circumstances and even more difficult when you don’t have enough time to make a real commitment.

The only way around this is to shift your time horizon from minutes to days – or even weeks. This way, it won’t matter when you have time to trade. Spreads might be marginally higher (as evidenced in the spikes in he chart above, which shows how spreads fluctuate over time) for the USD/EUR at midnight than at 8am, but if you’re planning on holding the pair for more than 10 seconds (and your target profit is greater than 15 pips), this is basically irrelevant.

This way, you also don’t have to worry about carefully planning your entry and exit into positions. Entering a swing trade with a targeted profit of 500pips is probably just as good at 4am as it is at 7am, all else being equal. While this doesn’t necessarily increase the odds of success (above 50%), at least it gives you a great deal more flexibility in being a part-time trader.

Japanese Yen In ?No Man?s Land?
by Adam Kritzer
20 Jun 2011 at 8:52am

This, according to a hedge fund manager that has decided to cancel all of his fund’s bearish bets on the Japanese Yen. The reason: the yen is rising, and it’s unclear when – or even if – the government will intervene to push it back down. Even though the yen’s strength is fundamentally illogical, it seems that investors are growing increasingly wary of betting against it.

As I pointed out in my previous post on the Yen (“Japanese Yen Strength is Illogical, but Does it Matter?“), the yen has actually fallen over the last twelve months, on a correlation weighted basis (though to be fair, it has staged a pretty impressive comeback since the beginning of April). Unfortunately, investors mainly care about how it is performing against a handful of key currencies, namely the US Dollar. Simply, the yen continues to rise against the dollar, and it is unclear when it will stop.

Japanese government analysis has indeed confirmed that “speculators” are behind the strong yen, as the alleged wide-scale repatriation of yen by Japanese insurance companies has yet to materialize. Of course, there isn’t really much doubt: Japan’s economy is contracting, due to decrease in output spurred by the tsunami. In May, it recorded its second largest monthly trade deficit ever.

Meanwhile, interest rates and bond yields are pathetically low, and the Bank of Japan is being urged to expand its asset buying program, which would theoretically result in a devaluation of the yen. As  a result, retail Japanese forex traders (nicknamed “Mrs. Watanabes“) have resumed shorting the Yen as part of a carry trade strategy.

Alas, speculators either don’t share their pessimism or are running out of patience. While everyone continues to assume that the BOJ will intervene if the Yen rises to 80 against the dollar, no one can be sure whether the line in the sand might not be 78 or even 75. At this point, intervention seems to hinge more on politics than on economics, which means predicting it is beyond the scope of this post. In other words, “There is too much uncertainty and volatility in markets right now to make that yen trade appealing.” And sure enough, the most recent Commitments of Traders data shows that speculators have been re-building their yen long positions over the last month.

In the end, the speculators are probably right. The Bank of Japan has intervened twice over the last twelve months, and the impact has always been short-lived. Besides, given that many speculators still remain committed to shorting the yen, it remains extraordinarily vulnerable to the kind of short squeeze that sent it soaring 5% in a single session en route to the record high it touched in March.

I’m personally still bearish on the yen, but I also think it’s too risky to short it against the dollar, which seems to be declining for its own reasons. As you can see from the chart below, the yen has fallen against virtually every other major currency. Yen shorters, then, might be wise to avoid the dollar altogether and focus instead on any number of other currencies.

http://www.bloomberg.com/news/2011-06-17/japan-recovery-means-boj-can-avoid-adding-stimulus-muto-says.html Forex Volatility Continues Rising
by Adam Kritzer
17 Jun 2011 at 9:38am

This week witnessed another flareup in the eurozone sovereign debt crisis. As a result, volatility in the EUR/USD pair surged, by some measures to a record high. Even though the Euro rallied yesterday and today, this suggests that investors remain nervous, and that going forward, the euro could embark on a steep decline.

There are a couple of forex volatility indexes. The JP Morgan G7 Volatility Index is based on the implied volatility in 3-month currency options and is one of the broadest measures of forex volatility. As you can see from the chart above, the index is closing in on year-to-date high (excluding the spike in March caused by the Japanese tsunami), and is generally entrenched in an upward trend. Barring day-to-day spikes, however, it will take months to confirm the direction of this trend.

For specific volatility measurements, there is no better source of data than Mataf.net (whose founder, Arnaud Jeulin, I interviewed only last month). Here, you can find data on more than 30 currency pairs, charted across multiple time periods. You can see for the EUR/USD pair in particular that volatility is now at the highest point in 2011 and is closing in on a two-year high.

Meanwhile, the so-called risk-reversal rate for Euro currency options touched 3.1, which is greater than the peak of the credit crisis. This indicator represents a proxy for investor concerns that the Euro will collapse suddenly, and its high level suggests that this is indeed a growing concern. In addition, implied volatility in options contracts has jumped dramatically over the last week, which confirms that investors expect the euro to move dramatically over the next month.

What does all of this mean? In a nutshell, it shows that panic is rising in the forex markets. Last month, I used this notion as a basis for arguing that the dollar safe-haven trade will make a come-back. This would still seem to be the case, and should also benefit the Swiss Franc, which is nearing an all-time high against the euro. Naturally, it also implies that forex investors remain extremely concerned about a continued decline in the euro, and are rushing to hedge their exposure and/or close out long positions altogether.

Mataf.net suggests that this could make the EUR/USD an interesting pair to trade, since large swings in either direction will necessarily create opportunities for traders. While I have no opinion on such indiscriminate trading [I prefer to make directional bets based on fundamentals], I must nonetheless acknowledge the logic of such a strategy.

http://www.forexblog.org/2011/05/interview-with-arnaud-jeulin-of-mataf-net-try-a-lot-of-strategies.html Euro Nears Breaking Point
by Adam Kritzer
16 Jun 2011 at 8:33am

It’s deja vu all over again in the forex markets as another twist in the sovereign debt crisis has sent the euro tumbling by the greatest margin in nearly a year. It was only last month that I posted “The Euro (Still) has a Greek Problem,” and yet, forex markets are once again reacting to the possibility of a Greek default as thought it were a new development. At the very least, investors finally seem to be acknowledging the inevitable.

There have been several factors at work in this latest episode. On Monday, S&P downgraded its credit rating for Greece to CCC, following on a similar move by Moody’s. That means that Greece’s sovereign credit rating is now the lowest in the world, behind such eminent economies as Grenada and Ecuador. While the move was hardly noteworthy in itself, it represents one more straw on the camel’s back.

Greece’s government is increasingly unstable, and Prime Minister George Papandreou has become so desperate that he has suggested forming an alliance with Greece’s most powerful opposition party. Meanwhile, violent riots outside Greek Parliament have reportedly become a daily occurrence, as the Greek populace has proven unwilling to accept wage cuts and tax increases.

As if that weren’t enough, there is tremendous uncertainty surrounding the next stage of the Greek bailout. No one can agree on what amount to give and what should be stipulated in return. Some parties think that private investors should be involved in the bailout by taking a “haircut” on the bonds that they own. Some members of the eurozone are balking about contributing any funds at all, wary of justifying it to their own citizens and that it is merely forestalling the inevitable.

I think the NYTimes offered the best summary: “Funding fatigue is growing in the north European creditor countries, especially Germany, the Netherlands, Finland and Austria, just as austerity fatigue is mounting in Greece.” When you consider that Greek interest rates and credit default swap spreads have surged to record highs, it seems that default is really inevitable. If the IMF and European Union are so determined, they can push off default until 2013. Still, default now or default then is still default.

At this point, then, the only real question is what happens when Greece defaults. Will it be forced to leave the Eurozone? Will that push the rest of the Eurozone fringe closer towards default? Will the Euro collapse and cease to exist as a currency? What will happen then?

Unfortunately, I think the answer to all of these questions is yes. At the very least, Greece will be forced out of the eurozone. Bondholders will push interest rates in Ireland, Spain, and Portugal up to double-digit levels, trapping them in the same cycle in which Greece is currently ensnared. Given the exposure of French and German banks to the sovereign debt of financially troubled eurozone members, they will also require state bailouts, and so on.

In a recent op-ed published in The Financial Times, celebrity economies Nouriel Roubini argued that the only way to avoid a complete eurozone meltdown is if the euro depreciates rapidly “to restore competitiveness to the periphery” or if the European Union is able to rapidly achieve complete fiscal and economic union. Roubini argues that the former is difficult because of the ECB’s hawkishness, while the latter is precluded by political hurdles that remain too formidable to overcome.

As Greece inches ever closer to default, the markets will increasingly become gripped by utter uncertainty over the questions that I posed above. Central Banks will stop accumulating euro-denominated assets, and investment funds will similarly shun Europe. (In fact, there is already evidence that this is happening). While European interest rates are attractive relative to the rest of the G4, they are hardly enough to compensate investors for this uncertainty. And when the markets come to terms with this, the euro might finally reach its breaking point.

S&P 500 Decouples from Euro?
by Adam Kritzer
14 Jun 2011 at 9:58am

While I have written quite about forex correlations in recent posts, the focus has primarily been on correlations that exist between currencies. In this post, I would like to address a correlation that exists between currencies and other forex markets- specifically the relationship between the Euro and US stocks.

If you look at the chart above, you can see that an unmistakable correlation exists between the S&P500 and the EUR/USD that stretches back at least six months. Generally speaking, when the EURUSD has risen, so has the S&P 500, and vice versa. In fact, this correlation is so airtight that one analyst recently discovered that the two financial vehicles often reach intra-day highs and lows within minutes of one another!

Why is this the case? In a nutshell, it is because the Euro – especially relative to the dollar – is a proxy for risk appetite. The same is necessarily true for US stocks. When investors are confident in the strength of the global economic recovery and the possibility of crisis is distant, the euro will rise. This has nothing to do with fundamentals in Europe, which are probably at least as bad as they are in the US. Of course, it may be connected with dollar weakness, since it is arguably the case that quantitative easing has both depressed the dollar and buoyed US stocks.

As I intimated in the title of this post, however, the S&P recently decoupled from the euro. Since the beginning of June, US equities have declined sharply, to the extent that they have given back most of their gains in the year-to-date. The EUR/USD, meanwhile, continued rising all the way until last week. While this has happened on a couple previous occasions, this was perhaps the sharpest break between the two.

I’m personally at a loss to explain why this happened. It has been conjectured that the driving force behind the correlation is algorithmic trading, and that hence, it must also represent the source of the break. In other words, high-frequency traders – which account for an ever-increasing proportion of forex volume – tweaked their trading algorithms so as not to buy the S&P 500 when the EURUSD rises, and vice versa.

It’s probably also the case that S&P 500 was falling for endogenous reasons- specifically a decline in GDP growth and earnings expectations which need not necessarily reflect itself in a stronger euro. In fact, in a normal functioning market, you would expect an inverse correlation; strong US economic fundamentals should translate into both a strong dollar and rising stocks. Could it be that worsening fundamentals are manifesting themselves in the form of a weak dollar and weak stocks?

Alas, the correlation has re-established itself over the last week, which means this is largely a moot issue. At the very least, it’s still worth being aware of, both insofar as it remains intact and in the event that it breaks down again.

 

DailyFX - Forex Market News
Forex Market News

Dollar Shows Follow Through on Bullish Break, EURUSD at 2010 Lows
by John Kicklighter, Sr. Currency Strategist
23 May 2012 at 8:44pm
There was a distinct difference in performance between basic risk trends and the US dollar. Though the Dow Jones Industrial Average briefly tested a new low for the year, it quickly recovered most of its lost ground. In contrast, the Dow Jones FXCM Dollar Index advanced for a second consecutive day to fresh 16-month highs.

Guest Commentary: Is Germany Willing to Accept More Inflation?
by Yohay Elam, Forex Crunch,
23 May 2012 at 8:00pm
An important metal workers' union in Germany signed a 13 month deal for a wage increase of 4.3%. This is a benchmark for other unions and also joins other agreements that surpass German inflation and the ECB's target.

USD Primary Objective at 10,255- Pullbacks To Offer Favorable Entries
by Michael Boutros, Currency Strategist
23 May 2012 at 3:36pm
The Dow Jones FXCM Dollar Index continued its advance in North American trade as a global risk sell-off fueled haven flows into the greenback. Here are the levels to watch for heading into Asia Pacific trade.

EURUSD: Trading the U.S. Durable Goods Orders Report
by Michael Boutros, Currency StrategistDavid Song, Currency Analyst
23 May 2012 at 3:05pm
Orders for U.S. durable goods are projected to bounce back in April and increased demands for large-ticket items may prop up the USD as it curbs speculation for additional monetary support.

Yen Rockets As BoJ Holds Off Further Stimulus; Greek Exit Fears Grow
by Tzu-Wen Chen,
23 May 2012 at 10:51am
The Yen and US Dollar rallied overnight as investors flocked to the safe haven currencies amid growing Greek exit fears, while the Bank of Japan’s holdback on further stimulus sent the Yen soaring.

USD Rally May Defy Market Expectations, AUD Struggles To Find Support
by David Song, Currency Analyst
23 May 2012 at 10:15am
The greenback extended the advance from the previous day, with the Dow Jones-FXCM U.S. Dollar Index rallying to a fresh yearly high of 10,203, and the reserve currency may track higher over the remainder of the week as the ongoing turmoil in the euro-area continues to drag on investor confidence.

Euro Searches For Support, EU Summit To Provide Little Relief
by David Song, Currency Analyst
23 May 2012 at 8:15am
The Euro appears to be regaining its footing on Wednesday amid hopes surrounding the EU Summit, but the meeting may yield little support for the single currency as European policy makers struggle to meet on common ground.

Guest Commentary: Gold & Silver Daily Outlook 05.23.2012
by Lior Cohen, Energy Analyst for Trading NRG,
23 May 2012 at 8:01am
Gold and silver continued their downward trend as the Euro and other currencies also tumbled down. The U.S existing home sales rose in April.

Commodities Tumble Along with Stocks Before EU Leaders Summit
by Ilya Spivak, Currency Strategist
23 May 2012 at 3:00am
Commodity prices sank along with stock exchanges as jittery traders waited for the outcome of an EU leaders’ summit amid swelling Eurozone crisis fears.

Yen Soars as BOJ Holds Back on Stimulus, EU Summit Now in Focus
by Ilya Spivak, Currency Strategist
23 May 2012 at 1:09am
The Japanese Yen soared as Greece-linked risk aversion was compounded as the BOJ opted not to expand stimulus. The EU leaders’ summit is now in focus.

Euro At Risk for Major Drop As Eurozone Crisis Intensifies
by Joel Kruger, Technical Strategist
22 May 2012 at 11:12pm
There is very little if any positive news for investors to hold onto at the moment, as panic and fear seem to be firmly in the driver’s seat....

Dollar Surges to 16 Month Highs - Leading Move or False Break?
by John Kicklighter, Sr. Currency Strategist
22 May 2012 at 9:10pm
Congestion is usually the path of least resistance, but it seems that the reversal pattern the Dow Jones FXCM Dollar was carving out yesterday carried more fundamental pressure than originally expected.

USD Index Eyes Fresh Highs on Greek Exit- EU Summit to Offer Clarity
by Michael Boutros, Currency Strategist
22 May 2012 at 3:55pm
The Dow Jones FXCM Dollar Index surged in North American trade, making fresh 2012 highs ahead of tomorrow’s much anticipated EU Summit. Here are the levels to watch heading Asia Pacific trade.

USDCAD: Trading Canada’s Retail Sales Report
by David Song, Currency Analyst
22 May 2012 at 3:40pm
Retail spending in Canada is expected to bounce back in March and a positive development may spark a bullish reaction in the Canadian dollar as it increases the scope for higher borrowing costs.

Guest Commentary: Gold & Silver Daily Outlook 05.22.2012
by Lior Cohen, Energy Analyst for Trading NRG,
22 May 2012 at 12:13pm
Gold and silver change direction and declined again after they have both spiked in the last two days of last week.

 

World business news - CNNMoney.com
From CNN and Money magazine, CNNMoney.com combines business news and in-depth market analysis with practical advice and answers to personal finance questions.


WARNING FOR CHINA
23 May 2012 at 9:58am
The World Bank said a slowdown in China will drag on growth in the entire East Asia-Pacific region.

Facebook's IPO: Sorting through the legal mess
23 May 2012 at 6:20pm
At this point, there's little question that Facebook's IPO was a disaster. But was it illegal?

HP to cut 27,000 jobs, shares surge
23 May 2012 at 6:19pm
Hewlett-Packard announced Wednesday that it is slashing 27,000 jobs in a widely expected maneuver aimed at slimming down the struggling tech giant.

Hide from Europe's mess with dividend stocks
23 May 2012 at 1:55pm
Europe's debt woes got you down? Looking for a safe place to hide in this increasingly ugly market?

World markets tumble on Greece, China anxiety
23 May 2012 at 1:56pm
World markets plunged Wednesday on renewed anxiety over Greece ahead of a meeting of European leaders, and signs that the Chinese economy is losing steam.

U.S. stocks erase hefty losses
23 May 2012 at 6:26pm
After nearly a full day in the red, stocks erased most of their losses in the last half hour of trading Wednesday.

EU leaders to focus on economic growth
23 May 2012 at 9:57am
European leaders will gather Wednesday for informal talks amid new threats to the troubled euro currency union.

Could Europe sink President Obama's campaign?
23 May 2012 at 3:13am
Trillions in looming tax hikes and spending cuts. Washington saber-rattling over the debt ceiling. A slowdown in the world's second largest economy.

Oil prices slide to 7-month low
23 May 2012 at 1:54pm
Oil prices fell below $90 a barrel for the first time in seven months Wednesday as tumult in the eurozone, excess supply and positive news out of Iran weighed on prices.

Facebook stock plunge is 'day trader's paradise'
23 May 2012 at 1:58pm
Facebook's stock has plunged nearly 18% from its IPO price, but it's not simply a case of investors disliking the company.

Cars for Facebook billionaires
23 May 2012 at 5:12am
Car buying suggestions for Facebook employees with a new-found wad of cash burning a hole in their pocket.

Google beats Oracle in Android patent fight
23 May 2012 at 1:24pm
In one of Silicon Valley's landmark court battles, Google appears to have won a big victory over Oracle.

World's largest economies
25 Apr 2012 at 11:18am


Regulators eye Facebook IPO
23 May 2012 at 9:52am
Regulators are looking into a report that Morgan Stanley, the lead underwriter for Facebook's initial public offering last week, shared a negative assessment of the social network with major clients ahead of the IPO.

Wake up, Europe! It's time for a real fix.
22 May 2012 at 8:34am
European leaders have solid ideas on the table to help solve the eurozone crisis, but nothing will work without full fiscal and monetary integration.