Tuesday, April 24, 2007

RBS group unveils $98 bln bid plan for ABN AMRO

(Reuters) - They said this was 13 percent higher than the value of Barclays' all-share offer at Tuesday's close, and included ABN AMRO's final dividend for 2006 of 60 euros cents a share.




Read more at Reuters.com Bonds News

Baker Hughes first-quarter profit rises

(Reuters) - Analysts on average had expected a profit of $1.10 a share, according to Reuters Estimates.

In February, the Houston-based company, which helps energy companies drill for oil and gas, said its first-quarter profit would fall short of Wall Street estimates, due to uncertainty in its North American markets.


Read more at Reuters.com Market News

European Bonds Are Little Changed Before Ifo's Investor Confidence Report

(Bloomberg) -- European government bonds were little changed before a survey that's expected to show investor confidence in Germany climbed for a second month in April.

Benchmark European debt posted an advance last week as the euro's gain versus the dollar stoked concern about growth in the $10.4 trillion euro region economy. Germany's Ifo institute will say its gauge of business confidence in Europe's biggest economy rose to 107.9 from 107.7 in March, according to economists surveyed by Bloomberg News.


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World Bank Directors Reject Presentation Request From Wolfowitz's Attorney

(Bloomberg) -- World Bank directors rejected a request by President Paul Wolfowitz's lawyer to make a presentation when the lender's chief appears at a hearing to defend his decision to give his companion a pay increase.

A committee of the bank's board yesterday told Wolfowitz to appear before them today, also turning down a request for more time to prepare, said Robert Bennett, an attorney for Wolfowitz.


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Norway's Central Bank May Raise Benchmark Rate as Inflation Tops Forecast

(Bloomberg) -- Norway's central bank probably will raise the benchmark interest rate for the fifth meeting in a row after inflation exceeded its forecast, a survey of economists shows.

Norges Bank today will increase the deposit rate by a quarter-point to 4.25 percent, according to 17 of 19 economists surveyed by Bloomberg. The other two predicted no change. The decision will be announced at 2 p.m. in Oslo.


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Durable Goods Orders in U.S. Probably Rose as Business Spending Rebounded

(Bloomberg) -- Orders for U.S. durable goods probably rose in March, signaling business spending started to recover as the first quarter ended, economists said before a government report today.

Orders for goods made to last several years rose 2.5 percent following an 1.7 percent gain in February, according to the median of 75 estimates in a Bloomberg News survey of economists. Bookings excluding transportation rose 1.1 percent, the first gain in three months, according to the survey.


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Amazon.com Surges; Sun Microsystems Retreats: U.S. After-Hours Trading

(Bloomberg) -- Amazon.com Inc. jumped in extended U.S. trading after the world's biggest online retailer boosted its 2007 earnings and sales forecasts and said first-quarter profit doubled on increased electronics and clothing sales.

Shares of the Seattle-based company climbed $5.46, or 12 percent, to $50.21 as of 6:16 p.m. in New York. Amazon posted first-quarter net income of 26 cents a share, topping the 16-cent average analyst estimate compiled by Bloomberg.


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Indian Government Bonds Rise as Investors Buy After Rates Left Unchanged

(Bloomberg) -- India's benchmark 10-year bonds rose to the highest in a month after the central bank yesterday refrained from raising interest rates.

The Reserve Bank of India yesterday kept its overnight lending rate, or the repurchase rate, at a five-year high of 7.75 percent. The bank also lowered its medium-term inflation goal to between 4 percent and 4.5 percent from 5 percent. Inflation reduces the value of returns on fixed-income securities.


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Senate rejects attempt to weaken Sarbanes-Oxley

(Reuters) - The amendment was offered by South Carolina Republican Jim DeMint, who tried to attach it to a bill on the Senate floor that was focused chiefly on boosting investment in research, and improving science, engineering and math education.

In response to the amendment, defenders of Sarbanes-Oxley proposed and won passage, by a vote of 97-0, of a symbolic Senate statement expressing support for efforts already under way by federal regulators to fine-tune Section 404.


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Google, China Telecom to Share Advertising Revenue for 400 Internet Sites

(Bloomberg) -- Google Inc., owner of the world's most-used Internet search engine, signed an agreement with China Telecom Corp. to sell online advertising on 400 Web sites operated by the Asian nation's biggest Internet service provider.

The companies will share revenue from the online ads, Mountain View, California-based Google said today in an e-mailed statement, without giving financial details.


Read more at Bloomberg Emerging Markets News

Yen Gains on Speculation Investors Repatriating Earnings on European Bonds

(Bloomberg) -- The yen advanced for a third day against the euro on speculation Japan's investors will bring home funds invested in European bonds before Japan's ``Golden Week'' holidays start this weekend.

France pays 19.5 billion euros ($26.6 billion) in coupon and principle redemption payments on its government debt today, some of which may go to Japanese investors. The yen was also boosted by speculation the Bank of Japan's semi-annual economic outlook, due April 27, will signal plans to raise interest rates.


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UPDATE 3-Ecuador's Congress dismisses top court judges

(Reuters) - QUITO, April 24 - Ecuador's Congress voted on Tuesday to dismiss the country's top judges, fueling institutional confusion a day after the court reinstated 50 fired opposition lawmakers locked in a feud with left-wing President Rafael Correa.

Opposition lawmakers are resisting Correa's popular plans to rewrite the constitution through an assembly and curb the influence of traditional political parties who many blame for years of instability.


Read more at Reuters.com Bonds News

Japan March trade surplus Y1.6 trln, +73.9 pct y/y

(Reuters) - Exports rose 10.2 percent from a year earlier to 7.5112 trillion yen, in line with economists' median forecast of a 10.1 percent rise, data from the Ministry of Finance showed.

Imports were flat at 5.8778 trillion yen, against the market consensus of a 4.5 percent increase.


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Black left Hollinger board in the dark: witness

(Reuters) - Prosecutors called former U.S. Ambassador to Germany Richard Burt, who was a member of the board at the company, Hollinger International Inc., from 1996 to 2005, to the stand late in the day.

He testified that prior knowledge that Black and Black's former top deputy David Radler owned stakes in a company buying 18 Hollinger newspapers could have changed the outcome of the board's approval of that deal.


Read more at Reuters.com Bonds News

UPDATE 1-Boston Properties quarterly FFO tops forecasts

(Reuters) - First-quarter funds from operations, or FFO, were $133 million, or $1.10 per share, compared with the company's outlook of $1.04 or $1.05 per share.

Analysts had expected quarterly FFO of $1.07, according to Reuters Estimates. A year earlier the company reported FFO of $119.2 million, or $1.06 per share.


Read more at Reuters.com Market News

Mexican debt gains on CPI data, stocks end lower

(Reuters) - The yield on the benchmark 10-year government peso bond , which moves inversely to its price, dropped as many as 8 basis points to 7.54 percent after the release of a central bank inflation report.

Mexican consumer prices fell 0.21 percent in the first half of April, the central bank of Mexico said on Tuesday, surprising analysts who had expected a rise.


Read more at Reuters.com Bonds News

Intel market share jumps in 1st qtr

(Reuters) - That represented a gain of more than 6 percentage points from the 74.4 percent Intel had in the fourth quarter.

Intel's gain came at the expense of Advanced Micro Devices Inc., which saw its share fall to less than 20 percent for the first time since 2005, Mercury said.


Read more at Reuters.com Business News

WRAPUP 2-Vedanta to spend $1.37 bln for India's Sesa Goa

(Reuters) - LONDON/TOKYO, April 24 - UK-listed miner Vedanta has bought 51 percent of Indian iron-ore exporter Sesa Goa Ltd and said on Tuesday it planned to buy a further 20 percent, bringing the total cost of the deal to $1.37 billion.

Vedanta said it had bought Mitsui & Co Ltd's 51 percent stake in Sesa Goa for $981 million in cash, or 2,036 rupees a share, and that it was launching an open offer to buy a further 20 percent of the Indian firm at the same price.


Read more at Reuters.com Bonds News

Primary dealers see no rate change by Bank of Canada

(Reuters) - All 13 of Canada's government securities dealers forecast rates will be on hold.

Heading into the decision, the Canadian dollar was trading at C$1.1204 to the U.S. dollar, or 89.25 U.S. cents.


Read more at Reuters.com Bonds News

US home prices fall in February - S&P/Case Shiller

(Reuters) - The composite month-over-month Standard & Poor's/Case-Shiller Home Price Index of 10 metropolitan areas showed a 0.5 percent monthly decline in February, to a 219.94 reading, or a 1.5 percent year-over-year decline.




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TREASURIES-Bonds flat after weaker retail, home price data

(Reuters) - Concerns about the effect of a weak housing sector on consumer confidence and spending have supported the view that the Federal Reserve would pare short-term interest rates later this year to stimulate economic growth.

The Standard & Poor's/Case-Shiller said its 20-city home price index was down 1.0 percent in February versus a year ago, while its 10-city home price gauge was 1.5 percent lower in February than a year ago. These levels of year-over-year declines have not been seen in almost 15 years, S&P/Case-Shiller said.


Read more at Reuters.com Bonds News

Prominent junk fund chief Patel moves to Evergreen

(Reuters) - She will manage more than $1.7 billion across those four portfolios through a mix of equities and fixed-income securities.

Patel, who managed the Pioneer High-Yield Fund since 1999, has "long been considered one of the very best high yield managers in the business," said Scott Berry, associate director of fund analysis at Morningstar. "Her record speaks for herself but she's also one of the most thorough bottom-up bond pickers around," he added.


Read more at Reuters.com Bonds News

TREASURIES-Bonds prices rise on steep decline in home sales

(Reuters) - NEW YORK, April 24 - A report that showed a steep decline in U.S. sales of existing homes pushed prices on U.S. Treasury debt higher on Tuesday and sent benchmark 10-year yields falling to their lowest in April.

The data, together with a softer-than-expected report on consumer confidence, exacerbated concerns about the effect of a weak housing sector on consumer spending. It supported the view that the Federal Reserve would pare short-term interest rates later this year to stimulate economic growth.


Read more at Reuters.com Bonds News

Brazil's Real Falls for Second Day After Central Bank's Early Dollar Buys

(Bloomberg) -- Brazil's real fell for a second day after the central bank surprised the market yesterday by purchasing dollars earlier than usual.

The bank bought dollars in the morning rather than in the afternoon yesterday. Later in the day, it sold 8,550 reverse currency swaps at auction. The swaps are contracts in which the central bank buys the U.S. currency in the futures market, allowing investors to hedge against a weaker dollar.


Read more at Bloomberg Currencies News

U.S. Treasuries Increase as Sales Rate of Existing Homes Declined in March

(Bloomberg) -- U.S. Treasuries rose a second day, pushing the benchmark 10-year note's yield to a three-week low, after a private report showed sales of previously owned homes declined to the lowest level in almost four years.

The data may add to speculation the economy is slowing sufficiently to enable the Federal Reserve to cut interest rates this year.


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India's HDFC Bank Q4 net up 31 pct, meets f'cast

(Reuters) - A Reuters poll of analysts had forecast a 30 percent rise in net profit to 3.42 billion rupees.

Indian banks have been riding strong loans growth as companies expand and individuals splurge on cars, but they have been facing pressure on margins as borrowing costs rose faster than lending rates as the central bank tightened liquidity to contain inflation.


Read more at Reuters.com Market News

UPDATE 1-Steel Technologies quarterly earnings slip

(Reuters) - Net earnings for the fiscal second quarter were $2.85 million, or 22 cents per share, compared with $2.89 million, or 22 cents per share, a year earlier.

Analysts on averaged had expected profit of 25 cents per share, according to Reuters Estimates.


Read more at Reuters.com Market News

Health Management profit falls

(Reuters) - Analysts on average had been expecting earnings of 26 cents per share, according to Reuters Estimates.

) Keywords: HEALTHMANAGEMENT RESULTS/


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TCF Financial quarterly profit rises

(Reuters) - Analysts expected the company to earn 42 cents a share, excluding items, according to Reuters Estimates.




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Ethan Allen net falls but 'positive trends' seen

(Reuters) - But the company said it expects earnings for the current quarter in line with Wall Street estimates, adding that "some positive trends have emerged."

Earnings came to $17.5 million, or 54 cents a share, for the fiscal third quarter ended March 31, compared with $20 million, or 59 cents a share, a year earlier. Analysts had expected 55 cents a share, according to Reuters Estimates.


Read more at Reuters.com Market News

Raymond James quarterly profit down 3 pct

(Reuters) - Raymond James is based in St. Petersburg, Florida.




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Health Management's profit off

(Reuters) - CHICAGO, April 24 - Health Management Associates, one of the biggest U.S. hospital chains, posted a 25 percent drop in quarterly profit on Tuesday, weighed down by unpaid medical bills and fewer patient admissions.

First-quarter profit fell to $65 million, or 27 cents per share, from $87.2 million, or 36 cents per share, a year earlier.


Read more at Reuters.com Market News

UPDATE 1-U.S. Steel profit rises, but forecast is weak

(Reuters) - First-quarter net earnings were $273 million, or $2.30 per share, up from $256 million, or $2.04 per share, in the same quarter last year, the Pittsburgh-based steelmaker said.

For the second quarter, Chairman and Chief Executive John P. Surma said in a statement, "We expect continued solid operating results for our three reportable segments, with overall results in line with the first quarter."


Read more at Reuters.com Market News

UPDATE 1-Ecolab 1st-quarter profit rises 15 percent

(Reuters) - Earnings rose to $89.5 million, or 35 cents a share, from $77.9 million, or 30 cents a share, a year earlier.

Analysts on average expected the St. Paul, Minnesota-based company to report earnings of 35 cents a share, according to Reuters Estimates.


Read more at Reuters.com Market News

UPDATE 2-Occidental profit falls slightly on lower crude

(Reuters) - Net income fell to $1.21 billion, or $1.43 a share, from $1.23 billion, or $1.43 a share, a year earlier.

Excluding one-time items, the company said its core earnings were 98 cents a share. Analysts, on average, expected the company to earn 90 cents a share, according to Reuters Estimates.


Read more at Reuters.com Market News

UPDATE 1-Canada March leading indicator up by 0.4 percent

(Reuters) - "Household spending remained the driving force of growth, boosted by a robust labor market. Financial conditions remained buoyant, with the stock market hitting a new record," Statscan said in its daily commentary.

The manufacturing sector, hit hard by a strong Canadian dollar and increased foreign competition, continued to recover slowly from a brief contraction last year.


Read more at Reuters.com Economic News

U.S. Stock-Index Futures Gain After Texas Instruments' Profit Forecast

(Bloomberg) -- U.S. stock-index futures advanced after Texas Instruments Inc.'s earnings forecast exceeded analysts' estimates, bolstering confidence in the outlook for technology profits.

SanDisk Corp. joined a rally by computer-related companies after Citigroup Investment Research recommended buying shares of the world's biggest maker of flash-memory cards. Shares of Texas Instruments, the world's largest manufacturer of mobile-phone chips, gained as much as 9.8 percent. Technology companies are projected to report the second-steepest profit increase in 2007 among 10 industries in the Standard & Poor's 500 Index.


Read more at Bloomberg Stocks News

UK's FTSE slips as banks fall, Yell nosedives

(Reuters) - Britain's top share index slipped 0.6 percent on Tuesday, reversing earlier gains after bank stocks were weighed down by inflationary fears and telephone directories publisher Yell fell sharply.

The banking sector dragged the index into the red as consolidation talk left the sector, traders said, and on continued inflationary worries. HBOS, Royal Bank of Scotland and Lloyds TSB all fell.


Read more at Reuters Africa

White Sugar, Cocoa and Robusta Coffee Futures Decline in London Trading

(Bloomberg) -- White sugar, cocoa and robusta coffee futures fell in London.

Refined, or white, sugar futures dropped $1, or 0.3 percent, to $302.80 a metric ton as of 9:59 a.m. local time on the Euronext.liffe exchange. They declined 3.5 percent last year after surging 37 percent in 2005.


Read more at Bloomberg Commodities News

U.S. Stock-Index Futures Are Little Changed; SanDisk Advances in Europe

(Bloomberg) -- U.S. stock-index futures were little changed before a home-sales report that may show the real-estate slump continues to drag down the economy.

``Investors are taking a wait-and-see stand before the economic data due today,'' said Steffen Bender, who helps oversee the equivalent of $21 billion at LBBW Asset Management in Stuttgart, Germany.


Read more at Bloomberg Stocks News

Yen Gains for Second Day as Traders Bet on Higher Japanese Interest Rates

(Bloomberg) -- The yen gained for a second day against the euro as traders increased their bets that the Bank of Japan will raise interest rates.

The Japanese yen advanced against all of the world's 16 most- active currencies amid expectations the BOJ will raise its forecast for economic growth this week. Futures trading indicates investors added to wagers on higher Japanese borrowing costs. Traders are betting on a reduction by the Federal Reserve this year before U.S. reports today that may show economic growth will slow further.


Read more at Bloomberg Currencies News

Acciona/Enel could break law over Endesa-Conthe

(Reuters) - Conthe said the CNMV board had been wrong to not take action against Acciona and Enel who launched a counterbid against an offer from Germany's E.ON .

Conthe said earlier this month he would resign over issues related to the takeover battle but only if he could explain his reasons before a parliamentary commission.


Read more at Reuters.com Mergers News

European Stocks Fall, Led by Alcatel, Yell on Earnings; AstraZeneca Drops

(Bloomberg) -- European stocks dropped for a second day after Alcatel-Lucent, the world's largest maker of telecommunications equipment, posted an operating loss and Yell Group Plc said U.S. revenue growth will slow.

AstraZeneca Plc fell after the drugmaker said it may borrow $15 billion for an acquisition and ING Wholesale Bank recommended selling the shares.


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BP's Whiting Refinery Runs at Half Capacity, Will Continue at That Rate

(Bloomberg) -- BP Plc, Europe's second-largest oil company, said its Whiting, Indiana, refinery has cut production to about half its capacity, or 200,000 barrels, after the plant's hydrotreating unit failed in March.

The problems at BP's fluid catalytic cracking unit have forced the plant to process more expensive grades of crude. The plant will keep refining at the current rate ``until we complete the necessary repairs,'' the company said in a statement distributed by the Regulatory News Service today.


Read more at Bloomberg Energy News

UPDATE 1-Danone Q1 sales rise, affirms 2007 forecasts

(Reuters) - "I don't have anything new to say ... The process will take time," Chief Financial Officer Antoine Giscard d'Estaing said when asked about the disputes with Chinese partner Zong Qinghou and India's Britannia Industries .

Danone said sales in the three months to March 31 reached 3.673 billion euros , a like-for-like increase of 10.1 percent. The average forecast of 11 analysts polled by Reuters for sales was 3.706 billion euros, 9.2 percent like-for-like growth.


Read more at Reuters.com Market News

Swiss Exports Rise in March, Led by Rising Demand for Watches, Machines

(Bloomberg) -- Swiss exports rose in March led by demand for metals, watches and machines, a sign companies will continue to boost spending in coming months.

Exports, adjusted for inflation and seasonal variations, gained 0.9 percent from February when they dropped 1.2 percent, the Federal Customs Office in Bern said today. The trade surplus narrowed to 718.1 million Swiss francs ($593 million) from 1.3 billion francs in February.


Read more at Bloomberg Bonds News

PRESS DIGEST - New York Times business news - April 24

(Reuters) - * ABN AMRO agreed Monday to be acquired by Barclays Plc of Britain for 67 billion euros creating one of the world's largest banks in a carefully constructed deal that reduces, but does not eliminate, the chance of another suitor coming in with a higher bid to buy and break up the bank.

* China has given American regulators permission to enter the country to investigate whether Chinese suppliers exported contaminated pet food ingredients to the U.S. earlier this year, leading to one of the largest pet food recalls in American history.


Read more at Reuters.com Mergers News

Indian Bonds Advance After Central Bank Keeps Key Interest Rate Unchanged

(Bloomberg) -- India's government bonds rose, pushing 10-year yields down to the lowest this month, after the central bank refrained from raising its key interest rate.

Bonds rallied after Reserve Bank of India Governor Yaga Venugopal Reddy left the overnight lending rate, known as the repurchase rate, at 7.75 percent, judging five increases in the past year will be enough to curb inflation. Fourteen of 20 analysts surveyed by Bloomberg News predicted the central bank would leave borrowing costs on hold.


Read more at Bloomberg Bonds News