Asia-Pacific Corporate Bond Risk Increases on Subprime, Default Swaps Show

(Bloomberg) -- The risk of owning corporate bonds in
the Asia-Pacific region rose on concerns that losses tied to the
U.S. subprime mortgage market will widen.

The cost of default protection, measured by credit-default
swaps, increased in Australia and Japan, approaching the highest
in more than three years. Similar contracts tied to U.S. and
European corporate bonds rose on Aug. 3 after Bear Stearns Cos.,
the manager of two hedge funds that collapsed last month, had
its debt-rating outlook cut to negative by Standard & Poor's.


Read more at Bloomberg Bonds News

Australia, New Zealand Dollars Decline as Carry Trades Cut on Stock Slide

(Bloomberg) -- The Australian and New Zealand
dollars fell a second day against the yen as global stocks slid
on concern U.S. mortgage losses will worsen, deterring investors
from buying higher-yielding assets funded by loans in Japan.

New Zealand's dollar has weakened 7.5 percent versus the
yen in the past month, the most among the 16 most-active
currencies, and Australia's retreated 4.8 percent, as traders
pared positions in so-called carry trades. Asian shares declined
today after The Standard & Poor's 500 Index fell the most in
five months in New York on Aug. 3.


Read more at Bloomberg Currencies News

Nissan to launch diesel SUV in Japan in 2008

(Reuters) - The introduction of the diesel X-Trail, due out in the autumn of 2008, could mark the first diesel passenger car launched in Japan by a local brand in years after the powertrain all but disappeared in the 1990s due to its poor image as dirty and loud.




Diesel cars' weakness has been higher exhaust levels of nitrogen oxide and pollutants, but they are slowly gaining traction around the world following their success in Europe since they can get 30 percent better mileage than gasoline engines and emit less carbon dioxide.


Read more at Reuters.com Business News

Japan's Shares Drop on U.S. Economy Concern, Stronger Yen; Sony Leads Fall

(Bloomberg) -- Japanese stocks declined, led by Sony
Corp. and Canon Inc., on concern losses in the U.S. mortgage
market may slow the world's biggest economy.

Exporters also fell after the yen strengthened to a four-
month high against the dollar, eroding the value of their dollar-
denominated sales.


Read more at Bloomberg Stocks News

Dollar Approaches Record Low Versus Euro After Decline in Payroll Growth

(Bloomberg) -- The dollar fell the most in almost a
month against the euro, trading within a cent of its record low,
after U.S. reports showed slowdowns in payroll growth and service
industries.

The U.S. currency also declined versus the yen and pound as
speculation rose that the Federal Reserve will cut interest rates
by year-end, trading in futures contracts show. The yen gained
after investors sold higher-yielding assets funded by loans in
Japan amid concern over losses from U.S. subprime mortgages.


Read more at Bloomberg Currencies News

Asian Stocks Gain on Earnings; Konica, Chi Mei, Samsung Electronics Climb

(Bloomberg) -- Asian stocks advanced, paring a
weekly decline, after Konica Minolta Holdings Inc. and Chi Mei
Optoelectronics Corp. reported better-than-estimated profits.

Nintendo Co. led exporters higher after earnings reports in
the U.S. eased concern subprime loan losses will curb growth.
Sumitomo Realty & Development Co. paced gains among Japanese
property shares after saying profit increased by more than half.


Read more at Bloomberg Stocks News

Japan Stocks Tumble; Mizuho, Banks Fall on Drop in Profits; Kyocera Slips

(Bloomberg) -- Japanese stocks fell after Mitsubishi
UFJ Financial Group Inc. and Mizuho Financial Group Inc. said
their quarterly profit dropped because of increasing credit-
related costs.

A measure tracking banks plunged 3.1 percent, the worst
performer in the 33 industry groups included in the Topix.


Read more at Bloomberg Stocks News

Astra, Huaneng Power, Korea Gas, Tata Motors: Asia Ex-Japan Equity Preview

(Bloomberg) -- The following stocks may rise or fall
in Asian markets, excluding Japan. This preview includes news
that broke after markets closed. Prices are from the local
market's last close. Stock symbols are in parentheses after
company names.

Hong Kong retailers: The city's retail sales climbed 14.3
percent in June from a year earlier, the government said. The
increase was the biggest in four months, outpacing May's 10.2
percent gain and the 10 percent increase estimated by economists
surveyed by Bloomberg News, as stock-market gains, rising wages
and a low jobless rate encouraged spending.


Read more at Bloomberg Stocks News

UPDATE 2-Coach fourth-quarter profit, outlook up; shares fall

(Reuters) - NEW YORK, July 31 - Coach Inc. said on
Tuesday that quarterly profit rose nearly 37 percent and raised
its 2008 outlook due in part to strong sales in Japan and the
introduction of its Ergo line of handbags.




But Coach shares were down 3.5 percent in afternoon trade as
some investors focused on a decline in quarterly gross margin and
others took profits a day after expectations had boosted shares 5
percent, according to one analyst.


Read more at Reuters.com Market News

CORRECTED - UPDATE 1-Hidden subprime losses may mirror Japan bank crisis

(Reuters) - NEW YORK, July 27 - Investors and banks holding
on to U.S. subprime mortgage bonds in hopes of a recovery in
value may make losses worse, mirroring the Japanese banking
crisis in the 1990s, according to a new report.




The Japanese banking crisis, triggered in the early 1990s
by a slumping property market and brokerage collapses, led to a
decade-long credit crunch. The government subsequently had to
step in to stabilize the banking system by injecting public
money into top banks.


Read more at Reuters.com Bonds News

Gold regains footing, Tokyo futures jump as yen dips

(Reuters) - Gold edged higher on Tuesday after sentiment for the metal improved following a recovery in U.S. shares the previous day, while Japanese gold futures jumped nearly 1 percent due to the yen's dip against the dollar.

Cash platinum rose sharply on technical buying due to the strength in Tokyo platinum futures, which also rose because the yen dropped.


Read more at Reuters Africa

Japan's Bonds Advance as Equity Decline Increases Demand for Fixed Income

(Bloomberg) -- Japanese bonds gained as falling
stock prices and concerns economic growth may slow spurred
demand for the fixed payments of government securities.

Benchmark debt headed higher after government reports
showed wages fell for a seventh month and household spending
rose less than expected. Ten-year yields reached the lowest in
eight weeks yesterday on speculation rising U.S. mortgage
defaults and a slump in corporate debt market would slow growth
in the biggest market for Japanese exporters.


Read more at Bloomberg Bonds News

Japan's Nikkei Declines, Led by Kyocera on Earnings Report; Olympus Gains

(Bloomberg) -- Japan's Nikkei 225 Stock Average fell
after earnings at companies including Kyocera Corp. lagged behind
investor expectations.

Limiting losses, Olympus Corp. and Shinsei Bank Ltd. gained
after they posted profit growth.


Read more at Bloomberg Stocks News

Asia-Pacific Ministers May Say Their Economies Can Weather Market Turmoil

(Bloomberg) -- Asia-Pacific finance ministers, meeting
in Australia this week, may say the world economy is strong enough
to weather recent financial-market turmoil that drove the cost of
borrowing higher for companies.

Japan's Koji Omi, China's Jin Renqing and South Korea's Kwon
Okyu are among ministers of the 21-member Asia Pacific Economic
Cooperation group who will meet in Coolum, Australia, on Aug. 2 and
3. U.S. Treasury Secretary Henry Paulson will be represented by
Deputy Secretary Robert Kimmitt.


Read more at Bloomberg Emerging Markets News

Japan's Nikkei 225 Drops, Led by Kyocera on Earnings Report; Olympus Gains

(Bloomberg) -- Japan's Nikkei 225 Stock Average
slipped led by companies including Kyocera Corp. whose earnings
failed to live up to investor expectations.

Losses were limited after profit growth at companies
including Olympus Corp. and Shinsei Bank Ltd. surprised market
participants.


Read more at Bloomberg Stocks News

Japanese Stocks With Rising Profits May Advance, Led by Komatsu, Olympus

(Bloomberg) -- Japanese stocks that reported rising
profits in the first quarter may advance.

Komatsu Ltd. may lead gains after the world's second-largest
maker of construction machinery said net income increased 65
percent from a year earlier and boosted its full-year profit
forecast. Olympus Corp. may rise after it said profit doubled and
boosted its full-year estimate.


Read more at Bloomberg Stocks News

Platinum Futures Fall Daily Limit in Tokyo on Rising Yen, Demand Concern

(Bloomberg) -- Platinum futures in Tokyo declined
by the daily limit to a two-month low as a rising yen against
the dollar reduced the value of yen-denominated futures, and
amid concern that platinum usage in autocatalysts may decline.

The yen rose to the highest in more than three months
versus the dollar on July 27 as a fall in stocks caused traders
to repay Japanese currency loans used to fund high-yielding
investments.


Read more at Bloomberg Commodities News

Japan's Nikkei 225 Drops on Subprime Concerns; Topix Climbs on Earnings

(Bloomberg) -- Japan's Nikkei 225 Stock Average
dropped after U.S. residential investment slumped, raising
concern the world's largest economy will slow.

Canon Inc. slid 2.6 percent, leading 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

Risk aversion sends high yielders tumbling

(Reuters) - High yielding currencies fell sharply in volatile markets on Friday as an overnight sell-off in credit and stock markets led investors to pare risky carry trades.

The rise in risk aversion originally sent the low-yielding yen to a three-month high against the dollar and a six-week high versus the euro. But the Japanese currency's gains proved short-lived, in part due to soft retail sales data from Japan and also because of a recovery in European stock markets.


Read more at Reuters Africa

Japan's 10-Year Bonds Have Biggest Weekly Gain Since August as Stocks Drop

(Bloomberg) -- Japan's 10-year bonds had the
biggest weekly gain since August after a slump in global stocks
and corporate debt spurred demand for the relative safety of
government securities.

Benchmark bond yields fell to the lowest in eight weeks on
speculation a U.S. housing slump will slow growth in the biggest
market for Japanese exporters, making it harder for the Bank of
Japan to justify raising interest rates. A government report
today showed consumer prices declined for a fifth month.


Read more at Bloomberg Bonds News