European shares erased their gains in closing Wednesday on renewed concern about the ability of Athens to implement a second rescue plan that would avoid a disorderly failure of Greece.
The Paris CAC 40 index ended on a note stable (-0.05% to 3410.00 points, which corresponds to an important point of resistance, the German Dax has yielded 0.08% Eurostoxx 50 and 0.05%. London ended down 0.24%.
The leaders of the European Central Bank (ECB) remain divided on the potential contribution of the central bank to restructure Greek debt, two sources said the area euro Wednesday shortly before the close.
Meanwhile, leaders of the three coalition parties had entered Greek government meeting to agree on the reforms demanded by donors of new exhibitions ; born in exchange for a second aid plan.
Meanwhile, the President of the Eurogroup, Jean-Claude Juncker, announced late in the day for convening a meeting of finance ministers of the euro zone Thursday in Brussels to decide outline a new plan of aid to Greece.
Bank stocks remained the largest increases in Europe (0.56%), while having significantly reduced their earnings. Deutsche Bank took 1.53% and 1.16% BNP Paribas, the two largest increases in the Stoxx 50.
The profit taking continued on LVMH (-1.28%), which sold more than 4.3% since the end of last week of quarterly results has yet confirmed its good resistance to the crisis.
Sanofi fell by 1.7%. The company said results in growth in the fourth quarter of 2011, but 2012 will be more difficult with the loss of several patents of its major drugs.
Prime Minister Lucas Papademos called on Sunday for three party leaders Greek government to publicly commit to implement the reforms demanded by the country's creditors in return for a second help.
The three party leaders were summoned Greek government on Sunday by Lucas Papademos to overcome their objections to the new austerity measures demanded by creditors, even if they have so far resulted only exacerbate the recession of countries.
George Papandreou, Antonis Samaras and George Karatzaferis – respectively leaders of the Socialist party, New Democracy (right) and Laos (far right) represented in the Greek coalition government – arrived mid-afternoon Maximos the palace, where the offices of the Prime Minister.
The representatives of the troika of institutional creditors of the country (euro area, European Central Bank and International Monetary Fund) have previously met the Prime Minister, Finance Minister and the Minister of Labour. The Greek government has been negotiating for weeks on the establishment of a structural adjustment program of the country in exchange for a second loan of at least 130 billion euros, which would add to that 110 billion awarded in May 2010 the country to protect it from bankruptcy.
100 billion euros of debt
Negotiations described as "superhuman" Sunday by a senior government official, intended to prevent Greece a default in the month of March. An alternative trading-just as crucial-government with its private creditors to erase 100 billion euros of debt, depends on negotiating with creditors. Among the hard spots, rejected both by the Greek trade union leaders by most politicians, are the demands of the troika of generalized lowering labor costs.
"I come with the hope that I will not repeat what was said recently the former German Chancellor (Helmut) Schmidt," said George Karatzaferis to the press on arrival at the Prime Minister, after warning that it did not feel ready to bow to pressure from Berlin or "blackmail". In December, Helmut Schmidt had expressed concern about how other countries dealt Berlin and European partners in managing the debt crisis, when Germany imposes its solutions to its neighbors.
Saturday night, the Greek Finance Minister Evangelos Venizelos said the negotiations "on the razor's edge" were to conclude Sunday evening that Greece avoided a default in March
Risk of bankruptcy in March
The leader of the Eurogroup, Luxembourg Jean-Claude Juncker, has also lobbied on Saturday night by evoking the risk of "bankruptcy" of Greece in March if the reforms demanded were not completed.
"If we were to find that everything goes awry in Greece, then there would be no new program" refinancing of the country, said the head of government of Luxembourg. "This would mean bankruptcy in March," he added. "Greece must know that we will not back down on the issue of privatization," he said, regretting that there is no other "elements of corruption at all levels of government" Greek.
The opponents argue that wage cuts will exacerbate the recession in Greece, where the economy is stifled by a recession that puts on airs of depression, with GDP expected to fall by around 6% in 2011 after two years of austerity.
According to a government study released last week, the unit labor costs in Greece has already fallen by 14.3% between the first quarter 2010 and third quarter 2011.
But according to the head of IMF mission in Greece Poul Thomsen, measures of wage compression in the private sector will boost the economy through a gain in competitiveness. Paul Thomsen has advocated such a reduction in the minimum wage, a red rag to the unions, saying only 751 euros gross per month was 35% higher than in Portugal, and 20% in Spain.
The Industry Minister, Eric Besson, promised that the potential beneficiaries of social tariffs for electricity consumption of course apply from 1 January even if the measure of automatic access is still not back in force.
While consumption in électricté soaring these days, the automatic assignment of social tariffs for electricity is still conspicuously absent. Yet the measure was to take effect January 1. This had been announced in the fall of Eric Besson, Minister of Energy. Faced with this bug, it has reiterated on Friday that the device, once it enters into force, will be properly applied "to the gas bills and electricity consumption corresponding to January 1, 2012." In other words retroactively.
This delay, which is expected to continue for several more weeks, is due to the fact that the "last formal consultations" between government and industry should always be held together with a notice of the State Council, said the Ministry of energy, confirming the information of Paris …
These special rates are reserved for beneficiaries of the Universal Health Coverage (CMU) or any person whose monthly income is less than 634 euros per month (for a single person). Entered into force in 2005 for electricity and gas in 2008, social tariffs were previously allocated upon application to rights-holders (the limit is 7800 euros in annual revenue to about a single person and 11,700 for childless couple, ed), but by lack of information or administrative complexity, many do not demand.
Only 600,000 households currently receive social tariffs so that 1.5 to 2 million are eligible, a situation that had prompted the government to promise its automation. The reduction is estimated by EDF and GDF Suez at about 90 euros per year for electricity and 140 euros for gas.
"The decree is under consideration by the Council of State, he should be able to give its opinion in the coming weeks, when he will have the last formal consultations that are normally involved in early (February editor's note) . The decree will be published in the coming days, "the ministry said.
In connection communication, the President of the Syndicat Intercommunal the outskirts of Paris for the Electricity and Communication Networks (Sipperec) Catherine Peyge said there was "urgent." Some 3.8 million households, or 14.4% of French households in the metropolis, are currently considered in fuel poverty, meaning they spend more than 10% of their budget on their energy bills, says she said. "What do public authorities to publish the decree and to end the anomaly whereby a tariff, decided in 2000, implemented in 2005, still can not protect the families who need? Meanwhile the prices of electricity rose by 6% in two years, and the bill could jump by 30% by 2016 ", criticized Ms. Peyge.
Values to follow Tuesday at the Paris Bourse. </ P> * VALUE FINANCIAL – EU leaders could seal a final agreement on the second level of support Greece in the coming days, Monday and tried to calm an early debate on a proposed loan to Berlin to Greece Trust budget. </ p> The Prime Minister of Greece Lucas Papademos met after the summit in Brussels with EU officials and European Central Bank to discuss the details of the restructuring plan of Greek debt under negotiation with private creditors.</ P> * INSURANCE – Moody's Investors Service said Tuesday it had raised to stable from negative its outlook for the industry and damage to the French insurers maintained its negative outlook on the sector of 'life insurance. </ p> * CROSSROADS announced Monday the departure of its Executive Director responsible for growth markets, Pierre Bouchut, in which analysts had seen a candidate ; rieux to succeed Lars Olofsson. It Georges Plassat was chosen to succeed the CEO of the distribution group. </ P> * Renault, which owns 25% stake in Russian manufacturer AvtoVAZ, could take control via its alliance with Nissan in the first half of this year, said Monday the news agency RIA Novosti, citing About Sergei Chemezov, the chairman of the holding company Russian Technologies. </ p> * RENAULT and PSA PEUGEOT CITROEN – According to the Tribune, quoting unofficial sources, registrations of new cars have plummeted in January as planned in France, as a result of the context economic and very unfavorable comparison of early 2011, when the effect scrappage was still playing full. </ p> According to La Tribune, Renault fell by 45 %, 37% of Peugeot, Citroen Dacia by 31% and 18%. The two French manufacturers have refused to comment on the figures to be published Wednesday. </ P> * EADS – UBS moves from neutral to buy on the title with a target price raised 22 to 31 euros. </ p> * ACCOR – Nomura resumes coverage value with a recommendation to "reduce" and a target price of 19.50 euros. </ p> < p> * Veolia Environment – Morgan Stanley going to underweight-weight line on the title. </ p> * SOITEC, who had said it expected an operating loss "significant" in 2011-2012, has announced that it would be between 40 and 45 million euros. </ p> * EIFFAGE – JP Morgan goes underweight to neutral on the title.</ P> * NORBERT DENTRESSANGLE reported Monday night of "signs of slowing at the end of the year" in the business of its customers, in a macroeconomic context "showing progressive signs of slowing. "</ p> The group achieved in 2011 a consolidated turnover of 3.576 million euros, up 5.6% at constant exchange rates and like basis. The fourth quarter alone, the change in net sales was 4.2%. </ P> * ALTEN judge earlier this year "reassuring, if not encouraging," despite the depressed economic environment that characterized the end of 2011. "The activity in January remained satisfactory, comparable to last year," said Alten. Of 2011, consolidated sales increased by 14.5% at constant currency and constant perimeter, to 1065.7 million. The fourth quarter alone, growth stood at 12.5%. </ P> * DRY ENVIRONMENT, which in 2011 posted an organic growth of 6% of its sales of Business 424.2 million euros reported in 2012 on a build up its business in line with the last six months "in an uncertain macroeconomic environment." </ p> <p > Regarding the issue of participation in the Saur, including the assumption of an output, the chief financial officer Jean Geissler declined to comment, simply stating that mediation was ongoing. </ p> * ARTPRICE.COM expects a jump in sales this year with the launch of its online auction service, said Monday its CEO Thierry Ehrmann, in an interview with Reuters. </ p>
The Industry Minister Eric Besson confirmed Wednesday that the price of gas and electricity for individuals would be maintained until the presidential election, despite requests from EDF and GDF Suez.
The Minister of Industry and Energy Eric Besson confirmed Wednesday that the price of gas and electricity for individuals would be maintained until the presidential election, despite the attacks to justice and GDF Suez of other gas suppliers. Asked about RMC and BFM TV about the continued freeze gas prices to presidential, Mr Besson said: "Yes. The Prime Minister made this decision and he made it clear to the national representation . (…) In any case for individuals. "
"We have a simple thesis is that the increases should be extremely limited so as not to influence the purchasing power," he noted, without being able to specify whether this also applied to the gel subscription. For electricity, Mr. Besson is back in a statement to AFP on the remarks made earlier on the air. "It will increase slightly, probably," he said on BFM TV and RMC. "I do not know (when) we will discuss this with EDF."
Asked by AFP, the Office of the Minister of Energy said: "Eric Besson reaffirms that in accordance with the arbitration of the Prime Minister, electricity rates applicable to individuals are frozen until 1 July 2012, and no decision is expected to increase. "
The Maritime Alps, Savoie, Haute-Savoie, the Vendee, the Channel, the Rhone, the Haut-Rhin, Bas-Rhin, the Gold Coast, the Marne and Haute-Marne are willing to experiment with the requirement of 7 hours per week for the RSA Beneficiaries. According to Nicolas Sarkozy, it is their "restore dignity". Nicolas Sarkozy and Roselyne Bachelot visiting Bordeaux November 15, 2011
Solidarity Minister Roselyne Bachelot on Wednesday presented the new contracts for seven hours to eleven recipients of RSA representatives of councils willing to experiment with this device, it was learned from the department. Departments candidates to experiment with these contracts, reserved to the people furthest from the labor market, are the Maritime Alps, Savoie, Haute-Savoie, the Vendee, the Channel, the Rhone, the Upper Rhine, the Lower Rhine, the Gold Coast, the Marne and Haute-Marne.Tuesday in Bordeaux, President Nicolas Sarkozy said that the contracts were intended to "restore dignity" to the beneficiaries of RSA.
Societe Generale said Thursday in an email to the press that the goal of equity of 9% at end-June 2012 without resorting to the market, after testing by the European Banking Authority (EBA ).
Earlier in the morning, the French bank whose needs additional capital was estimated at 3.3 billion euros, said it will recapitalize on its own without explicitly rule out an increase of capital.
For avoidance of doubt, SocGen said that it does not seek public money or raise capital in financial markets.
Under the agreement reached on the night of Wednesday to Thursday at the conclusion of a new double top, the European authorities have agreed to recapitalize their banks to the tune of 106 billion euros, 8.8 billion for French banks.
BNP Paribas, whose capital needs were assessed by the EBA to 2.1 billion euros, also rejected any appeal to the market.
The payment of a new tranche of eight billion euros to Greece was approved Friday by the finance ministers of the euro area, which, however, have found their remaining differences on the reform of the support fund euro and put their decisions on this issue later.
Meeting in Brussels, they also discussed at length the contours of the new rescue plan for Greece and the participation of banks capable of reducing the Greek debt to sustainable levels.
A report prepared by the "troika" – IMF, ECB and European Commission – representing the international donors, a 50% discount on Greek bonds held by private investors is necessary to reduce the debt to 120% of GDP against 162% today.
If it was intended to reduce debt below 110%, a discount of 60% would be necessary, the report says, as a basis for decisions of Heads of State and Government of the euro area summits on Sunday and Wednesday.
The outcome of these meetings, which should lead to a new Greek plan, a formula to maximize the funds to support the euro area and a wide recapitalization of banks on the continent, is considered crucial for the single currency.
"We decided to authorize the payment of the next tranche of financial assistance to Greece in the context of the current program of economic adjustment.The disbursements must be made in the first half of November, once approved by the International Monetary Fund, "said the finance ministers of the euro area in a statement.
Athens immediately welcomed the European decision, saying it was "a positive step."
The decision "provides the fiscal targets in 2012 and paves the way for necessary structural reforms," said Greek finance minister, Evangelos Venizelos, in a statement.
CONTINUATION OF DISCUSSION ON EFSF
According to several sources, the Europeans, however, remain largely divided on the level of the discount to be applied to Greek bonds as well as the voluntary and non-bank participation.
The German authorities, in particular Finance Minister Wolfgang Schäuble, insist that the envelope of 50 billion euros negotiated on July 21 is significantly revised upwards, if necessary by forcing banks to make an extra effort.
Paris is reluctant for fear of triggering a credit event with unpredictable consequences.
The ministers, however, only discussed the various options available to "maximize" the firepower of the EFSF, which also divides Paris and Berlin.
The Minister of Economy, Baroin said that France continued to believe that the conversion of cash in bank was the best solution but it did not make "one final point of confrontation."
"What counts is what works.And what works is what will go towards deterrence and effective firewall and it is around this that we try to work, "said the Minister after the meeting.
Granted a banking license in EFSF would allow access to funding from the European Central Bank to increase its capacity for action by a factor of up to five.
But Berlin rejects this possibility, which would be to accept that the institution of Frankfurt finance the countries of the euro area, one of the dogmas explicitly excluded by the European treaties.
The other members of the euro area are also divided, Belgium and Spain having voted for a reconciliation BCE-EFSF while Slovakia and Austria have indicated that this solution was not studied.
The countdown has started, however, for not only the peaks of Sunday and Wednesday but above the summit of Heads of State and Government of the G20 in Cannes in early November.
Thursday night, U.S. President Barack Obama spoke on the economic situation in Europe with his French counterpart Nicolas Sarkozy, German Chancellor Angela Merkel and British Prime Minister David Cameron.
The U.S. economy continued to grow at a slow pace in September, but prospects appear dim, believes the Federal Reserve in its "beige book" on Wednesday.
"The economy as a whole has continued to grow in September, although many districts described the pace of growth as" modest "or" low "and contacts have generally found a weakening outlook," says the Fed This situation report.
Wall Street and oil prices went up in free fall as a result of this paper while the price of Treasuries rose.
The memo on the economy the Fed is based on data collected before October 7 and deals with all the economic conditions in the 12 Fed districts, which cover the entire United States.
According to the Beige Book, consumer spending rose slightly in most districts, thanks to the automotive industry and tourism.
There was also an increase in business investment, particularly in construction and mining.
While a number of districts have experienced some recovery in construction activity, "the general conditions of real estate – residential as commercial – are still depressed."
Also according to the survey, several districts noted that many retailers are reluctant to build up stocks despite the approach of the holiday season, reflecting a decline in consumer confidence.
This holiday season – which runs from Thanksgiving to Christmas – is at least half the annual turnover of many stores.
Interviewed on CNBC, the president of the Boston Fed Eric Rosengren said the Fed may have to increase support measures if the U.S. economy weakened further or if it was affected by a new shock.
China's trade surplus declined in September for the second consecutive month, reflecting the weakness of the global economy and the slowdown in China itself.
Import growth as exports slowed last month.The accentuation of the debt crisis in Europe and the slower growth in the U.S. explain this trend, which could enhance the Chinese authorities in the conflict on the level of the yuan.
"The rising exchange rate of the renminbi could limit the margin of export growth", has also speedily regretted Lu Peijun, deputy director of China Customs, at a press conference.
"China still faced inflationary pressure imported relatively strong and the terms of trade deteriorate as well," he added.
Exports grew by 17.1% last month compared to September 2010, after a growth rate of 24.5% the previous month, according to data released Thursday by the Office of Customs.
At the same time, imports increased by 20.9% yoy against 30.2% in August.
The surplus in the trade balance of China and stood at $ 14.5 billion in September, against 16.3 billion average expected by economists and after 17.8 billion in August.This represents less than half of the surplus in July, which amounted to 31.5 billion.
Year over year, the trade surplus appears to 180.3 billion dollars.
"Export growth in September was much lower than the expectations of the markets, reflecting the global economy coughs, and we expect this trend to slowing exports will continue in the coming months" , Analysis Wang Hu, of Guotai Junan Securities in Shanghai.
"The narrowing trade surplus and a slowdown in imported inflation could ease the pressure on Beijing to accelerate the appreciation of the yuan," said Du Zhengzheng for its part, an analyst with China Development Bank Securities.
Economists, relayed by western politicians, believe that the Chinese currency is undervalued, giving an advantage to the products 'made in China' on the international markets.
In Washington, the Senate passed a bill Tuesday that could force Beijing to raise the price of its currency under penalty of imports of Chinese goods taxed. China denounces protectionism in disguise and an obstacle to world trade rules. (See)
The trade surplus of China vis-à-vis the United States, however, remained unchanged from August to September, 20 billion.
Vis-à-vis the European Union, it decreased to $ 12.9 billion against 14.8 billion in August.
