Despite the strains imposed by Greece on the euro area, Italy was able to borrow Monday medium and long term 5.25 billion euros expected without any increase in interest rates. Italian Prime Minister Mario Monti presented in Rome on 4 December 2011 a new austerity plan of 20 billion euros by 2014
Italy has a bond issue passed Monday by taking test 5.25 billion euros in the medium and long term interest rates steady at almost three years, despite strong investor concerns for the euro area due to blockage policy in Greece.
The total demand of investors amounted to 9 billion euros, allowing the Treasury, which were up between 3.5 and 5.25 billion euros, reaching its maximum target, announced the Bank of Italy . As part of its main issue, the Italian Treasury has raised 3.5 billion of securities maturing in 2015 at a rate of 3.91% against 3.89% in the last similar operation on April 12. He also issued 542 million of securities due 2020 at a rate of 5.33%, 651 million of securities due 2022 at a rate of 5.66% and € 557 million of securities due 2025 at a rate of 5.90%.
The Bank of Italy does not compare the rates of these bonds with those recorded during previous shows. "The show went well overall," said Elia Lattuga, bond strategist in the bank UniCredit. "The maximum was reached," a "particularly good result" that the market was marked "by difficulties this morning," added Chiara Manenti Intesa Sanpaolo.
The political stalemate in Greece, which still has no government more than a week after the parliamentary elections, has plunged European stock markets Monday and caused a fever in the bond market.
Despite the success of this program by Rome, the Italian market also remained very tense. Secondary market, where exchange debt already issued, the rates in Italy were part of ten years at 5.724% to 5.495% cons 10:25 GMT Friday night while the Milan Stock Exchange 2.90% let go.
Friday, Italy, which faced since mid-April to a sharp rebound in rates after a strong expansion in the first quarter, recorded a great success on the debt market by placing 10 billion shares to three months and one year at declining rates.
Personal business cards are considered primary marketing tool for any type of business. It is the string of bondage that you build to create a long-lasting relationship with your customer and associates.
China cut Saturday the amounts that banks must hold in reserve, thereby increasing their lending capacity of 400 billion yuan (48 billion euros), a measure taken to e avoid the risk of a sharp slowdown in the second largest economy.
People's Bank of China reduced the reserve ratio by 50 basis points, bringing it to 20.0%. This new amount will be effective next Friday May 18
This is the third decline in six months of the required reserve ratio, a decision just one day after the publication of macroeconomic data for the month of April have concerned investors, including the numbers of industrial production.
Economists had indeed thought that the growth rate of gross domestic product (GDP) of 8.1% over one year was a record low and that the activity would be departing in the second quarter. Considering the recent statistics, this scenario does not seem to confirm.
"The central bank should cut its reserve requirement ratio after the first quarter. She missed the best possible time, "said Dong Xian'an, chief economist at Peking First Advisory
." A drop TODAY 'Today will have a lesser impact. The Chinese economy will therefore be more vulnerable to weak global economic conditions and a slowing Chinese economy will in turn have a negative impact on the global recovery. "..
…… "The uncertainties surrounding the global and Chinese economies increase," said Dong Xian'an
… …… Economists estimate that China's growth should be 8% per year to absorb the annual flow of new entrants to the labor market and rural land left to find work in the factory
. The central bank announced its first drop in the ratio of bank reserves for three years on November 30, lowering the rate of 50 basis points.
According to a Reuters poll conducted in January, economists estimate that the central bank will reduce the reserve ratio of 200 basis points in total in 2012, bringing it to 19%.
Moreover, despite the inflationary risks, some believe that lower interest rates is not excluded.
"The problem is that loan demand from companies is very low, therefore the lower reserve requirement ratio is not as effective as lower rates of intere ; t, because a decrease in the ratio of reserves does not change the cost of loans, "said Liu Junyu (China Merchants Bank).
"If the economy continues to be hesitant, it is likely that the government will opt for a lower interest rate."
E.ON, the first group of German utilities, announced Wednesday a quarterly sales better than expected, the good performance of trading and renewable energy production offset declines production related to the abandonment of nuclear power in Germany.
The group recorded a 28% increase in sales to 35.7 billion euros, higher than the 30.14 billion euros predicted by Thomson Reuters SmartEstimates.
The group said last week it had earnings before interest, tax, depreciation and amortization (EBITDA) of approximately 3.8 billion euros, and net current of about 1.7 billion.
"These figures are not spectacular, but they are good," said one trader. The action was reported up 0.9% in transactions before trading.
The turnover of the trading subsidiary of the group rose 37% to 27.5 billion euros while the production of renewable energy generated sales up 7% to 617 million.
Since the beginning of the year, as E.ON has lost over 6%, impacted partly by its heavy exposure to nuclear power, while its main competitor RWE gained 18%.
The likely thrust of extremist parties in Greece, which could jeopardize the plan of assistance given to countries, markets further alarm that victory in the presidential election of Francois Hollande. Its program in effect no longer perceived as a threat to investors. Unlike 1981, the arrival of the socialist candidate for the Elysee should however not destabilize markets, which first opened in Asia in mid-European night.
The likely thrust of extremist parties in Greece, which could jeopardize the plan of assistance given to countries, markets further alarm that victory in the presidential election of Francois Hollande, whose program is no longer perceived as a threat by investors . "The week promises to be high risk, but paradoxically Greece weigh maybe more in the balance as the French election," said Valerie Plagnol, director of research at Credit Suisse.
Unlike 1981, the arrival of the socialist candidate for the Elysee should however not destabilize markets, which first opened in Asia in mid-European night. The Paris Bourse certainly gives ground for several weeks, but this trend is common to all European financial centers, plagued by fears about the economy of the eurozone. And the cost of refinancing the public debt of France has not increased more between the two rounds of presidential elections.
No challenge to the Treaty on the financial stability
Paris has borrowed Thursday nearly 7.5 billion euros at rates down. "Mr. Holland should not undermine the Treaty on European financial stability, but rather add to it a component of growth. On this point, it is not alone in wishing that in Europe, which tends to reassure "said Ms. Plagnol.
Long reluctant, Berlin is ready to work to "a growth pact for more competitiveness," the German Foreign Minister Guido Westerwelle. President of the European Central Bank, Mario Draghi, would also give this theme "at the center of the agenda" European. Mr. Holland on Sunday evening could have an exchange on these topics with German Chancellor Angela Merkel, according to one of his advisers.
If revenues diverge, more tracks are already being considered: increase the borrowing capacity of the European Investment Bank (EIB), spend more European structural funds in the euro area, establish 'project bonds', the European bonds for a specific project, or authorize the European Stability Mechanism (MES) to help a struggling industry and not just a state.
For Laurence Boone, chief economist for Europe U.S. investment bank Merrill Lynch, BofA, the alternation in France does not worry because "investors expect to conduct a moderate social policy".
Greece in the heart of concerns with the rise of extremist parties
Greece, whose people voted on Sunday for early elections, however crystallizes much more concern. Both sides pro-austerity, PASOK (Socialist) and New Democracy (right), who ruled together in a coalition since November 2011 collapsed in parliamentary elections Sunday, bringing together between 31 and 37% against more 77% in 2009, according to exit polls.
If they were confirmed, this collapse would make almost impossible the formation of a coalition government by both parties to continue the austerity dictated by the European Union and the International Monetary Fund. "The country's creditors (IMF, EU and ECB) may at least temporarily suspend their aid," worries Stephane Deo at UBS. "The government can more quickly pay its civil servants and pensions, which will lead to very high tensions on financial markets," he warns.
In >>> Direct: Soon the results of the second round of the presidential election between Sarkozy and Holland
The action is Danone rebound Monday, with investors relieved after the announcement of the takeover by Nestle's division of child nutrition Pfizer, a redemption of $ 11.85 billion which the French group was also in the running.
At 2:50 p.m., the title Danone raises of 1.83% to 53.39 euros in a market down sharply (-2.15%).
"The rise in the stock is clearly related to the fact that it's not Nestle and Danone buys Pfizer infant nutrition. The price is very high and the market would like Danone uses his money for something else, "said one operator
. L action Danone had lost 3.55% Friday following a tip that he was outbid and proposed $ 11 billion to buy up Pfizer Nutrition
…. Analysts say ….. Danone had not the means to finance a transaction of this magnitude, even if it reduced its debt by nearly half since the acquisition of Numico in 2007 to 12.3 billion euros
. Danone's net debt was $ 6.6 billion end of 2011 euros, against 12 billion after the acquisition of Numico.
Natixis, the analyst Pierre Tegner observes that "the strategic importance of the lost battle (against Nestle) depend on the group's ability to recover some assets, either in Asia Southeast Asia (Philippines, etc..) and / or Latin America. "
According to Kyodo, Danone could increase its stake in Yakult Honsha to 28% against 20% today, and asked the group of Japanese drinks to name one of its managers to an executive position.
The Group of Twenty (G20) pledged Friday to give the International Monetary Fund (IMF) over $ 430 billion of additional resources to identify the debt crisis of the euro area.
The agreement doubles the capacity of the IMF loan, which was the goal set by its Executive Director Christine Lagarde at the opening meetings of the IMF and World Bank this weekend.
"There are firm commitments to increase resources available to the IMF more than $ 430 billion, in addition to the planned quota increase under the reform of 2010" , declared in a statement the finance ministers and central bankers from the G20, referring to the project to give emerging countries a say in the larger fund.
Ingenico is looking for growth opportunities in services and emerging markets after the forced abandonment of its proposed acquisition in the U.S., which would enable it to face the giant VeriFone.
The CEO of specialist payment terminals, Philippe Lazare, told Reuters detect "significant room for improvement" in Southeast Asia, where it is to affû ; t acquisitions.
"The past year has confirmed that emerging markets are really the primary drivers of growth and the business model with an increasing share of our service activities and transactions (compared to) our terminal activities is a strategy that works, "he argued in an interview.
Ingenico had to rethink its strategy last year after renouncing buy U.S. assets of Hypercom as a result of a decision of the department improve Rican Justice to initiate an antitrust action.
In the U.S., where the group's clients include distribution groups Wal-Mart and Home Depot, Ingenico expects much of the ongoing transition of the United States to smart cards, lead to a prompt Renewal of the terminal stores.
Ingenico, which counts among its competitors Gemalto, First Data and Heartland Payment Systems, is also betting on the transaction management services and maintenance of payment terminals, for not having to rely on its core business , manufacture and sale of terminals.
This service activity should represent 40% of turnover next year as against 32% today, said Philippe Lazare.
Ingenico announced last month reaching for the first time in 2011 the symbolic threshold of one billion euros in revenue, driven by the dynamism of emerging countries.
For 2012, the group said it expected growth of over 8% on a comparable basis of its revenues and an EBITDA margin of greater than or equal to 18.3% .
The action, which exceeded 85 euros at the height of the dotcom bubble, touched a low of 4.6 euros in 2003. The title has turned the corner since 2009 and was up 28% since the beginning of the year at nearly 36 euros.
Ingenico, whose biggest shareholder is the supplier of defense and security Safran, in 2010 had rejected an offer to 28 euros per share of U.S. conglomerate Danaher, but Philippe Lazare said his group left for sale. At the right price.
"Clearly, society has been widely appreciated since this offer," he said. "We will continue to strengthen our balance sheet and strategy and make acquisitions to grow our relevant value. After, if someone wants to buy us one day, he will be welcome provided that it will put the price ".
There was never enough analysts, says a former Moody's and Standard Poor's has. Some had multiple dozens of folders and noted without sufficient data. Moody's in New York.
Former analysts rating agencies testified Wednesday in the Senate on their working conditions, reporting a dire shortage of manpower and intense competition among agencies that sometimes pushed to note without sufficient data .
The Senate on Tuesday launched a mission of information on credit rating agencies and which audition until July consult experts, former employees of agencies, debt issuers and investors in France and abroad.
"Your question is daunting, watermark, you ask us: + Did you know what you did? +, Told senators who questioned Anwar Hassoune, who spent seven years at Standard & Poor's and three years at Moody's. "The answer is + not + always. There is never enough analysts, "responded Normale Associate Management, a graduate of HEC and Sciences Po, who says he experienced analysts for 35 to 45 cases each
. "It is humanly impossible, we had to follow two Credit Agricole, it is not possible!", he said. For him, the analysis of Crédit Agricole would require "a battalion of a dozen analysts with 15, 20, 30 years of experience, knowing all the ins and outs of each business" of this banking giant. "But this is not sustainable economically because each entry will cost 500,000 euros and 600,000, including bonus" and your "business is dead," he said.
Behind this problem is the business model of agencies, the high margins they achieve for their shareholders, analysts have estimated the former. "It is rightly said that it is outrageous that agencies emerge as significant margins," said Catherine Gerst, who worked at Moody's Paris from 1991 to 2000, first as an analyst before becoming CEO.
Agencies who had "no obligation to reinvest in people," Ms. Gerst suggesting to create constraints of this type, for example to limit to 10 the number of entities to be processed by analyst. As for subprime ("subprime"), the agency had only two years of decline on these new products and noted "knowing full well they had no data" necessary, she lamented, explaining this fact by "too much competition between agencies."
The economy of Hungary will switch into recession this year, says OECD, which urges the government of Prime Minister Viktor Orban to pass a financial agreement with international organizations and to take further measures to reduce the budget deficit.
Echoing the European Commission, the Organisation for Economic Cooperation and Development also takes note of "controversial measures taken by the Hungarian government (which) have made exacerbate the uncertainty on the confidence of businesses, households and markets. "
"Overall, the economy should be in recession in early 2012 before a modest recovery in the second half of this year because of a slight upturn in confidence and improved financial and economic conditions worldwide, "the OECD wrote in a report released Tuesday.
The OECD expects GDP to contract by 0.6% Hungarian, and this year a growth of 1.1% in 2013. Budapest projected growth of 0.5% in 2012.
The Hungarian authorities have two main challenges, says OECD: stabilizing the economy and restore growth in the long term structural reforms.
"An agreement with multilateral organizations to help restore confidence and facilitate the necessary reorganization of public finances," says the OECD. "It also would ease the burden of debt in foreign currencies by stabilizing the exchange rate."
To stabilize the forint, which fell over 20% since mid-2008, to 292 per euro on Tuesday, the Orban government wants to conclude a funding agreement with the European Union and the International Monetary Fund by the end of the second quarter. But he objects to certain conditions set by the European Commission to open discussions.
EU officials believe that the deficit in Hungary could reach 3.6% of GDP in 2013 if Budapest is not taking new provisions, a view espoused by the OECD.
"Despite a relatively favorable fiscal position, the recent deterioration of the underlying balance requires additional efforts, beyond the measures planned for 2012," says the OECD.
The Organization also recommends that "in 2013 replacing the windfall tax on banks by taxing less distorting."
Changes to the law governing the central bank, including certain appointment procedures "derogate clearly best practice", also says the OECD.
The central bank independence must be guaranteed in accordance with international obligations of Hungary, said she.
The sustained improvement in the U.S. labor market continued in February for the third consecutive month, confirming the scenario of a broadening recovery é economic.
The economy created 227,000 non-farm jobs last month, according to statistics from the Labor Department, and the unemployment rate remained at its lowest level in three years, 8.3%.
This is the first time since early 2011 that the new posts remain above 200,000 for three straight months.
The figures for December and January were also revised upward, from 61,000 in total.
Economists polled by Reuters had expected an average of 210.000 jobs created in February after the figure of 243,000 was originally planned for January.
