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Thursday, January 08, 2009

News Flash

Satyam Chairman Raju Quits After Saying Profit Was Inflated; Shares Plunge Satyam Computer Services Ltd. Chairman Ramalinga Raju resigned after saying he falsified earnings and assets, prompting a collapse in the stock of India’s fourth-largest software-services provider.

Rupee Weakens a Second Day as Stocks Tumble After Satyam Computer Scandal India’s rupee fell to the lowest this week as stocks tumbled after the chairman of Satyam Computer Services Ltd. resigned, saying the software company had falsified accounts and assets.

NMDC Iron Ore Sales Plunge for Third Month as Global Recession Cuts Demand NMDC Ltd., India’s largest iron-ore producer, said December sales fell for the third straight month as the global recession cut demand for the steelmaking material.

Stocks in India Decline by Most in More Than Two Months, Led by Satyam Indian stocks fell the most in more than two months after Satyam Computer Services Ltd. said profits had been inflated for years, heightening concern about corporate governance in the South Asian nation.

Ten-Year Bonds Slide Most Since 2001 as India Unveils Extra Debt Auction India’s 10-year bonds dropped the most since September 2001 after the government said it will increase debt sales to fund additional spending.

ONGC, Indian Oil Suffer Production Loss As Officers Start Strike For Wages Oil & Natural Gas Corp., India’s biggest exploration company, and Indian Oil Corp., suffered a loss of production after officers of state oil companies went on strike to demand higher pay, the government said.

India's GDP May Grow at Slowest Pace Since 2003 For Second Straight Year India’s economy may grow at close to the slowest pace since 2003 for a second straight year as a global recession cuts overseas orders and domestic demand wanes, said Junior Industry Minister Ashwani Kumar.

Asian Economies to Have V-Shaped Rebound After `Apocalypse,' BNP Predicts Asian economic growth, after slowing this year, will probably rebound in 2010 as government spending and interest rate cuts spur demand, BNP Paribas SA said today

Stocks in U.S. Drop as Job Losses More Than Estimated; Alcoa Shares Slide U.S. stocks slid the most in two weeks as a private report showed employers cut more jobs than estimated in December and companies from Alcoa Inc. to Intel Corp. spurred concern the profit outlook is worsening.

Time Warner to Post Loss After $25 Billion Writedown of AOL, Cable Assets Time Warner Inc., the owner of HBO and AOL, will report its first annual loss in six years after writing down the value of its cable-system, publishing and Internet assets by about $25 billion in the fourth quarter.

Intel Fourth-Quarter Sales Fall 23%, Missing Reduced Forecast; Shares Drop Intel Corp., the world’s largest chipmaker, said fourth-quarter sales dropped 23 percent, missing a forecast that it cut by $1 billion less than two months ago as the global recession kills demand for personal computers.

Fed's Hoenig Describes Economic Outlook in U.S. as `Grim' Through Mid-2009 The U.S. economic outlook through the first half of 2009 is “grim,” and the first signs of a recovery may not emerge until the third quarter, said Thomas Hoenig, president of the Federal Reserve Bank of Kansas City.

Russian Gas Shipments to Europe Through Ukraine Halted in Freezing Weather Russian natural-gas exports through Ukraine halted, disrupting shipments to Europe for the second time in three years and threatening to create shortages as freezing weather spurred demand for power.

Madoff Transferred Watches, Diamonds, Ring to Hide Assets, Prosecutors Say Bernard Madoff mailed additional jewelry, including Cartier and Tiffany watches, a ring, a diamond bracelet and diamond necklace, prosecutors said in a letter expanding on their request to jail the investment adviser for violating the terms of his bail.

Citigroup's Top Cost-Cutter Levinson Retires; Beck Named as Replacement Citigroup Inc., the bank that’s selling businesses and cutting 52,000 jobs after $20 billion of net losses over the past year, said its head of cost-cutting has retired and his group will be folded into another unit.

source: Bloomberg

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