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Friday, July 10, 2009

News Flash

India's Industrial Production Rises 2.7%, at Fastest Pace in Eight Months India’s industrial production increased at the fastest pace in eight months as record-low interest rates and government stimulus measures helped revive demand and investment.

Infosys Quarterly Profit Rises 18%, Tops Estimates, on Large Orders, Rupee Infosys Technologies Ltd., India’s second-largest software exporter, reported profit rose a better- than-estimated 18 percent as the company won “large” contracts and the rupee’s decline versus the dollar boosted overseas sales.

Stocks in India Complete Worst Week Since October on Deficient Monsoon Indian stocks sank, completing the benchmark index’s worst week since October, after Agriculture Minister Sharad Pawar said monsoon rainfall has been deficient.

Ranbaxy Expects U.S. FDA Response on Drug Import Ban Very Soon, Sobti Says Ranbaxy Laboratories Ltd., the Indian drugmaker battling falling sales after the U.S. barred some of its drugs, said it expects the Food and Drug Administration to respond “very soon” regarding the ban.

India Plans to Spend $21 Billion to Build Roads This Year, Kamal Nath Says India’s plans to spend 1 trillion rupees ($21 billion) this financial year to build roads and will seek part of the investment from overseas, road transport minister Kamal Nath said.

Rupee Has Biggest Weekly Loss in Four Months on Deficit, Recovery Concerns India’s rupee completed its worst week since February as a faltering global economic recovery and a widening budget deficit triggered a slide in local stocks.

G-8's Economic Dominance Faces Challenge From China, India, South Africa Leaders of developing countries confronted advanced nations with a demand for a greater role in the management of the global economy, signaling the drift in power away from the financially distressed West.

Five-Year Bonds Post Weekly Loss as Government Raises Debt-Sale Target 25% India’s five-year bonds completed their first weekly decline in a month after the government raised its annual debt-sale target by 25 percent to a record to bridge a budget deficit that’s set to reach a 16-year high.

Iron Ore Prices May Extend Gains on Supply Drop, Rio China Inquiry Concern Cash prices of iron ore shipped into China rose as much as 5 percent this week, and may extend gains as some suppliers cut sales and concerns rise about a possible crackdown on traders in the world’s biggest buyer.

Asian Stocks Post Second Weekly Decline; Sapporo, Mining Companies Advance Asian stocks fell for a second weekly drop as declines among shipping companies and Japanese property developers offset gains by consumer and mining shares.

Consumer Sentiment in U.S. Falls More Than Forecast on Rising Joblessness Sentiment among U.S. consumers, whose spending is critical to an economic recovery, dropped in July after four months of gains as unemployment approached 10 percent.

U.S. Stocks Drop as Confidence Report Adds to Concern Recovery Faltering U.S. stocks dropped, sending the Standard & Poor’s 500 Index toward a fourth straight weekly retreat, as a deeper-than-estimated slide in consumer confidence added to concern the economic recovery will be delayed.

New GM Emerges From Remains of Bankrupt Automaker as Asset Sale Completed General Motors Co., a new company majority-owned by the U.S. government, emerged from the remains of bankrupt General Motors Corp. by taking over the best assets of the biggest U.S. automaker.

El-Erian Says Geithner Shares `A' With Bernanke for Effort, `B' for Result Mohamed El-Erian, chief executive officer of Pacific Investment Management Co., gives Timothy Geithner and Ben S. Bernanke an “A” for their efforts to revive credit markets.

UBS, Jefferies Resolve Lawsuit Over Lorello's Alleged Health Group `Raid' UBS AG, the largest Swiss bank by assets, and Jefferies Group Inc. said they “amicably resolved” a lawsuit in which UBS accused Jefferies of raiding the company for 36 bankers led by Benjamin Lorello.

Goldman Sachs Reverts to Pre-Lehman Risk Mean With Accelerating Earnings Goldman Sachs Group Inc. is poised to report the largest profit since it set earnings records in 2007, marking the return of a business model that was the envy of Wall Street before the financial crisis devastated competitors and spurred a government bailout.

Pimco, World's Biggest Bond Fund, Says Avoid Japan's Debt at Your Own Risk Pacific Investment Management Co., which runs the world’s largest bond fund, said investors who avoid Japanese government debt may miss out on a rally.

source: Bloomberg

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