Global Stocks Decline on Mortgage Concern, Paced by UBS, BNP, Macquarie

(Bloomberg) -- Stocks in Europe and Asia fell,
following a drop in the U.S. last week, as concern mounted that
losses in the U.S. mortgage market will erode economic growth and
raise financing costs for companies.

UBS AG and BNP Paribas SA led a decline by financial shares
in Europe, while Macquarie Bank Ltd. and Mizuho Financial Group
Inc. paced falling shares in Asia. Royal Philips Electronics NV
and Lafarge SA decreased as the dollar traded near a record low
against the euro. BHP Billiton Ltd. and Rio Tinto Group declined
after copper fell in Shanghai.


Read more at Bloomberg Stocks News

Platinum Futures Fall in Tokyo on Rising Yen, Concern That Demand May Slow

(Bloomberg) -- Platinum futures fell in Tokyo as a
rising Japanese currency reduced the appeal of buying yen-
denominated contracts for the dollar-priced metal, and as
a slump in world stocks raised concern that demand may drop.

The yen rose to 117.19 to the dollar, the highest since
March 29, on signs losses related to U.S. subprime mortgages are
starting to slow growth of the world's largest economy. Asian
stocks fell after the Standard & Poor's 500 Index had its biggest
three-week decline since 2003.


Read more at Bloomberg Commodities News

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

(Bloomberg) -- Japanese stocks declined, led by Canon
Inc. and Sony Corp., 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

New Zealand Dollar May Fall as Housing Woes Spur Exit From Risky Bets

(Bloomberg) -- The New Zealand dollar may decline
today as concerns return about the U.S. subprime mortgage market,
deterring traders from riskier investments such as the carry
trade.

The trade, where investors borrow cheaply in yen to invest
in higher-yielding assets elsewhere, has seen the currency gain
25 percent against the yen in the past year, with investors
lured to the nation's record 8.25 percent benchmark rate. U.S.
stocks dropped Aug. 4 after Samuel Molinaro, chief financial
officer at Bear Stearns Cos. called the current crisis in fixed-
income the worst ever.


Read more at Bloomberg Currencies News

BA profit rise beats forecasts, warns on revenues

(Reuters) - LONDON, Aug 3 - British Airways posted a 28 percent rise in quarterly operating profit on Friday to beat analysts' forecasts, but warned a weak dollar and soaring fuel prices would slow full-year revenue growth and raise costs.



Earnings before interest and taxes for the three months to end-June rose to 263 million pounds , BA said in a statement to the London Stock Exchange.


Read more at Reuters.com Market News

Vallourec Q2 earnings ahead of expectations

(Reuters) - The average forecast by seven analysts in a Reuters poll was
for second quarter sales of 1.498 billion euros, an EBITDA
operating profit of 445 million and a net profit of 245 million.
The net profit rose 7.5 percent to 257.7 million.
Vallourec said it expected a sales rise of between 7 and 10
percent in the second half while the gross operating margin in
the second half should be close to that of the first half,
before taking into account seasonal effects such as maintenance
expenses seen at 40 million euros for the year.




It added that a further weakening of the dollar would reduce
the contributions of non-European units in group results.


Read more at Reuters.com Market News

Dollar steadies but credit market worries linger

(Reuters) - The dollar steadied on Tuesday as a rise in U.S. stocks overnight eased some fears about deteriorating credit markets as market players awaited U.S. data for clues on the Federal Reserve policy outlook.

Concerns linger that a further slump in credit and equity markets may prompt investors to continue to cut risky positions like carry trades -- borrowing low-yielding currencies such as the yen to buy higher-yielding assets.


Read more at Reuters Africa

Euro Advances Against Yen, Dollar as Stocks Rise, Investors Return to Risk

(Bloomberg) -- The euro gained the most in six weeks
against the yen as a recovery in stock markets lured investors to
riskier assets.

The euro rose against the dollar as Asian and European
equities rebounded, prompting investors to buy higher-yielding
assets with borrowings in Japan, which has the lowest interest
rate among major economies. The yen also retreated today as a
technical indicator signaled the currency's rally last week was
too fast.


Read more at Bloomberg Currencies News

Yen May Rise to 116 as Abe Clings On as Prime Minister, Deutsche Bank Says

(Bloomberg) -- The yen may rise to a four-month high
of 116 per dollar as Japanese Prime Minister Shinzo Abe will
remain in office after his ruling coalition lost its majority in
upper house elections, according to Deutsche Securities.

Abe's decision to retain his post lessens political
instability that may have forced the Bank of Japan to delay an
interest-rate increase next month. The government is likely to
avoid raising sales taxes and close the income gap to appease
opposition parties, supporting consumer spending and the currency.


Read more at Bloomberg Currencies News

New Zealand Dollar Is Overvalued, Will Decline, Agriculture Minister Says

(Bloomberg) -- The New Zealand dollar, the best
performer of 16 major currencies against the dollar in the past
year, is over-valued and will eventually decline, Agriculture
Minister Jim Anderton said today.

``There is no question it is overvalued,'' Anderton said in
e-mailed notes for a speech in Christchurch. ``A lot of the hot
money coming in here thinking it won't decline, will eventually
get burned because the dollar will, sooner or later, return to
more normal levels.''


Read more at Bloomberg Commodities News

New Zealand Dollar Falls to Four-Week Low, Investors Avoid Carry Trade

(Bloomberg) -- The New Zealand dollar fell to a
four-week low as falling global stock markets and U.S. subprime
mortgage losses prompted investors to avoid riskier assets.

The currency, known as the kiwi, is a favorite for the
carry trade, where investors borrow cheaply in yen to put their
funds in countries that offer higher yields. New Zealand's
record 8.25 percent benchmark interest rate is 7.75 percentage
points more than Japan's, luring traders to the higher returns
offered by the nation's fixed income assets.


Read more at Bloomberg Currencies News

Mexico stocks end up, rebound from sharp losses

(Reuters) - The benchmark IPC stock index added 238.57 points to
finish at 30,235.17 points. The index had plunged 3.56 percent
on Thursday.




The peso firmed 0.28 percent to close at 10.96 per
dollar after the Mexican central bank kept interest rates
steady at a monthly monetary policy review.


Read more at Reuters.com Bonds News

Platinum Falls Most in Eight Months on Stronger Dollar; Palladium Declines

(Bloomberg) -- Platinum fell the most in eight
months in New York as the dollar strengthened, reducing the
metal's appeal as an alternative investment. Palladium also
dropped.

Platinum is traded mostly in dollars, which rose to a two-
week high against the euro, making the metal more expensive for
holders of the European currency. U.S. stocks extended
yesterday's drop, the biggest in five months, as investors
shunned riskier investments in favor of bonds.


Read more at Bloomberg Commodities News

Pound Posts Weekly Decline Versus Dollar as Investors Shun Risk, on Carry

(Bloomberg) -- The pound snapped a six-week rally
against the dollar as global stocks slumped and investors pared
so-called carry trades on concern U.S. subprime mortgage defaults
will slow growth.

The U.K. currency slid for a third day against the dollar,
falling from a 26-year high, as investors unwound purchases of
assets funded by borrowing in Japan and Switzerland, which have
the lowest rates among major economies. The pound this week fell
almost 4 percent against the yen, the most in five months.


Read more at Bloomberg Currencies News

Gold Heads for Weekly Decline in London on Dollar Rebound; Silver Drops

(Bloomberg) -- Gold fell in London, heading for the
biggest weekly decline in more than four months, as gains in the
dollar reduce demand for the metal as an alternative investment.
Silver also dropped.

Gold has declined 3.3 percent this week after the dollar
headed for the first weekly advance in seven against the euro.
European central banks have sold about two-thirds of the bullion
allowed under an agreement that runs through Sept. 26, World Gold
Council figures show.


Read more at Bloomberg Commodities News

Dollar Rebounds as U.S. Stock-Index Futures Advance Before GDP Report

(Bloomberg) -- The dollar rebounded against the yen
and the euro as stock markets gained before a report expected to
show U.S. economic growth accelerated in the second quarter.

The dollar may trim this month's 1.8 percent decline versus
the euro as the Commerce Department will probably say the economy
expanded at an annualized 3.2 percent rate, the fastest in more
than a year, according to a Bloomberg survey. U.S. stock-index
futures rose and European stocks erased earlier losses.


Read more at Bloomberg Currencies News

UPDATE 1-S.Korea Kia's Q2 beats fcast; H2 outlook tough

(Reuters) - Yet Kia's second-half outlook is weighed down as sales are
unlikely to pick up significantly and as a strong won may
keep denting sales of the company, which sells about 80 percent
of its vehicles overseas.




But Kia's Slovakia factory and the won's weakness against the
euro may reduce the impact of the won's rise versus
the dollar.


Read more at Reuters.com Market News

Yen Strengthens as Equities Decline, Prompting Unwinding of Carry Trades

(Bloomberg) -- The yen rose against all 16 of the
most actively traded currencies as global equities fell and
traders bought back yen used to finance investments in other
countries.

Japan's currency rose to an almost three-month high against
the dollar, 2.2 percent against the New Zealand dollar and 1.2
percent against the pound. The 10-year swap spread, a gauge of
what companies pay over benchmark lending rates, rose to 73.75
basis points, the highest since February 2002.


Read more at Bloomberg Currencies News

Yen Rises as Stocks Decline, Prompting Unwinding of Carry Trades

(Bloomberg) -- The yen rose to the highest in a
month against the euro and gained versus the dollar as declines
in European stocks and U.S. stock-index futures prompted
investors to unwind carry trades.

The Japanese currency rose to 164.83 per euro as of 7:08
a.m. in New York, from 165.34 late yesterday. It also rose to
120.16 against the dollar, from 120.50, approaching a 2 1/2-month
high of 119.81 reached July 25.


Read more at Bloomberg Currencies News

CEVA revises $1.4 bln high-yield note sale -lead

(Reuters) - All of the notes are available in euros and dollars. Price
guidance is due later on Thursday, with pricing expected early
next week, the bank said.




Credit Suisse, Goldman Sachs, Morgan Stanley, Bear Stearns,
UBS, JP Morgan and ABN AMRO are managing the sale.


Read more at Reuters.com Bonds News