Tag Archives: business

Italy to reopen trade office in Karachi, Pakistan.

BY MUBARAK ZEB KHAN

ISLAMABAD: Italy has assured to support Pakistan’s case for continuation of GSP-plus scheme during the first review expected next month.

Answering a question, Italian Trade Commissioner and Chairman of the Italian Trade Promotion Agency Riccardo Monti said his government will press for continuation of the Generalised System of Preferences Scheme for Pakistan.

Speaking at a press conference, he said that his government intends to deepen business relations with Pakistan. Italy has also decided to reopen its trade commission in Pakistan, he added.

The commission is scheduled to start work in early January 2016, it was announced.

It will be reopened in Karachi, while the Italian government will reinforce its trade office in the embassy at Islamabad.

The Italian trade commissioner is visiting Islamabad for meetings with Pakistani top officials and businessmen to explore business avenues.

Read more » DAWN
See more » http://www.dawn.com/news/1227076/

Bernie Sanders Is Really Not Impressed With Hillary Clinton’s Plan For Wall Street

This is the moment when things got heated.

By Associate Politics Editor, The Huffington Post

Sen. Bernie Sanders (I-Vt.) was not impressed by former Secretary of State Hillary Clinton’s plan to regulate Wall Street.

“I’ve laid out a very aggressive plan to rein in Wall Street, not just the big banks; that’s a part of the problem and I am going right at them, I’ve got a tough plan,” Clinton said, going on to explain how the government needed to regulate the “shadow banking industry” such as hedge funds, insurance companies and investment banks.

Read more » The Huffington Post
See more » http://www.huffingtonpost.com/entry/bernie-sanders-hillary-clinton-wall-street_5647f6cee4b08cda34892850?ncid=fcbklnkushpmg00000013&section=politics

A high-speed rail from L.A. to Las Vegas? China says it’s partnering with U.S. to build

For decades private developers and entrepreneurs have periodically announced bold plans to run high-speed trains between Las Vegas and Los Angeles.

None have gotten anywhere because they lacked money or suffered other setbacks.

On Thursday, however, one long-discussed proposal appeared to gain some intriguing support.

Officials for XpressWest, which has been unable to secure adequate private investors in the United States or a $5.5-billion federal loan, announced that it had formed a partnership with China Railway International USA, a consortium led by China Railway, the national railroad of the People’s Republic of China.

Details about the joint venture, the proposed project and its financing were unavailable Thursday, except China Railway International stated that it would provide initial capital of $100 million. Project officials say they are confident construction could begin as early as September 2016.

XpressWest, a private company formerly called DesertXpress, has been talking about its high-speed rail project since at least 2007. Plans have called for a 185-mile route that would run adjacent to heavily-traveled Interstate 15 from Las Vegas to Victorville, 85 miles northeast of downtown Los Angeles.

Chinese officials now describe the project as a 230-mile route with an additional stop in Palmdale and eventual service throughout the Los Angeles area using some of the same track that would be used by the publicly backed California high-speed rail project.

Federal railroad records indicate that XpressWest has already secured approvals and permits from a number of federal agencies for the 185-mile route. Additional permits, approvals and environmental analysis would be needed for the 230-mile proposal.

“As China’s first high-speed railway project in the United States, the project will be a landmark in overseas investment for the Chinese railway sector and serve as a model of international cooperation,” Yang Zhongmin, chairman of China Railway International, told the state-run Xinhua News Agency.

Chinese officials disclosed the joint venture during a news conference in Beijing. XpressWest representatives also issued a brief statement on their website, but declined to comment until additional regulatory approvals are obtained.

The announcements of cooperation come just days before Chinese President Xi Jinping’s state visit to the United States.

Read more » Los Angeles Times
See more » http://www.latimes.com/local/lanow/la-me-ln-vegas-la-chinese-high-speed-rail-20150917-story.html?utm_source=dlvr.it&utm_medium=twitter

Global shares nosedive on China woes

FTSE 100 and European markets rattled by losses in China

Stock markets in London, Paris and Frankfurt have fallen sharply as fears of a Chinese economic slowdown continue to haunt investors.

London’s FTSE 100 index was down by 4% in early afternoon trade, with major markets in France and Germany down by 4.6% and 4.4% respectively.

Shares in Asia were hit overnight, with the Shanghai Composite in China closing down 8.5%, its worst close since 2007.

Global investors worry about growth in the world’s second largest economy.

China’s central bank devalued the country’s currency, the yuan, two weeks ago, raising fresh concerns that a slowdown in the country’s economy was worse than originally feared.

Currencies and commodities are also falling sharply, because those markets rely heavily on strong demand from China.

Read more » BBC
See more » http://www.bbc.com/news/business-34038147

Putin: Let’s trade in BRICS currencies

President Vladimir Putin says Russia is interested in using national currencies with other BRICS members after agreeing on such an arrangement with China.

He made the announcement after meeting leaders of Brazil, Russia, India, China and South Africa in Ufa in the Urals for a summit of BRICS nations.

“I think that such development with India, Brazil and South Africa would be interesting and could no doubt lift the level of trade turnover,” Putin said.

The BRICS accounts for almost half the world’s population and about one-fifth of global economic output. Member states have established the New Development Bank with an initial capital of $100 billion and an additional pool of $100 billion currency reserves.

“A pool of nominal currency reserves, with capital of $100 billion, will give us an opportunity to react to financial market fluctuations in a timely and appropriate manner,” Putin said.

The Russian leader said the new development bank will begin financing energy projects next year.

“The New Development Bank will be financing large-scale transport and energy projects and industrial development,” he said.

Economists see the new bank as a challenge to the domination of the World Bank and the International Monetary Fund which are under the US influence.

Putin said BRICS nations will work out a roadmap for investment cooperation by the end of the year when the first projects will be launched.

Read more » Press Tv
See more » http://www.presstv.ir/Detail/2015/07/10/419593/brics-summit-putin-russia-sco-currency

Canada’s economy shrinks for fourth month, raising spectre of recession

By Gordon Isfeld

OTTAWA — Canada’s economy began the second quarter of 2015 the same way it finished the previous three-month period, continuing to contract as the collapse of oil prices squeezed output in the energy sector and the hoped-for turnaround in manufacturing again failed to materialize.

That will be discouraging news for the Bank of Canada, which has been looking for signs of a rebound in this country and in the United States after a harsh winter start to the year — greatly aggravated by the plunge in crude and an uncertain global economy.

Statistics Canada said gross domestic product — the widest measure of goods and service produced the country — declined 0.1 per cent in April. That was the fourth straight monthly contraction in the economy. The last time output declined over that many months was between November 2008 and May 2009, at the tail end of the recession.

Most economists had forecast 0.1 per cent growth in April.

Canadian GDP shrinks four months in a row

Read more » Financial Post
See more » http://business.financialpost.com/news/economy/canadas-economy-shrinks-again-raising-spectre-of-recession

India to plant 2 BILLION trees along its highways, creating jobs for 300,000 youths

By Michael Graham Richard (@Michael_GR),

India’s Rural Development Ministry has decided to try to tackle two problems at the same time: Youth unemployment and bad air quality. It has unveiled a plan to hire youths – potentially up to 300,000 – to plant 2 billion trees along the country’s highways.
“The length of National Highways in the country is one lakh kilometer [about 62,137 miles]. I have asked officials to come out with a plan to plant 200 crore [2 billion] trees along these stretches which in turn would create jobs for the unemployed on the one hand and protect the environment on the other,” said Shipping and Rural Development Minister Nitin Jairam Gadkari.

Read more » Tree Hugger
See more » http://www.treehugger.com/environmental-policy/india-plant-2-billion-trees-along-its-highways.html

Putin ratifies BRICS $100bn currency pool deal

Russian President Vladimir Putin has ratified a deal to establish a $100 billion foreign currency reserve pool for the BRICS group. The pool’s purpose is to protect national currencies from volatility in global markets.

The document was “to ratify the treaty on the establishment of a pool of foreign exchange reserves of the BRICS.”

On Wednesday the deal was ratified by Russia’s upper house of Parliament, the Federation Council. According to the deputy head of the Federal Council Committee for Budget and Financial Markets, Sergey Ivanov, the currency pool will primarily support the balance of payments of the BRICS member states.

“Realization of the agreement will also contribute to the effective protection of the national currencies against the volatility in the world currency markets,” Ivanov said.

The goal of the pool is so that BRICS member states can urgently replenish their liquidity from it in different proportions to resolve problems with their balance of payments.

China will make the biggest contribution to the pool – $41 billion. Russia, Brazil and India will donate $18 billion each, while South Africa’s investment will be $5 billion.

The fund is expected to be maintained by a managing council, a permanent committee and a coordinator who will be from the country of the current president.

In July Russia, Brazil, India, China and South Africa signed the document to a reserve currency pool worth over $100bn as well as $100bn BRICS Development Bank

BRICS represents 42 percent of the world’s population and roughly 20 percent of the world’s economy based on GDP, and 30 percent of the world’s GDP based on PPP, a more accurate reading of the real economy. Total trade between the countries is $6.14 trillion, or nearly 17 percent of the world’s total.

News courtesy: http://rt.com/business/255141-putin-brics-pool-currency/

Investing with confidence: Chinese say their money is safe in Pakistan

By Shahram Haq

ISLAMABAD: Chinese businessmen have said investments they are putting in Pakistan are safe as both the countries enjoy excellent relations at government and public level.

“The global investments we make in any country depend on the nature of relationships between China and the particular country,” said Orient Evertrust Capital Group’s Chairman Jiang Xue Ming, while talking with The Express Tribune.

“Since Pakistan and China have excellent relationships, so we feel our investments in this country are completely safe,” he added.

A group of Chinese investors is currently in Islamabad as the Chinese president is arriving in Pakistan today (Monday) to sign some 50 different accords worth $46 billion, majority of which are energy based.

Read more » The Express Tribune
See more » http://tribune.com.pk/story/872766/investing-with-confidence-chinese-say-their-money-is-safe-in-pakistan/

Toyota to move Corolla production from Canada to Mexico to cut costs

Toyota to move Corolla production to Mexico to cut costs

(Reuters) – Toyota Motor Corp 7203.T, the world’s biggest automaker, plans to move production of its Corolla compact cars to a new factory in Mexico from Canada to benefit from lower costs, the Globe and Mail reported, citing sources familiar with the situation.

Costs at Toyota’s assembly plants at Cambridge and Woodstock in Ontario are higher than at its U.S. factories and it makes sense to produce the more expensive vehicles in Canada, the newspaper quoted sources familiar with the matter as saying.

Sources told Reuters that Toyota will spend $1 billion to build a car factory in Mexico, which is expected to begin functioning from the summer of 2019, ending a self-imposed three-year freeze on new investments. Toyota also plans to announce a new car factory in Guangzhou, China, this week.

Continue reading Toyota to move Corolla production from Canada to Mexico to cut costs

Toronto becomes first renminbi (Yuan) trading hub in North America

Direct exchange hub could smooth way for businessess doing deals in China

By Pete Evans, CBC News

After stock markets closed on Monday, Toronto became the first trading hub in North America for China’s currency, known as the renminbi or yuan.

Chinese government dignitaries, Federal Finance Minister Joe Oliver and his Ontario compatriot Charles Sousa attended a ceremony in Toronto Monday evening to formally announce the first conversion from yuan to Canadian dollars.

The announcement makes Toronto the first such trading hub in the Americas that has permission to be a clearinghouse for Chinese renminbi (which means “people’s money” in Chinese). There are currently only a handful of such hubs outside China, including Paris, London, Moscow, Singapore, Tokyo, Seoul and Sydney, Australia.

In practical terms, such hubs make it easier to do business with China because without one, Chinese money has to first be converted into a currency like the U.S. dollar before being again converted into loonies to make investments here, or even pay for supplies.

“What the hub does is it provides the potential to get a good price,” says David Watt, the chief economist of HSBC. “It sets up a way for Canadian businesses to call their local banker and say “we’ve got a deal to import Chinese material and we’d like to pay for it in RMB not U.S. dollars.”

The hub eventually will allow people on both sides to take out that middle man and convert renminbi directly into Canadian dollars and vice versa. “It should give Canadian businesses the confidence to increase trade.”

Read more » CBC
See more » http://www.cbc.ca/news/business/toronto-becomes-first-renminbi-trading-hub-in-north-america-1.3005726

Catching the dragon

IN RECENT weeks, economists at the World Bank, the International Monetary Fund and Goldman Sachs, a bank, have tentatively suggested that within a year or two, India’s economy might be growing more quickly than China’s. The day came sooner than they had imagined. Official statistics published on February 9th revealed that India’s GDP rose by 7.5% in 2014, a shade faster than China’s economy managed over the same period (see chart). Narendra Modi, India’s publicity-savvy prime minister, could scarcely have hoped for a better endorsement of his first few months in office.

Read more » The Economist
See more » http://www.economist.com/news/business-and-finance/21642656-indias-economy-grew-faster-chinas-end-2014-catching-dragon?fsrc=scn/tw/te/bl/catchingthedragon

India: Robots to Deliver Pizza? Mumbai Outlet Successfully Tests Drone Delivery

By  

Last week, a four-rotor unmanned drone took off from a pizza outlet in the populated Lower Parel area of Mumbai, as part of a test mission to deliver pizza to Worli, which it successfully accomplished.

Read more » International Business Times
http://www.ibtimes.co.in/2000-drone-delivers-pizza-mumbai-this-first-india-600748

More details » BBC urdu
http://www.bbc.co.uk/urdu/regional/2014/05/140523_india_drone_pizza_police_ra.shtml

Canada surprises with April jobs loss: Canada’s economy lost 28,900 jobs

flagCaCanada surprises with April jobs loss; trails U.S. employment pace

By Louise Egan

OTTAWA, May 9 (Reuters) – Canada’s economy lost 28,900 jobs in April, Statistics Canada said on Friday in a report that revealed across-the-board weakness in a labor market that is stalled and has been adding jobs at a more sluggish pace than in the United States.

The report suggests economic growth has not been gathering the speed that was expected in the second quarter and that business confidence is still shaky.

Read more » Reuters
http://www.reuters.com/article/2014/05/09/canada-economy-jobs-idUSL2N0NU26Y20140509?feedType=RSS&virtualBrandChannel=11563

The New York Times – A Return to a World Marx Would Have Known

Doug Henwood is editor of Left Business Observer, host of a weekly radio show originating on KPFA, Berkeley, and is author of several books, including “Wall Street: How It Works and For Whom” and “After the New Economy.”

I don’t see how you can understand our current unhappy economic state without some sort of Marx-inspired analysis.

Here we are, almost five years into an officially designated recovery from the worst downturn in 80 years, and average household incomes are more than 8 percent below where they were when the Great Recession began, and employment still 650,000 short of its pre-recession high.

Though elites are prospering, for millions of Americans, it’s as if the recession never ended.

How can this all be explained? The best way to start is by going back to the 1970s. Corporate profitability — which, as every Marxist schoolchild knows, is the motor of the system — had fallen sharply off its mid-1960s highs. Stock and bond markets were performing miserably. Inflation seemed to be rising without limit. After three decades of seemingly endless prosperity, workers had developed a terrible attitude problem, slacking off and, quaintly, even going out on strike. It’s no accident that Johnny Paycheck scored a No. 1 country hit with “Take This Job and Shove It” in 1977 — utterly impossible to imagine today.

This is where Marx begins to come in. At the root of these problems was a breakdown in class relations: workers no longer feared the boss. A crackdown was in order.

And it came, hard. In October 1979, the Federal Reserve began driving interest rates toward 20 percent, to kill inflation and restrict borrowing, creating the deepest recession since the 1930s. (It was a record we only broke in 2008/2009). A little over a year later, Ronald Reagan came into office, fired the striking air-traffic controllers, setting the stage for decades of union busting to follow. Five years after Johnny Paycheck’s hit, workers were desperate to hold and/or get jobs. No more attitude problem.

The “cure” worked for about 30 years. Corporate profits skyrocketed and financial markets thrived. The underlying mechanism, as Marx would explain it, is simple: workers produce more in value than they are paid, and the difference is the root of profit. If worker productivity rises while pay remains stagnant or declines, profits increase. This is precisely what has happened over the last 30 years. According to the Bureau of Labor Statistics, productivity rose 93 percent between 1980 and 2013, while pay rose 38 percent (all inflation-adjusted).

The 1 percent got ever-richer and more powerful. But there was a problem: a system dependent on high levels of mass consumption has a hard time coping with the stagnation or decline in mass incomes.The development of a mass consumer market after Marx died, with the eager participation of a growing middle class, caused a lot of people to say his analysis was obsolete. But now, with the hollowing out of the middle class and the erosion of mass purchasing power, the whole 20th century model of mass consumption is starting to look obsolete.

Borrowing sustained the mass consumption model for a few decades. Non-rich households borrowed to buy cars, buy food, pay medical bills, buy ever-more-expensive houses, and so on. Conveniently, rich households had plenty of spare cash to lend them.

That model broke apart in 2008 and has not — and cannot — be revived. Without the juice provided by spirited borrowing, demand remains constricted and growth rates, low. (See also: Europe.)

Raising the incomes of the bottom 90 percent of the population through higher wages and public spending initiatives — stifled since Reagan starting putting the squeeze on them — could change that. But the stockholding class has resisted that, and they have a lot of political power.

And an extraordinarily lopsided economy is the result. We didn’t expect that the 21st century would bring about a return of the 19th century’s vast disparities, but it’s looking like that’s just what’s happened.

Courtesy: The New York Times
http://www.nytimes.com/roomfordebate/2014/03/30/was-marx-right/a-return-to-a-world-marx-would-have-known?smid=fb-share

Military blocking Pakistan-India trade deal, says Shahbaz Sharif

Security networks’ distrust of increased business dealings is counter-productive, warns Pakistani PM’s brother

By in Lahore and in Delhi, theguardian.com

The powerful brother of Pakistan‘s prime minister has warned the military establishments of both India and Pakistan not to block efforts to sweep aside trade barriers between the two distrustful neighbours.

On Indian affairs Shahbaz Sharif, the chief minister of Punjab, is widely seen as the de facto Pakistani foreign minister, conducting diplomatic missions to Delhi on behalf of his brother Nawaz Sharif, the prime minister.

But speaking to the Guardian he warned that distrustful “security agencies” in both Pakistan and India were one of the two main “blockages” holding back plans to liberalise trade, which the Sharifs believe will provide a desperately needed boost to Pakistan’s moribund economy.

“Security agencies on both sides need to really understand that in today’s world, a security-led vision is obviously driven by economic security,” he said. “Unless you have economic security then you can’t have general security.”

While the Sharif brothers, in common with most mainstream politicians in Pakistan, are impatient for a rapprochement with India, the military is far more wary.

Read more » theguardian
http://www.theguardian.com/world/2014/feb/13/military-block-pakistan-india-trade-deal-sharif

Canada’s labour pain: 1.3 million jobless

Canada’s labour pain: 1.3 million jobless, but not enough skills

By TAVIA GRANTECONOMICS REPORTER, The Globe and Mail

Some companies may be having a tough time finding suitable new hires – but Canada’s problem, at least right now, is not a labour shortage.

For all the hue and cry about shortages, it’s tough to find hard data to support the claims. The number of job vacancies, at last count, are at the same level as a year ago and so is the ratio of unemployed people to job openings. The Bank of Canada’s business outlook survey shows shortages are far less acute than before the recession. And while the jobless rate has fallen in recent months, 1.33 million Canadians are out of work, a higher number than before the downturn (it was 1.11 million in October, 2008).

Read more » THE GLOBE AND MAIL
http://www.theglobeandmail.com/report-on-business/economy/economy-lab/canadas-labour-pain-13-million-jobless-but-not-enough-skills/article10595715/

Pakistan – Drowned, sinking deeper in debt

By: HUZAIMA BUKHARI AND DR IKRAMUL HAQ

Pakistan, drowned deep in debt, is sinking deeper and deeper with each passing moment. The situation, if not remedied on a war footing, will eventually lead the country to an economic collapse. During the last three months, the debt burden has soared by Rs 980 billion – an unprecedented increase pushing the total domestic debt up to Rs 15 trillion. This does not include borrowing from the International Monetary Fund (IMF) to avert a serious balance of payment crisis. The Muslim League Nawaz (PML-N) was very critical of the Pakistan People’s Party (PPP) government for increasing the debt burden of the country by 100% in five years, but its own record during three months is more deplorable – adding Rs 11 billion a day is awfully gruesome!

On 30th June 2013, the federal government’s total domestic debt was Rs 14 trillion which as of today stands at Rs 15 trillion. Increase of one trillion in three months is terrifying. The total debt burden-internal Rs 15 trillion and external $62 billion-is not debated in the Parliament. The members seem more obsessed about arguing whether Hakimullah Mehsud, killed in a drone attack, is a martyr or not. For them drone attacks are violation of sovereignty but begging from USA, its allies and international donors is a matter of honour! One needs to remind them Allama Iqbal’s famous verse:

Taqdeer Ke Qazi Ka Ye Fatwa Hai Azal Se/ Hai Jurm-e-Zaeefi Ki Saza Marg-e-Mafajat!

[T’is the immutable decree of the Judge of destinies- That weakness is a crime, punishable by death].

Nobody in the National Assembly or Senate is worried about erosion of our resources consumed largely by debt servicing and how to come out of ‘debt prison’ that is main cause of political subjugation. They are wasting words and energies on non-issues.

Continue reading Pakistan – Drowned, sinking deeper in debt

New rail line from China to Germany

Responding to rising trade volumes, Zhengzhou, a business and logistic center in Central China, has started rail service to Hamburg, Germany.

The train takes 18 days to make the 10,214-kilometer trip, but that’s more than twice as fast as maritime transport. It can also effectively save 80 percent of the cost compared with air shipments, and it’s about $489 cheaper on average compared with road transportation, which is a major incentive for the Eurasian Land Bridge, also dubbed New Silk Road.

The route reaches Germany via Kazakhstan, Russia, Belarus and Poland. Zhengzhou International Inland Port Development Co Ltd is responsible for cooperating with  rail companies in each country.

Read more » CHINA DAILY
http://usa.chinadaily.com.cn/epaper/2013-07/19/content_16800881.htm

MIT recognises Pakistani as one of world’s brilliant minds

KARACHI: All our dreams can come true, if we have the courage to pursue them, says Walt Disney.

Disney’s quote, perhaps, best explains the success story of Farhan Masood, who has been recognised as one of the world’s brilliant minds by Massachusetts Institute of Technology earlier this year for his product – world’s fastest retina and face scanner algorithm called SmartXS.

Masood’s dream – to build a Pakistani product and turn it into a global one – came true this year after he won the MIT Business Acceleration Plan contest, a highly competitive annual event whose objective is to help Pakistani IT, ITES, telecom and new media companies improve their business.

Of the 165 participants that compete in this contest, some members of top teams also get a chance to attend an entrepreneurship development programme at MIT in Cambridge, USA.

After a winning performance in the contest, Masood joined the list of MIT alumni. He has just returned after attending a course at MIT, one of the world’s best educational institutes. Those who attended this programme previously had benefited a great deal.

According to Pakistan Software Export Board’s website, some of the companies that participated in this programme saw their revenues grow by 5 to 10 times and valuation increase by 15 times. Giving the example of Sofizar, the PSEB’s website stated that the company’s revenue increased from less than $1 million to $30 million in two and a half years.

Continue reading MIT recognises Pakistani as one of world’s brilliant minds

Indo-Pak: An Indian retailer formally opens its first shop in Pakistan

Indo PakFlagship Indian retailer opens in Pakistan

By AFP

SINDH – KARACHI: Raymond, an Indian suiting and fabrics conglomerate, will on Friday formally open its first shop in Pakistan, where business leaders welcomed it as a step towards closer trade ties between the two countries.

NexSource Pakistan, which acquired the rights to sell Raymond suiting in Clifton, one of the most upscale neighbourhoods in business capital Karachi, said it was a major acquisition.

“They wanted to bring Raymond to Pakistan and we offered to be their partner,” said one of its directors, Najmus Saqib.

Nexsource say they expect to reap good business after an aggressive advertising campaign in a city whose wealthier residents are sartorially obsessed and where fashion is a key driver of business.

“People are crazy about clothing and dressing, and they already know Raymond,” Saqib said. “We just have to let them know that it is here.”

NexSource executive Saqib said he believed the enormous Indian market represented massive business opportunities for Pakistan.

Read more » DAWN
http://dawn.com/news/1019784/flagship-indian-retailer-opens-in-pakistan

The Real Numbers: Half of America in Poverty — and It’s Creeping toward 75%

The Census Bureau has reported that one out of six Americans lives in poverty. A shocking figure. But it’s actually much, much worse.

The Census Bureau has reported that one out of six Americans lives in poverty. A shocking figure. But it’s actually much worse. Inequality is spreading like a shadowy disease through our country, infecting more and more households, and leaving a shrinking number of financially secure families to maintain the charade of prosperity.

1. Almost half of Americans had NO assets in 2009

Analysis of  Economic Policy Institute data shows that Mitt Romney’s famous  47 percent, the alleged ‘takers,’ have taken nothing. Their debt exceeded their assets in 2009.

Continue reading The Real Numbers: Half of America in Poverty — and It’s Creeping toward 75%

Pak-Japan bilateral relations with focus on promoting trade and investment ties

Japanese Ambassador calls on the President

Islamabad; May 24, 2013: Japanese Ambassador in Pakistan Mr. Hiroshi Oe today called on President Asif Ali Zardari at the Aiwan-e-Sadr. Pak-Japan bilateral relations with focus on promoting trade and investment ties between the two countries were discussed during the meeting.

Courtesy: http://mediacellppp.wordpress.com/2013/05/24/japanese-ambassador-calls-on-the-president/?utm_source=twitterfeed&utm_medium=facebook

via Facebook

U.S. Bonds Cheapest Since 1990

U.S. Bonds Cheapest Since ’90 Versus Bunds Counter Buffett

By Cordell Eddings

The longest decline in Treasuries this year has left U.S. government debt the cheapest since March 2011 when measured by real yields and the best relative value compared with German bunds in more than two decades.

After inflation, 10-year U.S. notes yielded 0.91 percent last week, or 1.77 percentage points more than real yields on U.K. gilts, the widest spread in 25 months. Versus Germany, the securities are the least costly in 23 years when adjusted for the recent record-low interest rates around the world that distorted the normal relationship, according to FTN Financial.

Federal Reserve Chairman Ben S. Bernanke is counting on Treasuries to contain borrowing costs as the central bank buys $85 billion a month in securities to sustain the economic recovery that lifted U.S. consumer confidence to the highest in almost six years. The better relative yield for U.S. bonds may help bolster demand even as Warren Buffett said this month that he pitied fixed-income investors because of about record-low interest rates.

Read more » Bloomberg
http://www.bloomberg.com/news/2013-05-19/u-s-bonds-cheapest-since-90-versus-bunds-counter-buffett-pity.html

Canadian dollar falls after highest job losses since recession 4 years ago

Canadian Dollar Tumbles After Unexpected March Employment Loss

By Ari Altstedter

The Canadian dollar fell in its biggest decline in nine months against its U.S. peer after the nation unexpectedly lost jobs last month by the most since the last recession four years ago.

The currency declined against 13 of its 16 major peers as Canada had 54,500 fewer jobs in March, compared with the 6,500 gain predicted in the median estimate of a Bloomberg survey of 24 economists. The nation’s jobless rate increased to 7.2 percent from 7 percent. The U.S. added 88,000 jobs in March, versus estimates of a 190,000 gain. The Bank of Canada’s March 6 policy statement called for the economy to “pick up through 2013” on its way to 2 percent annual growth.

“Huge miss on both numbers, but particularly the Canadian number after many months of surprisingly strong employment data, we’ve finally seen some give back, so pretty swift reaction for the Canadian dollar,” said Blake Jespersen, managing director of foreign exchange at Bank of Montreal, by phone from Toronto. “There’s a lot more room for this to run, I think this is just the beginning of what could be a series of weaker employment numbers in Canada.”

The loonie, as the Canadian dollar is known for the image of the C$1 coin, fell 0.5 percent to C$1.0176 at 5 p.m. in Toronto. Earlier, it fell 1.1 percent to C$1.0236 per U.S. dollar, the largest drop since June 28. One loonie buys 98.27 U.S. cents.

Bonds Gain

Canada’s benchmark 10-year government bonds rose, with yields falling four basis points or 0.04 percentage point to 1.75 percent, touching the lowest level since Dec. 11. The 1.5 percent security maturing in June 2023 rose 36 cents to C$97.68.

Crude oil, the country’s biggest export, fell 0.3 percent to $93.02 per barrel in New York, after touching its lowest point since March 7. The Standard & Poor’s 500 Index of U.S. stocks fell 0.4 percent.

Canada’s jobs figures brings the labor market more in line with other parts of the economy, where output growth slowed to a 0.6 percent annualized pace in the fourth quarter and inflation has lagged the central bank’s 2 percent target since May. Last month’s figures mean Canada posted a net loss of 25,700 jobs in the first three months of the year.

’Ugly Across’

“It was ugly across the board, there wasn’t one redeeming feature for the Canadian employment report,” said Mark Frey, chief market strategist at Cambridge Mercantile Group, a corporate currency broker, by phone from Victoria British Columbia. “When you look at the overall employment figures for Q1 in Canada, you’re seeing a pretty bleak outlook that has turned almost on a dime from the last five months of 2012.”

A separate report showed Canada recorded its 11th straight merchandise trade deficit in February, the longest streak in at least 25 years, with the shortfall unexpectedly widening as exports of metals declined.

The deficit of C$1.02 billion ($1 billion) followed a January figure that was revised to C$746 million from C$237 million, Statistics Canada said today in Ottawa. Economists surveyed by Bloomberg forecast the string would end with a C$100 million surplus, based on the median of 21 forecasts.

“Obviously disappointment on both sides of the border,” said David Tulk, chief macro strategist at Toronto-Dominion Bank (TD)’s TD Securities unit by phone from Toronto. “The labor market is sort of catching up to the wider economic backdrop that we’ve always argued is still quite subdued, so this helps a little bit.” ….

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http://www.bloomberg.com/news/2013-04-05/canadian-dollar-extends-loss-after-unexpected-march-jobs-decline.html

“Pakistan has potential to become a global economic player”- Mark Lowcock

Politicians challenged to secure Pakistan’s global economic future

Mark Lowcock said:“Pakistan has everything it takes to be a successful, thriving, prosperous Islamic democracy.’

Pakistan has potential to become a global economic player.  It’s a powerful vision which can be realised if there is a focus on economic growth and implementing the vital reforms needed to stimulate and underpin growth a representative for the UK Government signalled yesterday.

Speaking at the Karachi School of Business and Leadership Mark Lowcock, the UK government’s most senior aid official, told business leaders and students that countries succeeding in today’s global race are those reforming the fastest to generate growth and reduce poverty.

Mark Lowcock said:

Pakistan has everything it takes to be a successful, thriving, prosperous Islamic democracy.”

“If you develop a clear and shared vision, sustain a long term commitment to travelling the long road of reform, and refuse to be deterred by the problems that will inevitably arise, then you can transform your country within a generation.”

Citing examples from across Asia and Africa, Mark Lowcock pressed that Pakistan’s stake in the global economy, and future investment potential, could be transformed. It has enormous potential for trade. Population dynamics mean that over the coming decades it could reap a demographic dividend, if the economy develops in a way that creates jobs for all young people.

Mr Lowcock stressed elections as an important watershed in embedding an inclusive political system, emphasised the importance of greater transparency in public operations, and highlighted the need to broaden the national dialogue on economic reform.

Mark Lowcock said:

Pakistan cannot sustain high rates of economic growth without a sufficient, reliable supply of energy…. The sector needs to be put on a more commercial footing, including a regulatory and tariff structure that is attractive to investors.”

“A tax system that collects less than 10% of GDP is unsustainable for any modern country. Without agreement and tangible progress on broader and fairer taxation, Pakistan will be unable to invest in a more prosperous future.”

Pakistan needs to invest in its best asset, which is your own people, especially in health and education to build human capital. It is also critical to promote women’s participation in the economy.  This is an issue of fairness and good governance. But it is also crucially an economic issue.”

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China Industrial Companies’ Profits Climb a Fourth Month

By Bloomberg News

Chinese industrial companies’ profits rose for a fourth month in December, adding to signs the country’s economic rebound is gaining momentum.

Net income increased 17.3 percent from a year earlier to 895 billion yuan ($144 billion), the National Bureau of Statistics said today in Beijing, after a 22.8 percent jump in November. Earnings for the full year gained 5.3 percent.

Industrial profits may rise by an average 30 percent this year as the world’s second-biggest economy recovers from a seven-quarter slowdown, businesses start restocking and export demand improves, Standard Chartered Plc forecasts. Expansion in gross domestic product may accelerate to 8.1 percent this year from 7.8 percent in 2012, according to the median of 44 analyst estimates in a Bloomberg News survey this month. …

Read more » Bloomberg
http://www.bloomberg.com/news/2013-01-27/china-industrial-companies-profits-climb-a-fourth-month.html

Spain’s Chief Justice Quits Over Claims of Misusing Public Money

 

By RAPHAEL MINDER

MADRID — Spain’s image suffered another blow on Thursday when the chief justice of the Supreme Court resigned after being accused by a fellow judge of claiming vacations as business expenses.

The court’s chief justice, Carlos Dívar, also quit as leader of another institution, the General Council of the Judiciary, which acts as the administrator of Spain’s judiciary.

Chief Justice Dívar’s expense scandal came to light while the judiciary was being strained by several corruption cases against politicians from the country’s main parties. The monarchy has also been tainted by the investigations, with the son-in-law of King Juan Carlos I becoming the first member of the royal family to appear in court, in February.

Continue reading Spain’s Chief Justice Quits Over Claims of Misusing Public Money