Have a fantastic year filled with peace and health,
With lots of love and loads of wealth,
Wishing you a happy new year!
With lots of love and loads of wealth,
Wishing you a happy new year!
Monday, December 31, 2012
Tuesday, December 25, 2012
Sunday, December 23, 2012
RIM dives more than 20% on fee changes
Shares of BlackBerry maker Research In Motion plunged more than 20 per cent on fears that a new fee structure for its high-margin services segment could put pressure on the business that has set the company apart from its competitors.
It was the stock's biggest, single-day, percentage price drop since September 2008. But shares were still nearly 80 per cent above the year's low, which was reached in September. They started to rally in November as investors began to bet that RIM's long-awaited new BlackBerry 10 phones, which will be unveiled in January, would turn the company around.
The services segment has long been RIM's most profitable and accounts for about a third of total revenue. Some analysts said there was a risk that the fee changes could endanger its service ecosystem and leave the Canadian company as just another handset maker.
The fee changes, which RIM announced on Thursday after market close, overshadowed stronger-than-expected quarterly results. The company said the new pricing structure would be introduced with the BlackBerry 10 launch, expected on January 30.
RIM said some subscribers would continue to pay for enhanced services such as advanced security. But under the new structure, some other services would account for less revenue, or even none at all.
Chief Executive Thorsten Heins tried to reassure investors in a television interview with CNBC on Friday, saying RIM's "service revenue isn't going away".
He added: "We're not stopping. We're not halting. We're transitioning."
Since taking over at RIM in January, Heins has focused on shrinking the company and getting it ready to introduce its new BB10 devices, which RIM says will help it claw back ground it has lost to competitors such as Apple Inc and Samsung Electronics.
But the new services pricing strategy came as a shock to markets, and some analysts cut their price targets on RIM stock.
RIM will not be able to sustain profitability by relying on its hardware business alone, said National Bank Financial analyst Kris Thompson, whom Thomson Reuters StarMine has rated the top RIM analyst based on the accuracy of his estimates of the company's earnings.
Thompson downgraded RIM's stock to "underperform" from "sector perform" and cut his price target to $10 from $15.
Forrester Research analyst Charles Golvin said the move was likely about stabilizing market share: "At the moment, they need to stem the bleeding."
He said the tiered pricing might line up better with RIM's subscriber base as it expands in emerging economies.
RIM's Nasdaq-listed shares closed down 22.7 per cent at $10.91 on Friday. The stock fell 22.2 percent to C$10.86 on the Toronto Stock Exchange.
Coutdown to launch
The success of the BB10 will be crucial to the future of RIM, which on Thursday posted its first-ever decline in total subscribers. Heins said on CNBC that the company expected to ship millions of the new devices.
Saturday, December 15, 2012
Newtown, Connecticut Shooting
My heart goes out to all the families who lost loved ones in the shooting.
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In one of the deadliest mass shootings in the United States, at least 26 people, including 20 children, have been killed at an elementary school in Newtown, Connecticut, about 60 miles northeast of New York on Friday.
The shooting at Sandy Hook Elementary School appeared to be the US’ second-deadliest school shooting, exceeded only by the Virginia Tech massacre in 2007, in which 32 people, including two Indians, were killed and 17 others wounded.
The gunman, identified as Adam Lanza, killed his mother at their home and then opened fire inside the school. The 20-year-old killer, carrying at least two handguns, committed suicide at the school, bringing the death toll to 28, authorities said.
=====================================================
In one of the deadliest mass shootings in the United States, at least 26 people, including 20 children, have been killed at an elementary school in Newtown, Connecticut, about 60 miles northeast of New York on Friday.
The shooting at Sandy Hook Elementary School appeared to be the US’ second-deadliest school shooting, exceeded only by the Virginia Tech massacre in 2007, in which 32 people, including two Indians, were killed and 17 others wounded.
The gunman, identified as Adam Lanza, killed his mother at their home and then opened fire inside the school. The 20-year-old killer, carrying at least two handguns, committed suicide at the school, bringing the death toll to 28, authorities said.
Tuesday, December 11, 2012
December 12, 2012 (12-12-12)
December 12, 2012 (12-12-12) will it be significant? I hope so, I hope the economy recovers!
Saturday, December 8, 2012
US 'unemployment rate' drops to 4-year low of 7.7 percent as 'people stop looking for jobs'
The U.S. unemployment rate dropped to its lowest since December 2008 at 7.7 percent, primarily because more people stopped looking for work.
US Labor Department said that hiring remained steady during the storm Sandy and in the face of looming tax increases. But the government said employers added 49,000 fewer jobs in October and September than it initially estimated.
Latino jobless numbers held steady at 10 percent, after dropping slightly in September, from 11.4 to 9.9 percent.
It said that the unemployment rate fell to a four-year low in November from 7.9 percent in October mostly because more people stopped looking for work and weren't counted as unemployed, the New York Daily News reports.
The report "is something of a mixed bag but, on balance, it's a positive," said Paul Ashworth, an economist at Capital Economics.
According to the report, Sandy's effect on the figures was much smaller many analysts had predicted. The government noted that as long as employees worked at least one day during a pay period - two weeks for most people - its survey would have counted them as employed.
Still, there were signs that the storm disrupted economic activity. Construction employment dropped 20,000. And weather prevented 369,000 people from getting to work, the report said.
Ashworth also said that while there is "no obvious impact from the looming fiscal cliff yet, it could still have a greater effect on December's figures."
US Labor Department said that hiring remained steady during the storm Sandy and in the face of looming tax increases. But the government said employers added 49,000 fewer jobs in October and September than it initially estimated.
Latino jobless numbers held steady at 10 percent, after dropping slightly in September, from 11.4 to 9.9 percent.
It said that the unemployment rate fell to a four-year low in November from 7.9 percent in October mostly because more people stopped looking for work and weren't counted as unemployed, the New York Daily News reports.
The report "is something of a mixed bag but, on balance, it's a positive," said Paul Ashworth, an economist at Capital Economics.
According to the report, Sandy's effect on the figures was much smaller many analysts had predicted. The government noted that as long as employees worked at least one day during a pay period - two weeks for most people - its survey would have counted them as employed.
Still, there were signs that the storm disrupted economic activity. Construction employment dropped 20,000. And weather prevented 369,000 people from getting to work, the report said.
Ashworth also said that while there is "no obvious impact from the looming fiscal cliff yet, it could still have a greater effect on December's figures."
Asian Growth ‘On Track’ in 2013 ADB
Asian Development Bank says lagging Asian economies should pick up in the coming year.
Asian Development Outlook Supplement predicts that Asian economies will post growth of 6.0 percent in 2012 and 6.6 percent in 2013, about a tenth of a percentage point lower than anticipated in October.
The report also said upbeat private consumption in Southeast Asia and a mild economic recovery in China nearly balance out the weaknesses in India's economy.
The ADB report also said economic weakness in Europe and the looming fiscal cliff in the U.S. remain very real threats to developing Asia next year.
VOA
Asian Development Outlook Supplement predicts that Asian economies will post growth of 6.0 percent in 2012 and 6.6 percent in 2013, about a tenth of a percentage point lower than anticipated in October.
The report also said upbeat private consumption in Southeast Asia and a mild economic recovery in China nearly balance out the weaknesses in India's economy.
The ADB report also said economic weakness in Europe and the looming fiscal cliff in the U.S. remain very real threats to developing Asia next year.
VOA
Thursday, November 22, 2012
Happy Thanksgiving! 2012
When life throws ten problems at you, it also gives you a hundred reasons to be thankful.
Give thanks to God! Have a Glorious Thanksgiving!
Monday, November 19, 2012
World shares rally on U.S. fiscal hopes
LONDON (Reuters) - Share markets worldwide rebounded from last week's sharp selloff on Monday, with investors encouraged by signs of progress in talks to resolve the fiscal crunch in the United States.
U.S. lawmakers said on Sunday that a compromise was possible in talks to avert the $600 billion "fiscal cliff", which threatens to send the economy back into recession.
MSCI's world equity index <.MIWD00000PUS> jumped 0.5 percent to 318.94 points, recovering some of last week's 2.7 percent fall, its biggest five-day drop since early June.
"The thing about markets is if they can see it as light at the end of the tunnel, then they're going to discount that," said Mike Ingam, market analyst at BGC Partners.
"At the moment...there is very little clarity as to what the end game actually is although, of course, everybody expects there to be a compromise."
There was also optimism in Europe where officials looked closer to releasing delayed aid for Greece.
European officials are expected to discuss a two-year funding deal for Greece at a meeting on Tuesday, which would postpone any longer-term solution until after a September 2013 German general election.
European Central Bank policymaker Joerg Asmussen said at the weekend the ministers were likely to agree the deal for Greece and leave resolution of a longer-term debt stabilization plan, at the heart of a disagreement with the IMF, until a later date.
The euro rose 0.3 percent on Monday hitting a high of $1.2788, well above a two-month low of $1.2661 hit last week when suffered a selloff on the worries over Greece and the worsening euro zone outlook.
"As the EU prepares a bundled aid package to avert a Greek default, headlines coming out of the meeting may fuel a relief rally in the euro, but we will maintain our bearish forecast for the single currency as the region faces a deepening recession," said David Song, currency analyst at DailyFX.
European share markets also enjoyed a strong rebound from the lows of last week mainly on the growing optimism over the positive tone of the U.S. political negotiations.
The FTSE Eurofirst 300 index (.FTEU3) of top European shares was up 0.8 percent at 1,076.03 points, led by sectors that depend on economic growth, such as auto stocks (.SXAP), basic resources (.SXPP) and banks (.SX7P).
In the region's main centers London's FTSE 100 (.FTSE), was up 0.9 percent, Paris's CAC-40 (.FCHI) gained 1.25 percent and Frankfurt's DAX (.GDAXI) rose 1.3 percent. (.L) (.EU)
Gains in U.S. stock futures pointed to a firmer start on Wall Street as well, extending a rally that began on Friday.
Safe haven bond markets reflected the better risk appetite with the 10-year U.S. Treasury yield edging up as prices fell to around 1.60 percent, still only about 22 basis points above a record low set in late July.
The 10-year German government bond yield was steady at 1.34 percent but traders said there was room for yields to rise if euro zone policymakers reached an agreement at their meeting on Tuesday.
DOLLAR STRENGTH
In the currency markets the dollar strengthened against the yen on expectations a new Japanese government will push the central bank into taking aggressive monetary stimulus measures to boost growth after next month's elections.
The greenback rose to 81.59 yen, its highest level since April 25, before settling to trade around 81.25 yen, down 0.2 percent from late U.S. trade on Friday.
The Bank of Japan began a two-day policy meeting on Monday, but is not expected to take any fresh policy steps ahead of the December 16 vote.
In oil markets, Brent crude rose to almost $110 a barrel as the escalating violence between Israel and the Palestinians fuelled concern about supplies from the Middle East.
Investors fear the conflict may draw in other countries and possibly disrupt energy exports from the region, which supplies more than a third of the world's crude.
Brent crude for January delivery was up $1 to $109.95 and U.S. crude futures gained 80 cents to $87.72 a barrel. (O/R)
(Reporting by Richard Hubbard; Editing by Giles Elgood and Anna Willard)
Yahoo finance
U.S. lawmakers said on Sunday that a compromise was possible in talks to avert the $600 billion "fiscal cliff", which threatens to send the economy back into recession.
MSCI's world equity index <.MIWD00000PUS> jumped 0.5 percent to 318.94 points, recovering some of last week's 2.7 percent fall, its biggest five-day drop since early June.
"The thing about markets is if they can see it as light at the end of the tunnel, then they're going to discount that," said Mike Ingam, market analyst at BGC Partners.
"At the moment...there is very little clarity as to what the end game actually is although, of course, everybody expects there to be a compromise."
There was also optimism in Europe where officials looked closer to releasing delayed aid for Greece.
European officials are expected to discuss a two-year funding deal for Greece at a meeting on Tuesday, which would postpone any longer-term solution until after a September 2013 German general election.
European Central Bank policymaker Joerg Asmussen said at the weekend the ministers were likely to agree the deal for Greece and leave resolution of a longer-term debt stabilization plan, at the heart of a disagreement with the IMF, until a later date.
The euro rose 0.3 percent on Monday hitting a high of $1.2788, well above a two-month low of $1.2661 hit last week when suffered a selloff on the worries over Greece and the worsening euro zone outlook.
"As the EU prepares a bundled aid package to avert a Greek default, headlines coming out of the meeting may fuel a relief rally in the euro, but we will maintain our bearish forecast for the single currency as the region faces a deepening recession," said David Song, currency analyst at DailyFX.
European share markets also enjoyed a strong rebound from the lows of last week mainly on the growing optimism over the positive tone of the U.S. political negotiations.
The FTSE Eurofirst 300 index (.FTEU3) of top European shares was up 0.8 percent at 1,076.03 points, led by sectors that depend on economic growth, such as auto stocks (.SXAP), basic resources (.SXPP) and banks (.SX7P).
In the region's main centers London's FTSE 100 (.FTSE), was up 0.9 percent, Paris's CAC-40 (.FCHI) gained 1.25 percent and Frankfurt's DAX (.GDAXI) rose 1.3 percent. (.L) (.EU)
Gains in U.S. stock futures pointed to a firmer start on Wall Street as well, extending a rally that began on Friday.
Safe haven bond markets reflected the better risk appetite with the 10-year U.S. Treasury yield edging up as prices fell to around 1.60 percent, still only about 22 basis points above a record low set in late July.
The 10-year German government bond yield was steady at 1.34 percent but traders said there was room for yields to rise if euro zone policymakers reached an agreement at their meeting on Tuesday.
DOLLAR STRENGTH
In the currency markets the dollar strengthened against the yen on expectations a new Japanese government will push the central bank into taking aggressive monetary stimulus measures to boost growth after next month's elections.
The greenback rose to 81.59 yen, its highest level since April 25, before settling to trade around 81.25 yen, down 0.2 percent from late U.S. trade on Friday.
The Bank of Japan began a two-day policy meeting on Monday, but is not expected to take any fresh policy steps ahead of the December 16 vote.
In oil markets, Brent crude rose to almost $110 a barrel as the escalating violence between Israel and the Palestinians fuelled concern about supplies from the Middle East.
Investors fear the conflict may draw in other countries and possibly disrupt energy exports from the region, which supplies more than a third of the world's crude.
Brent crude for January delivery was up $1 to $109.95 and U.S. crude futures gained 80 cents to $87.72 a barrel. (O/R)
(Reporting by Richard Hubbard; Editing by Giles Elgood and Anna Willard)
Yahoo finance
Saturday, November 17, 2012
IMF chief lauds Philippine growth as FDI, hot money inflow decreases
MANILA, Nov. 17 - Managing Director Christine Lagarde of the International Monetary Fund (IMF) said that the Philippines is the only country in the world where the IMF has upgraded its growth forecast for this year.
In a press briefing Friday in Malacanang, the Philippine presidential office, Lagarde reiterated IMF's earlier revised growth forecast of 5 percent for the country in 2012.
Other multilateral financial institutions such as the World Bank and the Manila-based Asian Development Bank (ADB) have also adjusted upwards their forecast for the Philippines.
"I congratulate the Filipino authorities for their excellent economic stewardship during difficult times. In the last decade, the Philippines managed to have an average growth of about 5 percent," Lagarde said.
Lagarde is the second leader who made an optimistic projection about the Philippines' economic future. Last week, visiting Canadian Prime Minister Stephen Harper made the bullish prediction to President Benigno Aquino that the Philippines could be the next "Asian tiger".
The Australian business community also told Aquino during his state visit there last month that the Philippines is now "the fastest-growing economy in Asia."
The Aquino administration has set a growth target of between 5 and 6 percent this year, 6 and 7 percent in 2013, and at least 7 percent in the succeeding years.
The target seems to be achievable considering that in the first half of this year the Philippine economy grew by an unexpected 6.1 percent while inflation averaged only 3.2 percent in the first 10 months, well within the 3-5 percent target for the year.
But some recent economic indicators could dampen the rosy picture of the Philippines as painted by Lagarde and Harper.
Data released by the BSP showed that the net inflow of foreign direct investment (FDI) in the country fell to only 13 million U.S. dollars in August, down by nearly 83 percent from 76 million U.S. dollars in the same month last year. The amount was also 88 percent lower than the 108 million U.S. dollars in July.
The BSP said that the drop in the net FDI inflow "reflects investors relatively cautious stance due to weak global economic prospects and financial strains in the advanced economies."
On Wednesday, the BSP also said that the net inflow of foreign portfolio investment or "hot money" to the Philippines shrunk in October which was due mainly to profit-taking by equity investors.
The BSP said that the net inflow of "hot money" in October amounted to only 40 million dollars, down by about 83 percent from 237 million dollars in the same month last year.
According to the BSP, investor appetite for peso-denominated portfolio assets remained strong in October, noting a significant foreign buying of Philippine stocks and bonds during the period.
However, the net inflow of foreign portfolio investment dropped because the increase in the gross inflows was offset by the spike in outflows due to profit-taking, the BSP said.
"The net inflow was much lower as profit-taking triggered heavy sell-offs of publicly listed securities," BSP said.
But the BSP is still confident that foreign investment would increase soon, especially once the country gets an investment grade from any of the three major international credit rating agencies.
Despite continued optimism on the country's economic growth, Lagarde has called on the Philippine government to translate economic gains into programs that could alleviate poverty.
"It is no secret that about 42 percent of the Philippine population is living on less than 2 U.S dollars a day," Lagarde said.
She then advised the Aquino government to continue with, if not strengthen, programs aimed at addressing inequality, citing the conditional cash transfer (CCT) program, which grants monthly subsidies to selected poorest families.
Economic analysts have agreed that growth in the country benefits only the rich and the middle class but not the poor.
source xinhuanet
In a press briefing Friday in Malacanang, the Philippine presidential office, Lagarde reiterated IMF's earlier revised growth forecast of 5 percent for the country in 2012.
Other multilateral financial institutions such as the World Bank and the Manila-based Asian Development Bank (ADB) have also adjusted upwards their forecast for the Philippines.
"I congratulate the Filipino authorities for their excellent economic stewardship during difficult times. In the last decade, the Philippines managed to have an average growth of about 5 percent," Lagarde said.
Lagarde is the second leader who made an optimistic projection about the Philippines' economic future. Last week, visiting Canadian Prime Minister Stephen Harper made the bullish prediction to President Benigno Aquino that the Philippines could be the next "Asian tiger".
The Australian business community also told Aquino during his state visit there last month that the Philippines is now "the fastest-growing economy in Asia."
The Aquino administration has set a growth target of between 5 and 6 percent this year, 6 and 7 percent in 2013, and at least 7 percent in the succeeding years.
The target seems to be achievable considering that in the first half of this year the Philippine economy grew by an unexpected 6.1 percent while inflation averaged only 3.2 percent in the first 10 months, well within the 3-5 percent target for the year.
But some recent economic indicators could dampen the rosy picture of the Philippines as painted by Lagarde and Harper.
Data released by the BSP showed that the net inflow of foreign direct investment (FDI) in the country fell to only 13 million U.S. dollars in August, down by nearly 83 percent from 76 million U.S. dollars in the same month last year. The amount was also 88 percent lower than the 108 million U.S. dollars in July.
The BSP said that the drop in the net FDI inflow "reflects investors relatively cautious stance due to weak global economic prospects and financial strains in the advanced economies."
On Wednesday, the BSP also said that the net inflow of foreign portfolio investment or "hot money" to the Philippines shrunk in October which was due mainly to profit-taking by equity investors.
The BSP said that the net inflow of "hot money" in October amounted to only 40 million dollars, down by about 83 percent from 237 million dollars in the same month last year.
According to the BSP, investor appetite for peso-denominated portfolio assets remained strong in October, noting a significant foreign buying of Philippine stocks and bonds during the period.
However, the net inflow of foreign portfolio investment dropped because the increase in the gross inflows was offset by the spike in outflows due to profit-taking, the BSP said.
"The net inflow was much lower as profit-taking triggered heavy sell-offs of publicly listed securities," BSP said.
But the BSP is still confident that foreign investment would increase soon, especially once the country gets an investment grade from any of the three major international credit rating agencies.
Despite continued optimism on the country's economic growth, Lagarde has called on the Philippine government to translate economic gains into programs that could alleviate poverty.
"It is no secret that about 42 percent of the Philippine population is living on less than 2 U.S dollars a day," Lagarde said.
She then advised the Aquino government to continue with, if not strengthen, programs aimed at addressing inequality, citing the conditional cash transfer (CCT) program, which grants monthly subsidies to selected poorest families.
Economic analysts have agreed that growth in the country benefits only the rich and the middle class but not the poor.
source xinhuanet
Saturday, November 10, 2012
J.C. Penney Shrinking Sales
J.C. Penney Co.'s sales last quarter has gone from bad to worse. The department store chain is headed by a former Apple Inc. retail executive Ron Johnson.
Its sales fell 27% in the three months ended Oct. 27, and it seems the company will continue to stumble as the holiday-selling season approaches.
The drop was worse than Wall Street analysts had feared, and shares in the Plano, Texas-based company fell as much as 10% on Friday before rebounding to finish down nearly 5% at $20.62 on the day.
It lost 56 cents per share, or $123 million in the quarter ended Oct. 27. That compares with a loss of $143 million, or 67 cents per share, in the year ago period. Revenue dropped 26.6 percent to $2.93 billion in the quarter.
Its sales fell 27% in the three months ended Oct. 27, and it seems the company will continue to stumble as the holiday-selling season approaches.
The drop was worse than Wall Street analysts had feared, and shares in the Plano, Texas-based company fell as much as 10% on Friday before rebounding to finish down nearly 5% at $20.62 on the day.
It lost 56 cents per share, or $123 million in the quarter ended Oct. 27. That compares with a loss of $143 million, or 67 cents per share, in the year ago period. Revenue dropped 26.6 percent to $2.93 billion in the quarter.
Tuesday, November 6, 2012
Barack Obama re-elected as president
Barack Obama re-elected as president of the United States defeating Mitt Romney
Saturday, November 3, 2012
Dow is down only 14 points despite of Sandy
Dow is down only 14 points for the week, easing concern that damages from Sandy would affect share prices or the US economy.
Dow Jones industrial average slipped 139.46 points, or 1.1%, to 13,093.16. That reversed its 136-point gain Thursday amid encouraging reports on consumer confidence and manufacturing.
The Standard & Poor's 500 index declined 13.39 points, or 0.9%, to 1,414,20. For the week, it rose a bit more than 2 points, or 0.2%.
Stocks rose initially Friday after the government reported that the U.S. added a better-than-expected 171,000 jobs in October. But share prices soon began a steady descent into the closing bell.
Dow Jones industrial average slipped 139.46 points, or 1.1%, to 13,093.16. That reversed its 136-point gain Thursday amid encouraging reports on consumer confidence and manufacturing.
The Standard & Poor's 500 index declined 13.39 points, or 0.9%, to 1,414,20. For the week, it rose a bit more than 2 points, or 0.2%.
Stocks rose initially Friday after the government reported that the U.S. added a better-than-expected 171,000 jobs in October. But share prices soon began a steady descent into the closing bell.
Thursday, October 25, 2012
Zynga cuts 5 percent of work force, ending 13 games
Zynga "FarmVille" creator shuts down its Boston office and has laid off 5 percent of its full-time workforce and may also close its Japanese and British offices. It is due to steep decline in earnings as users gradually migrate to mobile devices. They will also end 13 unspecified older game titles, Chief Executive Mark Pincus said.
Rumors of the layoffs in Austin and Boston had spread on gaming blogs and over social networks during the day, and the company's shares closed down more than 5 percent, at $2.20. But they bounced back 4.5 percent to $2.30 in after-hours trade, following news of the cost-cutting initiatives.
Zynga went public to much fanfare in December at $10 a share but has since lost over three-quarters of its market value. It has been hit by delays in its game pipeline as older titles fade, while it has struggled to come up with new hits for mobile devices.
With its top line shrinking, Pincus told employees in an earlier memo just this month that he was disappointed by the results but urged his staff not to lose sight of the bigger picture.
source yahoo news/Reuters
Tuesday, October 16, 2012
Softbank shares UP
Softbank, a Japanese mobile carrier, soared up in Tokyo on Tuesday as investors buy back into the stock that was heavily traded the last two sessions because of the news of its $20 billion takeover of Sprint.
Softbank shares jumped 9.5 percent to 2,485 yen ($31.49) in heavy trading on the Tokyo Stock Exchange, after losing more than 20 percent of their value in the previous two sessions. Softbank stock tumbled 17 percent on Friday and then 5.3 percent on Monday.
Softbank and Sprint Nextel reached a deal under which Softbank will pay $20 billion for a 70 percent stake in the wireless telecom operator. Sprint Nextel is the number three US carrier behind AT&T and Verizon Wireless.
Traders said that the spike on Tuesday was due to bargain hunters looking to pick up the embattled counter on the cheap.
source google news (AFP)
Tuesday, October 9, 2012
Japanese Car Sales in China Down
Japanese automakers are suffering plunging sales in China this month after violent anti-Japanese protests in which Japanese-brand cars were targeted. The violence stemmed from the island dispute between the two countries.
Honda sales had fallen 40 percent; Nissan sales were down 35 percent; Toyota sales is down by 49 percent; Mazda sales had fallen 35 percent.
source nytimes
Wednesday, October 3, 2012
World stocks fall
BANGKOK (AP) -- World stocks fell Wednesday as investors awaits the U.S. jobs report.
The U.S. Labor Department will release employment data for September on Friday. While the U.S. economy shows signs of resilience, thanks in part to rising car sales and home prices, hiring has remained too sluggish to reduce high unemployment, which is at 8.1 percent.
The U.S. economy also is at risk for falling off a "fiscal cliff" early next year. That's when tax increases and deep spending cuts take effect unless Congress reaches a budget deal. If those measures do take effect, the economy could fall into recession.
Full Story here
source yahoo finance
Tuesday, September 25, 2012
Toys R Us to hire 45,000
(Reuters) - Toys R Us Inc (TOYS.N) said it will hire 45,000 seasonal employees across the United States to cope with the upcoming holiday season.
Toys R Us, which hired about 40,000 seasonal workers last year, said it retained about 15 percent of the holiday workforce after the season ended.
The retailer said the hiring at its stores will begin this week and would continue through December. Positions offered include managerial roles and sales associates.
(Reporting by Balaji Sridharan in Bangalore; Editing by David Holmes)
Toys R Us, which hired about 40,000 seasonal workers last year, said it retained about 15 percent of the holiday workforce after the season ended.
The retailer said the hiring at its stores will begin this week and would continue through December. Positions offered include managerial roles and sales associates.
(Reporting by Balaji Sridharan in Bangalore; Editing by David Holmes)
Monday, September 17, 2012
Apple closes at a record $699.78
FORTUNE -- Apple (AAPL) share price shot right up to a record $699.78. They said pre-orders of its iPhone 5 topped 2 million units in one day, more than double the sales record set by the previous model of the device.
Although the stock is up nearly 75% over the past 12 months, the company is still relatively cheap by the standards of the S&P 500.
Wednesday, September 5, 2012
European markets rise in wake of mixed Bund auction
PARIS, Sept 5 - Around midday on Wednesday the European stocks were up, as low demand at a Bund auction signalled that investor appetite for safe-haven assets is drying up, a bullish sign for equities.
Germany sold 3.61 billion euros of new 10-year government bonds on Tuesday, drawing bids worth less than the amount on offer. That sparked a rally in Germany's DAX stock index , up 0.6 percent at 1030 GMT.
The FTSEurofirst 300 index of top European shares was up 0.2 percent at 1,081.75 points while the euro zone's blue chip Euro STOXX 50 index was up 0.4 percent at 2,445.21, reversing gains made in early trading, and testing its 20-day moving average.
Stocks have also been buoyed by expectations of strong new measures from the European Central Bank on Thursday to fight the debt crisis.
Markets are looking for the ECB to unveil a plan to buy bonds from Spain and Italy to lower the two countries' borrowing costs and ease the debt crisis, although it may outline rather than detail its strategy on Thursday, keeping the pressure on governments to bring their deficits and debts under control.
Gains were limited on Wednesday, however, by a recent raft of grim macro data, including figures on Wednesday showing the contraction that began in the more vulnerable of the bloc's 17 economies is now taking hold even in the largest and strongest, Germany.
Around Europe, the UK's FTSE 100 index was flat, France's CAC 40 up 0.2 percent, and Spain's IBEX up 0.3 percent.
Shares in BP sank 4.2 percent, the biggest loser among Europe's blue chips, after the U.S. Justice Department ramped up its rhetoric against the oil major for the massive 2010 oil spill in the Gulf of Mexico, describing in new court papers examples of what it called "gross negligence and wilful misconduct.
Reuters
myLot User Profile
Germany sold 3.61 billion euros of new 10-year government bonds on Tuesday, drawing bids worth less than the amount on offer. That sparked a rally in Germany's DAX stock index , up 0.6 percent at 1030 GMT.
The FTSEurofirst 300 index of top European shares was up 0.2 percent at 1,081.75 points while the euro zone's blue chip Euro STOXX 50 index was up 0.4 percent at 2,445.21, reversing gains made in early trading, and testing its 20-day moving average.
Stocks have also been buoyed by expectations of strong new measures from the European Central Bank on Thursday to fight the debt crisis.
Markets are looking for the ECB to unveil a plan to buy bonds from Spain and Italy to lower the two countries' borrowing costs and ease the debt crisis, although it may outline rather than detail its strategy on Thursday, keeping the pressure on governments to bring their deficits and debts under control.
Gains were limited on Wednesday, however, by a recent raft of grim macro data, including figures on Wednesday showing the contraction that began in the more vulnerable of the bloc's 17 economies is now taking hold even in the largest and strongest, Germany.
Around Europe, the UK's FTSE 100 index was flat, France's CAC 40 up 0.2 percent, and Spain's IBEX up 0.3 percent.
Shares in BP sank 4.2 percent, the biggest loser among Europe's blue chips, after the U.S. Justice Department ramped up its rhetoric against the oil major for the massive 2010 oil spill in the Gulf of Mexico, describing in new court papers examples of what it called "gross negligence and wilful misconduct.
Reuters
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Wednesday, August 29, 2012
Global shares slip ahead of central bank moves
The euro maintained it's place near an eight-week high on Wednesday, helped by expectations the European Central Bank will act decisively to tackle the debt crisis and of more monetary easing in the United States.
But global growth worries weighed on equity markets, dragging world shares lower, while oil prices eased after Hurricane Isaac in the Gulf of Mexico looked set to spare local production facilities from significant damage.
US stock index futures pointed to a slightly lower open on Wall Street on Wednesday.
Moves in major risk asset markets are being limited by hopes that Fed Chairman Ben Bernanke will signal an easier U.S. monetary policy in a speech to international central bankers gathering in Jackson Hole, Wyoming, at the end of the week.
There is also rising optimism that the ECB, which will meet on September 6, is close to producing a decisive bond-buying plan to bring down high Spanish and Italian borrowing costs, and ease Europe's three-year-old debt crisis.
But with the risk of disappointment on both fronts high, investors were adopting a cautious approach.
Concerns about the global economic outlook were firmly outweighing any potential positive impact of central bank actions in the equity markets, pulling the FTSEurofirst 300 index down 0.4 percent to 1,083.80 points.
The euro area's blue-chip Euro STOXX 50 index was also down 0.6 percent at 2427.95 points.
A mixed session in Asia, where evidence of slowing activity in China has been weighing on sentiment, left the MSCI world equity index facing a sixth day of losses. It was down 0.1 percent at 323.27 points.
Emerging stocks also hit their lowest levels in nearly four weeks due to the sharp drop in Chinese shares, which are the largest component of the index.
source business-standard com
But global growth worries weighed on equity markets, dragging world shares lower, while oil prices eased after Hurricane Isaac in the Gulf of Mexico looked set to spare local production facilities from significant damage.
US stock index futures pointed to a slightly lower open on Wall Street on Wednesday.
Moves in major risk asset markets are being limited by hopes that Fed Chairman Ben Bernanke will signal an easier U.S. monetary policy in a speech to international central bankers gathering in Jackson Hole, Wyoming, at the end of the week.
There is also rising optimism that the ECB, which will meet on September 6, is close to producing a decisive bond-buying plan to bring down high Spanish and Italian borrowing costs, and ease Europe's three-year-old debt crisis.
But with the risk of disappointment on both fronts high, investors were adopting a cautious approach.
Concerns about the global economic outlook were firmly outweighing any potential positive impact of central bank actions in the equity markets, pulling the FTSEurofirst 300 index down 0.4 percent to 1,083.80 points.
The euro area's blue-chip Euro STOXX 50 index was also down 0.6 percent at 2427.95 points.
A mixed session in Asia, where evidence of slowing activity in China has been weighing on sentiment, left the MSCI world equity index facing a sixth day of losses. It was down 0.1 percent at 323.27 points.
Emerging stocks also hit their lowest levels in nearly four weeks due to the sharp drop in Chinese shares, which are the largest component of the index.
source business-standard com
Wednesday, August 22, 2012
Asian economies Will Rule the World by 2050
A study showed that because of the region's rapid growth that boosts wealth creation, Asian countries Singapore, Hong Kong, Taiwan and South Korea are projected to be the world's richest economies on a per capita basis by 2050. The survey was done by property giant Knight Frank and Citi Private Bank. The survey also showed multi-millionaires in Asia will continue to outnumber those in North America and Western Europe by 2050.
Singapore topped the list in 2010 and is expected to keep the top spot in 2050, when the city-state's gross domestic product (GDP) per capita would reach $137,710.
It will be trailed by Hong Kong ($116,639), Taiwan ($114,093) and South Korea ($107,752) with the United States coming in fifth place, falling from third place in 2010.
Singapore's 2010 GDP per capita stood at $56,532, while Hong Kong ($45,301) the only other Asian economy in the top 10 that year was in fourth place.
Taiwan and South Korea were not even in the top 10 in 2010.
"While rapid GDP growth does not in itself guarantee a sharp rise in high networth individuals, rapidly growing economies do provide key opportunities for large-scale wealth creation," Grainne Gilmore, head of UK Residential Research at Knight Frank, wrote in the study.
Gilmore said there are now around 18,000 "centa-millionaires" those with $100 million or more in assets in the region covering Southeast Asia, China and Japan, more than the 17,000 in North America and 14,000 in Western Europe.
By 2016, Southeast Asia, China and Japan are expected to have 26,000 centa-millionaires, compared with 21,000 in North America and 15,000 in Western Europe, she wrote, citing data from Ledbury Research.
On a country basis, the United States will lead in 2016 with 17,100 centa millionaires but China is expected to double its numbers to 14,000.
"Southeast Asian deca-millionaires, those with $10 million or more in assets, already outnumber those in Europe and are expected to overtake those in the US in the coming decade," she said.
source Yahoo news
Friday, August 10, 2012
S&P 500 gains six days streak
NEW YORK (Reuters) - The Standard & Poor's 500 finished slightly higher on Friday to run its streak to six straight sessions, but activity was light and gains were slight as the market enters a seasonally slow period.
The Dow and the S&P 500 closed out their fifth straight week of gains, led once again by expectations for global central bank stimulus despite discouraging signs for growth like weak data from China.
Overall, the S&P has gained a scant 0.3 percent over the past three sessions, a sign that while investors aren't looking to cut positions, they're also reluctant to make robust moves above the three-month highs the S&P has been hovering around.
Volume was incredibly light, with about 4.97 billion shares traded on the New York Stock Exchange, the American Stock Exchange and Nasdaq, well below last year's daily average of 7.84 billion.
The Dow Jones industrial average (^DJI) rose 42.76 points, or 0.32 percent, to 13,207.95 at the close. The Standard & Poor's 500 Index (^GSPC) added 2.97 points, or 0.21 percent, at 1,405.77. The Nasdaq Composite Index (^IXIC) advanced 2.22 points, or 0.07 percent, to close at 3,020.86.
Data on Chinese trade and bank lending suggested pro-growth policies have been insufficient in the face of weak demand from China's trading partners, and more urgent government action may be needed to stabilize the economy. Data on Chinese exports included a 16 percent decline in shipments to Europe from a year ago.
Trading has been relatively light in August, ahead of what is anticipated to be a busier September when market participants return from summer holidays and central banks, including the Federal Reserve and the European Central Bank, may swing into action.
The European Central Bank is expected to act soon, though not before September, to lower punishing borrowing costs for Spain and Italy as a way to stabilize the euro zone's economy.
Saturday, July 28, 2012
Facebook Shares Down 37% since IPO
Investors fled the stock in droves because they are unhappy with Facebook’s first financial report as a public company on Thursday, even as Mark Zuckerberg brag about its growth prospects to industry analysts. Facebook’s stock lost 18% of its value on Thursday. The first blow came during regular trading largely because of the poor results posted by Zynga, the social game company that uses Facebook as a platform.
Facebook stock continued to plummet in after hours trading after Facebook announced its own numbers, dipping below $24, a record low. Since going public two months ago at $38 a share, Facebook shares have lost 37% of their value.
The company said its revenue for the quarter climbed to $1.18 billion, from $895 million; most of it came from advertising.
The company reported a net loss of $157 million, or 8 cents a share, compared with net income of $240 million, or 11 cents a share for the same quarter last year. Much of that was because of stock compensation, and on an adjusted basis, the company posted a profit of 12 cents a share, or $295 million, meeting analysts’ expectations.
Zuckerberg has rarely spoken publicly about the company he built in his dorm room eight years ago. But nothing he and his lieutenants said on Thursday about their plans to make money by advertising to Facebook users seemed to reassure investors.
Monday, July 23, 2012
Spanish government bonds dive on bailout fears
* Risk of Spanish bailout grows; bonds in free fall
* Greek funding worries add to peripheral pressure
* Bund yields set to mark new lows on safe-haven flows
Spanish government bonds sank on Monday, pushing yields sharply higher, on fears the government will lose access to debt markets and need a full bailout as its regions began lining up for financial help.
Worry over Greece resurfaced with international lenders scheduled to gather in Athens to discuss the terms of further rescue payments, after its prime minister said the country was mired in a "Great Depression"..
As risk aversion dominated financial markets, five- and 10-year German government bond yields hit new lows and U.S. T-note yields hit their lowest since the early 1800s.
The Spanish region of Murcia moved closer to following Valencia in seeking financial aid from the government, which set up an 18 billion euro fund earlier this year to help the regions refinance their debt. Media reported half a dozen others were ready to do likewise..
"Given the market reaction on the back of the news that more and more regions are looking to tap into the liquidity fund..., it will be very difficult for Spain to circumvent further support for itself," said Norbert Aul, a rate strategist at RBC Capital Markets.
Full Story here
Wednesday, July 4, 2012
Asian Shares Higher on Stimulus Hopes; Australia Hits 7-Week High
*Nikkei gains 0.4%, Hang Seng Index down 0.1%, S&P ASX 200 up 1.1%
*Asian stock rise on stimulus hopes
*Philippine peso hits a four-year high against the dollar
News on European and U.S. central banks will issue more stimulus measures to help economic growth benefited Asian shares. Asian shares were mostly higher on Wednesday, pushing Australian stocks to a seven-week high and the Philippine peso reaching its strongest in four years.
Investors are looking towards a European Central Bank rate decision meeting on Thursday, as well as U.S. employment data on Friday, which is expected to encourage the Federal Reserve to implement more policy easing. Sentiment was also helped by news that orders for U.S. factory goods were up in May, reversing two months of declines.
The price of oil mainained its 4.7% overnight gain, although it dropped to $86.63 a barrel later in the day. Higher crude oil prices gave a boost to oil companies: in Australia Aurora Oil and Gas climbed 2.8% and in Japan Inpex Corp gained 2.9%.
Australia's S&P ASX 200 was up 1.1% to 4172.20 as resource companies led broad-based gains after commodity prices surged and offshore equities keep rising on hopes of policy stimulus. BHP Billiton gained 2.1%, Rio Tinto was up 2.7% and Fortescue Metals Group was 3.7% higher.
Gold eased to $1613.20 an ounce.
Japan's Nikkei and South Korea's Kospi were both up 0.4%, at 9104.17 and 1874.45 respectively.
In China, the Shanghai Composite was less than 0.1% lower at 2227.31, while the Hang Seng Index was also 0.1% lower at 19709.75.
The euro lost some of its 0.3% overnight gains $1.2582; Dollar was at 79.75 Japanese yen.
Regional risk currencies gained on the risk-on sentiment. The greenback went down to 1,132.70 against the won early in the session, a two month low, owing to dollar selling by exporters. Late in the afternoon the won was at 1136.40, compared with 1,138.30 on late Tuesday.
The currency star performer was in the Philippines where the dollar hit a four-year low against the Philippine peso at 41.65 to the dollar. The strengthening currency forced the central bank to intervene with traders saying that it bought around $100 million to support the dollar and weaken the peso.
*Asian stock rise on stimulus hopes
*Philippine peso hits a four-year high against the dollar
News on European and U.S. central banks will issue more stimulus measures to help economic growth benefited Asian shares. Asian shares were mostly higher on Wednesday, pushing Australian stocks to a seven-week high and the Philippine peso reaching its strongest in four years.
Investors are looking towards a European Central Bank rate decision meeting on Thursday, as well as U.S. employment data on Friday, which is expected to encourage the Federal Reserve to implement more policy easing. Sentiment was also helped by news that orders for U.S. factory goods were up in May, reversing two months of declines.
The price of oil mainained its 4.7% overnight gain, although it dropped to $86.63 a barrel later in the day. Higher crude oil prices gave a boost to oil companies: in Australia Aurora Oil and Gas climbed 2.8% and in Japan Inpex Corp gained 2.9%.
Australia's S&P ASX 200 was up 1.1% to 4172.20 as resource companies led broad-based gains after commodity prices surged and offshore equities keep rising on hopes of policy stimulus. BHP Billiton gained 2.1%, Rio Tinto was up 2.7% and Fortescue Metals Group was 3.7% higher.
Gold eased to $1613.20 an ounce.
Japan's Nikkei and South Korea's Kospi were both up 0.4%, at 9104.17 and 1874.45 respectively.
In China, the Shanghai Composite was less than 0.1% lower at 2227.31, while the Hang Seng Index was also 0.1% lower at 19709.75.
The euro lost some of its 0.3% overnight gains $1.2582; Dollar was at 79.75 Japanese yen.
Regional risk currencies gained on the risk-on sentiment. The greenback went down to 1,132.70 against the won early in the session, a two month low, owing to dollar selling by exporters. Late in the afternoon the won was at 1136.40, compared with 1,138.30 on late Tuesday.
The currency star performer was in the Philippines where the dollar hit a four-year low against the Philippine peso at 41.65 to the dollar. The strengthening currency forced the central bank to intervene with traders saying that it bought around $100 million to support the dollar and weaken the peso.
Monday, June 4, 2012
Global shares head lower as world slowdown fears grow
(Reuters) - European shares joined a global sell-off in riskier assets on Monday after disappointing May economic data from the United States and China overwhelmed any positive impact from hopes the world's central banks would ease policy further.
The euro slid 0.3 percent to $1.2400, moving closer to the $1.2288 it hit on Friday, its lowest level since July 2010, while Brent crude oil fell below $97 a barrel to a 16-month low.
Safe haven U.S. and German government bond yields held near Friday's record lows., "Investors are just fleeing risk assets," said ATI Asset Management chief investment officer Simon Burge.
The latest sell-off followed disappointing U.S. jobs growth figures on Friday and weak Chinese manufacturing data, which stoked fears that the problems in the euro zone are causing a worldwide slowdown in business activity.
Those fears caused sharp falls across Asian markets on Monday, dragging Tokyo's Topix index (.TOPX) to a 28-year low, and followed a fall of more than 2 percent in U.S. stocks on Friday. The MSCI world equity index <.MIWD00000PUS> was down 0.5 percent at 290.58 points.
UK markets were closed for a holiday on Monday, though the FTSE Eurofirst (.FTEU3) index of top European shares opened down 0.7 percent at 2054.97 points after hitting a six-month low on Friday.
Tuesday, May 22, 2012
Facebook shares sink again
Oh crap! Facebook shares sank further Tuesday amid new accusations that key underwriters had cut their forecasts for the company just days before Friday's initial public offering.
Facebook shares lost another 8.6 percent Tuesday, closing at $31.12, leaving them 18.1 percent below the IPO price.
The shares continued to fall in after-hours trade, falling to as low as $30.72, as analysts and investors concluded that the $16 billion, 421 million shares IPO was just too big for the real demand and that major early institutional investors had not intended to hold on to them.
On Tuesday reports surfaced that Morgan Stanley and two other key underwriters, JP Morgan and Goldman Sachs, had cut the forecasts they provided to their customers days before the issue.
Facebook shares lost another 8.6 percent Tuesday, closing at $31.12, leaving them 18.1 percent below the IPO price.
The shares continued to fall in after-hours trade, falling to as low as $30.72, as analysts and investors concluded that the $16 billion, 421 million shares IPO was just too big for the real demand and that major early institutional investors had not intended to hold on to them.
On Tuesday reports surfaced that Morgan Stanley and two other key underwriters, JP Morgan and Goldman Sachs, had cut the forecasts they provided to their customers days before the issue.
Saturday, May 19, 2012
Facebook debut as a public company closes nearly flat
Facebook's IPO, turns out to be a bust. It was expected to be big but that didn't happen. One of the most anticipated IPOs in Wall Street history ended on a flat note Friday, with Facebook's stock closing at $38.23, up 23 cents from Thursday night's pricing. For all the hype and expectations, many are seeking a big first day pop in Facebook's share price, the increase of six-tenths of one per cent was a big letdown.
Friday, March 23, 2012
World stocks mixed ahead of US housing data
BANGKOK (AP) -- Asian markets fell Friday amid mounting jitters over China's manufacturing slowdown. European stocks advanced and Wall Street futures rose as traders awaited the release of U.S. housing data.
Benchmark oil hovered above $105 per barrel after a big fall the day before. The dollar weakened against the euro but rose against the yen.
Britain's FTSE 100 rose 0.5 percent to 5,873.87. Germany's DAX gained 0.6 percent to 7,022.42 and France's CAC-40 added 0.4 percent to 3,486.70.
In Asia, stocks were jolted for a second day in a row by an index, released Thursday, that showed renewed weakness in China's manufacturing. The gauge compiled by HSBC fell to 48.1 in March from 49.6 in February. Figures below 50 indicate that manufacturing is shrinking.
That data comes on top of trade figures showing both Chinese and global demand falling. Weak European economic indicators added to worries about a slowdown.
"The market is disappointed that China's manufacturing sector is shrinking, so we are seeing the start of a major correction," said Francis Lun, managing director of Lyncean Holdings in Hong Kong.
The lack of bold reaction from China's government is causing investor unease, analysts said. The government has indicated it favors a pro-growth policy but so far has not aggressively reduced reserve requirements for banks on a national scale or lowered interest rates.
"China hasn't done anything to inject confidence in the market," said Jackson Wong, vice president at Tanrich Securities in Hong Kong. "That is dragging down the whole market in Hong Kong and other areas. So now we wait to see if China will roll out some bold moves."
Japan's Nikkei 225 index dropped 1.1 percent to close at 10,011.47 as the country's formidable export sector faded amid fears of slowing overseas demand. Yamaha Motor Co. shed 3.1 percent and Sharp Corp. slid 3.3 percent.
A rare gainer was Japanese food processor Yukiguni Maitake Co., which rose 0.3 percent a day after announcing a study showed that maitake mushrooms might help fight obesity, Kyodo News reported.
Elsewhere, Hong Kong's Hang Seng lost 1.1 percent to 20,668.80 while South Korea's Kospi edged up marginally to 2,026.83.
Australia's S&P/ASX 200 fell nearly 0.1 percent to 4,270.40 as the country's mining and resource shares took a pounding over worries of reduced demand from China, the world's biggest consumer of raw materials. BHP Billiton, the world's largest mining company, lost 1.2 percent in Sydney.
Wall Street appeared headed for a higher opening, with Dow Jones industrial futures up 0.2 percent to 13,029 and S&P 500 futures adding 0.4 percent to 1,393.90.
Later Friday, the U.S. government will release a report on the number of people who bought new homes in February. Federal Reserve Chairman Ben Bernanke will also be delivering brief opening remarks at a Fed conference on central banking in Washington.
The National Association of Realtors on Wednesday released a mixed report about the state of the U.S. housing market. Sales of previously occupied homes dipped last month, but the sales pace for the winter was the best in five years.
Housing has been dragging on the economic recovery. An oversupply of homes has weakened construction and other trades in many parts of the country.
Benchmark oil for May delivery was up 56 cents to $105.91 per barrel in electronic trading on the New York Mercantile Exchange. The contract fell $1.92 to finish at $105.35 per barrel on the Nymex on Thursday.
In currencies, the euro jumped to $1.3270 from $1.3181 late Thursday in New York. The dollar rose to 82.70 yen from 82.59 yen.
source
Benchmark oil hovered above $105 per barrel after a big fall the day before. The dollar weakened against the euro but rose against the yen.
Britain's FTSE 100 rose 0.5 percent to 5,873.87. Germany's DAX gained 0.6 percent to 7,022.42 and France's CAC-40 added 0.4 percent to 3,486.70.
In Asia, stocks were jolted for a second day in a row by an index, released Thursday, that showed renewed weakness in China's manufacturing. The gauge compiled by HSBC fell to 48.1 in March from 49.6 in February. Figures below 50 indicate that manufacturing is shrinking.
That data comes on top of trade figures showing both Chinese and global demand falling. Weak European economic indicators added to worries about a slowdown.
"The market is disappointed that China's manufacturing sector is shrinking, so we are seeing the start of a major correction," said Francis Lun, managing director of Lyncean Holdings in Hong Kong.
The lack of bold reaction from China's government is causing investor unease, analysts said. The government has indicated it favors a pro-growth policy but so far has not aggressively reduced reserve requirements for banks on a national scale or lowered interest rates.
"China hasn't done anything to inject confidence in the market," said Jackson Wong, vice president at Tanrich Securities in Hong Kong. "That is dragging down the whole market in Hong Kong and other areas. So now we wait to see if China will roll out some bold moves."
Japan's Nikkei 225 index dropped 1.1 percent to close at 10,011.47 as the country's formidable export sector faded amid fears of slowing overseas demand. Yamaha Motor Co. shed 3.1 percent and Sharp Corp. slid 3.3 percent.
A rare gainer was Japanese food processor Yukiguni Maitake Co., which rose 0.3 percent a day after announcing a study showed that maitake mushrooms might help fight obesity, Kyodo News reported.
Elsewhere, Hong Kong's Hang Seng lost 1.1 percent to 20,668.80 while South Korea's Kospi edged up marginally to 2,026.83.
Australia's S&P/ASX 200 fell nearly 0.1 percent to 4,270.40 as the country's mining and resource shares took a pounding over worries of reduced demand from China, the world's biggest consumer of raw materials. BHP Billiton, the world's largest mining company, lost 1.2 percent in Sydney.
Wall Street appeared headed for a higher opening, with Dow Jones industrial futures up 0.2 percent to 13,029 and S&P 500 futures adding 0.4 percent to 1,393.90.
Later Friday, the U.S. government will release a report on the number of people who bought new homes in February. Federal Reserve Chairman Ben Bernanke will also be delivering brief opening remarks at a Fed conference on central banking in Washington.
The National Association of Realtors on Wednesday released a mixed report about the state of the U.S. housing market. Sales of previously occupied homes dipped last month, but the sales pace for the winter was the best in five years.
Housing has been dragging on the economic recovery. An oversupply of homes has weakened construction and other trades in many parts of the country.
Benchmark oil for May delivery was up 56 cents to $105.91 per barrel in electronic trading on the New York Mercantile Exchange. The contract fell $1.92 to finish at $105.35 per barrel on the Nymex on Thursday.
In currencies, the euro jumped to $1.3270 from $1.3181 late Thursday in New York. The dollar rose to 82.70 yen from 82.59 yen.
source
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