Japan's Government Bonds Decline as Rally in Stocks Pares Demand for Debt

(Bloomberg) -- Japan's 10-year bonds fell for a
second day on speculation a gain in stock prices will curb
demand for government debt.

Benchmark bonds dropped as shares advanced for a sixth day
on expectations exporters' profits will increase, aided by a
weak yen. An industry report this week showed U.S. manufacturing
grew at the fastest pace in 14 months, adding to evidence the
world's largest economy is gaining momentum.


Read more at Bloomberg Bonds News

Airlines' Fewer Seats May Boost Fares, Shares Amid Capacity Cuts in U.S.

(Bloomberg) -- Less flying may mean more profit for
the biggest U.S. airlines.

Major carriers are cutting domestic capacity even as travel
demand is rising, helping them fill more seats with passengers.
That's sparking optimism AMR Corp.'s American Airlines, UAL
Corp.'s United Airlines and others will be able to raise profits
and reverse a slide in share prices.


Read more at Bloomberg Stocks News

U.K. Pound May Hold Near 26-Year High on Bets BOE Will Raise Interest Rate

(Bloomberg) -- The pound may hold near a 26-year high
against the dollar on speculation the Bank of England will lift
interest rates today and signal further increases are needed to
curb inflation.

The U.K. currency climbed to $2.0207 yesterday, the highest
since June 1981, and has held above $2 for the past five days.
BOE policy makers will increase their interest rate a quarter
percentage point to a six-year high of 5.75 percent today,
according to 53 of 60 economists surveyed by Bloomberg News.


Read more at Bloomberg Currencies News

PRESS DIGEST - Wall Street Journal - July 5

(Reuters) - * General Motor's June sales dropped 21 percent as
Japanese car makers increased their share of the U.S. market,
helped in part by the weak yen.




* Coca-Cola Co. has approached several
private-equity firms involved in bidding for Cadbury
Schweppes's U.S. drinks business about buying
Cadbury's Snapple and Mott's brands.


Read more at Reuters.com Mergers News

Southwestern Resources, Trilogy Energy, Zincore: Canadian Equity Preview

(Bloomberg) -- The following is a list of companies
whose shares may have unusual price changes in Canadian markets.
This preview includes news that broke after markets closed. Stock
symbols are in parentheses after company names and prices are
from the last close.

The Standard & Poor's/TSX Composite Index fell 4.35, or less
than 0.1 percent, to 14,060.39 in Toronto.


Read more at Bloomberg Stocks News

Copper Rises to One-Month High on Chile, Falling Stockpiles; Zinc Gains

(Bloomberg) -- Copper prices rose in Asia to a one-
month high on concern labor disputes in Chile, the world's
largest source of the metal, may disrupt supplies and further
deplete global stockpiles. Zinc was also higher.

Inventories monitored by the London Metal Exchange dropped
for a seventh straight day, by 1,650 metric tons to 110,375 tons,
the exchange said yesterday. Contract workers at Dona Ines de
Collahuasi, Chile's third-largest copper mine, plan to strike on
July 9 after they found an improved wage offer too low.


Read more at Bloomberg Commodities News

DLF Shares May Rise on Debut After Record India Initial Sale Last Month

(Bloomberg) -- Shares of DLF Ltd., the Indian
property developer that raised $2.3 billion last month, may rise
on demand from investors who missed out on the country's biggest
initial stock sale.

The company controlled by billionaire Kushal Pal Singh may
debut today at 555 rupees ($13.72), 30 rupees higher than its IPO
price, according to the median estimate from five analysts and
investors surveyed by Bloomberg. The New Delhi-based developer
received orders for more than three times the shares offered.


Read more at Bloomberg Emerging Markets News

South Korean Stocks Gain, Led by Samsung, Chipmakers; Kangwon Land Plunges

(Bloomberg) -- South Korean stocks advanced for a
fourth day. Samsung Electronics Co. gained on speculation prices
for dynamic random access memory, or DRAM, will rise, helping
improve profit.

Kangwon Land Inc. tumbled by the most in more than four
years after the nearby city of Pyeongchang failed in its bid to
host the 2014 Winter Olympics.


Read more at Bloomberg Stocks News

Investors Shun `Falling Knife' of Once-Booming European Real Estate Stocks

(Bloomberg) -- Rising interest rates and declining
profits from real estate are pushing investors to ditch European
property stocks after a four-year rally.

The Bloomberg Europe Real Estate Index just completed its
worst quarter in a decade and the stocks are still expensive
compared with European averages. Robert Parkes, who advises
pension fund managers as a strategist at HSBC Holdings Plc, said
the stocks have further to decline.


Read more at Bloomberg Stocks News

Taiwan's Consumer Prices Probably Fell for Second Straight Month on Food

(Bloomberg) -- Taiwan's consumer prices probably
declined for a second consecutive month in June because of weak
domestic demand and cheaper locally grown fruit and vegetables.

Prices fell 0.2 percent from a year earlier, after dropping
0.03 percent in May, according to the median estimate of 13
economists in a Bloomberg News survey. The statistics bureau
will release the report at 4 p.m. today in Taipei.


Read more at Bloomberg Bonds News

Anchor Resources, BHP Billiton, Rio, Zambezi: Australian Equity Preview

(Bloomberg) -- The following is a list of companies
whose shares may rise or fall in Australia. This preview includes
news announced after markets closed yesterday. Prices are from
yesterday's close unless otherwise stated. Stock symbols are in
brackets after the company names.

The S&P/ASX 200 Index futures contract due in September added
0.1 percent to 6318 at 6:59 a.m. in Sydney. The Bank of New York
Australia ADR Index rose 0.9 percent in New York.


Read more at Bloomberg Stocks News

UPDATE 1-Mexico consumer confidence index falls in June

(Reuters) - The index showed fewer people felt their own family's
financial well-being had improved in the past year than they
did in May, but more expected it to get better a year into the
future.




Also, fewer people saw Mexico's economy in a healthier
state a year into the future and fewer considered it improved
from a year earlier.


Read more at Reuters.com Bonds News

Cereal, Oilseed, Sugar Prices Will Be Supported by Biofuel Use, OECD Says

(Bloomberg) -- Cereal, oilseed and sugar prices will
stay close to current levels over the next decade because of
surging demand from biofuel producers, the Organization for
Economic Co-operation and a United Nations agency said.

Ethanol production from corn is forecast to double between
2006 and 2016 in the U.S., the Paris-based OECD and the Food and
Agriculture Organization said today in a report. The output of
biodiesel made from oilseeds in Europe and ethanol from sugar in
Brazil will also soar, they said.


Read more at Bloomberg Commodities News

UPDATE 1-CVC to buy chemical firm Taminco for $1.1 bln

(Reuters) - Taminco, based in Ghent, Belgium, employs 850 people and has
eight production sites around the world.




It expects to generate total sales of 600 million euros in
2007 from products used in the pharmaceutical, agrochemical,
animal feed and water treatment industries.


Read more at Reuters.com Bonds News

Corporate Bond Risk May Soar in Europe on Subprime Losses, UniCredit Says

(Bloomberg) -- Corporate bond risk may soar in
Europe as the fallout from the U.S. subprime mortgage defaults
spread, according to UniCredit SpA, Italy's largest bank.

Goldman Sachs Group Inc., the world's biggest securities
firm, yesterday said the value of its collateralized debt
obligations, securities backed by bonds and loans, dropped $1.56
billion, or 29 percent, to $3.79 billion in the second quarter.
Goldman's fixed-income revenue fell 24 percent because of home
loan delinquencies, the New York-based firm bank said in its
quarterly filing with the Securities and Exchange Commission.


Read more at Bloomberg Bonds News

Data deluge leaves bets for higher UK rates intact

(Reuters) - Mortgage lender Halifax said house prices rose 0.4 percent in June, taking the annual three-month rate to 10.7 percent.




That was slightly below forecasts but stronger than in May, suggesting the housing market is still weathering the last four interest rate rises reasonably well.


Read more at Reuters.com Business News

RIM wins permission to sell in China: paper

(Reuters) - The Waterloo, Ontario-based company expects to start selling its 8700g handset in Chinese shops at the end of next month, a manager in RIM's Beijing office is quoted in the story as saying.




The manager said the company has received nearly 5,000 advance orders for the device, mainly from corporate customers, and notably foreign multinationals with offices in China.


Read more at Reuters.com Business News

FACTBOX-Some Key facts about Protectionism

(Reuters) - Here are some details about protectionism in other countries
and some examples:




RUSSIA:


Read more at Reuters.com Mergers News

Kenya's AccessKenya plans Internet firm takeover

(Reuters) - Newly-listed AccessKenya said on Wednesday it hopes to acquire Todays Online, another Kenyan Internet service provider, but is awaiting regulatory approval.

The company, which raised 800 million shillings in June by listing a 40 percent stake, declined to divulge details of the possible deal.


Read more at Reuters Africa

White Sugar, Robusta Coffee and Cocoa Advance on London's Euronext.liffe

(Bloomberg) -- White sugar, robusta coffee and cocoa
advanced in London.

Refined, or white, sugar futures gained $1.10, or 0.3
percent, to $323.20 a metric ton as of 10:06 a.m. on the
Euronext.liffe exchange. Cocoa climbed 5 pounds to 1,072 pounds
($2,163) a ton, while robusta coffee rose $4 to $1,891 a ton.


Read more at Bloomberg Commodities News

UPDATE 2-Territory gets funding for Consolidated counterbid

(Reuters) - SYDNEY, July 4 - Australia's Territory Resources
Ltd. said on Wednesday it has locked in A$200 million
to help fund a A$700 million-plus counterbid for
bigger miner Consolidated Minerals Ltd. .




Territory said Singapore commodities trader Noble Group
and DCM DECOmetal of Austria had confirmed they will
provide the funds if Territory proceeds with its acquisition
proposal, tentatively scheduled for July 16.


Read more at Reuters.com Mergers News

Roche files complaint against Ventana defence

(Reuters) - Piller said Roche's move was a typical procedure in a
takeover bid. "Most companies have these kind of poison pills,"
he said.




Roche launched a $3 billion hostile takeover bid for Ventana
in late June after its efforts to negotiate a friendly deal were
rebuffed.


Read more at Reuters.com Mergers News

FTSE up as M&A boosts hotels, properties; BoE eyed

(Reuters) - Britain's top share index inched higher early on Wednesday ahead of an expected interest rate rise by the Bank of England this week, with hotel groups up after Blackstone agreed to buy Hilton Hotels.

At 0727 GMT, the FTSE 100 was up 17.5 points, or 0.26 percent at 6,657.3, even though the pound had hit a 26-year high against the dollar. European shares also rose.


Read more at Reuters Africa

Credit Suisse Says Investors Should Buy Turkish Stocks, Especially Banks

(Bloomberg) -- Credit Suisse Group advised investors
to increase holdings in Turkish equities, especially banks,
because of the country's political and interest-rate outlook.

Switzerland's second-largest bank said investors should
increase holdings of Turkish stocks to 10 percent above their
weighting in benchmarks, strategists Alexander Redman, Yavuz Uzay
and Berna Bayazitoglu wrote in a report dated July 3 and
distributed today.


Read more at Bloomberg Emerging Markets News

JGBs slip on Treasury losses, post-auction selling

(Reuters) - JGBs trimmed some losses after Moody's Investors Service
placed Japan's sovereign rating on review for a possible upgrade,
but analysts said JGBs overall showed muted reaction to the news.




Treasuries fell on Tuesday in thin trade before the U.S.
Independence Day holiday, hurt by a firm stock market and
surprisingly strong factory orders that pushed benchmark yields
up to 5.05 percent, lifting them from a one-month low hit earlier
in the week.


Read more at Reuters.com Bonds News