Takeaways for today (10/21/2007)
The dollar slumped to a record low on Monday after a meeting of the finance chiefs of rich nations ended without words of support for the currency, while Wall Street weakness prompted a broad sell off in Asian stocks.
Oil slipped back from its record run on profit taking while gold fell as investors cashed in on its rally to a 28-year high on Friday.
U.S. Companies See More Slowing in Housing, GrowthMost U.S. companies, foreseeing weaker second-half growth and a ``substantial'' slowdown in housing, plan to hire and invest less, a survey by the National Association for Business Economics found.
Fifty-six percent of the businesses said they were more pessimistic this month, twice the share in a July survey, NABE said. For the first time since 2002, a majority projected the economy will grow 2 percent or less at an annual pace in the second half.
Alibaba.com Ltd. (1688.HK) is seeking to raise up to US$1.49 billion in an initial public offering ahead of a Hong Kong listing after raising the price range to HK$12 to HK$13.50 a share, people familiar with the situation said Monday.
World's bankers cautious on 'superfund'
Most international bankers gathered in Washington at the weekend were agreed on one thing. It was too early to say whether the planned $75bn mortgage securities fund would work or whether they would back it.
Ship Shortage Pushes Up Prices Of Commodities
The cost of shipping raw materials across the world's oceans has reached an all-time high, pushing up prices of grain, iron ore, coal and other commodities.
The average price of renting a ship to carry raw materials from Brazil to China has nearly tripled to $180,000 a day from $65,000 a year ago. In some cases, ocean shipping can be more expensive than the cargo itself. Iron ore, for example, costs about $60 a ton, but ship owners typically are charging about $88 a ton to transport it from Brazil to Asia.
Prior Loans, Future Pain?Since midsummer, bank lending to businesses has risen at the fastest rate in more than 30 years, providing a cushion for the economy as lenders cut back on mortgages and other forms of loans.
But the lending outlook doesn't look nearly as promising, in part because of billions of dollars in losses they have recorded and because some lending was forced on them because of commitments made before the recent turmoil. If banks cut back, it could cause a full-blown credit crunch, which could hit an already slowing economy.
World Bank chief calls for new direction for lenderWorld Bank President Robert Zoellick on Sunday called on the bank's 185 member nations to back a new direction for the poverty-fighting institution and give the private sector a bigger role in helping poor nations.
"I believe we need to take a fresh look at the bank's strategic direction," Zoellick said in his first speech to officials of the bank's 185 member countries.
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This entry was posted by David Choi, on
Sunday, October 21, 2007.
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