Japanese stock market saw a major increase during the year, but following Fed’s announcement earlier this week. Today the Indian Rupee dropped to its lowest level in 8 months and a half. HSBC’s Flash Manufacturing Purchasing Manager’s Index (PMI) has contracted in May and caused decrease in Chinese manufacturing sector today. Today oil prices decreased to below $94 per barrel.
In its annual report the International Monetary Fund urgently advised the UK to increase its infrastructure budget to boost the economic recovery of the country, reported Financial Times.
Recently Goldman Sach sold its share in Industrial and Commercial Bank of China (ICBC) profiting near three times of its initial investments.
Financial reports showed that in April Japan has incurred a trade deficit for a 10th consecutive month. Rolls-Royce has made a deal with Airbus to power 23 of its new planes. Today US Secretary of State John Kerry met with defence ministers in Oman to discuss their intention to buy an air defence system from American manufacturer Raytheon for $2.1 billion. Sony Corp reduced its sale forecasts for digital cameras, smartphones and tablest by 13% to 17% for the fiscal year to end March 2015.
Apple’s CEO Tim Cook publicly defended the company in front of the Senate on allegations that the tech giant has benefited from tax holes and avoided billions of dollars dues, reported Financial Times.
Back in the autumn of 2008 when the financial crisis first hit, the US seemed to be the biggest looser, as most of its economy is highly dependent on the stock market, which immediately collapsed. However if we consider European countries we can see that Iceland was actually the first to suffer from the major contraction.
Mark & Spencer reported decrease in its yearly profits to their lowest level in four years following decline in clothing sales. In the next three years near 37.5% or 3.49 trillion yuan ($554 billion) of the bank loans in China are maturing, commented Shang Fulin, Chairman of China Banking Regulatory Commission. World’s second largest operator Vodafone announced its quarterly results. Today Asian stock markets declined following news from US Fed and its future monetary policy.
Actavis announced the acquisition of its Dublin-based competitor Warner Chilcott for $5 billion, which will turn it into world’s third biggest generic drug company by market share, reported Financial Times.
The total amount of the deal is $8.5 billion including net debt as well. In the recent months other pharmaceutical giants like Valeant and Mylan made attempts to acquire Actavis as part of the trend of rapid consolidation in the industry.
The policy of world’s largest economies of quantitative easing that is purposed to stimulate the fragile market has now started raising questions and concerns over whether it will actually prove successful over the long-term.
China’s Insurers, PC Shipments, Bird flu Consequences and French taxes in Our Daily Round-Up for 05/20/2013
Insurance companies in China are struggling to retain its revenue levels despite weaker market by improving their services. According to research agency International Data Corporation, India PC shipments have increased by 7.5% to 2.71 million units in Q1 of 2013. Bird flu that appeared earlier in March this year has caused losses to the poultry industry reaching 40 billion yuan, or $6.25 billion. Near 8,000 French families have paid tax bills above 100% on their income in 2012.