Stocks Poised for Worst Month on Growth Woes: Israel Overnight

Israeli shares traded in New York are heading for their worst month on record on concern global economic growth is faltering and the Palestinian Authority’s quest for statehood may destabilize the country.

The Bloomberg Israel-US 25 Index of the largest Israeli companies that trade in the U.S. retreated 0.2 percent to 85.48 yesterday, extending its August drop to 13 percent, the worst monthly performance in data going back to September 2005. SodaStream International Ltd. (SODA), the maker of machines that carbonate water, led the gauge’s decline, falling 50 percent after its profit forecast trailed estimates. Teva Pharmaceutical Industries Ltd. (TEVA), the world’s largest maker of generic drugs, dropped 13 percent on concern new products won’t boost sales.

Canada’s economy hit by global turmoil

Canada’s economy shrank in the second quarter for the first time since the 2008-09 recession owing to a sharp deterioration in the foreign trade balance.

Statistics Canada reported on Wednesday that gross domestic product dipped at an annual rate of 0.4 per cent, adjusted for inflation, compared with 3.6 per cent growth in the first three months of the year.

Norway's 2 oil finds will bolster fiscal security

While much of Europe is pinching pennies to pay its way out of the debt crisis, Norway has been awash with cash and is set to get more. Two major oil finds are revitalizing the country's aging energy sector and promise to buoy it through the downturn looming over the global economy.

Although headlines this summer have been predicting economic gloom - a flareup in Europe's debt problems, falling bank stocks, another recession in the United States - Norway has weathered the bad news.

US and Europe in the Same Boat

S&P's downgrade of US credit brought the country's debt problem to the forefront, but the US is not alone; the euro crisis is flaring up again along with concerns over European banks.

For the first time in US history, the US credit rating was downgraded on August 5. Coming on the heels of the steepest stock-market drop since the 2008 financial crisis, it was a big blow to an already fragile financial system.

Media pressure may help speed up food security moves

More than two years have passed and there seems to be no progress worth speaking about in making the promised law that will guarantee food for the people. The promise came from the UPA-2 as part of its election manifesto in 2009. It was a time of recovery from a time of economic troubles. The impact of the global economic slowdown came on top of the agrarian crisis and the closure of several industrial undertakings, resulting in the loss of jobs and wage cuts that impoverished thousands of workers.

Glencore confident on outlook after maiden interims

Glencore (LON:GLEN), the miner and world’s commodities trader, yesterday posted very healthy first half profits despite a tricky trading environment over the period. Analysts at Citi are content with the group’s first set of result since its massive IPO in May and remain positive on its shares.

The Switzerland-based commodities group reported a 57% rise in first-half adjusted net income to $2.45 billion on sales ahead 32% to $92.12 billion.

Analysts at Citi say the “credible” interim performance was in line with their expectations at both the revenue and earnings before interest and tax (EBIT) level.

Chile Weathering Global Slump With 5% Growth in 2012 as Spending Increases

Chile, the world’s biggest copper producer, is poised to shrug off a global economic slowdown and generate growth of more than 5 percent next year, topping analysts’ estimates, Finance Minister Felipe Larrain said.

The government of President Sebastian Pinera aims to average 6 percent annual growth over its four-year term and is developing 2012 forecasts that point to an expansion of 5 percent or “somewhat” more, Larrain, 53, said yesterday at the Bloomberg Chile Economic Summit in Santiago. The government is establishing a financial stability council made up of central bank and government experts to better coordinate economic oversight as global risks mount, Larrain said.

LatAm, Asia leaders to boost cooperation

Leaders at a gathering of nations from Latin America and Asia, including Australia, has called for closer economic cooperation to help combat the global financial crisis.

Argentine Foreign Minister Hector Timerman kicked off Thursday's gathering by underlining 'the need for concrete actions to strengthen biregional political and economic ties'.

How imminent is China's global economic dominance?

More and more people in the United States are increasingly concerned about, even obsessed with, the emerging global economic dominance of China, which is also regarded by many around the world as the most important single global economic issue.

Global arms exports track global economy's double dip

by Thomas P. M. Barnett

It's interesting to think back to the start of the global economic crisis, when there were a lot of assumptions voiced about how a rising quotient of international tension would inevitably morph into more conflicts and thus more traditionally focused defense spending – i.e., great powers hedging against one another versus, say, non-state actors or state failure. If we were on the verge of the second Great Depression, then certainly we'd find ourselves in a 1930s-like march toward significant great-power struggles, yes? With the Arab Spring providing the tinder for a great-power free-for-all?

G4S looks to secure EM business

Here is another British company that is increasing its bet on emerging markets. With 29 per cent of group revenues already coming from EM, security company G4S on Tuesday set a target of 50 per cent by 2018.

With 625,000 staff already on its books, we will be seeing a lot more of those black-uniformed security men with the G4S logo on their chests in India, China and Middle East.

Water crisis, population surge prompt rethink on food: UN

Stockholm: Population growth and water stress are driving Earth to a food and environmental crunch that only better farming techniques and smarter use of the ecosystem will avert, a UN report issued today said.

The number of humans is expected to rise from seven billion in 2011 to at least nine billion by 2050, boosting demands for water that are already extreme in many countries and set to worsen through global warming.

Fate of China-US relations

By Tong Kim

American Vice President Joe Biden’s visit to China last week provided a glimpse of a critical juncture in Sino-American relations, which, if not properly handled, may unravel the international economic order put in place under U.S. stewardship that has worked well to benefit the world as a whole for the past half a century.

Biden told his Chinese counterpart Xi Jinping, who is expected to succeed President Hu Jintao next year, “Fifty years from now, 100 years from now, historians and scholars will judge us based upon whether or not we’re able to establish a strong, permanent and friendly working relationship.” He also said a close relationship and cooperation between U.S. and China “is the key … to global economic stability.”

Canada Dollar Falls on European Debt Crisis, Slower U.S. Economic Growth

Canada’s dollar fell for a fourth week versus its U.S. counterpart in the longest losing streak since June amid concern global growth will falter as the American economy stalls and Europe’s debt crisis worsens.

The loonie, as the currency is nicknamed, dropped against 13 of its 16 most-traded peers as crude oil, Canada’s biggest export, tumbled for a fourth week. Yields on Canada’s 10-year bonds touched a record low as economists cut forecasts for growth in the U.S., the nation’s biggest trade partner. Retail sales in rose 0.6 percent in June, data next week may show.

Mideast Bonds Rise as Investors Seek Haven From Europe Crisis: Arab Credit

Middle Eastern sovereign bonds are rallying for a second month as economic growth and cash-rich banks lure investors seeking shelter from Europe’s debt crisis and the U.S. economic slowdown.

Schroder Investment Management Ltd., Abu Dhabi Commercial Bank PJSC and Fideuram Asset Management Ireland Ltd. predict the rise, fueled by Persian Gulf borrowers and Lebanon, may continue. The average yield on the region’s notes declined 17 basis points, or 0.17 percentage point, this month to 4.67 percent, the lowest since November, the HSBC/Nasdaq Dubai Middle East Conventional Sovereign US Dollar Bond Index shows. Rates on emerging-market government debt fell three basis points to 5.64 percent on Aug. 17, data compiled by JPMorgan Chase & Co. show.

Biden in China: Ties are key to global economic stability

By Keith B. Richburg

BEIJING — Vice President Biden on Thursday began a four-day get-to-know-you mission here as the guest of his Chinese counterpart, stressing the importance of the two countries working together to combat the global economic crisis.

But the trip, carefully choreographed by Chinese leaders, got off to an awkward start when Chinese security officials forcibly shoved foreign journalists out of the conference room before Biden had finished making his prepared remarks in his meeting with Vice President Xi Jinping.

Winners and losers in a time of a global economic crisis

Amid all the excitement of the stock market swinging around like something out of The Jungle Book and looters roaming the streets, the most common question that I have been asked over the past few weeks is "what does it mean for my bank balance?"

Reports of billions being wiped off global stock markets are very frightening, but the crisis is not one that affects everyone equally. Depending on what stage of life you are at, the events of the past few weeks will have a very different effect on your quality of life. The following guide should help you to assess the damage (and the bright side), and help you understand what to do about it.

The EU should kick Britain out

Few countries need a reality check as much as Britain. Leading British political figures are still rattling their sabres and demanding that the UK withdraw from the EU. And a recent poll showed that 50% of the British public want out as well. But, looking at Britannia's performance in recent years, a case can be made that the EU shouldn't wait for Britain to leave: it should kick Britain out instead. The UK has been more destructive to Europe than has Greece. Let's look at the record.

Harper signs deals on air travel, pensions with Brazil

Prime Minister Stephen Harper and Brazilian President Dilma Rousseff signed on Monday, a trade agreement meant to give airlines more flexibility and provide expats with continuous social security benefits.

“Brazil is a major global economic player and a key priority market for Canada,” Harper said in a statement. “These agreements will benefit both countries by promoting greater two-way flow of people, goods and services, enhancing our competitiveness and further strengthening our partnership in key areas of shared interest.”

Many countries globally are facing same economic woes as Uganda

THERE are people who do not want to hear that the economic challenge Uganda is facing is actually part and parcel of a global phenomenon. No surprise here; for they might as well deny that the sun does not shine at night.

The reality is that no country in the world had fully recovered from the global economic crisis that hit in 2008. As I write this, the richest economy in the world, the United States has lost its top notch ‘Triple A’ credit rating from Standard and Poor’s in a dramatic reversal.

Global debt concerns lead investors to flee to gold as safe haven

Despite the US Senate coming to an agreement yesterday on raising the debt ceiling and confirmation from credit agencies that the US will not lose its triple-A rating for the time being, stock markets around the globe fell yesterday and investors sought the security of gold.

The precious metal, seen as a sanctuary for investors in times of economic uncertainty, hit another high, peaking at $1,670 an ounce. In addition to concerns about the US economy, investors are worried that eurozone difficulties could intensify further.

IMF: US Debt Deal First Step To Healthy Finances, Avoids Economic Chaos

WASHINGTON (Dow Jones)--The International Monetary Fund said a deal to raise the U.S. debt ceiling is an important first step that averted global economic calamity and helped to reassure markets.

"Raising the debt ceiling means a severe economic disruption has been avoided, and the accompanying deficit reduction deal is an important step toward fiscal consolidation," IMF Managing Director Christine Lagarde said in a statement after the president signed the budget deal into law.