China local government debt surges by 70%

China has local government debts of 17.7 trillion yuan ($2.9tn), up 70% from three years ago, according to an official report.

Africa also booming market for stolen cars

ABIDJAN: If luxury cars have become a more common sight on African roads, that is in part due to it becoming a prime destination for cars lifted off European streets.

China Warns Officials on Terror Attacks as Xi Shows Frugality

Chinese officials and police have been told to step up safety precautions in “key regions” and be on alert for terrorist attacks during the New Year and Spring Festival holidays amid ethnic tensions in Xinjiang.

Portugal deficit edges up in Quarter 3

LISBON: Portugal's budget deficit in the 12 months to the end of September edged up to 6.3 per cent of gross domestic product from 6.1 per cent at the end of June as spending rose more than revenues, official data showed on Friday.

U.S. Holiday Sales Rise 3.5%, SpendingPulse Says

U.S. retail sales rose 3.5 percent during the holiday season this year, helped by deep discounts at malls and purchases of children’s apparel and jewelry, MasterCard Advisors SpendingPulse said.

Mortgage approvals a third higher in November than last year

Mortgage approvals in Britain were more than a third higher in November than a year earlier as government subsidies for homebuyers helped the property recovery gather pace.

U.S. bank group launches Volcker rule legal challenge

(Reuters) - The American Bankers Association on Monday initiated a legal challenge to a provision of the "Volcker rule" that restricts bank ownership of certain investments.

As Singapore gets richer, more people left behind

SINGAPORE (Reuters) - Every day, through eyes clouded by glaucoma, Peter witnesses the spending power generated by Singapore's economic success, knowing he can only afford to look.

Japan exports rise but trade gap widens on weak yen

(Reuters) - Japan's exports rose for a ninth consecutive month in November, led by car shipments to the United States and China, a sign the weak yen and a recovery in global demand are energizing a major growth driver in the world's third-biggest economy.

Finland hit harder by recession than expected

HELSINKI: Finland's economy will contract by 1.2 percent this year, far lower than previous forecasts, the government announced in an economic report Thursday.

UK inflation falls to four-year low of 2.1% as food prices steady

Inflation has fallen back to its slowest pace in four years thanks to steadying food prices and the fact that energy price hikes have yet to come in.

US boosts maritime security aid to Vietnam

HANOI, Vietnam (AP) — The United States will boost maritime security assistance to China's smaller neighbors amid rising tensions over disputed territories in the South China Sea, U.S. Secretary of State John Kerry announced on Monday during a visit to Vietnam, where he also pressed the communist government on human rights and democratic and economic reforms.

BOJ to release survey on price expectations from next tankan

TOKYO, Dec 16 (Reuters) - The Bank of Japan will begin publishing from April next year a survey of how companies see price moves ahead as part of its quarterly "tankan" business sentiment poll, the central bank said on Monday.

Russia Seen Pushing Back Rate Cuts on Inflation Outlook for 2014

Economists pushed back forecasts for a cut in Russia’s benchmark rate today after the central bank said that inflation would slow to next year’s target of 5 percent only in the second half.

US cracks down on companies evading Iran sanctions

WASHINGTON: The Obama administration is targeting several companies and individuals for evading international sanctions against Iran and for providing support for Iran's nuclear program.

Switzerland set sights on becoming world's data vault

ATTINGHAUSEN: It looks like the ideal location for a James Bond thriller: a massive underground bunker in a secret location in the Swiss Alps used for keeping data safe from prying eyes.

U.S. Treasury Secretary: Euro-Zone Recession 'Seems to Be Ending'

WASHINGTON–U.S. Treasury Secretary Jacob Lew said Thursday the euro zone's recession "seems to be ending," despite high unemployment levels in the hardest-hit countries.

Wall Street facing tighter scrutiny as regulators move on Volcker rule

Wall Street is facing tighter scrutiny of its trading activities after US regulators moved on Tuesday to impose stricter rules on the types of trades banks can make following the financial crisis.

Bill Clinton condemns NSA’s reported collection of economic data

Former president Bill Clinton in a new interview condemns the National Security Agency's reported collection of industrial data as part of its surveillance programs.

Ukraine Default Swaps Jump to Four-Year High as Russia Backs Off

The cost of insuring Ukrainian government bonds increased to the highest level in four years as Russia cast doubt on imminent assistance for its neighbor.

Spain's PM says his country has turned a corner

More than half its young people are unemployed, a double-dip recession has left the economy 7% smaller than it was five years ago, and debt has soared to nearly 100% of GDP.

Noonan Says Moody’s May Lift Ireland From Junk in Early 2014

Ireland’s Finance Minister Michael Noonan said he hopes Moody’s Investors Service will raise the nation’s credit rating from non-investment grade as the country exits its bailout program and plans debt sales.

World powers say 'serious' about Iran nuclear deal: Report

Tehran: World powers have assured Tehran they are "serious" about a nuclear deal clinched in Geneva and are keen to take it forward, local media today reported Iran's top diplomat as saying.

Cyprus to start privatising in two years - Government

(Reuters) - Cyprus approved a roadmap on Thursday to start privatising state companies in two years, a requirement of international lenders who threw the island a 10 billion euro ($13.6 billion)lifeline in March.

Australia growth rate falls short of forecasts

Australia has reported weaker-than-expected growth for the July-to-September quarter partly due to slower domestic demand.

Detroit judge rules bankruptcy process can proceed

A federal judge has ruled Detroit should be granted protection from its creditors, marking the largest public bankruptcy in US history.

UK manufacturing expands at fastest pace in three years

Manufacturing returned to form in November as the sector steamed ahead with the fastest growth in nearly three years, following two months in which the pace of expansion slowed.

BOJ's Kuroda unwavering on inflation goal as Japan capex rises

(Reuters) - Bank of Japan Governor Haruhiko Kuroda said on Monday he saw no need to water down the bank's commitment to achieve 2 percent inflation in two years, stressing that the country was on track to meet the target despite risks from soft overseas growth.

Canada’s Dollar Weakens a Second Month Amid Stimulus Speculation

The Canadian dollar fell in the first back-to-back monthly losses since June amid speculation the U.S. Federal Reserve will reduce monetary stimulus before Bank of Canada policy makers do.

S.Africa's Zuma 'benefited from security revamp deal'

South African President Jacob Zuma personally benefitted from controversial "security" renovations at his private home and must repay the state, a government watchdog report leaked to a local newspaper said on Friday.

U.S. nears decision to split leadership of NSA, Cyber Command: sources

(Reuters) - The White House is nearing a decision on splitting up the eavesdropping National Security Agency and U.S.

Our Best New Foreign Policy Tool: Energy

By Alexanser Mirtchev

To date, the extensive policy debate over production of non-traditional fossil fuels, such as shale gas, and the resulting possibility for the use of those resources by the United States  has not adequately focused on an important consideration: the geo-economic and foreign policy implications and advantages to the United States, its allies, and global economic security overall, stemming from these new fossil fuel resources.

New gas resources and exports of liquefied natural gas (LNG) from the U.S. are an added economic resource, which can allow the U.S. to mitigate its own and the reliance of many of its allies in Europe on external sources of fossil fuels. Europe is extensively dependent on gas imports, especially from Russia, as well as  Algeria, Qatar and others. According to the International Energy Agency, Europe depended on oil and gas imports for over 60% of its demand in 2010, and this dependence is set to increase to over 80% by 2035. At the same time, the external energy suppliers to the EU have demonstrated their willingness to use the leverage of European energy dependence for foreign policy purposes. Several times in recent history, Russian disputes with countries through which those pipelines transit – most notably disputes with the Ukraine in 2006 and 2009 – have caused either actual supply shortages or fear of supply shortages to Europe, which was sufficient to roil the local markets. The simple knowledge that Europe depends on foreign gas has allowed exporters to use producer power as a foreign policy leverage.

The preferred manner of transporting gas to European markets has been pipelines, but currently only one meaningful alternative pipeline route is being developed – from Azerbaijan to Europe – to provide a check on Russian natural gas power. This raises the importance of LNG, the other alternative form of supplying distant markets. Because LNG is transported in vessels, supply is not limited by pipeline infrastructure but instead can be delivered to various markets so long as LNG regasification facilities exist. European countries such as Belgium, France, Italy, the Netherlands, Portugal, and Spain currently import LNG. Additional LNG regasification facilities and increased supplies of LNG on the world market will increase European energy security. This is where the U.S. is in position to become an adequate optional source of energy and energy security for its European allies.

With huge supplies of natural gas and the technical capability to produce large quantities of gas on a steady basis for years to come, the introduction of meaningful volumes of U.S. LNG into world markets will disrupt the current market, threaten the incumbents and ultimately lead to the creation of a liquid global spot market for LNG. It will not require duplicative infrastructure, only sufficient adjustments and adaptation to ensure that loss of other suppliers will not constrain consumers. Once European buyers are able to tap into liquid global markets rather than long-term contracts with one or two suppliers, they will be less intimidated by prospects of shutdown or other forms of manipulation of gas deliveries. The mere availability of adequate LNG regasification infrastructure and supply may be all that is necessary to prevent gas exporters from using natural gas supply as geopolitical leverage, nudge them to take diversification seriously and spur a wave of market reforms, contributing to the improvement of global economic security.

The geopolitical opportunities presented by the shale revolution and the prospect of LNG exports cannot be underestimated, and yet these considerations seem to rarely factor into the current debate in the US about LNG exports. The economic rationale for increased LNG exports from the US have been well documented. A recent IHS study puts the increase in US industrial production at $252 billion by 2020, thanks to lower energy prices in the US and other economic ‘spillovers’ from unconventional oil and gas. The objections fall into two categories: (i) those large US industrial consumers that benefit from low natural gas prices and thus for parochial reasons want to limit demand by closing off export markets in order to keep an imbalance between supply and demand that results in artificially low prices; and (ii) environmental interests opposed to hydraulic fracturing used to produce much US natural gas and who therefore want to close off export markets in order to try to limit natural gas production. While the economic case alone outweighs these objections, the case for US LNG exports becomes even stronger when one further takes into account how US LNG exports stand to advance US foreign policy, geo-economic and geopolitical interests.

Dr. Mirtchev is an economist who frequently writes on global economic security and energy issues

Greek economy to shrink for seventh year, OECD says

The Greek economy will keep shrinking next year and may need more financial help, the Organisation for Economic Co-operation and Development (OECD) says.

Scottish independence: Treasury claims taxes could rise by £1,000

Taxes in Scotland could rise by £1,000 per person per year if it leaves the UK, a British government minister says.

Ukraine Opposition Seeks to Keep Pressure on Yanukovych

Ukrainian opposition leaders urged a continuation of the biggest protests since the 2004 Orange Revolution to force President Viktor Yanukovych to reverse a decision to snub the European Union in favor of Russia.

Payday loan costs cap unveiled by George Osborne

The chancellor, George Osborne, has executed an audacious and politically significant U-turn by announcing the introduction of a cap on payday loans.

Fed Not in the ‘Danger Zone’ as Exit Approaches, Lockhart Says

Federal Reserve Bank of Atlanta President Dennis Lockhart said he thinks the central bank can handle its exit from quantitative easing when the time comes, despite uncertainty caused by a balance sheet close to $4 trillion.

Eurozone ministers are 'losing patience' with Greece

Eurozone finance ministers are losing patience with Greece, said the head of the Eurogroup, Jeroen Dijsselbloem, as the country submitted its 2014 budget.

OECD cuts world growth forecast

Another month, another downgrade for the world economy, this time from the Organization for Economic Co-operation and Development.

UK looks ill-prepared if a global currency war breaks out

Rumours of war are in the air. Currency war, that is. The US treasury has forged an alliance with Brussels to attack Germany's beggar-thy-neighbour approach to the rest of the eurozone.

Angolan president sacks security chief

Luanda (Angola) (AFP) - Angola's president has sacked his intelligence and state security chief, state media reported Friday, amid allegations linking the sector's staff to the disappearance of two activists.

Ireland to exit international bailout in December

Ireland is to make a clean break from its three-year 85bn euro (£71bn) bailout programme next month, without seeking precautionary funding.

Typhoon could cut Philippines growth by 1% next year

Philippine Finance Minister Cesar Purisma has told the BBC that the devastation caused by the Typhoon Haiyan could reduce growth by one percentage point next year.

Swiss divided as 1:12 executive pay referendum nears

To see just how far the revolt against fat cat pay has spread, you could do worse than visit a grey building a stone's throw from the open-air market and pavement cafes of the Bärenplatz in the medieval centre of Bern.

EU banks outside euro zone likely to overcome stress test divide

(Reuters) - EU nations that lie outside the euro zone plan largely to fall in behind the European Central Bank when they check the health of their banks, helping them to avoid a "two tier" outcome in stress tests next year.

Russian GDP Expands Less Than Forecast in Third Quarter

Russia’s economy grew less than estimated in the third quarter as a lack of investment kept the world’s largest energy exporter from reversing its worst slowdown since a 2009 recession.

Portugal Q3 trade deficit shrinks by 5 per cent

LISBON: Portugal's global trade deficit fell by five per cent in the third quarter from a year earlier, as export growth outpaced that of imports, data showed on Monday.

Obama Urges Infrastructure Spending to Spur U.S. Economy

President Barack Obama sought to put aside turmoil with the rollout of the federal health insurance marketplace by focusing on the billions of dollars in public investments he says the U.S. needs to boost the economy.

The UK's widening trade gap is worrying – but hardly a shock

Disappointing and worrying but hardly a shock. That's the way to look at the latest set of UK trade figures showing the biggest deficit for a year.

Pentagon offset budget cut impact in key areas: Watchdog agency

WASHINGTON: When $37 billion in budget cuts hit the Pentagon abruptly early this year, officials took steps that minimized the impact on key areas like the Afghanistan war but also took action that could raise long-run costs, a watchdog agency said on Thursday.

New sanctions see more benefits cut, DWP figures show

More than 400,000 people have lost Jobseeker's Allowance under new government sanctions aimed at ensuring they actively seek work.

"Beijing Security Moat" for Plenum, Says Chinese Minister

As China prepares to hold a much-anticipated third party plenum in Beijing on Nov. 9-12, police, firemen and other officials are raising security precautions to high alert, visiting subway and train stations, inspecting vehicle registrations, and ensuring fire exits are unobstructed.

Kerry: spying row shouldn't cloud U.S.-EU trade talks

(Reuters) - European concerns about alleged electronic eavesdropping by U.S. intelligence should not be allowed to cloud trade talks next week between the United States and the European Union, U.S. Secretary of State John Kerry said on Tuesday.

India Prepares to Launch Mars Orbiter in Space Race With China

India is preparing to launch a spacecraft to Mars tomorrow, striving to put a probe into orbit around the red planet before China and Japan.

ECB under growing pressure to cut rates

FRANKFURT: The heat is on the European Central Bank to cut rates amid growing deflationary fears in Europe, but analysts are divided over whether it will act as soon as this week.

UK manufacturing continues 'solid' growth

UK manufacturing continued to grow strongly in October, making a "solid start" to the final quarter of the year, a closely-watched survey says.

Do Economic Illiterates Litter The U.S. Treasury Department? It Sure Seems So

There’s no better example of the economic illiteracy that destructively afflicts economists and political leaders these days than the U.S. Treasury Department’s report released on Oct. 30 sharply criticizing Germany’s supposedly destructive economic policies.

UK weighs introducing criminal sanctions against energy firms

LONDON: Britain is considering introducing criminal sanctions against energy firms that manipulate the market at the expense of consumers, energy minister Ed Davey said on Thursday.

Roma Employment Drive Falls Short as $14 Billion Untapped

Bodvalenke, a hamlet in Hungary’s northeast, was supposed to be a symbol of possibilities for the Roma, Europe’s largest ethnic minority.

Business-Conservative Alliance Presses for Immigration Action

WASHINGTON — For the business group from Utah, the lobbying blitz started well before their plane touched down in the nation’s capital.

In China, hopes of market reforms tempered by realities of politics

HONG KONG: In a political system whose lifeblood is opaque slogans, a detailed proposal for China's economic reform ominously titled Plan 383 has created a hubbub of excitement from investors and the country's news media.

World currency turbulence hits company earnings

PARIS: Emerging markets have helped rake in a corporate earnings bonanza in recent years, but a sudden plunge in their currencies in mid-2013 due to an expected cut in US stimulus has sorely hit sales and profit.

People from India, China out-educating us: Barack Obama

NEW YORK: Billions of people from countries like India and China are striving hard to "out-educate" Americans in mathematics and technology, President Barack Obama has said while stressing on education reforms to prepare Americans for a global economy where "jobs can go anywhere."

UK's economic growth prompts foretaste of election battle

Britain's strongest growth in more than three years has provided a foretaste of the looming general election battle as the Conservatives and Labour clashed over the state of the economy.

Euro zone business growth eases in October as demand falters: PMI

LONDON: The pace of growth in euro zone business eased unexpectedly this month as the buoyant demand for services seen in September faded, business surveys showed on Thursday.

EU lawmakers seek to block U.S. financial spying

(Reuters) - The European Parliament called on Wednesday for U.S. access to a global financial database in Belgium to be suspended due to concerns that the United States is snooping on the European Union, not just combating terrorism.

European Stocks Climb for Ninth Day on Earnings Optimism

European stocks rallied for a ninth day, their longest winning streak since June 2010, as companies from Novartis AG to Reckitt Benckiser (RB/) Group Plc raised forecasts and data showed U.S. unemployment rate fell to the lowest since November 2008.

Draghi Says Bank-Aid Rules Must Be Flexible on Forced Losses

European Central Bank President Mario Draghi said banks should be able to access public aid without wiping out junior bondholders if regulators decide a lender needs more capital and isn’t on the brink of failure.

UK says its local banking rules eased for all, not just Chinese

LONDON: Britain is ready to relax its banking rules for any non-European bank, not just those from China who want to set up investment banking operations in London, its chief industry regulator said on Thursday.

Inflation higher than expected with energy price rise on way

Inflation was higher than expected last month, keeping household budgets under pressure even before the next round of energy bill increases come in this winter.

Irish Near Bailout ‘End-Game’ With Less Austerity in Budget

Ireland will today unveil its final budget before becoming the first country in the euro region to exit a bailout program, with the government planning to scale back austerity to foster economic growth.

Spanish bank debt to ECB at lowest for 18 months: bank

MADRID: The net debt owed by Spanish banks to the European Central Bank fell in September to the lowest level for 18 months, data from the Bank of Spain showed on Monday.

U.S. May Join Germany of 1933 in Pantheon of Defaults

Reneging on its debt obligations would make the U.S. the first major Western government to default since Nazi Germany 80 years ago.

Europe prepares to come clean on hidden bank losses

(Reuters) - Euro zone countries will consider on Monday how to pay for the repair of their broken banks after health checks next year that are expected to uncover problems that have festered since the financial crisis.

Ireland set to exit EU-IMF bailout on December 15: PM

DUBLIN: Ireland is on track to exit its strict international bail-out programme in December, Prime Minister Enda Kenny announced, although he warned the country still had a way to go to recover from the global economic crisis.

Canada Jobless Rate Reaches Lowest Since 2008 on Dropouts

Canada’s jobless rate unexpectedly fell to the lowest in almost five years in September as young people dropped out of the labor market, helping pull the participation rate to the lowest in more than a decade.

US debt ceiling: What we wake up to on October 18

One cannot rule out the possibility of some sort of a technical default before a compromise is reached on debt ceiling, says Alastair Newton, Senior Political Analyst, Nomura - the one who predicted a red October as early as July.

Bank of Japan sees global damage if U.S. debt ceiling is not raised

MATSUE: Global stocks could plunge and long-term interest rates rise, dealing a severe blow to the global economy, if U.S. politicians do not reach a deal to raise their debt ceiling by mid-month, Bank of Japan Deputy Governor Hiroshi Nakaso said on Wednesday.

IMF sees U.S. default as unlikely, but could be 'devastating'

(Reuters) - A U.S. debt default is an unlikely event, but one that could have catastrophic consequences for the world, the International Monetary Fund said on Tuesday.

Russia halts Lithuania dairy imports in trade row

Russia has halted imports of Lithuanian dairy produce amid tensions over EU plans to forge closer ties with ex-Soviet republics.

Warning bells: Is US shutdown a brewing African-American revolt?

WASHINGTON: The US government shutdown enters its fifth day, a week after the horrific carnage by a mentally ill African-American man in which he kills a dozen people before he is cut down by police.

Bank of Japan maintains stimulus, more upbeat on capex

TOKYO: The Bank of Japan maintained its massive monetary stimulus on Friday and upgraded its view on capital expenditure, encouraged by growing signs that the benefits of its aggressive policy action to escape deflation are broadening.

US government shutdown: Dollar could be the biggest loser

The first US government shutdown in 17 years is stoking speculation that the longer it lasts, the more likely the Federal Reserve will delay reducing its monetary stimulus programme, boosting emerging market currencies at the expense of the dollar.

Draghi Said to Ask ECB Panel to Weigh Liquidity Options

Mario Draghi has asked a European Central Bank panel to study options for new bank funding measures, as policy makers try to figure out how to deal with any future liquidity shortages, two euro-region central bank officials said.

Governments must not relax credit standards to boost growth, IMF warns

The International Monetary Fund has warned governments to resist the temptation to relax credit standards to boost growth as it highlighted the UK's lack of lending to small businesses.

Regulators to have power to eject bank bosses under stress test plans

Bank bosses could be ejected by regulators if they fail to bullet-proof their companies against economic shocks.

Analysis: Euro zone current account surplus puts Germany in dock

(Reuters) - A sharp rise in the euro zone's current account surplus puts the focus firmly on what Germany's new government can do to boost consumption and revive investment in Europe's largest economy.

World Bank removes Iran from list of non-payers

The World Bank removed Iran from its list of deadbeat borrowers Friday, saying the Islamic Republic had paid outstanding loan amounts.

U.N. Could Agree on Syria Chemicals Resolution by Friday

American officials expressed great optimism Thursday night following a high-level meeting at the United Nations headquarters to begin the process of disarming the Bashar Assad regime of its chemical weapons stockpiles.

George Osborne concedes Help to Buy could artificially inflate house prices

George Osborne has conceded that his £130bn Help-to-Buy lending scheme could artificially inflate the housing market after he asked the Bank of England to monitor the initiative's effect on property prices two years earlier than scheduled.

No clear path to ending U.S. debt limit, spending impasse

(Reuters) - U.S. House of Representatives Republicans on Thursday refused to give in to President Barack Obama's demand for straightforward bills to run the government beyond September 30 and to increase borrowing authority to avoid a historic default.

The Economist: “The Fed's have-it-both-ways policy”

R.A., regarding Bernanke’s Jackson Hole speech, your column notes that you “found the tone on monetary policy to be confusing and timid.” Expectations now turn to what President Obama will say next week and what the Fed will do (or not do) when they next meet. Uncertainty again prevails.

Alexander Mirtchev

Slow growth inevitable for China, 7% GDP rate the new normal: S&P

NEW DELHI: In its latest report titled 'Slower Growth In China: Inevitable, Necessary, And Now More Palatable.', Standard & Poor's Ratings Services on Wednesday said that a 7-7.5% GDP growth rate is a 'new normal' for China.

Concern in Greece over Angela Merkel's win

There has been a worried response in Greece to the win for German Chancellor Angela Merkel in Sunday's election.

Before attack, Kenya's economic future was bright

NEW YORK (AP) - Nairobi's Westgate Shopping Mall, site of Saturday's mass shootings where 68 have been reported dead, might as well have been a mall in suburban America.

As U.S. Clears Chinese Pork Deal on Security, Economic Concerns Linger

As U.S. Clears Chinese Pork Deal on Security, Economic Concerns LingerThe powerful U.S. committee that reviewed and cleared the deal focuses almost exclusively on threats to U.S. national security, but some critics say the economic questions are thornier when it comes to major Chinese investments in the U.S.

Dollar Falls to Lowest Since February as Fed Retains Stimulus

The dollar fell to its lowest level since February as markets were whipsawed by Federal Reserve communications on keeping monthly bond purchases unabated depending on the strength of the economy.

Biden's Mexico Trip To Focus On Economy, May Touch On NSA Spying And DEA Killer

While economic issues between the countries will be the centerpiece of the public meeting Friday between Vice President Joe Biden and Mexican leader Enrique Peña Nieto, analysts say that backroom discussion could shift to security issues, the release in Mexico of a convicted DEA killer and allegations of National Security Agency spying.

US economy shows signs of shrugging off higher interest rates

WASHINGTON: US home resales surged in August to a 6-1/2-year high and factories grew busier early this month in the Mid-Atlantic region, signs that rising borrowing costs might be weighing only modestly on the economy.

UK inflation dips as rise in cost of fuel and clothing eases

Inflation eased down to 2.7% in August thanks to smaller price rises for petrol and new autumn fashion ranges but the cost of living continued to outstrip pay rises.

US factory output up 0.7 pc led by strong autos

WASHINGTON: US factories increased output in August by the most in eight months, helped by a robust month at auto plants.

EU spending cuts to hit Portugal's poor

(Reuters) - Spending cuts to European Union food aid programs could leave Portugal's growing ranks of poor with even emptier plates.

Producer Prices in U.S. Rose 0.3% in August on Energy, Food

Wholesale prices in the U.S. rose more than forecast in August, reflecting higher costs for food and some fuels.

Work on financial transaction tax to go on, EU executive says

(Reuters) - The European Commission rebuffed on Saturday an EU legal opinion that questioned the legality of a planned financial transaction tax and said work on the levy in 11 European Union countries would go on.

Dollar Declines for Week Before Fed Considers Stimulus Taper

The dollar had its biggest weekly decline in six weeks as weaker-than-forecast economic data prompted investors to pare bets of an aggressive reduction in monetary stimulus at the Federal Reserve’s policy meeting next week.

China to be world's 3rd largest natural gas producer in 2035

BEIJING: Energy-hungry China, which currently imports most of its oil and gas, is expected to become the world's third-largest natural gas producer in 2035.

Recession risk gone in all US states but 1: Moody's Analytics

WASHINGTON: All US states except for Delaware have escaped the possibility of falling back into recession, as they reap the rewards of strong private-sector employment and a burgeoning energy sector, according to an analysis released on Tuesday.

Japan Boosts GDP Estimate as Abe Weighs Sales-Tax Increase

Japan’s economy grew faster than previously estimated in the second quarter, aiding Prime Minister Shinzo Abe’s reflation campaign as he considers whether the nation can withstand a sales-tax increase.

Global credit agencies keep Australia's AAA ratings intact

International credit agencies Standard & Poor's, Moody's and Fitch on Monday reaffirmed Australia's AAA sovereign rating after the conservatives won power, saying they expected little change to the fiscal framework.

China premier calls for "human focus" to urbanisation plan

BEIJING: China's premier, Li Keqiang, wants his plan to turn more Chinese into city dwellers to be "humanity-centred", focusing on quality of life and the environment and driven by job creation, the official China Daily newspaper reported on Sunday.

Recent UK manufacturing growth spurt fails to offset year's earlier falls

A recent rise in manufacturing output failed to override a bad year for Britain's factories, according to official figures on Friday.

Economic Issues Take Back Seat to Syria at G-20 Summit

Though discussion of Syria has been a top discussion topic at the G-20 summit in St. Petersburg, the top world economic teams have also sought to address the issues at hand while meeting in Russia.

Abe Seen Facing Stock Rout in Case of Suspending Japan Tax Rise

Japanese shares could plunge 10 percent or more if Prime Minister Shinzo Abe fails to carry through on a plan to raise a sales tax in April. 

The Global Inflation Wave: Waiting for Constantine?

Source: The Globalist

Alexander Mirtchev and Norman Bailey,

In the wake of the global economic crisis, the world is trying to chart an economic path to the future and find a "new normal." As Alexander Mirtchev and Norman A. Bailey explain in the first installment in their series "The Search for a New Global Equilibrium," inflation as a factor of global economic security has the innate capacity to upend carefully laid plans and further upset the equilibrium.

U.S. economic growth stronger than thought

The U.S. economy grew significantly faster than thought in the second quarter, which may help convince the Federal Reserve to start unwinding its stimulus program sooner rather than later.

Will G-20 Counter Power of Uncertainty?

By Alexander Mirtchev 

In 2009, G-20 leaders met in Pittsburgh and emerged with a mandate ‘to be the premier forum for international economic cooperation,' endowing the G-20 with a leading economic role on the global stage. It appeared at the time that the leaders of the G-20 had successfully defeated pessimism. However, the rising tide of global economic turmoil and problems ranging from sovereign indebtedness to consumption and saving imbalances have created a ‘perfect storm' that is far from abating.

Alexander Mirtchev

As advanced economies grow, emerging ones struggle: OECD

PARIS: The Organisation for Economic Cooperation and Development says that advanced economies are staging a comeback but a slowdown in emerging countries will keep global growth low this year.

The new EU External Energy Policy: an important move - if it is not too late

 By Alexander Mirtchev

  

With the adoption of its new External Energy Policy, the EU has finally made a first step towards its integration as a single negotiating bloc in the world energy market. As such the External Energy Policy could become an important factor in the global energy security picture and a possible geopolitical game-changer. However, it remains to be seen whether the big EU member states will be willing to subordinate their interests to the wider EU interest. The External Energy Policy has probably come five years too late, argues Alexander Mirtchev, President of Krull Corp. and Vice-President of the Royal United Services Institute for Defence and Security Studies.

Italy factory sector expansion accelerates in August: Survey

ROME: Italian manufacturing activity expanded for the second month running in August and at a faster pace than the previous month as new orders and output increased, a survey showed on Monday.

ECB faces balancing act on rates as eurozone recovers

The European Central Bank faces a delicate balancing act at its policy meeting this week as the nascent recovery in the crisis-stricken euro area remains extremely vulnerable to setbacks.

Financial crisis: Is Asia next? Probably not

Why don't we learn from financial crises? As Asian currencies fall and crisis strikes, we seem to be making the same mistakes made in the '90s.

China to Expand Asset-Backed Securities Trial

China pledged to expand the packaging of loans into securities to dissipate financial risks, part of efforts to increase the use of markets and sustain economic growth.

US, Swiss reach deal on American tax evaders

WASHINGTON: The US government and Switzerland have reached an agreement that could expose Americans who have used Swiss banks to avoid paying taxes.

Will Financial Regulation Trash Global Economic Securi

Alexander Mirtchev, Contributor

Under the auspices of the Financial Stability Board, more than 30 recommendations have been set out as part of a massive and far-reaching G-20 financial regulatory reform package to ostensibly minimize risk in the financial system and maximize consumer protection.

German business confidence rises for fourth month: Ifo

German business confidence rose for a fourth month in a row in August, data showed on Tuesday, exceeding expectations as companies in Europe's top economy voiced more satisfaction with their situation.

Middle East stock markets still red hot

Stocks in the Middle East fell sharply Tuesday, as the threat of a U.S. military strike against Syria rattled investors. But the region still is home to several of the top performing markets this year.

"You Must Confess": China's Red Campaign Against Multinationals

Beijing’s Maoist revival, roiling Chinese society and politics, is now beginning to poison China’s business environment as well.

Merkel ally fuels Greek aid row before election

(Reuters) - Germany's commissioner to the European Commission said on Saturday he expects a new bailout for Greece to amount to a little more than 10 billion euros, fuelling a debate that could hurt Chancellor Angela Merkel in next month's election.

US Federal Reserve's tapering 'not bad' for Southeast Asia: Singapore finmin Tharman Shanmugaratnam

SINGAPORE: A wind down of the US Federal Reserve's stimulus programme will "not be a bad thing" for Southeast Asia, Singapore's finance minister said Friday, at the end of a week that saw a huge sell-off in emerging markets.

Economic slowdown: China launches Shanghai free trade zone hub

BEIJING: Looking to reverse the economic slowdown, the new Chinese leadership initiated further financial reforms by approving its biggest experimental project to establish a pilot free trade zone in China's biggest business hub, Shanghai.

British manufacturing at highest level for two years

Britain's manufacturers have cranked up production to its highest level for two years, according to business group the CBI, in the latest piece of evidence that the economy is picking up speed.

Greece says privatisations go on, despite sack for head

ATHENS: Greece will stick to its programme of privatisations, a key part of bailout conditions, despite the sacking of the head of the privatisation fund, a government official assured on Monday.

Hong Kong 2013 second-quarter GDP up 3.3% on year

HONG KONG: Hong Kong's economy grew "moderately" year-on-year in the second quarter, with domestic demand and growth in the mainland Chinese economy offsetting a weak environment in the West, officials said Friday.

Jobless Claims in U.S. Decline to Lowest Level Since 2007

Employers fired the fewest workers last week since before the recession began almost six years ago, raising expectations that bigger job gains will soon give U.S. consumers the ability to boost spending.

Key Euribor rate steadies as ECB rate cut expectations fade

(Reuters) - The key Euribor bank-to-bank lending rate was unchanged on Thursday, consolidating gains from the prior session when data showing the euro zone emerged from recession in the second quarter dented hopes for another ECB rate cut.

Euro zone exits recession in Q2 slightly faster than expected

BRUSSELS: Stronger growth in the euro zone's two largest economies, Germany and France, helped the euro zone to emerge from its longest recession to date in the second quarter, confirming expectations a fragile recovery was under way.

British unemployment steady at 7.8% but outlook brightens

LONDON: Britain's unemployment rate held steady at 7.8 per cent in June but a sharp fall in jobless benefit claims in July pointed to a strengthening labour market.

Coal Mine Fight Embodies an Economic Struggle in Rural Australia

BULGA, Australia — Bulga, a hamlet nestled in the verdant hills of the wine country north of Sydney, is at the center of a legal dispute that could reshape the regulatory environment of a national economy heavily dependent on natural resource extraction.

Banks cut 5,500 branches across Europe in 2012

(Reuters) - Banks cut 5,500 branches across the European Union last year, 2.5 percent of the total, leaving the region with 20,000 fewer outlets than it had when the financial industry was plunged into crisis in 2008.

RBS sell-off may not happen for another five years, says Vince Cable

A sell off the taxpayer's 81% stake in Royal Bank of Scotland may not take place for another five years, according to business secretary Vince Cable.

Is too much welfare preventing initiative in US?

America was once the land of Lady Liberty, beckoning the world: "Give me your tired, your poor, your huddled masses yearning to breathe free, the wretched refuse of your teeming shore.

Israel seeks to negotiate on planned EU sanctions

(Reuters) - Israel appealed to the European Union on Friday to rethink planned sanctions against its organizations in the occupied territories and called for talks, a shift in tone from previous Israeli anger and retaliatory measures.

U.S. Fed balance sheet grew in latest week

(Reuters) - The U.S. Federal Reserve's balance sheet grew in the latest week as the Fed's holdings of U.S. Treasuries increased, Fed data released on Thursday showed.

How the Alternative Energy Megatrend will impact global geopolitical relations

The Greening of Geopolitics

By Dr Alexander Mirtchev

 

The advent of renewable energies is generally regarded from a fairly narrow perspective: whether – and to what extent – they are able to replace fossil fuels and what this would mean for the energy system and the economy. Such a perspective profoundly underestimates the potential consequences of what is in fact a revolutionary global development: a socio-political and techno-economic megatrend that has the ability to become a global societal game-changer, writes Alexander Mirtchev, Vice-President of the Royal United Services Institute for Defence and Security Studies (RUSI). According to Mirtchev, the ‘Alternative Energy Megatrend’ will have far-reaching effects on global geopolitical relations and security concerns – effects that have yet to be fully grasped by most observers. This article is adapted from his upcoming book: “The Alternative Energy Megatrend: A Global Security Discourse in the Universally-Securitized World”.

Alternative Energy And Global Energy Security In Aftermath Of Rio+20

“Life always gets harder toward the summit–the cold increases, the responsibility increases.” These words by Friedrich Nietzsche aptly characterize the atmosphere among global leaders at June’s international summits.

Romania Unexpectedly Speeds Up Rate Cuts to Record-Low 4.5%

Romania cut its main interest rate more than economists forecast and central bank Governor Mugur Isarescu indicated further easing, a sign policy makers are growing more confident of meeting their inflation target.

Singapore seen revising down Q2 growth on Aug 12

SINGAPORE: Economists expect Singapore to revise downwards second quarter gross domestic product growth from preliminary estimates when it releases a detailed report of the data at 8 a.m. (0000 GMT) on Aug 12, the Ministry of Trade and Industry said on Monday.

UK service sector at six-year high, PMI survey suggests

The UK's services sector has expanded at its fastest pace since December 2006, a survey has indicated.

Australians to go to the polls on Sept. 7

CANBERRA, Australia (AP) -- Prime Minister Kevin Rudd called an election for Sept. 7 and said Sunday that it will be fought over who can be trusted to manage the Australian economy as it transitions from a decade-old mining boom fed by Chinese industrial demand that is now fading.

S&P downgrades Croatia's outlook to negative

ZAGREB: Standard & Poor's on Friday affirmed its rating for Croatia but revised its outlook from stable to negative, warning of a possible deterioration in the finances of the European Union's newest member.

IMF urges urgent action from Spain to create jobs, growth

MADRID: Spain's reform progress and a correction in its fiscal and external imbalances are helping it to stabilise its economy, but urgent action is needed to create jobs and stimulate growth, the International Monetary Fund said.

Central banks in Europe keep rates on hold

The European Central Bank and the Bank of England left their benchmark interest rates unchanged Thursday, while both move towards issuing more Fed-style guidance on future policy plans.

China leader: Shelve sea disputes for development

BEIJING: China's president said at a high-level meeting Wednesday that Beijing would put aside territorial disputes and seek joint maritime development in disputed waters, though he insisted that China would not give up its sovereignty claims.

German Inflation Unexpectedly Remained Unchanged in July

German inflation unexpectedly remained unchanged in July at the highest level in five months. Germany’s consumer price index, calculated using a harmonized European Union method, rose 1.9 percent from a year ago, the Federal Statistics Office in Wiesbaden said today.

Central Bank agrees 47.5% Bank of Cyprus haircut with creditors

NICOSIA: Cyprus's central bank agreed a 47.5 percent haircut with international creditors on Monday on deposits exceeding 100,000 euros in the Bank of Cyprus in an attempt to recapitalise it.

Saudi billionaire prince Alwaleed bin Talal urges less reliance on oil

RIYADH: Saudi billionaire prince Alwaleed bin Talal has warned global demand for the kingdom's oil is dropping, urging revenue diversification and investment in nuclear and solar energy to cover local consumption.

IMF sees slower-than-expected US second-quarter growth

WASHINGTON: The US economy looks like it grew more slowly than expected in the second quarter, the International Monetary Fund said in report on Friday.

Growth boost puts Labour on back foot

David Cameron and George Osborne were handed a precious weapon against Labour's attacks on their economic policies on Thursday as it emerged that the recovery picked up pace between April and June.

IMF calls for further action to solve eurozone crisis

The International Monetary Fund has called for more action to end the crisis in the eurozone. The IMF wants greater progress made on repairing the balance sheets of banks, so that lending can be kick-started.

Barack Obama deepens economic focus, challenges opponents

GALESBURG: President Barack Obama on Wednesday repackaged his economic message, a six-point plan for putting a floor under the country's diminishing middle class, and lashed out at opponents for creating ``an endless parade of distractions, political posturing and phony scandals.''

Cyprus aims to restructure major bank by end July

NICOSIA: The Cypriot government wants the restructuring of the bailed-out country's biggest bank to be completed by the end of this month, its spokesman said Tuesday.

Swiss equity haven may lose out as risk appetite rises

LONDON: Signs of an impending retreat from buoyant Swiss stocks may signal the start of a new hunger for risk among investors.

Iran denies missing World Bank payments, blames sanctions

DUBAI: Iran denied on Sunday it had failed to make payments on its loans to the World Bank for the last six months, blaming Western sanctions for preventing an intermediary from forwarding funds to the global lender, Iran's IRNA state news agency said.

China's banks warned to be prudent in setting rates

BEIJING: Chinese banks took control of setting loan interest rates on Saturday as the country's central bank warned them to be prudent and alert to credit risks.

U.S., Urging Worker Safety, Outlines Steps for Bangladesh to Regain Its Trade Privileges

The Obama administration publicly recommended on Friday a series of steps that the Bangladesh government should take to have its trade privileges with the United States restored.

IMF chief warns on global economic risks

LITHUANIA: The head of the International Monetary Fund says there are "new risks on the horizon" for the global economy, particularly from emerging economies, at a time when many countries are struggling to remedy old problems.

Greece Approves New Austerity Measures

ATHENS — Following two days of intense debate, Greece’s Parliament narrowly approved a barrage of new austerity measures early Thursday, including a contentious plan for thousands of layoffs and wage cuts for civil service workers.

Spain broke EU rules with scheme to support shipyards

State support for Spain's ship building industry will have to be repaid following a ruling by the European Commission.

Greeks strike against public sector cuts

Thousands of Greek workers are holding a 24-hour strike called by trade unions to protest against government plans to cut public sector jobs. Hospital services, public transport and flights are being affected by the industrial action.

China vows to quadruple solar generating capacity by 2015

BEIJING/HONG KONG: China aims to more than quadruple solar power generating capacity to 35 gigawatts by 2015 in an apparent bid to ease a massive glut in the domestic solar panel industry.

Spain’s Real Crisis Is a Leadership Void, Analysts Say

MADRID — The sense of scandal surrounding Prime Minister Mariano Rajoy has crested yet again, after another week of allegations and denials in which the former treasurer of his Popular Party continued to drip-feed the media glimpses of ledgers that appear to show that Spain’s leadership enriched itself for years with a secret slush fund.

China agrees to currency, procurement reforms in talks with US

WASHINGTON: China acknowledged U.S. concerns about cyber theft of intellectual property and trade secrets and agreed to steps that would open its financial and government procurement markets, the U.S. Treasury Department said on Friday.

Federal Reserve stops short of the clarity global markets crave

LONDON: Federal Reserve Chairman Ben Bernanke now knows why uncharted waters on mariners' charts used to be marked 'Here be Dragons'.

Canadian May New Home Price Index Rises 0.1% on Calgary Gains

Canada’s new home price index rose in May led by Calgary and cities in Ontario, the government statistics agency said.

Does gold price collapse signal a vote in economic confidence?

In principle, holding gold is a form of insurance against war, financial Armageddon and wholesale currency debasement. And from the onset of the global financial crisis, the price of gold has often been portrayed as a barometer of global economic insecurity.

Financial Industry Is Serious About Cybersecurity

The financial industry has been under a constant state of attack for the past year as hackers attempt to steal clients’ money, crash computer systems and disrupt capital markets.

Pakistan PM Sharif meets with Chinese President Xi

BEIJING (AP) -- Pakistani Prime Minister Nawaz Sharif met Thursday with China's President Xi Jinping during an official visit to Beijing focused on courting Chinese investment in his country's ailing transport and electricity generating sectors.

Egypt political upheaval to deepen economic crisis

CAIRO (AP) -- Egypt's descent into even deeper political turmoil will almost certainly put a multi-billion dollar international bailout on hold and lead to an even more painful economic crisis, with worsening fuel shortages and higher prices on basic goods.

Euro zone survival? Depends on where you work

LONDON: Three years into an unresolved euro zone crisis, Reuters polls show a marked split on the future depending on whether forecasters are based inside or outside the currency bloc.

IMF urges more reforms in Italy to create jobs

ROME (AP) -- The International Monetary Fund is praising Italy for having taken "bold steps" to heal its finances but says the government needs to do more to get "unacceptably high" unemployment down.

EU calls for quick return to democracy in Egypt

(Reuters) - The European Union called for a rapid return to democracy in Egypt on Thursday after the country's armed forces overthrew President Mohamed Mursi.

Greece tries to fix economy with cabinet reshuffle amid strikes and protests

On his first day in office with his newly reshuffled cabinet, the Greek prime minister Antonis Samaras had a to-do list that included dealing with striking seamen and trolley-bus drivers, discussing the privatisation of Pireaus port and preparing for talks with the creditors keeping Greece's defunct economy afloat.

States with sweetest corporate tax breaks

States looking to gin up jobs frequently offer sweet tax breaks to lure in new companies or keep businesses from bolting out of state.

Italy to cut spending, sees risks of protests: Report

MILAN: Italy will resume public spending cuts to find resources for tax cuts to kick start growth, Economy Minister Fabrizio Saccomanni told daily Corriere della Sera on Saturday.

Eurozone needs 'faster' integration: French President Francois Hollande

BRUSSELS: French President Francois Hollande on Friday called for eurozone countries to go "further and faster" in an integration process that should also include a "social dimension".

EU reaches political deal on seven-year budget

A political deal on the EU's hotly contested seven-year budget has been struck, European Commission President Jose Manuel Barroso has announced.

Abe Recovery Pits Graduate Jobs Against Senior Savings

In the heart of Tokyo on a March afternoon, Akitsugu Yamamoto, clean-cut and clad in a dark business suit, is looking for a job at an employment agency whose name translates as New Grad Hello Work.

Rise in euro zone yields does not pose immediate risk: Officials

LONDON: A rise in euro zone borrowing costs, driven by the prospect of less US monetary stimulus, does not pose an immediate threat to struggling euro zone countries' ability to service their debt piles, officials said on Tuesday.

BIS: Central banks must end 'whatever it takes' policy

The Bank for International Settlements (BIS) says banks have done their bit to help economic recovery and now governments must do more.

Angela Merkel feel-good election manifesto draws fire

BERLIN: German Chancellor Angela Merkel was Monday set to promote her party manifesto for elections three months away, amid criticism from her coalition partners that the costly list of feel-good pledges contradict her commitment to budget discipline.

Barack Obama taps former IMF official as national security deputy

WASHINGTON: President Barack Obama on Friday appointed Caroline Atkinson, a former journalist who has worked at the International Monetary Fund, the U.S. Treasury Department and the Bank of England, to be deputy national security adviser for international economics.

Switzerland parliament rejects deal to expose US tax-dodgers

GENEVA: Swiss lawmakers rejected Wednesday a deal proposed by Washington to expose American tax dodgers and halt a raft a US lawsuits provided that Swiss banks that helped stash the cash pay massive fines.

Japan says G8 stance is sign of approval for 'Abenomics'

TOKYO (Reuters) - Japanese cabinet ministers welcomed the Group of Eight summit's stance on Tokyo's sweeping stimulus policies as a vote of confidence in the government's strategy to end 15 years of entrenched deflation and revive a lackluster economy.

South Korea Tightens Capital Flow Checks to Catch Tax Dodgers

South Korea is strengthening supervision of foreign exchange transactions as President Park Geun Hye broadens her country’s part in a global crackdown against tax evasion.

Britain presses its territories on tax action before G8

LONDON: Prime Minister David Cameron will press Britain's overseas tax havens to sign up to an international transparency treaty in London on Saturday, before he meets leaders of G8 economies to push for coordinated global action on tax avoidance and evasion.