Weak demand hits factory activity across Asia, Europe

(Reuters) - Dwindling demand hurt factory activity across much of Asia and Europe in September, and mixed manufacturing indicators in the Americas on Wednesday raised the chances of slower global economic growth in the months ahead.

Japan, Australia said to clinch trade deal as U.S.-Tokyo talks heat up

(Reuters) - Japan and Australia clinched a basic trade deal to cut import tariffs, Australian media reported, as U.S. and Japanese officials stepped up efforts to reach a parallel agreement that would re-energize stalled talks on a broader regional pact.

China's tight job market defies economic downturn

BEIJING (Reuters) - Workers living through the slowest run of global economic growth in more than three years are in fear for their jobs everywhere except in the very place investors are most concerned about - China.

BI prepares measures to anticipate slowing growth

The central bank is preparing a number of measures to anticipate a global economic slowdown triggered by the recent US and European debt crises, as Indonesia gears up to feel the impact next year.

Among the measures are the formation of the Financial System Security Network, the formulation of a crisis management protocol and the strengthening of the ASEAN+3 cooperation, Bank Indonesia (BI) leading researcher Suhaedi said on Tuesday in Jakarta.

Lower economic growth forces down IEA oil demand projections

Dimmer global economic growth assumptions and lower-than-expected oil demand during the third quarter in developing countries have driven down expected worldwide oil demand growth, according to the International Energy Agency’s latest monthly Oil Market Report.

However, stronger-than-expected oil demand in the developed countries of the Organization for Economic Cooperation and Development (OECD), mostly in the US, as well as power generation demand in Japan, anticipated Libyan demand recovery, and demand strength in the Middle East offset some of the demand weakness, IEA said.

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.

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.

Once the Debt Ceiling Is Hiked, Markets Have to Confront Slower Growth

The woes besetting the global equity markets will remain after the contrived crisis over the U.S. debt ceiling is settled.

Global economic growth is slowing, as indicated by the slide in stock prices from Sydney and Shanghai to European bourses and back to New York. Industrial companies are corroborating the message of economic data that the much hoped-for second-half economic rebound will fall short of the hype.

BP report shows economic growth still depends on oil

The relationship between energy and global economic growth has never been clearer than in BP’s World Energy Statistical Review for 2010. No sooner had the global economy shook off the shackles from the last recession than energy demand exploded. It grew by more than 5.5 per cent last year, the largest annual increase in more than 30 years.

Not surprisingly, oil played a centre stage role in last year’s spectacular increase in global energy demand. It is, after all, the world’s single most important fuel, accounting for more than a third of all the global energy produced last year. What makes last year’s global oil numbers particularly interesting is the fact world oil demand had fallen in the two previous years - a victim to the global recession. They were the first annual declines in global annual oil consumption since 1983.

Canada's Dollar Strengthens to a 40-Month High as Crude Oil Prices Surge

Canada’s dollar strengthened to the highest level against its U.S. counterpart since November 2007 as commodities including crude oil, the nation’s biggest export, surged amid optimism global economic growth is accelerating.

The currency gained for the third straight week as oil exceeded $112 a barrel on concern Libyan output won’t rebound when fighting ends in that divided nation. Gold surged to a record. The Bank of Canada is expected to keep its target interest rate at 1 percent when policy makers meet next week.

Corruption, dictatorship don't necessarily impede development: AUB lecture

BEIRUT: Corruption and absence of democracy are not necessarily obstacles to economic growth, according to the head of a leading Canadian funding agency for international development.

During a lecture at the American University of Beirut this week, Dr. David Malone, the president of Canada’s International Development Research Center, told an AUB audience of faculty members and senior administrators that there is no one successful model for development.

Business Highlights

Americans are spending more of their growing wealth. The economy still needs companies to do the same.

Still lacking the confidence to spend at normal levels, businesses have stockpiled nearly $1.9 trillion in cash, a record, the government said Thursday. Cash now accounts for 13 percent of corporate assets, the highest share since 1984. Economists say the surest way to reduce unemployment would be for companies to spend more of that cash to expand and hire.

Hong Kong Stocks Fall Most in a Week on Oil; Sands China Drops

Hong Kong stocks fell by the most in a week after oil prices surged to the highest level since September 2008, raising concern more expensive energy costs will derail global economic growth.

Cathay Pacific Airways Ltd., the city’s biggest airline, declined 2.6 percent after crude prices rallied above $100 a barrel on concern turmoil in the Middle East will spread from Libya to Iran. Developers sank on concern inflation will accelerate, prompting China’s government to take more steps to curb higher prices. Sands China Ltd. tumbled 6.3 percent after its majority shareholder said it faced investigations by U.S. authorities.

Nigeria's GDP growth among world's best in 2010, says Aganga

Nigeria's economy fared better than those of most advanced economies of the world last year, with her gross domestic product (GDP) growing by 7.85 percent, compared to a global average of 3.9 percent, according to the World Economic Outlook. Minister of Finance, Segun Aganga said in his presentation at the Institute of Directors (IOD) in Lagos at the weekend that Nigeria's GDP growth rate is among the highest in the world, behind those of China and India.

While average GDP growth rate for Sub-Saharan Africa is put at 4.7 percent, the minister said the GDP of South Africa, the biggest economy on the continent, grew by a mere 2.7 percent.

Willard Cites Need for Asia-Pacific Stability

The Asia-Pacific region is the engine of global economic growth now, and the U.S. Pacific Command is a strong force for stability in the area, Navy Adm. Robert F. Willard said at a Foreign Press Center news conference here today.

Willard has been in command of U.S. Pacific Command for 16 months. He said the same issues that confronted the command when he arrived still exist.