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Tuesday 20 March 2012

UK Financial News on 2012-03-20

HSBC set to launch James Capel-style brokerage
UK bank is to hire significant numbers of bankers in a large-scale push into corporate broking.....

Alarm bells ring over mafia-like market abuse
European exchanges fear regulators cannot spot manipulative trading.....

Ex-RBC traders set to launch anti-HFT venue
A team of former electronic traders plans to launch an alternative venue aimed at reducing the impact of high-frequency trading on large orders.....

Legal & General cracks DC property puzzle
one of the UK's biggest pension-fund managers appears to have cracked the long-standing problem of new-style DC retirement plans not being able to invest in property and other illiquid assets.....

Advance of the dragon
The Chinese have crossed a line: for the first time ever they are making more acquisitions in Europe than Europeans are making in China.....

Corporates tap hybrid bonds as smart cash
Record numbers of corporates are taking advantage of increased investor risk appetite to tap the hybrid capital market.....

Fresh attack on the cosy world of ETFs
The world's leading securities and futures regulator wants to see a clampdown on extensive conflicts of interest in the exchange-traded funds sector.....

Tax allowance 'to rise in Budget'
Chancellor George Osborne could announce a significant further increase in personal tax allowances in the Budget, the BBC understands......

UK inflation rate falls to 3.4%
Inflation in the UK continued to fall in February, thanks largely to lower fuel bills, with the Consumer Prices Index falling to 3.4%, a 15-month low......

Movie flop to cost Disney $200m
Walt Disney expects to lose $200m (126m) on its movie John Carter, making it one of the biggest flops in cinema history......

US imposes solar duties on China
The US imposes duties on Chinese solar panel manufacturers after it said that they received unfair subsidies......

Bank loan scheme targets business
A 20bn government scheme to try to boost bank lending to small and medium-sized businesses is launched by the chancellor......

Pension switch challenge is lost
Trade unions lose an appeal against a change in the way public sector pensions are protected against inflation......

Some 'buoyancy' in housing market
The UK housing market is showing some signs of "buoyancy" despite mortgage lending remaining static in February, lenders say......

Nissan brings back Datsun brand
Nissan will revive Datsun as a low-cost car brand that will be sold in Indonesia, Russia and India from 2014......

Glencore buys Viterra for $6.2bn
Commodities trader Glencore is buying Canadian grain handling firm Viterra for $6.2bn......

US new home building slows down
US new home building dipped 1.1% between January and February, according to official US government data......

European woes hit Metro profits
Profits slump at German retail giant Metro as European shoppers cut back spending in the midst of the economic crisis......

Gem Diamonds 2011 profits triple
Gem Diamonds said strong demand and a rise in production helped its profits to triple giving it an "exceptional year"......

Carers free from tax credit cuts
Plans to change tax credit entitlement that would have cost couples with disabled children up to 3,870 a year have been altered......

Record profits for Cairn Energy
Oil explorer Cairn Energy makes a record profit, after completing the sale of a 40% stake in Cairn India......

Spending statements for taxpayers
Chancellor George Osborne is to set out plans in the Budget to give 20 million taxpayers a detailed breakdown of how their taxes are spent......

Friends Reunited relaunches site
Social networking site Friends Reunited is relaunched, with access to archive pictures and a promise of simple privacy settings......

Rarities out for Record Store Day
Noel Gallagher, Abba and Kate Bush are among the artists preparing exclusive releases for this year's Record Store Day......

Mets owners settle Madoff lawsuit
The New York Mets' owners agree to pay $162m (102m) to settle a lawsuit which accused them of being "wilfully blind" to Bernard Madoff's Ponzi fraud......

Minimum wage due to rise by 11p
The national minimum wage will rise by 11p to 6.19 an hour in October, but will be frozen for workers aged under 21......

New record for cash machine use
The use of cash machines in the UK hit a record level in 2011, with 191bn withdrawn over the year, figures show......

China increases fuel prices again
China raises the price of petrol by about 6% and diesel about 7% for the second time in 2012, as it seeks to off-set the rising cost of crude oil......

Australia mining tax becomes law
The Australian senate pushes through into law a 30% tax on iron ore and coal mining companies......

Hong Kong approves third runway
Hong Kong's Executive Council approves "in principle" the construction of a third runway at its international airport......

Debenhams sees 'resilient' sales
Sales at Debenhams rose slightly in the past six months, helped by "resilient" trading since the turn of the year, the retailer says......

Sun Hung Kai executive arrested
A senior executive of one of Asia's biggest property developers, Sun Hung Kai Properties in Hong Kong, is arrested over allegations of suspected bribery......

Apple reveals plans to spend cash
Apple says it will use its cash to start paying a quarterly dividend of $2.65 per share to investors and to buy back some of its shares......

Channel 4 secures racing rights
Channel 4 secures a four-year deal to broadcast the Grand National, the Derby and Royal Ascot from 2013......

Offer threat over Ticketus deal
One of the bidders for Rangers has warned it will not pursue its interest in the club if the Ticketus season ticket deal is in force, a court hears......

VIDEO: Chancellor to reveal how tax is spent
The Chancellor will set out plans in the budget tomorrow to give 20m tax payers more information about how their taxes are spent......

VIDEO: Heating costs ease inflation
Official data shows that UK inflation has fallen to its lowest level for 15 months......

AUDIO: Credit easing 'needs to go further'
Phillip Monks, chief executive of Aldermore bank and Graeme Fisher, head of policy at the Federation of Small Businesses discuss a new scheme about the be unveiled by the Chancellor to help boost access to finance for smaller businesses by providing .....

AUDIO: Evan Davis meets the 'squeezed middle'
A day before the Budget, the Today programme presenter hears from three people in Birmingham who have lost their jobs about how they've been coping......

AUDIO: Should government intervene in business?
Will Straw, associate director for strategic development at the think tank Institute for Public Policy Research, and Dr Madsen Pirie, president of the Adam Smith Institute, debate whether the government's approach to the Budget owes more to intervent.....

VIDEO: China's rising car licence costs
In Shanghai, the cost of buying a a car licence plate has reached a new record of just over $9,000......

AUDIO: 'Joined-up thinking' needed on business investment
The Today programme's Evan Davis visits Strip Tinning Automotive in Birmingham to find out about funding for small and medium sized enterprises......

Budget 2012: What we already know
How changes announced ahead of the Budget will affect you.....

Hollywood looks to Chinese market
Hollywood looks to China for new audience.....

Small firms 'easy targets' for cyber crime
Why small firms should be taking cyber crime more seriously.....

British Silicons plot tech future
Inside the country's tech clusters and their plans for growth.....

James Landale's Budget 2012 guide
A dozen pointers to set the scene.....

Which is the world's biggest employer?
Which is the world's biggest employer?.....

Welsh show way to keep jobs in UK
What priorities when awarding public contracts?.....

U.S. Day Ahead: Double trouble for Bernanke & Geithner
Mar. 20 - Expect Fed Chair Ben Bernanke and Treasury Secretary Timothy Geithner to be grilled on the housing crisis when they both testify before a House panel at 0930 EDT......

Geithner welcomes Saudi oil pledge
Mar 20 - U.S. Treasury Secretary Timothy Geithner said he welcomed Saudi Arabia's pledge to continue to make sure oil supplies are sufficient to meet demand one of the many topics of his discussion with lawmakers on Capitol Hill. Bobbi Rebell report.....

French company poised to announce world's first dengue vaccine
March 20 - French pharmaceutical company Sanofi Pasteur says it is poised to become the first to produce a vaccine to combat dengue fever which afflicts tens of millions of people around the world. A series of trials that began in Thailand, is now ne.....

LIGHTNING ROUND: Bonds aren't in a bear market, Pond says
Mar. 20 - Barclays' co-head of U.S. interest rate strategy says the 10-year U.S. Treasury will end 2012 at a 2.0% yield and feels the best value is in 2-year notes......

Spike in bond yields justified, but won't continue higher
Mar. 20 - Barclays' Michael Pond says the improved global economy supports the recent rise in U.S. Treasury yields, but points out that the front end of the yield curve over-reacted and holds opportunity......

Housing builds slow recovery
March 20 - The U.S. housing market showed more signs in February that it is slowly pulling out of the worst downturn since the 1930s. Conway G. Gittens reports from New York......

Myanmar's bold currency reforms
March 20 - Myanmar plans to set the country's new exchange rate at around 820 kyat per U.S. dollar, two bankers said on Tuesday, marking one of the country's boldest economic reforms as it emerges from years of isolation. Ciara Sutton reports......

Trading at Noon: Wall St. opens lower after run-up
Mar. 20 - U.S. stocks fell at the open as equities paused after a 3-day winning streak for the S&P 500......

The Wall Street read-through from Jefferies
March 20 - Rob Cox and Breakingviews columnists discuss the New York securities firms fourth-quarter results and why they herald a so-so industry return......

EMEA Day Ahead: Wednesday
Mar. 20 - UK budget day puts finance minister George Osborne under pressure to show he can balance growth and austerity......

Zookeeper hopes film will change zoo's fortunes
March 20 - A UK zoo is hoping a Hollywood film can change its fortunes. Hayley Platt reports......

UK budget: business hopes high but expectations low
Mar. 20 - One successful British exporter says government announcements and initiatives rarely trickle down to boost business at the level of the factory floor......

3XSQ: U.S. housing hangover over?
Mar. 20 - U.S. home building permits surge over 5 percent, but U.S. housing starts slipped over one percent in February......

World focus shifting from value of yuan: OECD
Mar. 20 - Critics of China's foreign exchange regime have shifted their focus from the value of the yuan to the mechanism in which it's set, according to OECD chief Angel Gurria......

Breakingviews: Chance of meaningful reform in China: 'slim'
Mar. 20 - Reform in China can mean almost anything. A lack of external accountability to creditors or voters means the chances for meaningful reform without a major crisis are slim say Breakingviews......

Indian airlines won't join EU's emissions scheme
Mar.20 - New Delhi will ask its airlines not to join EU's emissions trading scheme; may cancel plane orders if dispute worsens. Arnold Gay reports.....

Reuters Today: More M&A in pipeline but markets wilt
Mar. 20 - Glencore in talks to buy Canada's Viterra, sources say, but downbeat comments on China from BHP Billiton stall the risk rally. In Europe, a tale of 2 leaders today: Sarkozy and Monti......

"Marmageddon" in New Zealand as Marmite stocks run low
March 20 - Earthquakes hit supplies of New Zealand's favorite Marmite spread. Arnold Gay reports......

U.S. Morning Call: Spotlight on Tiffany's; Apple buzz
Mar. 20 - Tiffany's reports glittering fourth-quarter results, and the Street raises its price targets for Apple again......

Apple, UPS deliver modest lift
March 19 - Summary of business headlines: Wall Street edges higher on Apple dividend and UPS bid for Dutch peer; Deutsche Boerse to sue EU over NYSE block; Homebuilder sentiment steady in March -survey. Conway G. Gittens reports......

After Apple dividend: who is next?
March 19 - Now that Apple shareholders will have some extra cash in their accounts - what other companies are sitting on piles of cash and could fork over more dollars to investors? Bobbi Rebell reports......

U.S. Day Ahead: Geithner likely to be clobbered over energy
Correspondent Mark Felsenthal......

Tech cos. should follow Apple and pay dividends: analyst
Mar. 19 - S&P Capital IQ's Scott Kessler says tech companies need to do something with their cash to avoid creating out-sized balance sheets and that the sector could be one of the biggest yielding S&P groups......

Greece's Finance Minister steps down
Mar.19 - Newly elected Socialist party leader Evangelos Venizelos steps down as finance minister to focus on national elections. Sonia Legg reports.....

Mets walk with $162m Madoff pact
Mar 19 - Owners of the New York Mets baseball team agreed to pay $162 million to settle a lawsuit accusing them of knowledge of Bernard Madoff's investment fraud. Conway G. Gittens reports......

Budget 2012: checklist
Chancellor George Osborne has some room for manoeuvre in the 2012 Budget: Philip Aldrick looks ahead to what might be in his red box.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1da07fdd/mf.gif' border='0'/>.....

Cutting top rate of tax won't lure executives
Cutting the top rate of income tax to 45pc will not make Britain any more attractive to senior management, according to research by PricewaterhouseCoopers (PwC).<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1da.....

AstraZeneca pulls plug on depression drug
AstraZeneca's product pipeline was dealt a further blow today as the pharmaceutical giant pulled the plug on a potential antidepressant.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1da07fe2/mf.gif' border='0'/.....

BP investors urged to reject 'excessive' pay
BP's shareholders should vote against its "excessive" executive pay because the targets used to measure bonus awards are unclear, a leading shareholder body has warned ahead of the oil major's annual meeting next month.<img width='1' height='1' sr.....

Irish hotel owner Patrick McKillen accused of lying
The Irish entrepreneur attempting to maintain control of three of London's most prestigious hotels was branded a liar in the High Court.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1da07fe7/mf.gif' border='0'/.....

Fund managers shun RBS at breakeven price
More than two-thirds of City fund managers say they would not buy the state's shares in Royal Bank of Scotland if they were sold at the Government's breakeven price of 50p.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/5.....

Diageo to make offer for Chinese distiller
Diageo could pay up to 630m for a 60.3pc stake in Shanghai-listed white spirits company, ShuiJingFang, as the FTSE 100 company looks to secure a greater foothold in China's alcoholic drinks market, which is valued at 40bn.<img width='1' height='1'.....

SVG shareholders back management
SVG, the FTSE 250-listed private equity firm, has survived a shareholder revolt led by its biggest investor Coller Capital.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1da03cc7/mf.gif' border='0'/><br/&g.....

Indian aviation regulator backs Kingfisher
India's civil aviation regulator today came to the defence of crisis-hit airline Kingfisher following threats that its flying licence could be removed.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1da03aaf/mf.g.....

Cairn Energy seeks to balance out Greenland risk
Cairn Energy will attempt to rebalance its portfolio away from Greenland by acquiring lower-risk assets elsewhere, possibly including production and development assets, it said today.<img width='1' height='1' src='http://telegraph.feedsportal.com/.....

Debt crisis: as it happened - March 20, 2012
The FTSE and Dow suffer their worst day in two weeks as investors around the world sell shares amid concerns over China's economic growth and the impact of high oil prices on consumers and businesses.<img width='1' height='1' src='http://telegraph.....

Whatever the Chancellor says, Britain is not open for business
Tell foreign rivals that the Government is pursuing growth and they'll laugh in your face, says Willie Walsh.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1da037a3/mf.gif' border='0'/><br/><br/>&.....

Threat of global trade war over airline emission charges
The threat of an aerospace trade war between Europe and the rest of the world has escalated after India joined China in threatening retaliation over the European Commission's carbon emissions charges.<img width='1' height='1' src='http://telegraph.....

Mobile advertising boom boosts M&C Saatchi
A boom in mobile advertising helped M&C Saatchi more than double pre-tax profits to 16m in 2011, despite a slump in its Asian business.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1da010d3/mf.gif' border='.....

Debt crisis: live
The FTSE and Dow suffer their worst day in two weeks as investors around the world sell shares amid concerns over China's economic growth and the impact of high oil prices on consumers and businesses.<img width='1' height='1' src='http://telegraph.....

BHP Billiton warns on Chinese economy
The world's biggest mining company, BHP Billiton, has sparked new fears about the economic outlook for China by warning the country's demand for iron ore is slowing.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s.....

Budget 2012: Austerity measures could be eased, OBR to show
Improvements in the economic outlook expected to give Osborne headroom for 5bn of future giveaways.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1da02e25/mf.gif' border='0'/>.....

Facebook doesn't need Wall Street friends
Facebook plans to raise $5bn (3.1bn) when it floats this year, but the social networking site does not need to make friends on Wall Street along the way.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1d9fc8ce/mf.....

Europe's fiscal pact in disarray as even Dutch break the rules
The Netherlands, one of the eurozone's "hardliners" on financial discipline, has the "same problems as Italy and Spain" and is on track to break Europe's three-week old fiscal pact, its own officials have warned.<img width='1' height='1' src='http.....

MPC's Spencer Dale warns on inflation
Inflation could stay higher than the Bank of England expects because of high oil prices and cost pressures at home, one of its most senior policymakers has warned.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1.....

The question to ask when the Chancellor of the Exchequer sits down
It's Budget day tomorrow and time for the economy to submit to its annual financial check-up.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1d9fbf1e/mf.gif' border='0'/>.....

Whitbread perks up on Costa demerger talk
Talk of a potential spin-off injected some caffeine into Whitbread's shares as the FTSE 100 lost its froth over fears of a Chinese slowdown.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1d9f7f67/mf.gif' border=.....

It's not funny when even the Dutch can't meet the austerity targets
How southern Europe must be laughing. Of all the European "hardliners" who have demanded austerity from the "sinner states" few have been as rabid as the Dutch.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1d9f.....

IMF sees $160 oil risk despite Libyan boost
Libya's oil exports have rebounded much faster than expected and will exceed pre-Arab Spring levels as soon as April, plugging a crucial gap in world crude supply as the Iranian crisis comes to the boil.<img width='1' height='1' src='http://telegr.....

WorldSpreads staff lose jobs
More than 80pc of staff working at failed spreadbetting group WorldSpreads have been made redundant and told they will not receive salary payments owed to them this month.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/56.....