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Wednesday 20 June 2012

UK Financial News on 2012-06-20

UK unemployment falls by 51,000
Unemployment in the UK fell by 51,000 to 2.61 million in the three months to April, official figures show......

Cable forces binding pay votes
The business secretary announces plans to force companies to have binding votes on executive pay every three years, but resists pressure for annual votes......

US economy growth forecast is cut
The US central bank cuts its forecast for economic growth in 2012 and takes steps to reduce long-term borrowing costs......

Bond yields fall after G20 summit
Spanish and Italian bond yields fall, on hopes that the G20 summit saw eurozone nations move closer to a deal on lowering euro-area borrowing costs......

New Greece leader offers 'hope'
Antonis Samaras is sworn in as Greece's new PM, vowing to "give hope" to Greek people after political turmoil threatened to spill over to the eurozone......

Bank support for extra stimulus
Four members of the Bank of England's policy setting Monetary Policy Committee - just short of a majority - support pumping extra money into the economy......

P&G issues second profits warning
Procter and Gamble, the maker of Pampers nappies and Duracell batteries, has cut its sales and profit forecasts for the second time in two months......

Carr 'morally wrong' on tax - PM
Prime Minister David Cameron says the legal but aggressive tax avoidance scheme reportedly used by comedian Jimmy Carr is "not morally right"......

Sharp decline in profits at Kesa
Profits at European electrical goods retailer Kesa almost halved in the 2011-12 financial year, the group says, as it announces plans to rebrand the group Darty......

Ex-banker admits taking F1 bribes
Former banker Gerhard Gribkowsky admits taking $44m in bribes from Formula 1 president Bernie Ecclestone, a German court hears......

H&M profits from stronger sales
Fashion retailer Hennes and Mauritz (H&M) reports a 20% rise in profits after "very strong sales" of its spring collection......

Tenants 'still unaware of rights'
Most tenants remain unaware of deposit protection schemes as complaints rise 86% in two years, a charity warns......

Facebook scraps Credits currency
The social network ditches Facebook Credits, its own currency, allowing app purchases to be made in local currencies......

Nike's Twitter ad campaign banned
The UK's advertising watchdog issues its first Twitter-related ban after posts by Wayne Rooney and Jack Wilshere......

FSA chief gives bonus to charity
The chief of the UK's financial regulator, Hector Sants, has donated his 143,750 bonus to a charity supported by the Duchess of Cambridge......

Aer Lingus rises on Ryanair offer
Aer Lingus shares rise 18% on Wednesday following rival Ryanair's latest attempt to buy the Irish airline......

Murdoch in $2bn CMH takeover bid
Rupert Murdoch's News Limited makes a $2bn bid for James Packer's Consolidated Media Holdings, a move which would strengthen his pay-TV holdings in Australia......

Kristen Stewart top Forbes list
The Twilight star is Hollywood's highest-paid actress making 22 million in the last financial year, according to US magazine Forbes......

Mensch launches rival to Twitter
Conservative MP Louise Mensch launches a rival to microblogging site Twitter in the US......

Insurers 'must reflect society'
Insurers need to be more agile in matching products to people's changing lifestyles, a report claims......

MPs demand park homes protection
A Commons committee says legislation "more suited to the 1960s" is failing to protect residents of mobile home parks and urges reform......

Data shows two-speed homes market
Signs of a two-speed UK housing market were revealed in official statistics on property prices which showed London homes rising fastest in value......

Japan's exports surge 10% in May
Japan's exports rise the most in 17 months in May easing concerns about the impact of a global slowdown on the Japanese economy......

Spain's cost of borrowing jumps
Spanish borrowing costs on 12-month and 18-month bonds jump to 5.1% at its first debt auction since securing a 100bn euro bank bailout......

UK inflation rate falls to 2.8%
The UK inflation rate fell to 2.8% last month owing to a slowdown in fuel and food price rises, figures show......

Walgreen buys 45% stake in Boots
US retailer Walgreen is to pay $6.7bn for a 45% stake in Alliance Boots in a deal that will confirm it as the world's biggest pharmacy......

Royal Bank of Scotland sheds jobs
The state-owned Royal Bank of Scotland is to cut 618 jobs in response to new banking rules coming into force at the end of 2012......

Argos parent sees shares surge
Home Retail Group, owner of Argos and Homebase, sees its share price soar despite sales falling at the two retail operations......

Olympic legacy chief to resign
The American chief executive of the London Legacy Development Corporation is to leave his post with the future of the Olympic Stadium still uncertain......

Watford sale at 'premature' stage
The owners of Udinese say their attempt to purchase Watford is still at a "premature" stage, despite reports of an imminent sale......

SA's Nations Cup crowd concerns
With the 2013 Africa Cup of just seven months away South Africa are struggling to pull in the fans to watch their internationals......

AUDIO: Bank of England 'a lot more proactive'
The Bank of England will hold the first of its new auctions designed to provide UK banks with cheap cash in exchange for assets. John Wraith, fixed income strategist at Bank of America Merrill Lynch Global Research, shares his thoughts on the scheme......

VIDEO: How to prepare for an interview
Career coach Sue Powell shares her top tips on preparing for a job interview......

VIDEO: Cable outlines executive pay plans
Business Secretary Vince Cable has announced plans to force companies to have binding votes on executive pay every three years......

VIDEO: Region bucking economic growth trend
Official jobless figures show that unemployment has fallen again, but in a mixed picture for the economy, the number of people claiming jobless benefits has gone up......

VIDEO: Why do British work such long hours?
Economist Robert Skidelsky looks at John Maynard Keynes' predictions, what people want today and finds a society "obsessed with consumption"......

AUDIO: Executive pay system is 'bust'
Today, Vince Cable the Business Secretary will set out a plan to sort executive pay out. Business editor Robert Peston has more details.....

AUDIO: Minister: 'More to do' on tax avoidance
Treasury minister David Gauke has said that HMRC are "on the case" of tax avoidance schemes......

AUDIO: Would you try to avoid paying tax?
As ministers promise to crack down on tax evasion, a new scheme helps people to avoid tax legally......

Four steps to getting that job
Four experts give their top tips on how to land that job.....

Five months of searching for jobs
Life is still hard for the staff of a shop which closed in January.....

Hong Kong debates currency peg
Hong Kong debates its currency's peg.....

New engines to help Bentley sales double
Will new engines help Bentley double its sales?.....

MIT + Harvard = edX
Is this the formula for a university revolution?.....

My Business: Beef patty empire
How an immigrant started a $100m business in New York.....

Pension saving choices: Part 2
How to make your own investment choices.....

Greece austerity: How far still to go?
How far has Greece come in its tough reforms?.....

U.S. Day Ahead: 17,000 reasons why Google will battle Apple
June 20 - Expect Google CEO Larry Page to possibly come out swinging at the tech giant's shareholder meeting as Apple tries to bar the sale of phones from its recently bought Motorola unit......

Wealth Strategies: Fed should "shock & awe", not just twist
June 20 - 30-yr. Treasuries rallied after the Fed announced a continuation of "Operation Twist" through the end of the year. Barclays' Michael Pond says the central bank should have done something more dramatic.....

Fed extends economic stimulus
June 20 The Federal Reserve has extended its latest monetary stimulus and sharply downgraded its forecasts for U.S. economic growth, saying it was prepared to take further steps to help the faltering recovery if needed. Heres Federal Reserve Chairma.....

'Anti-social' talk stirs debate at LeWeb
TV about his new book Digital Vertigo which argues a new 'anti-social' movement is beginning as people become more concerned about their personal privacy. Matt Cowan reports......

Inside the Fed lockup: Fed announces $267 bln T-bill twist
Fed Correspondent Pedro Da Costa reports live from the Treasury lockup......

Fed twists in the dark, JPMorgan economist
June 20 - Top JPMorgan economist Jim Glassman describes the Fed extending Operation Twist as a measured move in otherwise uncharted territory. He adds if Europe worsens, expect QE3......

Greek attention turns to bailout
June 20 - Election winners New Democracy agree to form a coalition government with ousted PASOK, but both parties face a tough road to negotiate the country's bailout, even if Europe is under pressure water down its demands. Joel Flynn reports......

Trading at Noon: Facebook holds steady; Fed watch
June 20 - Looking ahead at Facebook stock, which may have found its footing, and the Fed's policy statement today......

Breakingviews: Playing charades with Dimon
Breakingviews editors discuss why JPMorgan boss Jamie Dimons second appearance before U.S. lawmakers was a serious distraction from the bigger issues confronting the country......

Walgreen steps with Boots into new regions
June 20 - The deal between U.S. drugstore Walgreen and Britain's Boots will create the world's biggest buyer of prescription drugs at a time of economic gloom in Europe. Hayley Platt reports......

Europe Day Ahead: New Greek government eyes bailout revamp
June 20 - The party leaders in Greece's new coalition government say their first priority will be to renegotiate the tough austerity terms attached to the country's international bailout.....

EU's slowly but surely not fast enough
June 20 - Europe may have won support from world leaders for an ambitious but slow-moving overhaul of the euro zone but there's pressure from the financial markets for quicker solutions to the debt crisis which continues to threaten the world economy.....

Hard hit Greeks queue for handouts
June 20 - Thousands of Greeks suffering in the country's economic crisis queue for food handouts, as politicians continue talks over forming a coalition. Simon Hanna reports......

UK still safe haven but no gloating - Stheeman
June 20 - The UK remains a safe haven for investors but low yields and liquidity issues are potential concerns, says DMO chief Robert Stheeman......

Art prices soar on euro zone fears
June 20 - Peinture (Etoile Bleue) by Joan Miro sold for the Spanish artist's record at auction in London, at the start of what's expected to be a bumper summer for art sales. Worries about the euro zone and global economy are leading the world's supe.....

U.S. Morning Call: Final countdown to Fed statement
June 20 - Investors await the Federal Reserve's announcement on what it might do to support the fragile U.S. recovery......

Market Pulse: Don't go long euro betting on Fed - analyst
FX analyst Neal Kimberley says don't count on the Fed easing policy despite the slowdown risks to the US economy......

Who's who in Athens' new political power game
June 20 - A profile of the three key players - New Democracy's Samaras, Pasok's Venizelos and the Democratic Left's Kouvelis - likely to form a pro-bailout coalitaion in Greece......

Breakingviews: Bailout bond buying is a backward idea
June 20 - The euro bailout fund is too small and too limited to be used to buy sovereign debt and current proposal would help creditors not countries say Breakingviews......

UK vulnerable to pressures from euro zone crisis - minister
June 20 - Unemployment in Britain remains stubbornly high at 8.2%, but the employment minister Chris Grayling says measures to reduce the burden of regulation on businesses will help......

Good times roll in the Philippines
/INSEAD survey......

Checklist for investing in Myanmar
June 20 - Before investors take the leap into one of the world's most promising emerging markets, there are a few pitfalls they'll need to consider......

Reuters Today: G20 backs Europe's slow overhaul
June 20 - World leaders support Europe's plans for an ambitious but slow-moving overhaul of the euro zone. Plus Mubarak ailing, Greeks set to seal coalition and Europe dampens Asia business sentiment......

Sunny Philippines, Australian gloom: biz sentiment survey
/INSEAD survey......

Markets in muted response to Europe's integration plan
June 20 - G20 leaders welcome Europe's plans to integrate its banking sectors, but Asian markets lukewarm, eye Fed stimulus. Arnold Gay reports......

Ryanair's 'now or never' bid for Aer Lingus
"We are generating so much bloody money we don't know what to do with it."<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/208c74d7/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.co.....

Hedge fund manager says that Greece must leave euro or it will fail
Greece should exit the euro and the European Central Bank (ECB) should guarantee euro bloc debt, according to a senior GLG hedge fund manager.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/208d662a/mf.gif' borde.....

BC Partners and Blackstone team up for Iglo
A joint bid for Iglo Group from BC Partners and Blackstone valued at less than 2.6bn (2bn) is likely to face rejection from owners Permira.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/208d662b/mf.gif' border='.....

German banker admits he took bribe from Bernie Ecclestone for the 2006 sale of Formula 1
A German banker in charge of selling Formula 1 has admitted in court that he took bribes from Bernie Ecclestone in exchange for selling the motor racing group to private equity firm CVC.<img width='1' height='1' src='http://telegraph.feedsportal.c.....

Debt crisis: bond buying plan to ease euro debts only 'theoretical' says Angela Merkel
Angela Merkel put Germany on a collision course with its European neighbours by insisting an idea to allow bail-out funds to buy Spanish and Italian debt was "purely theoretical".<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32.....

Farepak: festive tale with an unhappy ending
Failure of the Insolvency Service's case has heaped more suffering on savers.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/208d5701/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.....

Greek coalition to plead for leniency on bail-out
Greece will on Thursday begin the uphill struggle of trying to secure revisions to its mammoth international bail-outs, just hours after ending its protracted political crisis by forming a coalition government.<img width='1' height='1' src='http:/.....

Debt crisis: as it happened, June 20, 2012
Markets slip as the US Federal Reserve slashes its growth forecast and Ben Bernanke warns that the European crisis is slowing the country's recovery and the creation of jobs.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f.....

Farepak farce heaps humiliation on Cable and his Insolvency Service
Vince Cable and his Insolvency Service are a complete shower.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/208d537d/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.com/r/137428997.....

Debt crisis: live
Markets slip as the US Federal Reserve slashes its growth forecast and Ben Bernanke warns that the European crisis is slowing the country's recovery and the creation of jobs.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f.....

Russia 'wants BP to stay' in the country
BP could yet find a way forward in Russia, a senior member of the country's government has suggested, declaring the state did not want the British oil major to leave the country.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/327.....

US Fed slashes growth forecasts and extends 'Operation Twist' by $267bn
America's central bank has stepped up efforts to rescue the US recovery by extending "Operation Twist", a diluted version of quantitative easing, but it disappointed markets by failing to launch a full-blown stimulus programme.<img width='1' heigh.....

Treasury ministers 'avoiding' commitee grilling over Energy Bill
The Treasury is refusing to testify to MPs about its crucial involvement in energy reforms because it wants to avoid difficult questions, Tim Yeo, the chair of the Energy Select Committee has claimed.<img width='1' height='1' src='http://telegraph.....

Invensys jumps 27pc on talk of Emerson bid
Takeover speculation was still in vogue as London stockmarkets continued to march higher.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/208c7805/mf.gif' border='0'/><br/><br/><a href="http://da.....

US Fed extends 'Operation Twist' by $267bn
America's central bank has stepped up efforts to rescue the US recovery by extending "Operation Twist", a diluted version of quantitative easing, but it disappointed markets by failing to launch a full-blown stimulus programme.<img width='1' heigh.....

Debt crisis: markets bet Germany will be dragged down with everyone else
Nobody ever got rich shorting Japanese government bonds, it is often said. Are those now aggressively shorting German bunds about to fall into the same trap?<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/208c74d.....

US Federal Reserve extends 'Operation Twist' in bid to boost economy
The Federal Reserve is to expand its programme to replace short-term bonds with longer-term debt by $267bn in a bid to boost the economy and drive long-term interest rates down.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/3272.....

Review: BlackBerry 10
BlackBerry's new software might just get the beleaguered RIM back in the race with its smartphone rivals - but only if it gets the timing right.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/208c01af/mf.gif' bor.....

Banks have 'questions to answer' over swap mis-selling
A top official at the Financial Services Authority has warned that Britain's four largest banks face more questions over their sale of interest rate hedges to small business customers.<img width='1' height='1' src='http://telegraph.feedsportal.com.....

Farepak case against directors collapses
A multi-million legal case against directors of Christmas saving scheme Farepak has collapsed in a humiliating blow to the Government.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/208bf7a3/mf.gif' border='0'/&g.....

David Cameron: tax arrangement of comedian Jimmy Carr 'morally wrong'
Tax avoidance scheme used by comedian to pay as little as one per cent tax investigated by HMRC.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/208be1fb/mf.gif' border='0'/><br/><br/><a href="ht.....

What should Prince William do with his 10m inheritance?
The Duke of Cambridge turns 30 today - and inherits the princely sum of 10m. We talked to the financial experts for some advice on what he could do with the money.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2.....

Asda workers net 14,000 from Sharesave scheme
Asda workers are to share almost 51m from a scheme that allows them to buy shares in their employer without the risk of losing money.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/208b46c8/mf.gif' border='0'/>.....

Procter & Gamble shaves growth targets as China slows
Slower growth in China and tough Western markets prompted Procter & Gamble, the maker of Gillette razors and Pantene shampoo, to cut its growth forecasts.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/208b46.....

Downing Street defends Gary Barlow honour after tax row
Take That singers are latest celebrities to be dragged into tax avoidance row following Jimmy Carr claims.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/208b0805/mf.gif' border='0'/><br/><br/><.....