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Wednesday 11 July 2012

UK Financial News on 2012-07-11

Eurozone 'risks losing 4.5m jobs'
The eurozone could lose 4.5 million more jobs unless the region shifts away from austerity, the International Labour Organization warns......

Spain plans sweeping budget cuts
Spanish Prime Minister Mariano Rajoy announces sweeping budget cuts and tax rises, as police clash with protesters in Madrid......

Dairy farmers 'pushed to brink'
Dairy farmers from across the UK are "pushed to the brink" by cuts to milk prices, a farmers' union representative tells a summit......

Plan to cap care costs 'on hold'
Ministers have refused to fully commit themselves to a cap on care costs for the elderly in England, saying they need to explore cheaper options first......

Britvic shares hit by recall cost
Shares in Britvic slump 13% after the firm says delays in getting its recalled Robinsons Fruit drinks back to market could cost up to 25m......

US Fed keeps policy options open
The Federal Reserve is open to the possibility of a new round of asset purchases but the US economy may need to get weaker before any action is taken......

US trade deficit narrows in May
The US trade deficit narrowed in May from April, as cheaper oil lowered the value of imports, while exports to Europe and China rose......

US crackdown on illegal robocalls
The US government organises a "summit" to tackle computer controlled phone calls by criminals trying to defraud the public......

Portugal medical staff on strike
Thousands of doctors and nurses go on strike in Portugal to protest against cuts in the health budget, as the government tries to meet bailout terms......

Thorntons sales up amid cost cuts
Troubled chocolate maker Thorntons reports a sharp rise in sales as it tries to return to profit......

US brokerage files for bankruptcy
US futures broker Peregrine Financial Group files for Chapter 7 bankruptcy, meaning it will be liquidated, after being accused of fraud......

Virgin to launch small satellites
Virgin Galactic is pushing ahead with a rocket system designed to lower the cost of putting small satellites in orbit......

Burberry posts further sales rise
High-end fashion group Burberry reports rising revenues, but its shares dip as sales growth fails to meet analysts' expectations......

Euro football lifts Wetherspoon
Pubs chain JD Wetherspoon reports a sharp increase in sales thanks to the Euro 2012 football tournament and the Diamond Jubilee......

'Confusion' over legal products
Consumers are struggling to understand complex and confusing products sold by the legal sector, an ombudsman warns......

Apple brings new iPad to China
Apple says it will start selling the new iPad in China on 20 July, after it settled a dispute involving rights to the "iPad" name in the country......

China in further fuel price cut
China, the second biggest consumer of fuel, has cut retail prices by about 5% starting Wednesday, as oil demand falls......

Artists angered by copyright plan
Musicians from Radiohead and Pink Floyd are among those angered by plans for a new EU copyright law, which they say will not do enough to collect unpaid royalties......

Theo Paphitis buys Robert Dyas
Entrepreneur and Dragon's Den star Theo Paphitis buys the electrical and hardware retailer Robert Dyas in a deal thought to be worth about 10m......

Poverty target 'will not be met'
The UK has no chance of meeting its target of eradicating child poverty by 2020, the government's adviser on social mobility says......

Farepak: Customers get 50% refund
Customers and agents of Farepak, the Christmas savings firm, will ultimately receive half of the money they lost when it collapsed......

UK housing market is 'lacklustre'
Activity in the UK housing market remains "in the doldrums" with little chance of a pick-up soon, according to surveyors......

King: Euro woes 'biggest worry'
The governor of the Bank of England, Sir Mervyn King, says the eurozone debt crisis has created "a great black cloud of uncertainty" hanging over global business......

UK trade gap narrows in May
The UK's trade deficit narrowed to 2.7bn in May, down from 4.1bn in April, as exports rose, official statistics show......

Spain to get 30bn euros for banks
Eurozone finance ministers agree to offer Spain 30bn euros (24bn; $37bn) this month to help its banks, following talks in Brussels......

Union to meet pork plant bosses
The union Usdaw says it hopes to learn more about the finances of the Hall's of Broxburn factory during a meeting with management......

Diamond responds to MPs' claims
Ex-Barclays boss Bob Diamond says he is "dismayed" by MPs' views that he was "less than candid" when he appeared before the Treasury Committee......

Remploy confirms factory closures
Remploy, which provides employment opportunities for disabled people, is to close 27 of its factories, the government confirmed on Tuesday......

Former Fifa chief 'took bribes'
Court documents reveal ex-Fifa president Joao Havelange was paid huge sums in bribes by collapsed marketing company ISL......

'End fast food Olympics links'
Fast food and alcohol brands sponsorship of sporting events such as the Olympics is called into question by Wales' chief medical officer......

SPL enlargement on reform agenda
Proposals drafted by Scottish football's three governing bodies include a new top tier division of 16 teams by 2015......

VIDEO: Morrisons: 'We work with the farmers'
Dairy farmers across the UK are due to protest at Westminster to voice concerns over the future of the industry.....

VIDEO: Olympics cause airspace headache
The UK's armed forces will take formal control of British airspace from Saturday as part of the security preparations for the 2012 London Olympics......

VIDEO: Growth in 'ethical banks'
As the Barclays rate fixing scandal continues to hit the headlines, more people are investing in so-called ''ethical banks''.....

VIDEO: Young people lack 'basic life skills'
The chairman of the Poundland chain of shops claimed some young people lack the "basic but crucial life skills" for work, and business leaders must play their part in helping them......

VIDEO: Spain announces new austerity measures
Spanish Prime Minister Mariano Rajoy has announced a 3% rise in VAT as part of a raft of austerity measures aimed at balancing the budget......

AUDIO: Shareholder's 'dilemma' over Barclays future
Philip Augar, former group managing director at Schroders, shares his views on the future of Barclays......

VIDEO: 'I thought I was in a Russian gulag'
Can the over 70s still cut it in the workplace? On a visit to a building site, Nick Hewer and Margaret Mountford are amazed at how well three retired builders cope with the cold weather conditions......

Takeover spree sweeps aerospace and defence sector
Small suppliers in the aerospace industry join forces.....

Ruud Gullit: Close-up with Cloozup
Ruud Gullit backs social media site for athletes.....

Banking dominance under scrutiny
Why changing banks is now hard to do.....

End of empire for Western universities?
Almost one in three graduates will come from China.....

Africa's journey to space takes off
A continent's aspirations in space.....

U.S. Day Ahead: Signs of healing in job market
July 11 - As the Fed debates more stimulus, pay close attention to initial jobless claims in the morning. The good news - claims could stick at pre-recession levels......

U.S. Day Ahead: Signs of healing in job market
July 11 - As the Fed debates more stimulus, pay close attention to initial jobless claims in the morning. The good news - claims could stick at pre-recession levels......

Trading at Noon: Drought bout weighs on U.S. corn
July 11 - The worst drought in a quarter century will slash corn yields across the U.S. Midwest by much more than expected.....

Breakingviews: Browser wars go mobile
July 11 - Jeffrey Goldfarb and Robert Cyran discuss the limited browser competition on smartphones and the market solution that regulators should push to avoid another Microsoft antitrust case......

Europe's dairy farmers' anger over milk prices
July 11 - British dairy farmers stage a protest outside Westminster a day after a "milk lake" was formed outside the European Parliament in Brussels to protest against low prices......

Europe Day Ahead: Italy to test appetite as bond yields fall
July 11 - Some of the pressures in the euro zone subside with Spanish 10-year yields below 7% and Italian under 6%. Rome sells 7.5 bln in bills on Thursday.....

Spain, banks boost markets
July 11 - European shares edge higher as investors take heart from new taxes and spending cuts announced by Spain as it moves to meet financial targets. Jamie McGeever reports......

3XSQ: Bankruptcy mystery, Spain pain
July 11 - Missing millions and a suicide attempt at brokerage PFGBest, and taxes as well as spending cuts increase in Spain......

Fears on further Spanish austerity
July 11 - Spanish Prime Minister Mariano Rajoy announces new austerity measures to trim the country's deficit, as Ireland and Italy also say they will look to the euro zone's rescue fund for help. Joel Flynn reports......

Chinese Olympians make a splash in Leeds
July 11 - The English city of Leeds is hoping it can turn hospitality into economic opportunities as it plays host to athletes from the Chinese Olympic team ahead of this summer's games in London. Eileen Hsieh reports from Leeds......

U.S. Morning Call: Iowa futures firm PFGBest collapses
July 11 - Futures broker PFGBest files for Chapter 7 bankruptcy after regulators accuse it of misappropriating funds for two years......

Defence doldrums could last a decade - Boeing
July 11 - Defence contractors are hunkering down for a decade or more of depressed sales, says the CEO of Boeing Defense, Space & Security, Dennis Muilenberg......

Market Pulse: A twitchy thumbs up for new Spanish austerity
July 11 - Spanish bond yields slip further below the key 7% mark after Madrid unveils a hefty 65 bln round of austerity. But the thumbs up today could easily flip to thumbs down tomorrow......

Breakingviews: Spanish bank bail in necessary
July 11 - Forcing Spain to impose losses on junior bank debt holders would be deeply unpopular but ultimately is necessary say Breakingviews.....

Southeast Asia's troubled waters
July 11 - Tensions over territory in the South China Sea have reached dangerous heights, and are undermining Southeast Asia's show of unity at a regional forum in Cambodia......

Reuters Today: Economic malaise infects corporate outlook
July 11 - Another worry for investors - economic weakness is now starting to hurt the corporate outlook. Plus, uncertainty over a key German Supreme Court ruling, and Chinese Olympic athletes arrive in the UK......

Reuters on the Road: Tsunami orphans' flip flop fashion
July 11 - Gandys Flip Flops founders Paul and Rob Forkan take the taxi challenge to explain how family tragedy inspired their ethical footwear business......

Witness: Images of hope in Myanmar
photographer Damir Sagolj reveals the stories behind his favourite pictures taken in a rapidly changing Myanmar......

Popcorn prices ready to pop
July 10 - Consumers should prepare to dig deeper into their pockets for a favorite snack, popcorn will soon be more costly as droughts in the Midwest push corn prices higher. Bobbi Rebell reports......

Look out below as techs warn
July 10 - Summary of business headlines: Stocks fall after warnings from Applied Materials and Advanced Micro Devices; Small business sentiment sours; Research in Motion strategy lacks movement; Iowa broker accused of misusing over $200 million in cu.....

U.S. Day Ahead: Fed could open the floodgates in September
'Mark Felsenthal says it could happen soon......

New research could help advertisers read your mind
July 10 - Researchers in New York have shown that measuring human brain waves could help advertisers develop more effective campaigns. The team monitored brain wave activity in volunteers to determine what types of film scenes elicited universal resp.....

Trading at Noon: Blue-chip blues as Q2 outlook lowered
July 10 - Shares of Advanced Micro Devices & Applied Materials fall on lowered outlooks.....

Breakingviews: Intel chips in to ASML
July 10 - Jeffrey Goldfarb and Robert Cyran talk about why Intels $4.1 billion investment in the Dutch company ASML, including bankrolling next-generation chip production, looks like a clever deal......

Sceptisms over Spain banks package
July 10 - Euro zone ministers struggle to reassure financial markets that an aid package for Spain will help stabilise the currency bloc - a task made all the harder by a German legal challenge to its crisis-fighting tools. Joel Flynn reports.....

Debt crisis: Spain bows to EU ultimatum with drastic cuts
Spanish premier Mariano Rajoy has raised VAT sharply in a humiliating volte-face and pushed through 65bn (51bn) of drastic austerity measures to comply with a European Union ultimatum, risking a downward spiral into full depression.<img width='1' .....

Construction industry calls on Government to boost infrastructure
The heads of some of the country's biggest building groups have called on the Government, in a letter published in The Daily Telegraph, to use the construction industry to stimulate the economy. This is the letter.<img width='1' height='1' src='ht.....

Barclays: Rake ready to quit BT and easyJet to become chairman at Barclays
Sir Mike Rake has sounded out investors about becoming chairman of Barclays and has told them he will quit the boards of easyJet and BT to do it.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/214068ed/mf.gif' bo.....

Construction industry calls on Government to boost infrastructure
The Government is failing on its pledge to stimulate the economy through infrastructure projects and could lose Britain key investments, warn more than 20 leading industry figures.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/3.....

Governor neatly sums up our crisis of confidence halting UK growth
Sir Mervyn King has so far avoided becoming directly embroiled in the Libor scandal but will give evidence to MPs on the Treasury select committee next week.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/214068e.....

Proud Spain again humbles itself to the euro's demands
The eurozone's appetite for self harm knows no bounds.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/213fd0bf/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.com/r/139262278070/u/3.....

Aviva in favour as market flatlines
Aviva finished the session near the top of the large cap leader-board today as the insurer found favour with Morgan Stanley analysts.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/213fdd8d/mf.gif' border='0'/>.....

National Grid chief investigated over expenses in relation to sex pest allegations
The chief executive of National Grid, Steven Holliday, was investigated for potential misuse of expenses as part of an inquiry into allegations that he sexually harassed an employee.<img width='1' height='1' src='http://telegraph.feedsportal.com/c.....

New recruits to SFO include retire judge Geoffrey Rivlin
THE new director of the Serious Fraud Office, David Green, has made a raft of senior appointments as he looks to rebuild the criminal fighting body from the mistakes that have dogged it in recent months.<img width='1' height='1' src='http://telegr.....

Debt crisis: as it happened - July 11, 2012
Riot police and protesting miners have clashed in Madrid as the Spanish prime minister Mariano Rajoy announces more sweeping austerity measures, including a rise in VAT and other taxes, and increases to spending cuts.<img width='1' height='1' src=.....

Strong pound dents exports
Britain's export-led recovery has been jeopardised by the appreciation of the pound to a three-and-a-half year high against the euro, undoing the advantages gained by slashing interest rates and launching quantitative easing.<img width='1' height=.....

Barclays begins search for new chief executive
Some of the biggest names in the British banking establishment could be among the potential candidates to replace Bob Diamond as chief executive of Barclays.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/213f438.....

How housebuilders are bucking the housing market downturn
Britain's housebuilders, including Barratt Developments, are growing sales and profits despite a housing market that is stuck in the doldrums.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/213f438d/mf.gif' borde.....

Violent protests erupt in Spain after miners' protest
Riot police and protesting miners clashed in Madrid today as the Spanish prime minister Mariano Rajoy announced further austerity measures.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/213eba07/mf.gif' border='.....

Police fire rubber bullets during coal miners' demonstration in Madrid
Police fire rubber bullets during coal miners' demonstration in Madrid.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/213eba0c/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.com/r.....

Eurozone woes to dampen oil demand growth in 2013, Opec warns
Growth in global oil demand will slow next year as the eurozone crisis continues to make for a fragile and uncertain world economy, Opec has warned.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/213e6de2/mf.gif'.....

Burberry shares fall on fears of China slowdown
Burberry said that its stellar growth in China was starting to moderate, as consumers felt less confident about giving each other presents.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/213e6de0/mf.gif' border='.....

US trade gap narrows to $49bn as exports rise
The US trade deficit narrowed slightly in May as a rise in exports, including those bound for Europe and China, eased the pain of a slowdown in the broader economy.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/.....

Libor scandal and NatWest glitch: 'Fifth have lost trust in their bank'
Millions of disgruntled customers could switch their accounts in the coming weeks and months following the recent spate of banking scandals, research suggests.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/213db.....

Icap to launch retail bond paying 5.5pc interest
Launch follows high-profile retail bond issues by companies such as National Grid, Tesco and Royal Bank of Scotland.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/213eba0e/mf.gif' border='0'/>.....

Icap launches retail bond paying 5.5pc interest
Launch follows high-profile retail bond issues by companies such as National Grid, Tesco and Royal Bank of Scotland.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/213db09f/mf.gif' border='0'/><br/><b.....

Corn prices jump as US drought hits crop
A scorching drought across the Midwest will slash corn yields by much more than most analysts had expected, the government said in a report that reignited a record rally in grain prices.<img width='1' height='1' src='http://telegraph.feedsportal.c.....

Spain's day of pain: in pictures
Spanish prime minister Mariano Rajoy has announced more sweeping austerity measures, including a rise in VAT and other taxes, increases to spending cuts and suspending Christmas bonuses for civil servants. The plan has led to violent clashes with pro.....

Libor scandal: Lord Turner and Del Missier to face MPs
The chairman of the Financial Services Authority, and Jerry Del Misser, former chief operating officer at Barclays, will be grilled by MPs over the Libor scandal on Monday.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/5.....

Libor scandal: Lord Turner and Del Misser to face MPs
The chairman of the Financial Services Authority, and Jerry Del Misser, former chief operating officer at Barclays, will be grilled by MPs over the Libor scandal on Monday.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/5.....