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Wednesday 18 July 2012

UK Financial News on 2012-07-18

UK jobless total falls to 2.58m
UK unemployment fell by 65,000 to 2.58 million in the three months to May, according to official data, but the number out of work for more than two years rose......

Microsoft confirms Windows 8 date
Microsoft confirms the exact date in October that its new computer system will go on sale in what it calls the most important redesign in 10 years......

eBay sees quarterly income double
Online retailer and auction site eBay says its income doubled in the second quarter after higher revenue from its PayPal payment business......

UK launches 40bn guarantees plan
The government is to underwrite up to 40bn of investment in infrastructure to try to kick-start stalled projects and stimulate economic growth......

Investors seek News Corp reforms
A new group of investors in News Corp are lining up behind a motion asking the company to replace Rupert Murdoch with an independent chairman......

IBM profits despite currency hit
IBM announces a rise in profits despite revenues falling because of a $1bn fall in revenue caused by currency movements......

O2 offers customers compensation
Mobile phone network O2 will give compensation to hundreds of thousands of its customers after its network stopped working last week......

Ethel Austin in fourth collapse
The northern England clothing chain Ethel Austin has returned to administration for the fourth time in four years, putting hundreds of jobs at risk......

Capital One fined for mis-selling
Credit card issuer Capital One has been fined and ordered to refund two million customers for mis-selling products......

Vulture fund's claim is blocked
The Privy Council has ruled that a "vulture fund" cannot collect $100m from the Democratic Republic of Congo following a Newsnight investigation......

AAR looks to up stake in TNK-BP
BP's Russian oligarch partners AAR have said they are interested in taking a bigger share of the TNK-BP joint venture......

Private pension costs 'hidden'
Companies which sell private pension plans have been accused of hiding some of the costs that are levied on customers, eroding the value of their investment funds ......

Spain banks face more risky loans
Spain's banks have 155.84bn euros (122bn) of loans on their books that are at risk of not being repaid, the highest level since 1994, official figures show......

Cost cuts boost Bank of America
Bank of America reports a profit of $2.5bn (1.6bn) for the second quarter after cutting costs and reducing reserves to cover bad debt losses......

Peugeot aid 'not unconditional'
PSA Peugeot Citroen, the car company planning to cut 8,000 jobs, will have to make concessions in return for state aid, France's industry minister says......

S Korea banks in rate-rig probe
South Korea is investigating banks and brokerages over possible manipulation of a savings interest rate - the latest in a series of allegations against banks......

Restructuring dents Yahoo profit
Technology firm Yahoo sees profits slip after a year of restructuring which saw it go through three chief executives......

M&S to charge for bank account
High Street retailer Marks and Spencer will charge customers a monthly fee of up to 20 for users of its first current account......

Texting overtakes talking in UK
Ofcom reveals how communication habits in the UK are shifting from talking on the phone to digital-based chat......

Payment machine help 'not clear'
Many shoppers who have difficulties entering their Pin on a terminal when they pay are unaware that an alternative is available......

Online push for benefit claims
Claimants of a new universal benefit will be pushed to complete forms online when the new system starts next year......

Pension provision 'still falling'
Membership of company and private pension schemes is continuing to decline, figures from the Office for National Statistics show......

Scots economy back in recession
Scotland follows the UK into a double-dip recession, according to the latest figures from the Scottish government......

Bank voted 7-2 to lift stimulus
The Bank of England's policy setting body voted 7-2 in favour of increasing quantitative easing, amid signs the UK economy is seeing little growth......

China June property prices rise
Property prices in 70 Chinese cities rose slightly in June, compared to May, after eight months of decline......

Apple ordered to run Samsung ads
A UK judge orders Apple to publish adverts saying that Samsung did not copy the design of its iPad......

Credit Suisse raises new capital
Swiss bank Credit Suisse says it is raising 8.7bn Swiss francs (5.69bn) to bolster its financial resources to cushion against future losses......

Ericsson quarterly profits hit
The world's largest maker of mobile phone networks, Ericsson, reports lower-than-expected profits for the second-quarter of 2012......

BBC to broadcast Olympics to 2020
The BBC secures the television, radio and digital broadcasting rights for the next four Olympic Games, starting with Sochi 2014......

Fifa panel to assess bribery case
The payment of millions of pounds in bribes to two Fifa officials is to be examined by the organisation's new ethics committee......

Man Utd is 'most valuable club'
Premier League football club Manchester United is the world's most valuable sports club says US business magazine Forbes......

VIDEO: A brief history of money
The British Museum has opened a new gallery which celebrates the beginnings of coinage and the various forms money has taken around the world......

AUDIO: Jobless youth: I feel like a loser
Today's unemployment figures show that the number of people out of work fell by 65,000 to 2.58 million in the three months up to May. However, the number of people claiming job seekers allowance jumped by 6,100 last month to 1.6 million and the numbe.....

VIDEO: Royal Mail GPS trials begin
Postal workers in East Anglia are using satellite receivers to map the exact location of every property in a Royal Mail trial to improve sat-nav systems......

VIDEO: Taxis protest over Olympic lanes
Hundreds of black cabs bring the centre of London to a standstill in a protest over Olympic traffic lanes......

VIDEO: Unemployment falls to 2.6 million
The latest figures for unemployment show it has fallen for the fourth month in a row to just under 2.6 million......

VIDEO: Lost generation: Neets of Huddersfield
Graham Satchell's been to meet a group of young men in Huddersfield to find out just how hard it is to get a job......

VIDEO: Injecting growth into the economy
The government says it will underwrite 50bn of investment in infrastructure and exports to try to lift the economy......

AUDIO: HSBC drug shame part of 'systemic culture'
HSBC has been accused of allowing clients linked to Mexican drug gangs, al-Qaeda and rogue regimes such as Iran, North Korea and Burma to move money around the world with little or no scrutiny......

Profile: Yahoo's Marissa Mayer
Who is Yahoo's new chief Marissa Mayer?.....

London Tweety12, the social Games
Athletes take to social media for the Olympics - but will they behave?.....

Hong Kong investors drive risk-taking in Asia
Hong Kong's "love to gamble" culture drives investors.....

Nestle blames biofuels for high food prices
World's biggest food producer blames biofuels for higher prices.....

The ultimate cure for writers block?
The ultimate cure for writer's block?.....

Does the web increase homophobia?
Does an Oreo advert prove the net aids homophobia?.....

Second home owners in France face tax hike
The growing cost of owning a holiday home in France.....

U.S. Day Ahead: MS' reputation set to survive Facebook IPO
' Breakingviews Antony Currie......

Big biotech shareholders could earn billions in takeovers
analysis finds the largest shareholders of biotechs bought into the companies at such low costs, they'll likely be willing sellers in a takeover bid and could make billions in profits......

Trading at Noon: BofA's victory rally over; stock drops
Breakingviews Antony Currie says Bank of America's cost-cutting is paying off but without revenue growth, the bank will look mediocre......

Swimming robot limbers up to make a splash
July 18 - Scientists in Japan have developed what they say is the world's most advanced swimming robot, designed to improve performance in the pool. Called "Swumanoid", the robot isn't yet ready for a role in Japan's Olympic swimming programme but, b.....

Breakingviews: BofA winning half the battle
July 18 - Richard Beales and Antony Currie discuss how Bank of Americas big effort to cut costs will make it mediocre, but only revenue growth will help make it great......

Europe Day Ahead: Germany debates Spain bailout
July 18 - A look at Thursday's key events including Germany's parliamentary debate on Spain's bailout, Madrid's bond auction, earnings from Nokia and the latest data from the UK high street......

Germany bond yield turns negative for first time
July 18 - U.S. bond prices rose and Germany sold debt with a negative yield for the first time on Wednesday as investors uneasy about a bleak economic outlook from the Federal Reserve and the intractable euro zone crisis turned to safe haven assets. .....

3XSQ: Facebook IPO stings Knight Capital
July 18 - Knight Capital considers legal action to recoup losses from the botched Facebook offering after its quarterly profit plunged 81 percent......

'Emotional' android shows new face of robotics
July 18 - Italian scientists have created a robot face that can mimic real muscle activity, blurring the boundaries between humans and androids. The FACEteam robot 'skull' and torso contain 32 motors that help recreate the activity of the 100-plus fa.....

Ericsson misses forecasts but no profits warning ahead - CEO
July 18 - Ericsson chief executive Hans Vestberg tells Insider the number of mobile broadband users is set to grow from 1 billion today to 5 billion in 2017......

Suicide bomber rocks Syrian regime, kills top officials
July 18 - A suicide bomber kills Syria's defence minister and President Bashar al-Assad's brother-in-law at a high-level security meeting as more explosions rock the capital Damascus......

Young workers target apprenticeships
July 18 - As demand for apprenticeships is demanding as jobs become harder, one British car factory has doubled its numbers of young people in such schemes. Kelly Lemon reports......

Olympics reduce UK unemployment level
July 18 - The total number of Britons without a job dropped in the March to May period as the Olympics in London created extra work, data showed, providing a rare bit of positive news from the recession-hit UK economy. Ciara Sutton reports......

Market Pulse: Germany's historic 2-yr negative yield auction
July 18 - Germany sells 2-yr bonds at auction, with lenders paying Berlin for the privilege. Finland joins the negative yield club, and the polarisation of the euro zone bond market continues......

Breakingviews: SNB presses Credit Suisse
July 18 - Credit Suisse gives in to pressure from the Swiss National Bank to raise its capital base, and Breakingviews Assistant Editor Peter Thal Larsen says the move should be enough to placate investors......

Crocodiles rejoice! Slowdown curbs China's hunger for bling
July 18 - An economic slowdown and tighter regulations are taking a bite out of China's passion for luxury goods. And it's the high-end - once thought to be bulletproof - where it's most apparent......

Reuters Today: Back to basics - bond sales, data, earnings
July 18 - A potential lull in the Libor scandal today should shift investors' focus back to Germany's 2-year bond sale, UK indicators and the latest wave of European coprorate earnings......

U.S. Morning Call: Bank of America reports Q2 profit
July 18 - Bank of America reports a second-quarter profit as the second-largest U.S. bank cut costs and reduced reserves for loan losses......

Report calls for Vatican financial reforms
July 18 - A European report on the Vatican's attempts to make its financial sector more transparent says the seat of the Catholic Church has to do more to reach international standards on combating money laudering and financing terrorism. Joanna Part.....

Intel forecast hints at weak PC sales
July 17 - Summary of business headlines: Intel forecast indicates PC sales weakness; Yahoo profits decline; Stocks rise despite Bernanke disappointment; Consumer inflation flat. Bobbi Rebell reports......

Has QE2's ship set sail?
July 17 - The effectiveness of the Fed's efforts to boost economic growth is being questioned as Federal Reserve Chairman Ben Bernanke testifies before Congress. Sasha Salama reports......

Economy 2012: Banks could sink recovery says tanker boss
July 18 - The U.S. and the European finance sector is the worst its ever been in over 30 years according to Morten Arntzen, CEO of the Overseas Shipholding Group......

Alzheimer's discovery spurs new hope for future prevention
July 17 - There's new hope for Alzheimer's patients and their families with new research likely to accelerate the development of preventative drugs. A discovery made by scientists in Iceland provides strong evidence that Alzheimers is caused by a bui.....

U.S. Day Ahead: BofA could be a rare ray of light
July 17 - Bank of America reports earnings, Bernanke is back on Capitol Hill and housing starts could show signs of more healing in the real estate market......

Report: HSBC "allowed money laundering"
July 17 - HSBC's head of compliance will step aside after a U.S. Senate report said the bank had routinely acted as a financier to clients moving funds from the world's most dangerous corners, including Mexico, Iran and Syria. Andrew Potter reports......

'Old' or 'new' fashioned, people want a different approach to banking
Let's start with a home truth - banking in Britain is not broken. The reputations of some of its biggest players might lie in tatters, but there are others who are quietly working their way to health and prosperity.<img width='1' height='1' src='h.....

Monti plans 'Greek-style' takeover of Sicily to avert default
Italian premier Mario Monti is mulling emergency action to take direct control of Sicily's regional government before the island spirals into a full-blown financial crisis, fearing contagion to the rest of Italy.<img width='1' height='1' src='http.....

The PM's realism must not slide into defeatism
Telegraph View: For all its problems, this country still has significant assets, both economic and intellectual<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/217a83e2/mf.gif' border='0'/><br/><br/>.....

Lord Green under pressure over HSBC money laundering
Trade minister Lord Green has been called to account for what he knew about money laundering at HSBC in the years that he ran the bank.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/217a47d7/mf.gif' border='0'/&.....

Ericsson profits plunge as mobile operators slow investments in network upgrades
Ericsson, the world's largest mobile phone network provider, saw its profits plunge in the second quarter as operators reined in spending on upgrades to their networks.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/56830.....

Bank of America returns to profit
Bank of America has swung into profit in the second quarter, beating Wall Street expectations as it set aside the least amount of money to cover bad loans since 2007, well before the financial crisis.<img width='1' height='1' src='http://telegraph.....

Homeserve rockets up on bid talk
Investors were piling into Homeserve after talk of a possible bid attracted buyers to the stock.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2179e060/mf.gif' border='0'/><br/><br/><a href="ht.....

Rupert Murdoch faces shareholder revolt at News Corporation AGM
Pressure weighs on Rupert Murdoch as 18 News Corporation investors signal intention to oust him as chairman at its October annual general meeting.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2179dce7/mf.gif' b.....

IMF urges action as eurozone enters 'critical' phase
The eurozone is in "critical" danger and the European Central Bank must do more to drag it from the depths of the crisis, the International Monetary Fund has warned.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s.....

Intel rebounds despite cut in growth forecast
Intel shares rebounded on Wednesday despite the world's largest manufacturer of computer chips cutting its growth forecast.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2179d5ab/mf.gif' border='0'/><br/&g.....

A weak currency is no panacea, but it sure does help
If you intend to take a holiday on the Continent shortly, you will no doubt already have noticed that your pounds are buying a lot more euros than they were.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/217aedf.....

Spain's Rajoy pledges to drive on with austerity measures
Spanish Prime Minister Mariano Rajoy has said he will press on with 65bn of budget cuts he unveiled last week despite mounting protests and concerns the measures will stifle an already shrinking economy.<img width='1' height='1' src='http://telegr.....

Debt crisis: as it happened - July 18, 2012
The International Monetary Fund warned the eurozone was in "critical" danger, urging the European Central Bank to tackle the crisis by turning on the printing presses, as Greek leaders continue to wrestle over spending cuts.<img width='1' height='.....

Puma blames weakening sales on Europe's woes
Sportswear maker Puma felt the bite of the eurozone crisis as a slowdown in European consumers' spending prompted to issue a profits warning.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21790bdd/mf.gif' border.....

Blackstone names Joseph Baratta as new head of global private equity, ushers in a new era
Joseph Baratta, Blackstone's most senior partner in Europe, has been appointed global head of private equity, leading some to speculate he is being groomed for top job.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/56830.....

Mining giant BHP Billiton reports record year for iron ore
BHP Billiton, the world's biggest mining company, set a new annual record for production at its Australian iron ore mines for the 12th year in a row, despite China's slowing growth.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/.....

Debt crisis: live
The International Monetary Fund warned the eurozone was in "critical danger", urging the European Central Bank to tackle the crisis by turning on the printing presses, as Greek leaders continue to wrestle over spending cuts.<img width='1' height='.....

Aer Lingus: Ryanair bid 'not credible'
Aer Lingus has shot down Ryanair's latest hostile takeover attempt, arguing the 649m (508m) offer is "not credible" and will likely fail competition tests.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2178deaf/.....

The Guardian needs to behave more like a business
Guardian News & Media's 44.2m losses raise fresh questions over its ability to survive.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2178deb0/mf.gif' border='0'/>.....

40pc of pension savers think pensions are free
Hundreds of thousands of savers are in the dark about how much they pay for pensions, research from Friends Life finds.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/2178fd46/mf.gif' border='0'/>.....

Credit Suisse to boost capital by Sfr15.3bn
Credit Suisse has responded to fears about its weak capital position by announcing a raft of measures to raise Sfr15.3bn (10bn) by the end of the year.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21789435/mf.g.....

Credit Suisse to boost capital by Sfr15.3bn
CREDIT Suisse has responded to fears about its weak capital position by announcing a raft of measures to raise Sfr15.3bn (10bn) by the end of the year.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21789433/mf.g.....

Ethel Austin administration puts hundreds of jobs at risk
Around 500 jobs are under threat after discount retailer Ethel Austin went into administration for the fourth time in as many years.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/21786c88/mf.gif' border='0'/>.....

Peugeot will receive no aid without concessions, says French industry minister
France will not provide any aid to struggling carmaker PSA Peugeot Citron unless it makes concessions that could include suspending dividends, the country's industry minister said on Wednesday.<img width='1' height='1' src='http://telegraph.feedsp.....

IMF: eurozone in critical danger, ECB should launch QE
The eurozone is in "critical" danger and the European Central Bank should play a bigger role in fighting the debt crisis through more rate cuts, QE and further liquidity provision, the International Monetary Fund has said.<img width='1' height='1'.....