FRANKFURT - Europe’s main interest rates remained on hold today when European Central Bank and Bank of England governors balanced their fight against rising inflation with the possibility of a continental recession.
WELLINGTON - New Zealand’s largest listed company, Telecom, has reported an annual operating surplus from continuing operations down 15.5 per cent to $NZ713 million ($A563.64 million).
TOKYO - Japan’s longest sustained economic expansion since World War II appears to have ended amid growing fears of a recession in Asia’s largest economy, a Japanese Government report said today.
TOKYO - Japan Airlines, Asia’s largest carrier, said today it had returned to an operating profit in the three months to June as route cuts and layoffs helped offset soaring jet fuel costs.
WASHINGTON - Troubled US banking giant Citigroup has agreed to buy back $US7.5 billion ($A8.2 billion) of tainted securities it marketed to tens of thousands of investors, US regulators announced today.
LONDON - British bank Barclays said that net profit slumped 35 per cent in the first half, hit by writedowns of $US2.1 billion ($A2.31 billion) from the US sub-prime housing and credit crises.
PARIS - French insurance giant AXA reported a 32 per cent slump in net first-half profit today, reflecting a fall in the value of selected assets due to the credit crisis.
JOHANNESBURG - South Africa’s gold production declined by 12.3 per cent in June 2008 compared with the same period last year.
WELLINGTON - A retired Taupo couple have been told they will lose their home if they do not pay $18,000 for a Blue Chip development that was never built.
LOCAL NEWS
SYDNEY - Sydney’s debt-laden Lane Cove tunnel owner and operator, Connector Motorways Pty Ltd, has received an underlying credit rating downgrade to B from Standard & Poor’s (S&P).
MELBOURNE - Australia’s corporate watchdog is putting unlisted property schemes, credit ratings agencies and listed investment funds under the microscope in response to concerns sparked by the ongoing financial market turmoil.
STOCKS TO WATCH ON THE AUSTRALIAN STOCK EXCHANGE TODAY:
TEL - TELECOM CORPORATION OF NEW ZEALAND LTD - down two cents to $2.90
New Zealand Telecom has reported an annual operating surplus from continuing operations down 15.5 per cent to $NZ713 million ($A563.64 million).
NWS - NEWS CORP - up down 56 cents to $16.17
NWSLV - NEWS CORP NON VOTING SCRIP - down 73 cents to $15.55
A more challenging outlook than expected for News Corp has forced analysts to downgrade their 2009 fiscal guidance for the media giant.
TAH - TABCORP HOLDINGS LTD - up 57 cents to $9.17
Tabcorp reported a net loss of $164.6 million as the Victorian Government indicated it won’t compensate the gaming company for terminating a key licence.
SGB - ST GEORGE BANK LTD - up 44 cents to $29.29
WESTPAC BANKING CORPORATION - up 16 cents to $23.15
St George Bank has a far worse outlook than any of its peers, but is likely to talk up its prospects to attract a higher takeover bid, according to JPMorgan.
MRE - MINARA RESOURCES LTD - steady at $1.49
Australia’s second largest nickel producer has posted an 80 per cent fall in net profit for the half-year amid rising costs and declining commodity prices.
KBC - KEYBRIDGE CAPITAL LTD - up 17.5 cents to 94.5 cents
Infrastructure and property investor Keybridge Capital said it is going into funds management, and forecast fiscal 2009 earnings to grow by as much as 32 per cent after rapidly growing profit in 2008.
AHI - ALLCO HIT LTD - went into a trading halt at 15 cents
A halt was placed on trading in the securities of Strategic Finance listed on the NZDX market, ahead of an announcement. Owner Allco HIT announced that a consortium including senior management was planning to buy Strategic Finance.
CEU - CONNECTEAST GROUP - down 14.5 cents to 85 cents
ConnectEast Group has reported average daily traffic volume of 133,722 trips during the EastLink motorway’s inaugural tolling week, down from 270,868 average daily trips taken when the Melbourne based toll-road was offered free from June 29 to July 23.
NKP - NKWE PLATINUM LTD - down eight cents to 90 cents
Xstrata Plc, which is pursuing Lonmin Plc through a $US10 billion ($A11 billion) takeover, has signed an agreement with Nkwe Platinum Ltd to earn a significant stake in five South African platinum projects.
SRA - STRATHFIELD GROUP LTD - steady at four cents
Audio and mobile products retailer Strathfield Group has acquired two businesses in the electronics and communications sector for $140 million to strengthen its business in a challenging market.
