Unemployment soars in Spain

Unemployment soars in Spain
24-01-2009

The unemployment rate in Spain has risen to almost 14 percent -- the highest it's been for nearly nine years.

Wall Street mixed, GE weighs on Dow

Wall Street mixed, GE weighs on Dow
24-01-2009

US stocks closed mixed overnight, with financials gaining interest but sprawling conglomerate General Electric's grim outlook unnerving investors. The huge conglomerate, considered a bellwether of the US economy, reported that its fourth-quarter net profit fell 44 percent and predicted an "extremely difficult" 2009. The Dow Jones Industrial Average fell 45 points, or 0.56 percent, to close at 8,077. The tech-heavy Nasdaq rose 11 points, or 0.81 percent, to 1,477; and the broad-market Standard & Poor's 500 index edged up 4 points, or 0.54 percent, to close at 831.

Su Ning criticises US currency claim

Su Ning criticises US currency claim
24-01-2009

A Vice governor of the People's Bank of China, Su Ning, has denounced US accusations that the bank manipulates the yuan as "misleading". US Treasury Secretary-designate, Timothy Geithner, earlier claimed that President Barack Obama believed Beijing controlled its currency fluctuation. But Mr Su said the comments were not factual and were misleading in analysising the causes of the global financial crisis. He added that the international community should not make excuses for encouraging trade protectionalism, and should instead focus on tackling the financial crisis.

AIR FORCE ONE

AIR FORCE ONE

No matter where in the world the President travels, if he flies in an Air Force jet, the plane is called Air Force One. Technically, Air Force One is the call sign of any Air Force aircraft carrying the President. In practice, however, Air Force One is used to refer to one of two highly customized Boeing 747-200B series aircraft, which carry the tail codes 28000 and 29000. The Air Force designation for the aircraft is VC-25A.

Air Force One is one of the most recognizable symbols of the presidency, spawning countless references not just in American culture but across the world. Emblazoned with the words “United States of America,” the American flag, and the Seal of the President of the United States, it is an undeniable presence wherever it flies or docks.

Capable of refueling midair, Air Force One has unlimited range and can carry the President wherever he needs to travel. The onboard electronics are hardened to protect against an electromagnetic pulse, and Air Force One is equipped with advanced secure communications equipment, allowing the aircraft to function as a mobile command center in the event of an attack on the United States.

Inside, the President and his travel companions enjoy 4,000 square feet of floor space on three levels, including an extensive suite for the President that features a large office, lavatory, and conference room. Air Force One includes a medical suite that can function as an operating room, and a doctor is permanently on board. The plane’s two food preparation galleys can feed 100 people at a time.

Air Force One also has quarters for those who accompany the President, including senior advisors, Secret Service officers, traveling press, and other guests. Several cargo planes typically fly ahead of Air Force One to provide the President with services needed in remote locations.

Air Force One is maintained and operated by the Presidential Airlift Group, part of the White House Military Office. The Airlift Group was founded in 1944 as the Presidential Pilot Office at the direction of President Franklin D. Roosevelt. For the next 20 years, various propeller driven aircraft served the President. In 1962, President John F. Kennedy became the first President to fly in his own jet aircraft, a modified Boeing 707. Over the years, several other jet aircraft have been used, with the first of the current aircraft being delivered in 1990 during the administration of President George H. W. Bush.

FIRST LADY MICHELLE OBAMA

FIRST LADY MICHELLE OBAMA

When people ask Michelle Obama to describe herself, she doesn't hesitate. First and foremost, she is Malia and Sasha's mom.

But before she was a mother — or a wife, lawyer, or public servant — she was Fraser and Marian Robinson's daughter.

The Robinsons lived in a brick bungalow on the South Side of Chicago. Fraser was a pump operator for the Chicago Water Department, and despite being diagnosed with multiple sclerosis at a young age, he hardly ever missed a day of work. Marian stayed home to raise Michelle and her brother, Craig, skillfully managing a busy household filled with love, laughter, and important life lessons.

A product of Chicago public schools, Michelle studied sociology and African-American studies at Princeton University. After graduating from Harvard Law School in 1988, she joined the Chicago law firm Sidley & Austin, where she later met the man who would become the love of her life.

After a few years, Michelle decided her true calling lay in encouraging people to serve their communities and their neighbors. She served as assistant commissioner of planning and development in Chicago's City Hall before becoming the founding executive director of the Chicago chapter of Public Allies, an AmeriCorps program that prepares youth for public service.

In 1996, Michelle joined the University of Chicago with a vision of bringing campus and community together. As associate dean of student services, she developed the university's first community service program, and under her leadership as vice president of community and external affairs for the University of Chicago Medical Center, volunteerism skyrocketed.

As First Lady, Michelle Obama looks forward to continuing her work on the issues close to her heart — supporting military families, helping working women balance career and family, and encouraging national service.

Michelle and Barack Obama have two daughters: Malia, 10, and Sasha, 7. Like their mother, the girls were born on the South Side of Chicago.

PRESIDENT BARACK OBAMA

PRESIDENT BARACK OBAMA

Barack H. Obama is the 44th President of the United States.

His story is the American story — values from the heartland, a middle-class upbringing in a strong family, hard work and education as the means of getting ahead, and the conviction that a life so blessed should be lived in service to others.

With a father from Kenya and a mother from Kansas, President Obama was born in Hawaii on August 4, 1961. He was raised with help from his grandfather, who served in Patton's army, and his grandmother, who worked her way up from the secretarial pool to middle management at a bank.

After working his way through college with the help of scholarships and student loans, President Obama moved to Chicago, where he worked with a group of churches to help rebuild communities devastated by the closure of local steel plants.

He went on to attend law school, where he became the first African-American president of the Harvard Law Review. Upon graduation, he returned to Chicago to help lead a voter registration drive, teach constitutional law at the University of Chicago, and remain active in his community.

President Obama's years of public service are based around his unwavering belief in the ability to unite people around a politics of purpose. In the Illinois State Senate, he passed the first major ethics reform in 25 years, cut taxes for working families, and expanded health care for children and their parents. As a United States Senator, he reached across the aisle to pass groundbreaking lobbying reform, lock up the world's most dangerous weapons, and bring transparency to government by putting federal spending online.

He was elected the 44th President of the United States on November 4, 2008, and sworn in on January 20, 2009. He and his wife, Michelle, are the proud parents of two daughters, Malia, 10, and Sasha, 7.

HK 'may face deep and lengthy downturn'

HK 'may face deep and lengthy downturn'
24-01-2009

The Monetary Authority has warned that Hong Kong's economy may face a deep and prolonged downturn. The Authority also stressed that it was ready to inject capital into local banks, if necessary. It said the local economy faced significant risks this year as the effects of the global financial crisis were still unfolding, with continuing uncertainty over the length and depth of the recession in major economies. In a submission to a Legislative Council panel for discussion next month, it said the deterioration in economic conditions may keep credit lines tight and restrain business spending, creating a vicious circle and making the downturn worse. It added that the performance of the weakening mainland economy would weigh on Hong Kong's growth prospects. It warned that most local banks would record substantial profit falls for last year. It said banks were expected to incur further impairment charges in relation to their securities investments, while income from fees and commissions would be lower as operating costs edged higher.

UK recession confirmed as economy slides

UK recession confirmed as economy slides
24-01-2009

Britain is now in recession for the first time since 1991, official government figures have confirmed. Gross domestic product fell by 1.5 percent in the last three months of 2008 after a 0.6 percent drop in the previous quarter. That means that the widely accepted definition of a recession - two consecutive quarters of falling economic growth - has been met. It represents the biggest quarter-on-quarter decline since 1980, and a 1.8 percent fall on the same quarter a year ago. The news sent sterling to a 25-year low against the US dollar, with one pound buying $1.36. The figures, from the Office for National Statistics, showed that manufacturing made the largest contribution to the slowdown, contracting by 4.6 percent after a 1.6 percent decrease in the previous quarter.

Oil prices rise but demand weak

Oil prices rise but demand weak
23-01-2009

Oil prices have risen. US crude settled 12 cents higher at $43.67 a barrel. London Brent settled at $45.39 a barrel, up 37 cents. Analysts say demand continues to be weak but some traders placed hope in the US stimulus plan. Japan's central bank added a degree of gloom when it predicted two years of deflation.

Google posts strong 4Q profit

Google posts strong 4Q profit
23-01-2009

Google has posted strong fourth-quarter profit. Excluding one-time charges, profit rose to $5.10 a share. That compared to Wall Street's target of $4.95. Revenue was up 18 percent. Paid clicks, a measure of how often Google gets paid for advertisements alongside search results -- rose 18 percent.

Lewd crackdown extended to mobile phones

Lewd crackdown extended to mobile phones
23-01-2009

China has extended a crackdown on electronic porn to the country's mobile phones after shutting down 1,250 websites because of their explicit content according to the official Xinhua News Agency. The report quoted a joint notice from the Ministry of Public Security, the Ministry of Culture and five other government offices as saying that they will incorporate 'lewd' messages spread via mobile phones into the crackdown. China promised last week that the campaign, which was launched in early January, will be no "flash in the pan". The reports said more than 40 people have been detained for disseminating porn on the Internet and over 3-million "items of online information" have been deleted.

European stocks close lower

European stocks close lower
23-01-2009

European stock exchanges closed lower on Thursday. London's FTSE 100 index was down 0.19 percent to 4,052. In Paris, the CAC 40 fell 1.24 percent to finish at 2,869 points, its lowest level since May 2003, while in Frankfurt the Dax lost 0.98 percent to 4,219.

Wall Street ends lower

Wall Street ends lower
23-01-2009

On Wall, stocks closed lower. The Dow Jones industrial average fell 105.30 points, or 1.28 percent, to 8,122. The Standard & Poor's 500 Index dropped 12.74 points, or 1.52 percent, to 827. The Nasdaq Composite Index slumped 41.58 points, or 2.76 percent, to 1,465. The dollar US rose against most major currencies. Oil was little changed. New York's main futures contract, for delivery in March, rose 12 cents from its closing Wednesday to $43.67 a barrel. Spot gold was trading at $860.10 an ounce.

Govt examines law to save firms

Govt examines law to save firms
23-01-2009

The government will re-examine whether to introduce legislation allowing companies to be saved from bankruptcy. This was announced by the Chief Executive, Donald Tsang, after a meeting of his taskforce to consider responses to the financial crisis. Mr Tsang said several countries had such laws, including the United States with so-called chapter 11 legislation.

Hong Kong's inflation falls further

Hong Kong's inflation falls further
23-01-2009

Local consumer prices have dropped further. The figure for December - after factoring out the effects of one-off relief measures - declined to 4.6 percent, compared with 5.6 percent in the previous month. A government spokesman noted that the decline came as food and energy prices dropped, and demand weakened. He said deflationary pressures would continue. Consumer prices declined 2.1 percent, when relief measures were factored in.

US jobless rate up, housing starts fall

US jobless rate up, housing starts fall
23-01-2009

The number of US workers lining up for jobless benefits surged last week and home-building slumped to a record low in December as the economy's downward spiral accelerated. Government data showed that the financial crisis since is forcing companies to slash jobs, creating a vicious cycle for an economy mired in a year-long recession. First-time applications for state jobless insurance aid rose to a seasonally adjusted 589,000 in the week ended January 17 from 527,000 the prior week, the Labor Department said. Housing starts plummeted 15.5 percent to a seasonally adjusted annual rate of 550,000 units, the lowest since records began in 1959, from an upwardly revised rate of 651,000 units in November, Commerce Department data showed.

Refund for minibond investors

Refund for minibond investors
23-01-2009

It's been announced that Sun Hung Kai Investment Services has agreed to make a full refund to Lehman Brothers minibond investors. The $85 million buyback deal was announced on Thursday night. The offer came at the same time as the Securities and Futures Commission reprimanded the company for internal systems and control failures relating to the sale of the minibonds. The securities watchdog said the firm could face disciplinary action if the shortcomings pinpointed in its investigation are not addressed. Sun Hung Kai Investment Services has denied any wrongdoing, but nonetheless agreed to repurchase all minibonds it sold, at the original price.

Microsoft to cut 5,000 jobs

Microsoft to cut 5,000 jobs
23-01-2009

The American software giant, Microsoft, says it's cutting 5,000 jobs worldwide over the next 18 months because of the slowing economy. It says 1,400 posts will go immediately. The company announced the cuts as it reported an 11 per cent drop in profits for the second quarter of the financial year.

China's growth slowest in 7 years

China's growth slowest in 7 years
22-01-2009

China's economy has expanded at its slowest pace in seven years. Gross domestic product rose 6.8 percent in the final quarter of last year - compared with nine percent for the previous quarter. The latest figure brought down overall growth for 2008 to nine percent - which is down from 13 percent in the previous year. But a spokesman for the National Bureau of Statistics, Ma Jiantang, said the slowdown shouldn't last long. Three institutions have reduced their forecast for the Chinese economy in 2009, following the release of the latest figure. Daiwa Institute of Research, JPMorgan Chase and Citigroup now predict the economy to expand between 6.3 percent and 7.6 percent.

BHP axes 6,000 workers

BHP axes 6,000 workers
22-01-2009

One of the world's biggest mining groups, BHP Billiton, is axing 6,000 employees and contractors from its global operations. The cuts represent six percent of BHP Billiton's workforce and will have the most impact among workers in Australia, Chile and the United States.

Sony to slip into the red

Sony to slip into the red
22-01-2009

The Japanese electronics company, Sony, says it's been badly hit by the world economic slump and expects to slip into the red. The statement follows last month's announcement of 16,000 job cuts worldwide and the closure of up to six factories.

Four airlines reduce fuel surcharge

Four airlines reduce fuel surcharge
22-01-2009

Four airlines will reduce fuel surcharge from next month on the back of falling fuel prices. They are Cathay Pacific, All Nippon Airways, Nepal Airlines and Singapore Airlines. The reduction will be as much as 44 percent. For short-haul flights, the levy will drop from $108 to $61. Those on long-haul will fall from just under $500 to $280.

Singapore reduces corporate tax

Singapore reduces corporate tax
22-01-2009

Singapore has announced a reduction in corporate tax and a record budget spending to help drag its economy out of its worst recession. It will reduce company tax rate from 18 percent to 17 percent - the second reduction in three years. The government will tap into its reserves to fund part of its US$14-billion relief measures to help businesses and workers.

US stocks plunge on banking fears

US stocks plunge on banking fears
21-01-2009

US stocks plunged as renewed fears about the global banking sector offset optimism surrounding the inauguration of Barack Obama as the 44th President of the United States. The Dow Jones Average slid 332 points, or 4 percent, to close at 7,949. The Nasdaq sank 5.7 percent. The Standard & Poor's 500 Index lost 5.2 percent. The carnage was concentrated in the financial sector with Citigroup sinking 19 percent on worries it may require a new bailout or nationalization. Bank of America lost 28 percent and JPMorgan Chase fell 20 percent.

IBM quarterly result beat estimates

IBM quarterly result beat estimates
21-01-2009

International Business Machines, the world's biggest technology services company, issued quarterly results that were ahead of Wall Street estimates, sending its shares up 3.5 percent. The world's biggest manufacturer of mainframe computers and number 2 software maker said net income rose 12 percent to US$4.43-billion - or US$3.28 per share - in the fourth quarter. Revenue fell 6.4 percent to US$27-billion. IBM shares rose US$2.85 to US$84.83 in extended trading.

HK & China agree on currency swap

HK & China agree on currency swap
21-01-2009

The Monetary Authority and the People's Bank of China have agreed on a 200-billion yuan currency swap. This is one of the 14 measures that the Central Government pledged to help Hong Kong weather the global financial crisis last month. The currency swap will give liquidity support for local and mainland banks which have cross-border operations. It increases the access of yuan and Hong Kong dollars for banks. The Monetary Authority said the move would bolster financial stability in Hong Kong as well as in the region.

China Life warns of slump in profits

China Life warns of slump in profits
21-01-2009

China Life Insurance has warned that its profit for the whole of last year will slump by more than half. It said the global financial crisis had led to a significant fall in its investment return. The company was also hit by mounting compensation claims arising from natural disasters in 2008. It made the disclosure to the local stock exchange according to listing rules. The insurer earned 28 billion yuan in 2007. The Hong Kong-listed company shares closed 2 percent lower to $21.95 on Tuesday.

Steeper economic recession tipped for HK

Steeper economic recession tipped for HK
21-01-2009

Morgan Stanley has predicted a steeper economic recession than previously forecast for Hong Kong. It says the economy will contract 3.8 percent this year compared to an earlier estimate of 1.2 percent. But it expects the territory will climb out of the recession in 2010 with annual growth of 2.5-percent.

HSBC shares continue free-fall

HSBC shares continue free-fall
21-01-2009

HSBC shares continued their free-fall Tuesday with another 7.7-percent decline. It slumped to a ten-year low of $57.50. The stock has fallen by a massive 25 percent since last Monday. This is despite assurances HSBC made yesterday that it's one of the "strongly capitalised" banks in the world and it didn't need British government handouts. The former Chairman of HSBC in Asia-Pacific, David Eldon, says even if the bank needed capital, it wouldn't opt for a government injection.

WTO to rule on China claim against US

WTO to rule on China claim against US
21-01-2009

The World Trade Organization has formed a panel to rule on a complaint by China that US anti-dumping measures on certain Chinese-made products violate trade rules. This comes after a meeting of the WTO's Dispute Settlement Body. China claims that anti-dumping investigations undertaken on steel pipes, tyres and laminated woven sacks, as well as the anti-dumping measures implemented by Washington, are against trade rules. The US insists that it hasn't flouted trade rules.

Toyota founder's grandson to be head

Toyota founder's grandson to be head
21-01-2009

Japan's Toyota Motor Corporation has named Akio Toyoda, grandson of the company's founder, to head the world's biggest automaker and lead it through the global crisis that has slashed demand for cars worldwide. Mr Toyoda joined the board of directors in 2000 after 16 years with the company. He faces a tough challenge. Toyota and its rivals are grappling with slumping sales in North America, Europe and Japan amid a spreading recession in rich countries. Sales are also slowing in emerging markets such as China and Russia.

European share prices close lower

European share prices close lower
20-01-2009

European share prices closed lower,led by Royal Bank of Scotland, which dragged down the European banking sector after it said it would report a 2008 loss of up to 28 billion pounds for 2008. The FTSEurofirst 300 index closed down 1.6 percent.Around Europe, UK's FTSE 100 index dropped 0.9 percent, Germany's DAX index fell 1.2 percent, and France's CAC 40 was down 0.9 percent. US markets will remain closed on Monday for a national holiday.

EU economy will 'shrink' this year

EU economy will 'shrink' this year
20-01-2009

The European Commission has predicted that the economy of the EU will shrink substantially this year because of the global financial crisis. The European Commissioner for Economic and Monetary Affairs, Joaquin Almunia, said the next twelve months would be very hard.

HSBC defends itself against mkt rumours

HSBC defends itself against mkt rumours
20-01-2009

HSBC has defended itself amid recent market speculation that it may need to raise capital. The banking giant has made it clear that it has not sought capital support from the British government and could not envisage such action would be necessary. It stressed that it has long been one of the world's most strongly capitalised banks and is committed to maintaining that position.

HK electronics firm issues profit alert

HK electronics firm issues profit alert
20-01-2009

Electronics manufacturer, Foxconn International, has issued a profit warning. The local blue chip company said its 2008 profits are expected to show a significant decline over the previous year. The company said the drop is mainly due to changes in product mix, lower demand and pricing, and higher operating costs.

Morgan Stanley cuts China forecast

Morgan Stanley cuts China forecast
20-01-2009

Morgan Stanley has cut its growth forecast for China this year to 5.5 percent, which would be the weakest figure for almost two decades. Its previous estimate was 7.5 percent. The Central Government is expected to release last year's growth figure, later this week. Economists are forecasting a figure of 6.8 percent, according to survey conducted by Bloomberg.

HK's jobless rate is 'threat' to economy

HK's jobless rate is 'threat' to economy
20-01-2009

Hong Kong's jobless rate has risen as the Chief Executive, Donald Tsang, warned that unemployment is one of the biggest threats to economic recovery. Unemployment now stands at 4.1 percent - its highest level in more than a year. The previous figure was 3.8 percent. Job losses were seen in the decoration and maintenance sectors, restaurants and the import and export trade. Currently there are over 141,000 people out of work. The Chief Executive said that rising unemployment was one of the main obstacles to an economic recovery. Speaking at the opening of the Asian Financial Forum, Mr Tsang said the government was confident of creating more than 60,000 jobs this year - mostly through fast-tracking infrastructure projects. He said negative growth was anticipated for the first half of this year, but he expected Hong Kong to rebound strongly from the financial crisis. He also said the problems brought about by the downturn would change Asia for the better in terms of its long-term economic prospects. The Labour Secretary, Matthew Cheung, called on companies to explore measures other than redundancy to weather the crisis.

New measures to help British banks

New measures to help British banks
20-01-2009

The British government has announced a second package of measures to support the banking system. The long list of measures includes a scheme to offer insurance against banks losing more money from the toxic debt that started the credit crunch. The banks will have to pay for the insurance, but the government says it does not expect to be paid in shares. The Treasury will also be buying up to £50-billion of safer assets from banks, which will include mortgage debt. Under the insurance scheme, banks will agree with the government the amount they expect to lose from particular debt. The Treasury will then sell insurance against about 90 percent of the institutions' additional losses from the debt. The government describes the assets involved as being those "most affected by the current economic conditions." Most of the debt involved is very difficult to value because the market in it has collapsed.

Obama supports Geithner "absolutely"

Obama supports Geithner "absolutely"
19-01-2009

A senior Obama official says the US President-elect "absolutely" stands behind Timothy Geithner, his choice for Treasury secretary. The incoming White House chief of staff, Eahm Emanuel, told the NBC programme, Meet the Press, that Mr Geithner had made a "big mistake" involving his failure to pay some taxes. But Mr Emanuel went on to say that he was the right man for the job and that Mr Obama backed him "absolutely." Mr Obama is to be sworn in as president on Tuesday.

Britain to set up insurance for banks

Britain to set up insurance for banks
19-01-2009

The British government is to announce an insurance scheme for its banking industry in the next few days -- as part of further moves to revive confidence. A new state-backed insurer would cover the banks for losses from bad loans and investments.