Daily Archives: August 11, 2011

Finance ministers and central bankers from the Unasur South American regional bloc will meet in Buenos Aires on Friday – their second meeting in as many weeks – with what looks on paper like a mission impossible: agreeing joint responses to the financial crisis from a bloc with disparate political and economic visions. Continue reading »

Argentina, with the largest Jewish community in Latin America, already boasts kosher ice cream parlours, supermarkets and restaurants. Now the world’s No. 5 wine producer is launching an exclusive kosher wine club being billed as the first of its kind in the world. Continue reading »

Brics and mortarRio de Janeiro, the picturesque Brazilian city and host for the 2014 World Cup finals and the Olympics two years later, has long had a reputation for violence.

About 1 in every 24 people were victim of some kind of crime last year in Rio state, and despite recent improvements, many wealthy families still bulletproof the windows of their homes for fear of getting caught in crossfire between nearby favelas.

But it looks like there may be another danger awaiting unsuspecting tourists: manholes. Over 60 manholes have erupted since last year, according to calculations by local media, after underground gas explosions caused the heavy metal covers to come flying off and sent flames high into air. Continue reading »

News on Thursday that the Swiss central bank is prepared to consider temporarily pegging its currency to the euro sent the Swiss franc diving by as much as 6 per cent against the euro and 5 per cent against the US dollar.

While linking the franc to the euro would not happen overnight, and would face steep legal and political hurdles – a change to the Swiss constitution is required for starters – a peg would spell the death of another safe haven for investors.

So good news for EM assets, right? Yes and no. Continue reading »

sugar candyChina’s rising demand for sugar, caused by a growing population and economic progress, is adding more pressure to the world’s biggest sugar producers.

Chinese demand for sugar imports will have nearly tripled from 2007 to this year, and China’s sugar deficit has increased. The country is not able, or more accurately, not willing to, produce enough sugar to meet its need; the land has been increasingly used to build cities rather than grow sugar cane. It doesn’t help that the government maintains a tight grip on sugar supplies. Continue reading »

Turkey’s benchmark ISE100 stock index closed up 3.4 per cent on Thursday afternoon after the country joined Greece and South Korea in putting restrictions on short selling of equities.

The move seems to have sparked a rush of short covering from local players, known for their enthusiastic shorting. But although it will reduce volatility over the short term, it is unlikely to provide any more lasting support if recent downward pressure on equities persists. Continue reading »

Michael Glover, the head of KPMG’s tax department in Hungary, is sporting a big black eye at the moment, the result, he insists, not of some altercation with an over-zealous revenue inspector but of an unfortunate, ill-timed lunge with the bat at a recent cricket match near Budapest.

Cricket in Hungary – a case of an appeal too far for the imagination, surely? Continue reading »

Brics and mortarA swimming pool in a back garden makes its owners cool. Literally and metaphorically. The former during a hot summer, the latter in Czech Republic.

For Czechs, a pool is a question of socioeconomic status. And as the Czech middle class has grown since the Velvet revolution, so has the number of residential swimming pools. Today, Czechs are among Europe’s leaders in terms of private pools per head, trailing only France and Spain. Continue reading »

* BofA talks to Gulf funds to cut $17 billion CCB stake: sources

* Hong Kong exchange hit by hackers

* North Africa – another victim of Europe’s troubles

* Gold passes $1,800 on France jitters, oil up too

* Renminbi climbs to 17-year high against the dollar

Continue reading »

Contestants prepare their hot air balloons during an international hot air balloon festival in Baotou, north China's Inner Mongolia region on August 13, 2009Inflation is usually a dirty word for central bankers and investors. But for countries burdened by great masses of debt, a controlled bout of higher – certainly not hyper – inflation could help nurse them back to health.

China provides a striking case of how a little bit of inflation can be a good thing, whittling down a nation’s debt-to-GDP ratio. Continue reading »

Markets across Asia closed with a mix of red and green on Thursday – no huge falls, no huge gains to be seen anywhere.

Shares initially fell by more than 1 per cent across the board, but steadily pulled back up through the day, though the late rally (if you can call it that) will do little to repair the damage of the past two weeks.  Continue reading »

Just when North Africa thought it had hit bottom and driven away any and all risk-adverse investors, the region is set to suffer as yet more investors flock to safety.

Investors in Europe, that is, now fleeing for safe havens and driving down the growth prospects of north Africa’s key trading and tourism partner. Continue reading »

Thursday’s best picks from the beyondbrics team: looking at what’s behind the sudden rise of food in Bangladesh over the Ramadan period and where China can stash its surplus cash. Also, how entrenched power hierarchies in Mexico reinforce crushing class barriers for millions. Continue reading »

When Robin Li, Baidu’s chief executive, gave an interview to the Financial Times in March, he made some enigmatic remarks, writes Kathrin Hille in Beijing.

Asked about what he intended to do to make sure Baidu, China’s largest online search engine, would not lose out in the rapid rise of the microblogs in China, he said: “Baidu is not in the social media business.” Continue reading »

* Gold passes $1,800 on France jitters, oil up too

* Renminbi climbs to 17-year high against the dollar

* Washington to call for Assad to go

* Vodafone finds investor for Indian business

* China Mobile to invest $2bn in broadband upgrade Continue reading »

Global equities macromap

Number of the day

240p The new offer for Cove Energy shares from PTT, trumping the bid from Shell.

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