financializer news A weblog highlighting financial topics making news in the international media.

European Championship: The island nation, with its population of barely 330,000, became the least populated country ever to qualify for a European Championship thanks to a nervy 0-0 draw with Kazakshtan on Monday in Reykjavik, according to Australian Broadcasting Corporation. Iceland only needed a point to secure one of the top two places in Group A, and captain Aron Gunnarsson of Cardiff City was sent off in the 89th minute just before celebrations erupted on the final whistle. Map: European Union Iceland has made footballing history on Monday as it qualified for a major tournament finals for the first time, joining the Czech Republic in securing a berth at Euro 2016. The result allowed the side coached jointly by Heimir Hallgrimsson and the Swede Lars Lagerback to follow the Czechs and England in being able to book flights to France next year. First-half goals from David Limbersky and Vladimir Darida put the Czechs in control in Riga, and they held on after Arturs Zjuzins got a goal back for Latvia. England became the first nation to qualify for the 24-nation jamboree on Sunday and the Czechs sealed their place by beating Latvia 2-1 while the struggling Netherlands slumped to a potentially disastrous 3-0 defeat in Turkey. (news.financializer.com). As reported in the news.

Asian investors: The Nikkei in Tokyo also opened down 130 points or 0.7% as Asian investors nervously eye the reopening of the Chinese markets after a four-day break for last week military parade in Beijing, according to The Guardian. The Aussie dollar slumped to another new six-year low on Monday, dipping to US69.09c in early trading before recovering slightly to US69.28c. The S&P/ASX200 dipped more than 1% points to 4,985 points after falls last week on Wall Street and in Europe. Related:China central bank governor says yuan has stabilised against the dollar AMP chief economist Shane Oliver said: The bottom line is these concerns about China and the Fed are lingering – that what causing this volatility in the local market, Oliver said. There no resolution. Both these issues are being kept alive. (news.financializer.com). As reported in the news.

: Worse yet, hedge fund managers are getting away with murder because they pay no tax, according to The Guardian. It ridiculous. They didn’t build this country. And as a result, the middle class is getting absolutely destroyed . It sounds almost like something Bernie Sanders might say, doesn’t it Or Elizabeth Warren, who has campaigned vigorously to rein in Wall Street worst excesses. Nope. Or even Hillary Clinton, who took aim at the ever-popular target of hedge fund compensation – and its preferential tax treatment – in her very first days on the campaign trail, just as she did eight years ago. (news.financializer.com). As reported in the news.

: Iceland, on 18 points, can secure their berth later on Sunday when they host bottom placed Kazakhstan, needing only draw, according to Euro News. The Czechs finished nervously as they dealt with a late rally from Latvia, who pulled a goal back through Arturs Zjurzins with 17 minutes left and then gallantly tried without success to find an equaliser. David Limbersky and Vladmir Darida scored the first-half goals to lift the Czechs to 19 points, out of the reach of third placed Turkey and Netherlands with two matches to play next month. But it was their early dominance that laid the platform for Czech success with two goals inside the first half hour. Darida drove home a shot from the edge of the penalty area to double the lead. Limbersky opening goal came after just 13 minutes at the end of a smart short corner routine and a powerful shot from close range as Latvia defence were caught napping. (news.financializer.com). As reported in the news.

: One-year forward contracts for the Saudi riyal, an indicator of where investors expect it to trade, are near the highest since 2003, according to Business Week. Looking at our economy now, in the near future and for many years to come, oil will be dominant in our economy so keeping the peg will be our policy, Al-Mubarak said in a Bloomberg Television interview in Ankara, where he attended the G-20 meeting of global finance chiefs. Investors have increased bets that Saudi Arabia and others in the region will be next to drop their pegs after China devalued the yuan and Kazakhstan allowed its currency to float. Stability is very important to the Saudi government, to Saudi investors and international investors. Definitely we’re solid and confident that this is a good policy for our exchange rate, Al-Mubarak said. The peg of 3.75 riyals to the dollar has served our economy well for more than three decades and recent volatility in the forwards market reflected speculation, he said. (news.financializer.com). As reported in the news.

economy: One-year forward contracts for the Saudi riyal, an indicator of where investors expect it to trade, are near the highest since 2003, according to Business Week. Looking at our economy now, in the near future and for many years to come, oil will be dominant in our economy so keeping the peg will be our policy, Al-Mubarak said in a Bloomberg Television interview in Ankara, where he attended the G-20 meeting of global finance chiefs. Investors have increased bets that Saudi Arabia and others in the region will be next to drop their pegs after China devalued the yuan and Kazakhstan allowed its currency to float. Stability is very important to the Saudi government, to Saudi investors and international investors. Definitely we’re solid and confident that this is a good policy for our exchange rate, Al-Mubarak said. The peg of 3.75 riyals to the dollar has served our economy well for more than three decades and recent volatility in the forwards market reflected speculation, he said. (news.financializer.com). As reported in the news.

Turkey: The shock defeat left the famous Oranje in dire straights and battling for third place in the group and the chance of qualification through the playoffs, according to CNN. Read: Iceland makes superb start to qualifying But in front of 40,000 passionate Turkish fans in Konya, its star players such as Robin van Persie and Wesley Schneijder were unable to deliver as Turkey romped to victory and leapfrogged them into third. The contrast could not be greater as the Dutch stumbled to a humiliating 3-0 defeat to Turkey, while Iceland drew 0-0 with Kazakhstan to stay top of their Group A. Iceland had all but secured its route to France with a 1-0 win over the Dutch last Thursday, the best result in the history of a nation of population 330,000. With the Czech Republic also sealing its passage from Group A Sunday with a 2-1 win in Latvia, the Dutch must hope other results go in their favor in the remaining matches. Barcelona Arda Turan added the second with Burak Yilmaz rounding out the scoring. Turkey was ahead through an early goal by Oguzhan Ozyakup of Besiktas. (news.financializer.com). As reported in the news.

: Six wins from their previous seven games proved to be a more than solid foundation and a further Group A point, secured against Kazakhstan in Reykjavik, got Iceland over the line, according to The Guardian. Prior to Iceland success Slovenia had been the smallest nation to reach the finals when they qualified for Euro 2000. The Nordic island nation boasts an estimated population of around 329,100 people, and 23 of their number will be selected to compete at Euro 2016 in France next summer. Its population was estimated at 1,988,292 in July 2014 by the CIA World Factbook, a small number in itself but dwarfing the population of Iceland. Victory over Hungary on Monday night will be enough for Michael O’Neill men. Northern Ireland - whose population was recorded at 1.81m by the 2011 UK Census - would become the second smallest country to be represented at the Euros behind Iceland should they qualify. (news.financializer.com). As reported in the news.

Essential Research: However, that same poll did find 41 per cent of people saying the economy was heading in the "wrong direction" compared with 35 per cent who said it was going the right way, according to Nine News Australia. A comparison of economic figures after two years of an Abbott government may suggest the latter was on the money. A recent Essential Research survey found 40 per cent of respondents say Liberals are more trusted to manage the economy compared with Labor on just 24 per cent. ECONOMY - The latest national accounts show the economy grew by just 0.2 per cent in the June quarter, its slowest pace in two years. It also compares with the 2.6 annual rate recorded in the June quarter 2013 national accounts, the last released under the former Labor government. This resulted in an annual rate of two per cent, well below the long term average of three to 3.25 per cent. (news.financializer.com). As reported in the news.

: Meanwhile, what global recovery there is remains desperately uneven across the G-20, with the U.S. picking up pace as Europe is only now emerging from crisis, and top emerging markets like Russia and Brazil find themselves mired in recession, according to The Japan Times. The major challenge facing the global economy is that growth remains moderate and uneven, said International Monetary Fund Managing Director Christine Lagarde. The two-day gathering in the Turkish capital of Ankara came less than a month after China shocked financial markets with a surprise devaluation of its currency, triggering global jitters about declining growth and slumping stocks in the world No. 2 economy. The current economic situation is characterized by the word uncertainty, she said. But, in a clear nudge to Beijing, it also urged states to avoid competitive currency devaluations that will give an unfair advantage to domestic exporters. The final G-20 communique unsurprisingly steered clear of any specific mention of China. (news.financializer.com). As reported in the news.

China: China will raise dividend payments from designated state-owned enterprises to make up for any shortfalls, according to Euro News. China is headed for its slowest economic expansion in 25 years in 2015 and mainland markets have slumped 40 percent since mid-June, sending global financial markets skittering. Finance Minister Lou Jiwei said that central government spending will rise 10 percent this year, more than the 7 percent growth budgeted at the start of the year, according to a statement late Saturday on the People Bank of China website. Ailing Chinese shares dragged down Hong Kong stocks to their lowest close in two years on Wednesday. China overall GDP growth will remain around 7 percent, as predicted earlier in the year, and the new economic normal may last for four to five years, Lou said. China financial markets were closed on Thursday and Friday to commemorate the 70th anniversary of the end of World War Two. (news.financializer.com). As reported in the news.

Danny Blind: The home side have proved to be shy in front of goal in the qualifiers scoring just eight and conceding nine, according to Euro News. It just over a year since the Netherlands finished third at the World Cup but they now face the prospect of not making it past the Euro qualifiers. In their first encounter in the group the Turks came close to winning and held a slender one nil lead before Klaas-Jan Huntelaar struck deep in added time to salvage a point for the Netherlands. New coach Danny Blind knows they must beat the Turks who are just one point behind them in the table to have a chance of qualifying. We now face climbing a mountain, we need points, said the new coach ahead of the clash against Turkey. The Dutch were beaten one nil at home in their last qualifier by group leaders Iceland. (news.financializer.com). As reported in the news.

: The topic this week was straightforward: How do I stop the market from making me crazy It was asked by a guy sharing a copy of the Wall Street Journal, nodded at knowingly by the fella vigorously working on his cell phone, and echoed by a man holding a straight razor, according to Market Watch. Ironically, each was holding a potential weapon of destruction — and the best thing they can do to save their portfolios now is to take a hands-off approach. Not from pulling it out, but rather because I enjoy heading down to Pat Barber Shop and chatting with the guys about the market. Barron Buzz: Are the bulls on the way back Barron senior editor Jack Hough previews the latest issue of Barron magazine, which includes a survey of top strategists regarding the potential return of the bulls on Wall Street. If you can then wait a week before tuning in to the market again, there a good chance that the feelings will have passed and/or changed, and accordingly, your odds of investment success will have improved. On any day when the market moves at breathtaking speed and sounds your personal alarm, the way to stop the market from making you crazy is to tune out the media, use the phone to talk to loved ones, and use the computer to look at vapid videos. (news.financializer.com). As reported in the news.

: And soon it will be time to find out, according to Market Watch. Will the Federal Reserve finally raise the curtain by raising interest rates. The lights are on. Until the recent bloodbath in global stock markets tied to a slowing Chinese economy, investors widely expected the Fed to lift rates after the bank two-day meeting that ends Sept. 17. Waiting until the very last moment won’t give the Fed much clarity on the U.S. or global economic outlook, either. Now it less certain when Fed Chairwoman Janet Yellen and her colleagues will act. (news.financializer.com). As reported in the news.

: The increase was backed by figures from key provincial regions, according to Xinhua China. In August, public power consumption in Jiangsu, Shanghai, Jiangxi and Guangdong rose 8.4 percent, 8.7 percent, 8.3 percent and 2 percent higher than in August 2014 respectively. China electricity consumption in August went up 2.47 percent year on year, said Li Yangzhe, head of bureau of economic operations regulation under National Development and Reform Commission . The growth rate was 5.88 percentage points higher than in the equivalent period last year and 4.47 percentage points higher than in July, marking the highest monthly growth this year. Meanwhile, rail freight companies shifted 1.6 percent more cargo in August this year than July, said Li. The average price per square meter in a sample of 100 cities rose 0.15 percent year on year to 10,787 yuan in August, according to a survey by the China Index Academy, an independent research institute. China real estate market continued warming in August, with new home prices rising for the first time year on year following 10-month year-on-year drops thanks to governmental policy supports. (news.financializer.com). As reported in the news.

Mediterranean Europe: The UN refugee agency UNHCR yesterday said 366,402 migrants had crossed the Mediterranean to Europe this year, with 2800 dying or disappearing en route, according to Nine News Australia. Forty-nine percent were escaping Syria civil war and jihadist groups, the UNHCR said. The announcements come as thousands of displaced people continue to move across Europe, with many aiming to reach Germany. Syrian migrants cross the Mediterranean Sea from Turkey to the Greek island of Kos. Hundreds of Germans have gathered at Frankfurt railway station, ready to welcome refugees with water, food and clothing. GERMANYGerman business leaders have called for refugees to be integrated into the jobs market, as thousands of migrants are expected to enter the country from Austria in the coming days. (news.financializer.com). As reported in the news.

: He said members of the G20 all agreed to renew their vows to implement their structural reforms that would lift growth and create jobs across the globe, according to Nine News Australia. The meeting heard from the Organisation for Economic Cooperation that a third of more than 700 commitments made by the G20 under Australia 2014 presidency have been implemented and the other two thirds are under way. Completing a two-day G20 finance ministers meeting in Turkey, Mr Hockey says there great frustration the International Monetary Fund is downgrading world growth again." world growth would be lower if not for our leadership and determination last year to have a two per cent target and to roll out a global infrastructure initiative," Mr Hockey told AAP from Istanbul on Sunday. He said in the two years that the Abbott government has been in power, world growth expectations have been continually downgraded and commodity prices have fallen at an extraordinary rate."But our economy has proven to be both diverse and robust and Australia is preforming far better than any other comparable nations in the world that has gone through a significant fall in their terms of trade," he said. He said the G20 meeting was "extremely constructive and productive" and was grateful for a frank and open approach from Chinese officials at the meeting about the outlook for their economy and how there had been a huge amount of misinformation. Figures last week showed that the Australian economy grew at just 0.2 per cent in the June quarter, whereas Canada and Brazil are in recession. (news.financializer.com). As reported in the news.

: One-year forward contracts for the Saudi riyal, an indicator of where investors expect it to trade, are near the highest since 2003, according to Business Week. Looking at our economy now, in the near future and for many years to come, oil will be dominant in our economy so keeping the peg will be our policy, Al-Mubarak said in a Bloomberg Television interview in Ankara, where he attended the G-20 meeting of global finance chiefs. Investors have increased bets that Saudi Arabia and others in the region will be next to drop their pegs after China devalued the yuan and Kazakhstan allowed its currency to float. Stability is very important to the Saudi government, to Saudi investors and international investors. Definitely we’re solid and confident that this is a good policy for our exchange rate, Al-Mubarak said. The peg of 3.75 riyals to the dollar has served our economy well for more than three decades and recent volatility in the forwards market reflected speculation, he said. (news.financializer.com). As reported in the news.

: The Nikkei in Tokyo also opened down 130 points or 0.7% as Asian investors nervously eye the reopening of the Chinese markets after a four-day break for last week military parade in Beijing, according to The Guardian. The Aussie dollar slumped to another new six-year low on Monday, dipping to US69.09c in early trading before recovering slightly to US69.28c. The S&P/ASX200 dipped more than 1% points to 4,985 points after falls last week on Wall Street and in Europe. Related:China central bank governor says yuan has stabilised against the dollar AMP chief economist Shane Oliver said: The bottom line is these concerns about China and the Fed are lingering – that what causing this volatility in the local market, Oliver said. There no resolution. Both these issues are being kept alive. (news.financializer.com). As reported in the news.

: The US added 173,000 jobs in August, fewer than expected, but job gains in prior months were revised higher and the unemployment rate dropped to a seven-year low at 5.1 per cent. "Regardless of the global dislocation for equities, investors still seem to be preparing for a lift-off in the fed funds rate," said Andrew Wilkinson, chief market strategist at Interactive Brokers LLC. "There not a lot to stop the onset of tightening at some point in the near future." US, European and Japanese stocks all ended the day and the week lower, though the euro and yen remained firm on Friday while US Treasury yields edged lower, according to Australian Broadcasting Corporation. On Wall Street, the S&P 500 index slid 1.53 per cent to 1,921.22 and lost 3.4 per cent for the week, but held above the three-year low seen last week, with the Chinese stock market closed for a holiday for the past two days after it saw a two-year low the previous week. "One of the biggest problems we face is that there is no historical template for current global market conditions so we're all flying blind to a large degree," said Deutsche Bank credit strategist Jim Reid. "Never before have so many of the most important countries in the world printed so much money and left base rates so low for so long." Expectations of a September rate hike by the Fed waned as a slowdown in China brought increased market volatility across asset classes, causing the US dollar rally of the past year to wane. Related Story: Wall St down on China jitters, Fed rates uncertainty Map: United States Stocks on major markets fell on Friday , closing out another tough week for equity markets after the monthly US employment report failed to provide a clear signal on the likelihood of the first Federal Reserve interest rate rise for nearly a decade later this month. Crude oil futures fell as traders paid little heed to a drop in the number of US rigs drilling for oil, focusing instead on this year ongoing supply glut. Brent crude, the global benchmark for oil, fell $US1.07 to settle at $US49.61 a barrel. "Oil is only the beginning of this story," Ian Bremmer, president of Eurasia Group, noted this week. "In fact, the value that producers of oil, gas, metals, minerals and other commodities have lost just in the past year comes to about $US2 trillion, the size of India entire economy," he said. "China by itself accounted for about 17 per cent of the world overall GDP in 2014, but its demand for imports has already fallen 14.6 per cent over the first seven months of 2015." Reuters Topics:economic-trends, markets, unemployment, currency, united-states noindex (news.financializer.com). As reported in the news.

: In a communique at the end of a two-day meeting, economic supremos from the world top 20 economies said global growth was falling short of expectations, despite strengthening activity in some economies, according to Australian Broadcasting Corporation. The G20 agreed last year in Brisbane to boost its collective economic output by an additional 2 per cent over five years through structural reforms and other measures. Related Story: White House investigates G20 Barack Obama 'passport leak'Related Story: G20 leaders' personal details accidentally made public Map: Turkey G20 finance ministers and central bank chiefs have pledged to act decisively to shore up stuttering global growth and refrain from unsettling currency moves after China controversial devaluation last month. Federal Treasurer Joe Hockey attended the summit in the Turkish capital of Ankara which wrapped up on Saturday. We have pledged to take decisive action to keep the economic recovery on track and we are confident the global economic recovery will gain speed," the communique said. While avoiding any direct mention of China, the statement contained a clear pledge not to resort to competitive currency devaluations to give an unfair advantage to domestic exports. "Global growth falls short of our expectations. (news.financializer.com). As reported in the news.

Cadbury factory: Speaking at the Liberal State Council in Hobart today, Mr Abbott confirmed $16 million originally marked for a Cadbury factory upgrade will be rolled into the new grant program, according to Australian Broadcasting Corporation. The State Government has also kicked in $8 million. Related Story: Tasmania Opposition casts doubt over $16m Cadbury grant Related Story: Cadbury dips out of $16m grant for Hobart factory upgrade Map: Hobart 7000 Tasmanian businesses will be able to apply for a share of a new $24 million jobs and investment fund unveiled by Prime Minister Tony Abbott. Mr Abbott said the fund would deliver a $72 million boost to the Tasmanian economy, as businesses would be required to match every $1 in taxpayer funds with $2. The independent Member for Denison, Andrew Wilkie, said the outcome was a broken promise. "The Prime Minister announcement today that the Cadbury money will spread across the state is a broken promise and a betrayal of the people of Glenorchy," he said. "The fact is that a specific need for economic stimulus was identified in Denison and in the Glenorchy area in particular. "The money was for Glenorchy alone and a 2013 Liberal Party election promise, and to blame Cadbury for failing to deliver it is quite dishonest. "Glenorchy has one of the highest unemployment rates in the state. Cadbury withdrew its funding request to upgrade its Claremont site earlier this year. "The $16 million committed to Cadbury will remain in Tasmania and will be invested in projects that deliver jobs and productivity growth to the state," Mr Abbott said. (news.financializer.com). As reported in the news.

: The sight of shattered international footballers sitting around for a further 30 minutes before baggage appeared – they had spent back-to-back flights in ridiculously cramped conditions as office bearers made the most of their extra legroom – would have been laughable if not so important, according to The Guardian. It is not as if preparation might be deemed significant with Germany, the world champions, due to visit Hampden Parkon Monday. Eleven hours after full-time in Tbilisi on Friday, the Scottish party touched down at Glasgow airport because of delays and scenes that undermined any claims by the country Football Association that they preside over an operation which is remotely serious. Thankfully for the association, Roy Keane has no reason to concern himself with their arrangements around key fixtures. Thereafter, he was charged with raising morale among a squad that has relinquished terrific opportunity because of the Georgian defeat. Related:Scotland Euro 2016 hopes dented by another costly defeat in Georgia Strachan most immediate task was to reschedule training sessions on account of high-travel farce. (news.financializer.com). As reported in the news.

Robert Lewandowski: Götze, struggling for first team action in the Bundesliga over the past two seasons, sealed Germany win eight minutes from time on the rebound, according to The Guardian. Both teams had plenty more chances in a flowing, attacking game but Germany, who had lost 2-0 in Warsaw last year, proved more efficient and took over at the top of Group D on 16 points from seven games, two ahead of Poland. Related:Euro 2016 qualifying: clockwatch – as it happened Thomas Müller put the hosts in front after 12 minutes and Götze added a second with a fine solo effort seven minutes later before a third Bayern Munich player, the Poland captain Robert Lewandowski, cut the deficit with a diving header from Kamil Grosicki superb left-wing cross. Germany next play Scotland, who lost 1-0 away to Georgia earlier on Friday, in Glasgow on Monday. (news.financializer.com). As reported in the news.

: Worried about who IPM are, and how safe your money is You’ll probably be reassured by how successfully it has launched bonds in the past, acting as a security trustee for small investors, according to The Guardian. As its website says: In 2013, IPM launched the first successful secured mini-bond in the UK. Using its expertise in the solar park industry, it worked with a partner to produce a mini-bond that offered a 6.5% annual interest and where the investment was secured against all the assets of the business. It manages investment solutions which emphasise the preservation of capital . Just this week it completed raising £5m from investors for its Providence Bonds, which pay interest at 7.5% quarterly and where you only have to put a minimum of £1,000 down. This was an innovative solution , says IPM, that cut out the pesky banks so that the investor received the high yield, not the bank . This is news to the 973 people who invested in the 6.5% Secured Energy Bonds launched by IPM back in 2013. I asked IPM how its website could possibly make such a boast, and its reply was that it would look into it . Previously IPM has made it clear that it carried out its trustee duties correctly and said it was not liable to compensate people. They have lost every penny they put in – and are rightly outraged that IPM is boasting about what was, in reality, a catastrophic failure. (news.financializer.com). As reported in the news.

: The victory, coupled with Scotland 1-0 defeat by the Georgians in Tbilisi earlier in the day, saw Ireland leapfrog Gordon Strachan side in the table and rekindled their hopes of clinching a play-off spot for next summer finals in France, according to The Independent. It was Gibraltar seventh successive defeat in the group and they have now conceded 38 goals in total. Keane, who plundered a 13-minute hat-trick against the same opposition in October 7-0 win in Dublin, did not get the opportunity to repeat the feat when he was withdrawn with 20 minutes remaining as Martin O’Neill cast an eye towards Monday night game with Georgia at the Aviva Stadium, and it was his replacement Shane Long who completed a 4-0 win in Faro. However they came within two minutes of their longest competitive shut-out, the 28 minutes they managed against Germany in June, before Ireland finally broke the deadlock. Republic of Ireland: Given, Christie, O’Shea, Clark, Hendrick, Hoolahan , McCarthy , Whelan, Brady, Keane , Walters. Christie came to the rescue when he drilled a low shot across keeper Jordan Perez and saw the ball squeeze inside the far post, and it would have been 2-0 with 28 minutes gone had the keeper not acrobatically turned Jonathan Walters’ effort over the bar. (news.financializer.com). As reported in the news.