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

real estate market: Key pointsNAB predicts house price growth of 1 per cent nationally this year Unit prices expected to fall 1.2 per cent this year Foreign buyers and local investors make up a falling share of the market National Australia Bank latest residential property survey, taken in late 2015, shows sentiment and expectations amongst real estate market participants at +1, according to Australian Broadcasting Corporation. That is down from +10 in the third quarter of 2015, and well below the long-term average of +13. Related Story: Building approvals soar, led by apartment rebound Map: Australia A decline in property investment and foreign buyer activity is expected to reduce house price growth to just 1 per cent over the next two years. NAB said sentiment weakened most noticeably in New South Wales and Queensland, but was lower across the country. Despite Victoria leading sentiment, survey respondents predicted that Queensland would have the largest home price gains over the next two years . The possibility of a more severe correction in the Australian housing market is still remote, although the risks have escalated.NAB economics team Victorian prices were expected to creep 0.7 and then 1 per cent higher over 2016 and 2017, with New South Wales forecast to see no growth and South Australia/the Northern Territory and Western Australia expected to continue seeing modest price falls. "Weakening fundamentals have already seen the market starting to cool, suggesting the best of the price gains are probably behind us," commented NAB chief economist Alan Oster. Victoria now has the nation strongest market sentiment and is the only state tracking above its long-term average, a finding that concurs with recent home price data from Core Logic RP Data. (news.financializer.com). As reported in the news.

share price index: And the Australian market looks set to open higher following a positive lead in New York and an overnight rise in the price of oil, according to Nine News Australia. At 0652 AEDT on Thursday, the share price index was up 22 points at 4,846. At 0700 AEDT on Thursday, the local unit was trading at 71.80 US cents, up from 70.21 cents on Wednesday. LONDON - Lloyds Banking Group Plc says it will axe about 1585 jobs and close 29 branches as part of sweeping cuts it announced more than a year ago, aimed at reducing Europe second-biggest lender workforce by 9000.LONDON - British-based pharmaceuticals giant Glaxo Smith Kline has posted a loss of STG428 million for the fourth quarter of 2015 - compared with a profit of over STG1 billion for the same period a year earlier - as the company integrates new businesses. DETROIT, Michigan - Strong earnings in North America and China and a reversal of fortunes in Europe powered General Motors to a record net profit of $US9.7 billion last year. BRUSSELS - Luxembourg, the tiny European Union state nestled between France, Germany and Belgium, has a big new goal - it wants to be a centre for space mining. (news.financializer.com). As reported in the news.

BHP Billiton: Wednesday fall takes total losses on the Australian share market so far this year to around $130 billion, according to Australian Broadcasting Corporation. Key pointsASX 200 down 2.33 per cent to 4,877NAB shares down 5.5 per cent, BHP Billiton down 4 per cent Australian dollar falls back to 70.2 US cents The ASX 200 2.33 per cent fall to 4,877 was the benchmark index worst day since September last year. Related Story: US stocks resume sell-off as oil price slumps Map: Australia Australian shares have posted their biggest fall so far this year, with more than $34 billion wiped off the market value. The broader All Ordinaries also dropped 113 points to plunge back below 5,000, and close at 4,931 at 5:00pm . National Australia Bank was a huge drag on the market, losing more than 5.5 per cent on details around the spin-off of its troubled UK operations. NAB closed at $26.36, a three-year low. The quarter of what is now called CYBG that is being floated has been priced at 180 British pence, at the low end of market expectations. (news.financializer.com). As reported in the news.

: Key points Oil prices rally by between 8-9 per cent Energy stocks lead US S&P 500 index 0.5 per cent higher Australian dollar rises to 71.8 US cents on US dollar weakness Oil prices rallied 8 per cent, snapping a two-day rout with investors taking advantage of a weaker US dollar, according to Australian Broadcasting Corporation. West Texas crude bounced 8 per cent to $US32.24 a barrel. Related Story: $34b wiped off market as share rout deepens Map: United States Wall Street bounced back from the red in late trade, clawing back losses as energy shares climbed on the back of a jump in oil prices. Investors were hopeful after comments from Russia foreign minister, Sergei Lavrov, who said the major producer would be willing to meet to discuss reducing oil output if there is consensus between members of the Organisation of the Petroleum Exporting Council and non-OPEC members to meet. The Dow Jones Industrial Average climbed 1.1 per cent to 16,337. Players in the market remain jittery, however, after US data showed the economy service sector expanded at a slower-than-expected rate in January. (news.financializer.com). As reported in the news.

Lowe Rona: We are losing too many head offices, according to The Toronto Star. That not how we are going to enrich Quebec, quite the contrary. We are losing too many companies, Pierre Karl Péladeau, head of the opposition Parti Québécois, told reporters Wednesday in Quebec City after urging Premier Philippe Couillard to block the sale. But protests are unlikely to kill the deal as the transaction has been unanimously approved by the boards of directors of Lowe and Rona and is supported by the management of both companies. The agreement provides for a cash purchase price of $24 per share and $20 per preferred share. The Rona board will recommend that shareholders vote in favour of the deal at a special meeting at the end of the first quarter. (news.financializer.com). As reported in the news.

Australian Taxation Office: A 41-year-old man has been arrested following the raids and will face Southport Magistrates Court on February 17 after being granted watchhouse bail, according to Nine News Australia. It alleged the man was involved in the scam which was also raided in October when father-and-son pair Jack and John Doumani were charged with fraud offences. Queensland police and Australian Taxation Office officials raided several locations across Brisbane and the Gold Coast on Wednesday morning. Police believe the scam, which offers clients substantial returns on bogus investment plans and via sports betting software, has fleeced victims across Australia of a massive amount of money. Acting Detective Superintendent Terry Lawrence says the operators of the scam use the money gained to fund lavish lifestyles."We're going to allege that the people involved in this are using the cash for their own lifestyles - to buy mansions, vehicles, boats, whatever it might be - and, of course, look after other people involved in those syndicates," Supt Lawrence said. It alleged of the $59 million generated by the company, known as Charterhurst Agencies, $58 million has since been withdrawn. (news.financializer.com). As reported in the news.

Yahoo: Yahoo, based in Sunnyvale, California, said it plans to lay off about 1,500 employees and exit five offices in Dubai, Mexico City, Buenos Aires, Madrid and Milan, according to Xinhua China. By the end of 2016, the company expects to have approximately 9,000 employees and fewer than 1,000 contractors. The announcement came as the company released its fourth-quarter report, which shows a loss of 4.4 billion U.S. dollars. It represents a workforce 42 percent smaller than it was in 2012, and save 400 million dollars annually, the company said. For consumer products, the silicon-valley company will have three global platforms -- search business, mail and Tumblr blogging site. It will also simplify its product portfolio to focus on the products that distinguish the company competitively. (news.financializer.com). As reported in the news.

industry categories: The broader Topix index of all First Section issues on the Tokyo Stock Exchange, meanwhile, fell 47.29 points, or 3.26 percent, at 1,404.75, according to Xinhua China. All industry categories on the main section retreated by the morning break, with securities, iron and steel, and machinery-linked issues leading notable decliners. The 225-issue Nikkei Stock Average dropped 556.51 points, or 3.14 percent, from Tuesday to 17,194.17. (news.financializer.com). As reported in the news.

New York Mercantile Exchange: The S&P 500 tumbled 36.35 points, or 1.87 percent, to 1,903.03, according to Xinhua China. The Nasdaq Composite Index shed 103.42 points, or 2.24 percent, to 4,516.95. The Dow Jones Industrial Average slid 295.64 points, or 1.80 percent, to 16,153.54. Oil prices continued to plunge Tuesday, with the U.S. oil settling below 30 U.S. dollars a barrel again, as hopes for a deal between OPEC and Russia on output cuts faded away. With no major economic data due out Tuesday, quarterly results from big companies were in focus. The West Texas Intermediate for March delivery moved down 1.74 dollars to settle at 29.88 dollars a barrel on the New York Mercantile Exchange, while Brent crude for April delivery decreased 1.52 dollars to close at 32.72 dollars a barrel on the London ICE Futures Exchange. (news.financializer.com). As reported in the news.

move company: The lay-offs will see about 1600 people lose their jobs and are part of a new plan announced on Tuesday which focusses on the company strongest assets, including Search, Mail and Tumblr, and its media brands, according to Nine News Australia. In another cost-cutting move the company will close five of its global offices and shut down stunted businesses, including smart TV, games and television shows. Yahoo has announced it will lay off 15 percent of its employees in a bid to return the company to its past success rates after it lost $4.4 billion in its last quarter. Yahoo cannot win the hearts and minds of users and advertisers with a complicated portfolio of products and assets, CEO Marissa Mayer said. Yahoo stock fell 2% overnight and frustrated investors, including hedge fund Starboard Value, claim Ms Mayer and her staff have failed to make any impact on the company failing fortunes in more than three years. The company hopes the changes will save it up to $400 million in the next financial year, and it also planning on selling real estate which would bring in another $1 billion. (news.financializer.com). As reported in the news.

western regions: He said Beijing efforts are now focused on fixing weak points and structural adjustments, according to Euro News. That includes infrastructure in the central and western regions as well as the education and healthcare sectors, but he warned that efforts to curb overcapacity are expected to push up unemployment in some Chinese provinces where there is high output of steel and coal. That is according to Xu Shaoshi, who heads the National Development and Reform Commission, China top economic planning organisation. China plan to cut its steel production capacity by 100-150 million tonnes will lead to the loss of up to 400,000 jobs, the official Xinhua news agency reported last month. The National Development and Reform Commission GDP forecast came as we learned that activity in China services sector expanded at its fastest pace in six months, partially offsetting weakness in the vast manufacturing industry. Keeping unemployment low is a top policy priority for China stability-obsessed government, a task it has admitted is becoming more difficult as growth slows. (news.financializer.com). As reported in the news.

China economy: Earlier this week, an official measure of activity in the giant factory sector fell to its lowest level since mid-2012, stirring fears that the country slowing economy was in for a hard landing, according to Deutsche Welle. Hoping to calm markets before the beginning of the Lunar New Year holiday season this weekend, the People Bank of China , the country central bank, supported the yuan, which closed at its highest level in almost a month on Tuesday. Trading on the country stock market had been suspended twice to prevent markets from panicking, and the value of the national currency, the yuan , dropped to a five-year low against the US dollar. But the question remains where China economy is heading. Kyle Bass of Hayman Capital Management, for instance, invested about 85 percent of his portfolio "in trades that are expected to pay off if the yuan and the Hong Kong dollar depreciate over the next three years," according to the paper. And, of more interest to money managers: where is the country currency heading Betting against the yuan According to the Wall Street Journal, several operators of big US hedge funds have been betting big money on the yuan being in for a sharp drop. (news.financializer.com). As reported in the news.

Muehlbronner: Cameron has promised to hold a vote before the end of 2017 but a date this summer is increasingly expected, according to Euro News. We’re looking closely at the referendum and it becoming more and more clear that it will happen in June, Muehlbronner said. Kathrin Muehlbronner, Moody lead sovereign analyst for the UK, also told Reuters that proposals laid out by Brussels for a new deal with Britain should help Prime Minister David Cameron convince the UK public to vote to stay in the 28-nation bloc. That a positive. She added that the proposals from European Council president Donald Tusk might never be enough for all members of David Cameron largely eurosceptic Conservative party but should increase the chances of the ‘In’ campaign . She repeated warnings by the credit rating agency that leaving the EU would be bad for Britain economy and currency, potentially hampering inward investment needed to plug the current account deficit and leading to a rating downgrade. A long period of uncertainty, in general, is not good. (news.financializer.com). As reported in the news.

counting number: By counting the number of advertisements paraded before bouts — company names embroidered on banners and carried around the ring by a posse of men in kimono — investors can gauge whether executives are bullish on the economy and willing to spend their companies’ cash, Takumori says, according to The Japan Times. The 58-year-old is looking for any edge to assess the outlook for Abenomics, and more specifically its impact on the stock market. For Takumori, an economist at one of Japan biggest asset managers, the ancient sport is more than entertainment: It is an eye into how successful Prime Minister Shinzo Abe has been at unleashing the country animal spirits. After a rosy first three years under Abe, with the Nikkei stock average more than doubling, shares tumbled in 2016 to their worst start on record. If you watch them, you can tell whether the main lights will turn red or not. The ads are like supplementary traffic lights to the main ones, regular economic indicators, said Takumori, chief economist at Sumitomo Mitsui Asset Management Co. in Tokyo. (news.financializer.com). As reported in the news.

Nikkei: The report by the Nikkei news service came while Gov, according to The Japan Times. Haruhiko Kuroda and the board were in the closing stages of a two-day policy meeting. We’ll start by examining the situation carefully, including the possibility that it was just based on speculation, said Tadaaki Kumagai, a spokesman for the BOJ. Kumagai would not comment further. It sparked sharp moves in the yen and the Japanese stock market before the policy statement was released at 12:38 p.m. in Tokyo on Jan. 29. The Nikkei report said that negative rates were being discussed due to growing concern about downward pressure on Japan economy and inflation because of low oil prices and the slowdown in China. Markets then zigzagged throughout the afternoon as investors digested the news. (news.financializer.com). As reported in the news.

labor organization: The nation largest labor organization is stressing the need for raising basic monthly wages, according to Asahi Shimbun. But Keidanren , the nation most powerful business lobby, has argued that annual income growth larger than last year is more important than a rise in the basic wage. Rengo is demanding an across-the-board increase in the base pay scale of about 2 percent. Obviously, the biggest issue for the shunto wage round is a hike in the pay scale, the core portion of salaries. That partly because non-regular workers, who are not eligible for base pay hikes, now account for 40 percent of the nation work force. While such hiking of the base pay is certainly important, it is no longer the only measure of improvement in working conditions. (news.financializer.com). As reported in the news.

foreign investors: Elements of the deal will require the green light from parliament, according to Nine News Australia. Labor holds concerns about investor-state dispute settlement provisions, which allow foreign investors to sue the government if their profits are affected by any Australian law or policy. Mr Robb will head to Auckland on Wednesday ahead of Thursday signing of the Trans-Pacific Partnership."This offers enormous prospects for driving growth and jobs in Australia," Mr Robb said. The opposition will also use the parliamentary treaties committee to test government claims about the trade deal benefits. The TPP was finalised in October after five years of negotiations, with Australia, New Zealand, Brunei, Canada, Chile, Japan, Malaysia, Mexico, Peru, Singapore, the United States and Vietnam all parties to the agreement.© AAP 2016Politics Send your photos, videos and stories to can remain anonymous. The government says the TPP will eliminate more than 98 per cent of tariffs in the TPP region, removing import taxes on about $9 billion of Australian trade. (news.financializer.com). As reported in the news.

Google: Apple Inc. iPhone, meanwhile, is suffering its first downturn since it debuted eight years ago, according to The Japan Times. Alphabet Inc. earned $4.9 billion on revenue of $21.3 billion in the fourth quarter. The shift occurred in Monday extended trading after Alphabet, Google new parent company, released a fourth-quarter earnings report that highlighted the robust growth of the digital ad market. If not for employee stock expenses and certain other items, Alphabet said it would have earned $8.67 per share. The report provided the most detailed breakdown yet on the profits pouring in from Google dominant search engine and ad network. That figure easily topped the average estimate of $8.10 per share among analysts surveyed by Fact Set. (news.financializer.com). As reported in the news.

political leaders: But before the lunar year past fully recedes into memory, we take a look back at the people and events that made headlines across Asia, for good and for bad, according to The Japan Times. Our choice last time around for worst year in Asia went to Myanmar Muslim Rohingya minority — persecuted at home and increasingly ignored by business and political leaders hungry to engage with the new Myanmar. Japan already bid farewell to the year of the sheep as 2016 began. Time will tell whether their plight will be any better under a parliament now led by the party of one-time democracy activist and icon Aung San Suu Kyi. A deadly earthquake in Nepal and landmark elections — in Singapore and most recently in Taiwan — as well as South China Sea territorial disputes and trade deals captured regional news headlines providing fertile ground for our choices. As 2015 wrapped up, we took to CNN to share an initial take on the best and worst of the year behind us. (news.financializer.com). As reported in the news.

shipments: The stock fell as much as 9.8 percent in Milan, according to Euro News. Ferrari, spun off from Fiat Chrysler Automobiles at the start of the year, said on Tuesday it expects shipments to rise 3 percent this year to around 7,900 vehicles. Ferrari New York-listed shares fell more than 14 percent to their lowest since the maker of red cars with the prancing horse logo was listed on Wall Street last October. Overall deliveries of cars, which include the 1-million-euro LaFerrari hybrid, rose 6 percent last year, despite a 22 percent slump in shipments in China, where the company makes less than 5 percent of its sales. Ferrari said it expects 2016 adjusted earnings before interest, tax, depreciation and amortisation of more than 770 million euros , up from 748 million last year. On a conference call with analysts, the company said it expects this year growth to come primarily from the United States and Europe, its two main markets, while China was forecast to be flat year-on-year. (news.financializer.com). As reported in the news.

currencies: Sales there fell 30%, or 15% adjusted for currencies, as revenue across most geographic areas declined, according to Market Watch. Emerson said it expects market conditions to persist through the second quarter and improve in the second half of the fiscal year. Louis conglomerate has taken a hit from the sharply lower price of oil, and in the latest quarter, the company industrial-automation segment led the way lower. As a result of declining orders and sales, the company said last year that it had accelerated its restructuring plans and said it intends to spin off its network-power business. In the company process-management business, which is heavily exposed to the energy market, sales slumped 14%, or 11% on a currency-adjusted basis, as lower oil prices continue to affect both operational and capital spending by end customers in the energy sector. In that segment, sales dropped 6% in the most recent quarter, or an adjusted 1%. The company said recent order trends have shown improving conditions in both data center and telecommunications investment. (news.financializer.com). As reported in the news.

: The Voters Are More Discouraged And Weary Than Angry* The rise of Bernie Sanders and Donald Trump has led to much discussion of an angry, fearful American electorate, with some data supporting that, according to MSNBC. But people interviewed here described their feelings in terms more like discouragement than anger. In scores of interviews with voters in Eastern Iowa in the four days leading up to the caucuses, several themes emerged: *1. Those over age 60, both Democrats and Republicans, are worried that their children and grandchildren won’t have the same kind of life they did. Many had children who were struggling to find steady jobs or pay off college loans. In their words, this is not nostalgia, but an honest assessment of an America in which jobs are outsourced, careers fleeting and retirement pensions are increasingly non-existent. * Democratic race in Iowa likely to be decided by turnout* The voters under 50 were often experiencing this directly. (news.financializer.com). As reported in the news.

Effie Zahos: Governments are also keen to support the latest wave of Chinese investment, with the mining boom starting to wind down."The Aussie dollar is down, there volatility in the Chinese share market, according to Nine News Australia. But remember, China is still growing, they're looking for a place to put their cash," Money magazine editor Effie Zahos told A Current Affair. With new blocks, new sub-divisions and new suburbs rising from the dirt, Chinese developers now account for nearly half of Australia foreign building investors. Chinese developers are creating large-scale high-density development across Australia. China wealthiest woman, Yang Huiyan, is also behind a $500 million partnership with Mirvac in inner Sydney. In the western Sydney suburb of Parramatta, China 23rd largest public company is building a $550 million development site, with 11 apartment towers. (news.financializer.com). As reported in the news.

Australian share market: And the Australian share market looks set to open sharply lower after stocks around the world fell as a further oil price rout heightened concern over global growth, according to Nine News Australia. At 0645 AEDT on Wednesday, the share price index was down 73 points at 4,869. At 0630 AEDT on Wednesday, the local unit was trading at 70.47 US cents, down from 70.70 cents on Tuesday. BRUSSELS - European Council President Donald Tusk has set out a plan for keeping Britain in the European Union to a mixed reception which underlined the challenges Prime Minister David Cameron faces convincing Britons they should stay in the bloc. DALLAS - The big plunge in oil prices is taking Big Oil profits down. DUBLIN - Ireland unemployment rate has fallen to a seven-year low of 8.6 per cent as the country - buoyant again after years of gloom and austerity - prepares for a general election. (news.financializer.com). As reported in the news.

: Related:Decision to clear Malaysian prime minister 'impossible' to overturn It very unusual, and against normal protocol, for a senior official of one country to speak publicly on the internal matters of another country, according to The Guardian. Yet that is what the Swiss Attorney General has done, he said. In the most scathing response by a member of the government to date, Malaysia Minister of Communications Salleh Said Keruak told the Guardian that these premature statements appear to have been made without a full and comprehensive appreciation of all the facts. The rebuke adds fire to a burgeoning diplomatic standoff between Malaysia and Switzerland, one of several countries investigating corruption at 1MDB , a heavily-indebted state fund whose advisory board is headed by Malaysian Prime Minister Najib Razak. The premier critics allege the transfers was in fact linked to the 1MDB, an accusation that 1MDB, the attorney general and the prime minister deny. Najib was himself cleared of corruption in Malaysia a week ago by the country attorney general, who said the Saudi royal family was the source of a $681m donation to Najib personal accounts just before the 2013 election. (news.financializer.com). As reported in the news.

Indian Ocean: For Dubai patients it is always liposuction." Dawreewo says that bookings are rising sharply at his clinic in Plaines Wilhelms, central Mauritius, with clients arriving from across the world, according to CNN. The island secluded location -- off the coast of Madagascar in the Indian Ocean -- offers discretion that foreign visitors appreciate. "There is privacy here," says Dawreeawo. "People can take a holiday and have their surgery confidentially". Read More Build it, they will come Rated among the most competitive and prosperous economies in Africa by the World Bank, Mauritius' success is built on sand. Javed Dawreeawo is learning about cultural differences through his clients. "My Chinese patients often want face procedures, like double eyelid surgery," says the plastic surgeon. "With the British, breast augmentation is more popular. The island sugar-white beaches are the heart of its tourist economy, which contributes over 25% of GDP, according to the World Travel and Tourism Council. From just 1,000 foreign patients arriving for treatment in 2005, Mauritius welcomed 12,000 in 2012, and 16,000 last year, according to government figures. But now, thanks to attractive pricing and high competency, a new industry is rising in the tropical paradise: plastic surgery. (news.financializer.com). As reported in the news.