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

record levels: The abalone price in China has reached record levels of up to A85 a kilogram, which translates from a low- to mid- A60 price for fishers, according to Australian Broadcasting Corporation. Chief executive of the Tasmanian Abalone Council Dean Lisson said the price had been boosted by a combination of the lower Australian dollar and a damaging typhoon in China's major abalone farming region. Supplied Tasmanian Abalone Council Map TAS Australia's abalone industry is expecting record high prices for wild-caught abalone will be sustained into the Chinese New Year at the end of January. China produces by far the largest amount of abalone in the world and it is grown in farms, Mr Lisson said. China's farms are concentrated on the coastline between China and Taiwan and are subjected to regular typhoon activity. The farm sector in China is relatively new; it has really only been flourishing for about a decade. (news.financializer.com). As reported in the news.

russian ambassador: The meeting of foreign and defence ministers of the three nations that previously backed the opposing sides in the nearly six-year conflict reflected a shared interest in brokering a compromise, according to The Toronto Star. The talks come a day after the killing of the Russian ambassador in Turkey, but Moscow and Ankara vowed that the attack wouldn't hurt their rapprochement. Reuters By Vladimir Isachenkov And Zeina Karam Associated Press Tues., Dec. 20, 2016 BEIRUT Russia, Turkey and Iran cast themselves as the essential deal-makers in Syria on Tuesday, saying at a trilateral meeting in Moscow that their co-operation could pave the way for a future settlement in Syria, as hundreds more residents left the opposition's last foothold in eastern Aleppo. Russian Foreign Minister Sergey Lavrov said after the talks that the three nations believe their efforts could overcome the stagnation in the Syrian peace process. It's not an attempt to cast a shadow on the efforts taken by our other partners, it's just stating the facts. The format you see today is the most efficient one, Lavrov said. (news.financializer.com). As reported in the news.

steve benen: Joe Raedle/Getty Images For a price, you too can buy access to Team Trump 12/20/16 12 54 PM Updated 12/20/16 01 07 PM By Steve Benen By all accounts, Ivanka Trump will not be a typical presidential daughter, according to MSNBC. She'll reportedly have a White House office, which she'll be able to use to advocate for policies a step she's already taken with preliminary calls to Republican members of Congress. L along with Ivanka Trump C and Eric Trump R in Cleveland, OH July 19. This follows a series of meetings Ivanka Trump has joined with her father, foreign leaders, domestic business leaders, and prospective cabinet members. Though the charitable auction was eventually scrapped, for a time, it appeared Donald Trump's daughter was putting a high price on access to an influential member of the incoming president's orbit. With this in mind, when Ivanka auctioned a lunch with her for tens of thousands of dollars, it raised eyebrows. (news.financializer.com). As reported in the news.

steve benen: Mick Mulvaney, R-S.C., speaks at the Freedom Summit, Saturday, May 9, 2015, in Greenville, S.C. Photo by Rainier Ehrhardt/AP Trump's choice for Budget Director is tough to defend 12/20/16 10 52 AM By Steve Benen Last fall, Rep, according to MSNBC. Mick Mulvaney R-S.C. described his approach to budget negotiations in a memorable way I'll play chicken with you every time. Mick Mulvaney, R-S.C., speaks at the Freedom Summit, Saturday, May 9, 2015, in Greenville, S.C. Photo by Rainier Ehrhardt/AP U.S. Rep. You think I am crazy, and I know you are not. Donald Trump now wants Mick Mulvaney to be the White House's Budget Director. It's quite a philosophy the Republican congressman assumes Democrats will be responsible and take steps to avoid hurting people, and he wants his rivals to know he has no comparable concerns. (news.financializer.com). As reported in the news.

student committee: I never had the experience of playing any, he says, according to The Guardian. So I'll probably sit there with a blank stare, oblivious to everything, trying to understand what's going on. He's looking forward to staying with a local family something the international student committee at his university has organised but says if they get board games out, he won't know what to do. Hopefully they won't throw me out because of that. For some, it's the first time they will experience Christmas in another country, and the first time they will take part in British traditions such as board games or presents. Caught between two cultures, I'm a not-quite-international student Read more Like Kongari, many international students will spend Christmas away from home this year. (news.financializer.com). As reported in the news.

dollar index: The dollar index, which tracks the US currency against a basket of six major counterparts, was last down 0.2 percent at 102.72, according to Global Times China. It climbed as high as 103.56 last week. The Federal Reserve's interest rate forecasts released on Wednesday, after its widely expected rate increase, showed three more hikes in 2017, which fueled the dollar's rise to last week's highs. The euro was last up slightly at 1.0457, holding above a nearly 14-year low of 1.0364 notched last week. With the Christmas and year-end holidays coming, there is no incentive for investors to take new risks, and there is some profit-taking, so it is difficult for major currency pairs to move much, said Kumiko Ishikawa, FX market analyst at Sony Financial Holdings. The dollar was down 0.4 percent against its Japanese peer at 117.38 yen, taking a breather after climbing to a 10.5 month high of 118.66 yen last week. (news.financializer.com). As reported in the news.

dow jones: Any additional details on Fed policy could move markets, according to Market Watch. The Dow Jones Industrial Average DJIA, 0.46% rose 1.6 point, or less than 0.1%, to trade at 19,857.5. Traders are looking ahead to a speech by Federal Reserve Chairwoman Janet Yellen, which comes less than a week after the U.S. central bank indicated a faster pace of rate hikes in 2017 than had previously been expected. The S&P 500 SPX, 0.36% rose 1.9 point, or 0.1%, to 2,259.8. Read the full story Stock market advances modestly as Dow takes a crack at milestone The Nasdaq Composite Index COMP, 0.49% rose 4.25 points, or 0.1%, to 5,441.3. (news.financializer.com). As reported in the news.

dream reactor: But its complex fast breeder reactor technology has been plagued with problems that have left it idle for more than a decade, according to Global Times China. It has also been a financial black hole since construction began in 1986, given its initial 1 trillion yen 8.5 billion construction cost and daily operating costs of 50 million yen, even while shut down. Once touted as a dream reactor, the Monju facility was designed to generate more fuel than it consumes via nuclear chain reaction, an attractive alternative in a country with few natural resources. The government will not restart Monju as a nuclear reactor and will take steps to decommission it, science minister Hirokazu Matsuno told the governor of western Japan's Fukui prefecture where it is located. I don't think there were sufficient deliberations, Nishikawa said. Fukui governor Issei Nishikawa, who was informed by Matsuno and industry minister Hiroshige Seko at a meeting, criticized the decision as fast and sloppy. (news.financializer.com). As reported in the news.

eu leaders: The Council prolonged the economic sanctions targeting specific sectors of the Russian economy until 31 July 2017, said the statement from the council, according to Global Times China. The sanctions target the financial, energy, and defence sectors and items that could be used for both industrial and military means. EU leaders decided at a summit last week to roll over the sanctions first imposed in 2014 and the European Council, which groups the 28 member states, confirmed the decision on Monday. German Chancellor Angela Merkel and French President Francois Hollande said last week they wanted the sanctions extended because Moscow was not living up to its Ukraine truce commitments. The EU imposed economic sanctions on Russia after a Malaysia Airlines passenger jet was shot down over rebel-held eastern Ukraine in July 2014. They said there had been no progress in implementing the Minsk ceasefire accords which they helped broker between Ukraine and Russia, and so there was no option but to keep the measures in place. (news.financializer.com). As reported in the news.

issue index: On Friday, the key gauge rose 127.36 points, according to The Japan Times. The Topix index of all first-section issues ended down 1.61 points, or 0.10 percent, at 1,549.06 after adding 7.95 points the previous trading day. The key 225-issue index lost 9.55 points, or 0.05 percent, to end at 19,391.60 on the Tokyo Stock Exchange. After the Dow Jones industrial average turned slightly lower Friday, the key Tokyo market gauges lost ground on the back of a pause in the yen's fall against other major currencies, brokers said. With overseas investors expected to dwindle further toward the year-end, Tokyo stock price movements will likely remain small, said Masahiro Ichikawa, senior strategist at the Economic Research Department at Sumitomo Mitsui Asset Management Co. Brokers also blamed the market's weakness on the absence of overseas investors, the mainstay buyers of Tokyo stocks, as the Christmas holidays began. (news.financializer.com). As reported in the news.

china sea: Beijing's seizure of the marine probe in international waters in the South China Sea raised already heightened tensions between the world's two largest military powers, according to Nine News Australia. On Sunday, after Beijing and Washington announced the drone would be returned, Trump tweeted We should tell China that we don't want the drone they stole back. - let them keep it! Trump's accusation that China had stolen the drone was not accurate said foreign ministry spokeswoman Hua Chunying. AAP China has rejected US President-elect Donald Trump's claim that it had stolen an American research drone, as state media said his diplomatic inexperience could spark a confrontation between the two nations. Imagine that you found something on the street - you would need to first check and verify it before handing it back to someone else, she told a regular press conference. The Chinese military is expected to return the probe to the US Navy in the South China Sea on Tuesday, a US defence official said. Hua said the two sides are in smooth communication through military channels, and we believe the incident will be properly handled . She gave no further details. (news.financializer.com). As reported in the news.

dow jones: The S&P/TSX composite index added 17.65 points at 15,269.85, while the Canadian dollar was down 0.41 of a cent to 74.53 cents U.S. In New York, the Dow Jones industrial average advanced 39.65 points at 19,883.06 and the S&P 500 climbed 4.46 points to 2,262.53, according to The Toronto Star. The Nasdaq composite rose 20.28 points to 5,457.44. Rene Johnston / Toronto Star By The Canadian Press Mon., Dec. 19, 2016 TORONTO Rising gold stocks helped push Canada's largest stock market higher, while Wall Street made modest gains. In commodities, the February gold contract rose 5.30 to 1,142.70 U.S. an ounce. The February contract, which had a larger trading volume, added 11 cents to finish at 53.06 per barrel. Oil prices had been lower earlier in the day, but the January crude oil contract managed to gain 22 cents at 52.12 per barrel by the close. (news.financializer.com). As reported in the news.

foua: But the plan was put on hold Sunday after a number of buses were set on fire, according to CNN. Hours later, the first limited evacuations began from eastern Aleppo and the towns of Kefraya and Foua, United Nations humanitarian adviser Jan Egeland said on Twitter. The exodus of thousands of people from besieged areas was set to begin this weekend under a new complex people-swap deal. Thousands more are waiting to be evacuated, he added. Hopeful operation will proceed smoothly, Mardini, the ICRC's regional director, said on Twitter. Shortly after midnight, Robert Mardini of the International Committee of the Red Cross said five buses and one ambulance had just left dark and cold eastern Aleppo. (news.financializer.com). As reported in the news.

morrison: The budget would return to surplus in 2020-21, despite falling revenue and a slowing economy, Treasurer Scott Morrison said, according to The Toronto Star. On the best information we have available to us, the government's plan to return the budget to balance is projected to be in 2021 and that is something that says our plan remains on track, Morrison told reporters. STRINGER / REUTERS By Rod McGuirk The Associated Press Sun., Dec. 18, 2016 CANBERRA, AUSTRALIA Australia's projected budget deficits for the next four years have increased by 10.3 billion Australian dollars US 7.5 billion to AU 94.9 billion as the economy continues to slow following a China-driven mining boom, the government's latest forecasts showed Monday. The deficit for the year ending June 30, 2017, had been forecast to reach AU 37.1 billion when the annual budget was released in May. But deficits will exceed the May estimates in the following three years. Updated economic forecasts released Monday showed that deficit would be AU 600 million lower. (news.financializer.com). As reported in the news.

photo: In fact, historians looking back on 2016 a century from now will probably identify it as one of the most pivotal in modern history, according to The Toronto Star. It was a year that set in motion a train of events that will reshape our world for years to come. Gerald Herbert / The Associated Press file photo By Gordon Pape Building Wealth Special to the Star Mon., Dec. 19, 2016 It's been a year none of us will ever forget. At this stage, we cannot know the consequences of all the forces that have been unleashed but we do know they will dramatically change the world and how we make our investment decisions. Both are related in the sense that they represent a rebellion of the middle class against the established elite in the two countries. On a macro scale, historians will zero in on two game-changing events the British decision to leave the European Union and the election of Donald Trump as the U.S. president. (news.financializer.com). As reported in the news.

opposition leader: But the ruling Socialists also expressed concern that the talks had gone nowhere. 07.12.2016 There are 272 crates of 50,000 500-bolivar bills, said Jose Khan of Venezuela's Central Bank, who was at the airport to welcome the aircraft, according to Deutsche Welle. Sweden made the new 500-bolivar denomination, according to the bank. DW recommends Venezuela's opposition walks away from Vatican-backed talks An opposition leader has blamed the government for not releasing political prisoners and allowing a referendum on the presidency as a ploy to avert change. Venezuelan President Nicolas Maduro blamed US Treasury Department sabotage for delaying the new denomination from arriving when the 100-bolivar, worth approximately 0.03 0.03 euros was pulled from circulation on Friday. They could not stop us, they delayed them for four days, Maduro said. The 500-bolivar bills should have arrived on Thursday, but they arrived this Sunday. (news.financializer.com). As reported in the news.

tohoku rakuten: Still, it's possible playing in a different part of Osaka ignites his career, according to The Japan Times. If it does, Orix's move will represent one of the few times the human compensation portion of NPB's free agency rules will have worked out for the team being compensated. Kaneda is 26, and nowhere near worth the current value Itoi represents. Under the current rules, which were altered in 2008, teams losing an A- or B-ranked free agent are entitled compensation from the signing team in the form of a straight cash payout or less money and a non-protected player from the signing club's roster. The Seibu Lions did that earlier in the offseason as compensation for losing ace Takayuki Kishi to the Tohoku Rakuten Golden Eagles. Most teams take the money and run. (news.financializer.com). As reported in the news.

trading cues: That compared with 117.90 late Friday in New York, according to Market Watch. We don't see fresh trading cues, said Kengo Suzuki, chief foreign-exchange strategist at Mizuho Securities. The U.S. currency USDJPY, -0.20% was trading at 117.18, after hitting an intraday low of 118. What we are seeing is profit-taking or adjustment ahead of Christmas and the year-end holiday season. The dollar has surged nearly 12% against the yen since then, moving to levels last seen in February. The trade has seen particular gains since President-elect Donald Trump unexpectedly won the race for the White House in early November. (news.financializer.com). As reported in the news.

u.s.-china relationship: But a strong American economy will exacerbate structural imbalances in the global economy as the value of the dollar climbs and other economies battle capital flight, according to The Japan Times. In particular, there are real concerns about China's prospects and growing tension in the U.S.-China relationship. The move was widely expected in the wake of Donald Trump's election as the next U.S. president given his plans for tax cuts and infrastructure spending to boost the economy and their tendency to spur inflation. The Fed has kept short-term interest rates steady and low since the 2007-08 global financial crisis, raising them only twice during that time. As the U.S. economy recovered and began to expand and unemployment dropped below 5 percent, there has been a renewed focus on inflationary pressures. The Fed, like other central banks, kept interest rates low nearly zero to provide liquidity to markets, to stimulate demand, and to ensure that prices did not collapse. (news.financializer.com). As reported in the news.

year bond: Meanwhile, later in the trading day, a truck plowed into a Christmas market in Berlin, killing at least nine people, according to Market Watch. The yield on the 10-year Treasury note TMUBMUSD10Y, -0.14% shed 5.7 basis points to 2.544%, its largest one-day drop since Aug. 29. In Ankara, a lone gunman shot and killed the Russian ambassador to Turkey. The two-year yield TMUBMUSD02Y, 0.36% slipped 3.2 basis points to 1.228%, and the 30-year bond yield TMUBMUSD30Y, -0.16% declined 6.6 basis points to 3.122%, also its largest one-day drop since Aug. 29. Demand for bonds increased as investors sought safety plays to protect themselves from a perceived increase in global political risks. The Turkish lira USDTRY, -0.3657% and Turkish stocks TUR, 1.53%also declined after Russia deemed the Ankara shooting a terrorist attack. (news.financializer.com). As reported in the news.

gdp: While he routinely accuses others of lying, many of his economic assertions and promises indeed, his entire view of governance seem worthy of Nazi Germany's big lie propagandists, according to The Guardian. Trump will take charge of an economy on a strongly upward trend, with third-quarter GDP growing at an impressive annual rate of 3.2% and unemployment at 4.6% in November. As in many other areas, Trump's promises and statements on economic policy have been inconsistent. By contrast, when Barack Obama took over in 2009, he inherited from George W Bush an economy sinking into a deep recession. The only way Trump will square his promises of higher infrastructure and defence spending with large tax cuts and deficit reduction is a heavy dose of what used to be called voodoo economics. And, like Bush, Trump is yet another Republican president who will assume office despite losing the popular vote, only to pretend that he has a mandate to undertake extremist policies. (news.financializer.com). As reported in the news.

recapitalisation: The news signals that a multi-billion euro refinancing of MPS could occur within days, according to The Guardian. Seven other banks that are struggling under the weight of bad loans amounting to billions of euros may also require government recapitalisation. The statement said It could be necessary to adopt measures with the aim of protecting savers if there were risks in the financial sector . The vote in parliament could happen as soon as Wednesday, according to the Italian news agency Ansa. The cabinet meeting was convened just hours after MPS, the world's oldest bank, formally launched a desperate attempt to stave off government rescue and raise 5bn 4.2bn from private investors. The bank's shares fell 8.5% on Monday as it launched a share offering to institutional and retail investors. It has less than 10 days to secure private funding before the government intervenes. (news.financializer.com). As reported in the news.

revenue: But the review, due on Thursday, will also show problems with declining state tax revenue, persistent high unemployment and how WA's low share of GST revenue will remain low for longer, according to Australian Broadcasting Corporation. Treasurer Mike Nahan said the mid-year review would make clear the serious financial challenges still facing the state. ABC News Andrew O'Connor Related Story Deficit to increase by 10 billion, MYEFO shows Related Story Iron ore price surge 2 billion boost for WA budget Related Story WA state budget deficit to surge to almost 4bMap Perth 6000 The WA Government's mid-year budget review is expected to show a slight improvement in its forecast 3.9 billion deficit due to increased iron ore royalties. It's not a mini-budget. It would be a bit of improvement but it will show that we still have a significant problem with the GST. When iron ore royalties collections were very high, they took that off us. It's just an update of our estimates, Dr Nahan said. (news.financializer.com). As reported in the news.

senate: That is billions of dollars worth of savings - such as raising the pension age to 70 and making the unemployed wait a month before getting the dole - Labor, the Greens and some Senate crossbenchers refuse to pass, according to Nine News Australia. Following release of the mid-year budget review on Monday, shadow treasurer Chris Bowen was quick to reaffirm Labor's opposition to the measures He argued the government should accept the reality they will never clear parliament and the budget back should reflect that fact. However, the so-called zombie measures live on in budget calculations. But Treasurer Scott Morrison doesn't believe his measures should be buried just yet, pointing to the 6 billion omnibus bill Labor supported when parliament resumed after the July election and which contained previously no-go areas. Moody's in particular had warned the treasurer not to come up with unrealistic forecasts, but believes the update remains consistent with a triple-A rating. They brought the zombies to life ... and let them walk through the parliament, Morrison told reporters after handing down the review, conceding it was a very dangerous mixed metaphor . Importantly, the global credit rating agencies haven't been spooked by the review so far. (news.financializer.com). As reported in the news.

trump: If Trump is to succeed in delivering the high growth and genuine financial stability that he has promised, he will need some help from abroad, according to The Guardian. Trump has established infrastructure investment, tax reform, and deregulation as central components of his strategy to boost the US economy's actual and potential growth. But the US economy does not exist in a vacuum. Confident that his plan can unfold as intended, he has set ambitious targets, including GDP growth approaching 4% a year. Under the assumption that the incoming Trump administration will ultimately refrain from triggering a trade war, they moved fast to price in optimistic prospects for higher real growth, higher inflation and more money entering the financial markets. For now, investors seem to be pretty much sold. (news.financializer.com). As reported in the news.

australia: Economist and keen budget watcher Chris Richardson believes its a 50/50 call on Australia retaining its rating, while former Liberal leader and professor of economics John Hewson expects the government will just do enough to retain the rating until next year's May budget, according to Nine News Australia. Senator Cormann wasn't prepared to second guess what the agencies will do. But it remains to be seen whether his and Treasurer Scott Morrison's budget forecasts in Monday's update are about to gamble away Australia's top-tier triple-A rating. But he said the agencies were particularly looking at the parliament's attitude and approach to the government's budget plan, and was quick to point out again the 22 billion of savings implemented since the July 2 election. We are clearly heading in the right direction, he told Sky News on Sunday. We are clearly making headway. (news.financializer.com). As reported in the news.