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

managers: The movement encompasses investors such as superannuation funds, banks, fund managers, foundations and governments, all seeking financial returns while using capital to solve pressing social and/or environmental issues, according to The Guardian. This could be in areas such as affordable housing, healthcare and renewable energy. Around the world, the impact investing movement is coming of age, and it is getting increased attention in Australia. And it's also capturing the imaginations and hearts of those looking for ways to align their assets with their values. In Sydney last month, I spoke at the Impact Investment Summit Asia Pacific and spent the week hearing from those building the market in the region. But there's more to be done. (news.financializer.com). As reported in the news.

san: Fireworks detonated in a peal of clattering bursts reminiscent of a war zone, according to Nine News Australia. It was the third time in just over a decade that explosions have hit the popular San Pablito market in Tultepec, about 32km north of Mexico City. Television images showed a flurry of multicoloured pyrotechnics exploding into the early afternoon sky as a giant plume of smoke rose above the market. The detonations struck in the run-up to the busy Christmas holiday, when many Mexicans stock up on fireworks. Some children suffered burns to more than 90 per cent of their bodies and were being sent to the US city of Galveston in Texas for treatment, said Eruviel Avila, the governor of the State of Mexico in which Tultepec is located. People were crying everywhere and desperately running in all directions, said 20-year-old witness Cesar Carmona. (news.financializer.com). As reported in the news.

pogatchnik: Shawn Pogatchnik / AP By Shawn Pogatchnik Associated Press Wed., Dec. 21, 2016 NEWRY, IRELAND The threat of Brexit is delivering a Christmas bonanza to Northern Ireland, where the thousands visiting daily from the euro-using Republic of Ireland are finding bargains driven by the battered pound, according to The Toronto Star. In the malls of Newry, a Northern Ireland town barely 5 miles 8 kilometres from the United Kingdom's only land border with a European Union partner, the surge in cross-border holiday shopping underscores how far the British currency has fallen amid anxiety over the country's promised EU exit. Traffic on the approach roads to Newry is running bumper to bumper as Christmas approaches, and the heavy presence of southern Irish shoppers is obvious as people are finding bargains driven by the battered pound. While the euro is unusually weak against the resurgent dollar, the pound is far weaker, boosting price differentials on most goods. The pound since has endured a precipitous fall and today is worth less than 1.20 euros, about 15 per cent less than a year ago. That's been the case since June, when a majority of British voters including 44 per cent of those in Northern Ireland shocked pollsters by voting to leave the world's largest economic union. (news.financializer.com). As reported in the news.

production prices: It comes as prices have steadily climbed throughout the year, the second consecutive season where global consumption would exceed production, according to Australian Broadcasting Corporation. Prices have also been supported by reports of global cotton stocks decreasing, as China which holds an estimated half of the worlds cotton stocks in reserve works through its stockpiles. ABC Rural Clint Jasper Related Story Cotton forecast double last year and growing as rain falls Map Rockhampton 4700 Attractive cotton prices, cheap water and strong overseas demand has seen Australian cotton growers double their plantings this season. In the year to date, Chinese cotton imports were down 42 per cent compared with the previous year, leaving Pakistan, Bangladesh, Indonesia and Vietnam to pick up the excess demand. Between March and August next year, China will be looking to start reserve auctions again, but they've probably already sold the highest quality cotton first, Ms Donlan said. Chinese officials recently announced a cutback in imports, in an effort to further reduce stockpiles, but Commonwealth Bank of Australia CBA agri-commodity analyst Madeleine Donlan is tipping that might not last long. (news.financializer.com). As reported in the news.

senate: A few minutes after, the Senate also have its go-ahead in a 221-60 vote, with three abstentions, according to Nine News Australia. The 20 billion-euro sum is sufficient to solve the problems of an Italian banking sector that is solid, healthy, with some well-known critical cases with specific characteristics for each, Economy Minister Pier Carlo Padoan told the Chamber of Deputies on Wednesday. A resolution in favour of the government's plan was approved in a 389-134 vote, with eight abstentions, in the lower Chamber of Deputies. MPS was due to close its four-day recapitalisation bid on Thursday, and there were strong expectations that it was going to fall short of the five billion-euro target, prompting the need for a top-up from the government. Italian finance minister, Pier Carlo Padoan said the impact on savers of a state bailout would be minimal or non-existent . The new Italian prime minister, Paolo Gentiloni, has vowed not to let the bank fail, for fear that its collapse could topple the rest of Italy's heavily indebted banking sector. In an updated filing on its rights issue, the Tuscan bank said it had only four month's worth of liquidity left, down from 11 months communicated last week. (news.financializer.com). As reported in the news.

bogle: As the man who started the index revolution more than 40 years ago, Bogle is a one-of-a-kind investor resource, and he's still as fiery as ever when it comes to his views about Wall Street and the mutual fund business, investors, the index revolution and more, according to Market Watch. Bogle recently appeared on my show, Money Life with Chuck Jaffe. It's not that Bogle, the venerable 87-year-old founder of the Vanguard Group, the world's largest mutual fund company, has always been right, but investors have always been able to count on him for straight talk and answers that, when relied upon as investment advice, feel right over time. Here are some highlights from this three-part interview On the index he would pick if he was starting the first index fund again Bogle I would choose the Standard & Poor's 500 Stock Index SPX, -0.25% for the same reasons I picked it in the first place all those years ago. It is a very low-transaction costs investment. The reality is that it's weighted by the market capitalization of each stock, so if a big stock goes up in value, you don't have to buy any more, it goes up in value by the exact same amount in the fund. (news.financializer.com). As reported in the news.

dunes: For generations the island's unspoilt sand dunes have made it a well-loved tourist destination, according to Australian Broadcasting Corporation. Those rolling dunes have also been the source of extensive sandmining operations under a range of mining companies since the 1940s. ABC News Nance Haxton Map Dunwich 4183 The pristine North Stradbroke Island, or Straddie as it's known by many Queenslanders, is a holiday hot spot just a short ferry ride from Brisbane. But that era is about to come to an end, causing a massive change to the local economy. He has lived on Straddie on and off for more than 60 years. Dave Thelander better known as Barefoot Dave on the island is a tour guide and marriage celebrant who is confident the island's natural beauty will sell itself. (news.financializer.com). As reported in the news.

equity market: In the past year, Pakistan's equity market beat those of China and India by a wide margin, according to Global Times China. Pakistan's was up 16 percent, whereas China's and India's were negative for the year. Investor sentiment is increasingly bullish. In 2017, the market is expected to see more than half a dozen new IPOs, while optimistic analysts anticipate the benchmark index advance to cross 55,000 points, which would potentially generate a yield of 17-21 percent. And yet, competitiveness index rankings, which tend to measure past success, do not always explain market movements, which are based on future projections. Since competitiveness does not seem to explain Pakistan's market success, Forbes attributes it to the country's role as a frontier market, the inflow of Chinese investment, the World Bank's support and recent acquisitions. (news.financializer.com). As reported in the news.

inflation data: Nowcast, which already provides real-time inflation data, is aiming to start publishing forecasts for economies including Japan, the U.S., China, India and Taiwan when the product is released as soon as February, according to Hayashi, according to The Japan Times. The financial-technology firm is seeking to sell the service to investors who rely on official GDP figures that are released weeks after the end of each quarter. Based on algorithms that examine changes in the intensity of illumination, as well as a range of published statistics, including those for industrial production and trade, the Tokyo-based company can accurately forecast changes in gross domestic product, Chief Executive Officer Ryota Hayashi said in an interview. Using three-month-old factors in your models is far from ideal, said Hayashi, 31. It's important to get the information quickly. Investors really have strong needs for this kind of product. (news.financializer.com). As reported in the news.

interest rates: An index that tracks the dollar against other major currencies reached a 14-year high after the election before dipping a bit since then, according to The Japan Times. In part, the dollar's gain reflects the U.S. economy's strength and investor confidence that Trump will accelerate growth by slashing taxes and pumping money into roads, bridges and other infrastructure. Since the Nov. 8 election, the dollar has shot up 5 percent. The dollar could rise even more now that the Federal Reserve has raised interest rates and foresees three more hikes next year. Which creates a problem An expensive dollar makes U.S. goods costlier overseas and imports cheaper in the U.S. That's a recipe for more pain for American manufacturers. With rates far lower elsewhere in the world, many investors will shift money to the United States to capitalize on higher yields a shift that could send the dollar even higher. (news.financializer.com). As reported in the news.

non-market economy: After December 11, 2016, China was to be treated automatically as a market economy and certain trade barriers were supposed to be lifted, according to Deutsche Welle. The world's largest economy wants to be accorded market economy status MES at last and be on an equal footing with the rest of the world. The condition stipulated by Article 15 that China could be treated as a non-market economy for 15 years after joining the World Trade Organization WTO no longer holds. However, politicians in Beijing were hoping that the process would be smoother. Customs duties have not been removed. Nothing so far has changed officially. (news.financializer.com). As reported in the news.

official residence: The bank had to be split into a good bank and bad bank after undergoing losses of 3.6 billion euros 3.74 billion US dollars in August 2014, according to Global Times China. The government had to inject around 4.9 billion euros into the bank, which was followed by protests and legal action by retail customers. It is a solution which does not totally eliminate losses, but minimizes them, Costa told BES clients in an official speech at his official residence in Sao Bento, Lisbon. At least 4,000 customers, who had invested around 485 million euros, were affected by the bankruptcy. The president of the association representing commercial paper investors affected by the bank's collapse, Lacerda de Machado, said he was happy with the government's solution and said there was a genuine spirit of collaboration . (news.financializer.com). As reported in the news.

fuel costs: Fuel efficiency standards would be tightened, bringing Australia in line with European standards, in a move that the Environment Minister says will save up to 65 million tonnes of greenhouse gas emissions by 2030, according to Australian Broadcasting Corporation. The move could save motorists more than 500 in fuel costs a year by 2025, but a peak motoring group has warned the tougher standards could also drive up the cost of purchasing new cars and trucks, questioning the testing regime used to determine vehicle emissions. Gary Rivett Related Story Australian cars dirtier than previously thought research Map Australia New vehicles in Australia would have to be cleaner and more fuel efficient following a number of proposals being considered by the Federal Government. Three draft proposals have been released by the Federal Government, with consultations to close in March 2017. By requiring global automotive manufacturers to supply vehicles in Australia with more fuel efficient engines as they are now doing in many other countries these new standards could cut consumer fuel spending by up to 28 billion by 2040, the statement read. In a joint statement, Environment Minister Josh Frydenberg and Urban Infrastructure Minister Paul Fletcher said it would go towards meeting Australia's obligations under the Paris climate change agreement. (news.financializer.com). As reported in the news.

internet: Internet users who get their connection through service provider Tek Savvy got an early Christmas present this week, according to The Toronto Star. The company began sending emails to its customers on Monday telling them their internet charges will be going down starting in January. TORONTO STAR PHOTO By Jesse Winter Staff Reporter Tues., Dec. 20, 2016 Score one for the little guys. Usually when you get an email from a company it's some sort of spammy holiday offer these days, said Ian McDougald, a Tek Savvy customer for four years. Article Continued Below The lowered rates are thanks to a Canadian Radio and Telecommunications Commission ruling from October that cut the rate big telecoms like Rogers and Bell are allowed to charge independent providers like Tek Savvy, Distributel and others for access to their networks. But it was just super refreshing to get an email saying your rates are going down, McDougald said. (news.financializer.com). As reported in the news.

imf leader: After a week-long trial, France's Court of Justice of the Republic found Lagarde guilty of one count of negligence but spared her jail time and a criminal record, according to Nine News Australia. The 60-year-old IMF leader had potentially faced a year of imprisonment and a fine for not seeking to block a fraudulent 2008 arbitration award to a politically connected tycoon when she was finance minister. The IMF's executive board said it had full confidence in Lagarde's ability to carry out her duties at the head of the Washington-based international lending agency. Lagarde thanked the board for the vote of confidence in my ability to do my job. I am not satisfied with it, but there's a point in time when one must stop, turn the page and move on, she said. She said she would not appeal the French court's decision. (news.financializer.com). As reported in the news.

irish: In fact the UK companies' revenues are provided by Airbnb's Irish company, according to The Guardian. It supplies enough revenue to cover these losses and provide some profit, on which tax is paid. As the rest of the story made clear, Phillips supported the bill; Philip Davies spoke against it for more than an hour on the grounds that both men and women should be protected from violence Tory MP tries to derail bill to tackle violence against women, 17 December, page 11 . An article Airbnb's UK tax bill on global take from 2m rental properties 317,000, 19 December, page 11 reported that Airbnb's taxable profits in its UK companies were reduced by foreign exchange losses. (news.financializer.com). As reported in the news.

p tsx: In Toronto, the S&P/TSX composite index climbed 23.11 points at 15,292.96, according to The Toronto Star. The Canadian dollar was up 0.28 of a U.S. cent at 74.81 cents US. On Wall Street, indexes were helped by rising shares in banks and travel companies. Rene Johnston / Toronto Star file photo By Linda Nguyen The Canadian Press Tues., Dec. 20, 2016 Strength in metals and materials stocks elevated Canada's largest stock market for a fourth straight day on Tuesday, while markets in New York set new records. The Dow Jones industrial average gained 91.56 points to 19,974.62, reaching new heights and inching closer towards the 20,000 mark. Ben Jang, a portfolio manager at Nicola Wealth Management, says North American stock markets are continuing to show there is room for growth during the last full week of trading before the end of the year. The S&P 500 rose 8.23 points to 2,270.76, while the Nasdaq composite also hit a record, climbing 26.50 points to 5,483.94. (news.financializer.com). As reported in the news.

p spx: The metric which allows investors to make bets on implied levels of volatility on the S&P 500 SPX, -0.25% is currently at 11.56, hovering near the lowest level of the year, set Aug 19, according to Market Watch. In other words, investors aren't worried that bad things could upend the brisk march higher. At least that is what the low levels of the CBOE Volatility index VIX, 0.53% known as Wall Street's fear gauge, is signaling. Caption outside of wrapper for normal article images On Tuesday, stock markets extended their record rally, and inversely volatility continued to decline. Market participants use the gauge as a way to bet on, or protect against, swings in the market. That is even after the Russian ambassador to Turkey was assassinated in Ankara and a terrorist attack in Berlin market on Tuesday left 12 dead and scores injured. (news.financializer.com). As reported in the news.

percentage point: The move would squeeze the budgets of public authorities and employees but secure funding for retirees, according to Global Times China. If the US government-pension bellwether can do it, others will follow. The 300 billion California public employees' pension manager is considering cutting its investment-return assumption. Public-pension funds in the US have long relied on unrealistic investment assumptions, but the financial crisis and lackluster market performance have exposed that game. Annualized returns were 5.1 percent over the past 10 years. CalPERS took a baby step in 2012 by lowering its return assumption by 0.25 percentage point, to 7.5 percent, but the fund generated a return of just 0.61 percent in the 12 months ended June 30. (news.financializer.com). As reported in the news.

stranger things: I can't help but notice there are strange things happening to the stock market as well, with the U.S. market at all-time highs, according to Market Watch. Consider 1. Although the technical indicators are bullish, the sentiment indicators are overbought Technical Indicators daily chart S&P 500 is above its 50-, 100-, and 200-day MA Bullish MACD S&P 500; 19,39,9 is above the zero line Bullish MACD S&P 500; 19,39,9 is above its signal line Bullish S&P 500 SPX, -0.25% support 2240, 2225, and 2200 Sentiment Indicators II survey Dec. 13 59.6% Bulls; 19.2% Bears Bearish AAII survey Dec. 14 44.7% Bulls; 32.3% Bears Neutral 11.74 Bearish S&P 500 68.62 Overbought I'm looking forward to the second season of Stranger Things, the excellent Netflix science fiction series about a group of children from Indiana who encounter some odd occurrences in their hometown in 1983. The price/earnings ratio p/e of the Russell 2000 RUT, -0.63% is approximately 237. At that time, one well-known analyst famously said that P/E's don't matter anymore. For perspective, the Nasdaq Composite COMP, -0.23% had just reached 5,000 on March 9, 2000, and its p/e was at 175. (news.financializer.com). As reported in the news.

typeof object: The central bank failed to provide an exact timeline for winding down its 80-trillion-yen 760-billion, 732-billion-euro annual asset purchase program, according to Deutsche Welle. We expect policymakers to scale back the annual pace of purchases to 75 trillion yen sometime next year, though the bank will want to avoid the impression that this constitutes a withdrawal of stimulus, Capital Economics analyst Marcel Thieliant said in a statement. Policymakers held fire on further stimulus and said they would maintain a plan to keep the yield on government 10-year bonds around zero as part of a broader bid to foster growth. Watch video cooperation on Industry 4.0Send Facebook Twitter Google Whatsapp if typeof WURFL 'object' if WURFL.is mobile && ! -1 WURFL.is mobile && ! -1 ; Tumblr linkedin stumble Digg reddit Newsvine Permalink cooperation on Industry 4.0 The currency factor The Bank of Japan said the economy was likely to turn to a moderate expansion in the months ahead. A weaker yen is good news for Japan's exporters as it enhances their competitiveness and profitability. The yen has fallen more than 17 percent against the greenback since Donald Trump's US presidential election win in November fanned speculation that his plans for government spending and tax cuts would force the Federal Reserve to hike borrowing costs further. (news.financializer.com). As reported in the news.

weeks markets: Even before Christmas markets began, winter markets were held in Europe during the Late Middle Ages, according to Deutsche Welle. At that time they usually took place over just several days, rather than weeks; the markets were an opportunity for residents to come together, trade food and handicrafts, and stock up for the coming winter months. Some 85 million people visited German Christmas markets in 2012, up from 50 million in 2000, according to the most recent statistics. While the markets didn't initially have a strong Christmas focus, people started using them to purchase baskets, toys, wood carvings and baked goods for Christmas. The markets differed slightly from region to region, and some of that local flair has been preserved among the over 1,400 markets in Germany today. During the Middle Ages, German-speaking Europe was made up of numerous principalities - the nation of Germany wasn't created until 1871. (news.financializer.com). As reported in the news.

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.