Monday, November 11, 2013

Today's Headilnes

Bloomberg:
  • China New-Credit Drop Shows Shadow-Finance Curbs as Leaders Meet. China’s broadest measure of new credit fell by more than estimated in October, suggesting authorities are trying to keep shadow-finance risks in check as leaders map out a blueprint to sustain growth. Aggregate financing was 856.4 billion yuan ($140.6 billion), the People’s Bank of China said yesterday in Beijing, below all nine projections in a Bloomberg News survey. New local-currency loans of 506.1 billion yuan compared with the 580 billion yuan median estimate of analysts. M2, the broadest measure of money supply, rose 14.3 percent from a year earlier
  • ICBC Faces Capital Surcharge as Deutsche Bank, Citigroup Fall. Industrial & Commercial Bank of China Ltd. was added to a list of too-big-to-fail banks that must set aside additional capital to guard against losses as part a global regulator’s plans to protect the economy. ICBC was the only firm joining the Financial Stability Board’s annual list of too-big-to-fail banks, which it produces in preparation for capital rules scheduled to be phased in starting in 2016. Other changes include lower surcharges for Deutsche Bank AG (DBK), and Citigroup Inc. (C:US), which both drop out of the top category and Bank of New York Mellon Corp.
  • European Stocks Rise as Grifols Gains, BSkyB Sinks. European stocks advanced, extending five weeks of gains, amid takeovers by health-care companies and better-than-forecast industrial output in China. Grifols SA jumped 4.5 percent after agreeing to buy a unit from Novartis AG and Shire Plc climbed after saying it will acquire ViroPharma Inc. Lonmin Plc increased 3.9 percent as the world’s third-largest platinum producer returned to profit. British Sky Broadcasting Group Plc plunged the most in five years after BT Group Plc won the rights to broadcast UEFA Champions League and Europa League soccer games. The Stoxx Europe 600 Index rose 0.3 percent to 323.57 at the close of trading in London, as three shares advanced for each one that fell.
  • Emerging-Market Stocks Decline for 8th Day as Rupee Sinks. Emerging-market stocks retreated for an eighth day, poised for the longest slide since 2006, as a decline in India’s rupee to an eight-week low sank the nation’s shares and spurred concern capital inflows will slow. The MSCI Emerging Markets Index decreased 0.3 percent to 992.41 at 11:43 a.m. in New York. The S&P BSE Sensex (SENSEX) fell for a fifth day on speculation the rupee’s slump will deter the central bank from easing liquidity curbs. The Borsa Istanbul National 100 Index dropped to the lowest level in two months, led by Akbank TAS. Philippine shares slid the most since Sept. 30 after the nation was battered by Super Typhoon Haiyan. 
  • Brent Crude Gains After Meeting Ends Without Iran Accord. Brent for December settlement climbed 74 cents, or 0.7 percent, to $105.86 a barrel on the London-based ICE Futures Europe exchange at 2:02 p.m. in New York. The volume of all futures traded was 4.8 percent more than the 100-day average. The contract touched $102.98 on Nov. 8, the least since July 2.
Wall Street Journal: 
  • Shire Buys ViroPharma(VPHM) for $4.2 Billion. Purchase Boosts Drug Maker's Rare-Diseases Portfolio. Shire PLC has agreed to buy ViroPharma Inc. for $4.2 billion, extending its bet on the market for medicines treating rare diseases.
MarketWatch:
CNBC: 
  • Obamacare a single-payer ploy, says ex-GOP Senator. (video) If opponents of Obamacare were to succeed and the president's health-care law collapsed, what would take its place? Former Gov. Ed Rendell predicted Monday that a system like Medicare for everyone would emerge. "If Republicans and some Democrats who are attacking Obamacare have their way and Obamacare falls off, I think we're looking at single-payer down the road," the Pennsylvania Democrat told CNBC's "Squawk Box."
  • Citing economy, pension worries, Fitch downgrades Chicago. (video) Fitch Ratings cut Chicago's bond ratings on Friday, citing the city's sluggish economy and its inability to find a solution to its union pension obligations. The credit ratings agency said it downgraded $8 billion in Chicago's unlimited tax general obligation (ULTGO) bonds to A- from AA-. It also cut $497.3 million sales tax bonds to A- from AA-, and downgraded $200 million commercial paper notes, 2002 program series A (tax exempt) and B (taxable) to BBB from A. Fitch said its rating outlook on the city's securities is "negative." 
Zero Hedge:
ValueWalk:
  • Brevan Howard Overtakes Man Group As Europe’s Largest Hedge Fund. Brevan Howard is now the largest hedge fund manager in Europe, surpassing Man Group PLC which was last year’s biggest manager and is this year’s number two, with $40 billion total assets under management according to a report from The Hedge Fund Journal listing the 50 largest European hedge funds. The top five is rounded out by BlueCrest Capital Management, BlackRock, Inc. (NYSE:BLK), and Winton Capital Management.
USA Today:
Reuters: 
  • EBRD cuts forecasts for Central European, North African economies. The European Bank for Reconstruction and Development cut its growth forecasts for central and eastern Europe and North Africa on Monday, citing weak demand for their exports and unfinished reforms. Deflationary pressures were also coming from the euro zone, but internal risks of deflation were limited, the bank's chief economist said. The EBRD's forecasts for its regions of operation included a drop of half a percentage point for the biggest economy, Russia.
Financial Times:
  • Canada’s housing market ‘teeters precariously,’ Financial Times warns. The Financial Times is warning that Canada’s housing market is “perched precariously at its peak.” The publication has taken a close look at what some observers say is among the frothiest markets in the world, citing the cranes that dot Toronto’s skyline and the record debt burden of Canadian families.
Telegraph:

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