There is a distinctly foreign flavour to the news today with Spain trying to tame its finances, Argentina trying to nationalise a foreign company and the most famous fund manager in the country trying to calm fears over his Chinese investments. The award for best headline goes to today’s Sun.
…..CALMING THE SPANISH BULL ….
FINANCIAL TIMES
MADRID THREATENS TO INTERVENE IN REGIONS
By Victor Mallet and Mary Watkins
Madrid has threatened to seize budgetary control of wayward Spanish regions as early as May if they flout deficit limits, officials said. Concerns about overspending by Spain’s 17 autonomous regions undermined confidence in the country’s sovereign bonds, forcing down prices and pushing yields up above 6 per cent on Monday – towards levels considered unsustainable.
THE SUN
PAIN IN SPAIN IS BACK AGAIN
Banks hit as bailout fears grow
By Steve Hawkes, Business Editor
Spain slid towards economic chaos yesterday — boosting the Pound but wiping £2billion off the value of Britain’s banks. The country’s borrowing costs rose above 6 per cent — ever closer to “unsustainable” levels — on growing fears it will need an EU bailout.
……TROUBLES ABROAD ……..
FINANCIAL TIMES
ARGENTINA TO RENATIONALISE OIL GROUP
By Jude Webber and Miles Johnson
Argentina is to renationalise YPF, its biggest oil company, prompting a furious row with Madrid. In a move likely to have significant investor and diplomatic fallout, Argentina’s president, sent a bill to Congress on Monday to put 51 per cent of YPF in state hands.
DAILY TELEGRAPH
ANTHONY BOLTON TO STAY ON TO TRY TO RECOUP LOSSES
By Paul Farrow
Anthony Bolton has confirmed that he will carry on managing the Fidelity China Special Situations trust "at least" until 2014. It follows a troubled 2011 in which the trust fell by around 30pc. He admitted that the trust’s poor performance was a factor in his decision to extend his tenure by a further year.
GUARDIAN
JIM YONG KIM SECURES WORLD BANK JOB AMID CRITICISM OF US DOMINATION OF ROLE
By Dominic Rushe
Seoul-born Kim beats Nigerian finance minister Ngozi Okonjo-Iweala, who said the decision was not made on merit. It occurred amid criticism that the role had once more gone to a US-nominated candidate. It is the first time in the World Bank's history that the US candidate has faced a serious challenge.
…..THE REST OF THE NEWS …….
DAILY MAIL
AVERAGE UK HOUSE PRICE HITS ALL-TIME HIGH
House sellers are asking more for their homes than at the peak of the housing market prior to the recession, Rightmove has claimed. Average asking prices rose 2.9 per cent between March and April to £243,737. The average is being skewed by London's irrepressible housing market. Since the last peak in 2008, London prices are 14.9 per cent higher, compared with a 4.3 per cent fall in that time for the rest of the country excluding the capital.
DAILY TELEGRAPH
APPLE AND GOOGLE SEE $53BN WIPED OFF SHARES IN A WEEK
By Katherine Rushton, and Richard Blackden
A slide in Apple and Google's share prices has wiped more than $53bn off their combined value in a week. Apple shares hit a historic high last Tuesday, but have since dropped more than 8pc. It reflects cooling enthusiasm for the tech giants.
DAILY EXPRESS
JCB SALES BUILD IN EMERGING MARKETS
By Philip Waller
Strong demand for diggers and tractors in tiger economies boosted JCB’s profits but the heavy plant maker said it was struggling to recruit engineers. Privately owned JCB said builders and farmers in emerging markets were snapping up its products, helping it lift earnings 51 per cent to £355million in 2011.
WWW.BBC.CO.UK
CHINA INCREASES ITS US DEBT HOLDING FOR SECOND MONTH
China has increased its holding of US debt for the second month in a row as its foreign exchange reserves continue to rise. Beijing bought $12.7bn (£8bn) of US Treasuries to increase its holding to $1178.9bn in February, latest data by the US Treasury department showed.
