Chile stocks resist pull of US market, peso slips

(Reuters) - The Dow Jones Industrial average fell 0.65 percent,
despite better than expected second-quarter GDP growth data.




"We haven't taken our eyes off the U.S. market," said
Lorena Pizarro, head of research with the Alfa brokerage.


Read more at Reuters.com Bonds News

Blackstone shares drop as much as 7 percent

(Reuters) - Its shares were down another 7 percent on Thursday, before staging a late-day rally, ending slightly higher. The firm's stock fell 4.8 percent on Friday afternoon to $24.44.



Blackstone raised more than $4 billion through its IPO, most of which went to paying out top partners.


Read more at Reuters.com Hot Stocks News

Pound Posts Weekly Decline Versus Dollar as Investors Shun Risk, on Carry

(Bloomberg) -- The pound snapped a six-week rally
against the dollar as global stocks slumped and investors pared
so-called carry trades on concern U.S. subprime mortgage defaults
will slow growth.

The U.K. currency slid for a third day against the dollar,
falling from a 26-year high, as investors unwound purchases of
assets funded by borrowing in Japan and Switzerland, which have
the lowest rates among major economies. The pound this week fell
almost 4 percent against the yen, the most in five months.


Read more at Bloomberg Currencies News

UPDATE 1-Windfarm operator Trinergy for sale -source

(Reuters) - NEW YORK/FRANKFURT, July 27 - European windfarm
operator Trinergy is up for sale in a deal that could be worth
around 2 billion euros , a source familiar with
the matter said.




Several private equity companies have handed in their bids
in the second round of the transaction, which RBC Capital
Markets is running, said the source, who declined to be
identified.


Read more at Reuters.com Mergers News

Economy moving toward sustained growth: Paulson

(Reuters) - "We're seeing risk being repriced and a different perspective on risk," Paulson said, but he said the U.S. and global economies remained healthy.




Paulson said parts of the U.S. economy, particularly the housing sector, had been booming at a pace that couldn't last and that was changing.


Read more at Reuters.com Economic News

Bolivian splits exposed by move to shift capital

(Reuters) - The idea to shift the seat of government from bustling La
Paz high in the Andes mountains to slower, colonial Sucre
emerged during discussions at an assembly rewriting Bolivia's
constitution.




The issue -- reflecting regional disparities, rivalries and
historical roles -- has sparked demonstrations, including one
in La Paz of at least 1 million people.


Read more at Reuters.com Bonds News

UPDATE 1-Hubbell earnings jump as cost-cutting steps pay off

(Reuters) - Hubbell's Class A shares were trading up 8 percent at
$59.30, after hitting a year-high of $60.40 earlier on the New
York Stock Exchange.




In a slower residential market, Hubbell has been focusing
on improving its profits through cutting costs, boosting prices
and enhancing productivity.


Read more at Reuters.com Market News

Treasuries Head for Biggest Weekly Gain Since September on Risk Aversion

(Bloomberg) -- Treasuries are headed for the
biggest weekly advance since September as the slump in U.S.
housing drives investors from riskier assets.

Investors seeking the safety of government debt this week
pushed yields on two-year notes, most sensitive to changing
monetary policy, 73 basis points lower than the Federal
Reserve's target rate. The risk of owning corporate bonds soared
to a record on concern that banks and hedge funds face widening
losses on subprime mortgages and leveraged buyouts.


Read more at Bloomberg Bonds News

UPDATE 1-Sarkozy preens, ruffles feathers on African tour

(Reuters) - DAKAR, July 27 - Nicolas Sarkozy has tried to
break the cosy backroom diplomacy of Franco-African ties,
calling for more accountability and backing the trial of an
ex-Chadian dictator, but his lecturing tone has angered some.




On his first visit to sub-Saharan Africa since his election
in May, the French president set out his Africa policy at a
Dakar university on Thursday, acknowledging colonial ills and
calling for democracy, liberty, justice and law.


Read more at Reuters.com Bonds News

Citigroup sees subprime losses at Fannie, Freddie

(Reuters) - Citigroup, in the report published on Thursday, estimates
that the two companies' retained portfolios contain $182
billion of subprime bonds, almost all of which are rated
triple-A, based on public disclosure by Fannie Mae and
Freddie Mac and their regulator, the Office of Federal
Housing Enterprise Oversight,.




Fannie Mae and Freddie Mac have exposure to over $3
trillion in mortgages due to their guarantee portfolios and
$1.4 trillion in their retained portfolios, but the vast
majority of this exposure is prime mortgages, Citigroup said.


Read more at Reuters.com Bonds News

European Stocks Decline, Led by Royal Bank of Scotland, Man Group, Valeo

(Bloomberg) -- European stocks had their biggest
weekly decline in almost five months on mounting concern
financing difficulties in the credit markets will stifle mergers
and acquisitions.

Royal Bank of Scotland Group Plc and Man Group Plc led a
drop in financial shares today. Valeo SA, Europe's third-largest
maker of car parts, and computer-services company Cap Gemini SA
slipped after earnings missed analysts' estimates.


Read more at Bloomberg Stocks News

Wheat Falls From Record as High Prices May Slow Demand for U.S. Exports

(Bloomberg) -- Wheat fell from a record in Chicago
on speculation high prices will slow demand for supplies from
the U.S., the world's biggest exporter of the grain.

U.S. exporters reported sales rose to the highest in 11
years last week, and since June 1 they are up 66 percent from a
year earlier, government data show. Prices have jumped 30
percent in the past two months.


Read more at Bloomberg Commodities News

Brazilian Real Gains For First Time in Four Days Amid U.S. Growth Optimism

(Bloomberg) -- Brazil's real rose for the first
time in four days as stronger-than-forecast U.S. growth eased
concern that worsening credit markets will prompt investors to
avoid emerging market securities.

``The data came as a relief, especially because it showed
construction activity is strong,'' said Joao Prado, a fixed-
income options trader at Agora Corretora, a brokerage in Rio de
Janeiro.


Read more at Bloomberg Currencies News

JSE bourse sees share issue hitting H1 EPS

(Reuters) - South Africa's JSE bourse operator expects to post a 59-67 percent drop in first-half headline earnings per share due to the issue of shares and options to black investors and a one-off gain the previous year.

The JSE said in a statement it expected EPS in the six months to end June to fall 53-61 percent, while revenue was expected to rise 27-35 percent.


Read more at Reuters Africa

ISE shareholders approve merger - Deutsche Boerse

(Reuters) - When it was announced on April 30, the deal was valued at
$2.8 billion. Under terms of the deal, ISE will operate as a
separate entity under U.S. regulations and under the ISE brand.




The merger still requires approval of the U.S. Securities
and Exchange Commission .


Read more at Reuters.com Mergers News

Ingersoll-Rand profit up, says IRS eyeing taxes

(Reuters) - "We believe that the numbers the IRS are kicking around are not realistic," said Herbert Henkel, chairman and chief executive of Ingersoll, which makes products ranging from refrigerated trailers to air compressors and security technology. "To put a number out there at this point in time would be misleading."




Henkel said it would "be surprising" if the IRS did not look into tax filings from subsequent years.


Read more at Reuters.com Hot Stocks News

TREASURIES-Bonds edge up as stocks dominate volatile day

(Reuters) - A government report showed the U.S. economy grew at a
stronger-than-expected annual rate of 3.4 percent in the second
quarter, rebounding from a dismal start to the year. See
[ID:nN27292437] for details.




One potential positive for Treasuries in the growth report
was the inflation gauge, which plunged, indicating that the
Federal Reserve now has more leeway if it needs to cut
benchmark interest rates in the second half of this year.


Read more at Reuters.com Bonds News

Cuba's current account back in the red in 2006

(Reuters) - The data, posted on the Web site of the National Statistics
Office, showed the current account deficit in 2006 reversed a
$140.2 million surplus in 2005, a year when the trade deficit
was a smaller $5.234.6 billion.




The data did not provide a reason for the current account
going into deficit.


Read more at Reuters.com Bonds News

US STOCKS-Indexes fall as credit concerns remain

(Reuters) - The Dow Jones industrial average was down 51.37
points, or 0.38 percent, at 13,422.20. The Standard & Poor's
500 Index was down 6.63 points, or 0.45 percent, at
1,476.03. The Nasdaq Composite Index was down 11.50
points, or 0.44 percent, at 2,587.84.




Read more at Reuters.com Bonds News

UPDATE 2-Fannie Mae portfolio grows, subprime stable

(Reuters) - The largest U.S. home funding company's growth in June and
May comes as mortgage assets have cheapened considerably.




Mortgage securities have sharply underperformed Treasuries
as risk-averse investors fear greater housing, credit and
lending fallout from a crisis in the subprime mortgage sector.


Read more at Reuters.com Government Filings News

Medtronic to acquire Kyphon

(Reuters) - PHILADELPHIA, July 27 - Medical technology company Medtronic Inc. said on Friday that it would acquire Kyphon Inc. for $3.9 billion to expand its spinal treatment business.



Medtronic will acquire all of medical device maker Kyphon's outstanding stock and pay about $71 per share in cash. The offer represents a 32 percent premium over Kyphon's closing price on Thursday, the company said.


Read more at Reuters.com Mergers News

Hilton CEO awaits big payout from Blackstone deal

(Reuters) - Details of the handsome payout came as Hilton revealed that it faced a dozen lawsuits by shareholders charging its board with breaching its fiduciary duties in agreeing to the $20 billion takeover by Blackstone.




Hilton said in a filing with the U.S. Securities and Exchange Commission on Friday that it considered the payout packages of Bollenbach and other directors and executives in reaching its decision to approve the merger.


Read more at Reuters.com Mergers News

Treasuries Head for Third Weekly Gain as Investors Avoid Riskier Assets

(Bloomberg) -- Treasuries headed for a third weekly
advance, pushing yields near the lowest since May, as the slump
in U.S. housing prompts investors to avoid riskier assets.

Investors seeking the safety of government debt this week
pushed yields on two-year notes, most sensitive to changing
monetary policy, 70 basis points lower than the Federal Reserve's
target rate. The risk of owning corporate bonds soared to a
record on concern that banks and hedge funds face widening losses
on subprime mortgages and leveraged buyouts.


Read more at Bloomberg Bonds News

Gemstar-TV Guide profit rises 42 percent

(Reuters) - Second-quarter net income was $20.8 million or 5 cents per share, compared with $14.6 million or 3 cents per share a year before. Revenue rose 17 percent to $155.6 million.




Analysts, on average, had expected earnings of 4 cents per share and revenue of $149.4 million, according to Reuters Estimates.


Read more at Reuters.com Market News

UPDATE 2-Horizon Lines profit misses views; stock falls

(Reuters) - Net income rose to $9.6 million, or 28 cents a share, in
the second quarter from $6.4 million, or 19 cents a share, a
year earlier. Excluding one-time items, earnings were 29 cents
a share.




Analysts on average had expected the Charlotte, North
Carolina-based company to earn 32 cents a share, according to
Reuters Estimates.


Read more at Reuters.com Market News

Medco profit rises 26 percent, led by generics

(Reuters) - Net income rose to $214.9 million, or 76 cents per share, from $170.9 million, or 56 cents per share, a year earlier.




Excluding special items, earnings were 86 cents per share. Analysts on average expected 77 cents, according to Reuters Estimates.


Read more at Reuters.com Hot Stocks News

News Corp.'s Film Unit Banks on `Simpsons' Movie to Stem Box Office Slide

(Bloomberg) -- Until this month, pink-frosted
donuts, Buzz cola and the Kwik-E-Mart store were props on the
longest running U.S. comedy show. Now they're the frontline of
efforts by Fox to promote ``The Simpsons'' movie opening today.

``It'll be huge,'' said Oscar Trevino, a 29-year-old
graphics designer who drove from San Diego to Los Angeles to shop
in one of a dozen U.S. 7-Eleven stores that have been converted
to Simpsons-like Kwik-E-Marts.


Read more at Bloomberg Exclusive News

US stock indexes flat after GDP, Treasury's Paulson

(Reuters) - U.S. stocks were little changed on Friday, erasing small gains in a skittish session after a government report that showed a stronger-than-expected pace of economic growth in the second quarter.

Comments by Treasury Secretary Henry Paulson briefly lent some support, but the underlying tone on Wall Street remained nervous, a day after equities suffered their second worst decline of the year.


Read more at Reuters Africa

WRAPUP 1-U.S. economic growth rebounds in second quarter

(Reuters) - Gross domestic product that measures total output within
U.S. borders gained at a 3.4 percent annual rate -- the fastest
since 4.8 percent in the first quarter of 2006 -- after barely
growing at a downwardly revised 0.6 percent pace in the first
quarter. Previously the government had reported that
first-quarter growth was at a 0.7 percent rate.




Second-quarter growth exceeded Wall Street economists'
forecasts for a 3.2 percent rate of increase and showed the
business sector picking up some of the slack left by consumers
who cut back on their spending.


Read more at Reuters.com Economic News

US STOCKS-Wall St slips at open as credit jitters remain

(Reuters) - The Dow Jones industrial average was down 1.54
points, or 0.01 percent, at 13,472.03. The Standard & Poor's
500 Index was down 1.49 points, or 0.10 percent, at
1,481.17. The Nasdaq Composite Index was down 5.27
points, or 0.20 percent, at 2,594.07.




Read more at Reuters.com Bonds News

Fortune Brands CEO bullish on Absolut acquisition

(Reuters) - Wesley also said some Wall Street analysts were
underestimating Fortune's ability to create shareholder value
through an acquisition, saying he did not see the 50 cent per
share to $1 per share dilutive impact to earnings that some
analysts have estimated.





Read more at Reuters.com Bonds News

UPDATE 1-Cuba reports big jump in foreign debt

(Reuters) - HAVANA, July 27 - Cuba's actively serviced foreign
debt jumped nearly $2 billion in 2006 to $7.794 billion as
foreign suppliers more than doubled their credits to the
country, according to figures posted on the Web site of the
National Statistics Office on Friday.




Most of Cuba's new debt was believed by local analysts to be
due to fresh credits from China and Venezuela.


Read more at Reuters.com Bonds News

UPDATE 1-Fannie Mae portfolio grows, subprime stable

(Reuters) - The largest U.S. home funding company's growth in June and
in May comes as mortgage assets have cheapened considerably.




Mortgage securities have sharply underperformed Treasuries
as risk-averse investors fear greater housing, credit and
lending fallout stemming from a crisis in the subprime mortgage
sector.


Read more at Reuters.com Bonds News

U.S. Stocks Rebound After Economy Grows More Than Forecast; Banks Advance

(Bloomberg) -- U.S. stocks rebounded from the
biggest declines since February and bank shares climbed from a
10-month low after a government report showed the economy grew
at the fastest pace in more than a year last quarter.

Citigroup Inc., Bank of America Corp. and JPMorgan Chase &
Co., the largest U.S. banks, advanced. Chevron Corp., the
second-biggest U.S. oil company, gained after it said earnings
rose as profit margins improved on gasoline and other fuels.
Ford Motor Co. advanced on an upgrade by Merrill Lynch & Co.
after the second-biggest U.S. automaker reported its first
profit in eight quarters.


Read more at Bloomberg Stocks News

Mexican Peso Little Changed Before Central Bank's Benchmark Rate Decision

(Bloomberg) -- The Mexican peso was little changed
before the Bank of Mexico's benchmark lending rate decision
today.

Mexico's central bank will likely hold the overnight
lending rate at 7.25 percent as reports on retail sales and
industrial production signal slower economic growth, according
to 16 of 21 economists surveyed by Bloomberg. The decision is
expected at 10 a.m. New York time.


Read more at Bloomberg Currencies News

Treasuries Gain as Housing Slump Prompts Investors to Flee Riskier Assets

(Bloomberg) -- Treasuries rose, adding to the
biggest weekly gain in more than two years, as concern the slump
in U.S. housing is prompting investors to flee riskier assets.

Benchmark 10-year notes increased for a fourth day as the
risk of owning corporate bonds soared to a record.


Read more at Bloomberg Bonds News

Crude Oil Rebounds After U.S. Reports Economy Growing Faster Than Forecast

(Bloomberg) -- Crude oil rose after the U.S.
government reported its economy expanded more than expected in the
second quarter, indicating demand for energy will keep rising.

The U.S. economy grew 3.4 percent last quarter, the fastest
pace in more than a year. Economists surveyed by Bloomberg News
before the report predicted a 3.2 percent gain.


Read more at Bloomberg Commodities News

Mozambique rail firm keen to cut Spoornet wagon link

(Reuters) - Mozambique's state-run railway company said on Friday it was investing $30 million to upgrade its commercial fleet in a move to cut $100 million in wagon hiring fees charged by South African rail freight firm Spoornet.

CFM, which operates the African nation's railways and ports, plans to refurbish 820 refurbished wagons with the investment, more than doubling the current number that travel lines to South Africa and Zimbabwe, spokesman Antonio Libombo said.


Read more at Reuters Africa

Angola cuts GDP growth forecast for 2007

(Reuters) - Angola has cut its economic growth forecast for 2007 to 19.8 percent from 31.2 percent, reflecting a drop in oil revenue and appreciation of its currency, the Kwanza, the state-run Jornal de Angola said on Friday.

The reduction in expected GDP growth was announced after Angola's cabinet approved a revised 2007 budget for the southwestern African nation, sub-Saharan Africa's second largest petroleum producer after Nigeria and the newest member of OPEC.


Read more at Reuters Africa

TREASURIES-Bonds add to gains on much softer PCE

(Reuters) - U.S. gross domestic product did rise more-than-expected in
the second quarter at 3.4 percent, but that was accompanied by
a pullback in the core personal consumption expenditures index
to 1.4 percent from 2.4 percent.




That put it well into the Fed's comfort range, and
heightened already rife speculation that a housing-led credit
crunch could force the central bank to cut interest rates
before the year is over.


Read more at Reuters.com Bonds News

US RATE FUTURES-Slip, but still see year-end Fed rate cut

(Reuters) - A surge in futures on Thursday accelerated the implied
timing of a Federal Reserve rate cut to late 2007 from
mid-2008, and dealers said futures are subject to some
profit-taking pressure.




The Federal Open Market Committee next meets on Aug. 7. The
implied prospects for a cut in benchmark interest rates at that
meeting are about 15 percent.


Read more at Reuters.com Bonds News

UPDATE 1-Bush meets economic advisers to discuss GDP

(Reuters) - A spokesman said Bush's meeting with his "economic team,"
due to begin at 9:10 a.m. EDT , had been previously
scheduled to coincide with release of Friday's Gross Domestic
Product report.




The Commerce Department reported that U.S. economic growth
rebounded during the second quarter to its strongest pace since
the beginning of last year.


Read more at Reuters.com Bonds News

Baker Hughes says profit slips, cites Canada

(Reuters) - Weak natural gas prices and an early thaw in the first half of the year prompted energy companies to sharply curtail their exploration in Canada, which in turn cut into oilfield service revenues.




For example, the number of rigs actively looking for oil in Canada fell 51 percent in the second quarter from year-earlier levels, Baker Hughes said.


Read more at Reuters.com Business News

UPDATE 1-Chevron 2nd-qtr earnings rise with refining

(Reuters) - Net income in the quarter increased to $5.38 billion, or
$2.52 a share, from $4.35 billion, or $1.97 a share, last
year.




Total revenue in the quarter rose to $56.09 billion from
$53.54 billion last year.


Read more at Reuters.com Market News

Alcoa, Macy's Shares Retreat as Investors Abandon Takeover Speculation

(Bloomberg) -- For the first time in the 4 1/2-
year bull market, stocks are losing the support of investors
betting on mergers and acquisitions.

Alcoa Inc., Macy's Inc. and more than a dozen other
companies have lost as much as 10 percent in the past week.
They're unlikely to bounce back because funds for leveraged
buyouts are drying up, Richard Bernstein, Merrill Lynch & Co.'s
chief investment strategist, wrote in a report yesterday.


Read more at Bloomberg Stocks News

Cisco to buy $150 mln of VMware shares

(Reuters) - VMware, which plans to go public soon, also said it agreed
to consider the appointment of a Cisco executive to VMware's
board of directors at a future date.





Read more at Reuters.com Mergers News

UPDATE 1-Scana 2nd-quarter earnings dip slightly

(Reuters) - Net earnings were $55 million, or 47 cents per share,
compared with $58 million, or 50 cents per share, a year
earlier.




Excluding the year-earlier gain of 4 cents per share from
the lawsuit settlement, earnings were up 1 cent per share.


Read more at Reuters.com Market News

Moog posts higher quarterly earnings, revises 2007 view

(Reuters) - Sales in the latest quarter rose 21 percent to $403.8
million. Analysts on average expected $370.6 million.




The company revised its outlook for the year and said it
expects earnings of $100.6 million, or $2.33 a share, on
revenue of $1.54 billion. Analysts on average expects earnings
of $2.36 a share on revenue of $1.48 billion.


Read more at Reuters.com Market News

Food safety crucial to China's reputation: premier

(Reuters) - It was crucial to win over the international market with good-quality exports, Wen added.




Chinese exports of everything from fish to toys, pet food to toothpaste, have been found in recent months to be mislabeled, unsafe or dangerously contaminated, creating an international backlash.


Read more at Reuters.com Business News

KeyCorp to buy NY bank USB Holding for $575 mln

(Reuters) - U.S.B., based in Orangeburg, New York, operates 31 branches in Orange, Rockland and Westchester counties, as well as in Manhattan and in Stamford, Connecticut. Founded in 1969, it has about $2.9 billion of assets, $2 billion of deposits and $1.6 billion of loans.




Beth Mooney, head of community banking at Cleveland-based KeyCorp, said the purchase "will significantly enhance our presence in attractive markets." KeyCorp operates about 954 branches, including many in New York state.


Read more at Reuters.com Bonds News