Business And Personal Finance

Airbus anticipates a decline in orders in 2012 compared to 2011, the success of the A320neo, announces CEO Thomas Enders.

"There will not be the same kind of firework of new orders in 2012 as there has been this year," said Tom Enders daily Börsen-Zeitung, in an interview published Thursday.

Despite expectations of a recession, the two major aircraft manufacturers worldwide have accumulated very large orders this year after deciding to upgrade their best-selling models, namely the Airbus A320 and Boeing 737, by equipping them with new engines capable save 12% to 15% fuel.

Airbus, a subsidiary of EADS, is leading the race by promising that the A320neo would be available by 2015.It has sold more than 1,000.

The manufacturer plans to increase its production rate to 44 A320s per month. He must make a decision soon.

But first we must weigh what is happening economically, said Thomas Enders at Börsen Zeitung.

"But the airline demand is there, and for the second half of the decade, when the" neo "released in 2015, a further increase of production is quite possible," he adds.

The boss of Airbus also points out that in the tough current economic climate, some suppliers of small and medium sized have difficulty obtaining financing and banks are reluctant to finance aircraft construction.

"We must find new sources of funding.

The European Central Bank has not changed interest rates on Thursday, the rise in inflation last month having won on expectations of lower rates in response to the deepening crisis in the euro area.

The refinancing rate remains at 1.5%, the deposit facility rate to 0.75% and the marginal lending rate to 2.25%.These rates have not budged since 7 July, when all three were found a quarter of a point.

President Jean-Claude Trichet will give his final at 12:30 GMT news conference before handing over to the end of Mario Draghi.

The markets are wondering if a possible break leave for the ECB to lower rates anyway by the end of the year or if it will announce the resumption of bidding Long.

International air traffic has slowed in August compared to July, posting a 1.6% decline in passenger traffic and a decline of 1.3% of freight from one month to another, said Monday the 'International Air Transport Association (Iata).

Although passenger traffic has increased by 4.5% year on year in August, this trend remains below the 6.1% growth registered so far for 2011.

Air freight has declined in August by 3.8% year on year and increased by only 0.2% since the beginning of the year.

"With business confidence and consumer continues to deteriorate globally, there is not much optimism for an improvement next conditions (sector)," said the Director General of IATA, Tony Tyler.

IATA represents 230 airlines and 93% of global air traffic.

Wall Street opened down sharply Thursday, continuing its decline started the day after the grim diagnosis of the Federal Reserve on the U.S. economy, plus a further contraction in activity in the eurozone and in China revives fears a second global recession in four years.

In early trade, the Dow Jones lost 2.6% (292 points) at 10,832 points.The Standard & Poor's, wider, yielding 2.42% (28 points) to 1138 points, while the Nasdaq composite fell by 2.5% (63 points) to 2474 points.

After ten minutes of trading, the Dow's losses widened and lost 3%.

The weekly jobless claims declined in the United States during the week to Sept. 17, at 423,000 against 432,000 the previous week, but they emerged above the consensus (420 000), which does not appease the spirits.

The Fed on Wednesday raised "significant downside risks" on the economy of the United States, before announcing an "Operation Twist" 400 billion dollars to bring down long rates, and support activity.

But Wall Street estimates that only 15% chance that the "Operation Twist" gives a real boost to the U.S. economy, according to a Reuters poll of primary dealers of Treasury.

Fears of a relapse of the global economy have intensified Thursday with the contraction in private sector activity observed in the eurozone and China.

The banking sector also sensitive to economic conditions, still suffers from the decision of Moody's downgrade of Bank of America (-4.4%), Wells Fargo (-2.7%) and Citigroup (-3.9%) on the ground the U.S. federal government may be reluctant to rush to the aid of large banking institutions in difficulty.

United Technologies lost 6.6% after announcing the acquisition of the aerospace supplier Goodrich, whose work jumped 9.8%, an operation that would be the largest acquisition of U.S. industrial giant in 10 years.

A sale of the Company in general management company Amundi is strategically the most sense among the options available to the French banking group to improve its financial situation, say analysts and fund managers polled by Reuters.

The French bank, already forced to leave in early August its financial targets for 2012, said Monday that it would proceed with asset sales and cost reductions to free up four billion euros in additional capital by 2013. CEO Frederic Oudéa said the sale will take place in the asset management, investor services and financial services.

"The bank is in a very bad happening today.She has no choice, she will have to sell the family jewels to pay off debt and improve its capital position, "said Fabrice Cousté, CEO of CMC Markets.

The managers believe that, already in asset management with Lyxor, the Company generally does not need to be also through CAAM, its joint venture with Credit Agricole in which it holds 25%.

Especially since Lyxor Amundi competition and the 'green banking', which holds the remaining 75% of Amundi could enjoy being sole master on board.

"PILL ANTI-TAKEOVER"

"Strategically, Lyxor is closer to core business (investment banking, network, etc.) of the Company qu'Amundi general," notes Frédéric Jamet, Director of Management at State Street Global Advisors France.

"Amundi had a strategic interest in Societe Generale as pill anti-takeover, but now it is not the issue.A rational, logical, would be to focus on activities identified clear and validating the strategic refocusing of the bank, "he adds.

Analysts estimate that as other European banks, Societe Generale is underfunded and needs to raise new funds, while its capital adequacy ratio "hard" (core Tier 1) stood at 6.6% in Scenario macroeconomic worst in recent bank stress tests conducted in Europe, the lowest of French banks.

"Banks need to raise more capital to avoid bankruptcy, especially if exposure to Greece continues to affect markets. A core Tier 1 ratio between 3% and 5% is too low, it must be significantly higher .From 8% this ratio begins to be sufficient, "said Stefan Isaacs, bond manager at M & G Investments.

Another track planned by Fabrice Cousté, SocGen could give Boursorama, which it owns 55% according to Reuters data. Boursorama is valued around 560 million euros in stock, or about 5% of the capitalization of the Company generally.

No one was immediately available at Societe Generale and Credit Agricole declined to comment.

London Stock Exchange confirmed on Friday to discuss the purchase of the clearing house LCH.Clearnet, which is coveted by both the service provider Markit UK by rival Nasdaq OMX.

The LSE, which had been, two months ago, put his hand on the Canadian exchange operator TMX Group, said Friday that it "is currently in discussions with LCH.Clearnet to a potential transaction." He added that discussions were preliminary.

LCH.Clearnet, the majority of whose capital is owned by its customers, had said three months ago, she had been in contact about its possible sale.

The LSE said in late May that he did not discuss with LCH.Clearnet.Media evoked them Markit, a specialist in derivatives traded over-the-counter and Nasdaq OMX, in partnership with NYSE Euronext.

For its part, the Financial Times reported Friday that the LSE has submitted a bid for a majority stake in LCH.Clearnet that values ​​the company around one billion euros.

A takeover of the LSE of LCH.Clearnet would be logical in that, unlike most of its competitors, it does not own its main clearing house.

The LSE is already owner of the Italian clearing house CC & G, which it inherited when it bought Borsa Italiana in 2007.The Director General of Xavier Rolet LSE is keen to diversify its business and to increase the share of revenue under the compensation.

"LSE is not to miss the boat but it is likely he will not be part of a larger group with NYSE and Markit," said one trader in London.

The action LSE lost 1.4% to 919.5 pence in early trade while.

The French president in whirlwind visit to Beijing to prepare for the next G20, estimates that China has "a major role" in reviving global growth. "We need the G20 summit (…) make decisions and take part in the revival of global growth. This is a major issue and China has a key role," said Nicolas Sarkozy.

The next G20 summit in Cannes will "decide" to revive the global economy, China is playing a "major role" in the process, said Thursday in Beijing Nicolas Sarkozy. The French president was greeted by his counterpart Hu Jintao at the Palace of the people of Beijing, Tiananmen Square, for a whirlwind tour of about five hours, with talks on Libya and sovereign debt crisis, and a dinner working with the Chinese president.

"As chair of the G20, I could not imagine not coming to China to talk with my Chinese friends of the great economic issues of concern to the world," said the head of the French state. "We need the G20 summit (…) make decisions and take part in the revival of global growth. This is a major issue and China has a key role," he added, to sides of the Minister of Finance Baroin came just prepare for this appointment.

The next summit of the G20 (group of rich countries and major emerging markets, currently chaired by Paris) will be held in Cannes (south-eastern France) on November 3 and 4. "That France and China strengthen their dialogue is of great importance for the success of the summit in Cannes, for strengthening international economic cooperation and to promote recovery and healthy development of the global economy," said Hu Jintao.

Paris and Beijing in phase of the post-Qadhafi

Nicolas Sarkozy is located in Beijing while the fall of the regime in Libya is not complete: the remaining pockets of resistance in Tripoli after the entry of rebel and Colonel Qaddafi is not found. But after being in Paris on Wednesday the number two of the rebellion Libya, Mahmoud Jibril, Sarkozy has proposed a conference of "Friends of Libya" on 1 September in Paris, which would go beyond the mere contact group and include the major emerging economies such as China. If China was hostile to the coalition strikes against Libya, it is however in line with Paris on the post-Qadhafi since Beijing also wants to see the UN play a "leading role" in Libya.

But the official newspaper China Daily Thursday gave a somewhat optimistic vision of the post-Gaddafi, saying "inevitable chaos and conflict emerge as the various opposition factions will fight for the political leadership." "China must maintain contact with all parties," added the newspaper.

The presidents Sarkozy and Hu should also talk about the problem of sovereign debt in Europe that undermine stock markets. The Global Times said Thursday in its Chinese version that Sarkozy "has just (in Beijing) first to get the continued support of China on the resolution of sovereign debt crisis in Europe." Considering that "26% of foreign exchange reserves of China are in euros," Ding Chun, professor at the Center for Research on Europe at the University of Fudan, Shanghai, called in the official newspaper of Europe to put the finances in order.

"The EU and Sarkozy have, while calling on China to take more responsibility in maintaining the stability of the global economy, making a decisive and courageous sacrifices (…) that developed countries must to face global challenges. " After a press statement, Mr Sarkozy will resume early in the evening fly to New Caledonia where it is to open Saturday the fourteenth game of the Pacific.

Standard & Poor's warned Friday it might lower the credit rating of Cyprus, saying not to believe that the country's fiscal position is manageable after the collapse of the coalition government.

The rating agency placed the rating of the country under review with negative implications.

Cyprus is rated BBB + by the agency, which is three notches above speculative grade.The short-term rating is A-2.

The rating agency said it might lower these ratings, and it would give the results of its review once it has examined the economic projects of minority government.

"Due to the departure of a coalition party, the DIKO, the Cypriot government is in our opinion in a more delicate to pass an emergency budget measures in Parliament," wrote S & P said in a statement.

The government no longer has a parliamentary majority since the start of the Democratic Party, which was allied in a coalition.

Moody's lowered the rating of Cyprus on July 27 to Baa1, the level equivalent to BBB + from S & P.Fitch did the same on August 10 and placing it at BBB, one notch below the other two agencies.

Wednesday, Cyprus has unveiled an austerity program of 750 million euros over two years to control the deficit, aggravated by the energy crisis that hit the island since the explosion of its main power plant on July 11.

Opposition parties believe that these measures are insufficient, which augurs a difficult debate in parliament on August 25.

"We believe that the Cypriot government's fiscal position is unsustainable," wrote S & P said in a statement.

The agency questioned its ability to achieve the "ambitious" goal of a debt / GDP ratio of 2.5% in 2012 and believed that the shock absorption capacity of the Greek debt by the system Bank of Cyprus is not "unlimited."

Rather than accuse Standard & Poor's, many American analysts urging their leaders to build compromise in the fight against deficits. Press review.

Two days after the decision by Standard & Poor's (S & P) to degrade the sovereign rating of the United States, the subject is still widely debated in the U.S. media that detail the causes and consequences. The painstaking agreement on raising the debt ceiling, which narrowly averted a default, has left its mark among columnists and observers: many consider policies unable to leave the United States of the rut.Other pin on the rating agencies, even giving the impression of preferring to kill the messenger.

America stung

Symbolically at least, the blow is more severe: the loss of its "AAA" rating, the debt of the United States, the world's largest economy, is no longer considered completely safe. On Saturday, politicians and economists have begun to accuse the rating agencies, Standard & Poor's in mind, even though so far, "economists and U.S. officials were still spectators [degradation of sovereign ratings of European countries]," observes Brian Blackstone, the Wall Street Journal.

Several critics have quickly emerged. First, the United States would have no lessons to learn from a player who has not seen the credit crunch coming in the fall of 2008."Much of our current debt is directly or indirectly related to the fact that S & P has not done its work before the financial crash. Until the eve of the collapse, S & P gave a triple A certain institutions riskier credit, "recalls, in the Huffington Post, blogger and academic Robert Reich. "Excuse me for asking, but what now allows Standard & Poor's to dictate to the United States of how much debt it has to offload and how?" He asked.

"It's like if a young man who killed his parents then complained of being orphaned," summarizes Paul Krugman in The New York Times. The former Nobel Prize in Economics is also up on the error of 2000 billion as Standard & Poor's have made in the calculation of U.S. debt."[Rating agencies] are the last people to whom we must trust," Judge said.

To William Alden, who also wrote the Huffington Post, the "decision of S & P also plays a critical period of weakness", with growth of just over 1%, a weak manufacturing output and consumer spending down.

A "kick ass" saving

But most journalists and editors do not agree. The prize for irony belongs to John Cassidy, who says in the New Yorker as Standard & Poor's "work is public service.""Losing the AAA will be only one of the many humiliations which the country will face in coming decades if the American political system is no longer able to function any less effective," said he.

Rather than "shoot the messenger", many analysts believe like him that the real responsible for the degradation of the note are to be sought in Washington. 'Since 2000, the U.S. launched two wars and introduced two major welfare programs (…), while cutting federal taxes at their lowest level in sixty years.This is not the behavior of a responsible nation (…), but that of a country that uses its role as world reserve currency debt for low-cost, "Justice John Cassidy.

This is followed by the Washington Post, columnist Jonathan Capehart, whose cries: "Thanks for the kick in the ass, Standard & Poors" Degrade the U.S. debt rating is "all that Washington needed," said one who urged Republicans to more responsibility, and the Democrats to abandon their intransigence on the reform of welfare, to ward off the "dirty fighting" on the ceiling of the debt.

Because that's what it is: the press has clearly not forgiven the humiliating series of debates on raising the debt ceiling, seen as one of the main triggers of loss of confidence in the U.S. economy.While S & P was actually wrong in his projections, "the error does not take away any credit to serious concerns about the stability of American finance, and the fact that Washington is unable to take a drastic measure without a gun to their head "observes the Washington Post.

"The attempt to discredit the Obama administration to S & P only worsens the image of the United States," Judge the Wall Street Journal. As for George Bottom, political reporter for ABC Television News, he understands that the U.S. Treasury Secretary Timothy Geithner himself shares the Standard & Poor's, yet he has publicly criticized …

Lessons to ponder

Several media outlets called the policies of the laws to vote quickly to reassure the markets, including three free trade agreements still pending.But these calls for consensus will be heard? Not sure, according to the first political reaction. The Wall Street Journal in its Monday edition, says "the new hobby of Washington" mutual recriminations among Democrats and Republicans, have caused the loss of the AAA. The first aim of the Tea Party and "the intransigence of the Republicans who, during the crisis in the debt ceiling, a Standard & Poor's believes that the federal government no longer worked, and was less able to cope with rising deficits" .

Republicans attack Barack Obama by pointing their "failure of leadership on the economy," the financial daily.In the camp of the President, at the lower of its popularity, we want to believe instead that the decision of S & P "reinforces the plea to the President for a comprehensive plan for deficit reduction, with the key a tax increase and a decrease social programs. "

Remains to be seen what the real consequences in the short term. "The deteriorating U.S. note requires a review of the concept of risk in the global economy (…). If the United States are not as safe as they have been (…) What country can still boast of being? "asks Michael Schuman in TIME magazine, citing the case of France. But he said the strong dollar and Treasury bonds deprive the U.S. of serious competitors. "The challenge the world now faces, he concludes, is that there is nobody to take the place of the United States at the center of the global economy."

European leaders multiply contacts under pressure from the markets that call for radical action to halt the spiral of debt crisis.

With the drop in world stock markets Friday, a rapid intervention of political authorities is necessary for a return to calm financial community destabilized by the possibility of a relapse of the U.S. economy and the expansion of the debt crisis in the euro area.

After two weeks of continuous decline, the streets of Paris, Rome, Madrid and Lisbon fell to their levels of more than two years.

Thursday, investors did not appreciate that the ECB has not bought the Spanish and Italian paper as part of the relaunch of its bond purchase program, limited to the State debt Irish and Portuguese even though the performance of Spanish and Italian securities exceeded 6%.

After Greece, Ireland and Portugal, investors fear that it is now the turn of Italy and Spain, third and fourth economies in the euro area, have to seek a rescue.

According to sources close to the situation Friday, the European Central Bank is ready to redeem Italian and Spanish bonds if the Italian Prime Minister Silvio Berlusconi is committed to implement fiscal reforms accurate.

Silvio Berlusconi, who called the day the Spanish Prime Minister Jose Luis Zapatero and European Council President Herman Van Rompuy, was to hold a press conference at 1700 GMT.

President Nicolas Sarkozy was in turn confer by telephone with German Chancellor Angela Merkel and José Luis Rodriguez Zapatero.The head of the French state, while France chairs the G20 would also continue discussions begun the day with ECB President Jean-Claude Trichet.

China and Japan, the two largest foreign creditors of the United States, called for international cooperation, joined by the European Union.

"The international policy coordination across the G7 and the G20 is crucial," said European Commissioner for Economic and Monetary Affairs Olli Rehn, who interrupted his vacation to return to Brussels where he held a press conference .

He has announced that the European Commission will present a report after the summer on the idea of ​​common obligations to the euro area ("Eurobonds") and long-term opportunities for infrastructure in the euro area.

Olli Rehn would also discuss the situation with the United Kingdom, which is not part of the euro area suffers heavily from the excitement of the markets. He had to meet with the Chancellor of the Exchequer George Osborne and the Governor of the Bank of England, according to a British Treasury.