Current News Headlines

While the EBA is preparing to issue health bulletins today of 91 European banks, not this year – the third of its kind – had emerged as perilous. These stress tests are designed to reassure the strength of the European banking system, ensuring that they are adequately capitalized to deal with simulations of shocks on growth, equity markets or real estate.

So far, the main risk was to fail to convince, as was the case a year ago.With markets abusing European banks in turmoil on sovereign debt, the danger is now adding fuel to the fire …

The Institute of International Finance, which includes 400 credit institutions in the world, concerned that the emphasis of the supervisor to publish banks' exposures to the sovereign debt would aggravate tensions in the markets.For if the stress tests are unwilling to consider the hypothesis of a failure, even partial, state of the euro area, even though the scenario is not ruled by some European finance ministers, analysts will not go without applying the discount corresponding to their own calculations.

In fact, stress tests, vintage 2011, were built partly in response to criticism of the 2010 vintage: his credibility was undermined when the Irish banks were left to the mat a few months after passing their check-up! Hence the idea that the number of "recalibrated" should be higher than last year: in July 2010, seven banks have been stigmatized with a lack of capital combined 3 billion euros only .

Confusion

From this perspective, the tension went crescendo in recent days.Adding to the sense of confusion at the moment that sticks to all European decision-making, many countries or institutions have formally or informally, started to spill the beans. The German regional bank Helaba was denounced by itself, Wednesday, accusing the same time the EBA does not take into account the 'silent participation' 10% owned by the state of Hesse in his capital is not regarded as capital drives. In Spain, two savings banks, suspected to be among the victims of stress tests, have healthy self-proclaimed as yesterday, stating that their criteria are not exactly the same as those used in Europe! The Spanish authorities have also criticized the method of Constable European banking.

Although it was heavily judging, fiscal 2010 proved useful over time.A study by Morgan Stanley, 19 of the 22 listed banks passing the bar set by the supervisor by a margin of 2.25%, have increased since their capital. Thus, if the EBA requires a minimum of 5% capital ratio, "we believe that investors will scrutinize those who pass with a margin of less than 1%," warned analysts at Morgan Stanley.

Still, by nature, the exercise is not enough to reassure the markets. It focuses, in fact, on the solvency of banks when the rising concern about the cost and availability of the resources they need to find on the market. In the current climate of mistrust, the market assess the health of banks, primarily through the quality of the signing of their country of origin.For financial institutions of Europe device, each day that passes makes access to capital more expensive and more difficult and more involved when a deterioration in the sovereign rating by any rating agency.

ALSO READ:

"Stress tests: 26 banks are in trouble

"Stress tests: the European Union is ready to help

"The confusion persists in the euro zone

"U.S.: Obama tries to avoid a default

Time is running out. While the U.S. may be in default of payment if no agreement is reached on the debt by August 2, Barack Obama issued an ultimatum. Before starting a meeting in 75 minutes Sunday night with parliamentarians, the U.S. president and said "must" that Congress reached agreement on the debt within 10 days.

After discussions between key leaders of Congress – Democrats at the head of the Senate and the Republican majority in the House of Representatives – Barack Obama said he will hold a press conference Monday at 17 noon, Paris. The negotiations between elected to continue thereafter.MPs also plan to meet every day until they reach an agreement, says Bloomberg.

Despite the optimism displayed by the U.S. Treasury Secretary Timothy Geithner, who believes that "the U.S. will not default," the discussions on key topics such as tax increases or program of government spending have little progressed. Republicans and Democrats continue to disagree on the remedies to lower debt. "It is appalling that the president and his party continues to insist on the need to raise taxes in a crisis when they refuse to reduce spending," said the spokesman of the Republican minority in the Senate at the end of meeting Sunday night.For her part, Nancy Pelosi, representative of the minority Democrats in the House of Representatives, is confident that "a consensual agreement is reached (…) it could, she says," include more cuts in public spending but on a longer period. " But she says being uncomfortable with the idea of ​​"saving billions of public health."

ALSO READ:

"Debt crisis: Obama negotiating with elected officials

"Debt: the elected officials are struggling to reach agreement

"The IMF calls to avoid default

This is a schoolboy joke, but we hear it everywhere in Lisbon. If the sky is gray if the coffee machine is broken or if one falls down, "A culpa é do Socrates!" Socrates is to blame! Portuguese Prime Minister of course embodies the grim prospects that beset his administration. José Socrates is one who, after pledging never to lower them, eventually seek outside help. The Portuguese are well aware of: against the 78 billion loaned by the troika (IMF, European Commission and European Central Bank) will require consent of hard sacrifices.

Came to power in 2005, Socialist, 53, divorced and father of two children, probably his last book political battle, the most difficult of all. Tomorrow's elections will determine its future.

The "wild beast" as he describes himself, refuses to admit defeat.Last March, soon after announcing his resignation as Prime Minister Socrates was reelected as head of the Socialist Party (PS, center left) by a final score: 93.3%. And there's another week, opinion polls placed the PS elbow to elbow with the Social Democratic Party (PSD, center right). Today, the latest opinion polls give a lead of 6 points to the DSP. "But the fact that he can still compete with the opposition is surprising analysis Teresa de Sousa, a columnist for the newspaper Publico. This is still the premier of the crisis! "She said the strength of Socrates explained by his personal qualities:" He has great charisma, a good speaker who uses simple words and direct "says she. The flip side is "low fidelity" ideological, considers Teresa de Sousa.Socrates is supposed to represent the right wing of the PS, the current more moderate training already very centrist. But throughout the campaign, this positioning does not stop him to shake the specter of anti-social right, which will liberalize at all-if she came to Sao Bento, the official residence of Prime Minister.

Tensions with the press and justice

"It's a fighting personality, not an intellectual," says José Adelino Maltez, a political scientist at the Technical University of Lisbon payday loans. And to appeal to the French philosopher Jacques Maritain: "Socrates is leading a leftist government with a right temperament." A follower of political marketing, in short, which modernized the Portuguese public life, for better or for worse. Rui Costa Pinto, who wrote an unauthorized biography of the Prime Minister (José Socrates Homen o, o lider), speaks of "a bipolar character.""It is both a deceiver and an authoritarian," he says. This journalist is one of those who have suffered the pressures of the head of government, which maintains an ambivalent relationship with the press.

"We got along well, we familiarly," recalls the biographer. Until the day Costa Pinto puts his finger on a possible bribery case. Socrates then goes into a rage. "I lost my job twice because of him," says the author, who just won a lawsuit against the protagonist of his biography. The "wild beast" is a blood. The justice professionals are in open conflict with Socrates. "The attempts of manipulation against the courts have reached unacceptable levels," has accused the head of the union attorneys, Joao Palma.The name of Socrates is released in several cases, but until now the Prime Minister went through the drops, lack of evidence.

In six years of government, Socrates has accumulated enemies. If he departs from the Republic of gold, it could lose its last allies. As for Portuguese, they will eventually unravel fact from fiction: to identify what is "a culpa do Socrates' … and assume that their structural problems remain unsolved.

ALSO READ:

"Lisbon is preparing for a tough austerity

"Portugal is preparing for new sacrifices

The CAC 40 moved into negative territory on Thursday. After starting the day on a drop of 0.86% to 3930.59 points, the benchmark index in Paris was widened its losses in the morning. About 12 hours, it was down 0.96% at 3926, 85 points under the technical threshold of 4000 points which had escaped to investors Wednesday.

The movement is otherwise identical to other European markets. The Dax index featuring the Frankfurt Stock Exchange, which opened down 0.85% at 7155.86 points, losing 0.96% at the same time points to 7148.25. The FTSE-100 index of London Stock Exchange, which started on a decline of 1.06% to 5965.02 points, its share reduced its losses to -0.76% at 5883.67 points.

The mood has changed beyond recognition from the beginning of the week.Greece seemed to approach Wednesday in an agreement with Europe and the IMF for further financial assistance, which could avoid insolvency. But the announcement a few hours later by a new Moody's downgrade of the Greek debt was added to the fears already heavy burden on Athens. Judging probable restructuring of the country's sovereign debt, Moody's downgraded three notches the rating of the country, pushing further into the speculative grade.

For its part, Spain has managed to raise 3.953 billion euros of bonds 3 and 4 years on the market but, despite strong demand, the rates reflected on the rise.

In this context, risk-taking are not numerous. The activity is minimal anyway since France, Ascension Thursday is a holiday.Upcoming Events, however, some indicators should capture the attention of investors present electronic check payday advance. They are mainly American with productivity quarterly, weekly jobless claims and industrial controls.

Note that the currency market, the euro remains strong against the greenback at 1.4475 dollar. Oil prices, they were down in electronic trading in Asia. In morning trading, a barrel of light sweet crude for July delivery yielded 21 cents to 100.08 dollars. That of Brent North Sea crude for delivery same lost 8 cents to 114.45 dollars.

Values ​​to follow

As for values, no news.Stay tuned, however:

The banking sector

High risk debt Greek, French banks react poorly to the degradation of the country note by Moody's: Societe Generale (-0.12% to 40.47 euros), Credit Agricole (-0.47% to 10.48 euros), BNP Paribas (-0.93% to 53.30 euros) decline. Only Natixis (+0.22% to 3.64 euro) is in green.

AXA (-1.83% to 14.78 euros) also declined.The day before the title had been the star of the CAC 40 gained 1.45%, boosted yesterday by the announcement of its new strategic plan and the sale of its Canadian subsidiary.

TF1: -1.28% to 12.38 euros

The group said Wednesday it had received offers "constructive" of several Internet service providers to distribute its pay-TV from 2012.

Trading in Gecimed remain suspended until the opening of the buyout offer followed by a withdrawal bond, its parent company Gecina (-0.59% to 99.41 euros). This opening will be later than June 8, after payment of dividend.

Closing on a rise from 0.65% late Wednesday, Wall Street has ended three consecutive sessions of decline. The U.S. central bank reassured investors by announcing that it would continue its policy to support the economy of the United States.

Despite the mixed performance of Asian stock markets on Thursday morning, the CAC 40 index continued its rebound movement began Wednesday. And the more so as oil prices are starting to rebound on Wednesday, surpassing the $ 100. In electronic trading in Asia, the black gold coast 100.23 dollars.

At the opening, the index in Paris gained 0.59% to 4001.32 points. On the stock market in Frankfurt, the DAX 30 rose 0.78% to 7360.47 points, for its part, the Footsie-100 from the London Stock Exchange ahead of 0.62% to 5960.32 points.

On the macroeconomic front, no indicator is expected in France.However, several are in the U.S.: the weekly claims for unemployment benefits (1430), home resales in April (16 hours), the composite indicator of economic activity in April (16 hours) activity in the Philadelphia area in May (16 hours).

Air France-KLM returns to profit

Air France-KLM: 1.43% to 12.06 euros

Air France-KLM announced in a statement it had returned to profit in 2010-2011, with a net profit of 613 million euros after a loss of 1.55 billion a year earlier.

EDF: 1.17% to 28.86 euros

Eric Besson confirmed Wednesday that the wholesale price of nuclear electricity EDF will sell to its competitors will be far from 42 euros per megawatt hour (MWh) from 1 January 2012 against the advice of the Regulatory Commission Energy (CRE) payday loans lenders.

Vinci: 0.67% to 43.60 euros, GDF Suez: +0.40% to 26.29 euros, Areva: +0.12% at 30.20 euros

GDF Suez, Vinci and Areva said Wednesday they have jointly respond to the bidding of government for the development of five wind farms off the French coast as part of a program of dévloppement 6000 MW offshore.

Vinci could also interest in the activities of German Hochtief concessions if it were to sell them.

LVMH: -1.37% to 118.60 euros

The redevelopment of the Samaritan woman, owned by LVMH, has been finalized and will be open for public consultation from May 20

In addition, in the case LVMH / Hermes, the Paris Court of Appeal will consider the appeal filed by minority shareholders against the decision of the AMF to allow the group to lock Hermes capital.Hermes was down 0.11% to 174.90 euros.

Plastic Omnium: 3.19% at 22.63 euros

Plastic Omnium buys the activities of gas tanks of Ford in the U.S. through its subsidiary, Plastic Omnium Auto Energy.

Soitec: + 2.80% to 10.45 euros

Soitec said Wednesday that the activity continued to expand its markets suggesting a positive outlook despite unfavorable exchange rates.

LinkedIn assesses its value to three billion dollars in its IPO issue addressed yesterday with the Securities and Exchange Commission, Constable of overseas markets. American professional social network is about to score this month on the New York Stock Exchange.

The startup has warned that its growth could slow in the future, investment is expected to increase the capacity of the site. The site could not even be beneficial shareholder this year. In 2010, it has recorded fifteen million dollars profit on a turnover of 243 million. This income was 78 million in 2008.It has also surpassed the hundred million registered end-March, with 102 million accounts free credit report and score.

Some analysts remain skeptical of the optimism LinkedIn whose business model is based on recruiting, marketing solutions and profiles "premium" pay, is very different from sites like Facebook or Zynga, very popular with investors, who rather seek to consume their users via their interfaces. Despite these differences, the IPO of LinkedIn will probably be a good barometer for gauging the success of quotations from other social networks, eagerly awaited.

ALSO READ:

"LinkedIn has filed its proposed IPO

"LinkedIn strengthens its strategy by moving to Paris

Baroin, the budget minister, and Georges Tron, the Secretary of State for Public Service will receive Tuesday the union as part of the "rendezvous pay" annual. The daily Les Echos, the meeting should end with the announcement of a new freeze on civil service salaries for 2012. This ad may be cringe at a time when Xavier Bertrand, Minister of Labour speaks to legislate the private companies that distribute dividends paid a bonus of 1000 euros, an amount that is not the taste of the Economy Minister Christine Lagarde.

Bercy and should announce a freeze of the index used as the basis for calculating the salaries of officers, as Georges Tron had suggested: "There is still room for maneuver. The imperative remains the absolute master account. "Something the department had also already taken in 2011, which would make 2012 the second year without an increase. "An extension of last minute is very unlikely according to several sources familiar with the matter," says Les Echos.

This gel is motivated by concern for fiscal restraint. The same source, the cost of an increase of the index point is valued at 900 million euros per year for three public (state, territorial and hospital), which employ 5.2 million workers.

Progressions individual

To mitigate the discontent union which will surely result from this announcement, Bercy social partners could propose a new "route point" at the end of the year, with the possibility of a "future act" if the growth jumped, "or, as we approach the presidential election, the political urgency moves the lines."

Georges Tron nevertheless wishes to clarify that "freezing point is not to freeze wages." He said the natural play of automatic career advancement and accelerated promotion – which represents an annual cost of 1.2 billion euros in state guarantees individual pay increases. Also according to ministry data, the purchasing power of workers has increased steadily for several years and will continue to do so in 2011 "The INSEE statistics confirm this increase for 2007 and 2008 but the figures do are not yet available for 2009 and 2010.

Finally, state employees will donate again in 2012 half of the savings related to job cuts, about 600 million euros complemented by measures already on the track as the launch of the incentive and extension of the merit awards.Twenty million euros could be distributed in the form of housing or childcare.

ALSO READ:

Bertrand precise contours of the premium of EUR 1000

"More conflicts on wages in enterprises

For, even today, some investors, for regulatory reasons or psychological prefer local funds, managed in their country. For example, some institutional funds that buy German German law, established by management companies located in Germany. The new directive will also drop this barrier by allowing management companies to launch European funds under German law, French, English … without being based in those countries. A British manager based in London and will offer French funds, or German, for example, investors in these countries.

Investors can more easily compare products.The document key information for investors (Dici), each of these investments will be staffed, will be established in the same format for all societies in all countries.

ALSO READ:

»COMPUTER GRAPHICS – Sicav: managers who like the French

Tunisia empties she's tourists? The reactions of tour operators about the recent events diverge. But Thomas Cook began the forced repatriation of its 2,000 customers in Germany and its 450 Belgian tourists. In Belgium, Jetair decided to do the same. "Because of incidents in Tunisia and the tightening of travel advisories by the German Ministry of Foreign Affairs, Thomas Cook AG has decided to repatriate to Germany our customers," said the German subsidiary of the tour payday loans no teletrack. All his departure from Germany and Belgium respectively, were canceled until 17 and 21 January.

French side, no return is expected, both at Thomas Cook France than its competitors. "Our tourists are in resort areas (…) we have had no request for return," assured the president of Ceto Rene-Marc Chikli (see video).

The player has to use default in the articles of figaro.fr

"There were mistakes, and as CEO of the station, I assume," hammered on Sunday Guillaume Pepy, coming this Sunday on the train Strasbourg case-Port-Bou. On the night of December 26 to 27, a cascade of events had caused a delay of 13 hours for 600 passengers on board. A fiasco explained in the internal investigation report by the planning of drivers, weather and strikes called "wake up". This is the notice filed for the evenings of 24 and 31 December which, under various pretexts, are in reality only one objective: to allow agents scheduled to work night party to stay home.

The chairman of SNCF has admitted that a strike of this kind, around the Christmas day in Dijon, was a factor in the incredible "galley" of passengers of the Strasbourg-Port-Bou. "These strikes are then triggered mainly by SUD-rail for many years.They are constitutional. To be legal, they are nonetheless extremely shocking. Their goal is to disrupt the public service when the French are most needed, "commented the president of SNCF, criticizing a" moral vacuum ". Refusing to designate a "scapegoat," Guillaume Pepy has ensured that there was "human error" but no "individual fault deserving punishment." He also emphasized that the vast majority of railway workers had "worked a snowy during the episode" and that some had even returned to work for themselves while they were on leave.

"Emergency Plan"

Chairman of the SNCF, Guillaume Pepy, has announced an "emergency plan" for 12 lines "sick" of the station, as the Paris-Amiens and Paris-Tours or the RER line A."On each line, we will set up a barometer of public satisfaction, which will be measured each month," he said. Asked about the cost of such a plan, Guillaume Pepy said the bill would amount to "several tens of million euros", drawn from the "benefits" of the group are wholly reinvested. Car, confirmed the pattern of the public company, the SNCF has been a recipient last year, despite "a few hundred million euros" for losses in the transport of goods. Its turnover rose by 4%. In 2009, the station had lost almost a billion.

ALSO READ:

"AUDIO – Guillaume Pepy invited to the Grand Jury

"Self-criticism of the station on the incredible series of incidents

»Travel endless: SNCF apologizes

"SNCF: the reduction of debt is becoming a priority