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Gold ignores soft U.S. housing data, falls on fears Fed support ending

Written By Unknown on Selasa, 31 Desember 2013 | 08.10

Investing.com - Gold prices dropped on Monday after investors shrugged off soft U.S. housing figures and sold on concerns years of support from the Federal Reserve via monetary stimulus tools will be winding down in 2014.

On the Comex division of the New York Mercantile Exchange, gold futures for February delivery traded at USD1,201.80 a troy ounce during U.S. trading, down 1.00%. Gold prices traded in a range between USD1,200.30 a troy ounce and USD1,215.80 a troy ounce.

Futures were likely to find near-term support at USD1,195.70 a troy ounce, the low from Dec. 24 and resistance at USD1,218.30, the high from Dec. 27. The February contract settled 0.14% higher on Friday to end at USD1,214.00 a troy ounce.

The National Association of Realtors reported earlier that its pending home sales index increased by a seasonally adjusted 0.2% in November, far shy of market expectations for a 1.0% gain. Pending home sales for October were revised to a 1.2% decline from a previously reported drop of 0.6%.

The disappointing data sent the greenback falling, wiping out gains locked in when the Federal Reserve announced it would trim USD10 billion from its USD85 billion in monthly bond-buying purchases beginning in January.

The Fed has said it may taper the program even more should data show that economic recovery is gaining steam while adding soft patches could prompt the U.S. central bank to hike up monthly bond purchases to ensure price and labor-market stability.

Still, gold futures suffered on sentiments that Fed bond purchases, which support gold by bolstering its image as a hedge to a weaker dollar, will scale back sooner rather than later, ending a multi-year rally fueled by monetary support.

Trading volumes were thin as many investors already closed books before the end of the year, reducing liquidity in the market and increasing volatility, which helped exaggerate market moves.

Elsewhere on the Comex, silver futures for March delivery dipped 2.16% to trade at USD19.615 a pound, while copper for March delivery was down 0.06% at 3.383.

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U.S. stocks mixed on housing data in listless trading; Dow up 0.16%

Investing.com - Stock prices finished Monday mixed to higher in quiet trading as investors shrugged off weaker-than-expected housing data and looked head to early 2014 to see how fourth-quarter earnings and economic growth rates perform.

At the close of U.S. trading, the Dow Jones Industrial Average rose 0.16%, the S&P 500 index fell 0.02%, while the Nasdaq Composite index fell 0.06%.

The National Association of Realtors reported earlier that its pending home sales index increased by a seasonally adjusted 0.2% in November, far shy of market expectations for a 1.0% gain. Pending home sales for October were revised to a 1.2% decline from a previously reported drop of 0.6%.

Investors took the data in stride as overall, stocks are poised to post their strongest year since 1997 due to a more robust U.S. economy and also due to Federal Reserve monetary support.

The Federal Reserve announced recently it would trim USD10 billion from its USD85 billion in monthly bond-buying purchases beginning in January.

While Fed bond purchases tend to bolster stocks by suppressing borrowing costs, a decision to taper the stimulus program signifies a more robust economy lies just down the road, which is also bullish for equities.

Leading Dow Jones Industrial Average performers included Walt Disney, up 2.53%, Cisco, up 1.07%, and Coca-Cola, up 1.06%.

The Dow Jones Industrial Average's worst performers included Exxon Mobil, down 1.13%, Chevron, down 0.73%, and Boeing, down 0.72%.

European indices, meanwhile, finished lower.

After the close of European trade, the EURO STOXX 50 fell 0.19%, France's CAC 40 fell 0.05%, while Germany's DAX 30 fell 0.39%. Meanwhile, in the U.K. the FTSE 100 finished down 0.29%.

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INSIGHT - Italy's Chinese garment workshops boom as workers suffer

Written By Unknown on Senin, 30 Desember 2013 | 08.10

By Silvia Aloisi

PRATO, Italy (Reuters) - Shen Jianhe lost both her job and home when Italian police shut down her garment factory in the Tuscan city of Prato.

By day, the 38-year-old mother of four would sew trousers at one of the nearly 5,000 workshops run by Chinese immigrants in Prato, which largely turn out cheap clothing for fast-fashion companies in Italy and across Europe.

At night she slept in a plasterboard cubicle hidden behind a wooden wardrobe at the Shen Wu factory - until the police arrived one cold December morning. They sealed the doors and confiscated the 25 sewing machines under a crackdown on an industry that is booming but blighted by illegality and sweatshop conditions.

Amid rolls of fabric, food leftovers and dangling electric cables lay Shen's belongings: a pink baby coat, a blue children's stool, a laptop. She stuffed them into a van, ready to be transported away.

"What choice do I have?" said Shen, tears filling her eyes.

Prato, the historical capital of Italy's textile business, has attracted the largest concentration of Chinese-run industry in Europe within less than 20 years.

As many as 50,000 Chinese live and work in the area, making clothes bearing the prized "Made in Italy" label which sets them apart from garments produced in China itself, even at the lower end of the fashion business.

In some ways, the Chinese community of Prato has succeeded where Italian companies have failed. Italy's economy has barely grown over the past decade and is only just emerging from recession, partly due to the inability of many small manufacturers to keep up with global competition.

Yet Prato, which lies 25 km (16 miles) from the Renaissance jewel of Florence, is also a thriving hub of illegality committed by both Italians and Chinese, a byproduct of globalisation gone wrong, many people in the city say.

Up to two thirds of the Chinese in Prato are illegal immigrants, according to local authorities. About 90 percent of the Chinese factories - virtually all of which are rented out to Chinese entrepreneurs by Italians who own the buildings -break the law in various ways, says Aldo Milone, the city councillor in charge of security.

This includes using fabric smuggled from China, evading taxes and grossly violating health and labour regulations. This month a fire, which prosecutors suspect was set off by an electric stove, killed seven workers as they slept in cardboard cubicles at a workshop.

Italian officials acknowledge they haven't cracked down effectively on the mushrooming illicit behaviour.

Prato mayor Roberto Cenni, himself a textiles entrepreneur, arrived in 2009 promising to clean up the area. Cenni says he has trebled inspections since then, but still only a small fraction of the factories are monitored regularly.

"We don't have the ability to fight this system of illegality," he said, noting that Prato has only two labour inspectors.

In some cases, local officials share the blame. Prato chief prosecutor Piero Tony ordered the arrest of 11 people this month, including a city council employee who is suspected of issuing false residency permits - for between 600 and 1,500 euros a piece - to more than 300 Chinese immigrants since May.

STIFF COMPETITION

Most of Prato's Chinese come from Wenzhou, a coastal city in Zhejiang province. They started flocking to Prato in the mid-1990s to work in Italian-owned textile factories and quickly mastered the entire production chain.

Andrea Cavicchi, local head of the Confindustria business lobby, says China's entry in the World Trade Organisation in 2001 sounded the death knell for many of Prato's local clothing artisans as trade barriers imposed by the European Union to protect its manufacturers were gradually phased out.

As local companies specialised in high-quality fabric began cutting jobs to compete with cheaper foreign imports, Chinese entrepreneurs started renting abandoned Italian warehouses to set up their own factories. Gradually, the Chinese of Prato offered the speed, efficiency and high productivity that many Italian businesses had lacked.

Now they export millions of low-cost garments - a woman's cotton shirt sells for under 2 euros, a coat for 12 - across the continent. The Prato branch of Confindustria estimates this business is worth 2 billion euros a year, or half the turnover of Italian-run textile manufacturers in the district.

"Between 2001 and 2011, the Italian textile industry in Prato has seen its turnover and its workforce halve. But the reality is we can't really blame the Chinese. The problem is our labour and energy costs mean we can't compete," says Cavicchi. "Speed is crucial. In just three days they can churn out thousands of garments. And the final result - even though it's cheap cloth imported from China - is perfect."

Trucks ferry the clothing to shoppers in the major European markets within a day or two. In the fast-changing fashion business, this gives the Prato workshops a competitive edge over rivals in China, which take 40 days to ship their output by sea to Europe.

Outside Prato's city walls, the main Via Pistoiese has turned into a bustling Chinatown, with Chinese restaurants, hairdressers, schools, travel agents, and youths practising the martial art of Tai Chi in the park.

For many years, Prato's local government did little about the growing Chinese community, whose presence helps the local economy. "There was a tacit pact to look the other way, because the Chinese were also bringing in a lot of money, helping cushion the impact of the global financial crisis on the region," said Massimo Bressan, a researcher on immigration issues at Prato's Iris institute.

When Cenni became Prato's mayor, he promised to restore the rule of law in the city of just under 200,000. In addition to increasing the number of inspections on factories, the local government raised the cost of reclaiming confiscated machinery and introduced a decree that allows a warehouse to be declared "unfit" until it meets safety regulations.

But part of the problem is that 60 percent of Chinese workshops last just two years, often closing and reopening under a different name to evade checks by tax authorities. Illegal immigrants found by the police are ordered to leave Italy within five days, but there is no way of making sure that they actually do so, said the city councillor for security, Milone. "It's a joke," he said.

Moreover, many illegal immigrants arrive on three-month tourist visas but stay in Italy for a few years, until they make enough money to go back to China.

"I have done inspections for 15 years, and I can tell you that for every factory we close, another one will sprout the next day. Here the attitude is too lax, there is a form of connivance," said a judicial police officer who did not want to be named because he is not allowed to talk to the press.

FLAMES

Outside the Teresa Moda factory which went up in flames this month, charred coat hangers and rolls of fabric lie scattered on the ground, the remains of burnt black out curtains preventing people from looking inside.

"Pain has no colour" read a sheet of paper outside the gate taped above pictures of the seven victims, whom police say took days to identify because relatives were too scared to come forward. One of the dead suffocated as he tried to escape through a window guarded by iron bars.

A Chinese worker who had come to pay his respects said he made on average 70 shirts a day and was paid 70 cents for each shirt. In a good month, the worker - who said he was afraid to give his name - said he could earn 1,500 euros.

Nearby, at the Shen Wu factory workers had regularly sat at their sewing machines for up to 14 hours a day. Li Hong, 29, had been working there for nearly a month, every day, from 8 a.m. to 10 p.m.

Shen Jianhe was the longest-serving worker at the factory. She had been in Italy for 10 years, and was the only worker there with a residency permit and work contract. "What will happen to my sewing machine? I need it to work," she said, as police began sealing all tools found on the premises.

Shen said her children did not live with her at the factory, although children's items - including a storybook with the title "Where is my mummy?" - were strewn across the floor of her windowless, damp cubicle, which measured about 2 square metres and was almost entirely filled by a bed.

"Now I need to find another job. I must feed my children," she said. (additional reporting by Silvia Ognibene; editing by Alessandra Galloni and David Stamp)



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Spain arrests eight over global bank cyber heists

MADRID (Reuters) - Spanish police on Sunday said they had arrested eight people suspected of helping to steal more than $60 million from banks worldwide by hacking into credit card processing firms and withdrawing money from cash machines.

The arrests are one of the biggest breakthroughs yet outside the United States in connection with a series of global bank heists, coordinated across numerous countries by cells which withdrew millions of dollars in a matter of hours.

Spanish police said in a statement they had detained six Romanian citizens and two Moroccans on the outskirts of Madrid, and seized 25,000 euros in cash as well as around 1,000 blank credit cards, IT material and jewels after several building searches.

The statement said the global hacking gang had been controlled by a single person, who had been arrested in Germany. The police could not be reached for comment on when the alleged mastermind had been detained.

German prosecutors said in May they had arrested two Dutch citizens suspected of taking part in a $45 million cyber heist involving two Middle Eastern banks.

Prosecutors in Duesseldorf could not immediately be reached for comment on Sunday.

The Spanish police statement said they had acted with the help of an unnamed U.S. security agency.

"The bulk of the organization based in Spain has been dismantled when it was starting to regroup to carry out an attack similar to previous ones, in various European Union countries and including in Japan," the police said.

They said the ringleader was an IT expert who hacked into the databases used by credit card processing firms and could modify security settings, including PIN number restrictions and withdrawal limits, before getting cells worldwide to fake credit cards using some of the information.

The swiftness and scale of the heists was revealed earlier this year, when U.S. prosecutors arrested seven men suspected of the Middle Eastern bank thefts.

Around $45 million was stolen in several attacks using faked cards bearing the names of two banks, prosecutors said, with some $40 million raided from ATMs in 24 countries in just over 10 hours in February.

Spanish police said on Sunday 446 withdrawals took place in Madrid during a February raid, with the Spanish-based arm of the ring obtaining $400,000 in a heist totalling $40 million. They did not confirm which banks had been involved.

Previous raids had involved withdrawals in other Spanish cities and global takings by the crime ring amounted to over $60 million, they said.

Six further people were arrested and charged in the United States in November in connection with the million Middle Eastern bank theft.



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Places to dine on New Year`s Eve

Written By Unknown on Minggu, 29 Desember 2013 | 08.10

Mumbai

Go the Whole Hog@Sofitel


This New Year's there's a feast for every kind of foodie at Bandra Sofitel. Buffet junkies can settle in at Jyran. The kids can party on in Pondicherry Café, and vegeterians can have their senses awakened at  Tuskers.
 


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A snow clad New Year’s eve in Shimla

After a white Christmas, it's time for a snow clad New Years in Shimla, adding to the delight of tourists flocking the hill stations of Himachal Pradesh. Few other places in the state such as Kullu, Manali, Rohtang Pass, Lahaul and Spiti will also receive snowfall.

A fairly good Western Disturbance will start affecting weather from today onwards and will bring snow and rain in the lower hills just before the New Year's celebrations. At present the maximum and minimum temperatures in Shimla are 13 degrees and 1 degree, respectively.

Tourists here should start bracing up for cold wave conditions as night temperatures may fall to sub-zero levels. Day temperature in Shimla will come down below 5 degrees. We expect a cloud cover in another 24 hours, gradually reducing the diurnal variation of temperatures. Hoteliers here are hoping that tourists will throng in large numbers, ahead of New Year's.

picture courtesy- wespeaknews

By: Skymetweather.com



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Harvesting and post-harvest activities continue to be smooth in major coconut belts

Written By Unknown on Sabtu, 28 Desember 2013 | 08.10

Harvesting and post-harvest activities continue to be smooth in major coconut belts. Coconut plantations are under good condition in the southern peninsular region. Weather is also optimum for planting of new seedlings in these regions, as optimum moisture exists in these regions with the expectation of light showers in the forthcoming period.By: Skymetweather.com

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In Punjab and Haryana crushing of mature sugarcane

Dec 28, 2013, 05.00 AM IST

In Punjab and Haryana crushing of mature sugarcane has already been started as early sown cane crop has attained desirable maturity for the extraction of juice ...

Tags  Sugarcane

Source: Skymetweather.com

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In Punjab and Haryana crushing of mature sugarcane

In Punjab and Haryana crushing of mature sugarcane has already been started as early sown cane crop has attained desirable maturity for the extraction of juice ...

Like this story, share it with millions of investors on M3

In Punjab and Haryana crushing of mature sugarcane

In Punjab and Haryana crushing of mature sugarcane has already been started as early sown cane crop has attained desirable maturity for the extraction of juice ...

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In Punjab and Haryana crushing of mature sugarcane has already been started as early sown cane crop has attained desirable maturity for the extraction of juice. Timely and late sown cane crop is about to attain the maturity. In UP cane crop is at maturity and crushing has started. Winter sowing of the cane crop is being undertaken after field preparations.By: Skymetweather.com

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US jobless claims fall in positive sign for labor market

Written By Unknown on Jumat, 27 Desember 2013 | 08.10

The number of Americans filing new claims for unemployment benefits fell last week to the lowest level in nearly a month, a hopeful sign for the labor market.

Initial claims for state unemployment benefits decreased 42,000 to a seasonally adjusted 338,000, the Labor Department said on Thursday.

While recent data on claims have been clouded by seasonal volatility around the winter holiday period, Thursday's report showed claims in a range that supports expectations for faster economic growth next year.

Also read: Yellen takes big step toward taking reins at US Fed  

"With labor markets on the mend and consumer confidence on the rise, we look for broader economic improvement to continue pushing claims (lower)," said Gennadiy Goldberg, an analyst at TD Securities in New York.

New jobless claims have trended higher since September and are now roughly where they were during the early days of the 2007-09 recession. Economists, however, say the level of claims is still consistent with job growth, and other labor market indicators have pointed to a strengthening labor market.

The four-week moving average for new claims, which irons out week-to-week volatility, increased 4,250 to 348,000.

"The underlying trend remains favorable," said Ryan Sweet, an economist at Moody's Analytics in West Chester, Pennsylvania. "We will be able to muster stronger job growth in 2014."

The claims data appeared to have little impact on prices for US stocks and bonds, which were little changed in thin holiday-season trading.

Citing an improving labor market, the Federal Reserve earlier this month announced it would reduce its monthly USD 85 billion bond buying program by USD10 billion starting in January.

Payrolls increased solidly in October and November. The unemployment rate dropped to a five-year low of 7.0 percent in November.

A Labor Department analyst said no states had been estimated, but noted that claims were still in a period of volatility related to the holidays. The volatility is caused by the difficulty inherent in adjusting weekly data for seasonal factors like retailers and schools adjusting the sizes of their staff for the winter season.

Claims for the prior week were revised to show 1,000 more applications received than previously reported. Economists polled by Reuters had expected first-time applications to fall to 345,000 last week.

The claims report showed the number of people still receiving benefits under regular state programs after an initial week of aid rose 46,000 to 2.923 million in the week ended December 14.



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Government stake in Andhra Bank goes up by over 2%

Dec 26, 2013, 10.16 PM IST

According to a filing with stock exchanges today, the city-headquartered lender said it has allotted 3,00,34,539 equity shares on preferential basis to the government.

Tags  Andhra Bank, public lender, General or Shareholder Meeting, Extraordinary General Meeting

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Government stake in Andhra Bank goes up by over 2%

According to a filing with stock exchanges today, the city-headquartered lender said it has allotted 3,00,34,539 equity shares on preferential basis to the government.

Like this story, share it with millions of investors on M3

Government stake in Andhra Bank goes up by over 2%

According to a filing with stock exchanges today, the city-headquartered lender said it has allotted 3,00,34,539 equity shares on preferential basis to the government.

Share  .  Email  .  Print  .  A+A-
Government's shareholding in public lender  Andhra Bank has gone up by 2.14 percent after the latest round of capital infusion.

According to a filing with stock exchanges today, the city-headquartered lender said it has allotted 3,00,34,539 equity shares on preferential basis to the government. The government's shareholding in the bank now stood at 60.14 percent from the earlier 58 percent, the filing said.

Also read: No room for SUUTI stake sale post FDI cap hike in Axis Bank  

In an earlier filing, the bank said the Extraordinary General Meeting of the shareholders held on December 19 passed a special resolution to allot shares at Rs 66.59 apiece (including a premium of Rs 56.59 per share) in return for Rs 200-crore additional capital infusion.

Shares of Andhra Bank settled at Rs 63, up 0.72 percent over the previous close, on BSE whose benchmark Sensex gained 0.20 percent to 21,074.59 today. The government infused around Rs 200 crore on December 20 towards issuance and allotment of equity shares on preferential basis, Andhra Bank said on Monday.


Andhra Bank stock price

On December 26, 2013, Andhra Bank closed at Rs 63.00, up Rs 0.45, or 0.72 percent. The 52-week high of the share was Rs 130.00 and the 52-week low was Rs 47.30.


The company's trailing 12-month (TTM) EPS was at Rs 16.15 per share as per the quarter ended September 2013. The stock's price-to-earnings (P/E) ratio was 3.9. The latest book value of the company is Rs 150.85 per share. At current value, the price-to-book value of the company is 0.42.

The Best New Year Parties in India


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