* Euro above 3-week low as market braces for EU summit
* Euro helped by growing speculation of ECB action
* U.S. data helps risk assets, Aussie at 1-week high vs USD
* Month-end Japan exporters' selling sends dollar/yen lower
TOKYO, June 28 (Reuters) - The euro bounced off a three-week low against the U.S. dollar on Thursday on short-covering ahead of a European Union summit starting later in the day and also helped by expectations of more monetary support from the European Central Bank.
While many market players expected European leaders to struggle to agree on bold steps to solve the region's debt crisis at their summit, some market players were playing it safe by squaring their positions just in case there would be a surprise breakthrough.
The single currency rose 0.35 percent in Asia to $1.2511 , versus $1.2466 late in New York, recovering further from the three-week low of $1.24413 hit earlier in the week.
On the whole market players' expectations for the two-day European Union summit are already low, as EU leaders look more openly divided than at any time since the debt crisis erupted in Greece in 2010 and spread over the euro zone.
German Chancellor Angela Merkel on Wednesday brushed aside increasingly shrill calls from Spain and Italy for emergency action to lower their soaring borrowing costs and poured cold water on the idea of joint euro zone debt.
"The summit will probably just show that the debt crisis needs a lot of time to be resolved. I don't think it's time to buy the euro," said Katsunori Kitakura, associate general manager of the market-making unit at Sumitomo Mitsui Trust Bank.
Still, the euro has some support around $1.2440.
In one sign that market players have curbed their extreme pessimism on the euro, the costs of buying euro/dollar put options have dropped to the cheapest level in about two months.
The euro/dollar's risk reversal spread eased to around 1.3 percent in favour of euro/dollar puts, compared with a high of around 2.6 percent just over a month ago.
Analysts from Barclays also noted that riskier assets tended to rise in the week following 18 EU summits since 2010, with the euro eking out average gains of around 0.2 percent and the Aussie 0.6 percent, despite widespread cynicism in the market on the EU's ability to tackle the crisis.
ECB TO THE RESCUE?
"The market is already expecting disappointment from the summit. But I do think the euro will be supported by expectations that the European Central Bank will take some measures next week," said a currency trader at a Japanese bank.
With concrete steps for further integration of the currency bloc seen unlikely while Spanish and Italian debt yields remain at unsustainably high levels, market players are increasingly betting the ECB will either cut rates or announce massive long-term fund injections after its policy meeting next week.
The bank's Executive Board member Peter Praet said on Wednesday there is nothing to stop the bank cutting rates and 48 out of 71 economists polled by Reuters expected a rate cut.
Helping to fan such speculation, German inflation eased to an 18-month low, government data showed on Wednesday, which market players think could help nudge traditionally hawkish ECB policymakers towards easing.
Italy's borrowing costs are likely to rise above 6 percent at an auction of up to 5.5 billion euro bonds planned later in the day, just hours before the start of the summit.
On the other hand, U.S. economic data offered a rare positive surprise on Wednesday, with durable goods orders and pending home sales both beating market expectations, helping to boost risk sentiment in broad financial markets.
That helped to lift the Australian dollar by around 0.3 percent on Thursday to a one-week high of $1.0121, though strong resistance is seen around $1.0130, a level representing the 61.8 percent retracement of its recent decline.
The Aussie hit a four-month high against the euro, which fell as low as A$1.2331.
The U.S. dollar fell 0.4 percent against the yen to around 79.40 yen largely due to month-end selling by Japanese exporters, but it stayed within its trading range of the past few days.
"I don't think a clear trend will emerge in the dollar/yen in the near future," said Koichi Takamatsu, forex manager at Nomura, adding that the pair is hemmed in by Japanese exporters' offers above 80 yen on the upside and by wariness about Japan's intervention around 78 yen.
Traders also said it might not be wise to read too much on latest price actions as month-end and quarter-end flows probably played a big role in each currency pair in otherwise thin market ahead of the EU summit.
US Dollar Targets Fresh Highs versus Euro Through End of June, July - DailyFx
- EURUSD – Euro Targets Lows as Forex Crowds Turn
- GBPUSD – British Pound Forecast to Fall Further
- USDJPY – Japanese Yen at Critical Resistance, Outlook Bullish
- USDCHF – Swiss Franc Expected to Weaken Further
- USDCAD – Canadian Dollar Forecast to Fall versus US Dollar
- GBPJPY – British Pound Outlook Bearish versus Japanese Yen
Retail forex trading crowds have aggressively sold into US Dollar (ticker: USDOLLAR) strength, and our proprietary sentiment-based strategies have bought the USD against the Euro, British Pound, and Australian Dollar—calling for further Greenback gains.
The US Dollar initially looked as though it could continue to consolidate and correct lower against the Euro (EURUSD higher) through the end of June. Yet current event risk remains critical on the European summit and developments in Euro Zone fiscal crises. We see scope for further EURUSD declines.
Limited forex options market volatility expectations dampens optimism for explosive US Dollar breakouts, but the Greenback looks as though it could continue to trade quietly higher through the end of June. It will be critical to watch moves in the Dow Jones FXCM Dollar Index at important support, but a hold of significant lows would clearly bolster our calls for further Dollar strength.
How do we interpret and trade with the SSI? Watch an FXCM Expo Presentation that explains the SSI.
--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com
To receive the SSI via e-mail and other reports from author David RodrÃguez, e-mail subject line “Distribution List” to drodriguez@dailyfx.com; Contact David via Twitter at http://www.twitter.com/DRodriguezFX
http://www.dailyfx.com/forex_trading_signals/
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from FXCM.
China Finance Online Reports 2012 First Quarter Unaudited Financial Results - Yahoo Finance
BEIJING, June 27, 2012 /PRNewswire-Asia/ -- China Finance Online Co. Limited ("China Finance Online", "the Company") (NASDAQ GS: JRJC), a technology-driven, user-focused market leader in China in providing vertically integrated financial information and services including news, data, analytics, securities investment advisory and brokerage-related services, today announced its unaudited financial results for the first quarter ended March 31, 2012.
2012 Q1 Financial Summary
- Net revenues were $9.1 million compared with $15.0 million for the first quarter of 2011;
- Gross profit was $7.1 million compared with $12.7 million for the first quarter of 2011;
- Net loss attributable to China Finance Online was $1.3 million;
- Excluding non-cash share-based compensation expenses, non-GAAP net loss attributable to China Finance Online was $1.1 million.
Key Developments
- Stockstar.com ("Stockstar") entered into an exclusive partnership with Baidu.com ("Baidu") on a mobile web application to provide financial information services.
Mr. Zhiwei Zhao, Chairman and CEO of China Finance Online, commented, "Amid concerns toward a slowdown of the Chinese economy, the Chinese A-Share market again was one of the most underperforming global equity markets during the first quarter of 2012. Trading turnover and market capitalization shrank further as China's GDP and corporate earnings growth trended lower. Demand for paid securities analysis software continued to be negatively impacted across the board as investor sentiment remained fragile.
"As we transition our business toward securities investment advisory services, we continue to leverage our leadership in financial information services, data solutions and web technologies, to expand our user base. Our flagship sites jrj.com and stockstar.com are two of the most established financial portal sites in China with tens of millions of users. We keep strengthening our research and development in new areas including open-source platform application, wireless application, financial micro-blogging, and HTML5 technology. Furthermore, our exclusive partnership with Baidu will enable us to provide our market-leading financial information services to a much broader audience," Mr. Zhao concluded.
2012 First Quarter Results
Net revenues for the first quarter of 2012 were $9.1 million, compared with $15.0 million for the first quarter of 2011. The main sources of the Company's net revenues were subscription fees from individual customers, subscription fees from institutional customers, advertising revenues and revenues from brokerage-related services, which contributed 69%, 8%, 9% and 14% to total revenues respectively, compared with 80%, 4%, 8%, and 7%, respectively, for the comparable period in 2011. Revenues from subscription fees paid by individual customers decreased 47.8% year-over-year reflecting the decreased demand for paid securities analysis software amid a sluggish stock market in China and continuing impact on sales due to regulatory requirements effective from January of 2011. Institutional subscription revenues increased 17.9% year-over-year to $0.8 million. Revenues from brokerage-related services increased 15.5% year-over-year to $1.3 million.
For the first quarter of 2012, gross profit was $7.1 million compared with $12.7 million for the comparable period in 2011. Gross margin for the first quarter of 2012 was 78.2% compared with 85.0% for the first quarter of 2011. The year-over-year decrease in gross margin was mainly due to lowered revenues.
General and administrative ("G&A") expenses for the first quarter of 2012 were $2.8 million, or 30.4% of net revenues, compared with $2.7 million, or 18.2% for the comparable period in 2011. Excluding non-cash share-based compensation expenses of $0.2 million and $0.4 million for the first quarters of 2012 and 2011, respectively, adjusted G&A expenses for the first quarter of 2012 were $2.6 million, or 28.5% of net revenues, compared with $2.3 million, or 15.4% of net revenues in the first quarter of 2011. The increase in adjusted G&A expenses as a percentage of quarterly revenues was mainly due to lowered revenues.
Sales and marketing expenses for the first quarter of 2012 were $3.5 million, or 39.0% of net revenues, compared with $5.6 million, or 37.4% in the first quarter of 2011. The decrease in sales and marketing expenses in absolute value was due to less marketing expenses and sales commissions from reduced sales. The increase in sales and marketing expenses as a percentage of quarterly net revenues was primarily due to lowered revenues.
Product development expenses for the first quarter of 2012 were $3.2 million, or 35.2% of net revenues, compared with $3.2 million, or 21.6% of net revenues for the same quarter in 2011. The Company's management believes that investments in human and technical resources to improve the Company's data, product and technical capabilities are crucial for the Company's business in the long run.
Total operating expenses for the first quarter of 2012 were $9.5 million, down from $11.5 million in the first quarter of 2011. Excluding non-cash share-based compensation expenses, adjusted operating expenses were $9.3 million in the first quarter of 2012, down from $11.0 million for the first quarter of 2011.
GAAP net loss attributable to China Finance Online for the first quarter of 2012 was $1.3 million compared with a GAAP net income of $1.4 million in the 2011 first quarter. Non-GAAP net loss attributable to China Finance Online, which excluded the non-cash share-based compensation expenses of $0.2 million, was $1.1 million for the 2012 first quarter, compared with a non-GAAP net income of $1.9 million for the same quarter of 2011. Both basic and diluted weighted average number of ordinary shares in the first quarter of 2012 was 109 million. Each ADS represents five ordinary shares of the Company.
As of March 31, 2012, total cash, cash equivalents and restricted cash were $79.9 million and short-term investments were $10.8 million. Accounts receivable in non-margin related business were $2.8 million while Daily Growth's margin-related accounts receivables was $16.7 million. Daily Growth continues to implement strict margin account screening and ongoing monitoring to ensure the safe return of capital.
Total China Finance Online Co. Limited's shareholders' equity was $89.9 million as of March 31, 2012, compared with $90.9 million as of December 31, 2011.
The combined current and non-current deferred revenues at the end of the first quarter of 2012, which represented prepaid service fees made by customers for subscription services that have not been rendered as of March 31, 2012, were $20.1 million.
As of March 31, 2012, the number of active paid subscribers of the Company was approximately 85,000.
Key Developments
On June 18, 2012, China Finance Online announced that one of its flagship portal sites Stockstar.com ("Stockstar") entered into an exclusive partnership with Baidu.com ("Baidu") on a mobile web application to provide financial information services.
Under the partnership, Stockstar and Baidu launched a mobile web application integrating Stockstar's proven financial information services with leading internet technologies. The application allows users to access a variety of information on companies traded on the Shanghai Stock Exchange and the Shenzhen Stock Exchange.
The web application went live in June 2012. Through the application, smartphones running on Google Android and Apple iOS operating systems are now able to access financial information by inputting company name or ticker into Baidu's search engine.
"Stockstar is one of the most established financial portal sites in China with a proven track record in data processing, website optimization, and client development. As more Chinese are spending more time seeking market intelligence online, extending our competitive advantages to the mobile internet market is a natural choice," Mr. Zhiwei Zhao, Chairman and CEO of China Finance Online, commented. "Meanwhile, we are excited to provide our timely, reliable and robust financial information services to Baidu users. I am optimistic that by building on Baidu's powerful and far-reaching platform we will be able to expand our potential users and provide them with a better mobile experience in accessing financial information that is faster and more streamlined," Mr. Zhao concluded.
Strategic Operational Transition
As stated previously, assessing the profound secular changes taking place in both capital markets and our own industry, the Board of Directors decided upon the following strategic transition. Beginning in April 2012, as the Company continues to offer basic versions of paid individual subscription services to individual investors through its flagship portal sites and accumulate paid subscribers with basic software and information services, the Company is no longer accepting new paid subscribers or renewals for its premium individual subscription service, instead, targeting unpaid users of its flagship web portals and low-end subscribers for our securities investment advisory service and over time provide other wealth management services. Such strategic transition may adversely affect our performances in the short term and result in losses of profit during such transition period.
In China, securities investment advisory refers to fee-based investing advice and counsel on stocks and related financial products from licensed professionals who assist in clients' investment decision-making process. Such new business and other wealth management services are still in the early stage of development. The Company does not expect these areas to contribute material revenues any time soon.
Cost reduction associated with the transition will help offset the loss in revenues and mitigate the loss of cash flow to a certain extent. The Company plans to implement additional cost-cutting initiatives to increase efficiency and improve operational performance. Deferred revenues will continue to be realized until the expiration of outstanding premium individual subscriptions. The Company intends to preserve its cash balance as ample cash is critical for ensuring the success of the strategic transition.
Conference Call Information
The Company will host a conference call and a simultaneous webcast, on June 27, 2012 at 8:00 p.m. Eastern Time/June 28, 2012 8:00 a.m. Beijing Time. Interested parties may participate in the conference call by dialing approximately five minutes before the call start time at U.S. +1-877-847-0047, Hong Kong +852-3006-8101, Singapore 8008-523-396, or China 800-876-5011, and the pass code for all regions is 675169.
A replay of the conference call will be available shortly after the conclusion of the event through 11:59 a.m. Eastern Time on July 5, 2012 (or 11:59 p.m. Beijing Time on July 5, 2012). The dial-in details for the replay: U.S. +1-866-572-7808, Hong Kong +852-3012-8000, Singapore 800-101-2157, China 800-876-5013. Access code: 675169.
The conference call will be available as a live webcast and replay at: http://www.media-server.com/m/p/6itzpumo
About China Finance Online
China Finance Online Co. Limited is a technology-driven, user-focused market leader in China in providing vertically integrated financial information and services including news, data, analytics, securities investment advisory and brokerage-related services. Through its flagship portal sites, www.jrj.com and www.stockstar.com, the Company offers basic software and information services to individual investors which integrate financial and listed-company data, information and analytics from multiple sources. Leveraging on its robust internet capabilities and registered user base, China Finance Online is developing securities investment advisory and over time wealth management services. Through its subsidiary, Genius, the Company provides financial database and analytics to institutional customers including domestic brokerages and investment firms. Through its subsidiary, Daily Growth, the Company provides securities brokerage services in Hong Kong.
Safe Harbor Statement
This press release contains forward-looking statements. These statements constitute "forward-looking" statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. Among other things, this release contains the following forward-looking statements regarding:
- our product upgrade and strategic transformation initiative;
- cost-cutting initiative and its effect on efficiency and operational performance;
- potential business consolidation amidst the new regulatory environment;
- the market prospect of the business of securities investment advisory and wealth management;
- the new exclusive partnership between Stockstar and Baidu; and
- the transition period to adapt to the new compliance requirements.
Such statements involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements, which risks and uncertainties include, among others, the following:
- the changing customer needs, regulatory environment and market condition that we are subject to;
- the uneven sector-growth of the Chinese economy that could lead to volatility in the equity markets and affect our operating results in the coming quarters;
- the unpredictability of our strategic transformation and upgrade;
- the competition we are facing in the new business of securities investment advisory and wealth management;
- global macroeconomic uncertainties;
- wavering investor confidence that could impact our business;
- the extent to which Stockstar's financial information services can be integrated into the mobile web application launched by Stockstar and Baidu, and the continuity of the exclusive partnership; and
- possible non-cash goodwill, intangible assets and investment impairment may adversely affect our net income.
Further information regarding these and other risks is included in the Company's filings with the U.S. Securities and Exchange Commission, including its annual report on Form 20-F under "Forward-Looking Information" and "Risk Factors". The Company does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under applicable law.
Non-GAAP Measures
To supplement the unaudited condensed consolidated financial information presented in accordance with Accounting Principles Generally Accepted in the United States of America ("GAAP"), the Company uses non-GAAP measures of income from operations, net income, and diluted net income per ADS, which are adjusted from results based on GAAP to exclude the non-cash share-based compensation expenses and non-cash goodwill, intangible assets and investment impairment. The non-GAAP financial measures are provided to enhance the investors' overall understanding of the Company's current and past financial performance in on-going core operations as well as prospects for the future. These measures should be considered in addition to results prepared and presented in accordance with GAAP, but should not be considered a substitute for or superior to GAAP results. Management uses both GAAP and non-GAAP information in evaluating and operating business internally and therefore deems it important to provide all of this information to investors. For more information on these non-GAAP financial measures, please see the table captioned "Reconciliation of the Company's GAAP financial measures to Non-GAAP financial measures" set forth at the end of this release.
Contact:
Julie Zhu
China Finance Online Co. Limited
+86-10-5832-5288
ir@jrj.com
Shiwei Yin
Grayling
646-284-9474
shiwei.yin@grayling.com
| China Finance Online Co. Limited | ||
| UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS | ||
| (In thousands of U.S. dollars) | ||
| Mar. 31, 2012 | Dec. 31, 2011 | |
| Assets | ||
| Current assets: | ||
| Cash and cash equivalents | 50,493 | 64,641 |
| Restricted cash | 29,432 | 29,861 |
| Trust bank balances held on behalf of customers | 11,645 | 18,664 |
| Accounts receivable, net - others | 2,821 | 1,468 |
| Accounts receivable, net - Margin clients | 16,715 | 12,889 |
| Loan receivable | 9,574 | 9,566 |
| Short-term investments | 10,832 | 10,701 |
| Prepaid expenses and other current assets | 3,623 | 3,577 |
| Deferred tax assets, current | 503 | 634 |
| Total current assets | 135,638 | 152,001 |
| Property and equipment, net | 5,819 | 6,530 |
| Acquired intangible assets, net | 2,749 | - |
| Rental deposits | 739 | 738 |
| Deferred tax assets, non-current | 511 | 484 |
| Other deposits | 223 | 224 |
| Total assets | 145,679 | 159,977 |
| Liabilities and equity | ||
| Current liabilities: | ||
| Deferred revenue, current (including deferred revenue, current of the | 14,037 | 17,287 |
| Accrued expenses and other current liabilities (including accrued | 4,360 | 6,458 |
| Short-term loan (including short-term loan of the consolidated variable | 18,545 | 19,171 |
| Amount due to customers for trust bank balances held on behalf of | 11,645 | 18,664 |
| Accounts payable (including accounts payable of the consolidated | 398 | 144 |
| Deferred tax liability, current (including deferred tax liability, current of the | 4 | 45 |
| Income taxes payable (including income taxes payable of the consolidated | 101 | 135 |
| Total current liabilities | 49,090 | 61,904 |
| Deferred revenue, non-current (including deferred revenue, non-current | 6,025 | 7,237 |
| Deferred tax liability, non-current (including deferred tax liability, non-current | 688 | - |
| Total liabilities | 55,803 | 69,141 |
| Noncontrolling interests | (20) | (105) |
| Total China Finance Online Co. Limited Shareholders' equity | 89,896 | 90,941 |
| Total liabilities and equity | 145,679 | 159,977 |
Brazil Central Bank: Impact of Forex on Regulated Prices Easing - NASDAQ
BRASILIA--The impact of exchange-rate variations on Brazil's regulated prices has diminished in recent periods with changes in price re-adjustment practices in the country, Central Bank Economic Policy Director Carlos Hamilton said Thursday.
Speaking following the release of the bank's quarterly inflation report, Mr. Hamilton said the institution had detected alterations in expectations regarding the impact of currency movements on prices.
"We're no longer seeing the strong influence of the exchange rate on the dynamic of administered prices in Brazil," he said. "This goes along with our evaluation, and the evaluation of other institutions, that there has been a lower influence of foreign exchange on inflation than in the past."
Habitual readjustment of regulated, or "administered," prices such as public utility, telecom and public transportation prices has long been considered a driver of indexation and a central factor behind strong inflation in Brazil.
"One of the factors altering this has been a change in practices regarding contracts," he said. "Previously they were completely indexed to inflation, but in as far as contracts abandon these clauses we'll see a lower influence of forex."
He also noted that the weight of wholesale price indices on adjustment of administered prices has diminished.
Mr. Hamilton said he believed that a change in attitudes regarding inflation had come as Brazilians had become more accustomed to a stable inflation and foreign-exchange environment over the years.
"The mechanisms of indexation remains strong, but there has been a change in behavior," he said. "In the past, exchange-rate policy was managed and all change in the exchange rate was upward and incorporated as a permanent change."
Until 1999, Brazil had a managed foreign-exchange policy but abandoned that system in the wake of balance of payments difficulties prompted by a crisis in Asia. Since then the country has maintained a floating exchange rate and inflation that is stabilized with annual inflation targets.
While Mr. Hamilton said that some indexation to the exchange rate should continue, it would occur mostly with goods that are imported and directly priced in dollars.
"Certainly when you buy something like caviar, for example, you'll see the impact of the exchange rate."
According to the central bank's inflation report released Thursday, the institution projects an acceleration of the country's IPCA consumer price inflation index by 4.7% in 2012. The index is seen ending 2013 at 5.0%
Meanwhile, Brazil's government Thursday reaffirmed its annual inflation target of 4.5% in 2013 and set the same target for 2014. The targets come with a two-percentage-point margin for error above and below their center points.
Write to Gerald Jeffris at gerald.jeffris@dowjones.com
(END) Dow Jones Newswires 06-28-121802ET Copyright (c) 2012 Dow Jones & Company, Inc.
Glencore finance chief moves £200m of shares - Daily Telegraph
Disclosure of the transfer of more than 70m shares belonging to Steven Kalmin came as Glencore bought time to persuade the Qataris to back its planned merger. After the shock demand from Xstrata's second biggest shareholder, Qatar, for better terms for Xstrata shareholders, the miner and Glencore said they would push back respective shareholder meetings on the deal from July 11 and 12.
Forex Brokers Struggle to See Eye to Eye on Proposed New Forum - PRLog (free press release)
The debate among Forex & CFD brokers, about how client money is handled, has begun to heat up as both ASIC and Treasury look to propose important changes around how client money is handled.
Andrew Merry, managing director of Capital CFDs http://www.capitalcfds.com.au , said that the discovery that more than 30 per cent of providers had failed to comply with client money laws was a very real concern.
"After MF Global's collapse, it is disheartening to read that there are a large proportion of providers who are not complying with the most important procedure in running a company - the protection of client money," he said.
Andrew Merry, of Capital CFDs, is the spokesperson for the newly established Australian CFD Forum, along with other prominent Forex & CFD brokers in Australia like IG Markets, CMC Markets, GFT and City Index. All have a mandate to comply with a higher standard of client money protection along with 15 other Best Practice Standards, which each member is required to adhere to.
Merry said "the key standard which is causing discussion is that of client money. The forum advocates that client money should not be used for any operational purposes, including the hedging of client positions, but rather should be safeguarded in client money trust accounts. This is the safest investor protection model and therefore adopted as a best practice standard by the forum".
"The establishment of the CFD Forum represents the creation of an industry body which requires all members to comply with best practice standards," Andrew Merry said.
Local brokers questioning the Australian CFD Forum, including Matt Murphie from FP Markets and Andrew Budzinski from IC Markets, employ a DMA & ECN model, which uses client money when hedging positions in the underlying market.
Andrew Merry suggests "The CFD Forum’s purpose is to provide clarity to CFD traders, for traders to feel assured that they are dealing with providers that have the highest level of corporate governance and ones that adopt the best practice standards. Ultimately it has been created for the benefit of the client and to ensure investor protection.”
For more information on Capital CFDs and to grab your Free $10,000 demo account or their Successful Traders Blueprint, visit their website at http://www.capitalcfds.com.au
Capital CFDs is a trading name of London Capital Group Pty Limited and is fully owned by London Capital Group Holdings Plc which is listed on the London Stock Exchange. London Capital Group transacts over 30,000 trades each day and has over 70,000 clients globally. Capital CFDs is regulated by ASIC under AFSL 364264
While Capital CFDs attempts to ensure that the information herein is accurate at the date the information was produced, however, Capital CFDs does not guarantee the accuracy, timeliness, completeness, performance or fitness for a particular purpose of any of the information provided herein and under no circumstances are they to be considered an offer, solicitation to invest or be construed as giving investment advice.
Finance Ministry projects 5.7% growth for 2012 - Nation - Thailand
The Finance Ministry expects the Thai economy to expand 5.7 per cent this year, despite some risk factors that include the euro zone crisis which is plunging demand for Thailand's exports.
Thai economy expected to expand despite euro zone crisis
The Finance Ministry expects the Thai economy to expand 5.7 per cent this year, despite some risk factors, which include the euro zone crisis that is pushing down demand for Thailand’s exports.
Somchai Sajjapongse, director general of the Fiscal Policy Office, said at a press conference today that the Bt350 billion public investment on water management infrastructure would be key to buoying the economy, aside from the recovery in the manufacturing sector.
While the National Economic and Social Development Board forecasts a growth range of 5.56.5 per cent, the office expects the economy to grow in the range of 5.26.2 per cent, an upward revision from the previous forecast announced in March.
Somchai said that domestic consumption should show a vigorous and continued recovery, as consumers and investors have been cheered by the fast recovery in the manufacturing sector after last year's floods.
The floods also sparked a need for replacement and repairs. Spending is being boosted by the higher minimum wage and the pay rise for civil servants. This is supported by the government's rice pledging, firsthome and firstcar schemes, and corporate tax cut policy.
The government is expected to start spending the Bt350 billion fund in the second half of this year.
Still, he remarked that the export sector and tourism sector should witness a slowdown, given the Euro zone debt crisis.
While the export value is likely expand only 12.8 per cent (against Commerce Ministry's 15 per cent forecast), the import value is expected to increase by 22.3 per cent this year.
On lower export income and higher imports driven by domestic demand, Thailand should this year register a current account deficit, estimated to account for 0.10.9 per cent of gross domestic product.
The office expects inflation to stay at 3.5 per cent this year, in line with weakening oil prices.
Comments conditions
Users are solely responsible for their comments.We reserve the right to remove any comment and revoke posting rights for any reason withou prior notice.
Forex Flash: GBP/USD targets 1.5407, intraday resistance at 1.5678/98 - Commerzbank - FXStreet.com
“The market failed last week at the 1.5750/1.5786 area where the 200 day moving average and the 50% retracement converge and short term risks have reverted to the down side”, wrote analyst Karen Jones.
No comments:
Post a Comment