Venezuelan Bolivar currency devaluation
Economy April 7th, 2010
President Hugo Chavez announced the devaluation of the currency for the first time since 2005 that aimed to help the Venezuelan oil company’s performance.
Chavez said Bolivar currency has two exchange rates are 2.60 per dollar for the transaction of government priorities and the 4.30 per dollar for other transactions. This led to the devaluation of the exchange rate Bolivar down 17% or 50%, depending on his tier.
High exchange rate, or so-called oil dollars, will double the Venezuelan oil company earnings when converted into local currency. Over half the oil and gas revenues from the government budget, but the income was shrunk due to lower world oil prices over the past year.
Chavez said the main exchange rate will be used for food, health products, school supplies, supplies for economic development and others.
He said the policy of the new exchange rate aims to improve economic productivity, eliminate unnecessary import, and export mestimulasi.
Imports expected to fall in exchange rates are less favorable such as automotive, telecommunications products, computers, home equipment, alcohol, and tobacco.
Government official exchange rate set at 2.15 per U.S. dollar Bolivar since 2005.
Devaluation was expected to move domestic economy and limit the international impact. The Government has introduced a system of strict exchange rates since 2003 to prevent capital flight.
Chavez also stressed the government will intervene in the bond market.
The MSCI Asia Pacific Index rose 3.1%
Stock Report April 7th, 2010
Asian stock rose for the third week after the retail sector increased sales and expansion in the U.S. manufacturing sector to encourage the belief in the global economic recovery.
Nintendo Co. shares surged 16% after sales in the U.S. soared. PetroChina Co. shares, the national’s largest oil producer, climbed 8.2% after crude oil prices rose to the highest level in 14 months. Hutchison Telecommunications International Ltd. soared 32% in Hong Kong.
“Actions like going to the stability of the global recovery. The market and the economy will improve in 2010,” said Yoshinori Nagano, senior analyst with Daiwa Asset Management Co. in Tokyo.
The MSCI Asia Pacific Index rose 3.1% to 124.22 during the first week of trading in 2010. Last year the index rose 34%, the biggest annual gain since 2003, after the central bank cut interest rates and poured funds to lift the economy from recession.
Nikkei 225 Stock Average rose 2.4% Japan this week after speculation in the company’s revenues in foreign countries following the weakening of the yen rises above the U.S. dollar. Depreciation was triggered by a statement that the new Finance Minister Naoto Kan.
Hang Seng Index in Hong Kong rose 1.9% and the S & P / ASX 200 Index of Australia increased 0.9%. Shanghai Composite Index tumbled 2.5% on worries over government measures to limit credit growth and a slowing expansion in the property sector.
This week global optimism grew stronger after the U.S. government reported an increase in manufacturing orders two times larger than expectations. Also Retail Metrics Inc. claims that the retail sector sales for December rose 3%, the biggest since April 2008. Taiwan exports also rose during the last month, the fastest rate since February 1995.
Nintendo shares rose 16% to 25,580 yen. Wii in U.S. sales to exceed 3 million by December. Shares Li & Fung Ltd., supplier of clothing to Wal-Mart Stores Inc., rose 5% to HK $ 33.85. Toyota Motor Corp., which grabbed 32% increase in U.S. sales during December, increased 2.1% to 3960 yen.
“Revenues will increase significantly the company this year with the improvement in the global economy and efficiency efforts began to feel the impact,” said Koichi Kurose, chief strategist at Resona Bank Ltd. of Tokyo.
Petrohina shares jumped 8.2% to HK $ 10.08 and CNOOC Ltd. rose 6.9% to HK $ 13.04. For Rio Tinto Ltd rose 5.5% to A $ 79.01. The shares of Aluminum Corp. of China Ltd. jumped 16% to HK $ 9.93 in Hong Kong.
Hutchison Telecommunications shares rocketed 32% to HK $ 2.12 after miliader Li Ka-shing Hutchison Whampoa Ltd. the owner of the company’s bid valued at HK $ 4.23 billion (U.S. $ 545 million). Hutchison Whampoa intends to buy all shares in the telephone unit cost HK $ 2.20 per share.
Stocks Samsung Electronics Co., manufacturer of semiconductors, flat screens, and the largest mobile phone in Asia, grew 2.8% to 821,000 won. The company reported a profit during the quarter IV driven by rising prices and increasing demand television.
Standard & Poor’s 500 Index rose 0.3%
Stock Report April 7th, 2010
U.S. stocks rose for a fifth day yesterday following the end of speculation and corporate profits decline in the Federal Reserve will leave interest rates triggered by the low unemployment reduction.
Shares of United Parcel Service Inc. rose 4.8% after reporting a profit would beat estimates. Alcoa Inc. shares increased 2.5% before the largest aluminum company’s quarterly performance IV launch on January 11. The increase was also seen in shares of AK Steel Holding Corp. 3.9% after JPMorgan Chase & Co. raised its share in consideration of the estimated increase in commodity prices outlook.
Standard & Poor’s 500 Index rose 0.3% to the highest position in the 15 months to 1144.98 at 4:06 pm in New York, adding 2.7% increase this week. The Dow rose 11.33 points, or 0.1% to 10,618.19.
“Unemployment report gives a big impact on the stock exchange this week with a significant reduction of the estimates, the market seems to move up,” said Lawrence creatura, fund manager at Federated Investors Inc..
Stock market boom also affected by large traders in the U.S. unexpectedly during November. This order marks the company increases with increasing sales by 3.3%. Shares rose largest industrial groups in the other 10 in the S & P 500 increased 1.5%.
UPS stock, delivery service companies in the world’s largest, rose after reporting a Fourth-quarter earnings exceeded analyst expectations. UPS also announced it will cut 1800 employees as part of a strategy to maintain market share in the U.S.. UPS shares rose 4.8% to U.S. $ 60.17, the biggest since March.
Alcoa shares increased 2.5% to U.S. $ 17.02. AK Steel shares while the largest rise in the S & P 500 Index, by 9.3% to U.S. $ 25.77. JPMorgan raised its share estimate to U.S. $ 34 from U.S. $ 29 following the prospect of rising steel prices.
General Electric Co. shares rose in the Dow’s second-largest, grew 2.2% to U.S. $ 16.60. Shares Caterpillar Inc., construction equipment maker, rose 1.1% to U.S. $ 60.34.
Fnansial stocks the largest fall among 10 industry groups in the S & P fell 0.5% due to slow trade will affect the bank’s income
Bussan Auto Finance 2009 Yamaha prop sale
Credit and Loan April 7th, 2010
PT Bussan Auto Finance (BAF) to support sales of Yamaha motorcycles this year up to 3 million consumers through and eventually led the national motorcycle market.
BAF Marketing Director Armando Lung said over 35 years in Indonesia, Yamaha could become number one in the National motorcycle market. BAF, he said, support these achievements with the support of Yamaha motorcycle sales through credit.
“Yamaha could be number one and BAF contributed as an official credit Yamaha,” he said in a ceremony to present to 3 million consumers in Jakarta this afternoon.
On the occasion, BAF gave gifts to the motorcycle Jarot Mio Nurtrimoyo as 3 million consumers to Yamaha.
Armando said that this year the growth of new financing BAF increase along with improving the national economy. This encourages an increase in purchasing power.
He said the financing market last year constrained three things, namely the tight liquidity, high interest loans and bad credit
Furniture industry and wood craft in Surakarta optimistic overseas market demand, especially from traditional export destinations such as the United States and Europe rebounded in the quarter I/2010.
Trust can be seen from petumbuhan export performance during the last quarter of 2009 which can be used as indicators of the improving world economic conditions, according rocked by the global crisis in 2008.
Chairman of the Association of Industry and Handicraft Permebelan Indonesia (Asmindo) Komda Surakarta David R. Wijaya said the symptoms of increased orders from abroad seen in recent months.
“It’s getting better, I’ll be looking right in February 2010. Late this year or early next year, orders have started coming,” he told Bisnis.com, today.
According to him, the world financial crisis that caused the United States economy struggled and the other European countries faltered, apparently did not take place in a long period of time.
As a result, he tells the market conditions began to passionately and export activities to many countries the main purpose of Surakarta businessman, showed a positive trend.
“We are worried the crisis had lasted longer, in fact just a moment. Including crisis worries Dubai, receive the effects do not disturb the world economy,” he said.
With the improving performance of commodity exports of furniture Surakarta, he expects the bank’s role was strengthened in supporting business activities in the region.
