TOKYO - the Nikkei average dropped to a minimum of five weeks Monday after closed out hedge fund positions construction machinery manufacturers, stimulated by downgrades Nomura Securities on request the dilapidation of China, with investors considering more losses for the benchmark index after it breached a key support level.
The benchmark Nikkei average (.)(N225) closed by 1.5% to 9,460.63, while the broader Topix (.)(TOPX) hangar 1.2% to 817.68.
NEW YORK - the United States deployed 1.0 billion through intervention by the G7 in the currency markets to tame the yen soared after the earthquake of the Japan disaster, the Federal Reserve said Friday.
"U.S. monetary authorities intervened in the foreign exchange markets once in the first quarter, March 18, purchase of $ 1 billion against the Japanese yen," the Federal Reserve Bank of New York said in its quarterly report for the Congress of the United States.
The New York Fed confirmed the intervention to sell the yen on March 18, without disclosing its value.
The day before, the Japan and its economic allies announced that they would intervene on currency markets for the first time in ten years to calm the crisis triggered by the severe earthquake on March 11 and the tsunami and the subsequent nuclear crisis.
The pledge came after talks about emergency telephone by the Group of seven nations in response to a surge in the yen, which threatens the prospects for recovery in the Japanese economy.
The amount of U.S. intervention was evenly divided between the Federal Reserve and US Treasury, said the New York Fed.
The intervention of coordinated G7 was conducted by the foreign exchange trading desk at the Fed New York, operating in collaboration with the Japanese monetary authorities, the Central Bank European and monetary authorities of Great Britain and the CanadaHe said.
In the three months ended March 31, the dollar had depreciated 5.5% against the euro but appreciated by 2.5 percent against the Japanese yen, the New York Fed reported.
At the same time, the dollar weakened 3.7%, as measured by major currencies of the Federal Reserve Board, in part because "We, the concerns of increased economic growth" and expectated the Fed to maintain the low market interest rates, but provides for an increase in the rate of the European Central Bank.
Cairo - to the United States is studying ways to support the Egyptian economy after the overthrow of Hosni Mubarak, the US Embassy said Monday after a newspaper U.S. said Washington had decided to provide $ 1 billion in debt relief.
The Washington Post, citing the US authorities without a name, said Sunday that the relief would be part of a program of economic aid in Egypt which would also include commercial incentives and investment.
The report of the U.S. helped stimulate Egyptian actions. Monday closed reference index 1.1% higher.
"We are still in the process of consultations on how to the United States can help the Egypt economically it progresses in its transition to democracy," the Embassy said in a statement sent to Reuters.
The political unrest that led to the resignation of President Hosni Mubarak on 11 February scare tourism and foreign investment, the main sources of currency and caused other business to slow down.
Last month, the Monetary Fund International said that Egypt had reported that 10 to 12 billion dollars to meet a funding deficit.
The Egypt said that he sought $ 10 billion in funding from international donors and rich nations to deal with the unrest.
Unrest has reduced tax revenues at a time when the requirements of the demonstrators for employment and higher wages have caused the Government stimulate social spending.
The Minister of finance Samir Radwan, said last week that expected budget deficit of the Egypt to extend to 9.4% of the gross domestic product (GDP) of the fiscal year 2011-2012 a 8.5% expected this year.
The country's economy has contracted by about 7% of January-March and the Monetary Fund International is projecting a plunge in the growth of 1.0% this year, well below the long-term average, following expansion of 5.1% in 2010.
NEW YORK - Nasdaq and IntercontinentalExchange handed directly to the shareholders of the parent company of the New York Stock Exchange in its bid not sought to acquire the owner of the Exchange.
On Monday, Nasdaq OMX Group Inc. and IntercontinentalExchange Inc. (ICE) has published a letter to the shareholders of NYSE Euronext, saying that the NYSE Board is rushing them to a vote without exploring better alternatives. The two exchanges hope that shareholders will put pressure on the NYSE to examine the Nasdaq and Intercontinental bid for NYSE Euronext, which is approximately $ 11 billion.
The parent company of NYSE rejected twice of the joint bid of the Nasdaq and the ice by saying: it is committed to its merger previously agreed to 10 billion dollars with the operator Deutsche Boerse German exchange, despite the lower price. NYSE shareholders are scheduled to vote in early July on the merger with the German company.
Frameworks of Nasdaq and ice have expressed disappointment that NYSE refused to even meet with them to take account of their public offer higher purchasing. They have also started an exchange offer to jointly acquire all the outstanding shares of NYSE Euronext for $ 11 billion.
They hope to build on the contentious annual meeting the NYSE on April 28, where said shareholders concerned about the fact that the NYSE Board was not the highest purchase tender considering.
The letter sought to put the focus on the regulatory challenges facing the transaction of Deutsche Boerse in Europe. She cited Dominique Cerutti, deputy CEO of NYSE Euronext, who said that it would take until March 2012 to win regulatory approval of the European Union.
