|
Morning Pac – Asian Markets Descend Wall of Worry
Untitled Document
|
|
|
|
August 22, 2011
|
COVERAGE AND COMMENTARY FROM EURO PACIFIC
The Bottom Line #4 - We're going to need a bigger boat
by Paul Azeff and Kory Bobrow
For those of you who don't remember the 1975 classic movie "Jaws", this is the line Roy Scheider delivers after first seeing the massive size of the man eater. It's become such a classic line that it's now entered the lexicon and is used anytime a situation seems insurmountable. It looks to us like Europe's gonna need a bigger boat. JP Morgan might need one too, thanks to Mr. Chavez. More on that in a bit...
http://www.europac.ca/commentaries/bottom_line_4
Paper Currencies Finally Redeemed for Gold - by John Browne
The basic unwillingness of politicians to face economic and financial realities has caused the United States and European Union to face currency collapse. The politicians are content literally to paper over the problem with massive amounts of newly printed currency. This means that savvy investors, facing major real losses, are turning increasingly to gold. In essence, even though currencies are no longer on a gold standard, they are increasingly being "redeemed" for gold in the marketplace...
http://www.europac.ca/commentaries/paper_currencies_finally_redeemed_gold
ECONOMIC AND MARKET NOTES
Merkel dismisses euro bonds 'for the moment'
CHANCELLOR ANGELA Merkel has revived the debate about euro bonds by refusing to rule out the idea of common euro zone debt entirely, instead dismissing the concept "for the moment".
Her remark on German television yesterday came as her finance minister, Wolfgang Schäuble, suggested the real cause of recent euro zone turbulence was the lack of political will for closer fiscal union in the bloc.
http://www.irishtimes.com/newspaper/finance/2011/0822/1224302805524.html
Asian Markets Descend Wall of Worry
Most Asian markets surrendered gains to end lower Monday as worries about the European debt crisis and global economic outlook kept investors on edge.
Japan's Nikkei Stock Average ended 1% lower at 8623.13, as hopes that authorities would intervene to curb the yen's strength pulled the currency back from a postwar record level against the dollar, but not enough to lift shares of most exporters.
South Korea's Kospi slid 2% to 1710.70, China's Shanghai Composite dropped 0.7% to 2515.86, Australia's S&P/ASX 200 index lost 0.5% to 4082.3 and Taiwan's Taiex fell 0.4% to 7312.59.
On the plus side, India's Sensex gained 1.2% to 16341.70, and Hong Kong's Hang Seng Index overcame a drop in mainland China property developers—which skidded after China Resources Land's earnings fell short of some analysts' expectations—to finish a roller-coaster session with 0.5% gain, to 19486.87.
http://online.wsj.com/article/SB10001424053111903327904576523080009356522.html?mod=dist_smartbrief
COMPANY AND COMMODITY HEADLINES
Rare earth seen as boosting Hong Kong
Hong Kong should look into the possibility of launching a rare earth metals processing industry that will help revive the real economy in the territory, said Federation of Hong Kong Industries chairman Roy Chung Chi-ping.
The idea is now being studied by the Federation and the Hong Kong Productivity Council, and the findings will be presented to the central government, Chung told The Standard.
http://www.thestandard.com.hk/news_detail.asp?we_cat=4&art_id=114382&sid=33464906&con_type=1&d_str=20110822&fc=10
Sojitz to buy Australian rare earths / Imports likely to be limited initially, so China will continue to be main source
Major trading company Sojitz Corp. plans to import a large amount of rare earth minerals from Australia, starting as early as February, according to company sources.
Sojitz hopes to initially import 3,000 to 4,000 tons annually, equivalent to about 10 percent to 20 percent of domestic demand. The firm aims to raise annual imports to 9,000 tons in 2013, which would account for about 40 percent of domestic demand.
http://www.yomiuri.co.jp/dy/business/T110821002652.htm
|
|
|
| |
|
| Institutional Sales and Trading
|
Russell Starr
Head of Equities
416-649-4272
russell.starr@europac.ca |
David Foley
M.Dir. Institutional Sales & Trading
416-933-3350
david.foley@europac.ca |
Christine Young
Institutional Sales
416-479-8690
christine.young@europac.ca |
Liza Oulton
Institutional Sales Trader
416-933-3351
liza.oulton@europac.ca |
Christina McCarthy
Mining Specialist
416-649-4273 x405
christina.mccarthy@europac.ca |
Taylor Christie
Institutional Sales Trader
416-649-4274
taylor.christie@europac.ca |
This
information expresses the opinions of the above-noted Institutional Sales and
Trading personnel, and not necessarily those of Euro Pacific Canada Inc. (Euro
Pacific). Statistics, factual data and other information are from sources believed
to be reliable but their accuracy cannot be guaranteed. It is for information
purposes only and is not to be construed as an offer or solicitation for the
sale or purchase of securities. It is not meant to provide legal, taxation,
accounting or account advice; as each situation is different, please seek
advice based on your specific circumstance. Euro Pacific and its officers,
directors, employees and their families may from time to time invest in the
securities discussed in this newsletter. It is intended for distribution only
in those jurisdictions where Euro pacific is registered as a dealer in
securities.
|
---
 |
Votes: 0
Voting..
|
|
|
|
|