Best Buy aims to step up expansion in China

(Reuters) - Best Buy, which operates more than 800 stores in the United
States and Canada, made its initial foray into China in June
2006, taking a 75 percent stake in the country's third-largest
consumer electronics retailer, Jiangsu Five Star Appliance Co.,
a major player in the affluent eastern coast.




The U.S. company opened its first own-brand China outlet in
Shanghai's upscale Xujiahui district three months later,
selling its Magnolia home theatres, Gourmet Shop kitchen
products and Geek Squad computer support services along with
other brands.


Read more at Reuters.com Business News

European Stocks May Drop; Deutsche Bank, UBS, Nokia Might Fall

(Bloomberg) -- European stocks may decline as bond
yields gained in the U.S., reviving concern that companies and
consumers will face higher borrowing costs.

U.S.-traded securities of Deutsche Bank AG, Germany's
biggest bank, and UBS AG, Switzerland's largest, dropped. Axa SA,
Europe's second-largest insurer, also fell. Nokia Oyj may drop
after Goldman, Sachs & Co. cut its recommendation on the shares
to ``neutral.''


Read more at Bloomberg Stocks News

Bad Weather Cuts Number of Coal Ships Leaving Australia's Newcastle Port

(Bloomberg) -- Bad weather in Newcastle, Australia,
the world's largest coal export port, cut the number of ships
that left the terminal last week to eight, pushing prices for the
fuel higher.

For the week ended June 16, five vessels headed for Japan,
and one each to Egypt, South Korea and Mexico, Newcastle Port
Corp. said in an e-mailed statement. For the week ended June 9,
13 ships departed, down from 20 a week earlier.


Read more at Bloomberg Energy News

European Government Bonds May Fall on Speculation ECB to Keep Raising Rate

(Bloomberg) -- European bonds may fall after their
steepest drop in a week, and before a report that's expected to
show business optimism in the region's largest economy is
buoyant, underpinning the case for the European Central Bank to
keep raising interest rates.

The drop in debt pushed 10-year yields to near a five-year
high yesterday as investors reassessed the outlook for global
borrowing costs. An index tomorrow is likely to show German
business confidence held near the highest on record this month.
Futures show traders are adding to bets the ECB will raise rates
twice more this year.


Read more at Bloomberg Bonds News

Japan's Nikkei 225 Climbs to Seven-Year High; Semiconductor Stocks Rise

(Bloomberg) -- Japanese stocks advanced, sending
the Nikkei 225 Stock Average to a seven-year high.
Semiconductor-related companies such as Elpida Memory Inc.
gained on speculation profit will grow after prices of dynamic
random access memory, or DRAM, surged.

Tokyo Electron Ltd., the world's second-biggest supplier of
chipmaking equipment, jumped the most in a month.


Read more at Bloomberg Stocks News

NYSE Euronext Will Have to Sell Stake in MBE Holdings to Borsa Italiana

(Bloomberg) -- NYSE Euronext, operator of stock and
derivatives exchanges on both sides of the Atlantic, will have
to sell its stake in the venture that operates Europe's main
government-bond trading market to partner Borsa Italiana SpA.

Borsa Italiana notified NYSE Euronext today that it wants
to exercise an option to buy the 51 percent stake in MBE
Holdings Inc. it doesn't already own, the New York-based
exchange said in a statement. The option was triggered by the
NYSE Group Inc.'s $14 billion purchase of Euronext NV in April.
The Big Board will have three months from today to determine a
price for shares of MBE Holdings, which owns a majority stake in
the fixed-income market MTS SpA, according to the statement.


Read more at Bloomberg Stocks News

Philippine Government May Cut Debt on Asset Sales, Acting Treasurer Says

(Bloomberg) -- The Philippines, which missed its
tax collection goal in the first five months, may still be able
to cut local-currency debt sales this year as the government
sells assets, Finance Undersecretary Roberto Tan said.

``Should privatization plans materialize in the third
quarter, our domestic borrowings this year may even turn out
lower than planned,'' Tan, also the country's interim treasurer,
said in an interview in Manila. Tax revenue, which lagged behind
the country's nominal growth of 10 percent, ``will recover.''


Read more at Bloomberg Emerging Markets News

Japan's Exporter Stocks Fall, Led by Toyota; Chipmakers, Steel Shares Gain

(Bloomberg) -- Japanese exporter stocks declined,
led by Toyota Motor Corp., after higher U.S. bond yields renewed
concern that spending in the world's largest economy will slow.

Nissan Motor Co., which made around 43 percent of its total
sales in North America last year, dropped by the most in almost
two weeks. The Standard & Poor's 500 Index had the biggest slide
in two weeks yesterday on concern a slump in the housing market
will intensify.


Read more at Bloomberg Stocks News

Asian Stocks Decline on U.S. Bond Yields, Led by Toyota; Samsung Advances

(Bloomberg) -- Asian stocks fell for the first time
in six days after higher U.S. bond yields renewed concern that
spending in the world's largest economy will slow.

Toyota Motor Corp. and LG Electronics Inc. led exporters
lower, dragging the Morgan Stanley Capital International Asia-
Pacific Index from a record. U.S. shares posted their biggest drop
in two weeks yesterday after the yield on the 10-year Treasury
note, which influences rates on mortgages and corporate loans,
ended a three-day decline.


Read more at Bloomberg Stocks News

Japan's May Trade Surplus Widens 9.3 Percent as Export Growth Accelerates

(Bloomberg) -- Japan's trade surplus widened in May
as export growth accelerated, indicating the slump in U.S.
demand that cooled shipments in April was temporary.

The surplus rose 9.3 percent to 389.5 billion yen ($3.2
billion) from a year earlier, the Ministry of Finance said today
in Tokyo. The median estimate of 36 economists surveyed by
Bloomberg News was for the surplus to widen to 462.7 billion yen.


Read more at Bloomberg Bonds News

New think tank details US withdrawal from Iraq

(Reuters) - These aims include preventing the establishment of al Qaeda
safe havens, a regional war and genocide instead of President
George W. Bush's goal of creating a democracy.




The center, which aims to advance a strong centrist
national security strategy, added its voice to the debate as
violence in Iraq spiraled.


Read more at Reuters.com Bonds News

New Zealand Dollar Pares Advance on Concern Central Bank Will Sell Again

(Bloomberg) -- New Zealand's dollar pared its gain
from near a 22-year high, on concern the nation's central bank
may sell the currency again to curb its strength.

The currency traded as high as 76.34 U.S. cents earlier
today, just shy of the 76.39 level it reached June 11, when the
central bank sold the New Zealand dollar, causing it to drop as
much as 1.8 percent. The Reserve Bank of New Zealand sold the
currency a second time on June 18, some traders said.


Read more at Bloomberg Currencies News

US lawmaker cites China concerns on Blackstone IPO

(Reuters) - "If true, it is incumbent upon the SEC and the Committee
for Foreign Investment in the United States to ensure
that this technology not be acquired by the government of
China," Webb wrote in the letter, in which he said the Chinese
government has agreed to invest heavily in Blackstone.




Read more at Reuters.com Government Filings News

Senate panel chops student lender subsidies

(Reuters) - In two votes, the panel approved a package of bills that would reduce "special allowance" payments made to federally guaranteed student loan firms such as Sallie Mae, Citigroup and Bank of America.




In another area, it would cut to 16 percent from 23 percent the fees that loan guaranty agencies are allowed to keep on funds they collect from defaulted student loans.


Read more at Reuters.com Government Filings News

RLPC-UPDATE 1-Terms sweetened on Thomson LBO financing

(Reuters) - The term loan is part of a $3.74 billion bank loan for
Thomson Learning.




Pricing on the $3.44 billion loan has been increased by 25
basis points to 275 basis points over Libor. The loan will now
be issued at 99-99.25 cents on the dollar and will benefit from
soft-call protection of 101 for one year.


Read more at Reuters.com Bonds News

US SEC changes rule to prevent abusive short sales

(Reuters) - Short sellers try to profit from a falling stock price by
borrowing shares, selling them high and later buying them back
at a lower price, then returning them to the lender and taking
as profit the difference between the sale and repurchase
prices.




The amended rule would prohibit a person who shorts stock
during the restricted period before a secondary offering from
buying any securities in the offering.
"This proposal was triggered by persistent noncompliance with
the rule and a string of strategies to conceal the prohibited
covering," the SEC said.


Read more at Reuters.com Bonds News

Chile stocks fall in late trade, peso slips

(Reuters) - "The market was following foreign bourses," a trader said.
"U.S. stocks were down 1 percent, which is a lot for that
market. Chile was not able to hold on to its gains."




Leading blue-chip heavyweights pulled indexes lower in late
session trade, with Endesa Spain regional electric utilities
Enersis and Endesa Chile falling 2.11 percent
and 1.11 percent, respectively.


Read more at Reuters.com Bonds News

TREASURIES-Prices fall on spillover from euro bond weakness

(Reuters) - NEW YORK, June 20 - Treasury debt prices fell on Wednesday,
ending a three-day rally as weakness in the European government bond market
spilled into its U.S. counterpart.




Benchmark yields rose by their most in a week as concerns about rising
global interest rates appeared to overshadow a flight-to-safety bid earlier
this week spawned by ongoing worries over the Bear Stearns hedge funds
episode.


Read more at Reuters.com Bonds News

Medtronic says FDA needs stent data

(Reuters) - The company also still expects FDA approval of the
so-called Endeavor stent in the United States later this year.




Medtronic shares closed down $1.08, or 2.1 percent, to
$51.55 on the New York Stock Exchange.


Read more at Reuters.com Government Filings News

U.S. money market assets set $2.5 trillion record

(Reuters) - Taxable money fund yields were unchanged in the latest week at an average 4.72 percent. Tax-free money fund yields rose 3 basis points in the latest week to an average 3.13 percent.




The report is based on reports from 1,274 taxable and 542 tax-free and municipal money-market funds.


Read more at Reuters.com Bonds News

Senate seeks compromise on auto fuel standards

(Reuters) - "It's a moving target," said Sen. John Kerry, a Massachusetts Democrat who is involved in negotiations between lawmakers, like him, who favor sharply higher mileage standards and allies of struggling Detroit-automakers who favor more modest increases.




Senate Majority Leader Harry Reid, a Nevada Democrat who backs the stricter approach in the bill, could not say when a compromise might be reached but sharply criticized the industry for years of resisting tough standards.


Read more at Reuters.com Bonds News

UPDATE 1-Computer failure grounds United flights systemwide

(Reuters) - The No. 2 U.S. airline said the problem has been resolved
and that United was working to restore regular service. The
airline had no specific information on delays.




A United spokesman said the computer failure lasted from 8
a.m. to 10 a.m. Central time .


Read more at Reuters.com Bonds News

Personal Finance: Student loans revisited

(Reuters) - Last year at this time, money mavens were exhorting college students and recent graduates to run right out and refinance their loans before the big July 1 rate hike, which took the rates on those loans from the neighborhood of 4.7 percent to 6.54 percent. This year, rates are again going up, but only by a little -- to 6.62 percent.




Other factors about the way college loans are managed have also changed in ways that might make consolidation less attractive for some borrowers. So instead of racing to the bank, new grads should take some time to figure out whether consolidation works for them, and approach it carefully.


Read more at Reuters.com Bonds News

Constellation says started enviro upgrades on coal plant

(Reuters) - The construction of the scrubbers is expected to take three
years, said the Baltimore, Maryland-based company.




Scrubbers work by spraying a mixture of limestone and water
into gases created during the coal combustion process. The
sulfur dioxide is is absorbed and neutralized by the
limestone.


Read more at Reuters.com Market News

UPDATE 1-Subprime mortgage bond index falls to record low

(Reuters) - NEW YORK, June 20 - The ABX derivatives index
dropped to a record low on Wednesday amid continuing concerns
about a hedge fund facing potential losses due to its holdings
of risky subprime mortgages, traders said.




The ABX 2007-1 "BBB-minus" index, which references home
loans made to risky borrowers in the second half of last year,
dropped to 59.25 compared to 60.39 on Tuesday, according to one
trader.


Read more at Reuters.com Bonds News

Discover Financial posts lower Q2 net income

(Reuters) - The quarter included about $20 million of pretax costs related to its spin-off from Morgan Stanley that will take place on June 30.







Read more at Reuters.com Market News

Caribbean Oil Tanker Rates Fall on U.S. Inventory Gains, Refining Slowdown

(Bloomberg) -- Rates to ship crude oil from the
Caribbean basin fell as a U.S. Energy Department report indicated
oil stockpiles increased and refinery utilization rates fell.

Two Aframax tankers, which each can transport about 600,000
barrels of oil, were hired today for an average rate in the
industry standard Worldscale 145, according to a daily report
from Houston-based shipbroker Lone Star, R.S. Platou.


Read more at Bloomberg Energy News

Anglo, BHP, Implats lead S.African bourse higher

(Reuters) - Diversified mining groups Anglo American and BHP Billiton lifted South Africa's bourse on stronger commodity prices, while Impala Platinum rose after increasing its capital expenditure.

"Momentum ahead of Thursday's futures close-out was strong on the key mining shares, which saw them close strongly," Investec Asset Management's Kevin de Villiers said.


Read more at Reuters Africa

CarMax, Colgate, Eaton Vance, Franklin Resources, FSI: U.S. Equity Movers

(Bloomberg) -- The following is a list of companies
whose shares are having unusual price changes in U.S. exchanges
today. Stock symbols are in parentheses after company names.
Share prices are as of 11:40 a.m. New York time.

Brush Engineered Materials Inc. (BW US) declined $8.64, or
17 percent, to $42.03. The maker of metals used in electronics
lowered its forecast and now expects 2007 earnings to be $2 to
$2.55 a share, a reduction from its earlier estimate of $2.20 to
$2.75 a share. Brush also said it expects second-quarter earnings
to be on the ``low end'' of a previously announced 50- to 65-
cents-a-share estimate.


Read more at Bloomberg Stocks News

Wheat Rises as Rain Keeps Farmers Out of Fields, Taiwan Buyers Place Order

(Bloomberg) -- Wheat rose for the first session in
four in Chicago and Kansas City after rains soaked fields and
prevented U.S. farmers from harvesting the mature winter crop in
the southern Great Plains.

Thunderstorms overnight were heavier than expected in
Oklahoma and Texas, private forecaster Meteorlogix LLC said.
Prices also gained after the Taiwan Flour Millers Association
said it bought 89,910 metric tons of U.S. wheat in a tender.


Read more at Bloomberg Commodities News

Nigerian Workers to Leave Oil Export Terminals as General Strike Continues

(Bloomberg) -- Nigerian oil workers will be
withdrawn from export terminals at midnight after the government
failed to reach an agreement with unions to end a nationwide
labor strike.

Union leaders ``decided to still go on with the action''
after meeting government officials today, said Lumumba Okugbawa,
deputy general secretary of the Petroleum & Natural Gas Senior
Staff Association of Nigeria, or Pengassan. Further talks with
the government are set for 10:00 a.m. tomorrow, he said.


Read more at Bloomberg Energy News

TREASURIES-Bonds fall, led by downturn in Bunds

(Reuters) - NEW YORK, June 20 - U.S. Treasury bond prices
fell on Wednesday, snapping a three-day rally, as a downturn in
European government bond prices touched off selling in
Treasuries.




Prices for German Bunds fell after central banks in Europe
signaled concerns over growing price pressures.


Read more at Reuters.com Bonds News

CarMax profit rises 15 percent, shares jump

(Reuters) - Analysts were expecting earnings of 30 cents per share, according to Reuters Estimates.




Revenue increased 14 percent to $2.15 billion.


Read more at Reuters.com Market News

European Bonds Fall as Central Banks Warn Interest Rates May Keep Rising

(Bloomberg) -- European government bonds fell,
sending 10-year yields to near the highest since August 2002,
after central banks in Europe warned of inflationary risks and
the possibility of higher interest rates.

Bunds were driven lower after minutes of the Bank of
England's last policy meeting unexpectedly showed Governor Mervyn
King and three other policy committee members voted for higher
interest rates. The Dutch central bank also forecast accelerating
inflation, and in Sweden policy makers increased rates for the
eighth time in 18 months, and said they'll need to raise them
further.


Read more at Bloomberg Bonds News

Fitch cuts Home Depot's rating, outlook negative

(Reuters) - Home Depot said it plans to use proceeds from a sale of its
supply division, cash on hand and $12 billion of additional
debt to pay for the share repurchases. The company said it has
agreed to sell its supply division to three private equity
firms for about $10.3 billion. For details, see
[ID:nN19471168].




The moves will result in a more highly leveraged company at
a time when operating trends have been weak, Fitch said in a
statement. Offsetting that, the company has a strong market
position as the largest home improvement retailer and generates
strong cash flow, Fitch said.


Read more at Reuters.com Bonds News

U.S. Stocks Retreat After Bond Yields Gain; Citigroup, JPMorgan Decline

(Bloomberg) -- U.S. stocks fell after the yield on
the benchmark Treasury bond rose for the first time in four
days, reviving concern higher borrowing costs will curb growth.

Citigroup Inc., JPMorgan Chase & Co. and Wells Fargo & Co.
led declines in companies that benefit from low interest rates.


Read more at Bloomberg Stocks News

Tracinda backs off MGM Mirage plans

(Reuters) - Tracinda, which owns 56 percent of MGM, had said in May that it planned to acquire the prized Bellagio and CityCenter properties in Las Vegas and consider a financial restructuring or other outcomes for the remainder of the company.




The plan, which led to a 27 percent jump in MGM shares on the day it was announced, was seen as putting the company on the market.


Read more at Reuters.com Hot Stocks News

CarMax, Colgate-Palmolive, MGM Mirage, PetroChina: U.S. Equity Preview

(Bloomberg) -- The following is a list of companies
whose shares may have unusual price changes in U.S. exchanges
today. This preview includes news that broke after exchanges
closed yesterday. Stock symbols are in parentheses after company
names. Share prices are as of 8:50 a.m. New York time.

Brown Shoe Company Inc. (BWS US) gained 86 cents, or 3.3
percent, to $27.02 before the official open of U.S. exchanges.
The owner of the Famous Footwear retail chain plans to open more
than 500 stores in China by 2012 through a joint venture with
Hongguo International Holdings Ltd.


Read more at Bloomberg Stocks News

Uganda legal wrangles stall power projects - IMF

(Reuters) - Uganda has the resources to fix its crumbling infrastructure, seen as the last barrier to meeting its 7 percent growth target, but is being held up by legal disputes over projects, the IMF said on Wednesday.

IMF's Uganda country director Abebe Aemro Selassie told Reuters in an interview that Uganda's budget was in a strong position to finance urgently-needed road and energy projects.


Read more at Reuters Africa

UPDATE 1-Oplink to take Optical Communication private

(Reuters) - The offer represents a 5 percent premium to Optical's
Tuesday closing price of $1.57.




In June, Oplink bought a controlling stake of 58.1 percent
in the fiber optic components maker from Japanese cable maker
Furukawa Electric Co. Ltd. .


Read more at Reuters.com Mergers News

U.S. Stock-Index Futures Rise; Home Depot, Morgan Stanley Shares Advance

(Bloomberg) -- U.S. stock-index futures advanced
after Treasury yields held near a two-week low and Morgan
Stanley said second-quarter profit rose to a record.

Morgan Stanley, the No. 2 securities firm, climbed after
earnings increased 40 percent, beating estimates. Home Depot
Inc. increased after the world's largest home-improvement
retailer agreed to sell its contractor-supplies unit for $10.3
billion and announced a share buyback.


Read more at Bloomberg Stocks News

DEALTALK-Lender wariness signals peak for REIT buyouts

(Reuters) - Acquisitions such as Blackstone Group's [BG.UL] $23 billion
purchase of Chicago-based Equity Office Properties in
February sent property prices soaring on talk of more such
deals to come, particularly for office REITs.




But valuation and credit concerns have undermined lender
confidence in commercial real estate, threatening private
equity firms' strategy of funding takeovers by flipping
properties soon after completing a deal.


Read more at Reuters.com Bonds News

UPDATE 1-S.Africa gives unions deadline to accept wage deal

(Reuters) - JOHANNESBURG, June 20 - South Africa's government
gave unions an ultimatum to accept a revised pay offer on
Wednesday or make do with a previous lower offer in its final
push to end a costly three-week civil service strike.




The government's settlement salary package includes a 7.5
percent wage increase and an increased housing allowance of 500
rand from 456 rand, union officials said.


Read more at Reuters.com Bonds News

McClatchy says advertising revenue falls in May

(Reuters) - The company said it expects advertising trends to improve
by the fourth quarter though revenues will likely still be
down.





Read more at Reuters.com Market News

Ford mulls building car plant in Slovakia: paper

(Reuters) - "We are negotiating with a renowned producer, which is planning to make higher-class cars in the east," the daily quoted Kechnec Mayor, Jozef Konkoly, as saying.




"It would an investment worth tens of billions of crowns, and creating hundreds of jobs," Konkoly told Hospodarske Noviny.


Read more at Reuters.com Business News

Google wins Internet content licence in China

(Reuters) - "We have made very positive progress on the ICP application and have received preliminary
approval," spokeswoman Marsha Wang said in an e-mailed response
to Reuters enquiries.




She declined to comment on what further procedures may be
required for final approval to offer news in China, although
analysts said the move helped to add legitimacy to its
operations in the country.


Read more at Reuters.com Government Filings News

Airbus Wins $4.4 Billion Order From Aeroflot for 22 A350 XWB Jetliners

(Bloomberg) -- Airbus SAS, the world's largest
maker of commercial aircraft, won a firm order from OAO Aeroflot
for 22 of the A350 XWB jets.

Aeroflot, eastern Europe's largest airline, finalized an
initial agreement signed in March, Airbus said today in an e-
mailed statement. Aeroflot agreed on June 9 to buy Boeing Co.'s
787 Dreamliners in a contract valued at $3 billion. The A350
competes with the Dreamliner.


Read more at Bloomberg Emerging Markets News

Renault, AB Volvo eyeing Ford's Volvo Cars-paper

(Reuters) - Analysts were doubtful, saying such a move made little
industrial sense for AB Volvo.




"This looks like a bad solution for Volvo's shareholders as
there is no real industrial logic in buying a stake ... I think it would be very strange if they would take
such a step", Danske Equities analyst Henrik Breum said.


Read more at Reuters.com Mergers News

European Stocks Advance, Led by Allianz, HSBC; Clariant, Misys Gain

(Bloomberg) -- European stocks rose for the first
time in three days as a drop in borrowing costs in the U.S. and
Europe pushed insurers and banks higher.

Allianz SE, Europe's largest insurer, and HSBC Holdings Plc,
the region's biggest bank by market value, led the advance.
Clariant AG jumped the most in a month after a report that
Huntsman Corp. of the U.S. may be interested in buying a stake in
the Swiss chemical maker.


Read more at Bloomberg Stocks News

Pound Falls Against Dollar Before Bank Releases Minutes of June Meeting

(Bloomberg) -- The U.K. pound fell against the
dollar and the euro on speculation the minutes of the Bank of
England's last policy meeting will prompt investors to reduce
bets on more interest-rate increases.

The U.K. currency fell from a near two-week high versus the
dollar as more than a third of the economists in a Bloomberg News
survey expect the minutes today will show all policy makers
favored keeping rates on hold. Economic reports last week showed
inflation in Europe's second-largest economy was the slowest in
seven months in May.


Read more at Bloomberg Currencies News

Germany's DAX Index Rises; Allianz, SAP and BASF Shares Lead the Advance

(Bloomberg) -- German stocks advanced, led by
Allianz SE, SAP AG and BASF AG.

The benchmark DAX Index rose 55.97, or 0.7 percent, to
8089.49 as of 9:08 a.m. in Frankfurt. The HDAX Index of the
country's 110 biggest companies climbed 0.7 percent.


Read more at Bloomberg Stocks News