Category: Business

FRANKFURT Shares in Deutsche Bank (DBKGn.DE) fell almost 7 percent in early trading on Monday after the lender announced an 8 billion-euro ($8.48 billion) capital increase that Chief Executive John Cryan had previously declared a last resort.The capital hike is its fourth since 2010. Together with a partial listing of the asset-management unit and a sale of other assets, the move should take its core capital ratio - a key measure for regulators - above 13 percent from 11.9 percent

PARIS PSA Group (PEUP.PA) has agreed to buy European rival Opel from General Motors (GM.N) in a deal valuing the business at 2.2 billion euros ($2.3 billion), the companies said on Monday, creating a new regional car giant to challenge market leader Volkswagen (VOWG_p.DE).The maker of Peugeot and Citroen cars pledged to achieve 1.7 billion euros in cost savings from the acquisition by 2026

TOKYO U.S. stock futures dropped and Asian shares were on the defensive on Monday as investors weighed the near-certain prospect of an interest rate hike in the United States this month against news of slower growth in China this year.Risk appetite also took a hit on rising geopolitical tensions in East Asia, as North Korea fired four ballistic missiles early in the day, while a spat between China and South Korea over missile defense deepened.U.S. stock futures ESc1 dipped 0.4

NEW YORK Snap Inc's (SNAP.N) share price looks overvalued following a surge in the wake of its much-anticipated initial public offering last week, according to an article in Barron's.Shares of the messaging app company closed at $27.09 on Friday, well above its IPO price of $17 per share set on Wednesday. The owner of Snapchat, an app popular with young people for its disappearing messages, raised $3.4 billion in its IPO.According to the Barron's article, Snap is valued at about

By Balazs Koranyi | FRANKFURT FRANKFURT Two of the world's biggest central banks are likely to find themselves with a bigger policy gap by the end of the coming fortnightThe European Central Bank on Thursday will resist calls to start tightening policy against surging inflation but robust U.S. jobs data on Friday could seal the case for another Federal Reserve hike

When Paul Ryan, speaker of the U.S. House of Representatives, talks of social mobility, about helping struggling Americans move out of impoverished areas to give them greater opportunity, Shiva Daniels is the kind of person he has in mind.A federal housing voucher allowed Daniels to escape her crime-plagued neighborhood in Dallas, Texas, and move her four children to the suburb of Garland.That move helped Daniels find a good job, working for a property management company. Today, she cherishes the small,

By Jessica Resnick-Ault and Lewis Krauskopf | NEW YORK NEW YORK The energy sector is the stock market's dud so far in 2017 after a banner performance in 2016, and the rest of the year may also be rocky for investors due to the unclear path for crude oil prices. Energy outdid all other sectors last year, up nearly 24 percent

By Ernest Scheyder | HOUSTON HOUSTON The biggest names in the oil world come together this week for the largest industry gathering since the end of a two-year price war that pitted Middle East exporters against the firms that drove the shale energy revolution in the United States.When OPEC in November joined with several non-OPEC producers to agree to a historic

By Kevin Yao and Xiaochong Zhang | BEIJING BEIJING China has cut its growth target this year as the world's second-largest economy pushes through painful reforms to address a build-up in debt and strives to keep a lid on risks in its financial sector. China aims to expand its economy by around 6.5 percent in 2017, Premier Li Keqiang said at

BERLIN Deutsche Boerse (DB1Gn.DE) Chairman Joachim Faber has put the blame for a failed tie-up with the London Stock Exchange (LSE.L) on Britain and its vote to leave the European Union. The London Stock Exchange last week effectively scuppered a planned merger with Deutsche Boerse to create Europe's biggest exchange, by rejecting an EU demand to sell a trading platform in Italy.Faber, who chairs Deutsche Boerse's supervisory board, told a German newspaper the Brexit vote had created

LONDON Scottish fund manager Aberdeen Asset Management (ADN.L) and insurer Standard Life (SL.L) are exploring a possible merger, the two companies said in a statement.Aberdeen shareholders would own 33.3 percent of the combined group under the terms of the potential merger, with Standard Life shareholders owning the other 66.7 percent, the companies said."Further to the recent press speculation the boards of Standard Life and Aberdeen confirm that they are in discussions in relation to a possible all-share merger," they said.

PARIS/LONDON France's PSA Group (PEUP.PA) is set to announce a deal to buy Opel from General Motors (GM.N) on Monday after striking an agreement with the U.S. carmaker and winning the blessing of its board for the acquisition.The maker of Peugeot, Citroen and DS cars said on Saturday it would hold an early Monday press conference with GM, at which the transaction is expected to be presented after Reuters reported that a deal had been struck between the two automakers.By

PARIS General Motors and France's PSA Group will hold a press conference on Monday morning, they said on Saturday, with the subject expected to be the acquisition of the U.S. carmaker's loss-making Opel unit.On Friday, sources said PSA Group, which makes Peugeot and Citroen cars, had struck a deal with GM to buy Opel division.The press conference will be on Monday at 0815 GMT, PSA and GM said, without specifying the subject.

WASHINGTON The U.S. International Trade Commission said on Friday it had made a final finding that the U.S. industry was being harmed by the dumping and subsidization of imports of carbon and alloy steel cut-to-length plate from China.The finding allows for the final imposition of duties by the U.S. Commerce Department.The investigation into the imports was prompted by a petition from Nucor Corp and U.S. subsidiaries of ArcelorMittal SA and SSAB AB.

By Noel Randewich | SAN FRANCISCO SAN FRANCISCO Technology companies have been a driving force behind the U.S. stock market's recent record rally, and despite mounting evidence of stretched valuations the sector remains a top pick for investors expecting a wave of capital expenditures by U.S. corporations.Corporate tax cuts and reduced regulations planned by President Donald Trump will give companies reason

Johnson & Johnson said on Friday that a state court jury in Missouri had returned a verdict in its favor in the latest trial to arise out of thousands of lawsuits alleging the company's talc-based products can increase the risk of ovarian cancer.The jury sided with Johnson & Johnson and talc supplier Imerys Talc in a lawsuit by Tennessee resident Nora Daniels, who alleged that she used J&J Baby Powder for 36 years and was diagnosed with ovarian cancer in

By Lindsay Dunsmuir and Howard Schneider | CHICAGO CHICAGO The Federal Reserve is set to raise its benchmark interest rate later this month as long as economic data on jobs and inflation holds up, Fed Chair Janet Yellen said on Friday, in comments that likely cement a rate hike at its next meeting.Several of Yellen's U.S. central bank colleagues in recent

U.S. stocks were little changed at the open on Friday as investors awaited Federal Reserve Chair Janet Yellen's speech, which could give more clarity on the odds of an interest rate hike this month.The Dow Jones industrial average .DJI was up 4.41 points, or 0.02 percent, at 21,007.38, the S&P 500 .SPX was down 1.89 points, or 0.07 percent, at 2,380.03 and the Nasdaq composite .IXIC was down 6.93 points, or 0.12 percent, at 5,854.29.

NEW YORK/SAN FRANCISCO Institutional investors anxious not to be left out of this year's marquee initial public offering helped Snap Inc (SNAP.N) pull off the biggest U.S.-listed technology share sale this week since Chinese e-commerce juggernaut Alibaba Group Holding Inc (BABA.N) smashed records in 2014. Keen to boost returns and with a dearth of new stocks to buy, the IPO of a buzzy social media group was a "must-have" for money managers despite concerns about the company's strategy, slowing user

SYDNEY The dollar clung to broad gains on Friday as the risk of an imminent U.S. interest rate hike slugged sovereign bonds and commodities, even managing to sour Wall Street's party as the reality of rising borrowing costs began to sink in. Spread betters pointed to opening losses for European stocks and E-mini futures for the S&P 500 were off 0.3 percent. Asian markets were mostly lower, with MSCI's broadest index of Asia-Pacific shares outside Japan down 0.9 percent

BEIJING, Activity in China's services sector expanded at the slowest pace in four months in February, with new business still growing at a solid rate but increasing competition making it harder for companies to raise prices, a private survey showed.The findings echoed a similar softening in growth in China's official services activity survey released on Wednesday, and contrasted with an unexpected pick-up in growth in its manufacturing sector as export orders rebounded.The February services PMI dipped to 52.6 in February

By David Shepardson | WASHINGTON WASHINGTON The U.S. Transportation Department on Thursday proposed awarding 24 slot pairs at Mexico City’s Benito Juarez International Airport to Alaska Airlines, JetBlue Airways Corp (JBLU.O), Southwest Airlines Co (LUV.N), Volaris and Grupo Viva Aerobus SAB de CV.The tentative Mexico City allocations will result in new or additional low-fare service to 15 U.S. cities, including Chicago

By Lauren Hirsch | NEW YORK NEW YORK Snap Inc's (SNAP.N) shares continued to defy doubts about the company's early-stage business model and slowing user growth, jumping nearly 50 percent in their first day of trading on the New York Stock Exchange.The owner of the Snapchat messaging app raised $3.4 billion in its initial public offering on Wednesday night, more than

By Yashaswini Swamynathan U.S. stocks looked set to climb further on Thursday after a record day on Wednesday, as strong economic data added to the optimism about the U.S. economy. Wall Street's main indexes rallied on Wednesday and the Dow Jones Industrial Average sailed past the 21,000 mark, boosted by President Donald Trump's more measured tone in a speech to Congress

BERLIN Continental (CONG.DE) expects a possible tie-up between PSA Peugeot Citroen (PEUP.PA) and General Motors' (GM.N) Opel division would boost its business, its chief executive said."Opportunities emerge because platforms will be standardized and higher and more interesting volumes will arise" for suppliers, CEO Elmar Degenhart said during a conference call after the automotive supplier published results on Thursday.Separately, Continental said it planned to raise prices for summer and winter tires to help offset 500 million euros ($526.55 million) of expected

BRUSSELS Anheuser-Busch InBev, the world's largest brewer, raised its forecast for savings from its near $100 billion takeover of SABMiller after weaker than expected earnings as beer sales suffered in Brazil. The company, now more than double the size of nearest rival Heineken, increased its cost savings and synergy target to $2.8 billion from $2.45 billion. This includes $1.05 billion that SABMiller had previously announced before the merger.

TOKYO Asian shares rose on Thursday as investors were encouraged by President Donald Trump's measured tone in his first speech to Congress, which sent Wall Street stocks sharply higher, while growing bets on a U.S. rate hike this month buoyed the dollar.MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS rose 0.2 percent, led by rebound in Australian shares .Japan's Nikkei .N225 rose 1.3 percent to a 14-month high.MSCI's broadest gauge of the world's stocks covering 46 countries .MIWD00000PUS rose

BOSTON An investor committee that advises the U.S. Securities and Exchange Commission will next week review if Snap Inc's decision to deny shareholders voting rights might also reduce the social media company's public disclosures on executive pay and other governance matters, the head of that committee told Reuters on Wednesday.Snap, the parent of the popular messaging app Snapchat, priced its eagerly awaited initial public offering at $17 per share on Wednesday, above the expected range, giving the company a value

A federal judge in Houston has thrown out a lawsuit accusing UBS Group AG of hiding fraud by its client Enron Corp from retail customers, a decision that may end a 15-year legal battle stemming from the energy company's December 2001 bankruptcy.In a 228-page decision on Tuesday, U.S. District Judge Melinda Harmon said UBS PaineWebber brokerage customers failed to show that the Swiss bank intended to defraud them into buying Enron securities.The customers accused UBS of trying to generate more

By Lucia Mutikani | WASHINGTON WASHINGTON U.S. consumer spending rose less than expected in January as the largest monthly increase in inflation in four years eroded households' purchasing power, pointing to moderate economic growth in the first quarter.The surge in inflation raises the possibility of an interest rate increase from the Federal Reserve this month. While still below the U.S. central

By Sijia Jiang | HONG KONG HONG KONG Taiwan's Foxconn (2317.TW), the world's largest contract electronics maker, is "definitely bidding" for the chip business of Japan's Toshiba Corp (6502.T) and is "very confident" it can buy into it, company founder Terry Gou said on Wednesday.Gou was speaking as Foxconn, formally known as Hon Hai Precision Industry Co Ltd, broke ground for

Snap Inc, owner of popular messaging app Snapchat, will price its initial public offering after the U.S. stock market closes on Wednesday in the most eagerly awaited technology IPO since Chinese e-commerce giant Alibaba went public in 2014.The pricing will be the first test of investor appetite for a social-media app beloved by teenagers and 20-somethings but which has yet to turn a profit. The company's losses widened last year, and it is experiencing decelerating user growth in the face

By David Shepardson | WASHINGTON WASHINGTON German automakers dominated Consumer Reports' annual ranking of automotive brands released on Tuesday, with Volkswagen AG's (VOWG_p.DE) Audi (NSUG.DE) leading the pack, while U.S. brands continued to lag despite gains for many.Jake Fisher, director of auto testing at the magazine, said German automakers rose largely due to improvements in reliability. "Building one or two great

By Christine Murray | MEXICO CITY MEXICO CITY Mexico's telecoms regulator has discussed forcing billionaire Carlos Slim to legally separate his fixed-line company Telmex from his wireless business, three people familiar with the matter said.On Monday evening, the regulator's seven-person board voted on whether to toughen, maintain or loosen rules against America Movil (AMXL.MX) and broadcaster Grupo Televisa (TLVACPO.MX), according to