Please wait...

Reuters News

Soccer-Scotland's Euro 2016 hopes hit by defeat in Georgia

September 04, 2015 - reuters.com

Sept 4 (Reuters) - Scotland's prospects of qualifying for Euro 2016 suffered a blow with a 1-0 defeat away to Georgia after a splendid first-half goal by Valeri Kazaishvili in their Group D game on Friday. The result leaves Scotland in third place with 11 points from seven matches behind group leaders Poland, who have 14 points, and second-placed Germany on 13 before their top-of-the-table clash in Frankfurt later on Friday. Georgia stay second-bottom but now have six points. Kazaishvili put the hosts ahead in the 38th minute when he controlled the ball with his right foot before firing into the far corner of the net with his left from the edge of the area past the despairing dive of goalkeeper David Marshall. Scotland worked hard to find an equaliser but it was Georgia who looked more dangerous and almost extended their lead when Levan Mchedlidze's found the space to strike a fierce drive from 20 metres that was pushed over the bar by Marshall. Scotland stepped up the pressure late on but could not find a way through the home defence and now face Germany on Monday when Georgia visit Ireland, who are two points behind Scotland but can go above them with a win over Gibraltar later on Friday. (Writing by Ken Ferris; Editing by Angus MacSwan) ((kenneth.ferris@thomsonreuters.com; +44 207 542 7933; Reuters Messaging: kenneth.ferris.thomsonreuters.com@reuters.net)) Keywords: SOCCER EURO/GEORGIA

U.S. tells China important to let yuan move in both directions

September 04, 2015 - reuters.com

Sept 4 (Reuters) - U.S. Treasury Secretary Jack Lew told Chinese Finance Minister Lou Jiwei on Friday that it was important that China let its yuan currency move up as well as down, and avoid any move to lower its value to gain a competitive edge in global trade, a U.S. official said. "Secretary Lew ... noted that it was important for China to signal that it will allow market pressures to drive the (yuan) up as well as down, and that China should allow its exchange rate to reflect underlying fundamentals, avoid persistent exchange rate misalignments, and refrain from competitive devaluation," the official said in a statement outlining a conversation the two officials had on the sidelines of a Group of 20 finance ministers meeting in Ankara. (Reporting by Timothy Ahmann in Washington; Editing by Chizu Nomiyama) ((tim.ahmann@thomsonreuters.com; +1 202 898-8370; Reuters Messaging: tim.ahmann.reuters.com@reuters.net)) Keywords: G20 TURKEY/CHINA USA

Ghana 91-day bill yield rises to 25.2454 pct

September 04, 2015 - reuters.com

ACCRA, Sept 4 (Reuters) - The Bank of Ghana said the yield on its 91-day bill rose to 25.2454 percent at an auction on Friday, from 25.2287 percent at the last sale. The bank said it accepted all 1.02 billion cedis ($271.89 million) worth of bids tendered for the 91-day paper. For full details please click here: http://www.bog.gov.gh/privatecontent/Treasury/Auctresults%201449.pdf ($1 USD = 3.7500 Ghana cedis) (Writing by Kwasi Kpodo) ((kwasi.kpodo@thomsonreuters.com; +233)(244696990; Reuters Messaging: kwasi.kpodo.thomsonreuters.com@reuters.net)) Keywords: GHANA BONDS/

GLOBAL MARKETS-Stocks slide as jobs data makes Fed move unclear

September 04, 2015 - reuters.com

* Dollar mixed as data spurs uncertainty over Fed * Oil slips as jobs data fails to determine direction * Long-dated U.S. bonds rally, short-dated notes slip (Add close of European bond, stock markets) By Herbert Lash NEW YORK, Sept 4 (Reuters) - Global equity markets tumbled and the dollar traded mixed on Friday after a U.S. jobs report for August kindled uncertainty over whether the Federal Reserve will raise interest rates in two weeks. Jobs increased by a less-than-expected 173,000 but this was offset by other aspects of the Labor Department report that were generally strong. The unemployment rate dropped to a near 7-1/2-year low and wages accelerated. ID:nL1N11925M Also, the jobs count may be flawed because of a statistical fluke that has often led to sharp upward revisions to payroll figures for the month of August after initial weak readings. Whether the Fed boosts rates in September or holds off for later, investors are preparing for an eventual raise, said Andrew Wilkinson, chief market strategist at Interactive Brokers LLC in Greenwich, Connecticut. A rate hike would be the U.S. central bank's first in almost a decade. "Regardless of the global dislocation for equities, investors still seem to be preparing for a lift-off in the fed funds rate. There's not a lot to stop the onset of tightening at some point in the near future," Wilkinson said. The equity sell-off suggests there is deleveraging as investors are forced out of positions they can no longer afford, while high volatility still "hasn't been swept under the carpet," Wilkinson said. "When the volatility indexes are running at those levels, be on the watch," he said. The CBOE Volatility Index .VIX , Wall Street's so-called fear gauge, was up 11.13 percent at 28.46, or double this year's mostly calm level until it erupted in mid-August. European stocks ended the week lower, and U.S. stocks were poised for the same. The pan-European FTSEurofirst 300 index .FTEU3 closed down 2.5 percent to 1,392.63 points, and was off 3.0 percent for the week. MSCI's all-country world stock index .MIWD00000PUS slid 1.68 percent, and its emerging markets index .MSCIEF fell 1.87 percent. On Wall Street, the Dow Jones industrial average .DJI fell 290.22 points, or 1.77 percent, to 16,084.54, the S&P 500 .SPX slid 31.55 points, or 1.62 percent, to 1,919.58 and the Nasdaq Composite .IXIC lost 54.32 points, or 1.15 percent, to 4,679.18. U.S. medium- and long-dated Treasuries prices rose, while short-dated prices were slightly lower. The benchmark 10-year Treasury US10YT=RR rose 12/32 in price to yield 2.1244 percent, while the U.S. two-year note US2YT=RR fell slightly in price to yield 0.7046 percent. Euro zone bond yields fell further following a strong signal from the European Central Bank on Thursday that it is willing to take further steps to shore up the currency bloc's economy. For some, strong average hourly earnings and a drop in the unemployment rate to 5.1 percent in the jobs report support the view that the Fed will hike rates at its policy-setting meeting on Sept. 16-17. "It's one of the closer calls," said Marc Bushallow, director of fixed income at Manning & Napier in Rochester, New York. But with U.S. investors heading into the long Labor Day weekend, worries about China have added to their unease. "The market's confused. It doesn't know what to buy," said John Augustine, chief investment officer at Huntington Trust in Columbus, Ohio. "What markets seem to be playing today is a weaker China and a more hawkish Fed." The dollar index .DXY of major currencies fell 0.17 percent, while the dollar JPY= last traded at 118.96 yen, or a loss of 0.92 percent. The euro EUR= rebounded, up 0.20 percent at $1.1143. Crude futures fell, after the U.S. jobs report failed to provide much direction. Brent crude LCOc1 , the global benchmark for oil, was down 74 cents at $50.94 a barrel. U.S. crude's front-month CLc1 slid 63 cents to $46.12. (Reporting by Herbert Lash; Editing by Chizu Nomiyama) ((herb.lash@thomsonreuters.com; 1-646-223-6019; Reuters Messaging: herb.lash.reuters.com@reuters.net)) Keywords: MARKETS GLOBAL/

EMERGING MARKETS-Latam markets fall after U.S. jobs report

September 04, 2015 - reuters.com

BRASILIA, Sept 4 (Reuters) - Latin American stocks fell more than 2 percent and Brazil's currency returned to 13-year lows on Friday after a long-waited U.S. August jobs report kept alive prospects of a Federal Reserve rate hike later this month. The broader MSCI Latin American stock index .MILA00000PUS approached its lowest level since 2009, while the Brazilian real BRBY BRL= weakened past the 3.8 per dollar, unseen since 2002, for a second straight day. Although U.S. job growth slowed more than expected in August, the unemployment rate fell to a near 7-1/2 low and wages picked up, reviving bets on a rate hike by the Fed on September 17. Yields on U.S. government debt rose, while the dollar moved higher against a broad basket of currencies. ID:nL1N11925M Prospects of rising U.S. interest rates usually reduce the appeal of higher-risk investments such as Latin American assets. Commodities .TRJCRB , the main export of most Latin American countries and also sensitive to U.S. rates and dollar trends, fell 0.7 percent as oil prices slipped 1.0 percent CLc1 . Brazil's real faced additional pressure on fears Finance Minister Joaquim Levy could leave office because of disagreements over his austerity plan, which opponents blame for deepening the country's recession. The government on Thursday dismissed the market rumors. ID:nL1N1191V8 The Brazilian real is the global emerging currency most prone to sell off, according to a Reuters poll on Thursday. Although its fair value is calculated at about 3.5 per dollar, JPMorgan analysts revised their forecasts to predict an exchange rate of 4.1 per dollar at year-end and 4.35 at mid-2016. "Recent deterioration in economic and political outlook in Brazil has increased the volatility in asset prices," wrote the economists led by Cassiana Fernandez in a note. "Without the fiscal anchor, we believe the real will need to adjust beyond fundamental drivers." The benchmark Bovespa stock index .BVSP fell nearly 2 percent as shares of state-run oil producer Petroleo Brasileiro SA PETR4.SA , known as Petrobras, and miner Vale SA VALE5.SA dropped between 2 and 3 percent. Benchmark stock indexes in Mexico and Chile also dropped more than 1 percent. (Reporting by Silvio Cascione; Editing by Andrew Hay) ((silvio.cascione@thomsonreuters.com; +55 61 3426 7015; Reuters Messaging: silvio.cascione.thomsonreuters.com@reuters.net)) Keywords: EMERGINGMARKETS LATAM/

UPDATE 2-Turkish lira weakens to around record lows against dollar

September 04, 2015 - reuters.com

(Adds latest prices as lira hits fresh record high) ISTANBUL, Sept 4 (Reuters) - The Turkish lira hit a record low against the dollar on Friday, hit by political uncertainty and security concerns, and as investors digested U.S. jobs data that kept alive expectations for a rate hike in the world's largest economy. The lira began its latest weakening trend on Thursday after August inflation data came out higher than expected, with annual consumer price inflation rising 7 percent on high food prices. However, the political pressures generated by a snap parliamentary election on Nov. 1 were expected to discourage the Turkish Central Bank (CBT) from raising rates in response. "It seems like the CBT is reluctant to go for a rate hike before elections hence the continued lira (TL) weakness," Tera Brokers said in a note. "Ironically, it is becoming a vicious circle; TL depreciation pushing up inflation which then triggers more TL weakness," it said, noting that the currency had lost 22 percent of its value against the dollar this year. The central bank highlighted the lira in its monthly statement on price developments, saying its loss in value was evident in the August inflation data. ID:nI7N10A021 The lira TRYTOM=D3 touched an all-time low of 3.0085 in late trade, a 22 percent slide so far this year, and exceeding the previous low of 3.0020 which it hit in late on Aug. 20. Political uncertainty has been generated by the ruling AK Party's failure in the June 7 election to sustain the single-party rule which it has enjoyed since first coming to power in 2002. Opinion polls suggest it might again fail to win a parliamentary majority in the November vote. Conflict with Kurdish militants and Islamic State jihadists in Syria has meanwhile triggered security worries. Investors also weighed up data showing U.S. job growth slowed in August while the unemployment rate dropped to a near 7-1/2-year low and wages accelerated, keeping alive prospects of a Federal Reserve interest rate hike later this month. ID:nL1N11925M The main BIST 100 share index .XU100 closed 1.42 percent lower at 72,950.11 points. The benchmark 10-year government bond yield tTR120325TA=IS rose to 10.58 percent from 10.30 percent at the end of spot trade on Thursday. (Writing by Daren Butler; Editing by Jonny Hogg and Angus MacSwan) ((daren.butler@thomsonreuters.com; +90-212-350 7122; Reuters Messaging: daren.butler.thomsonreuters.com@reuters.net)) Keywords: MARKETS TURKEY/

UPDATE 1-Rouble ends week on calm note as oil steadies

September 04, 2015 - reuters.com

(Adds details and comment) MOSCOW, Sep 4 (Reuters) - The Russian rouble pared its losses on Friday, ending a volatile week on a calm note, helped by a steady oil price and traders keen to close positions before a U.S. holiday. At 1520 GMT, the rouble was 0.3 percent weaker against the dollar at 67.43 RUBUTSTN=MCX and down 0.2 percent at 74.97 per euro. The rouble firmed towards evening after registering bigger falls earlier in the day. On Friday international benchmark Brent LCOc1 was down around 1 percent overnight but held just above $50 per barrel for the rest of the day - a contrast with recent days when oil has fluctuated wildly. Investors in the rouble market were reluctant to leave positions open. "Leaving a foreign currency short (position) is a little scary, but holding a currency long over three days is a little expensive considering high rouble funding (costs)," said Otkritie trader Petr Neimyshev. Markets are trying to digest monthly U.S. data that showed a below-forecast increase in jobs in August but also a fall in unemployment. ID:nL1N11925M A strong jobs reading would have weighed against the rouble and other non-U.S. currencies by boosting the chances of a rise in U.S. interest rates this month. "It would be wrong to say that after today's data the situation before September's (Fed) meeting has become clear," Teletrade analyst Anastasia Ignatenko in a note. "For emerging market currencies the coming weeks will hardly be pleasant. The nervousness of investors before the Federal Reserve meeting will put pressure on risk assets." Russian inflation rose to 15.8 percent in August, official data showed on Friday, diminishing the likelihood of Russia's central bank cutting its interest rates when it next meets to discuss them on Sept. 11. Most analysts in any case expect the central bank to hold rates because of inflationary risks arising from the weak rouble. ID:nL5N1162BD Russian share indexes fell on Friday, tracking global markets where yesterday's bounce has been followed by renewed anxiety. The dollar-denominated RTS index .IRTS was down 1.5 percent to 793 points, while the rouble-based MICEX .MCX was down 0.7 percent to 1,698 points. For rouble poll data see reuters://realtime/verb=Open/url=cpurl://apps.cp./Apps/fx-polls?RIC=RUB= For Russian equities guide see RU/EQUITY For Russian treasury bonds see 0#RUTSY=MM Russia in graphics: http://link.reuters.com/dun63s (Reporting By Jason Bush and Vladimir Abramov; Editing by Ruth Pitchford) ((jason.bush@thomsonreuters.com; +7 495 775 1242; Reuters Messaging: jason.bush.reuters.com@reuters.net)) Keywords: RUSSIA MARKETS/ROUBLE

Muddled U.S. jobs report leaves Fed in a 'jam' watching markets

September 04, 2015 - reuters.com

By Jonathan Spicer and Jason Lange NEW YORK/RICHMOND, Va., Sept 4 (Reuters) - The latest U.S. jobs report was not definitively good or bad enough to help the Federal Reserve decide whether to raise interest rates later this month, leaving the decision hanging on volatility in financial markets over the next couple of weeks. The economy added 173,000 jobs in August, quite a bit fewer than expected. But employment growth in June and July were revised higher, wage gains last month were better than expected, and the unemployment rate fell to a seven-year low of 5.1 percent. ID:nL1N11925M With global stock and currency markets reeling over the last two weeks, the report is probably the best and last direct reading on the economy as Fed officials weigh whether to hike rates at a much-anticipated meeting on Sept. 16-17. But the report disappointed those looking for clarity. "With this jobs report ... the Fed finds itself in a real uncertainty jam when it comes to a September interest rate hike," Mohamed El-Erian, chief economic adviser at Allianz, in Newport Beach, California, said in an email. "In the run-up to its policy meeting, the Fed will pay even greater attention to global market developments." Since fears of a Chinese economic slowdown set off a global stock selloff last month, financial markets have become the primary signal for U.S. central bankers looking to tighten monetary policy for the first time since 2006. According to Fed policymakers gathered in Jackson Hole, Wyoming last week, not only would the August jobs report need to be decent but market gyrations would need to dissipate for them to act, despite sustained strength in both the labor market and the broader economy. The Fed is concerned not so much with employment but with the possibility that inflation, which has remained below a 2.0-percent target for a few years, will not rebound any time soon given the downward pressure that China could put on commodity prices and global growth. ID:nL1N1130LR ID:nL1N1140FO U.S. stocks on Friday gained steam after the report was published, then headed lower alongside bond prices. Oil prices also fell. For many, the report simply reinforced their previous views on the timing of the pending rate hike. "I'd call this a good ... employment report. It didn't change the picture for monetary policy," Richmond Fed President Jeffrey Lacker, who favors a prompt policy tightening, told a retailer conference in Richmond, Virginia. ID:nW1N0ZB01U ID:nL1N1191QX Others highlighted the fact that the economy produced nearly 50,000 fewer jobs than expected in August. Still, average job growth in the last three months is 221,000, seen as enough to keep healing the labor market. Employment growth for the month of August in particular has a history of being initially underestimated and later revised higher by the U.S. Labor Department. ID:nL1N1171ES As investors and governments globally prepare for a Fed rate rise, futures market traders predicted about a 20 percent chance the policy change will come this month, down from around 30 percent before the jobs report and from a more than 50 percent probability before world markets started tumbling. Interest rates futures markets indicate a higher probability for a Fed move in October and December. Fed Vice Chair Stanley Fischer said last week that there was "a pretty strong case" to tighten before the market slump, and that now, "we are still watching how it unfolds." While data on the broader U.S. economy has remained healthy, the U.S. central bank wants reasonable confidence that inflation will rebound in the medium term before it raises rates. The rising dollar has also held U.S. prices down. "It's really inflation that has been holding them back, and this (jobs report) doesn't really give them any evidence on that front," said Thomas Simons, money market economist at Jefferies & Co, in New York. The Fed's policy decision "will break down to how commodities react between now and the September meeting," he said. "If commodities recover and stabilize then there's a chance (of a hike); otherwise I don't think it's likely to happen." (Reporting by Jonathan Spicer; Additional reporting by Jennifer Ablan in New York; Editing by Clive McKeef and Andrea Ricci) ((jonathan.spicer@thomsonreuters.com; +1 646 223 6253; Reuters Messaging: jonathan.spicer.thomsonreuters.com@reuters.net www.twitter.com/jonathanspicer)) Keywords: USA ECONOMY/FED

GLOBAL MARKETS-Stocks slide as jobs data makes Fed move unclear

September 04, 2015 - reuters.com

* Dollar mixed as data spurs uncertainty over Fed * Oil slips as traders await rig count report * Long-dated U.S. bonds rally, short-dated notes slip (Add U.S. market open, byline, dateline; previous LONDON) By Herbert Lash NEW YORK, Sept 4 (Reuters) - Global equity markets tumbled and the dollar traded mixed on Friday after a U.S. jobs report for August kindled uncertainty over whether the Federal Reserve will raise interest rates in two weeks. The headline number of a less-than-expected increase of 173,000 in non-farm payrolls was offset by the generally strong Labor Department report. The unemployment rate dropped to a near 7-1/2-year low and wages accelerated. ID:nL1N11925M Also, the jobs count may have been flawed because of a statistical fluke that has often led to sharp upward revisions to payroll figures for August after initial weak readings. Whether the Fed boosts rates in September or holds off for later, investors are preparing for an eventual raise, said Andrew Wilkinson, chief market strategist at Interactive Brokers LLC in Greenwich, Connecticut. A hike would be the U.S. central bank's first in almost a decade. "Regardless of the global dislocation for equities, investors still seem to be preparing for a lift-off in the fed funds rate. There's not a lot to stop the onset of tightening at some point in the near future," Wilkinson said. The equity sell-off suggests there is deleveraging as investors are forced out of positions they can no longer afford, while high volatility still "hasn't been swept under the carpet," Wilkinson said. "When the volatility indexes are running at those levels, be on the watch," he said. The CBOE Volatility Index .VIX , Wall Street's so-called fear gauge, was up 6.9 percent at 27.17, or about double the rate it traded at all year until mid-August. Major U.S. and European stock indices were poised to end the week lower. On Friday, the pan-European FTSEurofirst 300 index .FTEU3 was down 2.17 percent at 1,397.80 points. MSCI's all-country world stock index .MIWD00000PUS was down 1.34 percent. On Wall Street, the Dow Jones industrial average .DJI fell 202.03 points, or 1.23 percent, to 16,172.73. The S&P 500 .SPX slid 19.96 points, or 1.02 percent, to 1,931.17 and the Nasdaq Composite .IXIC lost 25.18 points, or 0.53 percent, to 4,708.32. U.S. medium- and long-dated Treasuries prices rose, while short-dated prices were slightly lower, The benchmark 10-year Treasury US10YT=RR rose 7/32 in price to yield 2.1438 percent, while the U.S. two-year note US2YT=RR fell 1/32 in price to yield 0.7246 percent. Strong average hourly earnings and a drop in the unemployment rate to 5.1 percent in the jobs report support the view that the Fed will hike rates at its policy-setting meeting on Sept. 16-17. "They will probably raise rates just because they've been wanting to get off the zero bound, but I do think it's one of the closer calls," said Marc Bushallow, director of fixed income at Manning & Napier in Rochester, New York. The dollar index .DXY of major currencies traded rose 0.09 percent, while the dollar was down as much as 1 percent against the yen JPY= , and was last trading at 119.26 yen, or a loss of 0.67 percent. Against the euro EUR= , the dollar was up 0.04 percent at $1.1116. Crude futures fell as the oil market awaited a weekly reading on the U.S. oil rig count, after the U.S. jobs report failed to provide much direction. Brent crude LCOc1 , the global benchmark for oil, was down 59 cents at $50.09 a barrel. U.S. crude's front-month CLc1 slid 57 cents to $46.18. (Reporting by Herbert Lash; Editing by Chizu Nomiyama) ((herb.lash@thomsonreuters.com; 1-646-223-6019; Reuters Messaging: herb.lash.reuters.com@reuters.net)) Keywords: MARKETS GLOBAL/

UPDATE 2-Zambian kwacha hits record low on power, copper price woes

September 04, 2015 - reuters.com

* Economy over-reliant on copper exports * Lack of transparency in thin kwacha market (Adds analyst comments, background) By Chris Mfula LUSAKA, Sept 4 (Reuters) - Zambia's kwacha hit a record low against the dollar on Friday on heavy selling by investors worried about power supply in Africa's number two copper producer and weakening copper prices. The sharp slide has renewed pressure on the southern African country to diversify its economy away from copper, which accounts for 70 percent of export earnings but whose global price has slumped. ID:nL4N11A1VO The kwacha ZMW= fell more than 2 percent in early trade to 10.1500 per dollar, before clawing back to 10.0500 by 1433 GMT, still down 1.7 percent on the day. "Although 90 percent of what we are experiencing is externally triggered, we have always known that we are dependent on an export whose price we are not in control of," said Oliver Saasa, an analyst at Premier Consult. "This is a huge wake up call that you cannot depend on an export whose price you cannot control." Last weekend, Treasury Secretary Fredson Yamba said the government would prioritise the rehabilitation of infrastructure such as roads to boost the tourism sector. Bank of Zambia Governor Denny Kalyalya said on Thursday that policymakers would not intervene in the foreign exchange market to defend the currency. ID:nL5N1193H7 The kwacha has suffered alongside other commodity currencies hit by an economic slowdown in key consumer China. "Many entities are likely to use the dollar as the currency of choice for transactions, thereby putting more pressure on the demand side," said analyst Peter Sitamulaho of the local Bonds and Derivatives Exchange. "The kwacha is afflicted by lack of price transparency, lack of liquidity, too few market participants dominated by less than six banks, the majority being international banks," he added. The kwacha would remain on the back foot as a resolution to global and domestic economic concerns were out of sight, Zambia National Commercial Bank said in a note. In addition to weak global prices, Zambian mines have also been hit by a power crunch, with one copper producer, China's NFC Mining, shutting down some of its operations at local operations as a result, according to a union. ID:nL5N1181RV Zambia's Konkola Copper Mines (KCM) owned by London-listed Vedanta Resources Plc VED.L has asked 133 employees to stay away from work on full pay while the company undertakes a review of the operations. ID:nL5N11A1VN The government has said it plans to build 17 hydro power generation plants and a thermal plant by 2030, which together will add over 4,000 MW to power supply. (Writing by Stella Mapenzauswa and TJ Strydom; Editing by James Macharia) ((tj.strydom@thomsonreuters.com; +27 11 775 3150; Reuters Messaging: tj.strydom.thomsonreuters.com@reuters.net)) Keywords: MARKETS ZAMBIA/KWACHA

UPDATE 2-G20 promises transparency on rate moves as global economy disappoints

September 04, 2015 - reuters.com

* Chinese turmoil, Fed outlook weigh on G20 meeting * G20 does not directly caution against Fed hikes * Delegates seek more from China on market turmoil * Experts propose two-stage introduction of bank buffers * Inclusion of yuan in IMF basket under discussion (Recasts with draft communique) By Jan Strupczewski and Randall Palmer ANKARA, Sept 4 (Reuters) - World financial leaders will agree to calibrate and communicate monetary policy carefully to avoid triggering capital flight, but will not call an expected U.S. rate rise a risk to growth, a draft communique showed on Friday. Many emerging market economies are concerned that when the U.S. Federal Reserve raises borrowing costs, investors will withdraw from other markets and buy dollar assets, weakening other currencies and creating turbulence as capital flees. Officials from emerging markets wanted the communique from finance ministers and central bank governors of the Group of 20 biggest economies, meeting in Turkey, to say that a U.S. rate rise now would be a risk to growth. But the draft avoids such wording. "We note that in line with the improving economic outlook, monetary policy tightening is more likely in some advanced economies," the draft communique, seen by Reuters, said. "We will carefully calibrate and clearly communicate our actions to minimize negative spillovers, mitigate uncertainty and promote transparency," said the draft, which may yet change before it is finally agreed on Saturday. An earlier version of the text said policy tightening in developed economies "may remain one of the main sources of uncertainty in financial markets". "In one of the wild formulations it said that this was the biggest threat to the world economy. This was killed immediately and forever," a Russian source said earlier. The text welcomed strengthening activity in some economies but said that global growth fell short of expectations, although it expressed confidence a recovery would gain speed. It also indirectly addressed Chinese moves that weakened its yuan currency in August, in a sign these were not seen as a competitive devaluation to prop up Chinese exports. "We reiterate our commitment to move toward more market determined exchange rate systems and exchange rate flexibility to reflect underlying fundamentals, and avoid persistent exchange rate misalignments," it said. "We will refrain from competitive devaluations and resist all forms of protectionism." Slower growth in China and rising market volatility have boosted the risks to the global economy, the International Monetary Fund warned ahead of the G20 meeting, citing a mix of potential dangers such as depreciating emerging market currencies and tumbling commodity prices. ID:nL1N1182BQ But the G20 had been seen as unlikely to come up with any concrete new measures to address the spillover from instability in the world's second-largest economy, or to call directly on Beijing to address structural issues such as rising bad debts. EASY MONEY Luxembourg Finance Minister Pierre Gramegna, whose country holds the rotating presidency of the European Union, shrugged off the prospect of U.S. interest rate hikes. ID:nL5N11A19D "We cannot live all the time on easy money ... One has to be realistic that at one point in time the curve of interest rates will have to change," he told Reuters. "This G20 comes at a very good time because it gives the Fed an opportunity to gauge all the elements at stake." Bank of Japan Governor Haruhiko Kuroda said any Fed rate rise would be a positive sign for the global economy, despite the unease in some emerging markets that such moves could cause capital outflows and currency volatility. "If the U.S. were to raise rates, that would speak to the underlying firmness and growth in the U.S. economy, and that would actually be a plus for the global economy," he said. One specific idea being examined at the Ankara meetings is a proposal from a group of financial stability experts to adopt a two-stage approach for introducing Total Loss Absorption Capacity (TLAC) buffers for big banks, a G20 source said. The buffer is a new layer of debt big banks like Goldman Sachs GS.N and Deutsche Bank AG DBGKn.DE must issue to write down in a crisis and bolster their capital. The proposal would introduce a buffer of 16 percent of a bank's risk-weighted assets from 2019 and 20 percent from 2022, the source said. The United States had pushed for 20 percent, while some in Europe had been arguing for 16 percent on the grounds that their banks were still recapitalising after the financial crisis. The draft pencilled in that a deal should be ready for the endorsement of G20 leaders at their summit in southern Turkey in November, but some countries were concerned there would not be enough time to reach a final agreement by then. There was no clear pronouncement on China's desire to have the yuan included in the International Monetary Fund's Special Drawing Rights basket of currencies, but the draft said G20 finance chiefs expected progress in November, when the IMF has a board meeting on the issue. "China has moved in the direction in currency and monetary policy ... that is necessary if they want to achieve the goal of getting China into the IMF currency basket," German Finance Minister Wolfgang Schaeuble told reporters, welcoming Beijing's near 2 percent yuan devaluation last month. ID:nB4N101027 China is keen for the symbolic boost it would get from the yuan's inclusion. Bundesbank chief Jens Weidmann said he is open to discussion on including the yuan in the IMF basket, and said recent financial turmoil in China should not pose a lasting danger to the global economy. "The currency basket should in principle reflect relative global economic strengths," he told Reuters, but added China must fulfil the conditions for inclusion. One delegate said it was possible that the likely failure of the U.S. Congress to approve an IMF quota reform that would give China and other emerging markets more say could work in Beijing's favour on the SDR issue. The reasoning goes that benefiting the leading emerging economy, China, could help offset the perennial failure to boost emerging market quotas. However, IMF members will also be examining whether China's heavy intervention in the yuan market was befitting of a freely convertible reserve currency, the delegate said. One option being floated was the idea of giving China a more limited share of the SDR basket at first until its convertibility and market orientation improved. (Additional reporting by Gernot Heller, Dasha Afanasieva and David Dolan; Writing by Nick Tattersall; Editing by Jeremy Gaunt/Ruth Pitchford) ((nicholas.tattersall@thomsonreuters.com; Reuters Messaging: nicholas.tattersall.thomsonreuters.com@reuters.net)) Keywords: G20 TURKEY/

Turkish lira weakens to new record low against dollar

September 04, 2015 - reuters.com

ISTANBUL, Sept 4 (Reuters) - The Turkish lira hit a fresh record low above 3.0 to the dollar on Friday against a background of political uncertainty and security concerns, and as investors digested data showing the U.S. economy created less jobs than expected last month. The lira TRYTOM=D3 peaked at a level of 3.0057 in late trade before edging back slightly to 3.0000 at 1507 GMT. (Writing by Daren Butler; Editing by Nick Tattersall) ((daren.butler@thomsonreuters.com; +90-212-350 7122; Reuters Messaging: daren.butler.thomsonreuters.com@reuters.net)) Keywords: MARKETS TURKEY/LIRA

FOREX-Dollar mixed as Fed moves still uncertain after U.S. jobs data

September 04, 2015 - reuters.com

* Dollar up against euro, down against yen * Fed rate-hike outlook remains clouded * U.S. unemployment rate lowest since 2008 (Adds U.S. employment, quotes, data; changes byline and dateline; previous LONDON) By Michael Connor NEW YORK, Sept 4 (Reuters) - The dollar stood mixed on Friday as data showing U.S. unemployment in August at its lowest since 2008 did little to clear away currency markets' uncertainties over whether the Federal Reserve will raise rates later this month. In a report many analysts had tipped as key for Fed policymakers, the government said nonfarm payrolls increased 173,000 last month as the manufacturing sector lost the most jobs since July 2013. That marked a slowdown from July's upwardly revised gain of 245,000 and was the smallest rise in employment in five months. However, it might have been weighed down by a statistical fluke that has led to sharp upward revisions to August payroll figures. ID:nL1N11925M Average hourly earnings increased 8 cents, the biggest rise since January, and the workweek rose to 34.6 hours. The jobless rate declined 0.2 percentage point to 5.1 percent, its lowest level since April 2008 and in the range that most Fed officials think is consistent with a low but steady rate of inflation. "The headline was a little weak, but every other metric was strong," said Win Thin, global head of emerging markets at Brown Brothers Harriman & Co in New York. "No one thinks the September (rate hike) is a done deal, but this certainly supports that." Expectations of a rate hike by the Fed in September have waned as a slowdown in China has brought increased market volatility across asset classes. That has caused the dollar to struggle in recent weeks, especially against the yen. The dollar index .DXY of major currencies traded against the greenback repeatedly fluctuated between gains and losses and last was little changed. The dollar was down as much as 1 percent against the yen JPY= but was last at 119.30 yen, or a loss of 0.65 percent. The dollar was up against the euro, which pivoted from earlier gains stemming from unwinding of euro-funded carry trades. The euro hit a two-week low against the dollar on Thursday after European Central Bank President Mario Draghi said the bank's bond-buying program may run beyond September 2016 and that its size and composition may be adjusted. ID:nL5N1190VG (Reporting by Michael Connor in New York; Editing by Lisa Von Ahn) ((michael.connor@thomsonreuters.com; 646 223 6309; Reuters Messaging: michael.connor.reuters.com@reuters.net)) Keywords: MARKETS FOREX/

POLONIA Rate rises 0.03 pp.

September 04, 2015 - reuters.com

WARSAW, Sep 4 (Reuters) - POLONIA the reference rate for Overnight deposits amounted to 1.50 percent. The volume of transactions concluded till 16:30 by banks participating in POLONIA fixing amounted to 530 mln PLN. Note: Description of reference rate at: http://www.acipolska.pl/ ((warsaw.newsroom@reuters.com))

G20-Turkish deputy PM bemoans weak progress on steps to boost G20 output

September 04, 2015 - reuters.com

ANKARA, Sept 4 (Reuters) - Turkish Deputy Prime Minister Cevdet Yilmaz said on Friday the Group of 20 leading economies had taken only a third of the steps needed to add 2 percent to their economic output. Speaking at a G20 meeting of finance ministers and central bank governors, he said member states should continue to work on the measures. (Reporting by Asli Kandemir; Writing by Daren Butler; Editing by Nick Tattersall) ((nicholas.tattersall@thomsonreuters.com; Reuters Messaging: nicholas.tattersall.thomsonreuters.com@reuters.net)) Keywords: G20 TURKEY/YILMAZ GROWTH

Sterling hits 3-month low on doubts over BoE rate hike timing

September 04, 2015 - reuters.com

(updates after U.S. jobs data, adds details) LONDON, Sept 4 (Reuters) - Sterling fell to a three-month low against the dollar on Friday, hit by a raft of soft data out of the UK this week that has made investors more doubtful that the Bank of England will raise interest rates soon. It also lost ground against the lower-yielding euro, which was supported by an unwinding of carry trades, as global stocks traded in the red. The euro tends to do well during a risk-off environment as investors unwind risky carry trades, in which they sell a lower-yielding currency to buy a higher-yielding one or riskier asset. ID:nL5N11A1PR The euro had fallen on Thursday after European Central Bank chief Mario Draghi flagged downside risks to the euro zone economy and inflation and kept the door open for more quantitative easing. Draghi's dovish stance was a contrast to BoE Governor Mark Carney, who said on Saturday that, while a slowdown in China's economy could push down inflation, it did not for now change the BoE's position on when and how it might raise rates. Sterling failed to gain much traction, however, especially since data on Thursday indicated that Britain's dominant services sector had grown in August at its weakest pace in more than two years. Manufacturing and construction sector surveys also fell short of expectations, prompting some economists to revise down their growth forecasts for the third quarter. A survey by the accountancy firm BDO released on Friday indicated that British retail sales in August had suffered their biggest decline in seven years. ID:nL5N1192R1 Sterling extended losses after a key U.S. jobs report kept alive expectations that the Federal Reserve could raise rates perhaps as early as this month, hitting a low of $1.5183 GBP=D4 , its lowest level since June 5, and was on track for its second straight week of losses. ID:nL1N11925M The euro rose to 73.15 pence EURGBP=D4 , recovering from Thursday's low of 72.76, hit in the aftermath of Draghi's comments. "Sterling is not enjoying this environment of weak risk sentiment, as euro/sterling merely settled lower rather than melting down yesterday after Draghi's performance," said John Hardy, head of FX strategy at Saxo Bank. "Sterling is only likely to rally if we see an improvement in the market mood." Sterling has lost more than 3 percent on a trade-weighted basis =GBP in the last two weeks alone as investors have pushed back the expected timing of the first UK rate hike, given renewed market ructions and worries about a China-led global slowdown. Many investors expect the BoE to raise rates only after the Fed has lifted off. A month ago, sterling money markets were pricing in a hike around the beginning of next year, but the earliest that they now expect the BoE to move is around April or May GBPOIS=ICAP . "The Fed still has plenty of reasons to hold off raising rates for a while longer," said David Lamb, head of dealing at foreign exchange firm FEXCO. "Even if the Fed doesn't pull the interest rate trigger in September, this jobs report will ensure the decision will be as finely balanced as ever." (Reporting by Anirban Nag; Editing by Kevin Liffey) ((anirban.nag@thomsonreuters.com; +44 20 7542 8399 ; Reuters Messaging: anirban.nag.thomsonreuters.com@reuters.net)) Keywords: MARKETS FOREX/STERLING

Weaker rand a boost for S.African stocks, drag on bonds

September 04, 2015 - reuters.com

* Currency fall boosts shares with offshore revenue * Prospects of higher rates drags bonds lower By Stella Mapenzauswa JOHANNESBURG, Sept 4 (Reuters) - South African equities have marched ahead this year despite sluggish economic growth, with local investors scaling back their bond exposure in favour of shares that offer a hedge against a sharply weaker currency. Central bank regulations limiting local investors to taking only 25 percent of their assets offshore have prevented a mad rush out of South Africa that might have ensued with the rand's nearly 20 percent fall against the dollar this year ZAR=D3 . But asset managers are now juggling their money around more actively than they have done in the past to maximise returns, and the local bourse has benefited the most. "It's been a good news story for the equity market and a bad news story for the bonds," said Mike Keenan, a strategist at Barclays Africa. "It is a way of protecting your investment against rand depreciation, and that has actually seen the JSE (Johannesburg Stock Exchange) doing very well in an environment were growth is still weak and the central bank is hiking rates. The rush to equities has boosted the likes of Naspers NPNJn.J , Sasol SOLJ.J , Richemont CFRJ.J , which have a big weighting on the share index and generate most of their revenue from abroad, meaning a weaker rand works in their favour. The South African Reserve Bank hiked interest rates for the first time in a year in July, anxious to protect the value of the currency rand in the face of an emerging market sell-off spurred by expectations that U.S. interest rates will soon starting rising. Investors and analysts alike are pricing in more domestic hikes before year-end, and this has prompted a bond sell-off that has pushed the yield on the 2026 benchmark ZAR186= up more than 140 basis points since December. Even foreign investors have gone off on bonds, with inflows slowing to just over 11 billion rand ($800 million) so far this year from over 14 billion rand over the same period in 2014. In contrast, offshore accounts have bought nearly 35 billion rand worth of equities, up significantly from 27 billion rand last year. "Over the medium to longer term, our preferred asset class is equity," said Rhynhardt Roodt a fund manager at Investec Asset Management. Appetite had also risen for so-called multi-asset flexible funds which allow investors to comply with regulations limiting equity exposure to below 75 percent, Roodt told Reuters. "South African investors want to be protected against rand weakness and the low growth domestic environment, inflationary pressures, so you see things like flexible funds coming to the fore." ($1 = 13.7167 rand) (Editing by James Macharia) ((stella.mapenzauswa@thomsonreuters.com; +27 11 775 3161; Reuters Messaging: stella.mapenzauswa.thomsonreuters.com@reuters.net)) Keywords: SAFRICA ASSETS/

INVESTMENT FOCUS-Market sell-off yet to reach breaking point

September 04, 2015 - reuters.com

* Despite panic indicators, system holding up -fund managers * Liquidity worries still acute * Global economic environment, central banks supportive By Lionel Laurent LONDON, Sept 4 (Reuters) - Despite a brutal sell-off of financial assets last week and volatility that reached its highest since the 2008-2009 crisis, predictions of a systemic market breakdown have proven wide of the mark so far. After six years of lobbying from the financial industry warning of the unintended consequences of a post-crisis crackdown on risk-taking, especially in the primarily over-the-counter bond market, markets are so far holding up in the face of a rising number of short, sharp shocks to the system. Last week's market moves were not small beer. U.S. blue-chips saw their biggest intraday tumble on record, China suffered its biggest sell-off since 2007 and the VIX .VIX volatility gauge rose back to crisis levels. Even reliably liquid stock market instruments such as exchange-traded funds were caught up in last week's perfect storm of thin summertime trading, crowd-following automated strategies and China-led slowdown fears - so much so that U.S. regulators and stock exchanges are looking again at rules designed to ensure orderly trading. ID:nL5N1182LC ID:nL1N1190PS But despite several bouts of such turmoil in recent months, warnings of an imminent liquidity crunch from heavyweights like billionaire activist investor Carl Icahn, bond guru Bill Gross and the head of the U.S. securities regulator are premature, according to investors and analysts. "I don't see that we are heading towards a cataclysmic liquidity shock," said Philip Poole, head of research at Deutsche Asset & Wealth Management. "But it is a reality that liquidity is reduced." MINI-SHOCKS THE 'NEW NORMAL'? In the 'new normal' world of fragmented markets, hugely popular passive index investing tools and booming asset prices supported by years of easy central bank cash, investors and markets are getting used to shocks to the system. Volatility has snapped back since last week - though it remains above levels seen for most of 2015 - and the latest fund flows data showed the first equity inflows in three weeks, according to Bank of America-Merrill Lynch, with ETFs still flavour of the month at 9 percent of total private-client equity holdings. "Mini-crashes appear to be the 'new normal'...People seem to be taking it in as a fault condition they can tolerate," said David Weiss, senior analyst at research firm Aite Group. "But ...how much fault can people tolerate?" The post-crisis landscape has its fair share of detractors. Banks have lobbied hard against new rules raising capital requirements and curbing risk-taking; asset managers complain of the consequences of shrinking dealer inventory, with BlackRock warning last year that corporate bond trading was "broken". ID:nL6N0SH2ET ID:nL5N1081S1 While years of plentiful central bank cash have helped paper over the cracks, the Bank for International Settlements has warned that persistently low interest rates pose a growing risk to financial stability and economic growth. ID:nL9N0OK03Y "The risk of global liquidity conditions swinging is real for the markets, justifying a significant reduction in exposure for all asset classes," said Didier Saint-Georges, managing director at Carmignac, in a note to clients. But what is striking about the recent market slide is that investors were prepared to step back in. While structural factors like trend-following automated trades and evaporating liquidity exacerbated the sell-off, bets that the world was still growing and central banks still supportive returned. When that snap-back fails to happen is when the music will have truly stopped, said Stephen Jefferies, head of currency and emerging markets at J.P.Morgan. But for now, markets are clearing individual hurdles rather than breaking down at a systemic level. "This is more in the line of a series of tests rather than a big liquidity crisis," said James de Bunsen, multi-asset portfolio manager at Henderson Global Investors. "The financial system as a whole is in a better state than before the crisis." (Reporting by Lionel Laurent; Additional reporting by Jamie McGeever; editing by John Stonestreet) ((lionel.laurent@thomsonreuters.com; +44 207 542 9746; Reuters Messaging: lionel.laurent.thomsonreuters.com@reuters.net)) Keywords: MARKETS LIQUIDITY CRISIS/

London gold 1500 fix - Sept 4 - 1118.25 dlrs

September 04, 2015 - reuters.com

UK to increase Syria refugee aid by 100 mln pounds - Cameron

September 04, 2015 - reuters.com

LONDON, Sept 4 (Reuters) - Britain will spend a further 100 million pounds ($152 million) on humanitarian aid to address the Syrian refugee crisis, Prime Minister David Cameron said on Friday. "Today I can announce that we will provide a further 100 million pounds, taking our total contribution to over 1 billion pounds. That is the UK's largest ever response to a humanitarian crisis," Cameron told reporters during a visit to Spain. "Sixty million pounds of this additional funding will go to help Syrians still in Syria. The rest will go to neighbouring countries, to Turkey, Jordan and Lebanon, where Syrian refugees now account for one quarter of the population." Earlier on Friday, Cameron said Britain would take in "thousands more" Syrian refugees. ID:nL5N11A1JD (Reporting by William Schomberg; editing by Kate Holton) ((william.schomberg@thomsonreuters.com; +44 207 542 7778; Reuters Messaging: william.schomberg.reuters.com@reuters.net)) Keywords: EUROPE MIGRANTS/CAMERON AID

PRECIOUS-Gold falls towards 2nd weekly loss after U.S. payrolls data

September 04, 2015 - reuters.com

* Gold prices head for second weekly loss * China closed for holidays, Indian demand soft * GRAPHIC-Asset returns: http://link.reuters.com/dub25t (Releads, updates prices, adds comment) By Jan Harvey LONDON, Sept 4 (Reuters) - Gold prices fell towards a second weekly loss on Friday after U.S. payrolls data failed to allay uncertainty over the prospect of a near-term interest rate hike from the Federal Reserve. Data from the Labor Department on Friday showed that non-farm payrolls rose 173,000 last month, a slowdown from July's upwardly revised gain of 245,000. ID:nL1N11925M However, a drop in the unemployment rate to a near 7-1/2-year low and an acceleration in wages kept alive prospects of a Federal Reserve interest rate increase later this month. Spot gold XAU= was down 0.4 percent at $1,120.80 an ounce at 1346 GMT, while U.S. gold futures GCv1 for December delivery were down $4.70 at $1,119.80. The metal is on track to fall for a second week. "Overall I think the payrolls were erring on the better side, even though the headline number was weaker, because of the lower unemployment rate, the higher hourly earnings, and the upward revisions," ABN Amro analyst Georgette Boele said. "The dollar is also doing relatively okay, which is not so good for precious metals." A top Federal Reserve policymaker said the data on the U.S. jobs market was "good" and did not change the outlook for monetary policy. ID:nW1N0ZB01U U.S. stock futures fell and the dollar was little changed against a currency basket after the data. MKTS/GLOB Gold has come under pressure this year from expectations the Fed will hike rates for the first time in nearly a decade. The metal has benefited from ultra-low interest rates, which cut the opportunity cost of holding bullion while pressuring the dollar. The Fed has already indicated that the timing of a hike is largely data-dependent. The absence of Chinese buyers also weighed on gold, with markets in the major bullion consumer closed this week for public holidays. Gold prices in India swung to a discount to the global benchmark this week for the first time since mid July as a weak monsoon dampened demand in another of the world's biggest consumers. ID:nL4N11A1A0 "Although August bullion imports were high, demand in India appears to have stalled," HSBC said in a note. "China's markets are closed for the rest of the week ... Without two key physical markets it will be tough for gold to rally." Other data showed sales of gold coins and minted bars at the Perth Mint dipped in August from a nine-month high in the previous month. ID:nL4N11A0GK Among other precious metals, silver XAG= was down 1.4 percent at $14.56 an ounce. Platinum XPT= was down 0.4 percent at $997.50 an ounce, while palladium XPD= was up 0.4 percent at $575.22 an ounce. (Additional reporting by A. Ananthalakshmi in Singapore; Editing by David Evans and Pravin Char) ((jan.harvey@thomsonreuters.com)(+44 0 207 542 7744)(Reuters Messaging: jan.harvey.thomsonreuters.com@reuters.net)) Keywords: MARKETS PRECIOUS/

G20 vows transparency on rate moves as global growth disappoints

September 04, 2015 - reuters.com

ANKARA, Sept 4 (Reuters) - World financial leaders will agree to calibrate and communicate monetary policy carefully to avoid triggering capital flight, but will not call an expected Federal Reserve rate rise a risk to growth, a draft communique showed on Friday. Many emerging market economies are concerned that when the U.S. Federal Reserve raises borrowing costs, investors will withdraw from other markets and buy dollar assets, leading to the depreciation of emerging market currencies. Officials from emerging markets wanted the communique from finance ministers and central bank governors of the Group of 20 biggest economies to say that such a rate rise in the U.S. now would be a risk to growth. But the draft avoids such wording. "We note that in line with the improving economic outlook monetary policy tightening is more likely in some advanced economies," the draft communique, seen by Reuters, said. "We will carefully calibrate and clearly communicate our actions to minimize negative spillovers, mitigate uncertainty and promote transparency," said the draft, which may yet change before it is finally agreed on Saturday. The text welcomed strengthening activity in some economies but said that global growth fell short of expectations. The draft indirectly also addressed the devaluation by China of its renminbi currency in August, in a sign the move was not seen as a competitive devaluation to prop up Chinese exports. "We reiterate our commitment to move toward more market determined exchange rate systems and exchange rate flexibility to reflect underlying fundamentals, and avoid persistent exchange rate misalignments. We will refrain from competitive devaluations and resist all forms of protectionism," it said. (Reporting By Jan Strupczewski; Editing by Nick Tattersall) ((jan.strupczewski@thomsonreuters.com; +32 2 287 68 37; Reuters Messaging: jan.strupczewski.reuters.com@reuters.net)) Keywords: G20 DRAFT/

CORRECTED-UPDATE 1-Azerbaijan's reserves plunge in August as c.bank props up manat

September 04, 2015 - reuters.com

(Corrects June to July in second paragraph) BAKU, Sept 4 (Reuters) - Azerbaijan's foreign currency reserves fell by more than $1 billion in August, illustrating the heavy pressure on its manat currency due to falling oil prices and global financial jitters. Central bank data published on Friday showed the oil-rich Caucasus state's reserves fell to $7.315 billion in August from $8.501 billion in July. This compares with a decline of just $18.7 million in July. The bank's reserves have almost halved from $13.7 billion at the end of 2014 as the central bank has intervened to support the manat. "August 2015 was difficult from a financial point of view," said a high-placed source at the central bank. "The economies of large countries of the world declined and the price of oil also fell on world markets, which influenced the state of the manat." "To avoid a fall of the manat the Central Bank of Azerbaijan increased interventions". Azerbaijan devalued the manat by 33.5 percent in February when it replaced a peg against the dollar with a managed rate against a dollar-euro basket. ID:nL5N0VQ2KA The central bank sets the rate against the basket each day but seeks to prevent large rises or falls. In April the head of the central bank said the country was moving towards a flexible exchange rate but wasn't ready for one yet. ID:nL6N0WY2AC Last month Kazakhstan, another oil-rich ex-Soviet republic, floated its tenge currency, leading it to slide heavily. ID:nL5N10V067 (Reporting by Nailia Bagirova; Writing by Jason Bush; Editing by Hugh Lawson) ((Polina.Devitt@thomsonreuters.com; +7 495 775 12 42; Reuters Messaging: polina.devitt.reuters.com@reuters.net)) Keywords: AZERBAIJAN FOREX/RESERVES

REFILE-GRAPHIC-Euro breaks ties with rates, moves in opposite direction to stocks

September 04, 2015 - reuters.com

(Adds graphic link after second paragraph) By Anirban Nag LONDON, Sept 4 (Reuters) - With the U.S. Federal Reserve set to raise interest rates and the European Central Bank mulling additional economic stimulus, the euro ought by rights to be falling against the dollar. In fact, as the charts show, the correlation between the euro/dollar exchange rate and the gap between U.S. and euro zone bond yields, which was the main driver of the single currency earlier this year, has frayed. http://tmsnrt.rs/1EFl7iR Instead, the euro has been bolstered by an unwinding of risky carry trades, in which investors sell low-yielding currencies such as the euro in search of higher returns elsewhere, on the back of worries related to China. As a result, the relationship between the euro EUR= and stock markets, whether European .STOXX or global, is at its weakest in more than a decade, with the euro moving in the opposite direction to falling stocks and other riskier assets such as commodities. The broad-based euro trade-weighted index EUREER=ECBF has risen 1.3 percent since China devalued the yuan on Aug. 11, a move that injected volatility into global markets and drove many to bail out of these so-called carry trades. <^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ GRAPHIC-Euro's correlations with stocks and yield spreads: http://tmsnrt.rs/1EFl7iR ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^> The euro has moved almost in tandem with the safe-haven yen, which has also gained as stocks slid and prompted investors to seek refuge, leading some in the market to say the euro has emerged as a safety play. Many analysts, though, are sceptical. "Has the euro risen because of safe-haven flows? We don't think so," said Georgette Boele, an analyst at ABN-Amro. "Investors had set up carry trades with the euro as the funding currency." As risk sentiment declined, the euro rallied because those short bets against the single currency were closed," she said. Carry trades work best when borrowing is in a cheap and liquid currency that is either stable or gradually declining. But in an uncertain economic climate, or when financial markets are in upheaval, these trades take a hit. ID:nL5N10N3HE For most of 2015, a weaker euro and a higher U.S. dollar has been one of the biggest macro themes. But this position has come under strain as investors have become less certain that the Fed will raise rates this year, given the recent market ructions and worries about global growth. The latest Reuters poll suggested the euro would fall only slightly in the coming year, and saw only a one-in-three chance that it would fall to parity with the dollar or lower. ID:nL3N10F454 And while ECB President Mario Draghi pledged on Thursday to do more to support the economy, the impact of the bank's monetary easing on the euro has been muted. Traders said that, unless market volatility faded, the euro would resist the ECB's easing measures and continue to benefit from the unwinding of risky bets. (Graphics by Vincent Flasseur; Editing by Nigel Stephenson and Kevin Liffey) ((anirban.nag@thomsonreuters.com; +44 20 7542 8399 ; Reuters Messaging: anirban.nag.thomsonreuters.com@reuters.net)) Keywords: MARKETS FOREX/EURO

GLOBAL MARKETS-Stocks slide, dollar flat after unconvincing jobs data

September 04, 2015 - reuters.com

By Nigel Stephenson LONDON, Sept 4 (Reuters) - U.S. stock futures fell and the dollar was little changed on Friday after data showed the U.S. economy created fewer jobs than expected last month, though the unemployment rate fell to a 7-1/2-year low. Non-farm payrolls increased 173,000 in August as the manufacturing sector lost the most jobs since July 2013, after an upwardly revised 245,000 rise in July, the Labor Department said. ID:nL1N11925M It was the smallest gain in employment in five months although it was enough to nudge the unemployment rate down to 5.1 percent from 5.3 percent in July. "It was a fairly mixed report, but I don't think it gives the Fed the support they were possibly looking for to make September the first hike, said Russell Price, senior economist at Ameriprise Financial Services Inc in Troy, Michigan. "One way to put, it's a report that provides the Fed with enough caution as it does confidence." The dollar index .DXY , which measures the greenback against a basket of currencies, initially dipped after the number before levelling off. It was last down 0.1 percent but marginally higher than before the data was released. U.S. stock index futures SPc1 were last down 1.6 percent having been down about 1.1 percent before the data. The FTSEurofirst 300 index of top European shares .FTEU3 initially cut losses just after U.S. jobs data but then fell back further. It was down 2.6 percent at 1,390 points by 1300 GMT. U.S. Treasury yields rose, with two-year notes US2YT=RR last yielding 2.15 percent, down 1.7 basis points, compared with 2.13 percent earlier. Sterling rose immediately against the dollar after the data, but quickly gave up those gains to hit a three-month low of $1.5206, down 0.3 percent on the day GBP=D4 . (Reporting by Nigel Stephenson, editing by Marc Jones) ((nigel.stephenson@thomsonreuters.com; +44 20 7542 8682; Reuters Messaging: nigel.stephenson.reuters.com@reuters.net)) Keywords: MARKETS GLOBAL/

UPDATE 2-African Rainbow Minerals cuts capex, dividend after profit slide

September 04, 2015 - reuters.com

* Headline EPS falls 58 pct * Reduces FY 2016 capex by 1 billion rand * Iron ore division earnings slump 61 pct (Updates with more quotes, details, background, shares) By Peroshni Govender JOHANNESBURG, Sept 4 (Reuters) - African Rainbow Minerals, the mining company backed by South Africa's first black billionaire, said it would cut investment and dividends after a 58 percent fall in annual earnings blamed on a drop in commodity prices that has hammered the industry. The diversified mining group, whose businesses include iron ore, coal, copper and manganese, said on Friday above-inflation cost increases, especially for electricity and labour, made manganese alloy operations "unprofitable". It said it would temporarily close several money-losing furnaces and would slash capital spending this financial year by 1 billion rand ($73 million) to 2.4 billion rand. "We cannot continue to run operations that are unprofitable," said Patrice Motsepe, ARM's executive chairman and 40-percent shareholder, adding he had "no doubt" the company would "come out of this". The mining industry, which contributes around 7 percent to Africa's most developed economy, is struggling with sinking commodity prices, rising costs and labour unrest, forcing a number of companies into mine closures and layoffs. African Rainbow Minerals (ARM) ARIJ.J shares fell as much as 4.7 percent, but had pared losses to trade down 0.8 percent by 1235 GMT. The company declared a dividend of 350 cents a share, down from 600 cents a year earlier. Headline earnings per share, a measure used in South Africa which strips out some one-off items, fell to 803 cents in the year ended June 30 from 1,900 cents the year before. "The reduction in headline earnings was largely as a result of a decline in average realised U.S. dollar prices for iron ore, manganese ore, platinum, nickel, export thermal coal and copper," ARM said in a statement. It said the U.S. dollar price for iron ore fell by about 42 percent, due to increased supply from the major global producers coupled with a slowdown in demand, especially from China. That contributed to a 61 percent slump in headline earnings at ARM's iron ore division. Prices for iron ore, used in making steel, have recovered from a decade-low of $44.10 in July, but expectations of additional supply later in the year have capped gains. ID:nL4N1182EY South Africa's miners sell their commodities in dollars while paying costs in rand and ARM painted a gloomy outlook. "The business environment for mining will remain challenging and U.S. dollar prices are expected to be low for longer in certain commodities," it said. ($1 = 13.6496 rand) (Editing by Jason Neely and Mark Potter) ((peroshni.govender@thomsonreuters.com; +27-11-775-3126; Reuters Messaging: peroshni.govender@thomsonreuters.com)) Keywords: AFRICAN RAINBOW RESULTS/

European shares fall, Bunds rise after U.S. jobs data

September 04, 2015 - reuters.com

LONDON, Sept 4 (Reuters) - European shares fell and German Bund prices rose in yo-yo trade on Friday after U.S. jobs data showed the world's biggest economy created fewer than forecast jobs in August but figures for the prior two months were revised higher. The FTSEurofirst 300 index of top European shares .FTEU3 initially cut losses just after U.S. jobs data but then fell back further. It was down 2.6 percent at 1,390 points by 1253 GMT. German Bund futures FGBLc1 dipped 13 ticks before quickly resuming their climb, and last traded 65 ticks higher on the day at 154.51. British government bond futures FLGZ5 briefly touched a 10-day high before retreating. They were last up 70 ticks on the day at 118.27, little changed from their level before the U.S. employment figures. Sterling rose immediately against the dollar after the data, but quickly gave up those gains to hit a three-month low of $1.5206, down 0.3 percent on the day. GBP=D4 (Reporting by London markets team; Editing by Jamie McGeever) ((emelia.sithole@thomsonreuters.com; +44 20 7542 6752; Reuters Messaging: emelia.sithole.thomsonreuters.com@reuters.net)) Keywords: MARKETS EURO/DATA

UPDATE 1-G20 weighs Fed hike, Chinese turmoil, but unlikely to rock boat

September 04, 2015 - reuters.com

* Chinese turmoil, Fed outlook weigh on G20 meeting * G20 unlikely to caution against Fed hikes * Delegates seeking more from China on market turmoil * Experts propose two-stage introduction of bank buffers * Inclusion of yuan in IMF basket under discussion (Adds German finance minister, source on draft communique) By Jan Strupczewski and Randall Palmer ANKARA, Sept 4 (Reuters) - The U.S. Federal Reserve is coming under pressure from emerging markets not to raise rates too soon as turmoil in China threatens global growth, but the G20 will not publicly call for any delay, delegates meeting in Turkey said on Friday. Slower growth in China and rising market volatility have boosted the risks to the global economy, the International Monetary Fund warned ahead of the G20 meeting. It cited a mix of potential dangers such as depreciating emerging market currencies and tumbling commodity prices. ID:nL1N1182BQ Finance ministers and central bankers from the Group of 20 leading economies were pressing for more on China's plans to tackle its slowdown, delegates at the meeting in Ankara said. Emerging market economies are concerned that a U.S. rate hike on top of the Chinese turmoil would pile on extra pressure, they said. "The focus is going to be on how to deal with the instability and how to get growth going again," Canadian Finance Minister Joe Oliver told Reuters. But the G20 is unlikely to come up with any concrete new measures designed to address the spillover from the instability in the world's second-largest economy, or to call directly on Beijing to address structural issues such as rising bad debts. Nor is it likely to pressure the Fed to delay its expected rate hikes, despite unease in some emerging markets that such moves could cause capital outflows and currency volatility. "We cannot live all the time on easy money," Luxembourg Finance Minister Pierre Gramegna, whose country holds the rotating presidency of the European Union, told Reuters. ID:nL5N11A19D "This G20 comes at a very good time because it gives the Fed an opportunity to gauge all the elements at stake," he said. "One has to be realistic that at one point in time the curve of interest rates will have to change." A push by emerging market countries to characterise possible rate hikes in developed nations as a serious risk for the global economy was rejected by drafters of the G20 communique, a source from the Russian delegation said. "Some emerging market countries wanted to fix a position," the source told reporters, when asked whether the Fed's expected rate hike would be mentioned in the communique. "In one of the wild formulations it said that this was the biggest threat to the world economy. This was killed immediately and forever," the source said, but added the text would mention monetary policy changes without referring to specific countries. Another G20 source said the wording would probably not go beyond a general caution to central banks to bear in mind the consequences of policy shifts. "There will be no open demand to the Fed to act," the source told Reuters. YUAN AS RESERVE CURRENCY One concrete move being examined at the Ankara meetings is a proposal from a group of financial stability experts to adopt a two-stage approach for introducing Total Loss Absorption Capacity (TLAC) buffers for big banks, a G20 source said. The buffer is a new layer of debt big banks like Goldman Sachs GS.N and Deutsche Bank AG DBGKn.DE must issue to write down in a crisis and bolster their capital situation. The proposal, on which a final decision is unlikely before a G20 summit in November, would see the introduction of a buffer of 16 percent of a bank's risk-weighted assets from 2019 and 20 percent from 2022, the source said. The United States had pushed for 20 percent, while some in Europe had been arguing for 16 percent on the grounds that their banks were still recapitalising after the financial crisis. Delegates said the G20 was not expected to pronounce on China's desire to have its yuan currency included in the IMF's Special Drawing Rights basket of currencies, but the issue was discussed in the corridors. "China has moved in the direction in currency and monetary policy ... that is necessary if they want to achieve the goal of getting China into the IMF currency basket," German Finance Minister Wolfgang Schaeuble told reporters, welcoming Beijing's near 2 percent yuan devaluation last month. ID:nB4N101027 China is keen for the symbolic boost it would get from the yuan's inclusion. Bundesbank chief Jens Weidmann said he is open to discussion on including the yuan in the IMF basket, and said recent financial turmoil in China should not pose a lasting danger to the global economy. "The currency basket should in principle reflect relative global economic strengths," he told Reuters, but added China must fulfil the conditions for inclusion. Gramegna also said the EU would welcome the inclusion of the yuan in the IMF basket, if Beijing meets certain conditions. "It is a fact that the renminbi has become a reserve currency in many ways ... so it is in the interest of the SDR, and the IMF, and the world, that this important currency finds its way into the SDR," he said. One delegate said it was possible that the likely failure of the U.S. Congress to approve an IMF quota reform that would give China and other emerging markets more say could well work in Beijing's favour on the SDR issue. The reasoning goes that benefiting the leading emerging country, China, could help offset the perennial failure to boost emerging market quotas. However, IMF members will also be examining whether China's heavy intervention in the yuan market was befitting of a freely convertible reserve currency, the delegate said. One option being floated was the idea of giving China a more limited share of the SDR basket at first until its convertibility and market orientation improved. (Additional reporting by Gernot Heller and Dasha Afanasieva; Writing by Nick Tattersall; Editing by Jeremy Gaunt and Hugh Lawson) ((nicholas.tattersall@thomsonreuters.com; Reuters Messaging: nicholas.tattersall.thomsonreuters.com@reuters.net)) Keywords: G20 TURKEY/

CORRECTED-Sri Lankan shares hit 6-wk closing low in lacklustre trade

September 04, 2015 - reuters.com

(Corrects date in paragraph 4 to July 23, not June 23) COLOMBO, Sept 4 (Reuters) - Sri Lankan shares closed at a six-week low on Friday amid concerns a rise in interest rates could turn investors away from stocks and into fixed income assets, brokers said. Finance Minister Ravi Karunanayake however told Reuters after market hours that he believed interest rates should fall following the central bank decision to float the rupee currency on Friday. The currency fell 3 percent to hit a record low of 139.00 against the dollar. ID:nL4N11A11H The main stock index .CSE ended 0.42 percent lower, or 30.39 points weaker, at 7,215.11, its lowest close since July 23. The index fell 1.8 percent on the week, its third straight weekly decline. "Today's equities wrapped up in red in lacklustre trade. Investors are waiting till proper economic reforms are put forward," SC Securities (Pvt) Ltd said in a note to investors. "Volatility in global equities persisted and the emerging currencies weakened, as investors exited before U.S payrolls data on Friday." Analysts said the central bank's move to float the rupee also put investors on a wait-and-see mode. Foreign investors bought 190.4 million rupees ($1.38 million) worth of shares on Friday, but they have sold a net 3.49 billion rupees so far this year. Turnover stood at 540.1 million rupees, around half of this year's daily average of 1.15 billion rupees. Shares in Ceylon Tobacco Company Plc CTC.CM fell 1.89 percent, dragging the index down. ($1 = 137.5000 Sri Lankan rupees) (Reporting by Ranga Sirilal and Shihar Aneez; Editing by Biju Dwarakanath) ((ranga.sirilal@thomsonreuters.com; +94-11-232-5540; Reuters Messaging: ranga.sirilal.thomsonreuters.com@reuters.net; www.twitter.com/rangaba)) Keywords: MARKETS SRI LANKA/STOCKS

London gold 1030 fix - Sept 4 - 1125.00 dlrs

September 04, 2015 - reuters.com

Freeport Indonesia's copper shipments fall in August - union

September 04, 2015 - reuters.com

JAKARTA, Sept 4 (Reuters) - Freeport-McMoran's FCX.N Indonesian unit exported only two shipments of copper concentrate during August, a union official said on Friday, as new payment rules for buyers and the closure of the company's domestic smelter hindered supplies. Freeport Indonesia, which usually produces about 220,000 tonnes of copper ore per day, said last week that concentrate exports from its giant Papua mine had slowed since July 25 as it faced new rules on how buyers pay for metal. ID:nL4N1105W0 Under normal conditions, Freeport makes four to six shipments per month, of which about a third usually go to its domestic smelter at Gresik, Freeport Papua-based union official Virgo Solossa told Reuters. Gresik has been closed due to a technical problem since June 19. ID:nL4N1172TS It was unclear on Friday whether production at Grasberg was running at full capacity, although Solossa said that the U.S. mining giant sent a letter to employees on Aug. 20 asking for greater efficiency and emphasizing the need for cost-saving. Freeport Indonesia said in an email that concentrate shipments were proceeding normally after the Indonesian government renewed its export license on July 29. Freeport Indonesia spokesman Riza Pratama did not give further details on exports or output. Freeport negotiated a six-month export permit with the Indonesian government on July 27. It is still in talks on new government rules making it compulsory for its exports to be transacted through letters of credit issued by domestic banks. ID:nL3N1074GK ID:nL3N10V2BI (Reporting by Bernadette Christina; Additional reporting by Michael Taylor and Wilda Asmarini in Jakarta; Writing by Michael Taylor; Editing by Richard Pullin) ((michael.taylor@thomsonreuters.com; +62)(0)(21 2992-7602; Reuters Messaging: michael.taylor.thomsonreuters.com@reuters.net)) Keywords: INDONESIA FREEPORT/EXPORTS

Vietnam domestic market commodity prices-Sept 4

September 04, 2015 - reuters.com

Sept 4 (Reuters) - Following are domestic prices of Vietnam's key commodities. Unit: million dong VND=VN per tonne. Item Aug 31-Sept 4 Aug 24-29 Location Robusta beans 34.6-36.0 35.0-36.5 Central Highlands Black pepper 197.0-204.0 194.0-202.0 Southern region Refined sugar 13.0-17.0 13.0-17.0 Southern region Summer-autumn paddy 5.00-5.80 5.00-5.80 Mekong Delta ___________________ SJC gold 3.407-3.452 3.425-3.532 Hanoi, HCM City NOTES: Gold prices are low/high selling prices quoted in million dong during the week by top manufacturer SJC per 3.75-gram ingot. Prices in the previous week are updated. Coffee export prices COFFEE/ASIA1 Rice export prices RICE/ASIA1 Historical data VNCOMM01 Central bank's gold auction SBVGOLD2013 ($1=22,460 dong) (Compiled by Hanoi Newsroom) ((ho.minh@thomsonreuters.com +844 3825 9623)) Keywords: VIETNAM COMMODITIES/PRICES

PRECIOUS-Gold steadies ahead of U.S. jobs data

September 04, 2015 - reuters.com

UPDATE 1-African Rainbow Minerals year profit down 58 pct on lower prices

September 04, 2015 - reuters.com

* ARM HEPS fall 58 pct * Company places several furnaces on care and maintenance * Iron ore division slumps 61 pct (Adds more details, background) By Peroshni Govender JOHANNESBURG, Sept 4 (Reuters) - South African Africa Rainbow Minerals ARIJ.J posted a 58 percent fall in annual headline earnings on Friday reflecting lower commodity prices which forced it to shut down several manganese alloy furnaces. It said above-inflation cost increases, especially for electricity and labour, made manganese alloy operations "unprofitable". It placed all furnaces at its Machadodorp Works and three furnaces at the Cato Ridge Works on care and maintenance. Headline earnings per share, a measure used in South Africa which strips off some one-off items, fell to 803 cents from 1,900 cents a year earlier. "The reduction in headline earnings was largely as a result of a decline in average realised U.S. dollar prices for iron ore, manganese ore, platinum, nickel, export thermal coal and copper," ARM said in a statement outlining the company's results. It said the U.S. dollar price for iron ore fell by about 42 percent, due to increased supply from the major global producers coupled with a slowdown in demand, especially from China. That resulted in a 61 percent slump in ARM's iron ore division. Iron ore, used in making steel, has recovered from a decade-low of $44.10 in July but expectations of additional supply later in the year have capped further gains. ID:nL4N1182EY South Africa's miners sell their commodities in dollars while paying costs in rand and the company painted a dim outlook, projecting further price falls. "The business environment for mining will remain challenging and U.S. dollar prices are expected to be low for longer in certain commodities," ARM said. It said it would trim capital expenditure by 1 billion rand ($73.26 million) in response to lower commodity prices. ARM declared a dividend of 350 cents, down from 600 cents paid a year earlier. ($1 = 13.6496 rand) (Editing by Jason Neely) ((peroshni.govender@thomsonreuters.com; +27-11-775-3126; Reuters Messaging: peroshni.govender@thomsonreuters.com)) Keywords: AFRICAN RAINBOW RESULTS/

India gold prices back at discount on weak demand

September 04, 2015 - reuters.com

By Rajendra Jadhav MUMBAI, Sept 4 (Reuters) - Gold prices in India swung to a discount to the global benchmark this week for the first time since mid July as a weak monsoon dampened demand in the world's second-biggest consumer. Dealers offered discounts of 50 cents to $4 an ounce, compared to premiums of 70 cents to $1.50 last week. In July, prices fell to a discount of $15 due to tepid demand. India's monsoon rains are likely to be below the prior forecast of 88 percent of the long-term average, which could make it the driest year since 2009 and worsen rural distress by cutting farm output. ID:nL4N1183NV Two-thirds of gold demand in India comes from rural areas where jewellery is a traditional store of wealth. "There are concerns over demand from rural areas due to poor rainfall," said Kumar Jain, vice-president of the Mumbai Jewellers Association. "Even in urban areas demand is modest. Many customers are waiting for prices to come down to July levels," Jain said. Gold prices MAUc1 in India hit their lowest level in four years in late July, following a sharp drop in global prices XAU= , but they have rebounded nearly 8 percent as of Friday. "Anticipating higher demand at lower levels, everyone imported aggressively last month. But demand wasn't that strong," said a Mumbai-based bank dealer. "Now they are struggling to clear stocks." In other parts of Asia, demand remained tepid with markets in No. 1 consumer China closed on Thursday and Friday for public holidays. In Hong Kong, premiums were largely unchanged between 90 cents and $1.30 an ounce. In Tokyo, prices have been at a discount of about 50 cents for last three weeks, dealers said. "In our retail store, we are not seeing significant buying interest. Some customers are selling gold back to us," said a Japanese trader. Other data also showed weakness in the physical markets. Gold sales at the Perth Mint dipped in August from a nine-month high in the previous month as prices recovered from a 5-1/2-year low hit in July. ID:nL4N11A0GK (Additional reporting by A. Ananthalakshmi in Singapore) ((ananthalakshmi.as@thomsonreuters.com; +65 6870 3726; Reuters Messaging: ananthalakshmi.as.thomsonreuters.com@reuters.net; Twitter: @AnanthalakshmiA)) Keywords: GOLD ASIA/DEMAND

African Rainbow Minerals profit plunges 58 pct on soft prices

September 04, 2015 - reuters.com

JOHANNESBURG, Sept 4 (Reuters) - South African diversified mining group Africa Rainbow Minerals ARIJ.J posted a 58 percent fall in full-year headline earnings on Friday, impacted by lower commodity prices. Headline earnings per share - a widely watched measure in South Africa - stripping off some one-off items, reached 803 cents from 1,900 cents a year ago. "The reduction in headline earnings was largely as a result of a decline in average realised U.S. dollar prices for iron ore, manganese ore, platinum, nickel, export thermal coal and copper," the company said in a statement. It said during the period, U.S. dollar price for iron ore dropped by about 42 percent, due to increased supply from the major global producers coupled with a slowdown in iron ore demand, especially from China. ARM declared a dividend of 350 cents compared to 600 cents paid in the same period a year ago. (Reporting by Peroshni Govender; Editing by Biju Dwarakanath) ((peroshni.govender@thomsonreuters.com; +27-11-775-3126; Reuters Messaging: peroshni.govender@thomsonreuters.com)) Keywords: AFRICAN RAINBOW RESULTS/

INDICATORS - Kazakhstan - Sept 4

September 04, 2015 - reuters.com

GLOBAL MARKETS-Euro falls on ECB outlook; S&P 500 pares gains as focus on jobs data

September 03, 2015 - reuters.com

* S&P 500 ends up slightly after paring sharp early gains * Euro falls on euro zone outlook * U.S. jobs data due on Friday (Updates with U.S. market closing) By Caroline Valetkevitch NEW YORK, Sept 3 (Reuters) - The euro fell 1 percent on Thursday on a darkening euro zone outlook, while U.S. stocks pared sharp early gains to end barely higher as investors grew cautious ahead of Friday's August jobs report. Global stock markets rallied earlier in the session following a pledge from European Central Bank President Mario Draghi to beef up or prolong the bank's economic stimulus if necessary. The comments came as the bank cut its inflation and growth forecasts for the euro zone and weighed on the euro. ID:nL5N1190VG Nervousness ahead of the U.S. Labor Department's monthly jobs report on Friday and what it may mean for the U.S. interest rate outlook took out most of the early gains in stocks late in the session. ID:nL1N118288 The Federal Reserve, which meets on September 16-17, has said it will raise rates when it sees sustained economic recovery. While the labor market has strengthened, inflation remains below the Fed's 2 percent target. "After a waterfall decline like we had over a week ago, you can have violent moves both up and down. That's a little of what we're seeing now, as well as positioning in advance of not just the jobs number tomorrow, but a long weekend where we will be digesting the jobs number and whatever else we get over the weekend," said Mark Luschini, chief investment strategist at Janney Montgomery Scott in Philadelphia. The Dow Jones industrial average .DJI rose 23.38 points, or 0.14 percent, to 16,374.76, while the benchmark S&P 500 .SPX gained 2.27 points, or 0.12 percent, to 1,951.13. The Nasdaq Composite .IXIC dropped 16.48 points, or 0.35 percent, to 4,733.50. U.S. markets will be closed on Monday for the Labor Day holiday. MSCI's all-country stock index .MIWD00000PUS rose 0.5 percent, while the FTSEuroFirst .FTEU3 leading index of 300 shares closed up 2.4 percent. Germany's DAX shot up 2.7 percent .GDAXI . Economic data showing the U.S. trade deficit shrank in July to its lowest level in five months as exports rose broadly also helped U.S. stocks in early trading. Other reports showed activity in the global manufacturing and service sectors expanded in August at the same pace as in July, with both the U.S. and euro zone doing better than Asia. ID:nL1N1191KE China's stock markets, the root of much of the global volatility in recent weeks, were closed on Thursday for the start of a two-day holiday. ID:nL4N1171LM The euro fell, surrendering most of the solid gains it put up against the dollar since China devalued the yuan last month. During Draghi's news conference, the euro EUR= dropped 1.4 percent against the dollar to touch a two-week low of $1.1108. It was last off 0.90 percent at $1.1122 after earlier this week reaching a high of $1.1332 as investors spooked by the Chinese markets turmoil moved heavily into the euro and yen. Oil prices inched higher in see-saw trade, following the gains in U.S. equities for a second day despite a weekly build in U.S. crude inventories. Brent's front-month contract LCOc1 , settled up 18 cents at $50.68 a barrel. At one point during the session it had risen above $52. U.S. crude's front-month contract CLc1 gained 50 cents, settling at $46.75. It went above $48 earlier. U.S. BONDS RISE U.S. Treasuries prices rose after the dovish outlook from the ECB made U.S. government debt more attractive than European counterparts. But caution ahead of Friday's U.S. employment report limited gains. Benchmark 10-year Treasury notes US10YT=RR were last up 6/32 in price to yield 2.17 percent. (Additional reporting by Jamie McGeever in London and Michael Connor in New York; Editing by Dan Grebler and Chizu Nomiyama) ((caroline.valetkevitch@thomsonreuters.com; +1 646 223 6393; Reuters Messaging: caroline.valetkevitch.thomsonreuters.com@reuters.net)) Keywords: MARKETS GLOBAL

GLOBAL MARKETS-Euro falls on ECB outlook; U.S. stocks pare gains

September 03, 2015 - reuters.com

* S&P 500 pares sharp early gains * Euro falls on euro zone outlook * U.S. jobs data due on Friday (Updates to stocks paring gains, oil settles higher) By Caroline Valetkevitch NEW YORK, Sept 3 (Reuters) - The euro fell 1 percent on Thursday on a darkening euro zone outlook, while U.S. stocks pared sharp early gains as investors grew cautious ahead of Friday's key jobs report. Stocks rallied earlier following European Central Bank President Mario Draghi's pledge to beef up or prolong the bank's economic stimulus if necessary. The comments came as the bank cut its inflation and growth forecasts for the euro zone, which weighed on the euro. ID:nL5N1190VG Nervousness ahead of the U.S. Labor Department's monthly jobs report on Friday and what it may mean for the U.S. interest rate outlook took out some of the early gains in stocks, though. ID:nL1N118288 The Federal Reserve, which meets on September 16-17, has said it will raise rates when it sees sustained economic recovery. While the labor market has strengthened, inflation remains below the Fed's 2 percent target. "After a waterfall decline like we had over a week ago, you can have violent moves both up and down. That's a little of what we're seeing now as well as positioning in advance of not the jobs number tomorrow, but a long weekend where we will be digesting the jobs number and whatever else we get over the weekend," said Mark Luschini, chief investment strategist at Janney Montgomery Scott in Philadelphia. The Dow Jones industrial average .DJI rose 4.51 points, or 0.03 percent, to 16,355.89, the S&P 500 .SPX gained 0.81 points, or 0.04 percent, to 1,949.67 and the Nasdaq Composite .IXIC dropped 14.35 points, or 0.3 percent, to 4,735.63. MSCI's all-country stock index .MIWD00000PUS rose 0.6 percent, while the FTSEuroFirst .FTEU3 leading index of 300 shares closed up 2.4 percent. Germany's DAX shot up 2.7 percent .GDAXI . Economic data showing the U.S. trade deficit shrank in July to its lowest level in five months as exports rose broadly also helped U.S. stocks in early trading. Other reports showed activity in the global manufacturing and service sectors expanded in August at the same pace as in July, with both the U.S. and euro zone doing better than Asia. ID:nL1N1191KE China's stock markets, the root of much of the global volatility in recent weeks, were closed on Thursday for the start of a two-day holiday. ID:nL4N1171LM The euro fell, surrendering most of the solid gains it put up against the dollar since China devalued the yuan last month. During Draghi's news conference, the euro EUR= dropped 1.4 percent against the dollar to touch a two-week low of $1.1108. It was last off 0.90 percent at $1.1122 after earlier this week reaching a high of $1.1332 as investors spooked by markets turmoil in China moved heavily into the euro and yen. Oil prices settled higher, following gains in equities. Brent LCOc1 rose 18 cents to settle at $50.68 a barrel, while U.S. crude CLc1 rose 50 cents to $46.75 a barrel. U.S. BONDS RISE U.S. Treasuries prices rose after the dovish outlook from the ECB made U.S. government debt more attractive than European counterparts. But caution ahead of Friday's monthly U.S. employment report limited gains. Benchmark 10-year Treasury notes US10YT=RR were last up 7/32 in price to yield 2.166 percent. (Additional reporting by Jamie McGeever in London and Michael Connor; Editing by Dan Grebler and Chizu Nomiyama) ((caroline.valetkevitch@thomsonreuters.com; +1 646 223 6393; Reuters Messaging: caroline.valetkevitch.thomsonreuters.com@reuters.net)) Keywords: MARKETS GLOBAL

PRECIOUS-Gold slips on dollar after ECB comments, eyes on U.S. data

September 03, 2015 - reuters.com

* Bullion dips for second straight session * ECB leaves interest rates unchanged at record lows * ECB revises down inflation forecast * China markets closed for public holiday * COMING UP: U.S. non-farm payrolls at 1230 GMT Friday (Updates prices; adds comment, second byline, changes dateline, previous LONDON) By Marcy Nicholson and Clara Denina NEW YORK/LONDON, Sept 3 (Reuters) - Gold fell 1 percent on Thursday as the dollar jumped versus the euro after the European Central Bank (ECB) cut inflation forecasts, while a U.S. jobs report that could provide clues on the timing of a Federal Reserve rate rise remained in focus. The ECB left interest rates unchanged at record lows as expected, but lowered its forecasts for inflation and economic growth, citing a slowdown in emerging markets and weaker oil prices. ID:nL5N118219 As a traditional hedge against inflation, gold suffered from the downward revision. Spot gold XAU= fell as much as 1.1 percent to a session low of $1,121.35 an ounce and was down 0.8 percent at $1,125.20 at 2:47 p.m. EDT (1847 GMT). U.S. gold GCZ5 for December delivery settled down 0.8 percent at $1,124.50 an ounce. "No help for gold today: jobless claims, ECB hold(ing) rates unchanged, gains in stocks and wages show(ing) no inflation," said RBC Wealth Management adviser George Gero. The dollar .DXY rose 0.5 percent against a basket of leading currencies, while global stock markets rallied amid news the U.S. trade deficit fell to a five-month low in July. MKTS/GLOB ID:nL1N1190SK U.S. weekly jobs data indicated a strengthening labor market, a day ahead of the more critical monthly jobs report, due at 8:30 a.m. EDT (1230 GMT) on Friday, which should give a clearer picture about the strength of the world's biggest economy. ID:nLNN3KEBFA ECONUS "Only amazingly good U.S. data would bring the prospect of the rate hike back to September from December," Citi strategist David Wilson said. "That could put immediate further pressure on the gold price." Bullion traders remain wary of taking up new positions until they receive more clarity on whether the Fed will raise rates at its next meeting on Sept. 16-17, analysts said. Higher interest rates would increase the opportunity cost of holding non-yielding bullion. "The euro's down with the ECB comments, and the market's book-squared and looking toward tomorrow," said James Steel, chief metals analyst for HSBC Securities in New York. The technical picture for gold looked bearish with near-term support at $1,117, ScotiaMocatta analysts said. "We are bearish gold so long as it trades below the recent high of $1,170." Also weighing on bullion was the absence of Chinese buyers with markets in China, a major gold consumer, closed through Friday for public holidays. Other precious metals were also under pressure, with silver XAG= down 0.3 percent to $14.66 an ounce, platinum XPT= down 1 percent to $1,002 and palladium XPD= down 1.7 percent at $572.50. (Additional reporting by A. Ananthalakshmi in Singapore; Editing by David Evans and Tom Brown) ((Marcy.Nicholson@thomsonreuters.com, +1 646 223 6043; Reuters Messaging Marcy.Nicholson.ThomsonReuters.com@reuters.net)) Keywords: MARKETS PRECIOUS/

Judge orders U.S. SEC to expedite resource extraction rule

September 03, 2015 - reuters.com

By Sarah N. Lynch WASHINGTON, Sept 3 (Reuters) - A federal judge has ordered the U.S. Securities and Exchange Commission to fast-track a final rule requiring oil, gas and mining companies to disclose payments to foreign governments, after a human rights group complained the regulator was dragging its feet. In a Sept. 2 ruling, Judge Denise J. Casper for the U.S. District Court for the District of Massachusetts handed Oxfam America a major victory, and told the SEC it will get 30 days to file an "expedited schedule" with the court for how it plans to finalize the rule. "The SEC is now more than four years past the deadline set by Congress for the promulgation of the final rule," Casper wrote in her decision. "The court concludes...that the SEC's delay in promulgating the final extractive payments disclosure rule can be considered unlawfully withheld." Oxfam has been among one of the most vocal supporters of the resource extraction rule, saying it will play a crucial role in helping combat corruption in resource-rich countries. Required by the 2010 Dodd-Frank Wall Street reform law, the rule calls for oil, gas and mining companies to disclose how much they pay governments in taxes, royalties and other types of fees for exploration, extraction and other activities. The SEC did complete work on the rule in August 2012, a few months after Oxfam first sued the SEC over delays. But the non-stop litigation surrounding the rule did not end after the SEC adopted it. Trade groups including the Chamber of Commerce and the American Petroleum Institute filed a lawsuit accusing the SEC of conducting a flawed analysis of the rule's costs to the industry. In 2013, a federal judge tossed the rule out, saying it was "arbitrary and capricious." The SEC did not appeal the decision, and vowed to go back and rewrite the rule from scratch. To date, no new rule has been proposed. Frustrated with the delays, Oxfam sued the SEC for the second time in September 2014. An SEC spokeswoman said the agency is reviewing the decision. (Reporting by Sarah N. Lynch; Editing by Marguerita Choy) ((sarah.n.lynch@thomsonreuters.com; 202-354-5831;)) Keywords: SEC COURT/RULE

GLOBAL MARKETS-Euro falls on ECB outlook; stocks, oil rise

September 03, 2015 - reuters.com

* MSCI global stocks index climbs * Euro falls 1 pct on euro zone outlook * U.S. jobs data due on Friday * IMF urges accommodative policy (Updates to midday, adds European shares close) By Caroline Valetkevitch NEW YORK, Sept 3 (Reuters) - The euro fell 1 percent on Thursday on a darkening euro zone outlook, while global stock markets rallied as the European Central Bank chief pledged to beef up or prolong the bank's economic stimulus if necessary. Oil prices also rose, following the rally in equities. ECB President Mario Draghi's comments on the bank's bond-buying program came as the bank cut its inflation and growth forecasts for the euro zone, although he said no one on the bank's Governing Council had argued to add to the program now. ID:nL5N1190VG That helped to calm some jitters after weeks of market turmoil as investors gauge whether global monetary policy will be kept loose as central banks try to mitigate the recent market turmoil stemming from growing worries about China's economy. The euro fell, however, surrendering most of its solid gains put up against the dollar since China devalued the yuan last month. Against the dollar, the euro EUR= touched a two-week low of $1.1108 during Draghi's news conference. It was last off 1 percent at $1.1109. It was as high as $1.1332 earlier this week as investors spooked by the market turmoil in China moved heavily into the euro and yen. "Draghi at his press conference raised the risk of additional monetary support by the central bank," said Omer Esiner, chief market analyst at Commonwealth Foreign Exchange in Washington. "We were expecting some dovish comments, and he delivered." Friday brings the monthly U.S. jobs report, a key element in the Federal Reserve's decision on when to raise interest rates for the first time in nearly a decade. The Fed, which meets on September 16-17, has said it will raise rates when it sees sustained economic recovery. While the labor market has strengthened, inflation remains below the Fed's 2 percent target. MSCI's all-country stock index .MIWD00000PUS rose 0.8 percent, while the FTSEuroFirst .FTEU3 leading index of 300 shares closed up 2.4 percent. Germany's DAX shot up 2.7 percent .GDAXI . The Dow Jones industrial average .DJI was up 103.66 points, or 0.63 percent, at 16,455.04. The Standard & Poor's 500 Index .SPX was up 12.62 points, or 0.65 percent, at 1,961.48. The Nasdaq Composite Index .IXIC was up 15.72 points, or 0.33 percent, at 4,765.69. Helping the stronger tone, data released on Thursday showed new applications for U.S. unemployment benefits rose more than expected last week, but the underlying trend remained consistent with a strengthening labor market. China's stock markets, the root of much of the global volatility in recent weeks, were closed on Thursday for the start of a two-day holiday. ID:nL4N1171LM [ U.S. BONDS RISE U.S. Treasuries prices rose after the dovish outlook from the ECB made U.S. government debt more attractive than European counterparts. But caution ahead of Friday's monthly U.S. employment report limited gains. Benchmark 10-year Treasury notes US10YT=RR were last up 7/32 in price to yield 2.166 percent. In the energy market, Brent LCOc1 was up 74 cents at $51.24 a barrel, while U.S. crude CLc1 rose $1.01 cents to $47.26 a barrel. (Additional reporting by Jamie McGeever in London and Tanya Agrawal; Editing by Dan Grebler) ((caroline.valetkevitch@thomsonreuters.com; +1 646 223 6393; Reuters Messaging: caroline.valetkevitch.thomsonreuters.com@reuters.net)) Keywords: MARKETS GLOBAL

GLOBAL MARKETS-Stocks rally after Draghi comments; euro falls

September 03, 2015 - reuters.com

* U.S. stocks higher in early trading * Euro falls on euro zone outlook * U.S. jobs data due on Friday * IMF urges accommodative policy (Updates with U.S. market opening, changes dateline; previous LONDON) By Caroline Valetkevitch NEW YORK, Sept 3 (Reuters) - The euro fell on Thursday on a darkening euro zone outlook, while global stock markets rallied as the European Central Bank chief pledged to beef up or prolong the bank's economic stimulus if necessary. Oil prices also rose, following the rally in equities. ECB President Mario Draghi's comments on the bank's bond-buying program came as the ECB cut its inflation and growth forecasts for the euro zone, although he said no one on the bank's Governing Council had argued to add to the program now. ID:nL5N1190VG That helped to calm some jitters after weeks of market turmoil as investors gauge whether global monetary policy will be kept loose as central banks try to mitigate the recent market turmoil stemming from growing worries about China's economy. "I think the market is trying to calm down a little bit, with the fear factor reducing somewhat and the data points to a growing U.S. economy," said Peter Cardillo, chief market economist at Rockwell Global Capital in New York. Friday brings the monthly U.S. jobs report, a key element in the Federal Reserve's decision on when to raise interest rates for the first time in nearly a decade. The Fed, which meets on Sept. 16-17, has said it will raise rates when it sees sustained economic recovery. While the labor market has strengthened, inflation remains below the Fed's 2 percent target. With China's stock markets, the root of much of the global volatility in recent weeks, closed on Thursday, European equities markets took the lead. The FTSEuroFirst .FTEU3 leading index of 300 shares was up 2.8 percent, while Germany's DAX shot up 3.2 percent .GDAXI . The Dow Jones industrial average .DJI rose 177.55 points, or 1.09 percent, at 16,528.93. The Standard & Poor's 500 Index .SPX was up 23.56 points, or 1.21 percent, at 1,972.42. The Nasdaq Composite Index .IXIC was up 44.63 points, or 0.94 percent, at 4,794.60. EURO FALLS The euro fell, surrendering most of the solid gains put up against the dollar since China devalued the yuan last month, after the ECB outlook. Against the dollar, the euro <EUR= >touched a two-week low of $1.1108 during Draghi's news conference and was last off 0.70 percent at $1.1148. It was as high as $1.1332 earlier this week as investors spooked by the market turmoil in China moved heavily into the euro and yen. U.S. Treasuries prices rose after the dovish outlook from the ECB made U.S. government debt more attractive than European counterparts. But caution ahead of Friday's monthly U.S. employment report limited gains. Benchmark 10-year Treasury notes US10YT=RR were last up 3/32 in price to yield 2.18 percent. In the energy market, Brent LCOc1 was up $1.38 at $51.88 a barrel, while U.S. crude CLc1 rose $1.45 to $47.70 a barrel. (Additional reporting by Jamie McGeever in London; Editing by John Stonestreet and Dan Grebler) ((caroline.valetkevitch@thomsonreuters.com; +1 646 223 6393; Reuters Messaging: caroline.valetkevitch.thomsonreuters.com@reuters.net)) Keywords: MARKETS GLOBAL

BRIEF-Amplats says in talks with Sibanye Gold over Rustenburg ops sale

September 03, 2015 - reuters.com

Sept 3 (Reuters) - Anglo American Platinum Ltd AMSJ.J : * Company is in discussions with Sibanye in relation to sale of its Rustenburg operations * Discussions may or may not lead to a transaction * Continues to pursue possibilities of either sale or stock exchange listing of its Rustenburg operations * No further detail can be provided at this stage Source text for Eikon: ID:nJseC0047a Further company coverage: AMSJ.J ((Bengaluru Newsroom: +91 806 749 1136))

UPDATE 2-Congo militia chief Ntaganda says protected civilians

September 03, 2015 - reuters.com

* Ntaganda accused of allowing rape and massacre in 2002-03 campaign * Militia leader says was professional soldier, protected civilians * Congo's war-torn Ituri region rich in oil, diamonds, gold (Adds Ntaganda response) By Thomas Escritt THE HAGUE, Sept 3 (Reuters) - Militia leader Bosco Ntaganda, on trial in The Hague on charges of orchestrating rape and murder in a conflict in northeast Congo in the early 2000s, said he was a "revolutionary rebel" trying to restore peace in the province. Accounts of rape and massacres during the fighting have dominated the first two days of his trial, with prosecutors saying Ntaganda gathered a guerrilla army to strengthen his allies and corner the region's mineral resources for himself. But Ntaganda, who began his military career fighting alongside Tutsi forces in Rwanda in 1994 that brought to an end that country's genocide, said his Union of Congolese Patriots (UPC) army attempted to protect civilians of all ethnicities. "The word had gone out to kill all Tutsis in Ituri, or those who looked like them," he said, rising to address judges in the wood-panelled courtroom at the end of the second day of his trial. "I ask you to make a distinction between a revolutionary rebel and a criminal," he told judges. "I am not a criminal." Earlier, a lawyer for victims had described how girls as young as 12 were forced to serve as "wives" to senior officers in the UPC or were forced to be sexually available to soldiers. Prosecutors say Ntaganda let ethnic Hema troops under his command rape and massacre ethnic Lendu civilians who lived on land rich in oil, diamonds and gold which he wanted for himself. They also accuse him of raping child soldiers. One 13-year-old said falling pregnant with the child of a senior commander was a "relief" from the daily round of sexual favours she otherwise had to offer fighters, the victims' lawyer said. But his lawyers said he was a disciplined and highly professional soldier who had protected civilians from other militias during a power vacuum in the country that followed the 1997 toppling of President Mobutu Seke Seso. Before he gave himself up in 2013 after seven years on the run, Ntaganda fought for 15 years in wars that killed some 5 million people in the Democratic Republic of Congo over the past two decades. U.N. experts have said the M23 rebels he fought alongside were backed by Rwanda, a charge Kigali has always denied. Born in Rwanda but raised in Congo, he began his military career alongside Tutsi rebels who seized control of Rwanda in 1994, bringing to an end the genocide in which 800,000 died. (Editing by Hugh Lawson) ((thomas.escritt@thomsonreuters.com; +31 20 5045006; Reuters Messaging: thomas.escritt.thomsonreuters@reuters.net)) Keywords: WARCRIMES NTAGANDA/

London gold 1500 fix - Sept 3 - 1128.00 dlrs

September 03, 2015 - reuters.com

BRIEF-Sibanye Gold in talks with Anglo American Platinum for Rustenburg ops

September 03, 2015 - reuters.com

Sept 3 (Reuters) - Sibanye Gold Ltd SGLJ.J : * Says in negotiations with Anglo American Platinum Limited regarding potential acquisition of Rustenburg Mining * Proposed transaction if successfully concluded may have an effect on price at which company's securities trade on JSE * It is possible that no transaction will be consummated. * No further detail can be provided at this stage * Sibanye shareholders are advised to exercise caution when dealing in their sibanye shares until a further announcement is made Source text for Eikon: ID:nJseC0034a Further company coverage: SGLJ.J (Bengaluru Newsroom: +91 80 6749 1136)

GLOBAL MARKETS-Stocks rally but investors wary before ECB forecasts

September 03, 2015 - reuters.com

* ECB holds rates, Draghi expected to strike dovish tone * U.S. jobs data due on Friday * IMF urges accommodative policy By Jamie McGeever LONDON, Sept 3 (Reuters) - World stocks rose on Thursday and the dollar held steady as cautious investors awaited new growth and inflation forecasts from the European Central Bank later in the day and U.S. jobs data on Friday. The ECB left interest rates unchanged, as forecast, but central bank chief Mario Draghi is expected to unveil revised forecasts in a news conference beginning at 1230 GMT. U.S. employment data could be a major factor in determining whether the Federal Reserve raises rates later this month. Investors are broadly betting that global monetary policy will be kept looser for longer as central banks try to mitigate the recent market turmoil stemming from growing economic worries over China. "We expect that President Draghi will echo the IMF's call for more collective action to raise global demand and mitigate financial risks, while holding out the option of more QE to contain the risks of euro strength and market volatility on longer-term inflation expectations," said Lena Komileva, chief economist and director at G+ Economics in London. The FTSEuroFirst leading index of 300 shares was up 1.3 percent at 1,414 points .FTEU3 . Germany's DAX was up 1.6 percent .GDAXI , France's CAC 40 was up 1.2 percent and Britain's FTSE 100 was up 1.4 percent .FTSE . U.S. futures pointed to a rise of around 0.5 percent on Wall Street, adding to Wednesday's near 2 percent rise. Despite that rebound, however, shares have only recovered less than half of the losses chalked up over the past two weeks. Japan's Nikkei .N225 rose for the first time in four days, gaining 0.7 percent, but weakness in Australia and falls in Asian currencies drove the MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS down 0.2 percent. China's stock markets, the root of much of the global volatility in recent weeks, were closed on Thursday. IMF WEIGHS IN While global share prices are getting some respite, any relief rallies may be brief. With uncertainty over policy in the United States and China, investors expect trade to remain extremely choppy. Draghi is expected to lower the ECB's growth and inflation outlook because of falling oil prices and China's economic slowdown, and may pledge to beef up the bank's bond-buying programme if prospects weaken further. ID:nL5N11831J The euro was unchanged at $1.1230 EUR= , and the dollar was down 0.2 percent at 120.17 yen JPY=- . The 10-year German Bund yield was down 2.5 basis points at 0.77 percent EU10YT=RR , while the comparable 10-year U.S. yield was down 2.1 bps at 2.17 percent US10YT=RR . Emerging markets were under more pressure. The real BRL= tumbled to its weakest level since 2002 on Wednesday as expectations of a growing fiscal deficit fed fears that Brazil would lose its investment-grade credit rating. The International Monetary Fund entered the global growth and inflation debate late on Wednesday, warning of growing downside risks to the world economy and urging central banks to keep policy accommodative and supportive. ID:nL1N1182BQ As Friday's U.S. August employment report and the Fed rate decision loom, the question for investors is whether the China-inspired risk sell-off in recent weeks is a big enough shock to justify a delay in the Fed raising rates. "The IMF clearly doesn't think raising rates against the modest global growth backdrop is a good idea," said Societe General analysts in a note on Thursday. Oil prices remained volatile after their 25 percent surge late last month. Brent crude LCOc1 stood at $50.38 per barrel, slipping further from Monday's one-month high of $54.32, though some distance from a 6-1/2-year low of $42.23 hit a week earlier. (Editing by Jeremy Gaunt and John Stonestreet) ((jamie.mcgeever@thomsonreuters.com)(+44 0 207 542 8510)) Keywords: MARKETS GLOBAL

INDICATORS - Kazakhstan - Sept 3

September 03, 2015 - reuters.com

Login required

Please note that, in order to view the full text, you must be logged-in at our system.

Please login at the easy-forex homepage (new users need registration).

Thank you.