The Korea Herald

ECB holds rates as crisis deepens

Jun 7, 2012

European Central Bank chief sees gradual recovery amid crisisFRANKFURT (AP) ― The European Central Bank withheld the stimulus of an interest rate cut Wednesday, keeping up the pressure on eurozone politicians to take decisive action ― even as growth predictions worsened and fears intensified that Spain may need help bailing out its banks. The 23-member governing council left its benchmark refinancing rate unchanged Wednesday at a record low 1.0 percent. ECB President Mario Draghi cited economic
EU Commission proposes centralized bank rules

Jun 6, 2012

BRUSSELS (AP) -- The European Union's executive branch proposed Wednesday a system of centralized banking regulations that would ensure that taxpayers would never again have to bail out ailing banks whose collapse would threaten the wider economy.Under the European Commission proposal, banks that posed no systemic risk to the national or international economy would simply be allowed to fail. But t
ECB holds key interest rate steady at 1.0%

Jun 6, 2012

FRANKFURT (AFP) - The European Central Bank held its key interest rates steady, as expected Wednesday, leaving eurozone borrowing costs where they have been since December even as the sovereign debt crisis deepens.The ECB's policy-setting governing council voted to leave the rate for its main refinancing operations unchanged at 1.0 percent at its regular policy meeting, held this month on Wednesda
U.S. oil price rises again as investors track Europe

Jun 6, 2012

The price of oil rose for a second straight day Tuesday as European leaders tried to find a way to clean up their financial mess. Benchmark oil rose 31 cents to finish $84.29 per barrel in New York. The small gains over the past two days came after the price fell more than 8 percent last week as gloomy economic data from the U.S., China and Europe raised questions about the strength of demand for oil and other energy-related products. Finance ministers and central bank presidents of the world’s
Nintendo touts games for Wii U GamePad console

Jun 6, 2012

LOS ANGELES (AFP) ― Nintendo fired its riposte Tuesday in the battle for living room entertainment by boosting its game offerings for its new Wii U console featuring a tablet-style controller.The Japanese electronic games giant boasted that Wii U would start a “revolutionary” trend in “asymmetrical play” that lets players using GamePad tablets act as wily adversaries in multi-person matches.Nintendo did not reveal the price it planned to charge for the successor to the Wii consoles launched in 2
Google buys maker of Quickoffice mobile app

Jun 6, 2012

SAN FRANCISCO (AP) ― Google is escalating its rivalry with Microsoft with the purchase of Quickoffice, the maker of a widely used mobile application for working on documents created in Microsoft’s programs for word processing, spreadsheets and presentations. The deal announced Tuesday gives Google Inc. a new weapon to foil Microsoft Corp. as more people get work done on smartphones and tablet computers. Quickoffice makes those devices compatible with Microsoft Office even if the software suite i
G7 European leaders vow ‘speedy’ response to crisis

Jun 6, 2012

TOKYO (AFP) ― European finance ministers from the Group of Seven economies vowed after emergency talks on Tuesday to respond “speedily” to the continent’s fiscal crisis, Japan’s finance minister said.“We were able to share our recognition on the European issue,” Jun Azumi was quoted by Jiji Press as saying after a conference call with his G7 counterparts. “The European side stated that they will respond to it speedily.”Finance ministers and central bank chiefs from the world’s seven most industr
Moody’s downgrades credit ratings of six German banks

Jun 6, 2012

FRANKFURT (AFP) -- The international credit rating agency Moody’s said Wednesday it downgraded the credit ratings of six German banks, including the country’s number two Commerzbank.Moody’s said in a statement it was downgrading by one notch the credit ratings of Commerzbank, DekaBank, DZ Bank, regional banks LBBW, Helaba and NordLB in view of “the increased risk of further shocks emanating from the euro area debt crisis, in combination with the banks’ limited loss-absorption capacity.” Moody’s
China tells U.S. to stop reporting Beijing's bad air

Jun 5, 2012

BEIJING (AP) -- China told foreign embassies Tuesday to stop publishing their own reports on air quality in the country, escalating its objections to a popular U.S. Embassy Twitter feed that tracks pollution in smoggy Beijing. Only the Chinese government is authorized to monitor and publish air quality information and data from other sources may not be standardized or rigorous, Wu Xiaoqing, a
Spain minister reassures on bank recapitalization

Jun 5, 2012

MADRID (AP) -- Spanish Finance Minister Cristobal Montoro Tuesday claims the amount of money needed to prop up Spain's troubled banking sector is not as excessively high and repeated the country's calls for the European Union to move faster towards establishing a banking union that would allow ailing lenders to seek help without governments intervening.Montoro declined to set a figure how much mon
World stock markets fall as Europe worries rise

Jun 5, 2012

PARIS (AP) -- Evidence that Europe's debt crisis is continuing to drag down economies both on the continent and in the U.S. pushed world stock markets lower Tuesday ahead of an emergency conference call about the crisis.A private discussion among finance ministers and central bank governors from seven of the world's most industrialized powers is expected later in the day. U.S. officials have said
AIG chief sees retirement age as high as ...80 after crisis

Jun 4, 2012

American International Group Inc. Chief Executive Officer Robert Benmosche said Europe’s debt crisis shows governments worldwide must accept that people will have to work more years as life expectancies increase. “Retirement ages will have to move to 70, 80 years old,” Benmosche, who turned 68 last week, said during a weekend interview at his seaside villa in Dubrovnik, Croatia. “That would make pensions, medical services more affordable. They will keep people working longer and will take that b
Toyota CEO voices concerns over yen, Europe, U.S. slowdown

Jun 4, 2012

Toyota Motor Corp. President Akio Toyoda said the appreciating yen, the European debt crisis and slowing automobile demand in the U.S. are among concerns facing Japan’s car industry. “In the short run, the European economy and a possible slowdown in the recovery of the U.S. auto market is a concern,” though he’s optimistic on the outlook for the year, Toyoda, speaking as chairman of the Japan Automobile Manufacturers Association, told reporters in Tokyo Monday. The yen is also a “major concern,”
Greek euro exit not ruled out if loan deal broken: France

Jun 4, 2012

PARIS (AFP) ― A Greek exit from the eurozone will be on the agenda if Athens fails to impose austerity measures required in its EU-IMF bailout deal, French Finance Minister Pierre Moscovici said Sunday.And commenting on the Spanish government’s refusal to accept foreign aid to help it through its debt crisis, he said the sovereignty of the Madrid administration should be respected.Moscovici was responding to questions about comments made by Greece’s radical leftist leader Alexis Tsipras who said
BIS: Asia can consider currency gains to cap reserve growth

Jun 4, 2012

Asian central banks should consider allowing more currency appreciation to contain an expansion of their balance sheets that risks spurring inflation and financial instability, according to the Bank for International Settlements. The balance sheets of nine Asian central banks surged to $6.4 trillion in 2011 from $1.1 trillion in 2001, the Basel, Switzerland-based BIS said in a report released Sunday. A high rate of increase may strain the ability of the financial system to absorb the funds and g