Stockmarket News Headlines - Yahoo! News UK

Bankia preference shares not to be converted into capital-chairman

Sat, 26 May 2012 10:05:02 +0100

MADRID (Reuters) - Bankia's chairman Jose Ignacio Goirigoizarri said on Saturday he did not envisage converting about 4 billion euros ($5.00 billion)in preference shares held by investors into capital. "We don't envisage that the solution around preference shares will be to convert them into capital, but when we have a solution, we will communicate it," he told a press conference a day after Bankia asked for a 19 billion euro state bailout, the biggest bank rescue ever in Spain. ($1 = 0.7992 euros) (Reporting by Jesus Aguado, Editing by Sarah White)

JPMorgan board to shake up risk committee - WSJ

Sat, 26 May 2012 09:51:38 +0100

(Reuters) - The board of JPMorgan Chase & Co is expected to make changes to its risk-policy committee after the bank's trading losses of more than $2 billion, The Wall Street Journal reported on Friday, citing anonymous sources. The board is expected to add either Timothy Flynn or James Bell to the committee, the Journal said. Flynn and Bell have backgrounds in risk and finance, the report said. It was not clear whether any of the current members of the committee would leave it, the Journal said. A JPMorgan spokesman declined to comment on the report. ...

Global stocks, euro fall on fears of Greek euro exit

Fri, 25 May 2012 21:42:52 +0100

NEW YORK (Reuters) - U.S. stocks and the euro slipped on Friday as Spain's deteriorating finances and a possible Greek exit from the euro overshadowed an upbeat report on U.S. consumer confidence. Oil prices edged higher due to a lack of progress in talks with Iran over its disputed nuclear program and the rise in U.S. consumer confidence. European equities rose for a second straight day, but gains were driven by defensive plays like utilities and drug makers. A tough economic outlook in Europe dampened investors' appetite for riskier assets. After notching some gains earlier in the day, U.S. ...

JPMorgan's Dimon to testify before Congress in June

Fri, 25 May 2012 20:08:48 +0100

WASHINGTON (Reuters) - JPMorgan Chase Chief Executive Jamie Dimon has been invited to testify before the Senate Banking Committee on June 7 to give lawmakers insight into the bank's trading loss of at least $2 billion (1.27 billion pounds), Senator Tim Johnson said on Friday. Johnson, the Democratic chairman of that Senate panel, said the botched trading strategy at the nation's largest bank shows that Wall Street needs better risk management and stronger policing. "I expect Mr. ...

Apple chief passes on $75 mn in stock dividends

Fri, 25 May 2012 19:15:32 +0100

Apple chief executive Tim Cook has opted not to take $75 million in dividend payout on restricted shares of stock he owns in the maker of iPhones, iPads, iPods and Macintosh computers.

Britain's FTSE ends flat as rebound loses momentum

Fri, 25 May 2012 17:29:27 +0100

LONDON (Reuters) - Britain's blue-chip index recorded its first weekly gain in a month on Friday but its recent rally lost momentum and the index closed flat on the day, capped by uncertainty about the euro zone crisis and an economic slowdown in China. The FTSE 100 ended up 1.48 points at 5,351.53 after a choppy trading session, with share price moves exacerbated by light volume at just 75 percent of its 90-day average. The index was up on the week after rebounding from a six-month low of 5,253. ...

NBC may buy Microsoft's MSNBC.com stake

Fri, 25 May 2012 12:01:22 +0100

(Reuters) - NBCUniversal is in talks to buy out Microsoft Corp's 50 percent stake in joint venture MSNBC.com, media reports said. NBCU parent Comcast Corp is conducting due diligence and the partnership with NBC News could be unwound by this summer, said Adweek, which first reported the talks. "Discussions are taking place," Amy Lynn, director of communications at NBC News, told the Wall Street Journal. The companies are likely to negotiate a deal ensuring that MSNBC.com secures real estate on MSN.com, similar to the treatment Fox Sports receives, Adweek said. ...

Dixons on track to make 160 mln stg bond repayment

Fri, 25 May 2012 10:23:45 +0100

LONDON (Reuters) - Dixons Retail , Europe's second-biggest electrical goods retailer, said it was well placed to make a crucial 160 million pound ($251 million) bond repayment this year and had agreed a new 300 million pound banking facility. Shares in the firm, which trades as Currys and PC World in the UK, rose 7 percent on Friday after it said it was on course to redeem its 6.125 percent bonds due November 15. Dixons, which earlier this month posted better-than-expected fourth quarter sales, also said it has agreed a 300 million pounds revolving credit facility with its syndicate of banks. ...

Cape profits to suffer Algeria LNG project loss

Fri, 25 May 2012 08:24:10 +0100

(Reuters) - Industrial services provider Cape Plc is to take a charge for losses on an LNG project in Algeria that will hit profit for the year. The FTSE 250 company, said it will take a one-off charge of 14 million pounds -- equivalent to a fifth of its adjusted pretax profit Cape last year -- after a review of the GL3-Z LNG project in Arzew, Algeria unearthed additional costs that are projected to produce a significant loss. The company, which left its full-year revenue outlook unchanged, reported an adjusted pretax profit of 69.4 million pounds for 2011. ...

Evonik to press on with IPO before summer

Fri, 25 May 2012 07:05:29 +0100

FRANKFURT (Reuters) - The owners of Evonik on Friday confirmed they plan to list the shares of the specialty chemicals company on the Frankfurt stock exchange, in what will likely be one of the largest German share offerings this summer. Evonik is pressing ahead after earlier in the week signalling it may delay the offering amid euro zone market turbulence. Evonik's owners, the RAG foundation and private equity firm CVC, said the first trading day is expected to be before the summer break. RAG owns a 75 percent stake while CVC owns 25 percent. ...

Alibaba.com says 83.8 percent of shareholders back privatisation

Fri, 25 May 2012 06:24:19 +0100

HONG KONG (Reuters) - Alibaba.com Ltd , Hong Kong-listed unit of China's Alibaba Group , said on Friday that 83.8 percent of its shareholders have approved a $2.5 billion buyout offer by the parent to take the company private, in a decision that was widely expected. Alibaba Group, in which Yahoo Inc owns a 40 percent stake, is offering investors HK$13.50 ($1.74) per share in cash to take Alibaba.com private, the same price as the company's initial public offering in 2007. Shares of Alibaba.com, which were suspended on Friday, closed on Thursday at HK$13.42. ...

Global stocks eke out gains, euro falls

Fri, 25 May 2012 00:29:58 +0100

NEW YORK (Reuters) - Global stocks eked out gains on Thursday while the euro fell as data suggested Europe's debt woes were spreading and worsening a global economic slowdown, adding to investor concerns about Greece's possible exit from the euro zone. In a volatile session, investors looking for bargains initially bought equities, oil and gold, which have been beaten down this week by worries a Greece exit would deepen the euro zone debt crisis. The appetite for growth-oriented assets faded as fears about the euro zone's drag on the world economy returned. ...

Apple CEO gives up $75 million in dividend income

Fri, 25 May 2012 00:26:38 +0100

SAN FRANCISCO (Reuters) - Apple Inc Chief Executive Tim Cook will not be earning dividend income on the more than 1 million shares to which he is entitled, which will cost him about $75 million (47.9 million pounds). Apple said in a filing with the U.S. Securities and Exchange Commission on Thursday that Cook had asked to be excluded from a recently instituted company program through which employees can accumulate dividends on their restricted stock units that are still vesting. Asked why Cook was doing this, Apple declined to comment beyond the filing. ...

BlackRock group raises Chesapeake stake - source

Thu, 24 May 2012 23:33:21 +0100

(Reuters) - BlackRock Inc's Global Resources team increased its Chesapeake Energy Corp stake to 4 million shares from fewer than 1 million shares, a source familiar with the situation said on Thursday. While the group raised its exposure, executives within the team said Chesapeake's management issues are still a "distraction," the source said. Last month, Reuters reported that Chesapeake Chief Executive Aubrey McClendon had pledged his interests in many Chesapeake wells as collateral for more than $1.1 billion (702 million pounds) of personal loans. ...

Top women on Wall Street - Equal-opportunity axing?

Thu, 24 May 2012 22:34:41 +0100

(Reuters) - The financial crisis and its aftermath have been brutal for Wall Street's richest and most powerful women. The latest casualty: Ina Drew, the head of JPMorgan Chase's chief investment office, who departed last week after the bank suffered mammoth trading losses. An analysis by Reuters of the proxy statements from the five largest U.S. banks shows that of the 25 executives whose pay is disclosed - updated for some recent changes - only three, or 12 percent, are women. That's down from five, or 20 percent, at the end of 2007. ...

Icahn buys stake in Chesapeake - report

Thu, 24 May 2012 22:11:33 +0100

NEW YORK (Reuters) - Billionaire hedge fund manager Carl Icahn has purchased a stake in Chesapeake Energy Corp , according to Bloomberg, which sourced the information to a person with knowledge of the matter. The person said that Icahn Enterprises LP may now hold more than 4 percent of the company, making him the company's fifth-largest investor. Icahn was not immediately available for comment when Reuters called his office. Mason Hawkins, whose firm South-eastern Asset Management is the largest Chesapeake shareholder, did not respond to a request for comment. Chesapeake shares gained 3. ...

'Grexit' holds risks for Wall Street, Washington

Thu, 24 May 2012 21:49:52 +0100

For two years Washington and Wall Street have been bracing for Greece's eurozone exit, but despite the preparations, fears remain that an "X factor" could slap around the world's largest economy.

Nasdaq caused $35 mn loss in Facebook IPO: broker

Thu, 24 May 2012 19:31:48 +0100

A New York broker has asked Nasdaq to compensate it for up to $35 million in losses on the Facebook initial public offering due to the market's computer problems on the first day of trade.

Bargain hunters let Britain's FTSE recoup losses

Thu, 24 May 2012 17:42:43 +0100

LONDON (Reuters) - Britain's benchmark share index recovered on Thursday from stinging losses during the previous session as bargain hunters snapped up beaten-down financial and commodities stocks, although traders said any rally could prove short-lived. The blue-chip FTSE 100 index closed up 83.64 points, or 1.6 percent, to 5,350.05 points. It fell 2.5 percent on Wednesday to a new 2012 closing low of 5,266.41 points due to persistent fears that Greece may have to leave the euro zone, and its Thursday rally still left it shy of the 5,400 level seen as key to triggering further buying. ...

US Congress To Review Facebook IPO

Thu, 24 May 2012 17:28:20 +0100

The US Congress has entered the investigation into the issues surrounding Facebook's listing, less than a week since the company's debut on the stock market.

Tiffany, Signet forecasts disappoint; U.S. slowing

Thu, 24 May 2012 17:01:41 +0100

(Reuters) - Tiffany & Co cut its fiscal-year sales and profit forecasts on Thursday, blaming slowing economic growth in many countries and weakness in its home U.S. market. The upscale jeweller's U.S. sales started softening in the fall and over the holidays amid concerns about Wall Street layoffs and then picked up in the winter. But the company said the "soft trend" had continued and pointed to industrywide sluggishness in sales of high-end jewellery. Similarly, rival Signet Jewellers Ltd also issued a disappointing forecast and posted quarterly results that showed slowing growth in its U.S. ...

Shareholders sue Facebook, NYSE comes calling

Thu, 24 May 2012 14:30:33 +0100

SAN FRANCISCO (Reuters) - The fallout from Facebook Inc's messy initial public offering widened on Wednesday as shareholders sued the social network and its bankers while a trading firm revealed a massive loss on the shares and threatened to seek "remedies." The Nasdaq stock exchange also came under further pressure as a source close to the situation told Reuters that NYSE Euronext had opened discussions with Facebook about a potential stock listing there. Nasdaq also faces litigation from angry investors. ...

Tiffany, Signet forecasts disappoint, U.S. slowing

Thu, 24 May 2012 14:17:43 +0100

(Reuters) - Tiffany & Co lowered its fiscal-year sales and profit forecasts on Thursday, citing slowing economic growth in many countries and weakness in its home U.S. market, and the upscale jeweller's shares fell almost 7 percent. Rival Signet Jewellers Ltd also issued a disappointing forecast and posted first-quarter results that showed slowing growth in its U.S. sales, particularly at its higher-end Jared chain. Tiffany shares were down 6.7 percent in premarket trading, while Signet was off 11.5 percent. Signet shares fell 4.7 percent in London. ...

Thomas Cook names industry outsider as CEO

Thu, 24 May 2012 13:26:16 +0100

LONDON (Reuters) - Debt-laden tour operator Thomas Cook has named travel industry outsider Harriet Green from British electrical components distributor Premier Farnell as chief executive to help turn it around. Green, CEO of the FTSE 250 group since 2006 during which period she built its e-commerce operation, will succeed interim Thomas Cook chief executive Sam Weihagen at the end of July. ...

Europe shares rebound after sell-off, caution remains

Thu, 24 May 2012 13:00:40 +0100

LONDON (Reuters) - European shares rose on Thursday as investors snapped up bargains after steep falls the previous day, although regional data showing a deterioration in economic activity and concerns about Greece exiting the euro left stocks vulnerable. Sectors hammered in Wednesday's sell-off were among the top gainers, with energy, banking and utilities rising 1.1 to 2.2 percent. But charts suggested that the market was unlikely to hold gains and could come under renewed selling pressure. At 1112 GMT, the FTSEurofirst 300 index of top European shares was up 1.1 percent at 982. ...

CWC halves dividend in tougher telecoms world

Thu, 24 May 2012 11:45:16 +0100

LONDON (Reuters) - Cable & Wireless Communications , the British telecoms group that operates in the Caribbean, will halve its payout to investors, putting its dividend policy on a firm footing for the first time since it split from the former Cable & Wireless in 2010. "Since the demerger we have faced global economic uncertainty which has impacted our business especially in the Caribbean," Chief Executive Tony Rice said on Thursday. "With this in mind, and having reassessed the financial outlook for the Group (... ...

Cable & Wireless Communications to halve dividend

Thu, 24 May 2012 07:34:25 +0100

LONDON (Reuters) - Cable & Wireless Communications , the British telecoms group that operates in the Caribbean, Panama, Macau and Monaco & Islands, said it would halve its dividend this year because of continuing difficult trading conditions in the Caribbean. The announcement came after the group broadly met market expectations with a 18 percent rise in revenue to $2.88 billion, helped by an acquisition in the Bahamas, and a 5 percent rise in core earnings to $901 million. ...

Morgan Stanley, others make $100 million profit on Facebook trades -WSJ

Thu, 24 May 2012 06:58:17 +0100

(Reuters) - Morgan Stanley and other underwriters have made a profit of about $100 million stabilizing Facebook stock since trading began on Friday, the Wall Street Journal said, citing people familiar with the matter. Facebook's listing, envisioned as a crowning moment for an eight-year-old company that has become a business and cultural phenomenon, has instead turned into a legal and public relations fiasco for the company and its lead underwriter, Morgan Stanley. ...

Knight Capital hit by Facebook loss, wants Nasdaq to pay

Thu, 24 May 2012 01:40:10 +0100

(Reuters) - Electronic trader Knight Capital Group said it suffered a pre-tax loss of $30 million (19.1 million pounds) to $35 million on the botched Nasdaq trading debut of social media giant Facebook and is demanding the exchange compensate that amount. The loss, which Knight said will be recorded in its second-quarter results, was due to numerous problems related to the Facebook initial public offering. ...

HP to lay off about 27,000, profit slides 31 percent

Thu, 24 May 2012 00:49:57 +0100

SAN FRANCISCO (Reuters) - Hewlett Packard Co plans to lay off roughly 27,000 employees or about 8 percent of its workforce over the next couple of years to jumpstart growth and save up to $3.5 billion (2.23 billion pounds) annually, sending its shares 11 percent higher. The company said the layoffs would be made mainly through early retirement and would generate annual savings of $3 billion to $3.5 billion as it exits fiscal year 2014, when the layoffs are expected to the completed. The world's No. ...

Gupta tipped off 'top secret' Buffett deal: witness

Wed, 23 May 2012 23:26:18 +0100

The Indian-born US businessman accused in one of Wall Street's biggest insider trading probes passed a tip on a deal so confidential that it was "top secret," a former colleague said Wednesday.

Knight Capital sees losses on Facebook listing glitches

Wed, 23 May 2012 23:09:26 +0100

(Reuters) - Electronic trader Knight Capital Group Inc said its second-quarter results will be hurt by losses related to numerous issues during Facebook Inc's Nasdaq listing. A technical glitch delayed Facebook's market debut on May 18 by roughly half an hour, and later delayed order confirmations. Knight Capital, which provides electronic trading services to the brokers and other retail clients, sees a total pre-tax loss of $30 million to $35 million related to the social networking website's IPO. ...

Needham starts Facebook with buy, $40 price target

Wed, 23 May 2012 22:33:19 +0100

(Reuters) - Brokerage Needham & Co started coverage on Facebook Inc with a "buy" rating, a rare positive take on the shares of the social network after they lost nearly a fifth of their value since the company's stock started trading last Friday. Facebook should be valued based on the revenue potential from total minutes spent on the website, Needham analysts said, setting a $40 (25.5 pounds) price target on the stock. Facebook shares were up 4 percent at $32.35 in early trade on the Nasdaq. ...

U.S. stocks recover late, euro falls

Wed, 23 May 2012 22:07:14 +0100

NEW YORK (Reuters) - Wall Street stocks staged a late recovery and the euro flirted with a near two-year low on Wednesday as investors remained on edge about Greece's possible exit from the euro zone, which threatened to deepen the region's debt crisis and hurt an already fragile global recovery. Nervous investors piled into low-risk U.S. and German government debt, sending their yields lower. The dollar also was favoured as a safe haven by investors. ...

Facebook, banks sued over pre-IPO analyst calls

Wed, 23 May 2012 20:50:14 +0100

(Reuters) - Facebook Inc and lead underwriter Morgan Stanley were sued by shareholders who claimed they hid the social networking company's weakened growth forecasts ahead of its $16 billion (10.19 billion pounds) initial public offering. The lawsuit came as Facebook and the banks that took it public face questions about the IPO, which culminated in a May 18 stock market debut plagued by technical glitches. Facebook shares fell 18.4 percent from their $38 IPO price in their first three trading days. They were up $1.08, or 3.5 percent, at $32.08 in Wednesday afternoon trading. ...

Lawsuits pile up over Facebook IPO

Wed, 23 May 2012 20:11:08 +0100

Lawsuits piled up Wednesday against Facebook, its underwriters and the Nasdaq exchange as furious investors sought to recover losses after the company's $16 billion IPO debacle.

Greek fears drive European shares down

Wed, 23 May 2012 18:22:38 +0100

LONDON (Reuters) - European shares fell on Wednesday, ending a two-day recovery rally, as fears resurfaced that Greece would have to leave the euro zone, and traders said money was likely to continue to flow out of equities and into bonds or cash in the near term. The FTSEurofirst 300 index fell 2.2 percent, or 21.68 points, to 971.99 points, wiping out much of the gains made during the previous two days' rally that had followed losses of more than 5 percent last week. The euro zone's blue chip Euro STOXX 50 index declined by 2.7 percent. Germany's DAX fell 2.3 percent, France's CAC-40 fell 2. ...

FTSE drops to 2012 closing low on Greece fears

Wed, 23 May 2012 17:56:42 +0100

LONDON (Reuters) - Britain's top shares fell sharply on Wednesday, wiping out their gains from the start of the week on mounting fears Greece will leave the euro zone and doubts a European summit later in the day will amount to much. The FTSE 100 slid 2.5 percent to 5,266.41, its biggest one-day percentage drop since November 21 and its lowest close since Nov 25, when markets were similarly beset with worries about the euro zone's debt crisis. ...

Are gilts a riskier bet than they look?

Wed, 23 May 2012 17:01:43 +0100

LONDON (Reuters) - Investors fleeing the euro zone to seek safety in British government bonds may be taking a riskier bet than they think: The ultra-low interest rates the shrinking UK economy is paying look unlikely to last. British government bonds, nicknamed gilts after the gold leaf that used to adorn the paper certificates, have surged in price alongside U.S. and German government debt as investors have scurried away from riskier stocks and the questionable debt of crisis-hit, mainly southern, euro zone countries. ...

Euro and stocks dive before eurozone meeting

Wed, 23 May 2012 16:56:04 +0100

European shares dived and the euro hit a 22-month low on Wednesday before an informal EU summit and after the former Greek prime minister warned that Greece might leave the eurozone.