Financial News Headlines

Values ​​to follow on Monday in the Paris Bourse, where the index was down 2% to 12.45, a victim of profit taking while waiting for details of the Europe Agreement concluded last week before the G20 in Cannes Thursday and Friday:

* GDF SUEZ losing 3.3%. Belgian political parties, who are negotiating the formation of a new government, have agreed to close Sunday on condition the two nuclear power plants still operating in the country. AREVA also lost 3.8%.

EDF indirectly affected by the decision of the holdings of rights "draw" directly on 8% of the capacity of central Belgium, and indirectly through its Belgian subsidiary SPE rights over 7%, loses 1.7% .The title had sold more than 5% Friday.

* Bank stocks weigh on the coast, especially hurt by profit taking in a climate of uncertainty about the implementation of the plan to resolve the crisis of sovereign debt in the euro area, as shown in the voltage levels Italian government bonds.

BNP Paribas lost 6.7%, 6.5% Societe Generale, Credit Agricole and Natixis 6.4% 5%. The European index yields 3.3%, one of the biggest declines sector with commodities (-3.4%).

* The CYCLIC are also victims of profit-taking, exacerbated by concerns over growth. ALSTOM lost 3.6% and 3.2% MICHELIN 53.930 euros, while Goldman Sachs cut its price target from 78 to 70 euros, while remaining "neutral" on value.

European shares opened up, consolidating their gains from yesterday, and moving towards their best monthly performance in 30 months in the hope of resolving the debt crisis.

In Paris the CAC 40 gained 0.34% (11 points) to 3380 points to 9.30. Renault jumped 4.8%, signing the second performance of the index the day after announcing record sales in the third quarter thanks to markets outside Europe and confirmed its objective of free cash flow and sales.

The FTSEurofirst 300 index of blue chips in Europe, which gained 10.6% since the beginning of the month, could register its biggest monthly increase since April 2009, although there is a decrease of 9% over the year.

The Stoxx European banking sector ahead 0.9% after jumping 8.9% the day before.The index remains down 23.5% over the year.

Credit Agricole and BNP Paribas are among the highest increases in the sector, gaining 4.3% and 3.8% on the Paris Bourse.

Exchanges could continue to rise next week in anticipation of the G20 summit on 3 and 4 November, Judge Edmund Shing, strategist at Barclays Capital actions, however, recommends that investors not to run after the market too aggressively.

"The next key event is held in just one week. Meanwhile, the shares can probably gain more ground," he said.

Wall Street opened little changed on Thursday, the concern surrounding the European crisis of debt weighing on a market already made nervous by the earnings season.

Fifteen minutes after opening, the Dow Jones gained 0.2% (25 points) at 11,527 points.The Standard & Poor's, largest, took 0.2% (2.5 points) to 1212 points while the Nasdaq composite fell by 0.1% (2 points) to 2601 points.

Information from the German newspaper Die Welt, the German government that does not exclude the possibility of postponing the second time the EU summit scheduled on Sunday, has cooled investor sentiment, eager for Europe to find a plan to end the crisis.

In the process, senior sources directly involved in the preparation of the summit said they were unaware of such a project report.

Reports that the European Financial Stability (EFSF) may redeem the bonds on the secondary market under certain conditions are not sufficient to fully reassure the market.

Investors also monitor closely the earnings season that stand out far subdued. Microsoft will release its results include after-hours trading.

Yahoo gained 2.3% after asking that applicants interested in a takeover bid does not communicate with each other, while the group is probably too big to swallow for a single company, with the possible exception of Microsoft, whose title was down 0.5%.

EBay is losing more than 4% after yet announced a quarterly revenue up 32% and net profit in line with expectations of financial analysts.

The weekly jobless claims fell slightly last week in the United States at 403,000 against 409,000 the previous week and 400,000 expected.

The head of the mission of the International Monetary Fund (IMF) in Greece said Friday that substantial progress had been made, adding that there were important issues to discuss.

Poul Thomsen said he hoped that the review of the situation in Athens ends soon, stressing that the time had not yet come.

"We're not yet at the stage of conclusion," he told reporters.

"I hope we will soon conclude on a positive note, but we're not there yet."

The number of Americans entering the unemployment fell to a low of five months last week, and growth figures for the second quarter were revised upward, leaving the markets expect a recession is ultimately not to fear.

The number of jobless rose to 391,000 last week, against 428,000 the one before, said Thursday the Labor Department. This figure is well above expectations, as economists on average had forecast 420,000 jobless.

The Labor Department noted, however, that its adjustments for seasonal variations may have overstated the decline in enrollment.Revised data will be published next Thursday with the first estimate figures this week.

Commerce has meanwhile announced that growth in gross domestic product (GDP) reached 1.3% in the second quarter, according to final figures.

Its previous estimate was counting on only 1.0% growth.So a return to the first estimate, which already provided 1.3% before being downgraded.

Analysts had expected an upward revision, but not as pronounced, with a final figure of 1.2%.

Consumer spending and the trade figures have finally proved better than expected.

GDP figures "suggest that the U.S. economy entered the third quarter in a position a little better.These encouraging news is reinforced by the decline more marked than expected jobless claims, which casts further doubt on the likelihood of a return to recession, "said Joe Manimbo, an analyst at Travelex Global Payments in Washington.

CAUTIOUS OPTIMISM

Political tensions between the United States the Democratic administration and the Republican side, a majority in the House of Representatives, coupled with the impact of the debt crisis in Europe, have eroded confidence and fears of a return of U.S. U.S. recession.

The cautious optimism of economists now expects a further contraction of GDP will be avoided.Production companies continue to grow because, although at a slower pace since the beginning of the recovery.

In detail, the revised figures show, in fact more of a slower growing economy as a future recession.

Export growth is better than initially estimated at 3.6% instead of 3.1%.That of imports, however, is lower at 1.4% against 1.9%.

The trade deficit is lower, and foreign trade contributed to GDP by 0.24 percentage point.

These data support Wall Street, which evolved up to 1600 GMT, while the dollar went further against the yen and the price of Treasuries retreated.

U.S. debt is regarded as a safe investment and attractive in times of uncertainty, but less coveted when the economy recovers.

All indicators are not provided to green the U.S., and the gloom is still required from contractors, according to a study by the Institute "Business Roundtable" and published on Thursday.

According to the report, the outlook for business had deteriorated for the third quarter, and the number of those planning to cut jobs over the next six months more than doubled, from 11% in the second quarter to 24%.

They are more than 65% against 87% three months ago, to provide an increase in sales and only 32% instead of 61% plan to increase their investments.

PSA Peugeot Citroën could remove up to 10% of its workforce in France against the expected slowdown of the European car market, write Friday Les Echos and La Tribune, citing union sources.

Initially, 115 jobs will be lost on a voluntary basis and 300 temporary contracts not renewed in Aulnay-sous-Bois (Seine-Saint-Denis), an assembly plant in the Citroen C3, whose future after 2014 and threatened, and 180 positions will disappear in Melun-Sénart (Seine-et-Marne), according to Les Echos.

In the longer term, nearly 10,000 temporary positions, or nearly 10% of the workforce in France, would be threatened by the first French car manufacturer, said La Tribune.

"It's far too early to tell," said a spokesman for PSA that number of temporary positions.

At the end of the Central Committee (IAC) held Thursday, the agreement on the management of jobs and skills signed in April 2010 with the unions, which ended September 30, 2011, been extended to December 31, 2012.

The group's management has identified 980 jobs to disappear, said the spokesman, adding that the downsizing of the site of Aulnay came within this framework and that the site of Melun had not been discussed at the CEC Thursday.

Last week, at the motor show in Frankfurt, the CEO of PSA, Philippe Varin, announced an acceleration of cost savings through workforce adjustments among temporary workers and contractors to address the context economic uncertainty in Europe.

Eric Besson, Minister of Industry said that we should not rush to draw conclusions on possible job cuts coming at PSA.

"Do not cry wolf when there is no wolf," he said on Canal +.

"Let them wonder about the consequences of the crisis on their future and take steps to remain competitive, surprising and shocking."

The lack of unity of Europeans at the top in Poland worried the markets. The IMF refers to the default of Athens.

Divisions within the euro area and the lack of concrete progress on the issue have plunged Greece into turmoil Monday and world stock markets, maddened by the scenario of a default of Athens. A "delay" of continuing the privatization program in Greece can lead the country to "default" on its debt, warned Monday the Permanent Representative International Monetary Fund (IMF) in Greece, Bob Traa. And the meeting of European finance ministers on Friday and Saturday in Poland ended in failure.Divided, they postponed any decision on October the payment of a further tranche of 8 billion euros to Greece, which desperately needs the money to avoid bankruptcy.

"Once again, hopes for new policy initiatives to resolve the debt crisis in the eurozone were violently showered," lamented Jane Foley, analyst at Rabobank. Now, "the market is betting on a 98% default of Greece," said Phil Flynn, of PFG Best Research. The reaction of the stock exchanges Monday was unequivocal. At the close, Paris fell 3.00%, 3.17% of Milan, Frankfurt 2.83%, 2.03% in London.

European indices, once again, been sealed by the banks that would be the first victims of failing Greek. The Deutsche Bank dropped 4.54% and 4.11% Italian Intesa Sanpaolo. In France, Societe Generale won 6.70% and 5.48% of BNP Paribas.In New York, the Dow Jones lost 1.57% to 1600 GMT. The announcement by U.S. President Barack Obama plan to further reduce the deficit of 3.000 billion, financed half by an increase in taxes for the rich, did not produce any relief.

Teleconference postponed

Very worried, the markets awaited the outcome of a conference between the Greek government and the Troika representing the country's creditors, namely the European Commisson, the European Central Bank (ECB) and the IMF. First scheduled for mid-day, the conference was delayed about 16h, after the close of European stock. "The quarterly audit of the troika is decisive. If the IMF decides to exit the process, the risk of default of the country will be very large," said Cyril Regnat, an analyst at Natixis.

A default of Greece "is not a working hypothesis" in the euro area, however, assured the French minister of Finance Baroin. Greece must at all costs to demonstrate that it meets its budget commitments, the only way to obtain payment of the next round of international loans. "This is not a working hypothesis, it is not our strategy," he said on the sidelines of a meeting with his counterparts from the African franc zone in Paris. "Our strategy (…) is to operationalize the agreement of July 21" adopted by the euro area to come again in aid to Greece and strengthen the European bailout fund, he added. The Permanent Representative of IMF in Athens, Mr. Traa said Monday morning that additional budgetary savings will be "necessary".

"Privatization has been delayed from the program because politicians can not agree on how to proceed," he said in reference to the privatization program of 50 billion euros by 2015 that Greece is committed. "If you wait (…) the country will go to default," he warned.

"Conditions uncontrollable and painful"

Taking the worst estimates of Athens, he returned the country's return to growth in 2013, anticipating a recession of -5.5% in 2011, and -2.5% in 2012. Recognizing the gravity of the situation, the Greek Finance Minister Evangelos Venizelos said that the week opened "is a very difficult week for the country, for the euro area and for me."Athens announced on Sunday that it would conduct new cost-cutting measures in 2012 to reduce the public sector.

"We must now take historical decisions, otherwise we will have to take soon in uncontrollable and painful conditions," he said, referring to the threat of insolvency of the country. The minister made it a priority "respect for the objective for 2011," involving corrective action of 1.8 billion euros, to enable the country to continue to meet its commitments, including "a primary budget surplus in 2012" . Mr. Venizelos nevertheless felt that Athens should not be used as "scapegoats" facing the "lack of competence in managing the debt crisis" in the eurozone.

As a result of concerns around Greece, the euro Monday accentuated its decline against the dollar: towards 1600 GMT, the euro bought 1.3633 dollars against 1.3797 dollars on Friday night. The price of an ounce of gold fell 3%, investors withdrawing from the yellow metal to cover losses in other markets.

Why the markets are yo-yo? The stock market crash threat he savers? The world will he fall back into another recession? Our responses. Facts: exchanges plunge

For almost three weeks as global stock markets loosen. The CAC 40 has lost 22% since July 22. After a strong rally Thursday, the Paris Stock Exchange Friday widened its losses. Bank stocks were particularly severe since Wednesday because of speculation about a possible loss of the triple A rating of France. Societe Generale, which lost nearly 15% Wednesday, asked the AMF to investigate rumors that she believes she suffered.

See also:

Ten figures to be taken on the stock market crisis Why France French banks worried the markets: the reasons for the panic market crisis: the sequence of events real victims and losers in the wrong stock market crash market crisis: that investors may

The clap of thunder: the loss of "AAA" American

Standard and Poor's downgraded by one notch on July 5 the U.S. debt rating of "AAA" to "AA +". A historic first for the country. In fact, the agreement reached in extremis August 2 to Congress to raise the ceiling of the debt and avoid default has not satisfied the rating agency.It is estimated that the compromise between Republicans and Democrats is not nearly enough to reduce debt astronomical U.S., which reached 14,300 billion.

Given the position in the global economy of the most powerful and safe haven status of the dollar, the main international reserve currency, the S & P's decision could be devastating for the entire global finance. The announcement did not fail to create a renewed tension in the exchanges.Ironically, investors remain confident in the ability of the United States to honor their debts: U.S. borrowing are still very popular and their rates have not risen.

See also:

The United States lost their triple A, what consequences? "You have to detoxify the rating agencies"

The context of substance: the fears of another recession

The markets are worried about the health of the global economy. As well as one side of the Atlantic than the other, the news is bad. United States doubts about the strength of the economy are stronger every day, with the accumulation of worrying signs. There is talk of increasing the risk of the economy falling back into recession, the "double dip recession." GDP grew by only 1.3% in the first half and unemployment remains very high level of 9.1%.But the S & P's decision to degrade the American note is likely to further seal the U.S. economy. For focusing on the debt problem, it prevents the state to implement the fiscal stimulus that would be needed in the short term to strengthen the recovery. So the Fed that holds the ammunition last, that of monetary stimulus. She has pledged Tuesday to keep rates near zero until 2013 and continue to buy treasury bills as those they would hold to maturity.

In Europe, Spain and Italy posted increases of 0.2% winded and 0.3% in the second quarter. France does no better: After starting the year with a bang, French growth was zero in the second quarter and unemployment started to rise.The global recovery is no longer as strong as it appeared in 2010.

See also:

Obama has the means to revive the U.S. economy? S & P precipitates Does the United States into a new recession? Why unemployment in France does not drop

The contagion of the crisis of debt in the euro area continues

The markets are finally tormented by the fear of contagion from the crisis in Greece to Italy and Spain, heavily indebted, and which together account for 30% of European GDP. Therefore, the rates at which these two countries were borrowing at record levels. In fact, the second Greek rescue plan developed in July is still not enough to reassure markets. Although eager to pass the baton to the relief fund, the ECB has once again agreed to put out the fires and expressed its readiness Sunday to buy the debt if the Spanish and Italian investors withdraw.To make matters worse, the note of Cyprus has been degraded by the three rating agencies. According to Fitch, the island now needs a rescue package of the EU.

See also: Spain and Italy do they need a plan to help?

EuropaCorp, the production company of Luc Besson, Thursday reaffirmed its goal of a return to balance for the current year, despite a sharp decline in sales in the first quarter.

The group of film production and distribution, which has suffered a loss of more than 30 million euros in the previous year, in particular, suffered from the sharp decline in revenue in French cinemas.

In the first quarter (April-June), they reached 2.1 million against 5.6 million in the corresponding period of 2010, despite the release of "The Tree of Life", Palme d'Or at Cannes.The latest installment of director Terrence Malik has exceeded 800,000 entries at the end of June, EuropaCorp said in a statement.

Throughout the first quarter, its sales totaled 19.2 million, against 23 million during the same period last year, down 16.5%.

The television business in France, however, pulls out of the game with a jump of 60.5% of its revenue to EUR 6.1 million, bolstered by the signing of agreements for the distribution on the small screen "Extraordinary Adventures of Adele Blanc-Sec".

The group reaffirms its objective to return to profitability by the end of the year with the implementation of its strategic plan which includes a reduction in overhead costs and more rigorous management and the development of productions for television.

Before the publication of results, the stock closed Thursday at 3.20 euros to balance a market capitalization of 65 million euros. Since the beginning of the year it was down almost 30%.

Oil prices have closed on a fall of almost 6.5% Monday in New York, the black gold with world stock markets suffered as the decision of Standard & Poor's to lower the credit rating of the United States.

On the New York Mercantile Exchange (Nymex), the September contract on the U.S. crude (WTI) ended on a loss of 5.57 dollars, or 6.41% to 81.31 dollars a barrel.Meanwhile, Brent yielded 5.19%, or 5.68 dollars to 103.69 dollars.

Brent, which displays and a decline of more than 10 dollars since the beginning of August, fell below its moving average of 200 days.

"The consequences of the deterioration of the U.S. S & P, also degrades the world oil market," said Phil Flynn, analyst at PFGBest Research.

The S & P's decision has exacerbated investor concerns about the state of demand for crude in the United States, world's largest consumer of oil.