Top Economics News

Key values ​​to follow Friday on Wall Street.

* GAP has disappointed expectations Thursday, saying wait for fiscal 2012 earnings per share 1.75 to $ 1.80, while analysts polled by Thomson Reuters I / B / E / S on average had expected $ 1.79.

Gap posted a fourth quarter profit of $ 218 million, or 44 cents a share, against 365 million (60 cents) a year earlier.

In pre-market value fell by 2% to 23.10 dollars.

* AMERICAN INTERNATIONAL GROUP. The insurer reported a profit of $ 19.8 billion in the fourth quarter of 2011, due to an accounting change that allowed him to display a huge windfall.

This change, which raises the price of AIG from 6.5% to 29.81 dollars in pre-market means that the group will not pay tax on billions of dollars in profits in the coming years.

* Interpublic. The advertising agency has published a quarterly profit above expectations, thanks to emerging markets in a context of recovery of the sector.

EPS for the fourth quarter is 50 cents per share while the market was expecting 39 cents per share. Revenues for the quarter amounted to $ 2.07 billion, or less stable over one year. The turnover abroad rose by 6%.

In 2012, Interpublic expects organic growth of 3%.

In pre-market value gains 4.2% after finishing at 10.91 dollars Thursday.

* CITIGROUP. The bank has raised $ 1.95 billion sale of its stake in Indian company Housing Development Finance Corp, said on Friday, sources familiar with the matter.

In pre-market value gains 1% to 32.95 dollars.

Several Directors of Veolia Environnement, whose CEO of EDF Proglio, are preparing to head the group's CEO, Mr. Frérot, reports financial daily Les Echos in its edition Monday.

The former Minister of Ecology Jean-Louis Borloo is among prospective successors, the newspaper said, predicting that a Board of Directors of Veolia Environnement scheduled on February 29 will be crucial.

Contacted by Reuters, a spokeswoman for Veolia declined to comment.

European shares fell sharply Monday in volume again, failure of U.S. lawmakers to agree on reducing the federal deficit and a warning from Moody's about the "triple A" of France with weighed on investor sentiment.

In Paris the CAC 40 yielded 3.41% at 2894.94 points.

European leaders are determined to act in a coordinated response to the crisis in the euro area, said Wednesday the executive director of the International Monetary Fund, Christine Lagarde.

On the eve of the G20 summit in Cannes, the former French Finance Minister acknowledged that could occur in spurts, a thinly veiled reference to the surprise announcement of a referendum in Greece, but it ensured that the determination of the Europeans was decisive.

When working at B20, which brings together representatives of world's largest companies, in Cannes, she explained that global growth was slowing, but she persisted.

She added that the downside risks weighing on growth, suggesting a negative interaction of financial and economic, as well as the risk of social unrest.

About the crisis in the eurozone, "I've never seen so much determination and will to act in a coordinated manner," said Christine Lagarde.

"You will see (reactions such as) 'but what does it speak? What have we seen two days ago?' Of course, things are not smooth, sometimes in fits and starts major, "she added.

"But what matters is what was decided on October 27 in the morning (…) and what will count tomorrow, in the days, weeks and months, it is the resilience and determination of the partners the euro, European partners, "added Christine Lagarde.

Core values ​​to take on Wall Street Thursday.

* Chevron announced Thursday a 3.8% increase in its quarterly dividend, which will reach 81 cents per share.

* RAYTHEON published adjusted earnings of $ 1.39 per share for the third quarter and a turnover of 6.13 billion, against a consensus Thomson Reuters I / B / E / S of 6.38 billion of dollars.

* Procter & Gamble announced Thursday an increase in sales in the first quarter of fiscal year and an earnings per share in line with analysts' expectations.

With $ 21.9 billion, the revenue exceeds the consensus Thomson Reuters I / B / E / S, which included 21.53 billion dollars.

Earnings per share was announced at $ 1.03, as expected.Turnover was up 14% to $ 1.68 billion (1.66 billion expected, on average).

* BMC SOFTWARE, which develops business software, announced an adjusted earnings per share of 87 cents against 81 cents expected for the second quarter of fiscal year.

Revenues also exceeded expectations, with 556.3 million against $ 540.4 million expected.

* AETNA – The third group American Health Insurance has reported a profit higher than expected for the third quarter due to a small number of claims.

Earnings excluding items rose to $ 1.40 per share.Analysts on average expected $ 1.15.

Net income stood at 490.4 million dollars against 497.6 million a year earlier. The turnover, however, fell 0.7% to 8.48 billion dollars.

* LAZARD – The investment bank saw its net profit fall by 2% in the third quarter versus the same period in 2010 due to lower revenue from business advisory and asset management.

Net income was $ 62.7 million, or 49 cents a share, against $ 64 million (51 cents) a year earlier.

All eyes are on Berlin where German parliamentarians must vote on a proposed reform of the European Financial Stability Fund (EFSF) earlier this afternoon after a speech by Angela Merkel.The Chancellor will then travel to Brussels for EU summits and the euro area, which should provide practical solutions to the debt crisis.

At 9:30, the CAC 40 lost 0.35% to 3163 points while the Eurofirst 300 was almost stable.

European markets are down, investors holding their breath awaiting the outcome of the day announced as crucial for the future of the euro area.

"It is expected that the Bundestag decides on reinforcements EFSF and the role of the ECB in managing the crisis," said a trader based in Paris.

Values, PSA fell sharply under the influence of lowering its forecast for 2011 after a third quarter marked by lower volumes and increased competition on prices in Europe.The group is likely to reduce its workforce by 10% in Europe.

Ingenico, in contrast, was part up 5% in early trade Wednesday of the Paris Bourse, the manufacturer of payment terminals has published the day before its sales for the third quarter.

The euro remains firm and resolutely clings to a level above $ 1.39, while the German Bunds are hesitant, waiting for a clearer trend in equity markets.

Spot gold rose 1% touching a high of more than a month, reflecting investor fears that the crisis drags on still.

A few days after the piracy suffered by Areva, Paillou Patrick, the patron of the National Security Information Systems, was called to order hexagonal businesses and governments. He said protection systems are "permeable" and "abandoned." A participant of the Chaos Communication Congress, held in Berlin in December 2010.

Computer protection systems administration and French companies are they permeable? In any case, the conviction of Patrick Pailloux, the executive director of the National Security Information Systems (ANSSI). He called to order Friday in Monaco these companies and administrations judging their systems "in danger". "The situation can not remain as it is, information systems are in danger and we sometimes feel they were abandoned to their fate," said Mr Pailloux.

In his closing conference on security and information systems of Monaco, which were held from October 5 to 7, he was willing to cite any company. But the speech comes just days after French nuclear giant Areva has admitted being the victim of a cyber attack. The hackers had required the intervention of the ANSSI agency attached to the General Secretariat of Defence and National Security, a service of prime minister. Areva has ensured that the attack was focused on "non-critical information and not on sensitive information."

"We are far from the account. The situation everyday reality on the ground, is that our information services are often porous, and that malicious actors have benefited greatly.We often security loincloth, who does not eat bread and that ultimately does not bother anyone "insists the director general of ANSSI. And to prevent him:" we must take back control of our own systems, it no fatality, it's possible because it is not that difficult. We must mobilize to ensure that safety rules are followed. "

Dexia shares on the stock market plunged Monday after the decision of the rating agency Moody's placed the debt rating of the Franco-Belgian bank on negative watch.

Moody's justified its decision by concerns about the liquidity of the group while the refinance market conditions remain very tight.

A Dexia spokesman declined to comment on the decision of the agency.

On Tuesday, Fitch Ratings had already announced that it lowered its rating.

At 11:15, Dexia signed the worst performance of the European sector index banks – down by 4.11% – a decrease of 8.43%.

The announcement Sunday that Greece would not take the objectives of fiscal consolidation has aroused the distrust of investors and markets.

The decision by Moody's is also involved as speculation about the future of Dexia in full swing.

The institution admitted consider options to strengthen its balance sheet but has ruled out any split in the group.

Finance ministers Belgian and French are to meet Monday night and Tuesday as part of the European meetings of the Eurogroup and tell the Ecofin.

If some press reports indicate that Baroin and Didier Reynders must address the issue, a spokesman said it no special meeting was scheduled between the two men.

Scenarios ranging from the sale of assets to a breakdown of the group were mentioned in the press in recent days.

Dexia, which was saved from bankruptcy in fall 2008 after the collapse of U.S. bank Lehman Brothers, in the second quarter 2011 loss of four billion euros, the heaviest in its history.

The new acting director general of the Swiss bank UBS, which replaces Oswald Grübel after the latter resigned in the wake of the scandal of unauthorized transactions, must now face the difficult task of setting back on their feet.

Saturday, Sergio Ermotti said that the case had uncovered an exposure "totally unacceptable" and said his priority would be to review the control procedures of the bank and conduct an internal investigation into heavy losses.

Sergio Ermotti, a Swiss Ticino aged 51, joined UBS in April from the Italian bank UniCredit.

According to the group's president, Kaspar Villiger, it would be a good candidate to permanently replace Oswald Grübel.

"We are aware of facing a difficult time externally, and this latest incident only makes more imperative still a reaction from us. Let us not, however, UBS is one of the best banks capitalized in the world, "said Sergio Ermotti.

Since the announcement of the losses on September 15, the title UBS has sold more than 10%.However, it has taken 4.8% Friday on hopes that the Board of Directors of the bank agrees major restructuring.

The internal investigation into the loss should result in a delay of 10 to 14 days, but because of external investigations, UBS will not necessarily reveal the findings, said Sergio Ermotti.

The Board asked the latter to accelerate the reduction of investment banking activities.The process must be detailed on November 17 in New York.

According to Kaspar Villiger, the future director of investment banking, Carsten Kengeter, is not threatened, the latter having already worked with a "great job" to limit losses from unauthorized transactions.

However, he did not mean to say if it would make a good candidate for Director General, who shall be provided with permanently within six months.

Politicians and officers European banks are again headwind against the International Monetary Fund (IMF) that the banking system of the European Union suffers from a lack of capital.

According to a European source, the IMF estimates that European banks may face a lack of equity of around EUR 200 billion to address the crisis of sovereign debt in the euro area and slowing growth.

Last Saturday at the annual meetings of the Federal Reserve, the IMF director Christine Lagarde had called for a recapitalization "substantial" financial institutions in Europe.

This quarrel between the institution of Washington and European leaders illustrates the differences on the health of the European banking sector.

The IASB, the International Accounting Standards Board, also issued this week reservations about the methods of valuation of government debt used by some European banks.

The European Commission has however reiterated that the EU did not need to recapitalize its banks beyond what was decided in July after the results of stress tests conducted by the EBA (EBA ).

"Our analysis of the situation has not changed.It is in fact shared by the Member States, "said a spokesman for the European Commission." We had a discussion on the results of stress tests of banks. It is our diagnosis and there is no reason to change it. "

"We are aware of these figures (the IMF, Ed) but we think they have serious methodological flaws.There are discussions on the subject with the IMF "has in turn informed an official source in the euro area who requested anonymity.

BANKS REACT

The German and French banks have also responded by ensuring they were adequately capitalized.

"French banks are well capitalized," said a Reuters spokesman for the French Banking Federation (FBF)."They have increased their capitalization since the crisis."

When the MEDEF Summer University in Jouy-en-Josas (Yvelines), the budget minister Valérie Pécresse also indicated that French banks had sufficient capital.

"I believe that there is no concern to be for French banks," said the minister, echoing the words of the Minister of Economy, Baroin Wednesday night on France 3.

Earlier in the morning, German banks felt that the fears of the IMF on a possible lack of capital were not justified.

"Banks are well capitalized," said Michael Kemmer, director of the professional federation BdB, in an interview with German daily Die Welt.

The BdB represents some 210 private banks including Commerzbank and Deutsche Bank.

"We do not understand how the IMF comes to these conclusions," he responded in turn the Federation of German public banks VoeB.

Earlier in the week, the EBA (EBA) was also reported that banks in the European Union did not need to be massively re-capitalized.

Concerns about the crisis of debt in the euro area and the worsening economic climate, however, continue to weigh on European financial stocks in the euro area.

In Paris, Crédit Agricole and BNP Paribas, highly exposed to sovereign debt of the peripheral countries of the euro area, and drop between 23% and 29% since the beginning of the year. The European banking index was down nearly 26% since January 1.