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Does the emerging markets open good opportunities?

Deutsche borseAfter months of strong outflows the emerging markets should not be treated with cowardice as offering a solid base, analysts said.
“The emerging markets are really experienced a lot, maybe a little unfair, as in most of the last year and this”, said an expert from Finance Wire Journal. “They really offer fantastic opportunities”, he added.
The emerging markets were subjected to massive sales this year. The sharp decline of the Argentine peso, Turkish lira, South African rand and the Brazilian real was largely attributed to the turmoil after the Federal Reserve to begin rolling out its purchases of assets. According to Finance Wire Journal analyst the past funds from emerging markets for the worst 13 weeks in a total amount of 18.76 billion USD.
“These markets and their central banks have a lot of firepower to deal with problems when necessary. I think the risks are overstated and exaggerated”, said the analyst. According to Finance Wire social media statement, most markets have recovered since September last year after stepping up efforts to tackle currency imbalances and fiscal matters.
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Spanish economy is gasping due to the expensive EUR

Eur cashThe Prime Minister of Spain Mariano Rajoy rely on the help of Mario Draghi in the battle on two fronts against the EUR appreciation. Value of the currency rose to a record level – enough to provoke the president of the European Central Bank (ECB) threaten to action. The data that will be published today and tomorrow will reveal what the consequences that appreciating euro has caused inflation and trade. Spain already had a double effect. First, depressed consumer prices to such an extent as to cause annual declines in an economy that is still struggling with high unemployment, and secondly – a threat to export-based recovery. Last week, Rajoy said he wanted a different exchange rate and Draghi later said that strengthening of the EUR will require follow-cash incentives.
For the past 12 months the single currency has appreciated by more than 5% against the USD. Thus undermining the efforts of exporters to cut costs in order to expand the business outside the 18 -nation bloc. While declining inflation makes the competition stiffer region.
Today we expect the data on the trade balances of the Member States of the European Union in February, and tomorrow, the Spanish Ministry of Economy will deliver information on export growth. Also tomorrow Eurostat must confirm that in March Eurozone inflation slowed to 0.5%. As for Spain – prices fell for the first time in October 2009.
According to economist at Oxford Economics in London Ben May the best scenario for Spanish inflation rate, which is lower than the euro area average, and thus restore the competitiveness of the country.
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Dubai refinanced debt for 20 billion USD at 75% lower rate

Dubai debtDubai refinance debt of 20 billion USD at an interest rate equal to one quarter of the original, thereby releasing funds which subsequently repay its debt and fund expansion in the region. The matured debt of the emirate – equal to one third of the gross domestic product of the United Arab Emirates (UAE), occurs this year.
Dubai has paid the central bank obligations bonds to 10 billion USD as a loan for the same amount allocated by the government of Abu Dhabi. According to the state news agency WAM Dubai will pay the two amounts and fixed interest rate of 1%. The interest rate is lower than the inflation of the UAE in 2013, which was 1.1%, and half of the level of inflation forecasts for 2014 new debt are renewed after five years. Dubai state companies took more than 110 billion USD for infrastructure development of the property and the transformation of one of the seven emirates of the country into a tourist center and a hub for financial services. UAE, which announced its intention to spend 8 billion USD for the preparation of hosting the World Expo in 2020, in 2014 pending maturity of debt of 30 billion USD, according to the International Monetary Fund.
The interest rate of 1% is 50 basis points lower than what the US government pays debt with similar duration. Dubai primary meaning took money from its oil-rich neighbor – Abu Dhabi and the UAE central bank at an interest rate of 4% to help the Dubai government-controlled companies in the difficult times of the global credit crisis.
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US companies CEO with small wage growth

Jamie Dimon JP MorganThe large US companies appear to have increased less the payment of the Chief Executive in 2013 compared to 2012, mainly as a result of smaller distributed packages of stock options, according to an early review of annual applications to the regulatory authorities. Based on data from 46 companies in the index Standard & Poor’s 500 that have submitted reports on annual fees by 11th March, the average increase in salary of a CEO is 1% to 8.64 million USD. This is a slower rate of growth compared to 2012, when the average salary of the directors of the same group of 46 companies has increased by 15% to 8.53 million USD. The average salary of the CEO of a company from the S&P 500 as a whole increased by 5.5% in 2012.
The average salary in the number of directors of 46 companies rose by 2.6% to 1,079,327 USD. The average wages in the form of shares, however, increased by 9.5% to 3,887,008 USD, and the average bonus in cash is up 3.3% to 1,998,102 USD. The growth of total remuneration is limited by less generous stock options. Of the 46 companies only 32 are the Options tab of its executive directors last year, compared to 35 in 2012, their average value fell by 23% to 1,880,476 USD.
The data analysis was conducted by the consulting firm Institutional Shareholder Services and provides an early look at the trends in pay executives of the US companies, but from ISS warned that there may be significant changes after all the companies submit their reports that 46 companies may not be a representative sample of the trend in all companies in the index. It is expected that most of the companies to submit data on the remuneration of directors in the next few weeks.
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What is the gold price limit?

Gold forexThe price of gold futures continued their march up close to 1400 USD per ounce. Investors continue to closely monitor the situation with geopolitical tensions in Ukraine and prospects of the Chinese economy. Although recent trade going extremely well according to the experts deflationary fears in the Eurozone may limit further appreciation of gold.
The weaker economic data from USA also contributed to growth in the price of the yellow metal. However, many analysts pointed to the cold weather at the beginning of the year as the main reason for the pessimistic reports.
Gold with immediate delivery rose by 14% on an annual basis after the loss of nearly 30% for the whole 2013. The last week asset has achieved its sixth consecutive weekly rise, this time adding 3.1%.
In late trading on Wall Street on Monday, gold for delivery in April cheaper by 0.90 percent to 1 366.60 USD per ounce.

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Governor of Cyprus Central Bank resigned

Panicos Demetriades CyprusThe Governor of the Central Bank of Cyprus Panicos Demetriades has resigned.
“The head of the Central Bank of Cyprus Panicos Demetriades today handed his resignation which was accepted by President Nikos Anastasiadis”, said an official statement. Under the agreement, Demetriades filed prior notice to leave the position, which will come into force on April 10. Until then, the governor will perform his duties and prepare for the job his successor.
“The president thanked Demetriades for his huge contribution to saving the country from bankruptcy and stabilizing the financial sector”, stated local authorities.
The news of the resignation was confirmed earlier in the day by the Cypriot Finance Minister Haris Georgiadis, who is in Brussels for a meeting of the Eurogroup – the council of finance ministers of the Eurozone. The government press office did not provide a specific reason for leaving Panicos Demetriades. According to local media, however, the reasons are married.
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Vacancies in the financial sector in London grew with 11% in February

Finance sectorThe vacancies in the financial sector in London have increased by 11% last month due to the fact that companies are committed employees with temporary contracts to manage risk, according to company recruitment. The vacancies in the main financial district of London – City and elsewhere in London rose to 8442 in February of 7623 in January, cited by Morgan McKinley in his statement.
“We see a strong upturn in the labor market with temporary employment contracts because managers in the City playing around”, said Enver Nakano, Director of Operations. “The market for permanent jobs remains a bit harder and the process of recruitment occurs particularly slow.”
The banks engage more staff to ensure that the activities comply with the regulations for better risk management and greater oversight. The trend is the result of more stringent regulation of the financial crisis and other scandals, ranging from unauthorized trading of fixing interest rates.

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German industrial production recorded a new growth

industrial productionDue to the mild winter, which led to a sharp increase in production in the construction sector, the German economy was able to accelerate its production in early 2014. The production in Europe’s largest economy grew by 0.8% in January compared to December and so reported growth for the third consecutive month, reported Friday the Ministry of Economy. “Industrial production started the year with a marked trend upward”, says the ministry. Polled by Reuters analysts had expected a similar result. Production in December rose 0.1 percent and it has evolved better than expected, because initially the ministry expected a decline of 0.6%, but then said that the direction is again clear up.
To jump to the beginning of the year took care primarily the construction sector, which grew by as much as 4.4% against the backdrop of a relatively mild winter. While the industry and the production of investment goods marked growth in January, production of consumer goods fell by 1.2% compared to December.

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Market failures due to the Ukrainian crisis are short-term phenomenon

UkraineThe global market failures caused by the escalation of tensions in Ukraine are short-term phenomenon, which will go away within a few days. Such an opinion voiced experts monitor the movements of Asian markets on Tuesday.
“There is some uncertainty in the capital markets as a result of political and military instability in Ukraine, which naturally exacerbated concerns about underlying economic weaknesses of the country. Nevertheless, I fully believe that this will be a short-term phenomenon”, said Nigel Green, founder and chief executive director of consulting company deVere Group. “I believe that this collapse will be seen by history as a bump in the road as markets recover quickly. I’m not worried that we’re about to fall into a new global recession as a result of the deepening crisis in Ukraine”, added the analyst
The situation will be normalized depending on whether and in what form, investors tend to classify the conflict in Kiev – Moscow axis as a local issue. Asian markets showed some signs of stabilization on Tuesday, limiting its losses to less than 1%. A day earlier, on Monday, the stock exchanges of the world came under pressure after the Russian military intervention in Ukraine. Hoddle Kremlin urged world leaders to call for sanctions against Moscow. President Barack Obama even said that the U.S. will consider economic and diplomatic steps for isolation of Russia and called on Congress to speed up aid for Ukraine.
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Ukraine crisis got attention to the gold

Gold priceThe gold price per ounce jumped from 1345 USD for delivery in April after the escalation of tensions in Ukraine. The contracts rose by 1.85% or 24 USD per ounce. The May delivery silver rose 1.2% to 21.47 USD per ounce.
Gold is likely to more expensive, analysts predict, citing non-political instability in Ukraine. Typically, such conflicts increase demand for gold as a way to protect the investment. The market does not move only by concerns for the region of Europe. Situation in China, and in particular for the financing of construction contractors also gives impetus to the search for certainty for investment analysts Sharps pixels.
Last week, gold fell 0.2% after statistics showed a rise in US consumer confidence. First four weeks of the precious metal record drop in price. For the whole month of February, however, the increase in price is within 7%. This week the calendar macroeconomic statistics suggests that there will be a distribution of data to cause disturbances in the price of gold. However, the situation in Ukraine can be a catalyst for change in the stock exchange trading metal.