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BEIJING (XFN-ASIA) - A summary of Asian economic and corporate news at 0500 GMT

JAPAN:

-Jan current account surplus rises 49.8 pct, ahead of forecast

-Feb wholesale goods price index up 1.8 pct yr-on-yr

-Feb corporate failures down 2.9 pct from Jan - Teikoku

-Japan economy grew faster than initial estimate in Oct-Dec

-Japan revised Oct-Dec GDP - component breakdown

SOUTH KOREA:

-Samsung Heavy wins 583.1 bln won drillship order from Europe

-Sumitomo Mitsui, SKorea’s Kookmin agree to tie up in corporate banking

-Kookmin Bank not currently in talks to buy additional BII stake

HONG KONG:

-CITIC Pacific offers preferential shrs in unit CITIC 1616 ahead of IPO

-TOM Group to buy out unit TOM Online for 1.57 bln hkd

-Yue Yuen Feb opg revenue 259.77 mln usd

-Dynasty Fine Wines warns 2006 results to be affected by higher H2 cost

-China Mining unit buys 75.08 pct of Harbin Songjiang for 1.81 bln yuan

-CLP to inject Ho-Ping Power into jv OneEnergy

CHINA:

-China needs monetary policy transparency, but time needed central bank’s Zhou

-China central bank says aims to ensure healthy property market

-China central bank says to push forward market-oriented interest rate reform

-China needs to tighten monetary policy, cut excess liquidity - central bank

-China needs time to reduce trade surplus - central bank

-China yuan bonds to be unveiled soon in Hong Kong - central bank

-China to pursue gradual yuan reform in 2007, keep currency basically stable

-China’s postal reform to help use postal savings in rural sector - central bank

-Taiwan pro-independence moves hinder cooperation - China central bank chief

-China 2007 GDP seen easing to 9.6 pct, growth drivers more balanced - Lehman

-Trade penalties by US Congress would hurt US-China trade - commerce minister

-China says Doha Round trade talks at dead end due to US, EU

-China new oil pricing mechanism launched - state planner

-China not plundering Africa’s natural resources - Commerce Minister

-China may announce measures to deflate A-share market after NPC - Deutsche Bank

-Acquisition of China firms by foreigners welcome; needs regulation - minister

-China FAW Group sees 2007 sedan sales surpassing 1 mln units

-State Grid, Tibet government set up power joint venture

-ZTE orders 10 mln usd in telecom equipment from Comtech

-Laiwu Steel parent not aware of regulator rejecting Arcelor deal

TAIWAN:

-Shin Kong Financial Jan-Feb net profit 4.71 bln twd vs 6.52 bln

-Hua Nan Financial Feb net profit 717 mln twd vs 788 mln

-Taishin Financial Feb net profit 600 mln twd vs 1.17 bln

-CAL targets 2007 pretax profit over 2 bln twd vs over 300 mln

-Macronix reaches settlement with Spansion over lawsuit

-Mega declines comment on reported plan to sell Taiwan bank stake

-China Airlines targets 2007 pretax profit over 2 bln twd - co official

SINGAPORE:

-Brothers Group, CEH Shenyang to build homes in China

MALAYSIA:

-Maybank deposit rating raised to ‘A’ from ‘A-’ - Fitch

-Malaysian Resources Corp expects to seal a few land acquisitions by yr-end

-KLK, Glamour seeking resolution to LPF stake dispute

INDONESIA:

-Bimantara 2006 net profit 446 bln rupiah vs 136 bln

-Bimantara’s 2006 net profit up 228 pct on higher sales

-Matahari 2006 net profit 160.50 bln rupiah vs 222.66 bln rupiah

-Matahari 2006 net profit falls 28 pct on finance charges, forex loss

-Mobile-8 2006 net profit 35.16 bln rupiah vs loss 286.70 bln

-Apexindo Pratama increases offshore rigs to six

PHILIPPINES:

-Govt hopes to auction 200-MW power plant on March 30

-Ayala unit Cebu Property Ventures says 2006 net profit up 153 pct

AUSTRALIA & NEW ZEALAND:

-Australia Jan housing finance by volume rises 0.3 pct from Dec

-D&B Feb business survey shows improving sentiment

-Rio Tinto sees investment in new projects as substantially raising copper output

-Rio Tinto sees strong demand for products led by China as output response slow

-Suncorp-Metway proposes 1.17 bln aud entitlements issue

-Sims buys Californian electronics recycling business from Xstrata

-Macquarie Bank deputy chairman to retire

xiaojing.jiang@xinhuafinance.com

jod/zr

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LONDON (Thomson Financial) - Here are the top stories on Thomson Financial News

Alliance Boots recommends 10.6 bln stg offer from KKR/Pessina

LONDON (Thomson Financial) - The board of Alliance Boots PLC, the international health and beauty retailer, has recommended an improved 10.90 stg a share takeover offer from Stefano Pessina, executive deputy chairman and 15 pct shareholder, and Kohlberg Kravis Roberts (KKR), the US private equity group, the parties said in a statement.

The improved offer, which is inclusive of any final dividend to be declared for the year to March 2007, values the group at 10.6 bln stg. A previous indicative offer of 10.40 stg a share valued the group at 10.1 bln stg.

WPP Q1 like-for-like revenues up over 4 pct

LONDON (Thomson Financial) - WPP Group PLC, the UK advertising and marketing services firm, said like-for-like revenues grew 4.3 pct in the first quarter, with strong growth in Asia Pacific, Latin America, Africa and the Middle East, continuing to compensate for weaker growth in the UK and US.

The world’s second-largest advertising and marketing group, home to Young & Rubicam and J Walter Thompson agencies, said in a trading update that reported revenues were down 0.7 pct to 1.36 bln stg, due mainly to the weak dollar against the pound sterling.

UK March retail sales up 0.3 pct on month, 4.8 pct on year

LONDON (Thomson) - Retail sales in the UK continued to rise in March but at a slower pace than in February, official figures showed today.

The Office for National Statistics said retail sales on a seasonally adjusted basis rose by 0.3 pct between March and February, slower than February’s 1.6 pct monthly pace, which was revised up from 1.4 pct previously.

BT acquires Comsat International for undisclosed sum

LONDON (Thomson Financial) - BT Group PLC said it has bought Latin American corporate and public sector data communications provider Comsat International for an undisclosed sum.

The deal is thought to be worth 100 mln stg.

Persimmon to gatecrash Woodrow-Wimpey merger - report

LONDON (Thomson Financial) - Britain’s largest house builder Persimmon PLC, and private equity firms are preparing to gatecrash the 5.5 bln stg merger of George Wimpey and Taylor Woodrow, the Times reported citing sources close to the suitors.

However the potential bidders will wait for the merger documents from Wimpey and Woodrow, due in the next four weeks, before making a move.

AstraZeneca gives drugs distribution contract to two wholesalers

LONDON (Thomson Financial) - AstraZeneca PLC has moved to gain more control over its supply chain and appointed the UK’s two biggest drug wholesalers to deliver its medicines directly to pharmacies, dispensing doctors and hospitals.

It has awarded contracts to Celesio AG’s British distribution unit AAH Pharmaceuticals and Alliance Boots PLC’s wholesale unit UniChem. Alliance Boots today recommended a 10.6 bln stg takeover offer from Kohlberg Kravis Roberts and its deputy chairman Stefano Pessina.

HSBC eyeing Brazilian arm of ABN Amro - report

LONDON (Thomson Financial) - HSBC Holdings PLC would be a serious bidder for the 7 bln stg Brazilian arm of ABN-Amro Holdings NV if the group becomes the subject of a bidding war, the Times reported without citing sources.

Banco ABN Amro Real is Brazil’s biggest foreign-owned bank and HSBC is understood to regard it as a major prize if it could be won, the paper said.

Liberty Intl says financial ratios “robust”, well placed for measured expansion

LONDON (Thomson Financial) - Property group Liberty International PLC said its financial ratios, including a debt to asset ratio of 36 pct at Dec 31, are “robust” and that the company is well placed for the “measured expansion” of its business.

The company said it is in a good position to continue to prosper after having had an “exceptionally busy” first three months of the financial year since obtaining UK real estate investment trust (REIT) status on Jan 1.

BP says 90 workers overcome by fumes at Texas City refinery, taken to hospital

LONDON (Thomson Financial) - BP PLC said around 90 workers at its Texas City refinery were taken to hospital last night complaining of eye irritation and nausea after being “overcome by fumes.”

The workers were carrying out repair and upgrade work on oil processing unit Pipestill 3B, which has been closed since Hurricane Rita caused the refinery to shut down in 2005.

John Lewis week to April 14 sales down 13.6 pct year-on-year

LONDON (Thomson Financial) - John Lewis Partnership, the employee-owned retailer, said total sales in the week to April 14 came in at 107.58 mln stg, a 13.6 pct decrease compared with the same period last year.

Sales at the company’s 26-strong chain of department stores were down 9.9 pct at 41.94 mln stg, while sales at its Waitrose supermarket business fell 15.8 pct to 65.42 mln stg.

Chrysalis radio auction fails to attract expected bidders - report

LONDON (Thomson Financial) - Several companies that were expected to submit bids in the first round of the auction for Chrysalis Group’s radio operations have failed to meet the deadline, the Financial Times reported

The paper said it is understood that UTV and several private equity firms have not submitted bids, although they can still put in a bid at a later round.

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Families with little savings or no credit cards and are struggling to pay their bills are significantly more likely to have used payday loans than those with more financial options, according to Statistics Canada.

The agency said in a study releasedFriday that families with $500 or less in the bank were 2.6 times more likely to have used payday loans than those with between $2,000 and $8,000.

The short-term loans require no credit check and typically dole out amounts of about $100 to $1,500. They’ve been criticized for being the most expensive legal way to borrow money.

Charges keep adding up

They come with a range of fees and added charges for clients who keep rolling over loans from week to week and month to month ifthey’re unable to pay back the original loan.

Published in the April issue of Perspectives on Labour and Income, the study examines the characteristics and behaviours of payday loans borrowers, using first-ever data on these loans from the 2005 Survey of Financial Security.

Payday loans were dubbed as such for the method of paying them back. When you sign the loan agreement, you leave a cheque, dated for your next payday, which covers the amount of the loan and the fees and service charges.

Families behind in bill or loan payments were more than four times as likely to have used the loans than those who were able to keep up, the study found.

“Concerns have been raised about questionable practices within the payday loan industry, including high borrowing costs, insufficient disclosure of contract terms, unfair collection practices, and spiralling debt loads resulting from loans being rolled over,” Statistics Canada said.

Despite a rise in the number of payday transactions, relatively few Canadians use this kind of service. Less than three per cent of families had taken such a loan in thethree years ending in 2005, Statistics Canada said.

Almost half of those families had spending that outstripped their incomes.

Families who had been refused a credit card were more than three times as likely to have had a payday loan than those who had been granted a card, the report said.

B.C. to regulate industry

British Columbia introduced legislation Wednesday to regulate payday lenders and limit the cost of borrowing.

Borrowers would havethe right to cancel a payday loan within a certain time by returning the money.

Persia Sayyari isan organizer with the group ACORN, which pushed for the legislation and has long accused the industry of preying on low-income people.

Shesaid too often, people are getting trapped in long debt cycles they cannot escape from.

She cited one woman whose $500 loan took five years to retire. In the end, she said the woman paid an additional $9,500 in interest and other fees.

Money Mart, which saysit providesthe lowest-cost payday loans in Canada, on Wednesday issued a news release sayingit welcomes legislation that will “balance strong consumer protection with a viable payday loan industry.”

B.C.’smove to regulate the industryfollows similar legislation in Manitoba, Saskatchewan and Nova Scotia. New Brunswick is expected to introduce legislation this spring with Alberta, Ontario and other Atlantic Canadian provinces to follow.

Action Insight | Written by ActionForex.com | Apr 10 07 13:35 GMT |
Forex Mid-Day Technical Report Dollar and Japanese Yen Remain Pressured, Aussie Strong

Dollar and yen remains pressured today with yen falling to record low against euro and new 10 year low against aussie. Aussie also ride on M&A and carry trade flows and surged to new 17 year high against dollar. Meanwhile dollar gave back the post NFP gains against European majors. A couple of dollar negative developments happened in the last 24 hours including concern of escalation in tension in trade relations between US and China. Also, there are renewed concerns on spill over of the sub-prime mortgage problem after American Home Mortgage announced earnings warnings. Also, there are news that Tehran announced its capability of producing nuclear fuel on industrial scale.

More dollar weakness could be seen in short term but both EUR/USD and GBP/USD upside momentum is not convincing. it seems like the commodity currencies including Aussie and Kiwi, and probably the Canadian too, will be the main beneficiary of the current weakness in dollar. No important economic data is scheduled to release in the US session today and the greenback will probably remains pressured till tomorrow’s FOMC minutes. EUR/USD

Daily Pivots: (S1) 1.3334; (P) 1.3357; (R1) 1.3375; http://www.actionforex.com/forex_analysis_and_forecasts/pivot_points/pivot_points_summary_200603205734/

EUR/USD remains firm today and continues to press 1.3440 high. However, as discussed before, with bearish divergence conditions remaining in 4 hours MACD and RSI, price actions from 1.3253 could be developing into a diagonal triangle which could end the whole rally from 1.2865. Upside of the current rally could be limited and hence short term outlook remains neutral.

On the upside, sustained trading above 1.3440 high is needed to confirm short term strength and indicate rally from 1.2865 is still in progress for 1.2865 high. Otherwise, risk of a short term reversal remains significant. On the downside, break of 1.3336 support will indicate that the whole rise from 1.2865 has possibly made a top at 1.3440 already and encourage further decline towards 1.3253 cluster support (50% retracement of 1.3070 to 1.3440 at 1.3255). Touching of 1.3253 cluster support, with short term rising channel (now at 1.3308) taken out too, will confirm this case. Further correction should be then seen towards 55 days EMA (now at 1.3216) before completion.

In the bigger picture, outlook remains unchanged as long as 1.3086 cluster support (61.8% retracement of 1.2865 to 1.3440 at 1.3085) remains intact. EUR/USD is still trading comfortably within medium term rising channel (1.1639, 1.2483, 1.2978) and medium term up trend from 1.1639 is still in progress. Such up trend is interpreted as having first move completed with three waves up to 1.2978, subsequent sideway consolidation completed at 1.2483. Rise from 1.2483 has made a top at 1.3364 but subsequent correction has completed with three waves down to 1.2865 already. The current rise from 1.2865 should represent resumption of this whole up trend and further rise is still in favor to retest 1.3668 (04 high).

However, sustained break of 1.3086 cluster support will indicate that the rally from 1.2865 has possibly completed and should turn focus back to the medium term rising channel (now at 1.2909). Sustained break of this channel will indicate that the whole medium term up trend from 1.1639 has completed and medium term outlook will then be turned bearish for 1.2483 support first.

GBP/USD

Daily Pivots: (S1) 1.9590; (P) 1.9623; (R1) 1.9657; http://www.actionforex.com/forex_analysis_and_forecasts/pivot_points/pivot_points_summary_200603205734/

Cable’s rebound from 1.9591 continues today and break of 1.9724 resistance indicates that the correction from 1.9824 has likely completed and further rise should be seen to retest 1.9824 high. However, since a short term top is in place at 1.9824 with bearish divergence in 4 hours MACD and RSI as well as breaking of the rising channel, firm break of this 1.9824 resistance is needed to confirm recent rally has resumed for 1.9913 high. Otherwise, short term outlook remains consolidative and another fall would still be seen before finishing the consolidation. On the downside, below 1.9591 again will indicate correction from 1.9824 has resumed for 1.9545 support. But downside of the correction should be contained by 1.9434 cluster support (1.9183 to 1.9824 at 1.9428) and bring another rally.

In the bigger picture, rise from 1.8090 is still in progress after corrective fall from 1.9913, which should have completed with three waves down to 1.9183, was supported by 1.9215/17 cluster support (50% retracement of 1.8517 to 1.9913 at 1.9215, 38.2% retracement of 1.8090 to 1.9913 at 1.9217). The rise from there should represent resumption the whole rally from 1.8090 and hence further upside is expected. However, with bearish divergence conditions being displayed in weekly RSI and daily MACD a medium term top could be around the corner. The up trend from 1.7047 could make a top after reaching 2.0046/0106 cluster resistance zone (1992 high, 100% projection of 17047 to 1.9024 from 1.8090 at 2.0067, 61.8% projection of 1.8517 to 1.9913 from 1.9183 at 2.0046. And hence, focus will be on reversal signal as cable approaches these levels.

On the downside, below 1.9434 cluster support will dampen the above view and argue that the whole rise from 1.9183 has completed. Focus will then be turned back to 1.9215/17 cluster support and sustained break will indicate that the whole up trend from 1.7047 might have completed earlier then we thought and should the bring deeper correction to 1.8517 support first.

USD/CHF

Daily Pivots: (S1) 1.2228; (P) 1.2255; (R1) 1.2293; http://www.actionforex.com/forex_analysis_and_forecasts/pivot_points/pivot_points_summary_200603205734/

USD/CHF’s fall continues today, reaching as low as 1.2157 so far. With 4 hours MACD dragged to below signal line, intraday bias remains on the downside and further fall should be seen to retest 1.2082 support. Above 1.2212 minor resistance will turn intraday outlook consolidative first. However, note that consolidation from 1.2029 could still be in progress as long as USD/CHF stays above 1.2082 support. Another rise towards next cluster resistance at 1.2354 (61.8% retracement of 1.2550 to 1.2029 at 1.2351) cannot be ruled out. On the downside, below 1.2082 is needed to indicate that consolidation from 1.2029 has completed and bring retest of this cluster support (78.6% retracement of 1..1878 to 1.2571 at 1.2026).

In the bigger picture, medium term outlook remains bearish with USD/CHF staying below both 55 days EMA and 55 weeks EMA. Daily and weekly MACD is still staying negative, supporting this view too. The preferred interpretation at this point is that the whole down trend from 1.3283 is still in progress with the first move from 1.3283 finished with three waves down to 1.1919. Subsequent rebound to 1.2768 was the interim correction and price actions from there represent resumption of such down trend. Further decline should be seen to 1.1878 low and sustained break will add more credence to this view and bring further medium term weakness towards 100% projection of 1.3283 to 1.1919 from 1.2768 at 1.1404.

However, note that USD/CHF is still bounded in wide range of 1.1878 to 1.2768. A rebound to above 1.2354 resistance will dampen this view and indicate that the fall from 1.2571 has completed after meeting 1.2027 fibo support. Another rise could then be seen to retest this high and then the upper end of the range at 1.2768.

USD/JPY

Daily Pivots: (S1) 119.19; (P) 119.29; (R1) 119.39; http://www.actionforex.com/forex_analysis_and_forecasts/pivot_points/pivot_points_summary_200603205734/

USD/JPY continues to trade sideway after rise from 116.38 was limited 119.38, below mentioned 119.48 fibo resistance (61.8% retracement of 122.17 to 115.13). As discussed before, break of inner rising trend line with bearish divergence condition in 4 hours MACD suggests that a short term top is formed at 119.38. Short term outlook is turned neutral at this point. On the downside, break of 118.46 will add more credence to the case that a top is formed and, more importantly, the corrective rise from 115.13 could have completed and should then bring further decline towards 117.20 support and then 116.38. However, Sustained break of 119.48 fibo resistance will indicate that stronger rebound is still underway, probably with a retest of 122.17 high.

In the bigger picture, our view remains unchanged. Previous break of medium term rising channel support (108.99, 114.41, 117.87) indicates the whole up trend from 108.99 has completed at 122.17. Weekly MACD’s stay below signal line is still supporting this. The corrective nature of the rise from 108.99 swings favors back to the case that such medium term rally is merely part of a large scale consolidation that started at 121.38, with first leg completed at 108.99 and second leg completed at 122.17. The fall from 121.17 should then the third leg of such consolidation and deeper decline should at least be seen to below 114.02/41 support zone (61.8% retracement of 108.99 to 122.17 at 114.02) first with much possibility of further fall to retest 108.99 low.

However, decisive break of 119.48 fibo resistance (61.8% retracement of 122.17 to 115.13) will argue that the price actions from 122.17 is developing into large range consolidation instead of correction to rise from 108.99. A retest of 122.17 high could be seen in such case. But still, firm break above this resistance is needed to confirm medium term rally from 108.99 has resumed. Otherwise, medium term outlook will be neutral at best.

EUR/JPY

Daily Pivots: (S1) 159.18; (P) 159.39; (R1) 159.54; http://www.actionforex.com/forex_analysis_and_forecasts/pivot_points/pivot_points_summary_200603205734/

EUR/JPY’s rally extends further to 160.09 today. At this point, intraday bias remains on the upside and further rally is still expected to follow towards cluster projection target of 100% projection of 150.75 to 155.72 from 152.64 at 160.68 and 100% projection of 152.64 to 158.801 from 155.34 at 160.71. However, below 159.01 minor support will suggest that the rise from 155.34 has possibly completed. More important, this will be the first warning that whole rally from 150.75 has ended after meeting 159.63 resistance. Focus, will then turn to short term rising channel (now at 157.89).

In the bigger picture, we’re treating the whole year long rise from 130.60 as resumption of the long term up trend with first wave ended at 143.60, subsequent correction ended at 137.167. The third wave up could have ended at 159.63 with a diagonal triangle already. Fall from 159.63 should represent the fourth wave correction and has already met it’s target of 38.2% retracement of 137.16 to 159.63 at 151.05) and lower channel line (143.60 to 159.63, 137.16). The current rise from 150.75 should represent the final rally in the whole move targeting upper boundary of the medium term channel (now at 161.51). Attention will be paid to reversal signal as EUR/JPY approaches this resistance.

On the downside, break of the short term rising channel will open up two short term bearish scenarios where the medium term top could be formed already or correction from 159.63 is not finished and is developing in to wide range consolidation instead. In either case, a retest of 150.75 low would likely be seen.

Forex News Digest

http://c.moreover.com/click/here.pl?r880490520
Tue, 10 Apr 2007 10:00:00 GMT from Bloomberg

http://c.moreover.com/click/here.pl?r880490247
Tue, 10 Apr 2007 09:59:00 GMT from Bloomberg

http://c.moreover.com/click/here.pl?r880477301
Tue, 10 Apr 2007 09:42:00 GMT from The Australian

http://c.moreover.com/click/here.pl?r880470979
Tue, 10 Apr 2007 09:34:00 GMT from Bloomberg

http://c.moreover.com/click/here.pl?r880456389
Tue, 10 Apr 2007 09:19:00 GMT from Reuters

http://c.moreover.com/click/here.pl?r880437471
Tue, 10 Apr 2007 08:56:00 GMT from Reuters

http://c.moreover.com/click/here.pl?r880386272
Tue, 10 Apr 2007 08:02:00 GMT from AP via MSN Money

http://www.actionforex.com/latest_news/latest_news/forex_news_20060323537/ Economic Indicators Update
GMT Ccy Events Actual Consensus Previous Revised
JPY BOJ Rate Decision 0.50% 0.50% 0.50%
05:45 CHF Swiss Unemployment rate Mar 3.00% 3.10% 3.20%
06:00 JPY Japan Machine Tool Orders Mar Y/Y 9.50% N/A 16.50%
06:00 EUR Germany Trade balance (euro) Feb 14.2B 15.0B 16.2B
06:00 EUR Germany Current accout (euro) Feb 8.4B 10.6B 11.0 B 11.2B
06:00 EUR Germany Exports Feb 1.90% 1.10% 0.00% 0%
06:00 EUR Germany Imports Feb 5.60% 1.00% -1.80% -1.80%
13:30 USD Fed’s Mishkin Speaks
17:20 USD Fed’s Fisher Speaks
23:01 GBP UK BRC Retail Sales Monitor Y/Y 3.90% 3.30%
23:30 USD Fed’s Plosser Speaks

http://www.actionforex.com/general_information/forex_newsletters/forex_newsletter_200507301487/

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