Scrutiny For Imports The Consumer Product Safety Commission is expanding inspections of imports after the recalls of toys, toothpaste and pet-food ingredients from China.... Read Full Article Congress Not Expected To Vote On Iraq Policy Before Recess The Democratic strategy involves sending Republicans home to explain to voters why they have steadfastly backed President Bush on the war.... Read Full Article Message From Davos: The Recession Is Coming A full-blown, prolonged recession in America is now inescapable, with the rest of the world set to be dragged into a severe global slowdown despite yesterday’s emergency US interest rate c... Read Full Article Army’s Scotland Links ‘bruised’ Controversy over the Iraq and Afghanistan conflicts have “bruised” the relationship between the Army and Scotland, one of its most senior officers said yesterday.... Read Full Article A Google Prototype For A Precision Image Search The company presented a new algorithm for blending image-recognition software methods with techniques for weighting and ranking images that look most similar.... Read Full Article |
Posed NewsChinese earthquake stokes inflation fearsAnalysts warned today that the earthquake could unravel the Chinese government’s recent efforts to rein in bank lending and cool inflation – regional banks in the affected areas are now expected to be granted immunity from the recently imposed curbs on lending as firms race to rebuild.Read Full Article Mervyn King to grimace and bear bad newsWhen the Bank of England’s Governor unveils its latest prognosis for the economy this week, he is likely to adopt his sternest demeanour. The message from Mervyn King may not be quite as bleak as Churchill’s famous admonition that he had “nothing to offer but blood, toil, tears and sweat”, but it may not be far off. The Bank’s hardline decision last week to keep interest rates on hold despite the latest spate of dreadful news over worsening economic conditions gave a foretaste of the granite-hard façade that it is set to present to the country in its latest quarterly Inflation Report on Wednesday. The “no change” verdict on interest rates from Threadneedle Street can only have appeared to much of the country at large like an exercise in monetary sado-masochism. Yet the harsh reality that confronts the Bank’s Monetary Policy Committee (MPC) is that it remains trapped between an economic rock and a hard place. Far from easing as the economic outlook has grown darker, the conflicting pressures confronting the MPC – from faltering growth and activity on the one hand and simmering inflationary pressures on the other – have intensified. The deluge of ever more dismal economic indicators now leaves little doubt that the economy is facing its most testing two-year stretch since the early Nineties. Yet as the going gets much tougher, the persistence of the inflation threat condemns the Bank to talk, and act, tough, too. The MPC’s mission to ensure that inflation hits its 2 per cent target over the medium term leaves it scant room for manoeuvre. It is forced to act only cautiously, even as the demands for more aggressive and urgent action escalate. The Bank’s dilemma seems set only to be become more acute through the summer, as the Inflation Report is likely to spell out. If anything, the MPC’s latest assessment is likely to understate the full scale of dangers to growth prospects that have emerged. At the heart of the heightened risks is the increasingly dire straits of the housing market, which appears to be locked into a vicious downward spiral triggered by the mortgage lending drought. The severe squeeze on the availability of home loans is combining with falling house prices to cause demand in the property market to dry up, with cautious buyers holding out for the much lower prices they expect in future. As demand and market activity drop, and the supply of unsold houses grows, prices fall farther and faster. In turn, that farther deters would-be buyers and makes lenders become even more cautious, fuelling an ever steeper downward slide. The scale of these trends is underlined by the Council of Mortgage Lenders’ data, highlighted by Michael Saunders, of Citigroup, which shows the drastic tightening of lending conditions since the start of the year. The number of new home loans agreed plunged by more than 30 per cent in the first quarter, compared with the same period a year earlier. In March, approvals of new mortgages fell to the lowest since 1992. Although the Bank of England’s £50 billion lifeline, designed to ease the funding pressures on lenders, may limit the squeeze, Mr King has been bluntly candid that it is far from intended as a cureall for the mortgage market. The clear peril for the economy is that the toll on sentiment and household wealth from an increasingly severe housing correction now sees the credit crunch mutate into a brutal consumer crunch as households pull back their spending. The Bank tends to play down the repercussions of falling house prices for consumer demand. Yet signs are already accumulating that the consumer may embark on a full-scale retreat from the high street. Consumer confidence has slumped to 15-year lows, while polls show that concern over the state of the economy is at its highest levels since 1993. As other signs of economic weakness pile up, it is becoming painfully clear that Britain, far from being better placed than its rivals to weather global economic squalls, as the Chancellor and Prime Minister claim, is markedly worse off. As Mr Saunders argues, the UK is left badly exposed by the highest household debt burden in the Group of Seven leading industrial economies, alongside severely inflated house prices and low household savings. The price of a protracted period of living beyond our means may now have to be paid. Long years of high spending, as well as heavy borrowing excess. are making the fallout from the credit crunch more painful and the boost from the Bank’s limited easing of interest rates less potent. Yet, worse still, the same past excesses, in the form of a swollen current account deficit, are adding to the acute pressure on a sharply weakening pound, already hit by Britain’s worsening growth outlook. Sterling’s steep slide – by about 12 per cent in the past year - is aggravating the Bank’s inflation headache by raising the nation’s import bills and further curbing its scope to cut base rates to underpin faltering growth. With the pound set to tumble still farther, oil prices having surged to record levels of above $120 a barrel and the cost of food in global markets soaring, the City expects that the Bank will raise its forecasts for inflation this week. It is likely to give warning that headline consumer price inflation will rise above 3 per cent over the summer, forcing Mr King to pen what will be only his second explanatory letter to the Chancellor. Against this background, the Governor can be expected to make it brutally plain on Wednesday that further easing of interest rates will be only limited and gradual. Ultimately, the extent of the slowdown now taking hold in the economy will quell the inflationary threat that the Bank is, for now, compelled to prioritise over risks the growth.$Read Full Article Microsoft’s battle with Europe goes on as fine is challengedMicrosoft has lodged an appeal against a record €899 million (£713 million) fine handed out in February by the European Commission for defying sanctions imposed on the company for abusing its dominant position in the software market.Read Full Article Tempus: Off the boilIt is tempting to conclude from today’s trading update from Aga that the former engineering conglomerate has disposed of its better half.Read Full Article Microsoft appeals €899m fine from ECMicrosoft has lodged an appeal against a record €899 million (£713 million) fine handed out in February by the European Commission for defying sanctions imposed on the company for abusing its dominant position in the software market.Read Full Article External News for: posedAustralian court sentences Malaysian who posed as taxi driver - Malaysia StarWA todayAustralian court sentences Malaysian who posed as taxi driverMalaysia StarMELBOURNE: A Malaysian-born sexual predator who posed as a taxi driver and sexually assaulted more than 20 young men he picked up in a state of drunken ..."Predator" who posed as cabbie jailedHerald SunSexual predator jailed for 20 yearsABC OnlineSex-assault 'cabbie' jailed for 20 years for assaults on menNEWS.com.auall 22 news articles »Australian court sentences Malaysian who posed as taxi driver - Malaysia StarWA todayAustralian court sentences Malaysian who posed as taxi driverMalaysia StarMELBOURNE: A Malaysian-born sexual predator who posed as a taxi driver and sexually assaulted more than 20 young men he picked up in a state of drunken ..."Predator" who posed as cabbie jailedHerald SunSexual predator jailed for 20 yearsABC OnlineSex-assault 'cabbie' jailed for 20 years for assaults on menNEWS.com.auall 22 news articles »Levi Johnston poses for Playgirl - guardian.co.ukguardian.co.ukLevi Johnston poses for Playgirlguardian.co.ukLevi Johnston, the father of Bristol Palin's child, has posed for Playgirl. Photograph: Frazer Harrison/Getty Images What? You want me to write Lost in ...Levi Johnston Poses for Playgirl (Preview Photo)Gather.comLevi Johnston: Hockey Boy to Hollywood Hunk!Us MagazineLevi Johnston's fun with fameLas Vegas Weeklyall 430 news articles »Australian court sentences Malaysian who posed as taxi driver - Malaysia StarWA todayAustralian court sentences Malaysian who posed as taxi driverMalaysia StarMELBOURNE: A Malaysian-born sexual predator who posed as a taxi driver and sexually assaulted more than 20 young men he picked up in a state of drunken ..."Predator" who posed as cabbie jailedHerald SunSexual predator jailed for 20 yearsABC OnlineSex-assault 'cabbie' jailed for 20 years for assaults on menNEWS.com.auall 22 news articles »Levi Johnston poses for Playgirl - guardian.co.ukguardian.co.ukLevi Johnston poses for Playgirlguardian.co.ukLevi Johnston, the father of Bristol Palin's child, has posed for Playgirl. Photograph: Frazer Harrison/Getty Images What? You want me to write Lost in ...Levi Johnston Poses for Playgirl (Preview Photo)Gather.comLevi Johnston: Hockey Boy to Hollywood Hunk!Us MagazineLevi Johnston's fun with fameLas Vegas Weeklyall 430 news articles »Do you have questions for the US Senate Democratic candidates? - Daily News TribuneDo you have questions for the US Senate Democratic candidates?Daily News TribuneIt will be moderated by WCVB's Ed Harding, with questions posed by Janet Wu of WCVB and Rick Holmes, opinion editor of the MetroWest Daily News, ...and more » |
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