Good morning New York,
FT ALPHAVILLE
Daily Mail hubris: Paul notes that the The Rothermeres control the Daily Mail and General Trust group by holding less than 5 per cent of the equity. Could this be an insult to public markets?
NEWS
Chinese PMI data comes in weak: The country's manufacturing sector weakened sharply in June, an indication that the country's growth slowdown has deepened as the government has refrained from stimulating the sluggish economy. The official purchasing managers' index fell from 50.8 in May to 50.1 last month. It was the lowest reading in four months and just slightly above expectations. (Financial Times)
Share rout set to delay Chinese banks' Hong Kong listings: China's banks have been dealt a further blow as falling share prices put on ice a number of potential new Hong Kong listings. Several smaller Chinese commercial lenders had been planning Hong Kong stock market debuts this year or early next year, including Bank of Shanghai, Guangfa Bank, and Bank of Chongqing. However, little known regulations on bank capital raising, set by Chinese regulators, prevent mainland banks from raising funds in the equity markets at a price that values the company at a price-to-book ratio below one, an indication that investors do not believe the stated worth of a company's assets. (Financial Times)
Nokia to pay €1.7bn to buy Siemens out of telecoms joint venture: The move will give the Finnish group full control over what is currently its best-performing business but raising questions about the strength of its balance sheet. The full purchase of Nokia Siemens Networks adds the relative stability of the telecoms equipment business to the Finnish group's struggling mobile phone unit, which has been subject to rumours about a possible sale. (Financial Times)
EU demands answers over claims US bugged its offices: A diplomatic dispute over surveillance has deepened as European ministers reacted with disbelief and fury to reports that EU offices had been bugged by US intelligence services. Sabine Leutheusser-Schnarrenberger, Germany's justice minister, said that a report in Der Spiegel claiming the US National Security Agency had spied on the EU was "reminiscent of the methods of foes during the cold war". (Financial Times)
Onyx rejects $10bn takeover proposal: the California-based maker of the cancer drug Nexavar, has rejected an unsolicited $10bn takeover proposal from Amgen but authorised bankers to solicit other offers. (Financial Times)
Kuwait plans $5bn UK investment: "The Kuwait Investment Authority is seeking to invest as much as $5bn directly over the next three to five years in infrastructure assets mostly in the UK, echoing asimilar move by Qatar." (Financial Times)
Apple did not pay UK corporation tax last year, according to its latest filings. (Financial Times)
Japonica offers to buy more Greek government debt at lower price: the US investment firm that last month said it would buy as much as €2.9bn of Greek debt, offered to purchase more of the bonds at a lower price amid concern the nation faces another bout of economic instability. (Bloomberg)
Markets: Investors were starting the second half of the year in cautious mood, cheered by signs of improving Japanese business optimism, but wary about the health of the Chinese economy and prospects for reduced Federal Reserve support. Growth-sensitive assets and bond yields were firmer as traders faced a potentially awkward week that contains major central bank decisions, Wall Street's closure for the July 4 holiday, and which culminates in Friday's US jobs report. Gold was rallying after hitting a three-year low on Friday. The FTSE All World equity index was up 0.1 as futures suggested Wall Street's S&P 500 would open with a gain of 4 points to 1,610 and the FTSE Eurofirst 300 dipped 0.1 per cent. (Financial Times)
