Archive | December, 2014

Russia temporarily restrict grain exports

Russia temporarily restrict grain exports, after the meeting of the Russian government with the Prime Minister Dmitry Medvedev. Immediately after the announcement of the news the price of one ton of wheat on the London Stock Exchange rose by 0.98% to 136.50 GBP.

“It is time to consider the introduction of administrative restrictions on grain exports. Prepare suggestions on how to do it. Of course, it must be properly in accordance with the leading exporters, the decision should be temporary”, said the Prime Minister Dmitry Medvedev to his deputies. In addition, according to Medvedev’s decision “should be enough to correct the situation on the grain market and to provide our citizens and bakery products in the processing of grain”.

“We have prepared a proposal for the introduction of export duties on grain, as later in the day, they will be presented to you”, said Deputy Prime Minister Dvorkovich. He said that the “law is violated in the transport of grain by road regularly monitor more than the permitted quantity transported”.

Earlier, Economy Minister Nikolai Fyodorov said that the ministry will take “drastic measures” to regulate the grain market. “If that does not result from the regulation of minimum prices will be necessary to reflect on other much more stringent measures”, the Economy Minister said.

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Airbus finally delivered the first airplane A350 XWB

After delay of several years and reconstructions for billion USD, the European aviation concern Airbus finally delivered the first airplane A350 XWB (Extra Wide Body). During a ceremony in Toulouse wide-machine designed for long-haul flights was handed over to the customer Qatar Airways. This is the first passenger aircraft of a new generation of air-concern after A380. The model A350 will compete with the 777 and 787 Dreamliner American Boeing. Airbus A350 reconstruct the original to make it more economical and market-oriented.

The standard configuration with three classes called A350-900, accommodates 315 passengers and can travel 14,500 kilometers. Planned is a longer version of 369 passengers (A350-1000), which deliveries will begin in 2017. The planned short version A350-800, however, fell victim at the expense of the modernized version of the jets for long flights A330. With more economical engines and other improvements created 20 years ago aircraft will experience a second youth under the name A330neo.

Qatar turn its efforts to become a leading aviation hub amid preparations to host the World Cup in 2022. Due to its new twin machines Airbus (A350) and rival Boeing (Dreamliner) promise significant fuel savings by up to 25%. Accordingly, carbon emissions will be reduced. Originally conceived as a modern version of the old A330, A350 was designed as a completely new aircraft after criticism from airlines.

The basic version A350-900 worth 295.5 million USD cash on list price. So far, Airbus has received orders for 778 units of the new aircraft. The initial delivery of the first A350 to Qatar Airways was scheduled for early December, but was again postponed, but not the fault of Airbus.

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More Businesses Are Using Performance Bonds as Economy Struggles

In the face of economic struggle, the construction industry has taken something of a hit. Now, more companies are using performance bonds and surety bonds in a bid to boost confidence within the sector.

Following the 2008 economic crisis, the construction industry was hit in a substantial way. Now, the industry is recovering and surviving. But, more companies are keen to use a form of protection when it comes to completing projects.

In the face of economic recovery, large corporations want to ensure that contractors are committed to  projects. The economy is slowly taking shape and the industry now surviving. Little wonder people are keen to use these kinds of guarantees. In the face of the credit crunch, many business owners were left out of pocket. This was when construction companies failed to get through the difficult financial period. Now, as the economy is picking up, companies want to make sure that their projects are completed with minimum fuss.

The Prevalence of Performance Bonds

As businesses are now coming out of the darkness of the recession, they want to mitigate risks in every way possible. The use of performance bonds is the best way of mitigating and minimising risk within the industry. For many sectors, particularly the construction sector, bonds are a security that the job will be undertaken. With this, they can ensure payment as part of this process. This means that they offer a level of protection to all parties. So, even if a contractor faces insolvency, the company can still recoup their costs. You can find more details at

The issue of performance bonds can leave some contractors feeling defeated. But, for many professionals they are keen to ensure that the working relationship does not flounder. Now, more and more businesses are eager to use these kinds of bonds to determine payment processes during the slow recovery.

Large-Scale Impact

Within the construction industry, performance bonds are often viewed as significant. It ensures that payments are made within a timely manner. But, it also ensures that the demands of the company are met.

With the economy recovering slowly, the need for performance bonds has had a large impact on the construction industry. More contractors are happy to use them, even if the bond does result in immediate payments. As such, these bonds can guarantee a positive working relationship. What is more, they can set out the terms and conditions of the project in a more robust way. A performance bond, therefore, is now being used more than ever. Due to the uncertain nature of the construction industry in previous years, there is a need to safeguard companies. Risk mitigation is at the heart of the construction industry once more.

What Can Be Learnt From This?

More companies are keen to use these kinds of bonds. It is now vital that contractors become comfortable working with them. Insurance was once enough to provide assurance. But, the previous economic failures have seen a greater need for tighter controls around payment. More companies than ever need a guarantee that they will be paid for the contract roles that are undertaken.

The need for risk mitigation is needed more than ever within the construction industry.

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Rosatom will deliver 12 nuclear reactors to India

Russian state company Rosatom will deliver 12 nuclear reactors to India in next 20 years. Signed Thursday in Delhi Agreement aims to strengthen cooperation between the two countries in the field of nuclear energy. Now only one 1000-megawatt reactor works in the Russian built NPP Kudankulam in the state of Tamilnadu and the second reactor to be delivered in 2015. The Russian President Vladimir Putin insisted Rosatom to increase the number of reactors that can deliver to 25.

Indian representatives noted that six reactors will be built in Kudankulam Atomic Power Plant and other six will be for an object that has not yet been determined.

Putin is visiting Delhi for talks with Indian leaders to strengthen trade and energy cooperation with the third largest economy in Asia amid Western sanctions threatening to lead to a recession Russian economy. It is expected that the head of state to meet with Indian Prime Minister Narendra Modi and President Pranab Mukherjee.

The discussions will focus on deepening ties between the two countries at a time when said that Delhi is closer to the US, especially in areas such as defense and investment. According to Indian officials today are expected to be signed over 20 agreements in defense, space cooperation and energy.

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Chinese inflation slowed in November

The Chinese inflation slowed in November, which is another fact adding concerns for cooling in activity in the second largest economy in the world. The consumer price index increased by 1.4% on an annual basis with the slowest pace since November 2009. The figure is below the forecast of analysts for growth of 1.6% and the report 1.6% in October. On a monthly basis, the CPI fell by 0.2%. The experts predict that in November inflation will remain unchanged in October index also did not move.

The data justify the expectation of any delay. A few years ago everyone was talking about how China needs to re-balance its economy. And this is exactly what happens now. It will lead to slow growth, but, hopefully, to a qualitative growth. What we see now is not alarming. According to analysts the fears of deflation are overpriced. The slower growth in inflation is due to falling commodity prices globally, and this should have a positive impact on businesses and households.

The index of producer prices decreased for 33 consecutive month in November. The index is down with 2.7% yoy against forecasts for a decline of 2.4% and -2.2% recorded in October. Moreover the exports rose only by 4.7% yoy in November compared to 11.7% in October.

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UK trade deficit shrank in October

The UK trade deficit shrank more than expected in October to its lowest level since March as a result of the decline in fuel imports from outside the EU, according to the Office for National Statistics (ONS). The deficit in the overall trade balance of the kingdom fell to 2 billion USD in market forecasts of a retreat of 2.8 billion GBP. Last month was reported level of 2.4 billion GBP. According to experts from the ONS the contribution of net trade to GDP growth in the third quarter was negative - of 0.5% points. The revised data for October will lead to less negative contribution, but at this stage it is difficult to determine the exact dimensions. According to the data, exports of goods increased by 200 thousand GBP between September and October, mainly due to the rise in exports of silver.

“Unconfirmed data show that in this particular commodity. India is the main trading partner of the United Kingdom”, highlighted by the ONS.

The imports fell c 700 thousand GBP, reflecting the significant retreat in imports of fuels. However, the decline was offset by an increase in imports of machinery and transport equipment. The balance of trade in oil in October was a deficit of 800 million GBP from a deficit of 1.6 billion GBP in September.

British trade balance with countries outside the EU has granted 3.5 billion GBP in October - the lowest level since March. The exports to countries outside the EU has in turn increased by 100 million GBP. In its latest quarterly economic forecast British Chamber of Commerce said it expects slower growth at the end of 2014 due to lower exports. According to the business economy remains heavily dependent on domestic consumption.

“Our dependence on consumer spending and mortgages means that the UK economy is particularly sensitive to interest rates. All increases in short-term interest rates could pose a huge risk to our economy. It will also have an impact on important economic investment. Exports UK is unchanged and is crucial to reassess the global strategy of growth of exports of the country”, the report said.

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Let The Web Save You Money With These Secret Tricks

USDEveryone knows that the internet can save you money. We all use it to shave the cost from our purchases of consumer goods all the time, especially in these hard times. But there are loads of more unusual ways to bend the internet to this purpose. There are plenty of tips and tricks out there that are off the beaten path of the web, away from the simple price comparison websites.

Here are our secret tips for saving money through the web.


No, not the biscuit. Have you ever been on a website, looking at the price of a plane ticket or train journey? When you return to check out the same journey, even if it’s just a minute later, often the price will have gone through the roof. A lot of the time this is a trick that the website is using to get you to buy from them. It means that they will make more from you, but also that you will be more eager to buy as you are worried that the price will continue to rise.

The website achieves this by recording your presence through something called cookies. These are a record of where you’ve been online. The website will see that you’re seen the page before, and charge you more as a result. To avoid this, use an incognito service on your web browser. Google Chrome has incognito browsing, which is particularly easy to access and use. When you return to the page this time the site won’t see any recorded cookies, and will charge you the first and lowest price.

Word of Mouth

The internet is fantastic when it comes to locating businesses, but its real strength lies in its nature as a giant forum for word of mouth news. If you’re looking for mortgage brokers in Adelaide, you’ll be able to compare them online. But you’ll also be able to look at customer feedback and testimonials online. Remember that he who buys cheap buys twice. This means that if you pay for the cheapest service and you do not get exactly what you need then you will find yourself paying for the same thing in the future. Be sure that you’re getting what you need by researching the genuine customer feedback that will be available in any number of places. That way you’ll pay less because you’ll only be paying once.

Pick Up The Phone

Think about all of the price comparison sites you see out there. A lot of them will allow you to book a service, say a hotel room, through them. How do you think they make their money? Sometimes it’s through advertising and charging for premium services, but sometimes they have a booking fee. To get the best deal, call up the hotel and say that you got X price from an online site. Tell them that you would prefer to book through them directly, and ask them if they can do a better price. More often than not they will offer you a sizeable saving.

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Merck in negotiations for acquisition of Cubist Pharmaceuticals

The US pharmaceutical company Merck is in advanced negotiations for the acquisition of a manufacturer of antibiotics Cubist Pharmaceuticals. The deal is estimated at over 7 billion USD. Merck will pay 100 USD per share and the deal could be announced by the end of the week. The deal with these values would be a 34% premium over the share price of Cubist of 5th December 2014. From Cubist Pharmaceuticals said it plans to introduce four new medicines by 2020 in treatment of bacterial infections resistant to other treatments because of overuse. The increasing threat of drug-resistant germs make public health authorities to urge companies to invest in new antibiotics. This field has generally been abandoned, since the medicine manufacturers were focused on the more profitable treatments for cancer and hepatitis C.

The CEO of Merck Kenneth Frazier said that the second largest pharmaceutical producer in USA tries to make small to medium-sized acquisitions in areas that would complement its arsenal of treatments. The company is not interested in big deals that are “very time-consuming and distract us from what we have here, namely to invest in new medicines”, said Kenneth Frazier in July. In late September, Merck had cash and equivalent funds worth 14.3 billion USD and total debt worth 27.8 billion USD.

Cubicin, the best-selling medicine of Cubist, was approved by the US Administration Food and Drug Administration (FDA) in 2003 for combating serious skin infections. In 2006, its use was extended to infections of the blood vessels. Cubicin generates more than 80% of sales of Cubist. According to the prediction of Massachusetts-based company analysis Lexington sales will reach 2 billion USD by 2017.

Cubist products can complement their program to combat infectious diseases Merck. One of his experimental drugs Relebactam was placed on the list for quick FDA approval in September. Relebactam inhibit beta-lactamase - an enzyme which is created by certain bacteria inducing resistance to commonly used antibiotics, including penicillin.

Relebactam also received designation as a qualified product to fight infections. The status will give him an additional five years of exclusive market, as it has been approved. The US Centers for Control and Prevention of Diseases said antibiotic resistance kills at least 23,000 Americans a year, making it “one of the most serious threats to health”. The share price of Cubist saw a 26% increase, reaching 93.50 USD in late hours of the US market on 5th December 2014, before falling to 91.25 USD. The Merck’s shares rose with 0.9% to 61.49 USD per share in New York.

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Gold futures fell with 1.43%

Gold futures fell with 1.43%

gold futuresGold futures fell with 1.43% on Friday, closing the week at 1,190.40 USD per ounce. The asset with February delivery however rose by 1.25% compared to a week earlier due to global volatility due to the situation on the oil markets. The price of gold remained under pressure on Friday after another dose of upbeat news from the US. Despite the positive statistics on the labor market the yellow metal reported a rise of over 1% last week after a strong session on Monday. The report of the United States Department of Labor showed that the US economy added 321,000 new jobs in November - far more than the estimated 225,000. The growth was the most significant of nearly three years.

The October data were revised up to 243,000 from the previously submitted 214,000, and the unemployment rate remained unchanged at 6-year low of 5.8%. The successive positive data underlined the view that strengthening economic recovery may lead the Federal Reserve to raise interest rates earlier than expected by the markets. The dollar index ICE, which measures the strength of the greenback against a basket of six major currencies, reaching a peak of 89.50 points - the highest level since March 2009, and ended the day with a rise of 0.82% to 89.39 points.

The stronger USD usually weighs on demand for gold as limited interest in denomination of the greenback metal holders of other currencies. Meanwhile the silver futures for March delivery fell with 1.91% on Friday to 16.25 USD per ounce. For the week, the price of the contracts rose by 4.3%. The copper for March delivery fell even 0.41% on Friday to settle at a level of 2,902 USD per pound. For the past week the price of the red metal rose by 1.99% due to hopes for new stimulus from central banks in China, Japan and Europe.

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Greece rely on TAP and Southern Energy Corridor

SamarasGreece rely on TAP and Southern Energy Corridor, said the Deputy Prime Minister and Foreign Minister Evangelos Venizelos, in welcoming the participants in the Greek-Turkish business forum. The forum was attended businessmen from both countries, Greek ministers and the Turkish delegation led by Prime Minister Ahmet Davutoglu. According to Venizelos “it is extremely important to fully be realized joint projects such as the construction of TAP, which is an extension of the Trans-Anatolian gas pipeline (TANAP), and the creation of the Southern Energy Corridor, which opens a new page in relations between the two countries”.

“Moreover according to the recent events in connection with South Stream, both other projects receive additional essential dimension in terms of economic development, and international policy”, stressed Venizelos. “Turkey is a big country, a big market, a candidate country for EU membership, and Greece constant support Turkey’s European perspective, of course, subject to the conditions that are valid for each candidate country”, added Greek Deputy Prime Minister.

Venizelos stressed that “the key to accelerating the development of bilateral relations and the full normalization of Greek-Turkish relations represent Cyprus issue, respect for international law, especially international maritime law”.

For his part, Prime Minister of Greece Antonis Samaras said in his address to the forum participants that the significant strengthening of trade and business relations between Greece and Turkey in recent years has been mirrored by a sharp increase in the volume of bilateral trade.

“From 1.062 billion EUR in 2000, this volume reached 4.3 billion EUR in 2013″, said Samaras. “In particular, the last two years and the first eight months of 2014, Turkey was the first volume of Greek exports and occupied 15th place in terms of Greek imports. These figures speak for themselves”, said he said. The Prime Minister announced that Greek investments in Turkey are now reaching 6.6 billion EUR, covering a wide range industries, wrote Monday. “On the other hand, in recent years there has been significant investment by Turkish companies in Greece, mainly in the field of tourism infrastructure and manufacturing”, said Samaras.

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