UK housing soft spot continues 4 Nov 2004 October's fall in house prices brings them back almost to June's level. This could be a rational response to higher borrowing costs. Hopes for a soft landing are, understandably, mounting. But a crash or even a renewed boom is still quite possible.
Gold Fields should reconsider Iamgold deal 3 Nov 2004 The South African miner's case against attacker Harmony is strong. But so is Harmony's case against the proposed Canadian connection. Gold Fields is legally bound to recommend the deal. But new South African currency regulations provide a reason to be less enthusiastic.
Sagem workers risk squandering inheritance 3 Nov 2004 The company is owned by its employees. They deserve a premium for surrendering control. Yet they have been asked to swallow a discount. If the merger with Snecma secured their jobs, they might tolerate this. But a longterm threat still looms over their employment.
Volkswagen ties its own hands 3 Nov 2004 The carmaker's labour agreement averts the threat of damaging strikes. But only at the cost of limiting VW's scope to restructure in future. VW earned brownie points for hiring Wolfgang Bernhard a manager with a restructuring track record. This can only dilute his impact.
Karstadt downgrades full-year forecasts 3 Nov 2004 The German retailer s Q3 results were better than expected. But Karstadt had been too bullish about the fullyear. CEO Achenbach needs to be more realistic about the scale of the task ahead.
Kerry concedes defeat 3 Nov 2004 A clear outcome to the election is good news. It will be better still if the President rises to the call of statesmanship. He should use his mandate and majority to solve problems notably Iraq and the budget deficit thrown up by his first term.
Commodities inflation is not such a bad idea 2 Nov 2004 Central bankers are inflation hawks. They want users to take all the pain of sharply higher raw material prices. But that just pushes down profits and wages in some sectors. Inflation would spread the pain more widely, and hurt growth less.
EDF considers Italian exit 2 Nov 2004 Staying would be expensive and politically hazardous. But it is hard to see EDF avoiding a hit if it sells out. The French electricity giant's new boss Pierre Gadonneix is to decide whether to stay in Edison, the Italian utility, or try to sell out.
UBS rubs salt in its wounds in Q3 2 Nov 2004 Weak markets hit the Swiss bank s Q3 investment banking result. But UBS exacerbated this with illjudged proprietary trading positions. That is embarrassing. But it also underscores the need for UBS's continuing investment in its clientdriven investment banking activities.
Hanson dies 2 Nov 2004 The UK raider was an agent of change putting the fear of God into sluggish companies. He was a sort of corporate equivalent of Thatcher. Hanson's model of a conglomerate as a hostile bid machine was not durable. But at least he had the sense to break it up.
Ryanair surprises with upbeat outlook 2 Nov 2004 The share price of the nofrills carrier has surged. But that doesn t mean the outlook for the sector is any better. The coming winter will still be one of discontent for the industry with Ryanair revelling in the misery of its rivals.
Shell, Exxon sell Dutch gas business for E2.8bn 1 Nov 2004 The two oil giants are getting out of Holland's gas pipes business, which they are selling to the government. The payment is spilt evenly between Exxon and Shell which needs to raise funds for its $45bn investment programme.
KPN hit by margin squeeze 1 Nov 2004 The Dutch telecoms group is investing heavily to fend off fierce competition in its domestic mobile business. KPN's shares look cheap. But it is still hard to see when its profits will regain momentum. This investment has depressed profits. But it should pay off. KPN s share price still looks too low
HVB’s Dieter Rampl faces day of reckoning 1 Nov 2004 It won t be a big surprise if the German bank s boss drops profit targets with this week s results. The markets are awful; stuff happens. What s really worrying is how little progress HVB has made in solving its German problems.
Oracle makes final PeopleSoft offer 1 Nov 2004 After 16 months, multiple court cases, regulatory probes and five separate bids, Oracle is ready for the kill. PeopleSoft's defences are weak. Even on value, it will be hard to fend off the offer. The board should try to wangle out a few more crumbs.
US bonds face political risk 1 Nov 2004 A slowing economy has lulled investors into thinking that inflation isn t a danger. But the new president will find inflation tempting it would eat away at the vast piles of consumer and international debt.
ABN’s US business suffers sharp decline 1 Nov 2004 Yet again, ABN is having to fall back on a fresh costcutting drive in the face of disappointing revenues. The Dutch bank has cut guidance for annual preprovision profits after its US mortgage business declined faster than expected in Q3.
Matching rights make debut in UK auction 1 Nov 2004 Warner Chilcott will continue to recommend an offer from CSFB/JP Morgan so long as they match any counterbid. It's a deterrent. Investors don't like obstacles in the way of auctions, such as break fees. But it's hard to argue that Warner has done badly by investors.