Spain has officially fallen into recession in first quarter with a new economic contraction of 0.3% over the first three months of the year, statistics showed Thursday's final National Institute of Statistics.
On the other year, the Spanish gross domestic product fell 0.4%.
Spanish GDP had dropped 0.3% in the last quarter of 2011.
"The recession is advancing at a gradual pace, but if we take into account the latest surveys on activity, it seems that the economic contraction will continue into quarters come, "said Tullia Bucco, an economist at UniCredit.
The Spanish manufacturing sector contracted at its fastest pace in almost three years in April, while the service industry fell for the tenth month of row, according to the purchasing managers' index.
The export sector, the only one that has progressed over the last two quarters, slowed from January to March, the main economic partners of Spain is also experiencing the recession or slowdown.
Madrid seeks to convince investors that Spain is able to consolidate its public finances while reducing expenses, but the cost of restructuring its banking sector worries the markets .
The premium demanded by investors to acquire the Spanish debt rather than German debt has reached this week its highest level since the introduction of the euro, more than 500 basis points.
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Capgemini announced Thursday a turnover up 4.5% at constant scope and exchange in the first quarter and confirmed its financial targets in 2012.
The leading European IT services aim has confirmed a further improvement in its operating margin in 2012 but with limited organic growth of its turnover due to the re tion of public spending in Europe.
Capgemini, one of the American competitors IBM, the Anglo-Dutch and French Atos Logica, conducted in the first quarter a turnover of 2.565 billion euros, up 9.2% at current rates and perimeter.
Order intake amounted to 2.145 billion euros, down over one year, but the ratio of new orders to figure `s business for the consulting, of the integration systems and community services is positive (1.02 for the group), Capgemini said in a statement.
The Capgemini share closed up 1.29% to 28.95 euros on Wednesday, giving a market capitalization of 4.51 billion. It has rebounded 20% since the beginning of the year after falling over 31% in 2011.
Atos has in turn confirmed the end of April all its annual targets after completing the first quarter organic growth of 2.4% of its turnover, driven by the infogé rance, Germany and the UK.
The Capgemini share closed up 1.29% to 28.95 euros on Wednesday, giving a market capitalization of 4.51 billion. It has rebounded 20% since the beginning of the year after falling over 31% in 2011.
The activity has slowed sharply in April in the Chicago area, which serves as a barometer for the entire U.S. industry. Barack Obama visited a General Motors plant in Hamtramck, Michigan, near Detroit, July 30, 2010.
The slowdown of U.S. economy in the first quarter is on track to continue in the second. Industrial activity has slowed markedly in the Chicago area in April, according to the local index of purchasing managers in the U.S. ISM trade association said Monday. This index was down 6.0 points from March to $ 56.2 in seasonally adjusted data, its lowest level in 29 months, the ISM said.
The index nevertheless reflects an expansion of economic activity for the 31st consecutive month, the ISM wrote in a statement adding that the April figures also reflect a trend of activity to "slow further." The median forecast of analysts gave a less marked decline of the indicator, to 60.0.
The ISM Chicago extent the perception that industry in the region of the economy. He is said to be usually a good indicator of changes in the barometer of activity at all the United States. For the association, the fact that the index has declined for the second consecutive month and that this decline has been driven by a sharp fall in its component measuring the production incentive to "be more careful about the erosion of application that continues, even if the backlog increases "for area businesses.
The International Monetary Fund should get, as expected, an increase of its means of at least $ 400 billion to take action against the global crisis. Executive Director International Monetary Fund Christine Lagarde expects its member states that the funds of the institution are "substantially" increased.
The International Monetary Fund is about to get financial support to match its requirements. To act against the global crisis, the organization has requested an increase in its resources. It is not yet certain that everything is sealed off Friday in Washington, which met finance ministers of G20 countries, but the organization seems poised to achieve, as it wishes, an increase in resources of at least $ 400 billion.
"Among the results of these meetings, we expect that our strike force is greatly increased," said Christine Lagarde Thursday, executive director of the IMF. "I know it is in a lot the subject of the day," she noted.
Finance ministers of rich and emerging countries in the G20 will discuss on Friday, after a first working dinner Thursday night. Christine Lagarde expects to have a number. And all indications are it will succeed in light of recent promises made public through several countries before the start of the spring meetings in Washington.
Additional means to help the euro area
Notable exception, the United States, the largest shareholder of the Fund, have refused to pay any extra dollar. The uncompromising stance of Washington has also forced Christine Lagarde to review its initial ambitions downwards, estimated in January after the needs of the Fund to some $ 600 billion.
"Today, there is less risk," she assured, even if Europe "is not pulled out of the rut." The French felt that this money would help address the problems of the world economy, including "high unemployment, sustainable in many parts of the world," growth "slow" or "of potential increases in oil prices".
Executive Director of the IMF did not name Spain in its list of "dark clouds" looming always above the global economy, but the situation there continues to preoccupy the international financial community. "If there is a need, the IMF must be there for all its members" but "there is no need of this kind at the moment," she assured, however.
The IMF can now hire up to 382 billion dollars, according to the weekly final point on its resources. But Christine Lagarde Lagarde, supported by the Europeans, want to add at least $ 400 billion to this total. She can already count on some 320 billion thanks to the commitment of Japan to the tune of 60 billion over the three Scandinavian countries (Sweden, Norway and Denmark), with just over 26 billion, that of Poland, 8 billion, and finally that of Switzerland and other countries not identified, to the tune of $ 26 billion.
Exchanges of Brazil should grow twice as world trade over the next 15 years a cosmetics factory in Sao Paulo
The Brazilian economy is booming: according to HSBC Trade connections, Trade Forecast (February 2012), the Brazilian business know in the next fifteen years a growth of 163%, double that of world trade (86% ). Over this period, the country is expected to arrive in sixth place worldwide for the growth of its trade. This year, the growth of its economy expected to remain at 3% (as in 2011) and accelerate to above 3.5% in 2013, according to forecasts of Euler Hermes. The organization of the FIFA World Cup in 2014 and the Olympic Games in Rio in 2016 are short-term opportunities.
The big challenge for this huge country, rich in raw materials: building infrastructure (roads, railways, power lines) to open up the interior, where the raw materials, and link it to major cities growing, like Rio de Janeiro, Sao Paulo and Belo Horizonte.
Another government priority: to develop industrial production. The country is clearly positioned to become the leading producer of ethanol from sugar cane. The emergence of a middle class eager to consume is also a great opportunity for investors.
Are real opportunities for businesses … provided they are aware of the constraints: complex tax system, high taxes and powerful bureaucracy.
These obstacles do not discourage emerging countries like Vietnam and Indonesia but especially China, whose trade with Brazil expected to increase substantially in coming years. The proof is opening this year's huge port complex Superporto do Açu, one of the largest in the world, and already dubbed "the highway to China".
The Austrian bank in difficulty Volksbanken, which the State is about to take a significant minority stake, said Thursday it lost 1.35 billion euros in 2011.
This result is at once the fact of past depreciation on its activities in Eastern Europe and losses on Greek sovereign debt and other bad debts .
Once the fourth largest bank in Austria, Volksbanken failed to European stress tests last year.
The anticipation of a heavy loss and the slow restructuring of the bank in February led the Austrian government to launch a rescue plan that will cost over a billion euros to the state and will mean for current shareholders by the loss of more than 70% of their assets.
In November, the bank said that its loss in 2011 would be higher by at least 10% in the range from 900 to 1,050 million euros given in October.
Taking into account the recapitalization of the bank, which must be approved at a general meeting called for April 26, 2011 the loss is reduced to ; 53.5 million euros, said in a statement Volksbanken.
After the bailout of the institution, the majority of the capital should remain held by regional banks, taking the state for its part ownership of more than 40%.
Vienna will therefore be entitled to appoint four members of the Supervisory Board of Volksbank. According to a financial source, including the Austrian government will bring Gertrude Tumpell-Gugerell, former board member of the European Central Bank (ECB), the bank board.
In the eyes of rating agencies, the importance of the financial sector in Austria is one of the risks to the country's sovereign rating.
Standard & Poor's withdrew its Vienna "AAA" in January and Moody's said she could do the same.
India should seek to turn its airlines to refuse to participate in the program of the European Union to tax carbon emissions in the airline, said Monday , a senior administration official Reuters India.
China first allowed its air transport sector to participate in this program.
Since 1 January, all airlines flying from airports in the EU are subject to a trading system of emission quotas for greenhouse gas (ETS).
A company failing to observe these rules is liable to a tax of 100 euros per tonne of carbon emitted quota allowed. The EU ban of up to serve European airports.
If the EU were to proclaim such prohibition, she risks being subjected to similar retaliation from New Delhi.
"There are many things we could do if the EU did not return to his demands. We have the power of the economy. We not bleed as much as them, "the official said, adding that the Union's position would affect its economy and airlines
… …… The Indian government expects to receive formal approval from several departments before giving the order to its airlines not to participate in the program of the Union ……
… "The question is: are you (the Union) in bringing about a global trade war?", the official said ….. Beijing
…. The opposition to the European system of emission allowances has escalated last week with the cancellation of orders Airbus. ()
India does not provide for the time to reach such an end, but it does not exclude it either, the official said.
Amber Dubey, head of aviation at consulting firm KPMG, said that Indian industry was booming with a significant increase in the size of the civil and military fleets.
"The issue of EU ETS raises fears of trade war between the EU and the world. There is a chance that the government uses these big aircraft orders as a tool in its negotiations ", he told Reuters.
The European aircraft manufacturer Airbus, an EADS subsidiary, owns 73% of the Indian market of commercial aviation. He has in his notebook over 250 aircraft ordered by Indian companies, IndiGo, Go Air and Kingfisher.
Strengthening the European firewall is essential before the International Monetary Fund's resources are strengthened, ministers agreed the G20 finance summit meeting in Mexico City, said the final communiqué issued ; Sunday.
The central bankers of the world reflected this weekend in how to avoid a spreading crisis of European sovereign debt to all of the e ; global economy, calling into question an already fragile growth.
By combining existing resources and new financing, they intend to bring to nearly 2,000 billion the firewall surrounding the euro area.
Countries in the euro area have planned to meet in March to discuss this issue. Some countries, like China or Japan, have found that the decision by the euro area itself to raise more funds would be "essential" before they decide to turn to provide more funds to the IMF.
Germany and other European countries pleaded for this contribution is described as "important".
The British Finance Minister George Osborne has also been tough. "We are ready to consider a strengthening of IMF resources, but only once we have seen the color of money in the euro area, and we have not seen" , he told Sky TV.
At their next meeting in April, the G20 agreed to agree on a financial firewall around 2,000 billion dollars (1.487 billion euros) to prevent European debt crisis from spreading and threatening the global recovery.
GERMANY MORE FLEXIBLE?
This would be the most ambitious effort since the financial crisis of 2009, when the G20 has reached 1,000 billion dollars to save the global economy.
For many partners in the euro area, it is indeed the first European leaders to implement the necessary means to control the risks of contagion from the debt crisis, for example by combining lending capacity of its two mechanisms of financial stability, the European Financial Stability Fund (EFSF) and the European Financial Stability Mechanism (MES ).
This would bring their firepower combined with some 750 billion euros. G20 countries would then be more inclined to answer the call of the IMF, who wants more than double its capacity to respond by raising $ 600 billion of additional resources.
Added together, all these measures would create a global financial firewalls of about 1,950 billion.
A government official close to German Chancellor Angela Merkel, however, said Sunday that the MES already had adequate funds and that Berlin did not see the utility of a combination of SS and EFSF.
In Mexico, however, the negotiators at the G20 summit have suggested a different story, that of Germany more flexible.
"Everyone in the euro area and even in the European Union is reasonably satisfied to see a combination of SS and EFSF, even Germany, but it is too early to say that we will decide at the EU summit in early March, "said Margrethe Vestager, Minister of Finance of Denmark, which currently chairs the European Union.
Finance ministers of the euro area agreed by phone to abandon plans to meet Wednesday on the Greek case, announced the president of the Eurogroup Jean-Claude Juncker, adding that a further meeting would take place on February 20.
Jean-Claude Juncker originally called for a meeting of the Eurogroup in Brussels. He said he had changed his plans because he wanted to be assured of Greek political leaders that reforms would be implemented.
Antonis Samaras, the leader of the Greek conservative party New Democracy, has not provided support for writing new austerity measures negotiated with the "troika" of international creditors of Greece, said on Tuesday a source close to the talks.
"For now, Samaras has not submitted a letter of commitment, and this is a problem," the source told Reuters on condition of anonymity.
Government source, it was claimed in the evening it would be done on Wednesday morning.
George Papandreou, former prime minister and leader of the Socialist Party (PASOK), has meanwhile been given a signed undertaking by which he supports the measures adopted by the Greek parliament in Sunday night Monday.
Jean-Claude Juncker also discussed technical details remain to be clarified between Greece and the troika (EU, IMF and European Central Bank ).
JUNCKER WANTS OF WARRANTIES
Technical work is still needed in various fields between Greece and the Troika, in particular as regards the filling of the budget deficit of 325 million euros in 2012 and situation analysis of the debt, the statement of the Presidency of the Eurogroup.
"Moreover, I have not yet received the required assurances from the leaders of coalition parties on the Greek implementation of the program," added Jean-Claude Juncker.
"In this context, I decided to invite the ministers in a teleconference tomorrow to discuss outstanding issues and prepare for the regular meeting of the Eurogroup on Monday 20 February 2012 ".
After months of negotiations, the private creditors of Greece agreed to undergo a discount on the value of Greek bonds they hold in exchange new securities to maturity lengthened and a cash payment.
The release of new aid to Athens – from 130 billion euros – was submitted by the troika to the implementation of new austerity measures which the vote last weekend by Parliament provoked sometimes violent protests in Greece.
The text voted by 199 deputies out of 300, provides 3.3 billion savings through further cuts in wages and pensions and a wave of job cuts in the public public.
But 325 million are still missing and creditors of Athens require accurate accounts.
According to two authoritative sources, the government plans to reduce the defense budget of 125 million euros. The text adopted this Sunday already reduced budget of 300 million. For 200 million missing, Athens would consider accelerating the reduction of the payroll of the public.
EDF Group and Italian utilities A2A Thursday announced an extension until December 30 of the shareholders in Edison, the second electrical Italy, which the French group tries to take control through negotiation .
This new extension of a pact that came to an end Wednesday comes a month after an agreement on the principles of the reorganization of Edison, after several months of fruitless discussions that have long stumbled on valuation issues but also " patriotism "economy.
A2A, which leads the consortium of Italian shareholders engaged in discussions with EDF, had said Monday that the deadline for concluding the negotiations could be delayed until Christmas.
If final agreement on industrial restructuring and shareholder of Edison, EDF had its way by taking operational control of the Italian group, heavily indebted, with the stated objective to improve its performance but also to use it as basis for developing its gas business.
If the French electrician did not detail the agreement on Edison, A2A said last month that the new reorganization of the company would leave the core of Italian shareholders 31% stake in EDF and 50%.
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