Portugal’s REN 5 years plans euro bond-IFR

The operator of the Portuguese electricity grid REN (Lisbon: RENE.LS – News), is the sale of a term of five years on euro obligations, IFR reported Wednesday.

The guideline was approved at the mid-swaps, another approximately 325 basis points, said IFR, Thomson Reuters (TRI.TO – News) for the publication.

Barclays (LSE: BARC – news) CaixaBI, Citigroup (NYSE: C – news) and Santander (Madrid: SAN.MC – News), to the cause, IFR said.

The head of the management of the company told Reuters that in the last week REN planned, a first international medium term notes at least 500 million euros ($ 634 million) in the near future.

REN rating is A + by Standard & Poor’s and A2 by Moody’s Investors Service.

Euribor 3 months success rate of 22 months with low

Euribor euro banknotes went to banks on Wednesday with the key of three months was transferred to another 22 months low. The three-month Euribor interest rates, which are traditionally seen as the most important guarantee for the bank to bank loan market, the euro fell to 3743 percent 3786 percent, the lowest rate since mid-January 2007. This corresponds to one week fell to 3038 per cent per cent in 3093, a never since the beginning of October 2006. The sentence of six months rose to 14 years summit in early October, is limited to 3787 percent 3828 percent, the lowest rate since mid-December 2006. European Central Bank, interest rates and lending rule changes have helped the bank to bank reduced the historic, but the differences between the official and the level of interbank lending still tight and the trading volumes are low tension on the money to refuse to go. The ECB is the interest rate for one week by the banks is currently 3.25 percent after two cuts by 50 basis points from October. He also has to scrap limits on the banks can borrow at the auction and the reduction of the quality of the collateral it accepts that it is better for banks to borrow cash municipality. EURIBOR will be updated daily by the Banking Federation of the European Union (FBE) shortly after 1000 GMT. Three months a reference rate for very short-term loans in Europe, and one week, shows the proportion of banks in a very short time the conditions for funding.

Serbia cbank acts as dinar hits record low of Serbia, the central bank intervened in the foreign exchange markets again on Wednesday as weakness in the dinar currency by 1 percent against the euro to hit a new era against the currency, dealers said.

“So far we have seen at least five cycles of intervention,” says one trader. “The result of their work was bad.”

Upon completion of psychological importance in the framework of the Euro to 90, on Tuesday, the dinar has its fall in the trade as 92351, Wednesday, before returning to win dinar against the euro.

“We have no exact figures on the intervention, but we believe that so far has been 30 to 50 million euros,” says another broker.

The currency in the Western Balkans heavily on exports to foreign countries, but with a large deficit, and by 22 percent since their peak in August.

Although the Governor of the Central Bank last week said he expects that the dinar strengthened in the future, some experts believe that the stability come around 100 dinars to the euro.

“In the period of political instability before the elections in May, the monetary policy was appropriate, the value of the dinar to imports,” said Vladimr Gligorov, an economist at the Institute for International Economic Relations of Vienna.

“Well, the dinar is 90 and it will be of 100, is the price he must pay to the past, the monetary policy.”

The Serbian central bank intervened regularly in recent months and provided 646 million euros since the beginning of October on Tuesday in an effort to ensure the currency and the maintenance of liquidity.

Euro zone retail basin, are in favor of ECB cut deep

Euro area decreased retail sales more than expected in October, where weak consumer demand in the economic recession and complete case for a deep rate cut by the central bank European Union on Thursday.

Detail in the 15 countries in the area were 0.8% the previous month and 2.1% from the previous year – the fifth annual decline, the European Union, the Office of Statistics, Eurostat said on Wednesday.

Economists polled by Reuters had expected 0.4% and a monthly decline of 1.4% per year decline.

“There is another argument, if another is necessary for the ECB to reduce aggression. We believe it is 75 basis points. We believe they are reasonable people,” said said Holger Schmieding, economist at Bank of America (NYSE: IKJ – news).

The markets expect the bank interest rates by 50 basis points Thursday for the third month in a row, to engage the economy. But many economists, an average decrease of 75 to 100 basis points would be more appropriate.

Retail is an index for domestic demand. Decline in private consumption was one reason for a narrowing of the euro area economy in the second and third quarter.

Economists have a responsibility for the weakening of the budget request of the high level of inflation at a record 4.0% in July. But now that inflation shows a decline, with oil prices, consumers are increasingly concerned about rising unemployment in the euro area and the growing insecurity.

Euro zone inflation slowed to 2.1% in November by 3.2% over the year in October compared with the European Central Bank target of just under 2%.

Euro area, but consumer confidence to be closer to 15-year low in November, data showed last week.

“Falling retail sales in October … strengthen doubts about the potential length and depth of the euro zone recession,” said Howard Archer, economist at IHS Global Insight.

“It’s late extra pressure on the ECB, interest rates higher. We believe it is an urgent need for the ECB to bar interest rate 100 basis points from 3.25% to 2 25% Thursday, “he said.

Serbia cbank intervenes dinars results record-low

Central Serbia intervened in the foreign exchange market on Wednesday to set new dinar as the currency lost 1% against the euro to a new historic success against the single currency, said the distributor.

“So far we have seen at least five rounds of intervention,” said one trader. “The result of the intervention was wrong.”

After breaking through the far-reaching psychological level by 90 euros, dinars on Tuesday to continue the exchanges are as low as 92,351 on Wednesday, before returning on a dinar against the euro.

“We have no precise figures on the intervention, but we appreciate most is between 30 and 50 million euros,” said another dealer.

The currency in the Balkans, the country is heavily dependent on foreign exports, but with a large trade deficit was as much as 22% since its peak in August.

Although the Governor of the Central Bank, he said last week expects the dinar to win the force, some experts predict stability at around 100 dinars to the euro.

“In times of political instability, there are elections in May, monetary policy was the value of the dinar for the financing,” said Vladimr Gligorov, an economist at the Institute for International Economic Studies in Vienna.

“Now is the dinar is 90 and it is 100, is the price for the past monetary policy.”

The Central Bank of Serbia has regularly in recent months and spent 646 million euros since the beginning of October to Tuesday in order to support the currency and maintain liquidity.

Gloomy data taken, interest rate view

A bleak outlook for the euro area economy truncated global stocks on Wednesday and helped send the 30-year euro zone government bonds at a historical level, as investors aggressively to lower interest rates Europe this week.

Wall Street in order to lower European stock markets, the United States for further action in the red.

The euro remained on the back foot, a day before the European Central Bank, the Bank of England and Sweden, the Riksbank is generally expected for the cost of borrowing.

Support expectations, economic reports on Wednesday showed the euro zone, the services of the economy has fallen deeper into recession in November, as originally planned, and mitigate inflationary pressures.

“This is an investigation into the House, which show that the euro area, the service sector is becoming increasingly difficult for the financial crisis, and cut consumption significantly lower in major export markets,” said Howard Archer, economist at IHS Global Insight.

Another report showed that retail sales in the region of slower than expected 0.8% in October in the previous month.

The FTSEurofirst 300 index of top shares were 0.6% in the UK FTSE 100 index by 0.1 percent and Germany, the DAX (Xetra: news) 1.0% eliminated.

MSCI World Equity Index help 0.2%.

Previously, the Japanese Nikkei (messages) to stretch a gain 1.8% after a rebound on Wall Street on Tuesday, MSCI and other Asian bourses, on only 0.4%.

The News-flow was negative in Asia, with Australia’s economy is growing at its slowest pace in eight years in the third quarter.

Thailand reduced price of 100 basis points and South Korea has taken steps to local banks in a cash crunch. See

Central banks around the world are cutting prices in the fight against recession. They are also other measures to stabilize financial markets and restore consumer and abused the trust of investors, including assistance to U.S. combat vehicle manufacturers.

The ECB takes Thursday and most economists expect a rate cut of 50 basis points, while the Bank of England, for a strategy of reduction of 100 basis points.

Banque centrale de Suède est la réduction drastique des prix par un 100 points de base, peut-être plus ou, jeudi, quand il annonce le résultat de la réunion, les qui, de près de deux semaines.

EURO AS ECB reduced pressure Eyed

Even under pressure, the euro was 0.5% against the dollar per day to $ 1.2643 and low against the yen while the dollar rose 0.5% against a basket of major currencies. The yen has also been fixed.

“The series of DOUR database has exceeded expectations, the ECB, the prices are higher than the consensus forecast of 50 basis points, which could lead to the adoption of the euro than the cut of his tender current, “said John Rivera, Currency Analyst at Forex Capital Markets Research in a note.

“The single currency in trade between $ 1.2400 and $ 1.3000 in late October and it may, aggressiveness, the central bank to decrease in aid.

U.S. and euro area bond yields higher were most often the day, which allows low early move, but the yields are the trends in demand for risk assets less fitted.

The 30-year euro zone government Yield 3319% early plumbed a low of Calyon, before returning to 3407%, while 10-year euro zone, a return of 3 years, the lowest, to 3004%, there is the board until 3101%.

The benchmark 10-year U.S. Treasury note yield 4 basis points to the day in 2746%, but about five to ten years of depression of 2.65% on Monday.

Oil steady near $ 47 a barrel after touching 3-1/2-Wochen-Tief of $ 46.82 on Tuesday, but remained precarious due to the risk that the data for the week later at the meeting helped show more signs of a weakening United States and demand for oil.

Gold slipped to $ 774 an ounce, to $ 781.50 late in New York on Tuesday of a farm dollar against the euro metal damaged the attractiveness of a currency as a hedge.

Strong Euro Drives Increases to Saving Money 

The strong euro and an increase of driving to save money, people are digging on the French Riviera and the Costa del Sol, in the year of spending their holidays at home.

Travel companies are increasing the demand for housing in scenic areas such as Devon and Cornwall, which in turn some good opportunities for investors.

Property prices are popular in many countries and second sale significantly higher than last year, rental income in these areas are attractive.

Knight Frank, the broker, for example, offers a range of schemes to net yield of about 5%. He said at the request of buyers has been strong in recent weeks.

“The interest in buying a second home, where money and the use of your own holiday shows incredibly attractive,” says Gail Streatfeild at Knight Frank in the West Country.

Customers can now measure, for a property in the second home market by 10-20 per cent less than a year ago. Lucian Cook, director of residence search Savills (LSE: SVS.L – News), said the market was taken by falling more than other sectors. While the price of larger properties outside London fell by an average of 16.6% last year, properties in Devon and Norfolk, where prices have risen on the backs of workers in the financial sector investments decreased by 18.9%.

During the last three months of 2008, the share of buyers of financial products and business services declined from 40% to 22%, said Cook. “The downside is that it is a real opportunity for the flow of customers in 2009, especially for research abroad, the cost of the basic spiral Sterling buyer”, he adds.

Cash buyers are inspired by the need for a safe place for their money, a better return than bank savings accounts.

The investors with a yield up to about 5% of the rental, with some of the best prices on the small box of chocolates “house near the beach or new luxury eco-development.

Streatfeild considers buyers in search of a good first performance, and expect value, which in recent years.

Knight Frank, said a buyer to pay the rent of his party are the same as in the proximity or price, circulation offplan investors about a year ago. Two rooms in his house in Green Acres development in south Cornwall is available on the market for nearly £ 260,000. The developer, Smith Travel offers a guaranteed minimum income of £ 16,000 rental per annum, a gross yield of about 6.4%. This does not include bills, taxes and services, but.

Another development of two and three bedroom cottages on the lake in Devon, offers a yield of 6% for two years, after deducting all costs.

Savills offers a development of eco-Cornish houses, 5% rate of annual yield of three years, when buyers commit to a five-years lease.

This location is of course not as robust as the company. But investors can expect a year. Holiday companies say bookings in the first weeks of this year are encouraging.

Farm & Cottage Holidays, self holiday in the west country, he confirmed bookings are already about 10 percent this year, while requests for brochures, for a quarter.

Rural Retreat, the quality of UK locations, expects to increase turnover inoffpeak months of this year, young professionals weekends in Britain rather than in Europe.

“We are seeing an increase among young people, the choice Yorkshire, Dorset, or places like the Cotswolds in Paris, for example, because the flights are less flexible and more expensive, and the exchange rate is low “, says Charles Millward, chief executive. He said bookings are the future of last year.

Rural Retreat is also a greater number of requests for people to invest in a second to property.

The group is to advise the buyers on what kind of property, they would be able to rent, and that customers for a holiday apartment.

Royal Bank of Scotland downturn on FTSE decrease

The British government unprecedented efforts to strengthen the financial sector on Monday, causing a reaction unprecedented.

UK banks take their lowest in at least two decades as investors were spooked by the government is moving in the provision of insurance on toxic assets. The accounting for more than two thirds of blue chips, shares, and was responsible for the FTSE 100 register their eighth decline in nine days.

Expectations that the Royal Bank of Scotland at the end under the total control of the State tumbling 66.6% to 11.6p, a record return.

The lender warned after the biggest loss ever a British company, and showed a flow of appeals is almost certain that the Government to lift their share of 58 percent to 70 percent.

RBS is an indicator of the way for other British banks as well, “said Sandy Chen, an analyst at Panmure Gordon.

At its first trading after the takeover of HBOS, Lloyds Bank group decreased by 33.9 percent 65p.

A Trading Statement Barclaysfailed to look forward to the nerves. The Bank has declared eligible for “advance” consensus expectations, but analysts were more interested in a more pronounced decline than expected equity.

Barclays first to most of the 25% Friday, falling, and vice versa, for a 10.2% on 88p.

“Government of capital are becoming more expensive over time and Barclays delay in capital costs, it is expensive,” said Alex Potter, Collins Stewart analyst.

The FTSE 100 closed 0.9%, losing 38.59 points to 4108.47. Banks have 57 points from the benchmark, the 7.3% for the year so far.

Functions outside the financial sector have been rare.

Orthopedics group Smith & Nephewrose 3.9% to 487 ¼ p on a “buy” Board of BNP Paribas, which states that the operation is over as evidence of a recession, investors believe.

Tate & Lyle 1.8% to 363 ¼ p is at the heart of a slowdown in its products to corporates, 45% of group profits.

Losses by top beverage prices and corn syrup for ethanol, the market is in a “quagmire” with profit margins “the thinnest,” said Credit Suisse. The broker has reduced the assessment to Tate to “neutral” to “under performance”.

National Express slightly from 0.1 percent to 420p talk, the tower, Jorge Cosme, its director and principal shareholder and may be the case for the dissolution of the group.

Lonmin fresh speculation helped push higher by 5.2 percent to 884p sentence in a small mining.

Each bid must be the participation of Xstrata, Lonmin of 24.9% of shareholders, the distance of a hostile takeover bid for platinum Bergmann, three months ago.

Xstrata closed down 2.6 percent to 722 p. ½ Meanwhile, Rio Tinto slipped 1.2% to £ 14.89 after steamed expectations, and as a merchant precaution of a story that Chinalco may increase its stake.

Intermediate Capital is one of the largest Mid-Cap-sum game, at 17.8% to 561p. Fearing a deterioration in leveraged loans led Merrill Lynch, for service providers of mezzanine finance their “buy” list.

“Our estimate of the facilities of the Mark-to-Market, the value of the book in November £ 460m to £ 206 today,” said Merrill.

The fear of the weakness of trade and capital increases in the publication of record low. Punch Taverns was 16.8% to 32 ½ p and Enterprise Inns lost 21.1% to 34 ½ p, while JD Wetherspoons unlimited percent to 5.9 per 274 since

Marston declined by 4.5% to 106p a demotion to “sell” at Goldman Sachs, forecast local group, and its dividend to focus on the debt is paid down.

“Tenants of the publication of profit declines now accelerating, with an increase in rent concessions in order to avoid leaving the tenant – we do not as a short-term phenomenon,” said Goldman. He was also concerned that the values of space tenants pubs are more than Distressed suppliers, their businesses on the market.