Economy

• Saturday, December 12th 2009 - 09:21 UTC

  Drastic budget cuts anticipated for UK Ministry of Defence

  

  The British Ministry of Defence is facing hundreds of millions of pounds in cuts - including the closure of at least one RAF base - as it struggles to balance its books, it was reported.

• Friday, December 11th 2009 - 14:14 UTC

  Brazil and Argentina try again to reach an agreement on bilateral trade

  

  Brazil and Argentina are currently discussing the possibility of reducing the number of products subject to the so called non automatic import licences which has been obstructing bilateral trade and causing a rift between Mercosur’s largest partners.

• Friday, December 11th 2009 - 14:04 UTC

  Brazilian GDP growth in thirs quarter is less that expected: 1.3%

  

  The Brazilian economy expanded 1.3% in the third quarter of 2009 compared to the previous quarter according to the official release on Thursday from the country’s statistics office, IBGE.

• Friday, December 11th 2009 - 13:52 UTC

  Argentina clears the way for outstanding debt swap and new bonds issue

  

  In the latest step to finish with outstanding debt problems and return to markets, the Argentine government officially allowed issues of new bonds to be swapped for defaulted government paper.

• Friday, December 11th 2009 - 07:54 UTC

  S&P downgrades Spain’s credit outlook to negative from stable

  

  Spain has had its credit outlook cut to negative from stable by the ratings agency Standard & Poor's. The agency said Spain faced a deeper deterioration in public finances and a longer period of economic weakness than it had previously expected.

• Friday, December 11th 2009 - 07:51 UTC

  US extends bail-out fund until October next year “to assist American families”

  

  US Treasury Secretary Timothy Geithner has announced that the 700 billion US dollars financial bail-out fund will be extended until October next year.

• Friday, December 11th 2009 - 07:47 UTC

  Bank of England leaves rates and QE program unchanged

  

  The Bank of England has held UK interest rates at the record low of 0.5% in a widely-expected move. It also announced no changes to its program of pumping newly-created money into the economy - so-called quantitative easing (QE).

• Friday, December 11th 2009 - 07:44 UTC

  UK Chancellor warned about spending cuts and budget deficit targets

  

  United Kingdom Chancellor Alistair Darling was warned he must find £36 billion in new spending cuts if the British Government is to meet its commitment to halve the budget deficit over the next four years.

• Friday, December 11th 2009 - 07:42 UTC

  Weak dollar helps US October exports rise 2.6%, highest level in almost a year

  

  The United States trade deficit unexpectedly narrowed in October as exports rose to their highest level in almost a year, official figures have shown. The deficit fell to 32.9 billion US dollars, 7.6% lower than September's downwardly revised 35.7 billion

• Thursday, December 10th 2009 - 13:24 UTC

  Idle capacity and low inflation allow Brazil to keep basic rate unchanged

  

  Brazil’s central bank kept the benchmark Selic interest rate at a record low for the third straight meeting as inflation remains below target. The bank’s eight-member board, led by President Henrique Meirelles, voted unanimously on Wednesday to keep the overnight rate at 8.75%.