Economy

• Thursday, June 9th 2011 - 19:24 UTC

  Brazil hikes basic rate to 12.25% and further increases can be expected

  

  Brazil's central bank increased late Wednesday its benchmark interest rate for the fourth straight meeting after consumer prices exceeded the upper limit of its target range for the first time since 2005.

• Thursday, June 9th 2011 - 19:18 UTC

  Euro central bank expected to increase interest rates next month

  

  The European Central Bank (ECB) has signalled that it will raise interest rates next month, from 1.25%. Earlier on Thursday, the ECB kept rates unchanged for the second month in a row, after increasing them in April for the first time in almost two years.

• Thursday, June 9th 2011 - 14:19 UTC

  Montevideo and Buenos Aires flights cancelled as ash cloud remains over the area

  

  Flights from Uruguay’s main international airport Carrasco and from Buenos Aires busiest air terminals have been cancelled Thursday until further notice because of the volcanic ash cloud which again is hovering over the River Plate as winds have changed.

• Thursday, June 9th 2011 - 05:42 UTC

  OPEC fails to reach agreement on production targets for the first time in 20 years

  

  Oil rose for a third day in New York after OPEC failed to reach an agreement on production targets for the first time in at least 20 years and U.S. crude inventories fell more than analysts forecast.

• Thursday, June 9th 2011 - 04:20 UTC

  FAO forecasts world food prices are likely to remain high in 2011 and 2012

  

  Citing dwindling stocks and only small production increases for the majority of crops, a new United Nations report released Wednesday world food prices are likely to remain high for the rest of this year and into 2012.

• Thursday, June 9th 2011 - 02:54 UTC

  Pressed by outraged farmers EU increases compensation for E.coli outbreak losses

  

  Pressed hard by outraged farmers, the European Union farm chief on Wednesday increased his offer of compensation for the E. coli outbreak to Euro210 million.

• Thursday, June 9th 2011 - 01:02 UTC

  Organized labour leader Moyano admits “inflation in Argentina is a problem”

  

  Argentina’s organized labour leader Hugo Moyano admitted Wednesday that “inflation in Argentina is a problem”. He also said that, despite the several criminal cases open against him, he is not afraid of going to jail.

• Thursday, June 9th 2011 - 00:54 UTC

  Bernanke argues strong demand for commodities is depressing US dollar value

  

  US Federal Reserve rejected criticism that its actions (‘accommodative monetary policy’) have pushed down the foreign exchange value of the US dollar and thereby boosted the price of commodities, adding that the Fed is “fully committed” to maintaining the dollar’s purchasing power and to keeping inflation in check.

• Thursday, June 9th 2011 - 00:47 UTC

  Fed New York calls for “fiscal house in order” without “derailing recovery”

  

  Federal Reserve Bank of New York President William C. Dudley said the US must reduce the federal budget deficit without derailing the economic recovery. “No issue is more important than a credible commitment for getting our fiscal house in order, but at a pace that does not forestall a sustained recovery” said Dudley this week addressing the Foreign Policy Association in New York.

• Wednesday, June 8th 2011 - 23:38 UTC

  Bernanke admits US recovery is “frustratingly slow”, but will gain speed in second half

  

  US Federal Reserve Chairman Ben Bernanke said the “frustratingly slow” US recovery warrants sustained monetary stimulus while predicting that growth will gain speed in the second half of the year.