International

• Monday, October 10th 2011 - 23:00 UTC

  China warns Washington of a ‘trade war’ if US Senate votes punishing the Yuan

  

  China reiterated that an expected vote this week in the US Senate on a bill intended to pressure Beijing to allow its currency to raise if made into law would result in a trade war and hurt US-China ties.

• Monday, October 10th 2011 - 22:40 UTC

  Markets react positively to Merkel/Sarkozy promise of Euro zone plan

  

  Stocks rose sharply in Europe and in the US on Monday as investor sentiment were buoyed by a renewed pledge by France and Germany to come up with a plan to tackle the Euro zone debt crisis by month's end. International pressure has been building for bold steps from Europe to avert a global economic backlash.

• Monday, October 10th 2011 - 22:37 UTC

  Two US macro-economy experts awarded Nobel Prize in economics

  

  US academics Thomas Sargent and Christopher Sims shared the 2011 Nobel Prize in economics for work that helps governments and central banks weigh up responses to crises -though it offers no immediate answer to current global problems.

• Monday, October 10th 2011 - 07:58 UTC

  Paris Club group lays out terms for Argentina to repay defaulted debt

  

  Members of the Paris Club group of creditors want Argentina to repay an estimated 9 billion dollars in defaulted debt within three years and to make a big initial payment, Buenos Aires newspaper La Nacion reported over the weekend.

• Monday, October 10th 2011 - 05:35 UTC

  Sarkozy/Merkel promise package to solve Euro crisis…for the end of October

  

  The leaders of Germany and France promised to unveil a new comprehensive package for solving the Euro zone's debt crisis by the end of the month, but offered no details and papered over differences on how to shore up European banks.

• Monday, October 10th 2011 - 05:13 UTC

  UK Defence minister admits ‘mistakes’; PM Cameron decides Monday

  

  British Defence Secretary Liam Fox has apologised over his working relationship with his former flatmate and best man Adam Werritty. Fox said it was “a mistake to allow distinctions to be blurred between my professional responsibilities and my personal loyalties to a friend”.

• Sunday, October 9th 2011 - 09:50 UTC

  With time running out Berlin/Paris summit to agree on Euro banks’ recapitalization

  

  European banks may need more than 100 billion Euros to withstand the sovereign debt crisis, Ireland estimated, ahead of a meeting between German Chancellor Angela Merkel and French President Nicolas Sarkozy to work out how to recapitalise the lenders.

• Sunday, October 9th 2011 - 07:23 UTC

  World Bank calls on Germany to take stronger political leadership in Euro crisis

  

  The World Bank has called on Germany to take a stronger political leadership role in Europe in order to end the Euro zone debt crisis.

• Saturday, October 8th 2011 - 08:20 UTC

  Chronicle of a foretold cut: Fitch downgrades Italy and Spain’s credit rating

  

  Fitch cut on Friday Italy's sovereign credit rating by one notch and Spain's by two, citing a worsening of the Euro zone debt crisis and a risk of fiscal slippage in both countries. Fitch cut Italy's rating to A+ from AA- and lowered Spain to AA- from AA+.

• Saturday, October 8th 2011 - 08:16 UTC

  Moody’s downgrades 12 UK finance firms on fears BoE will not rescue weak banks

  

  Moody's has downgraded the credit rating of 12 UK financial firms including Lloyds TSB, RBS, Nationwide and Santander UK. The ratings agency said it now believed the government was less likely to support firms that got into trouble.