| Platinum sets lifetime high on SA output woes
Platinum prices hit a record high for the ninth straight trading day on Tuesday as concerns deepened over output losses in top producer South Africa due to a power crisis, analysts said. The rally, which has sent prices up 30 percent in just three weeks, gained pace after Anglo Platinum, the world's biggest producer, said on Monday the power problem alone would cut output by as much as 120 000 ounces in 2008. It had already cost 30 000 ounces in lost output this year. Platinum rose to a high of $1 965 an ounce before falling to $1 940/1 950 by 1304 GMT, against $1 933/1 941 in New York late on Monday. The market nervously awaited financial results of Northam Platinum on Tuesday and Impala Platinum, the world's second-biggest producer of the metal, on Thursday for more cues on production losses.
Bernanke: Business growth is set to slow
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BHP ups takeover bid for Rio Tinto to $147bn
BHP Billiton increased its bid for Rio Tinto last night but failed to offer more than what Chinalco, China's state-owned aluminum giant, paid in a dramatic share swoop on the company last week. Marius Kloppers, head of BHP, yesterday formalised what would be one of the world's largest ever takeovers by offering 3.4 BHP shares for each Rio share, or about $147bn (£75bn) – up from the three-to-one ratio that it first offered for its smaller rival in November. The bid is conditional on receiving approval from 50 per cent plus one of Rio's investors. Mr Kloppers said that the fate of his bid to forge the world's first mining super-major was now in the hands of Rio's shareholders after he was repeatedly spurned by the Rio board. "The way we look at it, we were proactive in unlocking value for Rio shareholders, and they will now be asking why the Rio board is not allowing them to realise this substantial uplift." Rio noted the offer, but chairman Paul Skinner urged shareholders to "take no action".
Hot Stove: Wilkerson to Seattle
Apparently, the Mariners grew tired of waiting. Only days after the team was rumored to sign Brad Wilkerson contingent on them trading right fielder Adam Jones to the Orioles in the Erik Bedard deal, they decided to proceed regardless. Wilkerson hopped aboard, Jones or not, for a one-year, $3 million contract. Whether this means there's hope the Bedard deal will be concluded in the next several days is unclear, but consider Wilkerson's addition a promising sign. Even if talks fall through, though, and Jones remains in Seattle, Wilkerson can provide adequate insurance against the team's somewhat questionable alternatives at designated hitter and/or first base. .
The Robert Rubin and Ben Bernanke Death Embrace
Robert Rubin: Dr. Chairman, it's your old friend Bob over at Citi. Bernanke: Oh Bob, what a pleasure. It's nice to hear from you again. What can I do for you? Rubin: Well Ben, we've got some problems over here. Now I trust you will be discrete on this. We can't let this get out in the market. I think we're insolvent. Bernanke: What? Rubin: See we have about $65 billion in capital, but we have $55 billion in Super Senior CDOs, and no one will buy them from us. Bernanke: No one? Rubin: We can't sell them for $1. I'm now being told that if no one wants to buy pieces of paper from you, it turns out they are worthless. Believe me. I'm as shocked as you are. Bernanke: But don't you have a lot of cash flow? That's what I've been hearing on CNBC.
CME’s Nymex bid set to trigger battles
The CME Group's $11.3bn bid for energy exchange Nymex is facing opposition from within the derivatives industry over concerns that it will create a dominant exchange with excessive pricing power. The CME could also be on a collision course with some members of Nymex who hold trading rights and feel that the CME's proposal to buy them out for $500m understates the long-term value of the benefits associated with those rights. At least one hedge fund is thought to be looking at the option of threatening to sue the Nymex over the terms of the proposed deal. .
Indian share prices close up 0.34pc
STOCK ON THE MOVE: Shaw Wallace & Co Ltd rose 1.05% to Rs 409.60 after its board approved merging the liquor firm with United Spirits Ltd, another company in the UB Group. United will allot four shares for every 17 Shaw Wallace shares
MUMBAI: Indian share prices closed up 0.34% on Thursday, trimming gains after regional markets surged on a powerful Wall Street rally overnight, dealers said. They said banking, power and property stocks rose as the market snapped two days of losses. The benchmark 30-share Sensex index closed up 64.39 points or 0.34% at 19,003.26, slipping sharply from the days peak of 19,297.01. Dealers said investors unwound positions at the expiry of the monthly futures trading contract on Thursday. Wall Streets rebound on hopes that the US Federal Reserve would cut rates again boosted Indian shares in early morning trade.
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