Category: News Desk

Raising Debt Ceiling Does Not Create New Deficits: Bernanke


Chairman of the Federal Reserve Ben Bernanke yesterday urged Congress to raise the nation’s borrowing limit to avoid a potential default on U.S. debt, warning that the economy is still at risk from political gridlock over the deficit.

Speaking at the University of Michigan, Bernanke likened Congress to a family arguing that it can improve its credit rating by not paying its bills and also pointed out that raising the country’s legal borrowing limit did not constitute an authorisation for new government spending.

UK Economy To Face Decade Of Austerity: CEBR Report


U.K. citizens are likely to face another ten years of austerity as the government struggles to bring down the national debt level, said a leading economics think-tank on Tuesday, calling it “almost impossible” for Britain to maintain its AAA credit rating status despite government pledges to the contrary.

UK Dismisses Call For Arctic Drilling Ban


The U.K. will not oppose any oil and gas drilling that are currently underway in the Arctic region, said a government report published on Tuesday, rejecting a parliamentary committee call last September to impose an immediate exploration ban – until more robust measures were put in place to address spill risks.

Qatar PM Renews Call For Arab Military Intervention In Syria


Qatari Prime Minister Sheikh Hamad bin Jassim al-Thani on Saturday repeated a call to fellow Gulf States for joint military intervention in Syria, insisting that diplomatic efforts should not be given more than one month to succeed, following 21 months of deadly unrest, which have claimed the lives of over 60,000 Syrians.

Key Economic News to Watch This Week: January 14


Corporate earnings will take the spotlight this week with major Wall Street banks reporting their earnings for the last quarter. Of the 27 S&P500 companies that have already posted earnings, 81 percent surpassed analysts’ estimates and 67 percent reported a profit increase, according to data compiled by Bloomberg.

Monday, January 14

EU Chief Denies Forcing Austerity On Countries


The European Union should not be blamed for the tough austerity policies adopted by its member nations, said European Commission President Jose Manuel Barroso on Thursday, describing the links between the EU and fiscal consolidation as a “myth”, while expressing sympathy for those who may have suffered under slower economic growth.

Japan PM Pins Blame On Chinese Government For Attacks On Japanese Businesses


Newly appointed Japanese Prime Minister Shinzo Abe on Friday criticised the Chinese government for their failure to protect Japanese businesses operating in their country, and placed full blame on China for any deterioration in their bilateral business ties, after violent anti-Japan rallies broke out over the Senkaku/Diaoyu territorial dispute.