Research In Motion's BlackBerry Storm2 smartphone
Stories Report on Business is following today :
Canadian dollar continues to climb
There's no keeping a good currency down. The Canadian dollar continues to climb this morning, touching 99 cents U.S., driven by strong economic data recently and higher commodity prices. Canada's fiscal position is also drawing investors to the currency as it is seen as among the strongest of its peers. "Wayne Gretzky would be proud," one economist said, citing Tuesday's strong reading of the manufacturing sector that suggests first-quarter growth could also be strong.
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Canadian dollar touches 99 cents
Manufacturing thrives despite soaring loonie
EU warns governments on debt
The European Union is warning several governments this morning that they could miss their debt targets. According to reports from Brussels, the EU told Germany, France, Spain, Italy and the Netherlands, the five biggest economies that use the euro, that their economic growth forecasts are optimistic, and their finances could be below expectations. And though Britain is not part of the currency union, the EU's executive arm also gave Gordon Brown's government advice on cutting its deficit. An EU report leaked to the Reuters news agency warned that Britain can't guarantee it will meet the 2014-15 deadline for cutting its deficit to the target 3 per cent of gross domestic product. The report is a problem for Prime Minister Brown, whose Labour Party trails the Conservatives in the runup to an election. Read the story
Bank of Japan eases
The Bank of Japan took a baby step today on easing monetary policy, and may yet knock heads with its government again. The Japanese government has been pressuring the central bank since its election, dealing with deflation and fearing the recovery could be snuffed out. The central bank today unveiled a minor measure, doubling the amount of money for three-month loans to commercial banks, and two members dissented. "The government is expected to continue pressuring the BOJ to take future measures," Takeshi Minami, the Norinchukin Research Institute's chief economist, told the news agency. "I don't think the government will be satisfied by the BOJ's measures." Read the story
World Bank warns China
The World Bank wants China to tighten monetary policy and allow its currency to appreciate as the threat of inflation rises. The World Bank today projected China's economy will expand by 9.5 per cent this year and 8.7 per cent in 2011. "We think that inflation risks remain modest, in large part because of the global context," the World Bank said. "Nonetheless, the macros stance needs to be noticeably tighter than in 2009 to manage inflation expectations and contain the risk of a property bubble."
Related: China unyielding on yuan
Toronto company proposes underwater power project
A Toronto company is behind an ambitious proposal for an almost 600-kilometre underwater power transmission venture, the New York Times reports today. The proposal by Transmission Developers Inc. would see power run from Canada under Lake Champlain and the Hudson River to New York City, then under Long Island Sound to Connecticut. While the company is just now seeking the permits it would need, the project rank among the longest underwater power projects in the world, the newspaper said. Such projects, the New York Times said, can ease environmental and political concerns. As one company executive involved in another venture put it, "the fish don't vote." Read the story
Investors eye RIM earnings
Research In Motion Ltd. reports quarterly results March 31, and, as always with the BlackBerry maker, there's a lot of buzz in the market. RIM frequently surprises. Here's what UBS Securities Canada said today: "We believe investor sentiment is already anticipating earnings and guidance strength which, in our opinion, will require more material upside surprise (quarter and/or guide above the high end) for further upward share price momentum. While we think management has executed well, enough August quarter uncertainty from the impact of a new potential iPhone in June and international seasonality … and, to a lesser extent, Palm's potential actions in the U.S. market keeps our rating at neutral."
Separately today, Reuters noted that Temasek, Singapore's sovereign wealth fund, recently bought RIM shares, along with stock in China's Shanda Interactive.
Related: Is RIM losing its competitive edge?
Jordan vies for Dead Sea cosmetics trade
The Dead Sea is known for many things, not the least of which are its minerals. For years, Agence France Presse reports today, companies have sold products such as moisturizing lotions using minerals from the salty body of water that are said to have therapeutic qualities. Israel has dominated the market for Dead Sea cosmetics, but the news agency says Jordan is trying to gain major ground. Ahava, a major Israeli company, sells in 30 countries, and single-handedly earns five times more than the 50 or so Jordanian companies in the industry put together. Jordan also has an advantage in that its shoreline is muddy, compared to the rocky areas in Israel. Indeed, since the two countries signed a peace pact in the mid-1990s, Israel has had to import some materials from Jordan. Legend, Agence France Presse reports, says Cleopatra built a spa on the Dead Sea and the Queen of Sheba was keen on its healing powers. The region also boasts a healthy tourist trade.
From today's Report on Business
Ottawa eyes timeliness of Toyota's auto recall