|Caribbean Markets||Index||Value||Change +-%||USD||EURO||GBP||CAD|
|Bahamas||BISX All Share Index||1,416.66||-0.06||0.00%||1.00||1.26||1.53||1.60|
|Barbados||BSE 1000 Index||1,094.82||-1,990.31||-64.51%||1.98||2.53||2.97||1.92|
|Jamaica||JSE Market Index||86,275.28||582.03||0.68%||98.47||8.14||148.02||94.17|
9:35 AM New York – The U.S. indexes traded lower after China lowered its growth outlook to an eight-year low and banks in the euro zone parked most of the recent new cash with the central bank. Investors are uncertain under what conditions credit default swaps on Greek bonds may trigger.
U.S. and global indexes edged lower after China lowered its economic growth target to an eight-year low for 2012. Traders await the outcome of the decision of private investors in the debt swap deal in Greece.
Investors will be focusing on the economic reports dues this week. Among the reports that are expected are the factory orders data, the consumer credit report and the revised fourth quarter non-farm productivity and costs statistics.
China lowered its GDP growth target to 7.5% in 2012, the lowest since 2004 from the previous target of 8% growth, according to Premier Wen Jiabao''s address at the annual meeting of the National People''s Congress in Beijing.
The inflation target is set at 4% for this year, unchanged from last year.
Investors are awaiting the outcome of Greek debt swap deal and it is far from clear how the credit default swaps are going to be treated because under the Greek laws any acceptance rate below 66% will trigger the collective action clause and under the UK law the trigger is set below 75% rate. Any acceptance rate below 66% is certain to trigger the bond default, the first in the euro zone.
The euro-zone private sector contracted in February, survey results from Markit Economics showed.
The final Composite Output Index fell to 49.3 in February, below the earlier flash estimate of 49.7 from 50.4 in January.
BP announced a $7.8 billion settlement agreement with individuals and companies affected by the Gulf of Mexico oil spill.
This proposed settlement is not expected to result in any increase in the $37.2 billion charge, including the $20 billion charge taken in respect of the Trust.
Prior to the proposed settlement, BP had spent more than $22 billion toward meeting its commitments in the Gulf. BP has paid out more than $8.1 billion to individuals, businesses and government entities. In addition, BP has spent approximately $14 billion on operational response.
AIG Commences Sale of AIA Shares
American International Group, Inc. commenced a sale of ordinary shares of AIA Group Limited by means of a placing to certain institutional investors.
AIG expects to use the net proceeds to reduce the balance due to the U.S. Department of the Treasury’s preferred equity interest in the special purpose vehicle through which AIG holds the AIA ordinary shares.
AIG was bailed out by the U.S. government during the 2008 financial crisis for $182 billion.
Superior Industries International Inc. (SUP), the company engaged in designing and manufacturing of aluminum road wheels said fourth quarter net sales rose 14% to $216.8 million compared to $191.0 million in 2010. Net profit in the quarter surged 80% to $40.2 million or $1.48 per share compared to net profit of $22.3 million or 82 cents per share the prior-year.
Net sales for 2011 advanced 14% to $822.2 million from $719.5 million in 2010. Net income for 2011 was $67.2 million or $2.46 per diluted share compared with net income of $51.6 million or $1.93 per diluted share, in 2010.
Walgreen Company (WAG), the operator of retail drug store and general merchandise said total sales for February rose 1.5% to $5.86 billion from $5.77 billion on comparable sales fall of 4.6%.