ECONOMY & MARKETS

The yen fell broadly on Friday and high-yielders gained after comments by Federal Reserve Chairman Ben Bernanke cemented expectations of easier monetary policy, which may help the U.S. economy to avoid a recession.

Federal Reserve Chairman Ben Bernanke said on Thursday a resurgence in financial strains in recent weeks had dimmed the outlook for the U.S. economy, signaling an openness to lowering interest rates again. He said the Fed will have to remain exceptionally alert and flexible.

Hewlett-Packard Co. in the third quarter continued to expand its lead over rivals in the global PC market, while Taiwan based Acer saw the largest increase, displacing Dell as the world's No. 2 notebook maker.

Treasuries and three-month bill yields dropped to less than 3 percent amid great concerns over banks’ willingness to lend that led investors to relative safety of U.S. government debt.

Britain's FTSE 100 index remained steady on Thursday, with an increase in commodity stocks due to speculations for M&A and higher raw material prices.

The dollar rose against the euro on Thursday after Goldman Sachs analysts said the dollar’s drop may be at an end and a new report indicated weaker consumer confidence in France, one of Europe’s key economies.

Soft sales and plunging prices for new homes together with a surge in claims for new jobless benefits highlighted a slide in U.S. economic activity that forced the Bush administration on Thursday to scale back its estimate for growth in 2008.

India's largest real estate firm, in terms of market capitalisation, DLF Ltd, said it will hold equal stakes with Adrian Zecha, founder of luxury hotel chain, Aman Resorts, in the Singapore-based company in a transaction valued at $400 million.

Oil gave back nearly all of its big gains on Thursday after Enbridge Pipeline said its fire-damaged crude pipeline in Minnesota could resume normal operations within days.An explosion along the Canada-to-United States pipeline, which supplies more than 10 percent of U.S. crude imports, killed two workers and choked off crude flows Wednesday.

U.S. stocks were lower on Thursday, after fluctuating during the day, with a rise in energy sector stocks but disappointment in quarterly earnings at retailers.

Stocks fell on Thursday, surrendering some of Wednesday's large gains, as retailers stumbled after several disappointing quarterly earnings reports, including Sears Holdings Corp.

Global stocks rallied on Thursday after strong Wall Street gains in the previous session, as the prospect of Federal Reserve interest rate cuts boosted faith in the U.S. economy and encouraged investors to take on risk again.

The dollar rose broadly on Thursday as investors bet that the perceived likelihood of more U.S. interest rate cuts will help avoid a recession.

The dollar fell against the euro on Wednesday, after a Fed report that the U.S. economy is slowing down more, and signs from the central bank that a further cut in interest rates may be possible.

Stocks charged ahead on Wednesday as hopes for an interest cut by the Federal Reserve boosted financial services companies for a second day, while falling oil prices eased fears of higher energy costs. The surge put Wall Street on track for its biggest two-day advance in 4 1/2 years. Fed Vice Chairman Donald Kohn said renewed financial market turmoil could slow the economy more abruptly than previously thought.

US stocks surged on Wednesday as all three major indexes climbed more than 2 percent and Dow Jones industrials rose more than 200 points for the second consecutive day. The climb came after a Federal Reserve official hinted that it may lower interest rates.

Technology stocks rallied early Wednesday after the broader market gained and hopes for a Fed interest -rate cut sparked.

World stocks steadied while the dollar hit one-week highs on Wednesday as investors took heart from firmer U.S. stock futures and banking stocks, which calmed investor jitters about the impact of the credit woes on the financial sector.

Stocks rallied on Wednesday as financial shares extended their comeback for a second day, helped by remarks by a Federal Reserve official that raised hopes of an interest rate cut. Financials were leading the Dow and S&P following Fed Vice Chairman Donald Kohn's comments. The group has struggled under tight credit conditions.

Wells Fargo & Co, the second-largest U.S. mortgage lender, said on Tuesday it would take a $1.4 billion fourth-quarter charge largely related to losses on home equity loans as the nation's housing market deteriorates.

Two-year Treasury notes fell on Tuesday as Abu Dhabi’s $7.5 billion investment in Citigroup sent stocks higher, dropping demand for the bond as a hedge against inflation.

Chilean stocks fell in early afternoon trade on Tuesday, as Chile's giant private pension funds (AFPs - the Association for Financial Professionals) sold stocks, while the peso weakened against the dollar.

The U.S. dollar was higher against the euro, the yen and the Swiss franc on Tuesday following news that Citigroup Inc. will sell a $7.5 million stake to Abu Dhabi Investment Authority.

The Nasdaq Composite Index rose $36.16, or 1.4 percent to 25775.15, while the Philadelphia Semiconductor Index rose 2 percent, or $8.01 to $410.38 by mid-day.

U.S. stocks rebounded during Tuesday mid-day trading following news that Abu Dhabi Investment Authority's would invest $7.5 billion in Citigroup Inc, raising investor confidence in the bank.

The Bombay Stock Exchange (BSE) benchmark 30-share sensitivity index, the Sensex, began the new week on a positive note ending up strongly 395 points at 19,248.

GlaxoSmithKline Plc Monday reached an agreement with Merck for the acquisition of marketing rights for Mecavor in the United States.

Crude oil declined for a second day in New York as sliding U.S. equity markets heightened speculation OPEC (Organization of the Petroleum Exporting Countries) will increase output to cap prices and reinforce global demand.

Funds rose, driving 10-year note incomes to the lowest level since March 2004, as concern that subprime losses continue to extend a decrease in stocks and increased the request of fixed-income assets.