Bestinver's Parames, Pitching Advice to Warren Buffett, Sours on Spain

(Bloomberg) -- Francisco Parames, Spain's best-
performing fund manager for the last five years, got a hand-
written note from Warren Buffett a few months ago seeking advice
on investing in Spain. He was thrilled to be asked, even though
he isn't enthusiastic about the country's economy.

Parames, who oversees 6 billion euros ($8 billion) at
Madrid-based Bestinver Asset Management, predicts a real-estate
crash in his homeland will spread, dragging down companies
dependent on the Spanish economy. Lending by banks and other
credit institutions has almost tripled since 2000.


Read more at Bloomberg Exclusive News

Japanese Stocks Rise; Nikkei Closes Above 18,000 for First Time Since Feb.

(Bloomberg) -- Japanese stocks rose, with the Nikkei
225 Stock Average closing above 18,000 for the first time since
February. Automakers such as Toyota Motor Corp. led gains as
concern eased a slowdown in the U.S. economy will drag on the
companies' profit growth.

Energy producers advanced after the price of crude oil
climbed above $66 a barrel in New York.


Read more at Bloomberg Stocks News

Ryanair, RBS, Kelda, Carphone Warehouse, E2V: U.K., Irish Equity Preview

(Bloomberg) -- The following stocks may rise or fall
in U.K. and Irish markets today. Stock symbols are in parentheses
and prices are from yesterday's market close.

The benchmark FTSE 100 Index fell 12.6, or 0.2 percent, to
close at 6664.1 in London as 24 stocks rose, 74 fell and 4 were
unchanged. The FTSE All-Share Index lost 7.84, or 0.2 percent, to
3458.68.


Read more at Bloomberg Stocks News

Chicago Soybeans Gain as Palm Oil Climbs to Record; Wheat, Corn Advance

(Bloomberg) -- Chicago soybean futures rallied on
speculation demand for the oilseed may rise for vegetable oil,
feed and biofuel after palm oil prices rose to a record. Wheat
gained on a decline in U.S. crop condition. Corn increased.

Palm oil futures in Malaysia jumped to a record on concern
that supplies in Southeast Asian producing countries may not be
enough to meet rising demand at home and abroad. Prices have
almost doubled in the past year on surging demand from China and
India, the world's biggest buyers of vegetable oils.


Read more at Bloomberg Commodities News

European Government Bonds May Fall on Expectation ECB to Keep Raising Rate

(Bloomberg) -- European government bonds may decline
on speculation the European Central Bank will this week signal it
is willing to raise interest rates further.

Benchmark two-year notes last month fell by the most since
March 2006, sending yields to six-year highs, on concern the ECB
needs to do more to keep inflation from quickening as growth in
the euro region economy proves to be faster than expected. A
report today may show expansion in European service industries
picked up in May, adding to the case for higher rates.


Read more at Bloomberg Bonds News

Platinum Drops in Asia Trade Amid Speculation Price Gains May be Overdone

(Bloomberg) -- Platinum futures fell in Tokyo for a
first day in five as some traders said more news, including any
developments in labor talks in South Africa, would be needed to
push the metal higher.

South Africa's National Union of Mineworkers rejected an
initial wage offer from Anglo Platinum Ltd., analyst James Steel
of HSBC Securities (USA) Inc. said in a report dated May 31,
raising concern about possible supply disruptions. The news
helped push platinum futures up by 2 percent, or 100 yen, the
Tokyo Commodity Exchange limit on June 1.


Read more at Bloomberg Commodities News

Copper Rises in Asia as Global Stockpiles Decline; Zinc, Aluminum Higher

(Bloomberg) -- Copper prices rose in Asia as global
stockpiles fell the most in seven months, signaling consumption
may be stronger than expected during the northern hemisphere
summer, traditionally a weak demand period due to holidays.

Inventories of copper tracked by the London Metal Exchange
fell 2.8 percent to 123,900 metric tons, the LME said yesterday
in a daily report. That's the largest one-day drop since Oct. 17.
Stockpiles are at the lowest since Oct. 24. Inventories in China
dropped for a second-straight week, the Shanghai Futures Exchange
said on June 1.


Read more at Bloomberg Commodities News

Air India-Indian Airlines Combination May Hold IPO in 2009 to Fund Fleet

(Bloomberg) -- Air India, the new airline to be
formed by the merger of the country's two state-run carriers,
may hold an initial public offering in 2009 to help fund fleet
expansion plans.

The integration of the Air India Ltd. and Indian Airlines
Ltd. into a single airline, which will start operations from
July, may take between 18 months and 24 months, V. Thulasidas,
who has been named the chairman and managing director of the
combined airline, said today. Air India is the nation's biggest
overseas carrier. Indian Airlines mostly flies domestic routes.


Read more at Bloomberg Emerging Markets News

Taiwan Power Receives Approval to Invest $1.7 Billion to Upgrade Network

(Bloomberg) -- State-owned Taiwan Power Co., the
island's biggest electricity producer, won approval to invest
NT$56.8 billion ($1.7 billion) between 2008 and 2011 to improve
its transmission and distribution network to cope with Taiwan's
economic development.

The Cabinet's Council for Economic Planning and Development,
Taiwan's top economic planner, approved the investment yesterday.
The plan is intended to improve the quality and reliability of
power supply and create a better investment environment, the
council said in an e-mailed statement late yesterday.


Read more at Bloomberg Energy News

U.S. Treasuries May Fall as Traders Reduce Bets on Fed Interest-Rate Cut

(Bloomberg) -- U.S. Treasuries may drop, pushing
yields to near the highest since August, as investors reduce
bets the Federal Reserve will cut interest rates this year.

Traders have lowered the odds of a quarter-percentage-point
cut in the Fed's benchmark lending rate by year-end to 28
percent from 31 percent a week ago, helping push bond yields
higher. Merrill Lynch & Co. yesterday said it expects the Fed to
keep rates on hold for the rest of the year, dropping its
earlier forecast of three rate reductions.


Read more at Bloomberg Bonds News

Brilliant, CapitaCommercial, Sunlight, Suntec: Singapore's Equity Preview

(Bloomberg) -- The following shares may rise or fall
in Singapore. Stock symbols are in brackets and prices are from
the previous market close.

The Straits Times Index advanced 0.9 percent to 3579.35. The
June futures contract gained 0.8 percent to 442.4.


Read more at Bloomberg Stocks News

Japanese Shares Advance After Oil, Copper Prices Gain; Nippon Mining Rises

(Bloomberg) -- Japanese stocks gained, paced by
commodity-related shares, after the price of crude oil jumped
above $66 a barrel and copper climbed to the highest in almost
three weeks.

Nippon Mining Holdings Inc., Japan's biggest copper
producer which also provides oil refining, jumped 2.3 percent
and Mitsui & Co., which trades industrial fuel and metals,
advanced 1.4 percent.


Read more at Bloomberg Stocks News

Asian Stocks Rise in U.S. Trading, Led by Cnooc, Santos; Tata Motors Drops

(Bloomberg) -- Asian stocks gained in U.S. trading as
oil rose above $66 a barrel, lifting Cnooc Ltd. and other energy
shares.

The Bank of New York Co.'s Asia ADR Index, tracking the
region's American depositary receipts, climbed for a sixth day,
adding 0.1 percent to 166.50.


Read more at Bloomberg Stocks News

Former Canadian PM to join Blackstone board

(Reuters) - William Parrett, who was chief executive of accounting firm
Deloitte Touche Tohmatsu until last week, will join Blackstone
later in the year, the company said.




All three of the new directors are expected to join
Blackstone's audit committee, which the company plans to
establish before its initial public offering.


Read more at Reuters.com Government Filings News

US group pushes for shareholders to disclose more

(Reuters) - "The amount of disclosures investors are being asked to put
out is microscopic," said Mark Hynes, a member of the
Disclosure Advisory Board, and managing director of investor
relations services at PR Newswire. "There's been enormous
pressure for companies to reveal absolutely everything ... It's
gotten a little bit out of balance."




The group, called The Disclosure Advisory Board, argues in
a white paper posted on Monday that shareholders who trade
large blocks of securities should be required to disclose more
about their activities earlier.


Read more at Reuters.com Government Filings News

UPDATE 1-Countrywide sells $2.5 bln of five-year notes

(Reuters) - The sale included $2 billion of 5.80 percent five-year
fixed-rate notes, due June 7, 2012, priced at 99.807 to yield
0.94 percentage point more than U.S. Treasuries.




The second tranche was $500 million of five-year
floating-rate notes, due May 7, 2012, with a coupon rate of
0.44 percentage point more than the three-month London
interbank offered rate.


Read more at Reuters.com Bonds News

Amgen to acquire Ilypsa for $420 million cash

(Reuters) - Santa Clara, California-based Ilypsa's lead experimental
drug candidate is ILY101, which is designed to treat
hyperphosphatemia in chronic kidney disease in patients on
hemodialysis.




Read more at Reuters.com Mergers News

U.S. Stocks Rise, Led by Energy Producers; Wal-Mart Stores, XTO Advance

(Bloomberg) -- America's equity benchmarks climbed
to records again on analyst upgrades of Wal-Mart Stores Inc. and
a rise in oil prices that buoyed energy shares.

Wal-Mart, the world's largest retailer, led the Standard &
Poor's 500 Index to its fourth consecutive peak and the Dow
Jones Industrial Average to its 27th this year after four
brokerages recommended the company because of its planned $15
billion share-buyback plan. Oil and gas companies climbed to a
high after the price of crude surged above $66 a barrel on
concern supplies from Nigeria may be disrupted.


Read more at Bloomberg Stocks News

Two ex-Putnam managers settle SEC trading charges

(Reuters) - Attorneys for Scott and Kamshad could not immediately be reached for comment.




The SEC said the former managers violated their responsibilities to other fund shareholders by engaging in short-term trades that were made in their Putnam-administered deferred compensation and retirement accounts.


Read more at Reuters.com Business News

Corn, Soybean Futures Decline as Midwest Rains Boost U.S. Crop Progress

(Bloomberg) -- Corn and soybeans fell in Chicago as
weekend rains in the Midwest and a forecast of more precipitation
eased concerns that newly planted crops may be damaged by dry
soil in the U.S., the world's largest producer.

Most fields got at least 0.5 inch (1.3 centimeters) of rain
in the past three days, with a few areas receiving as much as
2 inches, said John Dee, president of Global Weather Monitoring
in Mohawk, Michigan. The next chance for 1-inch rains is June 6,
with a second storm forecast beginning June 11, Dee said.


Read more at Bloomberg Commodities News

Ex-Enron executive sentenced to 2 years in prison

(Reuters) - Hannon, who was COO of Enron Broadband Services from
January 2000 to June 2001, pleaded guilty in August 2004 to one
count of conspiracy to commit wire and securities fraud and
agreed to cooperate with prosecutors at the bankrupt company.




The former Internet executive, who testified for the
prosecution at the criminal trial of his former bosses Kenneth
Lay and Jeffrey Skilling in March 2006, had faced up to five
years in prison.


Read more at Reuters.com Bonds News

S&P raises Paraguay sovereign rating to B from B-

(Reuters) - The presidential election will take place next year.




Read more at Reuters.com Bonds News

TEXT-Fitch release on U.S. RMBS servicers

(Reuters) - A recent survey conducted by Fitch indicated that subprime servicers have
historically used payment plans to resolve defaults in approximately 50% to 75%
of the cases.




However, the survey showed that the effectiveness of repayment and
forbearance plans is decreasing. In addition, payment plans are not expected to
work for some borrowers facing ARM resets, because they will not be able to
afford the new monthly payment. Conversely, short sales and deeds-in-lieu
are being used more
frequently.


Read more at Reuters.com Bonds News

UPDATE 1-US violent crime up again, more murders, robberies

(Reuters) - WASHINGTON, June 4 - More murders and robberies
in 2006 sent U.S. violent crimes higher for the second straight
year, the FBI said on Monday, with the increase blamed on
gangs, youth violence, gun crimes and fewer police on beats.




The FBI reported that the number of violent crimes
nationwide went up by 1.3 percent last year, following a 2.3
percent increase in 2005. That had been the first rise in four
years and the biggest percentage gain in 15 years.


Read more at Reuters.com Bonds News

Chicago Fed survey - US GDP to bounce back in 2008

(Reuters) - Inflation should fall slightly this year and further in
2008 even as the labor market stays tight.




The forecasts came from 26 participants from manufacturing,
banking, consulting and services firms, as well as academics,
who attended the Chicago Fed's Automotive Outlook Symposium in
Detroit on June 1.


Read more at Reuters.com Bonds News

Cattle Futures Fall to Four-Month Low on Excess Inventories; Hogs Decline

(Bloomberg) -- Cattle futures touched the lowest in
four months in Chicago as meatpacking plants dropped prices to
encourage retailers to buy excess inventories. Hogs also fell.

The wholesale carcass price for cattle on June 1 fell to
the lowest since April 4, according to data from the U.S.
Department of Agriculture. Slaughterers sold 19.6 million pounds
of beef on May 31, the most in 10 months, according to data from
the USDA. Meatpacking plants normally sell beef at a discount
instead of paying to store it.


Read more at Bloomberg Commodities News

Rand weaker, eyes equity markets

(Reuters) - South Africa's rand weakened versus the dollar on Monday as a slight bout of emerging market nerves hit investors and traders said the local unit would take cue from international stocks in overnight trade.

The rand was trading at 7.1285 versus the dollar at 1450 GMT, off its worst level of 7.1550 in the session. It was about 0.5 percent weaker than its last New York close of 7.09.


Read more at Reuters Africa

Swiss Index Declines From Record; Roche Holding, Synthes Lead the Slide

(Bloomberg) -- Swiss stocks fell, bringing the
country's key index down from its June 1 record high. Roche
Holding AG slid after the world's biggest maker of cancer
medicines published a study that may prompt some doctors to
prescribe lower doses of a tumor treatment. Synthes Inc. also
declined.

Clariant AG increased after Cash Daily said German rival
Lanxess AG may seek to acquire the chemical maker.


Read more at Bloomberg Stocks News

USFE to launch credit futures on Fannie, Freddie

(Reuters) - "Agency credit default swap futures are a rare example of a
product that is relevant to both credit and interest rate
traders," Boberski said.




As mortgage finance companies Fannie Mae and Freddie Mac's
portfolios are very sensitive to interest rate change.


Read more at Reuters.com Bonds News

UPDATE 1-Puerto Rico's Doral gets unsolicited takeover bid

(Reuters) - FBOP, an Oak Park, Illinois-based banking company that said
it has more than $14 billion of assets, offered to take an 80
percent stake by acquiring $610 million of common stock at
$1.41 per share. Existing shareholders would keep the other 20
percent. FBOP said it will also offer a $150 million credit
line.




On May 17, Doral said it agreed to sell a 90 percent stake
to a group led by Bear Stearns Merchant Banking, which would
buy $610 million of stock at 63 cents per share. That
transaction was intended to help Doral repay debt that matures
on July 20 and avert a possible bankruptcy.


Read more at Reuters.com Bonds News

April factory orders rise 0.3 percent

(Reuters) - Analysts polled by Reuters were expecting factory orders to rise 0.7 percent. March orders were revised up to show a 4.1 percent gain from the previously reported 3.1 percent.




"It's a smaller-than-expected increase, but it doesn't change the improvement in the manufacturing picture this spring," said Stuart Hoffman, chief economist at PNC Financial Services in Pittsburgh.


Read more at Reuters.com Economic News

Brazil Stock Market Surpasses $1 Trillion as Metals Rally Drives Profit

(Bloomberg) -- Brazil's stock market became the first
in Latin America to top $1 trillion after a record surge in
metals prices drove a doubling of corporate profits and a rising
currency boosted stock values.

Brazil's Bovespa Stock Index rallied 45 percent in the past
year and more than quadrupled since 2002, helped by record-low
interest rates and shares that cost a quarter as much relative to
earnings as the average this decade.


Read more at Bloomberg Stocks News

UPDATE 1-Noble says probing Nigerian operations

(Reuters) - The company said its Nigerian affiliate reimbursed customs
agents for some expenses incurred while it was trying to get
and renew the permits. It said the payments could violate the
U.S. Foreign Corrupt Practices Act -- an anti-bribery law --
or Nigerian law.




Noble said it voluntarily notified the U.S. Securities and
Exchange Commission and the U.S. Department of Justice about
its investigation. The company does not know whether either
agency will open its own probe on the matter, but said it
intends to cooperate fully with both agencies.


Read more at Reuters.com Government Filings News

Avaya, Dendreon, Digene, Flextronics, Solectron: U.S. Equity Movers

(Bloomberg) -- The following is a list of companies
whose shares are having unusual price changes in U.S. exchanges
today. Stock symbols are in parentheses after company names.
Share prices are as of 9:30 a.m. New York time.

Avaya Inc. (AV US) rose 42 cents, or 2.6 percent, to $16.50
and traded as high as $16.60. The New York Times reported that
the computer networking company agreed to be bought by Silver
Lake Partners and TPG Inc. for $8 billion. Shareholders will get
about $17 a share in the deal, which may be announced as early as
today, the Times said, citing unidentified people familiar with
the transaction. That's 5.7 percent more than the stock's closing
price on June 1.


Read more at Bloomberg Stocks News

EU mergers and takeovers (June 4)

(Reuters) - APPROVALS AND WITHDRAWALS:




-- Belgian holding companies CNP


Read more at Reuters.com Government Filings News

Canadian Stocks May Drop With European, U.S. Shares After China's Plunge

(Bloomberg) -- Canadian stocks may decline after
China's benchmark stock index plunged on concerns the government
won't try to stop a fall that's erased more than $350 billion of
market value in four days.

``I see mostly negatives at the moment,'' said Fred Ketchen,
director of equity trading at Scotia McLeod Inc. in Toronto.
``Given the declines we've seen in Europe and the U.S. market, I
don't know why we would buck the trend.''


Read more at Bloomberg Stocks News

Dominion to sell gas assets for $6.5 billion

(Reuters) - The sale of these properties, which include 3.51 trillion cubic feet equivalent of proved natural gas and oil reserve as of December 31, is expected to close in August.




The remaining properties earmarked last year for sale, largely in Oklahoma, will be marketed in a new process that will begin in July, Dominion said.


Read more at Reuters.com Business News

Greece Leads Decline in Western Europe; National Bank Paces the Retreat

(Bloomberg) -- Greek stocks dropped for the first
time in three days, led by National Bank of Greece SA, the
country's largest lender.

The benchmark ASE Index lost 34.79, or 0.7 percent, to
4938.42 at 1:48 a.m. in Athens, as 39 stocks declined, 17
increased and four were unchanged. The FTSE/ASE 20 Index of the
country's largest companies fell 0.8 percent to 2644.05. The
Cypriot General Index decreased 0.5 percent to 4682.24.


Read more at Bloomberg Stocks News

Gold and Silver Spot Prices Rebound in London, Erasing Earlier Declines

(Bloomberg) -- Gold and silver rebounded, erasing
earlier declines in London.

Gold for immediate delivery rose 25 cents to $672 an ounce
as of 12:54 p.m. local time, after falling as much as $3. Silver
gained 7.5 cents to $13.78 an ounce. The metal had dropped as
much as 7 cents.


Read more at Bloomberg Commodities News

Gazprom May Thwart Putin Drive for Russian Dominance in Gas, Oil Output

(Bloomberg) -- Four corporate heavyweights are arrayed
before Russian President Vladimir Putin in his Kremlin office. Sitting
across a white oval table from Putin are Shoei Utsuda and Yorihiko
Kojima, chief executive officers of Japan's largest trading companies,
Mitsui & Co. and Mitsubishi Corp.; Jeroen van der Veer, head of Royal
Dutch Shell Plc, Europe's biggest oil producer; and Putin's old
friend, OAO Gazprom CEO Alexei Miller. The purpose of the Dec. 21,
2006, confab: to seal a deal made earlier that day in which
Gazprom, the giant state-run gas company, will take control of
Sakhalin-2, a $22 billion oil and gas project on Sakhalin Island in
the Russian Far East.

Van der Veer and the Japanese executives make a show of
endorsing Gazprom's participation in Sakhalin-2, until now the
biggest totally foreign-owned energy venture in Russia. ``Thank you
very much for your support on this historic day,'' van der Veer
says to Putin in remarks captured on camera and posted on the
Kremlin's Web site. ``Gazprom is very welcome as a partner in our
project.''


Read more at Bloomberg Exclusive News

Viacom sells Russia MTV, VH1 channels

(Reuters) - MTV said it would continue to grant an exclusive license for MTV and VH1 programs and related Web sites in Russia.




Read more at Reuters.com Mergers News

Emerging markets better prepared for crisis: Moody's

(Reuters) - In the aftermath of the Asian crisis, financial risk management had improved considerably, with countries focusing on avoiding foreign exchange and interest rate mismatches, managing their debt actively and developing contingency measures.




And while borrowing in local currency was preferable, it did not insulate the borrower because increased financial integration globally led to more links between domestic and foreign liabilities.


Read more at Reuters.com Hot Stocks News

France's CAC 40 Index Declines, Led by BNP Paribas, Total; Unibail Rises

(Bloomberg) -- French stocks slid, paced by BNP
Paribas SA. Total SA fell as crude oil dropped for the
first day in four.

The CAC 40 Index retreated 14.72, or 0.2 percent, to
6153.43 at 09:41 a.m. The SBF 120 Index declined 0.2
percent.


Read more at Bloomberg Stocks News

Carbon Emission Permits Approach 13-Month High Before Finland Allocation

(Bloomberg) -- European Union carbon-dioxide permits
rose toward their highest in 13 months ahead of a regulatory
decision slated for today that will set out Finland's allocation
of allowances in the five years through 2012.

Emission permits for delivery in December 2008 gained as much
as 62 cents, or 2.6 percent, to 24.50 euros ($33) a metric ton,
the highest since May 30. On that day the contract reached a 13-
month high of 26 euros. The security was at 24.40 euros a ton at
9:15 a.m. in Amsterdam on the European Climate Exchange.


Read more at Bloomberg Energy News

UPDATE 2-SNS to buy AXA Dutch operations for 1.75 bln euros

(Reuters) - AMSTERDAM, June 4 - Dutch financial group SNS
Reaal to
double its domestic market share and save costs.




The bank, which provides retail banking and financial
services to small and mid-sized companies in the Netherlands,
said on Monday the acquisition would be earnings accretive from
2008 and would be partly funded by an equity issue.


Read more at Reuters.com Mergers News

Gerdau, ICA, Tenaris and Vale do Rio Doce: Latin America Equity Preview

(Bloomberg) -- The following stocks may make
significant gains or losses in Argentina, Brazil and Mexico
today. Symbols are in parentheses after the company name, and
stock prices are from the last session.

In Brazil, preferred shares are the most commonly traded
class of stock.


Read more at Bloomberg Stocks News

UPDATE 1-Segro sells U.S. unit to HCP for $2.9 bln

(Reuters) - The cash disposal of Slough Estates USA, expected to be
completed in the third quarter, follows a review of strategic
options for the business announced in November as the company
moves to focus on its UK and continental Europe assets, Segro,
formerly Slough Estates, said in a statement on Monday.




The net proceeds receivable would amount to 574 million
pounds after deducting tax, debt and related
costs and would be used to pay a special dividend of 250 million
pounds and to reduce debt, Segro said.


Read more at Reuters.com Mergers News

Steelmaker Evraz Offers $11.40 a Share for Rest of South Africa's Highveld

(Bloomberg) -- Evraz Group SA, a Russian steelmaker
partly owned by billionaire Roman Abramovich, offered about $519
million to buy the shares of Highveld Steel and Vanadium Corp.
Ltd. it doesn't already own.

Evraz will pay $11.40 a share, it said today in a statement
distributed by the Regulatory News Service. Evraz currently
holds about 54 percent of Witbank, South Africa-based Highveld.
The offer for the rest of the stock is mandatory under South
African law, Evraz said. The offer is valid until 5 p.m. South
African time today.


Read more at Bloomberg Emerging Markets News