Japan's JBIC Plans Islamic Debt Backed by London Metal Exchange Contracts

(Bloomberg) -- Japan Bank for International
Cooperation, the government's main overseas lender, plans to sell
Islamic bonds backed by products traded on the London Metal
Exchange, an official said.

The Tokyo-based bank, known as JBIC, plans to sell Islamic
debt for the first time as early as in October, said Tadashi
Maeda, director general of the bank's energy and natural
resources finance department. JBIC will sell $200 million to $300
million of such securities, to be denominated in Malaysian
ringgit or dollars, in Malaysia, he said.


Read more at Bloomberg Bonds News

National Bank of Abu Dhabi Plans Bonds Denominated in Yen, Ringgit, Dirham

(Bloomberg) -- National Bank of Abu Dhabi PJSC, the
United Arab Emirates' biggest lender by market value, said it may
sell bonds in Japanese yen, Malaysian ringgit and local currency
to diversify its sources of funding.

The bank will hold a board meeting July 25 to discuss sales
of as much as 40 billion yen ($331 million), 3 billion ringgit
($878 million), and 2 billion dirhams ($545 million) of bonds, it
said in a filing with the Abu Dhabi Securities Market today.


Read more at Bloomberg Bonds News

Goldman's Ong Misses Chief Job in China, Doesn't Meet Language Requirement

(Bloomberg) -- Goldman Sachs Group Inc., the world's
most profitable investment bank, couldn't name the co-head of
investment banking in Asia as chief executive officer of its
Beijing joint venture because his knowledge of Chinese was too
weak, three bankers at the firm said.

Richard Ong, an ethnic Chinese born in Malaysia, didn't
write Chinese well enough to take a mandatory test for senior
managers, said the bankers, declining to be identified as the
matter is private. New York-based Goldman instead promoted Zha
Xiangyang, deputy CEO of its China joint venture, Goldman Sachs
Gao Hua Securities Co., in May.


Read more at Bloomberg Emerging Markets News

Malaysian Palm Oil Rises on China Demand, Discount to Rival Soybean Oil

(Bloomberg) -- Palm oil futures in Malaysia, the
benchmark for the contract, rose on the outlook for Chinese
demand, and as its price compares favorably with soybean oil,
the main rival product.

China, the largest buyer of vegetable oils, imported 32
percent more of them in the first six months of the year, or 3.7
million tons, Chinese customs data showed yesterday. Palm oil is
used in foods, cleaning agents and as a fuel additive.


Read more at Bloomberg Commodities News

Palm Oil Price in Malaysia Gains on Outlook for China Food, Biofuel Demand

(Bloomberg) -- Palm oil futures in Malaysia rose for
a second day on optimism of rising demand for vegetable oils in
cooking and to make biofuels.

The price reached a record last month on surging demand,
led by China and India. Kim Eng Research Sdn. raised its average
price forecast by 4.5 percent for 2008.


Read more at Bloomberg Commodities News

Telekom Malaysia Gets 98% Acceptance for Islamic Debt Swap, Arranger Says

(Bloomberg) -- Telekom Malaysia Bhd. said 97.5
percent of investors agreed to its offer to accept new Islamic
securities in place of existing conventional debt, according to
the deal's arranger Citigroup Inc.

The acceptances mean Southeast Asia's second-biggest phone
company will convert about 2.93 billion ringgit ($848 million)
of debt into the form of Islamic bonds, Citigroup said in an e-
mail today. The swap will be completed on July 6, the bank said.


Read more at Bloomberg Bonds News

Malaysian Palm Oil Prices Drop for a Fifth Day on Improved Supply Outlook

(Bloomberg) -- Palm oil futures, on the Malaysia
Derivatives Exchange, which trades the benchmark contract, fell
for a fifth day as some investors judged the prices to be high
given a forecast rise in supply of vegetable oils.

Argentina, the third-biggest soybean producer, may have a
record harvest, the Buenos Aires Cereals Exchange said June 22.
Soybean oil is the second most consumed cooking oil after palm
oil, the supply of which typically rises in the second half.


Read more at Bloomberg Commodities News

Malaysia's Palm Oil Little Changed After Two-Day Decline on Export Figures

(Bloomberg) -- Palm oil futures on the Malaysia
Derivatives Exchange, which trades the benchmark contract, were
little changed after falling for two days on reports that
exports from the country have been declining this month.

The price dropped 3.3 percent on June 19 and yesterday
after Intertek Malaysia, an independent cargo surveyor, said the
Southeast Asian nation exported 15 percent less of the commodity
in the first 20 days of this month compared with May.


Read more at Bloomberg Commodities News

Palm Oil Futures in Malaysia Decline for Second Day as Exports Slow Down

(Bloomberg) -- Palm oil futures on the Malaysia
Derivatives Exchange, which trades the benchmark contract, fell
for a second day on declining exports of the world's most
consumed vegetable oil.

Overseas shipments from Malaysia, which with Indonesia
produces almost 90 percent of global output, fell 15 percent in
the first 20 days of June to 661,626 metric tons compared with
last month, said Intertek Malaysia. The independent cargo
surveyor tracks bulk shipments through sea ports in the country.


Read more at Bloomberg Commodities News

ABN Amro, Citigroup Make First Default Swap Trades Linked to Ringgit Bonds

(Bloomberg) -- Citigroup Inc., ABN Amro Holding NV
and CIMB Group Sdn. said they made the first credit-default swap
trades between banks that are tied to bonds denominated in the
Malaysian currency.

The trades were linked to the ringgit debt of Projek
Lebuhraya Utara Selatan Bhd., a unit of PLUS Expressways Bhd.,
Malaysia's largest toll-road operator, Citigroup and CIMB said
in an e-mailed statement. CIMB entered into two separate trades
of different maturities with New York-based Citigroup and
Amsterdam-based ABN, the Malaysian bank said in another
statement today.


Read more at Bloomberg Bonds News

Citigroup, CIMB Complete First Default Swap Trade Linked to Ringgit Bonds

(Bloomberg) -- Citigroup Inc. and CIMB Group Sdn.
said they made the first credit-default swap trade between banks
that's tied to bonds denominated in the Malaysian currency.

The deal is linked to the ringgit debt of Projek Lebuhraya
Utara Selatan Bhd., a unit of PLUS Expressways Bhd., Malaysia's
largest toll-road operator, the two banks said in an e-mailed
statement today.


Read more at Bloomberg Bonds News

Malaysia Credit Rating `Constrained' by Government Finances, Moody's Says

(Bloomberg) -- Malaysia's credit rating is
``constrained,'' Moody's Investors Service said, even after the
country's second finance minister, Nor Mohamed Yakcop, traveled
to New York and asked for an increase.

Malaysia's sovereign bond ratings are ``somewhat
constrained by general government finances that remain weaker
than comparable peers,'' Aninda Mitra, lead Moody's analyst for
Malaysia, wrote in an e-mail. Still, ``exceptionally strong
external accounts'' support the ratings, Mitra said.


Read more at Bloomberg Emerging Markets News

Soybeans Rise in Chicago on Increased Global Demand for Vegetable Oils

(Bloomberg) -- Soybean futures in Chicago climbed,
extending a rally to a 35-month high, as demand for vegetable
oil to make fuel reduced global inventories for food use.
Soybean oil rose to a 23-year high.

Demand for U.S. soybeans, which are crushed to produce
animal feed and vegetable oil for food and fuel, has increased
as palm-oil futures in Malaysia jumped to a record. Palm oil has
surged 87 percent in the past year on concern that supplies from
Southeast Asia will trail global demand. Soybean oil in Chicago
has jumped 44 percent in the past year.


Read more at Bloomberg Commodities News

Malaysia Ringgit to Rise 3 Percent in 2007 on Resilient Exports, HSBC Says

(Bloomberg) -- The Malaysian ringgit will rise 3
percent by year-end as the central bank permits gains and exports
withstand a stronger currency, said HSBC Holdings Plc.

The currency, up 3.8 percent this year and close to the
strongest since 1998, reflects the nation's economic fundamentals,
Bank Negara Malaysia Governor Zeti Akhtar Aziz said May 30. It
contrasts with China and South Korea that are seeking to boost
outflows to stem gains in their currencies.


Read more at Bloomberg Currencies 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

Proton Shares Slump After Volkswagen Talks Fail, Company Posts Annual Loss

(Bloomberg) -- Shares of Proton Holdings Bhd.,
Malaysia's biggest automaker, fell after the government said
Volkswagen AG dropped plans to buy a stake and the Southeast
Asian carmaker posted its first annual loss in at least 17 years.

Proton stock, down 20 percent this year, fell as much as
3.7 percent in Kuala Lumpur today after the state-run automaker
yesterday reported a loss of 591.4 million ringgit ($174
million) for the 12 months ended March 31. Volkswagen, Europe's
biggest automaker, no longer wants a stake in Proton, Malaysia's
Second Finance Minister Nor Mohamed Yakcop told reporters today.


Read more at Bloomberg Emerging Markets News

Malaysia Palm Oil Prices Rise Most in a Month to Record Close on Exports

(Bloomberg) -- Palm oil futures in Malaysia rose the
most in a month to a record close after reports showing Malaysian
exports increased in May, with Chinese demand undeterred by
higher prices.

Bulk palm oil shipments through Malaysian sea ports gained
4.7 percent to 1.18 million metric tons in May, from 1.13 million
tons last month, Societe Generale de Surveillance estimated today.


Read more at Bloomberg Commodities News

Chicago Soybean Futures Rise on Demand Speculation; Corn, Wheat Advance

(Bloomberg) -- Chicago soybeans rose for a third day
to a 35-month high on speculation that demand for the oilseed may
benefit from a European campaign against palm oil, which competes
with soybean oil. Corn and wheat were little changed.

Malaysia and Indonesia, the world's biggest palm oil
producers, agreed to counter a European campaign against the oil.
The two countries are facing claims from environmental groups and
investors that rainforests are being cut down to make room for
oil palm, destroying habitat for animals such as the orangutan.


Read more at Bloomberg Commodities News