UPDATE 1-VW rejects report it near deal with Malaysia's Proton

(Reuters) - Quoting unidentified sources, the Edge financial daily said
Volkswagen was likely to take a 51 percent stake in a new
company into which would be injected Proton's key motor assets,
such as manufacturing, research and development, and
engineering.




But a Volkswagen spokesman rejected the idea that the
company was on the cusp of concluding talks with loss-making
Proton.


Read more at Reuters.com Mergers News

Kuwait Petroleum Seeks Higher Price Premium for Naphtha Export Cargoes

(Bloomberg) -- Kuwait Petroleum Corp., the Middle
East's biggest exporter of refined oil products, offered to sell
naphtha at a higher premium, said three traders involved in the
discussions. Talks began this week at the company's London office.

The refiner offered to sell naphtha at a premium of $24 a
metric ton to benchmark prices for cargoes loading in the year
starting August, an increase of 37 percent. Kuwait Petroleum had
agreed to sell naphtha at a premium of $17.50 a ton for cargoes
loading between August 2006 and July 2007.


Read more at Bloomberg Energy News

European Industrial Stocks Fall, Led by Volvo, SKF; Vodafone Gains

(Bloomberg) -- European industrial stocks declined,
led by Volvo AB after JPMorgan Chase & Co. downgraded shares of
Europe's second-largest truckmaker.

SKF AB slid after Morgan Stanley recommended investors
reduce holdings of the world's biggest maker of ball bearings for
cars and planes. Vodafone Group Plc led telecommunications shares
higher after the company received a letter from an activist
investment group calling for a restructuring.


Read more at Bloomberg Stocks News

Israel institutions invest in Egypt's EMG with Ampal

(Reuters) - Ampal's subsidiary will contribute a 1.8 percent interest in
EMG in exchange for 50 percent of the joint venture. The
institutional investors will have a 50 percent interest in the
joint venture for their $40 million contribution.




The joint venture will be a newly formed Israeli limited
partnership, Merhav Ampal Energy Holdings LP, whose general
partner will be an Israeli company equally owned by Ampal and
the Israel Infrastructure Fund .


Read more at Reuters.com Mergers News

Carbon Dioxide Emission Permits Rise, Pushing German Power Prices Higher

(Bloomberg) -- European Union carbon dioxide permits
rose for the first day in three, pushing German power prices
higher.

Emission permits for delivery in December 2008 rose as much as
65 cents, or 2.8 percent, to 24 euros ($32) a metric ton, according
to the European Climate Exchange in Amsterdam. They were at 23.75
euros a ton at 8:45 a.m. local time.


Read more at Bloomberg Energy News

Japanese Shares Advance, Paced by Trading Companies; Sony, Takeda Slide

(Bloomberg) -- Japanese stocks gained, paced by
trading companies and oil explorers, after Nikko Citigroup Ltd.
raised its recommendation on Sumitomo Corp. and Marubeni Corp.
shares and the price of crude oil advanced.

Limiting gains, technology-related companies that rely on
U.S. sales such as Sony Corp. declined after a higher-than-
forecast rise in U.S. labor costs fueled concern accelerating
inflation will prompt the Federal Reserve to increase interest
rates.


Read more at Bloomberg Stocks News

Thailand's Economy to Recover in Second Half After Rate Cuts, Tarisa Says

(Bloomberg) -- Thailand's economy will recover in
the second half of 2007 as four interest rate cuts this year
entice spending by consumers and businesses, according to Bank
of Thailand Governor Tarisa Watanagase.

``We have seen signs of recovery,'' Tarisa told a seminar
in Bangkok today. ``The rate cuts should help boost interest
rate-sensitive sectors like property and encourage people to buy
durable items like cars and motorcycles.''


Read more at Bloomberg Emerging Markets News