Germany's DAX Index Falls for Fifth Day; Munich Re, Allianz Shares Slide

(Bloomberg) -- Germany's DAX Index dropped, set to
complete a full week of losses, on concern that interest rates
may keep rising. Shares of Munich Re, Allianz SE and Siemens AG
paced the retreat.

The DAX Index slid 83.51, or 1.1 percent, to 7535.10 as of
11:35 a.m. in Frankfurt. The measure has tumbled 5.8 percent in
the past five days, heading for the biggest weekly loss since
September 2003. The HDAX Index of the country's 110 biggest
companies decreased 1.2 percent today. DAX futures expiring in
June lost 95.5, or 1.3 percent, to 7520.5.


Read more at Bloomberg Stocks News

IMF's Rato says vigilance needed on inflation

(Reuters) - "Central banks are right to act in a preventive manner" he
told reporters.




"Centrals banks should be vigilant to inflation pressures."


Read more at Reuters.com Mergers News

Gold Falls in London Trading as Weaker Equities Spur Selling; Silver Drops

(Bloomberg) -- Gold fell for a second day in London,
heading for the biggest weekly decline in four weeks, after
equities dropped worldwide and on speculation that U.S. interest
rates may rise.

European stocks fell for a fifth day, the longest rout in
three months. That may be spurring some speculators to sell gold
to fund their losses. Some investors expect higher U.S. interest
rates to strengthen the dollar and weaken the price of gold in
U.S. dollar terms.


Read more at Bloomberg Commodities News

U.K. Natural Gas Price Falls After Grid Manager Slashes Demand Forecast

(Bloomberg) -- U.K. natural gas for same-day delivery
had its biggest decline this week after the nation's gas-network
manager cut its forecast for demand in the coming day by more
than 10 percent.

Gas for delivery today at the National Balancing Point, the
U.K. trading hub, fell 6.3 percent to 21.55 pence a therm at 8:30
a.m. in London, according to the broker ICAP Plc. That equals
$4.25 a million British thermal units. A therm is 100,000 Btus.


Read more at Bloomberg Energy News

China Money: Minor flows to bonds as stocks cool

(Reuters) - But if it becomes clear the stock market has temporarily stalled, some traders estimate mutual funds, which control about 700 billion yuan , could divert as much as 10 percent of that amount into government bonds by the end of 2007.




Insurers could also step up investment in longer-term bonds, while banks could have more funds to put into bonds as disillusioned stock investors returned some of their money to longer-term savings deposits.


Read more at Reuters.com Business News

Emerging equities, bonds fall on global rate fears

(Reuters) - On bond markets, high-beta credits like Turkey were taking a
beating, its benchmark bond falling over a point to see yields
surge about 7 basis points derivatives that
hedge against default and restructuring had gaped wider.


Read more at Reuters.com Bonds News

Cascade, Medco, National Semiconductor, Monster Worldwide: U.S. Preview

(Bloomberg) -- The following is a list of companies
whose shares may have unusual price changes in U.S. exchanges
today. This preview includes news that broke after exchanges
closed yesterday. Stock symbols are in parentheses after company
names.

Cascade Corp. (CAE US) rose $4.20, or 6.4 percent, to
$69.90 in trading after the official close of U.S. exchanges.
The maker of lift attachments for trucks, based in Fairview,
Oregon, reported sales of $135.5 million and net income of $23.8
million for the quarter ended April 30. Both surpassed average
analyst estimates compiled by Bloomberg.


Read more at Bloomberg Stocks News