Fear of recession in Asia
Asian markets tumbled down on fear of recession has put the asian stocks
dipping and fear of recession reached from US has taken the cpatains of the industry to tighten their belts.
2008-11-12 05:51:55 - Prime Minister Dr Manmohan Singh has ruled out
immediate reduction of petroleum products. He said that high prices of
aviation fuel were reduced so that the employment potential in
aviation sector is not affected. High aviation fuel prices resulted in
financial losses to oil companies.
Speaking to reporters on board in his royal aircraft way back from
Doha, Dr. Singh said that the government is committed to provide all
possible help to trade and industry to check the adverse impact of
global economic melt down.
But refused reduction in oil price,thus paving way for spiralling
inflation to continue an adverse chain reaction in further vigrous and
deepening of Indian recession to follow soon with fear of negativity
in economic cycle.
Steel Secretary P K Rastogi has said that the SAIL's Rourkela plant
has lowered its normal production. Though the plant posted a net
profit of 800 crore rupees till September 2008,it could manage to sell
only about 90,000 tonnes of saleable steel during October 2008 owing
to declining demand for steel in the global market .This refelects
tide of recession has flown in India.
Other leading steel producers like JSW, Essar and Ispat have already
announced cutting their productions by over 20 per cent.
The Chairman of Prime Minister's Economic Advisory Council, Dr. Suresh
Tendulkar said that softening of global commodity prices coupled with
a good monsoon in the country could bring down inflation to single
digit early next year. He said that the Reserve Bank of India has
reduced several bench mark rates including cash reserve ratio(CRR) and
short term lending rates to make available to banks more funds for
lending.
On Tuesday to strike a 21-month low as fresh recession worries sparked
fears about slowing global energy demand,Crude Oil prices fell below
55 dollars a barrel in international market.
On London's Intercontinental Exchange, Brent North Sea crude for
delivery in December plunged to 54.92 per barrel a level last seen on
Janury 30, 2007.
Meanwhile, the Organization of Petroleum Exporting Countries (OPEC)
has decided to meet on 17th of December in Oman to assess the
international oil market situation. Algerian Energy and Mining
Minister Chakib Khalil who is also the current OPEC President, said in
Algiers that the Oman meeting would study the market's prospects for
the first half of 2009 in view of the measures taken by the United
States to arrest the economic crisis which has spread from the US to
the rest of the world.
Organization of Petroleum Exporting Countries (OPEC) will meet on 17th
of December in Oran to assess the international oil market situation.
Algerian Energy and Mining Minister Chakib Khalil who is also the
current OPEC President, said in Algiers that the Oran meeting would
study the market's prospects for the first half of 2009 in view of the
measures taken by the United States to arrest the economic crisis
which has spread from the US to the rest of the world.
He said it was useless for OPEC to decide on further output cuts if
the Oct 24 decision to reduce its production by 1.5 million barrels
per day was not implemented by all the members.He also said that the
creation of an OPEC-like cartel for gas exporting countries would
depend on certain factors,mainly the setting up of an international
gas market which would be governed by the same rules as those
prevailing in the oil market.
The Gas Exporting Countries Forum's ministerial meeting scheduled for
18th of November in Moscow, has been postponed, he said.
Russian Arms manufacturers are experiencing cash flow problems because
of the financial crisis and need help from state-controlled banks,
Deputy Prime Minister Sergei Ivanov said Tuesday.
Weapons are one of Russia's most lucrative exports, worth $7 billion
in 2007 according to officials, and arms makers are benefiting from a
sharp rise in defense spending as the Kremlin seeks to restore its
military might.
But Ivanov, who oversees the defense sector, said the liquidity crunch
had left some manufacturers unable to complete contracts or pay their
employees.
"The world financial crisis is hitting certain defense-sector
producers quite hard," Ivanov said at a meeting with defense
officials, Interfax reported. "A whole series of defense producers are
experiencing a pressing shortage of cash flow to ensure their finished
products are released and handed over to their customers."
He said the government had proposed that banks controlled by the state
-- Sberbank, VTB and Vneshekonombank -- should consider offering
credit to defense producers on favorable terms.
"We are talking, in particular, about ... providing loans to companies
under contract to the Defense Ministry to ensure cash flow, including
for paying wages to staff, extending previously agreed credit lines
and subsidizing interest rates," Ivanov said.
Posted by Nksagar at 9:29 PM 0 comments
dipping and fear of recession reached from US has taken the cpatains of the industry to tighten their belts.
2008-11-12 05:51:55 - Prime Minister Dr Manmohan Singh has ruled out
immediate reduction of petroleum products. He said that high prices of
aviation fuel were reduced so that the employment potential in
aviation sector is not affected. High aviation fuel prices resulted in
financial losses to oil companies.
Speaking to reporters on board in his royal aircraft way back from
Doha, Dr. Singh said that the government is committed to provide all
possible help to trade and industry to check the adverse impact of
global economic melt down.
But refused reduction in oil price,thus paving way for spiralling
inflation to continue an adverse chain reaction in further vigrous and
deepening of Indian recession to follow soon with fear of negativity
in economic cycle.
Steel Secretary P K Rastogi has said that the SAIL's Rourkela plant
has lowered its normal production. Though the plant posted a net
profit of 800 crore rupees till September 2008,it could manage to sell
only about 90,000 tonnes of saleable steel during October 2008 owing
to declining demand for steel in the global market .This refelects
tide of recession has flown in India.
Other leading steel producers like JSW, Essar and Ispat have already
announced cutting their productions by over 20 per cent.
The Chairman of Prime Minister's Economic Advisory Council, Dr. Suresh
Tendulkar said that softening of global commodity prices coupled with
a good monsoon in the country could bring down inflation to single
digit early next year. He said that the Reserve Bank of India has
reduced several bench mark rates including cash reserve ratio(CRR) and
short term lending rates to make available to banks more funds for
lending.
On Tuesday to strike a 21-month low as fresh recession worries sparked
fears about slowing global energy demand,Crude Oil prices fell below
55 dollars a barrel in international market.
On London's Intercontinental Exchange, Brent North Sea crude for
delivery in December plunged to 54.92 per barrel a level last seen on
Janury 30, 2007.
Meanwhile, the Organization of Petroleum Exporting Countries (OPEC)
has decided to meet on 17th of December in Oman to assess the
international oil market situation. Algerian Energy and Mining
Minister Chakib Khalil who is also the current OPEC President, said in
Algiers that the Oman meeting would study the market's prospects for
the first half of 2009 in view of the measures taken by the United
States to arrest the economic crisis which has spread from the US to
the rest of the world.
Organization of Petroleum Exporting Countries (OPEC) will meet on 17th
of December in Oran to assess the international oil market situation.
Algerian Energy and Mining Minister Chakib Khalil who is also the
current OPEC President, said in Algiers that the Oran meeting would
study the market's prospects for the first half of 2009 in view of the
measures taken by the United States to arrest the economic crisis
which has spread from the US to the rest of the world.
He said it was useless for OPEC to decide on further output cuts if
the Oct 24 decision to reduce its production by 1.5 million barrels
per day was not implemented by all the members.He also said that the
creation of an OPEC-like cartel for gas exporting countries would
depend on certain factors,mainly the setting up of an international
gas market which would be governed by the same rules as those
prevailing in the oil market.
The Gas Exporting Countries Forum's ministerial meeting scheduled for
18th of November in Moscow, has been postponed, he said.
Russian Arms manufacturers are experiencing cash flow problems because
of the financial crisis and need help from state-controlled banks,
Deputy Prime Minister Sergei Ivanov said Tuesday.
Weapons are one of Russia's most lucrative exports, worth $7 billion
in 2007 according to officials, and arms makers are benefiting from a
sharp rise in defense spending as the Kremlin seeks to restore its
military might.
But Ivanov, who oversees the defense sector, said the liquidity crunch
had left some manufacturers unable to complete contracts or pay their
employees.
"The world financial crisis is hitting certain defense-sector
producers quite hard," Ivanov said at a meeting with defense
officials, Interfax reported. "A whole series of defense producers are
experiencing a pressing shortage of cash flow to ensure their finished
products are released and handed over to their customers."
He said the government had proposed that banks controlled by the state
-- Sberbank, VTB and Vneshekonombank -- should consider offering
credit to defense producers on favorable terms.
"We are talking, in particular, about ... providing loans to companies
under contract to the Defense Ministry to ensure cash flow, including
for paying wages to staff, extending previously agreed credit lines
and subsidizing interest rates," Ivanov said.
Posted by Nksagar at 9:29 PM 0 comments
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