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The mood is sullen at the Paris stock exchange after the sharp declines seen the day before (the CAC 40 fell 1.31% and fell below 4050 points). On Thursday, the benchmark index of the Paris Bourse lost 0.95% to 4004.87 points at closing and narrowly saves the technical threshold of 4000 points.

Same trend elsewhere in Europe. London's FTSE was down 1.07% at 5919.98 points and the Dax was down 0.04% to 7376.96 points. Both indices had suffered the heaviest losses the Cac yesterday.

On the foreign exchange market, the euro lost ground after the ECB, which met in Helsinki, has decided to keep interest rates unchanged at 1.25%. The single currency traded at 1.4599 euros (-1.54%) after again exceeded $ 1.49 during the meeting Wednesday.Furthermore, oil inventories surged against all odds, which gave the lead in using oil, which fell below $ 110 in New York yesterday, which always move in the fall on Thursday.

Bad news on the employment front U.S.

Statistical side to follow on Thursday: orders to German manufacturers have accused their first decline in March of this year, falling by 4% over the month as analysts awaited a stagnation, according to figures released Thursday by the Ministry of Economy.

In the U.S., nonfarm productivity rose more than expected in the first quarter, while unit labor costs has rebounded more strongly than expected, according to preliminary data released Thursday by the U.S. Department of Labor.Productivity, which measures hourly output per employee grew at an annual rate of 1.6% over the period January-March after rising 2.9% (revised from 2.6%) in the previous quarter. Over the period, the unit cost of labor has on his side rebounded 1.0% after having fallen by 1.0% (revised from -0.6%) over the last three months of 2010. Analysts had forecast an increase of 0.8% in the first quarter.

In addition, new jobless claims in the United States rose dramatically during the last week of April. The employment figures that will fall tomorrow, Friday, are eagerly awaited.Yesterday, investors learned that ADP figures have reported a creation 179,000 jobs in April, less than expected.

Societe Generale falling, Carrefour sentence

Side values, a publication of rain is still falling on Thursday including the quarterly results disappointing Societe Generale, driving down the stock price of 4.98% to 43.25 euros, lead the CAC.

After the excellent figures given yesterday by BNP Paribas (-0.13% to 53.98 euros), the first bank in Europe, SocGen announced a net profit of 916 million euros in the first quarter, down from 13, 8% over the same period of 2010 attributed to an accounting effect related to the revaluation of its own debt.

Also at sentencing, the retail group Carrefour (-1.93% to 31 euros), which announced Thursday the departure of its Executive Director James McCann France and the postponement of a controversial quotation of its real estate subsidiary, but maintained its draft rate 100% subsidiary of Dia and its financial targets for 2011.

Lafarge (-0.95% to 45.24) reveals a net loss of 29 million euros in the first three months of the year for a turnover up 9% to 3.55 billion euros .

Legrand (-2.51% to 29.69 euros) in the first quarter increased 13.7% in sales and 41.2% of its net profit, thanks to emerging markets and new market segments which the group has made a priority, which has confirmed its annual targets.

Bureau Veritas (-0.10% to 58.25 euros) confirmed anticipate strong growth in its turnover and adjusted operating profit this year after an increase of 23.2% of its activity in the first quarter .

Axa (+0.20% to 15.02 euros) expressed confidence in improving its profitability despite a drop of 2% of its turnover in the first quarter to 27.92 billion euros.

Maurel & Prom, Arkema and Capgemini climb

The independent oil company Maurel & Prom announced Thursday want to split and rate of its independent subsidiary in Nigeria, whose shares will be distributed to the shareholders in proportion to their participation in the group. The action takes off from 4.41% to 14.68 euros this morning.

Arkema (7.02% to 73.49 euros).The net profit quadrupled to 151 million euros and EBITDA (EBITDA) reached 17% of sales through an increase much higher than the market.This puts us among the best chemists.

The French group Capgemini consulting and information services (+0.19% at 40.58 euros) saw sales increase by 14.5% in first quarter 2011 to 2.3 billion euros and confirmed its objectives of achieving a growth in turnover of between 9 and 10% for the year.

The producer of wines and spirits, Pernod Ricard (1.94% to 68.28 euros) Thursday announced an increase in its turnover in the third quarter and confirmed its targets for its entire fiscal year (July 2010 – June 2011).

Air Liquide (0.56% to 97.58 euros) wants equity for the premium

Its CEO said he was open to the principle of paying a bonus to employees in case of dividend increase, provided to maintain the equity in a group with more than three-quarters of the members are outside France.

Alstom: -0.90% to 42.24 euros Moody's raised its outlook on the Baa1 rating on the group stable, negative cons.

Total: -1.41% to 41.17 euros, GDF Suez: -0.77% to 26.48 euros a parliamentary commission on Wednesday passed a bill to ban UMP in France in the exploration and exploitation of unconventional oil, gas and oil shale.

Michelin (-0.69% to 66.05 euros) announced an increase in the price of its truck tires, civil engineering, public works, agricultural and handling in Europe to meet the continually rising cost of raw materials.

TF1 (-2.01% to 12.41 euros), which has suffered several setbacks during the hearing last month, decided to appoint a new program director, Jean-François Lancelier, which takes the place of Laurent Storch .

The French chemicals group Rhodia (+0.37% at 31.59 euros) on Thursday posted a net profit of 151 million euros in the first quarter more than doubled over one year and raised its profitability target for 2011 , to become a recurring gross operating profit of "more than 1 billion euros."

Veolia Environnement (+0.52% at 22.26 euros) on Thursday posted a turnover up 11.3% in the first quarter thanks in particular to the resumption of its activities in the waste.

Mr. Bricolage (-0.57% to 13.97 euros) confirmed its targets for 2011 after publishing a stable turnover in the first quarter to 135.2 million euros.

Gifi (2.43% to 76.20 euros) registered a growth of 5.2% of its turnover for the first half of its fiscal year 2010-2011, to 351.3 million euros.The turnover of the group's second fiscal quarter ended March 31 rose 7.5% to 139.1 million euros.

Cegedim (+0.35% at 42.50 euros) has reported a sales increase of 2.9% as reported to 211.5 million euros, but down 1.4% comparable data available, and maintained its target of 4% growth in turnover for 2011.

The food group Bonduelle (0.72% to 68.60 euros), specializing in vegetables, posted a rise in its turnover for the third quarter from 14.6% to 421.6 million euros thanks to an improvement in consumption, particularly in eastern Europe, according to a statement.

Difficult to assess the fortunes of Osama bin Laden, as the opacity of its funding sources has always prevailed. Before the attacks of September 11, 2001, the financial empire's founder and leader of al-Qaida announced until his death last night, was estimated between 30 and … $ 300 million. Only certainty, the first pillar of the wealth of terrorism based on the legacy of his father.

Mohammed bin Laden, Osama's father, made his fortune in construction and public works. At the latter's death in 1967, the leader of al-Qaeda share the inheritance with her 54 brothers and sisters. In all, Osama Bin Laden "received between 12 and 15 million dollars" between 1974 and 1994, according to Yeslam bin Laden, one of his half-brothers.

Present in 35 countries

Some of the funding received has been reinvested in other companies in Saudi Arabia or Sudan, thereby making a profit.Osama bin Laden had created a parent company, Wadi al Aqiz, head of a network of numerous legal societies and implanted in nearly thirty-five countries.

The Ladin International Company, an import and export, Taba Investment and Hijra Construction Company, specializing in construction are among the largest subsidiaries of the businessman terrorist. But these companies also served as cover for militants of al-Qaida. They fund training camps or buying weapons and receive "gifts" from Islamic banks branched through accounts and offshore tax havens.

From multinationals to SMEs

With the end of the first Gulf War in 1991, and the installation of U.S. bases on Saudi soil, Bin Laden decided to conduct a holy war against the United States. Replica of Washington and its alies: its funds are now tracked.Bin Laden fled to Sudan from 1994 to 1996. He bought land, invested in small business. Like the international financial network created in the 1980s, these companies often have two facets. Peanut farm houses a terrorist training site.

Managed well, business does not rotate at best. Bin Laden is forced to lower wages and to sell certain subsidiaries. No matter: "Terrorism is a low cost business," writes the Wall Street Journal in September 2001. The attack against the World Trade Center in 1993, would cost only $ 10,000.

Expelled from Sudan in 1996 under pressure from the Americans, bin Laden returned to Afghanistan. This second exile seems to coincide with increased financial difficulties on the ground. The branch of al-Qaida in London would have experienced problems paying their phone bills.For many decades, "Bin Laden has engaged in activities that eat money, but do not create," says the Saudi dissident Muhammad al-Massari, quoted by the Wall Street Journal.

Still, bin Laden also benefits from the charity to Muslims around the world, but that they know so far that their donations would be used to finance terrorism. Moreover, according to a diplomatic report from 2009 revealed by Wikileaks, the Americans suspect of private foundations in Saudi Arabia, Kuwait and Qatar to finance terrorism without limit. The villa in which Bin Laden has spent his last days, near Islamabad, is estimated at nearly one million dollars.

Caution continues in Asian markets after China on Friday issued inflation figures at the highest since July 2008. The trend is more mixed, however, that Friday, some Asian stock markets start moving forward again.

This is particularly the case in Tokyo, with the Nikkei 225 rose 0.15% to 9605.55 points, despite the resurgence of the yen against the euro and the dollar and the decline of values ​​related to telecommunications after a negative Goldman Sachs, which found that the firm NTT would be difficult to assess the impact of the earthquake and tsunami of March 11 on its annual results.

Tokyo Electronic Power (TEPCO) continues to fall, losing 1.69% to 465 yen, after acknowledging that it would take six to nine months to cool down nuclear reactors.Since the earthquake and the earthquake of 11 March, the stock has lost 78% of its value.

So on Monday morning, the euro was quoted at 119.25 yen (-0.59%) and the dollar, yen 82.89 (-0.18%). Suddenly, the export values ​​recede: Sony loses 1.05% to 2435 yen, Sharp Corporation sells 0.78% to 755 yen, Renesas Electronics loose 2.99% to 712 yen and NEC dropped 1.70% to 173 yen.

Chinese banks must increase their reserves again

Chinese markets, the trend is increasing, but progress is measured. The Hang Seng in Hong Kong is 0.16% to 24,045.30 points and the CSI 300 Index gained 0.08% to Shanghai 3361.47 points.

A further increase in liquidity reserves was imposed yesterday for Chinese banks by the central bank's objective is to constrain the credit for the fight against inflation. This increase of 0.50 percentage points will apply as of Thursday.Since the beginning of the year, the Chinese central bank had already ordered three previous increases in bank reserves in China. Bank stocks rose on the stock market: Bank of China gained 0.68% to 4410 Hong Kong dollars, Bank of Communications ahead of 0.83% to 8440 Hong Kong dollars.

Oil prices recede

Elsewhere in Asia, with the exception of KRX 100 from Seoul, which fell by 0.27% to 4551.95 points, the indices move in the green. The S & P / ASX 200 in Sydney gained 0.44% to 4873.30 points. The BSE Sensex 30 Bombay climbed from 1.14% to 19,607.40 points and the FTSE Singapore Straits Times ahead of 0.29% to 3162.45 points. The Taiwan TAIEX is stable at 8716.77 points.

Oil prices were trending lower Monday in electronic trading in Asia on profit taking after last week's gains, dealers said.In morning trading, a barrel of light sweet crude for May delivery yielded 70 cents to 108.96 dollars. That of Brent North Sea crude for June delivery retreated 42 cents to 123.03 dollars.

Highly anticipated, the preliminary report on the volatility of agricultural prices, including Le Figaro has obtained a copy was given to the French presidency of the G20, for the meeting of Agriculture Ministers of 22 and 23 June This paper of forty pages coordinated by FAO and the OECD – which also contributed seven other international institutions like the IMF, the World Bank and WTO – analyzes the volatility of current price and features nine tracks for remedy.

"The volatility of agricultural prices was greater during the decade of the 2000s than during the two decades that preceded it. This is particularly true price of rice and wheat over the period 2006-2010, the report acknowledged. But they relativize the outset. "In the long term, there is no evidence that volatility in international prices of agricultural commodities is now rising," assure the experts.

Efforts of the United States

Among the nine recommendations, the first door on the absolute need to have more reliable information on the status of production, consumption and stocks of agricultural products. The authors propose to set up an international database, "modeled on what has already been done in 2000 to improve information on the oil market under the symbol JODI (Joint Oil Data Initiative)."

Second track: the fight against financial speculation. The report does not rule on this sensitive subject, which has already been a conflict between Paris and Brussels.He acknowledged that "financial investments in the derivatives markets in agricultural commodities have risen sharply since the mid-2000s," but noted "a disagreement on the role of speculation in financial volatility and rising material prices agricultural commodities. " The report suggests further research and returns the ball to the finance ministers of the G20. He simply welcomes "the efforts undertaken by the United States and the European Commission for more transparency and efficiency in futures markets, including the OTC (over the counter"), now unregulated.

Third important recommendation: a more rigorous application of WTO agreements and open access to markets for agricultural products.Referred moratoria on exports like decreed unilaterally by Russia on August 5 last wheat crop which was destroyed over a third after a period of exceptional drought. This also applies to taxes on imports or exports that amplify strongly throughout. The G20 called for "the establishment of a definition of the critical situation of food scarcity to justify a restriction of export." It proposes to develop a rapid screening procedure for notification type "fast track" to approve or not the measure of export restrictions.

Better late than never. Google announced Wednesday the launch of a button "+ 1" which will allow users to "recommend simply content directly from the page of search results." It draws directly from the button "Like" launched by Facebook a year ago. Like the latter, and the button "tweet" for Twitter launched in summer 2010, Google also hopes to have his button "+ 1" on third party sites, eventually.

This button will allow users with accounts to appear in Google search results online links that were approved by members of their entourage who are on Gmail, iGoogle, Orkut and others. It will be deployed initially on the English content.

"We expect that these annotations personalized help sites stand out by showing users which search results are relevant to them personally payday loans for self employed.Therefore, the '+ 1' will increase both the quantity and quality of traffic to sites that matter to users, "Google said on its official blog.

By distilling and a layer of human recommendation in its search engine, Google hopes to be back in the race against social networking sites like Facebook who scored points in both uses of the users that the advertising market. But his previous experiences in the Social Web – Google Wave Buzz, Orkut – have not been conclusive.

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"The French sites include Facebook

Even Eric Besson went there for his comment: "The industrial morale improved in March (…), reaching its highest level since late 2007, welcomed on Thursday the Minister of Industry, who "production prospects point to a growth above the long-term average." He rarely says Bercy indicators as technical as those on the industrial morale.

But figures published by INSEE actually quite surprising: despite the crisis of the euro, the earthquake in Japan and soaring oil prices consecutive revolutions in Arab countries, the French industrial morale was set at 109 points this month, 3 percentage points higher than February. A trend confirmed by the publication, in the wake of the PMI purchasing managers, stood at 56.6 points, up significantly, too, compared to February.

After a blip in the third quarter of 2010, both of these indicators are returned to levels close to their highs. Levels consistent, according to analyst firm Markit, which produces the PMI, "with growth of 0.7% in the first quarter, or more, possibly around 0.9%. "The French economy seems to have ended the first quarter on a not particularly fast," said Chris Williamson, economist at Markit.In detail, new orders sent to the industrial and service companies are growing at their fastest pace since September 2000.

"Positive Outlook"

France is no exception: "The global industrial production continues to grow and in January it exceeded by nearly 4% above its early 2008 high point observed, within the Group of Industrial Federations (GFI) and WCC Rexecode in their memorandum of industrial economic spring cash advance now. If production is still lagging behind its pre-crisis levels in Europe, especially France, but the gap is expected to reverse in the coming months.

"The investment industry could rebound 14% in 2011," predicts WCC Rexecode.Especially as the financial capacity of companies have improved overall, as evidenced by the low percentage (11%) of industrial enterprises face today acknowledging cash flow problems. They were 25% in this case at the height of the crisis. Overall, "the intensity of the recovery in France is comparable to that of American industry, but less strong than in Germany," says Peter Gattaz, president of GFI, who said "this positive outlook should be accompanied a stabilization of industrial employment. " In fact, with 3.56 million employees identified by WCC Rexecode late 2010, the industrial workforce grew 0.2% last year.

An encouraging sign, although since its highs in late 2000 (4.4 million jobs) sector has been hit hard.All these signs bode well when the GFI will launch on April 4, his first week of the industry to develop this sector with French, and especially young people.

This is a first in the middle of the car. Citroen has launched this week the first site of services for organizing trips run by a manufacturer. Citroen named Multicity, this site allows you to organize the weekend and stay long term, buy a ticket or train and book a hotel. Not to mention renting a vehicle anywhere in France for a period ranging from several hours to several days.

The site has nothing to envy to the travel-sncf.com or Expedia.fr. The manufacturer has indeed relied on industry experts as GoVoyages and lastminute.com to set up his project. Result: the services provided are as complete as those of operators."Whether it's a journey of everyday life, a professional meeting or organize your holiday in France or abroad, with Citroen Multicity build your route from door to door and book immediately" Can we read in the section of the site presentation.

Competitive Rates

From bus to subway, boat to the aircraft via the bike, Citroën offers a search engine to find the best route "custom tailored to your budget and your schedule." The manufacturer also promises very competitive rates for car rental (from 22 € per day and for only 14 euros, our valet pound down to you "). Train tickets are those of the SNCF, Eurostar or Thalys trains and flights covering 1000 destinations. For hotels, the offer is very wide, with 60,000 establishments proposed worldwide.

The brand customers enjoy perks such as buying online mapping to update their GPS or download a map of speed cameras.

Operation Diversification

With this remote reservation terminal, Citroën is clearly the turn of diversification. This strategy had already materialized with the launch of a site rental vehicles in September. But a few months of summer vacation, the manufacturer has chosen to go further: "Today, travel is not always easy and it requires a good knowledge of the various means of transport possible to achieve these trips, "says the manufacturer in the columns of Le Parisien on Saturday.

Citroen still promises to expand its range "in time" to "promote mobility. Objective: to become profitable within two years to come. "

Hesitation waltz at the Paris Bourse. After opening slightly higher, the CAC 40 decreased again. Halfway through, the Paris index lost 0.21% to 4143.78 points. While the G20 opens, investors try to digest another round of corporate earnings continues in Paris.

Lack of energy also on other major European markets, the Stock Exchange of London, the FTSE-100 dropped 0.58% to 6051.90 points. Exchange and the Frankfurt the Dax lost 0.19% to 7391.49 points.

The industrial morale slightly lower

On the macroeconomic front, industrial morale dipped slightly in February, down two points from the previous month, with 106 points, Insee said Friday.It remains above its long-term average (100 points).

The business climate in manufacturing industry in France worsened slightly, according to the monthly business survey released Friday by INSEE.

Once is not custom, no economic statistics are expected in the United States. However, the president of the Central Bank, Ben Bernanke, will participate in the G20 ministerial held in Paris, which will be attended by Finance Ministers and Central Bank Governors of the twenty richest countries in the world. Bernanke will talk about "global imbalances and financial stability" (14 hours).

On the currency markets, the euro lost it again a little ground against the dollar on Friday.About 11:00 am in Paris, the euro bought 1.3554 dollars against 1.3605 dollars on Thursday night.

Results and well made for Lafarge Bull

Lafarge: + 4.14% to 47.90 euros – the largest increase CAC 40

Lafarge said Friday anticipate a rebound between 3% and 6% (-1% cons + 3% expected in 2010) of cement demand in 2011 after a strong fiscal 2010 results by globally online.The world's leading cement has published results in line with expectations.

Bull: + 8.59% to 3.83 euros, the biggest increase SBF 120

Bull this morning unveiled a net profit of EUR 6.5 million in 2010, a profit quadrupled from a year earlier, when it reached 1.4 million euros payday loan companies.

Bouygues: + 0.21% to 33.57 euros

A consortium led by Bouygues has been chosen by the State to build the future "at the Pentagon French" on the site Balard, in south-west of Paris, as Le Figaro said Thursday.Information confirmed by the MoD in a statement.

The consortium led by Bouygues includes Thales (-0.1% to 27.39 euros) for computing, Sodexo (1.15% to 50.57 euros) for services, Dalkia Energy and FIDEPPP – bringing together the Savings and Natixis (-1.04% to 4.09 euros) – and SEIEF as financial investors.

Eutelsat: -1.71% to 28.40 euros

Eutelsat has released interim results that put it on track to exceed its targets for 2010-2011.

Societe Generale: + 0.04% to 52.06 euros, BNP Paribas: -1.36% to 57.97 euros

The Government of Côte d'Ivoire has declared Thursday the nationalization of local subsidiary of Societe Generale and BNP Paribas have suspended their activities, including the two French institutions.

France Telecom: + 1.02% to 16.35 euros

Orange filed a complaint against Bouygues Telecom before the Commercial Court of Paris, following the January 1 bug that caused an increase in involuntary SMS.Orange seeking millions of euros in damages.

Nearly eight million shares traded Archos, the title takes off

Peugeot: -0.69% to 29.57 euros

Workers and employees of Peugeot should be increased by 1.7% with a minimum of 34 euros, from 1 March.

Air France-KLM: -0.16% to 12.43 euros

According to the report of the court in Bobigny, including Le Figaro has obtained a copy, the Central Works Council of Air France needs of 20.5 million to continue its activity in 2011 and avoid defaulting .

Archos: + 3.76% to 8 euros

Archos, which will release its quarterly and annual results after market close on February 22, jumped over 34% to 7.71 euros on Thursday on the financial markets. Nearly eight million shares, or approximately one third of the capital of Apple competitor on the shelves, were exchanged.

Champagne to celebrate the good interim results of Pernod Ricard! During the first half of its fiscal year lagged 2010-2011, "the activity is very dynamic in emerging markets and enjoys a gradual recovery in North America and an improvement in Western Europe," says in a statement.

Net income for the period from 1 July to 31 December 2010 amounted to 666 million euros, up 10% over the same period last year.

The turnover of the first half amounted to 4.28 billion euros, up 13%.These are mainly sales of strategic brands of spirits and champagne, which represent 59% of group turnover, which increased the most last year (+8% in volume and +13% in value).

Geographically, Asia and the rest of the world jumped 29%, America 15% Europe 2%, after falling 5% in 2009-2010.

Reduced debt and continued investment

Net debt was reduced from 864 million euros due mainly to a strong generation of cash flow (639 million).

These positive results supporting the group, speaking through its director general, Pierre Pringuet, announced it is revising upwards its guidance for organic growth to a level close to 7% in fiscal 2010/2011, cons " close to 6% "until then.

"We will continue our policy of continued investment in brands and key markets," says Director General of Pernod Ricard.

The respite will not last long on the market for European sovereign debt. The markets have once again played to scare Thursday and fears have focused on Lisbon. The return of Portuguese debt to ten years has indeed reached a level unprecedented since the creation of the euro, to 7.43%. The 7% threshold, estimated as the maximum interest rate for Portugal, has been crossed. The "spread" against German Bunds, that is to say, the premium demanded by investors to hold debt rather than Portuguese in Germany, rose to 440 points.

With this new record yield debt Portuguese, European Central Bank (ECB), which had suspended its buyback program for two weeks, had to return to duty. Traders said that the ECB had mainly bought the debt and Portuguese for relatively small amounts.The level of returns is then dropped to 7.404%.

Relief Fund: markets are getting impatient

Why this sudden adrenaline rush of investors? Thursday, no particular event or no ad would disrupt markets. Portugal has even done a show on Monday for which demand was sustained 6 billion euros for a 3-billion. Only the publication of inflation figures, which accelerated to 3.6% in January over a year, could "act as a trigger," said Patrick Jacq, a strategist at BNP Paribas.But it is especially for him a "pretext" seized by investors who wanted to get rid of their obligations Portuguese.

Indeed, a Malay would rather background behind these rate movements: Waiting for strong measures and reassuring European leaders, "markets are anxious and disturbed by the lack of communication," said Bertrand Michaud analyst at Louis Capital Markets. For several weeks the tension had fallen through discussions on increasing the financial stability of the Permanent Fund European (FESF), the European aid funds to countries in difficulty, and a convergence of economic policies of member states. Central banks had also reassured the markets by saying ready to intervene to redeem debt.Finally, the successful bond issues in Portugal and Spain in particular, and publication of economic indicators reassuring, particularly in Germany, contributed to this relaxation.

But markets are impatient again while discussions between member countries of the euro area have stalled. Last Friday, the leaders gathered at a special summit where Angela Merkel and Nicolas Sarkozy have called for a "pact of competitiveness" among the seventeen countries, including "structural reforms" and a "closer economic cooperation" . But the concrete application of these statements will not be discussed before the next summit. "The EU summit has led to nothing, which was more or less expected, said Patrick Jacq. It was also understood that the Franco-German proposals were not necessarily accepted by other countries.In short, it's back problems in the euro area ". Consequence: increased nervousness of investors resulting in runaway journeys, rational markets as was the case yesterday.

Recession fears

Concerns are still doing over Portugal designated as next on the list after Greece and Ireland for a new rescue plan. Lisbon yet strives to give positive signs. The Government has therefore set a priority to reduce the public deficit to 4.6% of GDP this year, against about 7% in 2010. "In 2011, Portugal will achieve one of the most profound and ambitious fiscal adjustments (…), necessary to ensure the credibility of our economy on the international front, funding of our economy and its growth," said Prime Minister Jose Socrates.Portugal has also reported an estimated GDP growth of 1.3% in 2010, after falling 2.6% the previous year.

But for many economists, recession fears persist. The austerity measures, including the higher taxes and cuts in salaries of civil servants, should indeed stopping domestic consumption. "Portugal is not released at the prospect of using the potential FESF said Patrick Jacq. At this stage, it is a choice on their part but if I were the Portuguese taxpayer, I would prefer that the state borrows under the FESF for a lower rate. " But Portugal is determined not to resort to European funds: "There is no reason to believe that Portugal does not qualify to continue to appeal to markets.Quite the contrary, has said yesterday the Minister of the Presidency Pedro Silva Pereira, who has condemned the attacks speculative pushing up rates of bond yields in Portugal.

Patrick Jacq, interest rate movements important as that of yesterday are relative, however, given the current liquidity conditions. "This is not a significant degradation of the image of Portugal." The peripheral states of the euro area remains under pressure however, pending the outcome of the forthcoming summit of EU leaders on March 11.

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