Illinois governor Rod R. Blagojevich was arrested today and charged with corruption. He reportedly was going to try and "sell" President-Elect Obama's vacant senate seat to the highest bidder. This was just one of the many things he was recorded saying he wanted to do to make money. He also mentioned not giving a children's hospital $8 million becasue a board member didn't give him a $50,000 donation to his campaign. He also said that if he couldn't get what he wanted he would simply appoint himself.
The Illinois Congress said that they will hold an emergency meeting to draft a law that they will allow them to appoint a new senator.
Tuesday, December 9, 2008
Merrill's Thain seeking 2008 bonus of $10 million: report
Merrill Lynch & Co Chief Executive John Thain has asked for a $10 million dollars annual bonus, Merrill Lynch's compesnation commitee has not responded to Thain's request but likely to reject it. Merrill Lynch almost went under until it merged with the bank of America Corp. an hour before Lehman Brothers Holdings Inc filed for bankruptcy. Thain's calm to the $10 million is that he allowed the merger and saved the company from a much larger loss.
Financial Crisis Tames Demand for World’s Oldest Service
This article is about the decrease in demand for prostitution in Prague. It is a huge industry, generating about $500 million each year. This has caused the Czech government to consider regulating the industry, just like all other companies. Either way, demand is way down, so people are demanding fewer services, while at the same time, more people are turning to prostitution for work. It is actually causing the entire country to hurt a little because of the decrease in "sex tourists", or people who come from other countries to go to brothels. Fewer hotels are being rented, fewer European flights are being bought and its all around a tough time.
So I guess this makes prostitution a normal good...
So I guess this makes prostitution a normal good...
Economic slump causes NFL to cut staff
It appears that even the National Football League is not immune to the current economic crisis. Today they announced that they will be cutting about 10% of their staff that works in New York, at the headquarters. This announcement comes after the NBA and NASCAR also announced layoffs. Roger Goodell, Commissioner of the NFL, noted that most games have been sold out this season. He notes though that this was probably because season tickets were purchased over the summer and last season. The 2009 season will be a move accurate measure of how bad the NFL has bee hit.
Zimbabwe MDC adviser 'kidnapped'
Witnesses say Zimbabwe's opposition MDC adviser Gandhi Mudzingwa was forced by nine gunmen into a car which then drove to the city centre on Monday afternoon.
It would bring to 18 the number of MDC activists and rights campaigners who have vanished in the past six weeks.
President Robert Mugabe's ruling Zanu-PF party and Movement for Democratic Change (MDC), who has been deadlocked in power-sharing negotiations since September, can do nothing about the current outbreak of cholera.
The UN says nearly 600 Zimbabweans are known to have died in the outbreak, but there are fears that the number may be much higher.
Slump hits India's car industry
With all the focus on the US's car industry, I thought we would shift the attention a little to Inda's. Japan's third-larges carmaker, Nissan, and Renault have scaled back plans for joint projects after a sharp fall in car sales in the region.
Nissan's representive's said it still wanted to start car production together with Renault in the first half of 2010, as scheduled, at a plant in the southern city of Chennai.
But the factory, thus far, will start with just one daily shift, instead of two.
Other projects in India, including a joint venture between Nissan, Renault and India's Bajaj Auto to sell a $2,500 (£1,700) car from 2011, would go ahead as planned, Nissan said.
Demand for trucks in India has also dropped by more than 60% over the past year because of the credit crunch and a sharp drop in construction activity.
Nintendo Sees Wii, DS Sales Holding Up, Bucking Slump
Nintendo Co. President Satoru Iwata expects demand for Wii and DS game players to hold up this year after sales during the Black Friday shopping week increased more than the company had anticipated.
Iwata’s comments indicate Nintendo is coping better than Sony Corp. and Panasonic Corp. with the global recession that forced the world’s two largest consumer-electronics makers to slash their annual revenue forecasts. Monthly retail sales in the U.S. tumbled the most in almost four decades in November.
U.S. sales of the Wii in the week ended Nov. 29 doubled to about 800,000 consoles, Iwata said. The number of portable DS players sold rose 20 percent to around 800,000, he said.
The Wii has outsold the PlayStation 3 and Microsoft Corp.’s Xbox 360 almost every month since its release in November 2006. Nintendo’s flagship machine led U.S. console sales in October with 803,000 units, followed by 371,000 for the Xbox 360 and 190,000 for the PS3, according to researcher NPD Group Inc.
The yen has jumped 36 percent against the euro this year and 20 percent versus the dollar, ranking it as the top performer among 16 major currencies tracked by Bloomberg.
The impact from the yen is probably “less than for rivals” because Nintendo has been buying a larger proportion of its components in dollars in recent years, the executive said. The company will adjust the share of components purchased in yen, euros and dollars to minimize costs, he said.
Iwata’s comments indicate Nintendo is coping better than Sony Corp. and Panasonic Corp. with the global recession that forced the world’s two largest consumer-electronics makers to slash their annual revenue forecasts. Monthly retail sales in the U.S. tumbled the most in almost four decades in November.
U.S. sales of the Wii in the week ended Nov. 29 doubled to about 800,000 consoles, Iwata said. The number of portable DS players sold rose 20 percent to around 800,000, he said.
The Wii has outsold the PlayStation 3 and Microsoft Corp.’s Xbox 360 almost every month since its release in November 2006. Nintendo’s flagship machine led U.S. console sales in October with 803,000 units, followed by 371,000 for the Xbox 360 and 190,000 for the PS3, according to researcher NPD Group Inc.
The yen has jumped 36 percent against the euro this year and 20 percent versus the dollar, ranking it as the top performer among 16 major currencies tracked by Bloomberg.
The impact from the yen is probably “less than for rivals” because Nintendo has been buying a larger proportion of its components in dollars in recent years, the executive said. The company will adjust the share of components purchased in yen, euros and dollars to minimize costs, he said.
Sony to Trim 8,000 Jobs and Reduce Investment
The Sony Corporation, the Japanese consumer electronics giant, said on Tuesday that it would eliminate 8,000 jobs and rein in planned investment in reaction to the global economic slowdown.
Sony, which had already announced cost cuts and had been widely expected to outline more, blamed the rapid deterioration in the global economic outlook and the strength of the yen for the latest cuts.
Sony’s earnings — like those of many of the region’s export giants, including Canon, Samsung and Honda — have plummeted as a result of the slowing export and forced the company to cut its annual profit forecast for the fiscal year through March 2009 by 58 percent in October.
Sony, which had already announced cost cuts and had been widely expected to outline more, blamed the rapid deterioration in the global economic outlook and the strength of the yen for the latest cuts.
Sony’s earnings — like those of many of the region’s export giants, including Canon, Samsung and Honda — have plummeted as a result of the slowing export and forced the company to cut its annual profit forecast for the fiscal year through March 2009 by 58 percent in October.
Five firms seen vying for AIG Japan units-sources
Prudential Financial Inc (PRU.N: Quote, Profile, Research, Stock Buzz), Manulife Financial Corp (MFC.TO: Quote, Profile, Research, Stock Buzz) and three other companies are expected to make bids for two Japanese life insurers put up for sale by American International Group Inc.
Prudential unit Gibraltar Life Insurance Co and Manulife will bid for AIG Edison Life Insurance Co and AIG Star Life Insurance Co. The remaining three bidders are a Japanese insurance company and two non-Japanese firms.
AIG has said it plans to sell everything except its U.S. property and casualty business, foreign general insurance, and an ownership interest in some foreign life operations.
Prudential unit Gibraltar Life Insurance Co and Manulife will bid for AIG Edison Life Insurance Co and AIG Star Life Insurance Co. The remaining three bidders are a Japanese insurance company and two non-Japanese firms.
AIG has said it plans to sell everything except its U.S. property and casualty business, foreign general insurance, and an ownership interest in some foreign life operations.
Global Crisis
I find it so unfortunate that emerging countries economies are going to have to suffer because of the global financial meltdown. I think it is one of the worst side effects of this meltdown and one of the less talked about, but for those people that were making 2 dollars a day and now have little hope for raising above their standing this is a catastrophe.
Kroger says 3Q earnings fall 6 percent
The Kroger Co. says its profit fell 6 percent in its third quarter, mainly because of damages and disruption from Hurricane Ike.
The nation's largest traditional grocery store chain reported Tuesday that net income was $237.7 million, or 36 cents per share. Last year, Kroger reported net income of $253.8 million, or 37 cents per share.
Revenue for the quarter rose 9 percent to $17.6 billion.
Analysts polled by Thomson Reuters had predicted earnings of 38 cents per share, on revenue of $17.4 billion.
Kroger said results included an after-tax charge of $15.9 million, or 3 cents per share, related to its $25 million insurance deductible for Ike. The storm damaged stores, forced some to shut down temporarily and caused outage-spoiled food in September.
Otherwise, Kroger said earnings would have been $253.6 million, or 39 cents per share.
German Industrial Output Slumps
Output in Germany dropped more than expected; dropping by 2.1 percent. This was preceded by a 6.1 percent drop in manufacturing orders. German officials stated that output would continue to “decline in the coming months.”
Construction activity also fell by 3 percent. Germany, which is one of the world’s largest exporters, has been hit hard by the global decline in demand. Two of their largest sectors are car production and machine tool production.
This is the first recession for Germany since the beginning of 2003.
Construction activity also fell by 3 percent. Germany, which is one of the world’s largest exporters, has been hit hard by the global decline in demand. Two of their largest sectors are car production and machine tool production.
This is the first recession for Germany since the beginning of 2003.
China 'Faces Mass Social Unrest'
The increasing unemployment and continued economic slowdown could spur huge social turmoil in China, a leading communist party official said. The problems with theft and robbery will only increase the social instability the country is experiencing.
The real rate of joblessness is at 12 percent and could get to 14 percent by next year as the economy continues to slow down. China’s GDP has also decreased to 9 percent in the third quarter, down from 10.1 percent in the second quarter. Future growth rates are to be expected around 7.5 percent. To help with the country’s problems, the Chinese government passed a stimulus package and cut interest rates.
The real rate of joblessness is at 12 percent and could get to 14 percent by next year as the economy continues to slow down. China’s GDP has also decreased to 9 percent in the third quarter, down from 10.1 percent in the second quarter. Future growth rates are to be expected around 7.5 percent. To help with the country’s problems, the Chinese government passed a stimulus package and cut interest rates.
Petitioners in China 'Abducted'
Chinese authorities in the eastern city of Xintai have been “abducting citizens who make complaints.” The people who are abducted are taken to mental hospitals and some of them are forced to take powerful drugs. They are detained until they withdraw the statements. There have been eighteen reported cases.
Most of the complaints stem form land disputes with the state. Human rights groups have accused China for forcing people in mental hospitals for quite some time. Some have been imprisoned for years, never receiving a proper trial.
Most of the complaints stem form land disputes with the state. Human rights groups have accused China for forcing people in mental hospitals for quite some time. Some have been imprisoned for years, never receiving a proper trial.
Rwandan Growth Could Reach 10 Percent
Rwanda’s growing agriculture and manufacturing sectors could push the country’s growth to 10 percent this year, up from 6 percent last year. Next year’s growth is expected to fall between 6 and 7 percent due to the global financial crisis.
Rwanda has been trying to repair its economy since the 1994 genocide. They have been focusing on farming, tourism, mining, and energy sectors. With this news comes that the Rwandan franc is overvalued by 10 to 15 percent. Inflation is at 21.9 percent, but Rwandan officials expect inflation to it to be in single digits by 2009.
Rwanda has been trying to repair its economy since the 1994 genocide. They have been focusing on farming, tourism, mining, and energy sectors. With this news comes that the Rwandan franc is overvalued by 10 to 15 percent. Inflation is at 21.9 percent, but Rwandan officials expect inflation to it to be in single digits by 2009.
Obama Vows Aid for Car Industry
United States President-elect Barack Obama said that he “Will not allow the country’s car industry to collapse,” but help must come with strict conditions. He also said that the industry would have to restructure. The US car makers are asking for a $34 billion bailout plan. There has been some controversy about where the money should come from.
The plan is a “stop-gap,” which will help the three ailing firms until Mr. Obama can take office and help formulate a long-term plan. He has said that letting these firm going into bankruptcy is not an option.
Economist Paul Krugman has said that he doubts that the US car sector would survive; however it is worth our help in the short run. He says that in the end these companies will probably disappear.
The plan is a “stop-gap,” which will help the three ailing firms until Mr. Obama can take office and help formulate a long-term plan. He has said that letting these firm going into bankruptcy is not an option.
Economist Paul Krugman has said that he doubts that the US car sector would survive; however it is worth our help in the short run. He says that in the end these companies will probably disappear.
Record Cut in the Euro Zone Interest Rates
The European Central Bank or ECB has cut interest rates by .75 percent, the largest cut ever. This record cut was greater than expected. The current ECB’s rate now stands at 2.5 percent. This cut comes as the Euro zone inflation plummets and economy continues to be in a recession The Swedish central bank has also lowered its key interest rate by 1.75 points to 2 percent.
The ECB’s chief expects the Euro zone to continue to be in a recession, shrinking by .5 to 1 percent. The forecast for inflation is expected to be about 3.3 to 3.5 percent in 2008 and the estimation for 2009 is 1.4 to 2.6 percent.
Analysts predict that interest rates could decrease to 1.5 percent by March in hopes of boosting the economy.
The ECB’s chief expects the Euro zone to continue to be in a recession, shrinking by .5 to 1 percent. The forecast for inflation is expected to be about 3.3 to 3.5 percent in 2008 and the estimation for 2009 is 1.4 to 2.6 percent.
Analysts predict that interest rates could decrease to 1.5 percent by March in hopes of boosting the economy.
Monday, December 8, 2008
Job Losses are Worst since 1974
In November 2008 the U.S lost half of a million jobs, this is the worst one month decrease in employment since 1974. This news comes as the U.S prepares to face a recession predicted to last through 2009. In total employers have shed 1.3 million jobs since September. Recently figures show that the um employment rate has risen again from 6.5% to 6.7%. This is one of the worst recessions we have seen in the U.S since the great depression.
The jobless rate has increased as discouraged job seekers actively searching for jobs have started to give up hope. The number of people who were actively searching for work, but have since given up, increased from 11.8% in October to 12.5% in November. President elect Barack Obama steps into a challenging economic environment."There are no quick or easy fixes to this crisis, which has been many years in the making, and it's likely to get worse before it gets better," he said.
The economy is contracting sharply as consumers weary of the current economic climate have dramatically decreased there spending. Retailers are taking the grunt as many stores are struggling to survive the storm. In order to get the economy back on track two main factors need to be addressed. First is stabilization in the housing system and second is unclogging the credit crunch. Strategic moves by the Fed and the U.S treasury along with the 700 billion fiscal stimulus package should help get the economy back on its feet. The worst is far from over as economists expect the unemployment rate to hit 8% over the next year. This is a very challenging time for job seekers and it is only going to get worse in the near future.
The jobless rate has increased as discouraged job seekers actively searching for jobs have started to give up hope. The number of people who were actively searching for work, but have since given up, increased from 11.8% in October to 12.5% in November. President elect Barack Obama steps into a challenging economic environment."There are no quick or easy fixes to this crisis, which has been many years in the making, and it's likely to get worse before it gets better," he said.
The economy is contracting sharply as consumers weary of the current economic climate have dramatically decreased there spending. Retailers are taking the grunt as many stores are struggling to survive the storm. In order to get the economy back on track two main factors need to be addressed. First is stabilization in the housing system and second is unclogging the credit crunch. Strategic moves by the Fed and the U.S treasury along with the 700 billion fiscal stimulus package should help get the economy back on its feet. The worst is far from over as economists expect the unemployment rate to hit 8% over the next year. This is a very challenging time for job seekers and it is only going to get worse in the near future.
Obama Bonds to Give Buyers Taste of Japan Lost Decade
The U.S. is starting to look like Japan in the 1990s, when the Bank of Japan struggled to revive growth as the combination of deflation and recessions stranded the nation in the so-called Lost Decade. Yields on Treasuries are falling as the government sells a record amount of debt to prop up the American economy. Two-year note yields have fallen to 1 percent, compared with 0.57 percent for Japanese government bonds of similar maturity. The gap last week touched the narrowest since 1992.
Bando bought Treasuries, as did Mizuho Asset Management Co., which oversees $41.9 billion and bet all year that inflation in the U.S. will turn into deflation, buoying government debt. JPMorgan Asset Management Japan Ltd., part of the largest U.S. lender, is buying Treasuries, speculating the Federal Reserve will purchase the securities to keep yields down and spur the economy, just as the Bank of Japan did a decade ago.
Commercial banks may also buy more government debt, they said. Since 2000, Japanese banks increased their holdings of the nation’s bonds to 20 percent from 9 percent of total assets, Jen and Andreopoulos wrote. U.S. banks have about 10 percent of their assets in government securities, down from 20 percent in 2003.
Bando bought Treasuries, as did Mizuho Asset Management Co., which oversees $41.9 billion and bet all year that inflation in the U.S. will turn into deflation, buoying government debt. JPMorgan Asset Management Japan Ltd., part of the largest U.S. lender, is buying Treasuries, speculating the Federal Reserve will purchase the securities to keep yields down and spur the economy, just as the Bank of Japan did a decade ago.
Commercial banks may also buy more government debt, they said. Since 2000, Japanese banks increased their holdings of the nation’s bonds to 20 percent from 9 percent of total assets, Jen and Andreopoulos wrote. U.S. banks have about 10 percent of their assets in government securities, down from 20 percent in 2003.
Japan deeper in recession, Q3 GDP shows
Japan's economy shrank more than initially estimated in the third quarter, confirming that the economy is already deep in recession in the midst of a global economic slump.
While the weakness until the third quarter largely stemmed from high oil prices, the economy is expected to take the brunt of the global downturn in the fourth quarter and beyond.
Gross domestic product shrank a revised 0.5 percent in the July-September quarter, against a preliminary reading of a 0.1 percent contraction and economists' median forecast of a 0.2 percent fall.
On an annualized basis, the Japanese economy shrank 1.8 percent, more than the initial reading of a 0.4 percent contraction and below economists' median forecast for a revised 0.9 percent decline.
While the weakness until the third quarter largely stemmed from high oil prices, the economy is expected to take the brunt of the global downturn in the fourth quarter and beyond.
Gross domestic product shrank a revised 0.5 percent in the July-September quarter, against a preliminary reading of a 0.1 percent contraction and economists' median forecast of a 0.2 percent fall.
On an annualized basis, the Japanese economy shrank 1.8 percent, more than the initial reading of a 0.4 percent contraction and below economists' median forecast for a revised 0.9 percent decline.
Asian Stocks Rise on U.S., India Stimulus Plans; Komatsu Gains
Asian stocks and U.S. futures rose as U.S. President-elect Barack Obama pledged the biggest public works program in about 50 years and India cut interest rates.
Komatsu Ltd., the world's No. 2 maker of construction machinery, rose 11 percent after Obama planned the largest spending package since President Dwight D. Eisenhower created the interstate highway system. India's Housing Development Finance Corp. added 5.7 percent on a $4 billion government stimulus plan. Hong Kong Exchanges & Clearing Ltd. surged 16 percent after a government official said a plan that permits Chinese nationals to buy the city's shares is still on track.
Hong Kong Exchanges, which manages Asia's third-largest bourse, surged 16 percent to HK$71.50. China Overseas Land & Investment Ltd., the Hong Kong-listed developer controlled by China's construction ministry, jumped 15 percent to HK$12.42.
Aeon Co., Japan's largest supermarket operator, jumped 6.2 percent to 879 yen, the most since Nov. 10. Mitsubishi Corp., Japan's biggest trading house, will purchase a stake of about 5 percent in Aeon and form an alliance to buy and distribute goods and open stores, two people familiar with the matter said Dec. 6.
Komatsu Ltd., the world's No. 2 maker of construction machinery, rose 11 percent after Obama planned the largest spending package since President Dwight D. Eisenhower created the interstate highway system. India's Housing Development Finance Corp. added 5.7 percent on a $4 billion government stimulus plan. Hong Kong Exchanges & Clearing Ltd. surged 16 percent after a government official said a plan that permits Chinese nationals to buy the city's shares is still on track.
Hong Kong Exchanges, which manages Asia's third-largest bourse, surged 16 percent to HK$71.50. China Overseas Land & Investment Ltd., the Hong Kong-listed developer controlled by China's construction ministry, jumped 15 percent to HK$12.42.
Aeon Co., Japan's largest supermarket operator, jumped 6.2 percent to 879 yen, the most since Nov. 10. Mitsubishi Corp., Japan's biggest trading house, will purchase a stake of about 5 percent in Aeon and form an alliance to buy and distribute goods and open stores, two people familiar with the matter said Dec. 6.
VND/US$ exchange rate soars, gold price drops
Foreign currency exchange shops on Ha Trung street in Hanoi yesterday afternoon said that the market was witnessing another wave of dollar price increases with yesterday’s price reaching VND17,320-17,400/US$1 (purchase and sale), an increase of VND200/US$1 over the previous day.
Meanwhile, the interbank exchange rate announced by the State Bank of Vietnam for yesterday, November 12, was VND16,496/US$1, or VND2/US$1 less than the previous day. The exchange rates applied by banks have remained stable at VND16,940-16,950/US$1.
When asked why the VND/US$ exchange rate on the black market in the last few days was higher than the ceiling level, Governor of the State Bank of Vietnam Nguyen Van Giau said that it was because of speculation. However, as the volume of transactions on the black market just accounts for a small proportion, this will not affect the production and business of enterprises.
As for the domestic gold price, the price of bar gold yesterday decreased by VND50,000/tael over the previous day. SJC gold in Hanoi was quoted at VND16.56-16.66mil/tael (purchase and sale), Bao Tin Minh Chau gold VND16.55-16.61mil/tael. The current domestic price is still VND1.3mil/tael higher than the world’s price.
Investors are currently indifferent to the gold price decreases. The market is still quiet with very few transactions. Some experts say that people are not purchasing at this moment because these are not yet the bottom gold prices, and that people will wait until gold prices go down further.
Meanwhile, the interbank exchange rate announced by the State Bank of Vietnam for yesterday, November 12, was VND16,496/US$1, or VND2/US$1 less than the previous day. The exchange rates applied by banks have remained stable at VND16,940-16,950/US$1.
When asked why the VND/US$ exchange rate on the black market in the last few days was higher than the ceiling level, Governor of the State Bank of Vietnam Nguyen Van Giau said that it was because of speculation. However, as the volume of transactions on the black market just accounts for a small proportion, this will not affect the production and business of enterprises.
As for the domestic gold price, the price of bar gold yesterday decreased by VND50,000/tael over the previous day. SJC gold in Hanoi was quoted at VND16.56-16.66mil/tael (purchase and sale), Bao Tin Minh Chau gold VND16.55-16.61mil/tael. The current domestic price is still VND1.3mil/tael higher than the world’s price.
Investors are currently indifferent to the gold price decreases. The market is still quiet with very few transactions. Some experts say that people are not purchasing at this moment because these are not yet the bottom gold prices, and that people will wait until gold prices go down further.
$15 billion is granted as a start in bailing out the big three
Congress is set to provide the "Big Three" a $15 billion loan with the money coming from the previously approved $25 billion loan to help them meet fuel-efficiency standards vs. from TARP.
The loan is designed to help GM and Chrysler avoid imminent bankruptcy, and buy both the industry and Congress time to come up with a (hopefully) more comprehensive solution.
Among issues being discussed:
- Limitations on executive pay and restrictions on how any government loans could be used. Additionally, pressure is mounting on GM to remove Rick Wagoner as CEO.
- Warrant for taxpayers that are senior to existing stakeholders to ensure any Federal loans are repaid first.
- The creation of a Federal oversight board led by a "car czar" and including the Secretaries of Treasury, Energy, Labor, Commerce, and Transportation plus the Environmental Protection Agency.
It's hard to say which is more frightening — the idea of the auto industry being run from Washington, D.C., or that experts like Economy.com's Mark Zandi say the Big Three will utilmately need $75 billion to $125 billion in order to avoid bankruptcy.
The loan is designed to help GM and Chrysler avoid imminent bankruptcy, and buy both the industry and Congress time to come up with a (hopefully) more comprehensive solution.
Among issues being discussed:
- Limitations on executive pay and restrictions on how any government loans could be used. Additionally, pressure is mounting on GM to remove Rick Wagoner as CEO.
- Warrant for taxpayers that are senior to existing stakeholders to ensure any Federal loans are repaid first.
- The creation of a Federal oversight board led by a "car czar" and including the Secretaries of Treasury, Energy, Labor, Commerce, and Transportation plus the Environmental Protection Agency.
It's hard to say which is more frightening — the idea of the auto industry being run from Washington, D.C., or that experts like Economy.com's Mark Zandi say the Big Three will utilmately need $75 billion to $125 billion in order to avoid bankruptcy.
China to invest $10 billion in Brazil oil
China wants to loan Brazil's state oil company $10 billion to help develop massive new oil fields in deep water off the coast of Rio de Janeiro, Brazil's top energy official said in comments published Monday.
Mines and Energy Minister Edison Lobao also told the Folha de S. Paulo newspaper that the United Arab Emirates has offered to develop fields, but he did not specify a price tag. Lobao said Chinese officials contacted his ministry to propose a loan and Petrobras then negotiated directly with the Chinese. He gave no details on the status of talks, and any deal would have to be approved by his ministry.
Petrobras, in an e-mailed statement to The Associated Press, didn't confirm a China deal, but said the company has historically searched for "varied sources of financing" and that recent deals will be included in its new investment plan, expected in the coming weeks.
Lobao told the privately run Agencia Estado news agency other countries also wanted to participate: "It's not just China. It's a range of opportunities that Petrobras has." Lobao said the ministry has talked with a Japanese consortium, Canadian banks and various foreign oil service companies who want to invest in or work on offshore finds. He offered no other details.
Petrobras says it has discovered 50 billion to 80 billion barrels of reserves over the past year and is gearing up to spend hundreds of billions of dollars during the next 30 years to extract the light crude.
Mines and Energy Minister Edison Lobao also told the Folha de S. Paulo newspaper that the United Arab Emirates has offered to develop fields, but he did not specify a price tag. Lobao said Chinese officials contacted his ministry to propose a loan and Petrobras then negotiated directly with the Chinese. He gave no details on the status of talks, and any deal would have to be approved by his ministry.
Petrobras, in an e-mailed statement to The Associated Press, didn't confirm a China deal, but said the company has historically searched for "varied sources of financing" and that recent deals will be included in its new investment plan, expected in the coming weeks.
Lobao told the privately run Agencia Estado news agency other countries also wanted to participate: "It's not just China. It's a range of opportunities that Petrobras has." Lobao said the ministry has talked with a Japanese consortium, Canadian banks and various foreign oil service companies who want to invest in or work on offshore finds. He offered no other details.
Petrobras says it has discovered 50 billion to 80 billion barrels of reserves over the past year and is gearing up to spend hundreds of billions of dollars during the next 30 years to extract the light crude.
Some good news for quake victims in Pakistan
There is still room for good news:
The initial warnings of a spread of disease through the quake-affected areas have proved largely unfounded. The UN World Health Organization, which initiated a Disease Early Warning System soon after the quake, and has been monitoring the situation in Pishin and Ziarat, has noted that acute respiratory infections are responsible for nearly 50 percent of medical consultations in the area - no higher than in the 'peak season' in previous years.
Adequate supplies of food also seem to have reached victims, with families saying 'we suffered no shortages after the earliest days.'
However, post-quake water shortages have added to the difficulties of people in an area where fruit growing is a key means of livelihood. 'The water channel from a nearby stream that I used for watering my apple trees is useless as the stream is now dry,' said Azeem Khan.
Pakistan's National Disaster Management Authority (NDMA), which is coordinating the relief effort, said 710 houses were completely destroyed, another 4,524 were badly damaged and over 4,600 suffered minor damage.
The initial warnings of a spread of disease through the quake-affected areas have proved largely unfounded. The UN World Health Organization, which initiated a Disease Early Warning System soon after the quake, and has been monitoring the situation in Pishin and Ziarat, has noted that acute respiratory infections are responsible for nearly 50 percent of medical consultations in the area - no higher than in the 'peak season' in previous years.
Adequate supplies of food also seem to have reached victims, with families saying 'we suffered no shortages after the earliest days.'
However, post-quake water shortages have added to the difficulties of people in an area where fruit growing is a key means of livelihood. 'The water channel from a nearby stream that I used for watering my apple trees is useless as the stream is now dry,' said Azeem Khan.
Pakistan's National Disaster Management Authority (NDMA), which is coordinating the relief effort, said 710 houses were completely destroyed, another 4,524 were badly damaged and over 4,600 suffered minor damage.
Cooperation, but no extradition without proof
Pakistan on Monday turned down renewed Indian requests for the extradition of three fugitives while reiterating its demand for evidence sharing in connection with Mumbai attacks one week ago, diplomatic sources confirmed to Dawn.
Pakistan’s demarche noted that it had started its own investigations into the Mumbai attacks, but progress was constrained by a lack of information sharing between India and Pakistan regarding the incident.
Pakistan’s demarche noted that it had started its own investigations into the Mumbai attacks, but progress was constrained by a lack of information sharing between India and Pakistan regarding the incident.
Fake Simpsons cartoon 'is porn'
An appeal judge in Australia has ruled that an animation depicting well-known cartoon characters engaging in sexual acts is child pornography.
The internet cartoon featured characters from the Simpsons TV series.
The central issue in the case was whether a cartoon character could depict a real person.
Judge Michael Adams decided that it could, and found a man from Sydney guilty of possessing child pornography on his computer.
The defence had argued that the fictional, animated characters were not real people, and clearly departed from the human form.
They therefore contested that the conviction for the possession of child pornography should be overturned.
Justice Michael Adams said the purpose of anti-child pornography legislation was to stop sexual exploitation and child abuse where images of "real" children were depicted.
But in a landmark ruling he decided that the mere fact that they were not realistic representations of human beings did not mean that they could not be considered people.
He ruled that the animated cartoon could "fuel demand for material that does involve the abuse of children," and therefore upheld the conviction for child pornography.
Rather than jail the man, however, he fined him Aus$3,000 (US$2,000).
The internet cartoon featured characters from the Simpsons TV series.
The central issue in the case was whether a cartoon character could depict a real person.
Judge Michael Adams decided that it could, and found a man from Sydney guilty of possessing child pornography on his computer.
The defence had argued that the fictional, animated characters were not real people, and clearly departed from the human form.
They therefore contested that the conviction for the possession of child pornography should be overturned.
Justice Michael Adams said the purpose of anti-child pornography legislation was to stop sexual exploitation and child abuse where images of "real" children were depicted.
But in a landmark ruling he decided that the mere fact that they were not realistic representations of human beings did not mean that they could not be considered people.
He ruled that the animated cartoon could "fuel demand for material that does involve the abuse of children," and therefore upheld the conviction for child pornography.
Rather than jail the man, however, he fined him Aus$3,000 (US$2,000).
Greece cities hit by new rioting
Fresh clashes have broken out between police and protesters across Greece for a third day, after the fatal shooting of a 15-year-old by police on Saturday.
Hundreds of students battled police in Thessaloniki, while protests also turned violent in Trikala, the port of Piraeus, and on the island of Corfu.
Police used tear gas against rioters in Athens, where youths threw petrol bombs and set fire to buildings and vehicles.
Prime Minister Costas Karamanlis has gone on television to appeal for calm.
He said "extreme elements" were taking advantage of the situation to engage in vandalism and pledged to compensate businesses damaged. Television pictures showed small fires burning in the centre of Athens and hundreds of people wandering through the streets, some attacking banks, businesses and vehicles.
A large Christmas tree in central Syntagma Square was set on fire and windows were smashed on hotels, government buildings and departments stores.
There were reports of looting in some parts of the country.
Hundreds of students battled police in Thessaloniki, while protests also turned violent in Trikala, the port of Piraeus, and on the island of Corfu.
Police used tear gas against rioters in Athens, where youths threw petrol bombs and set fire to buildings and vehicles.
Prime Minister Costas Karamanlis has gone on television to appeal for calm.
He said "extreme elements" were taking advantage of the situation to engage in vandalism and pledged to compensate businesses damaged. Television pictures showed small fires burning in the centre of Athens and hundreds of people wandering through the streets, some attacking banks, businesses and vehicles.
A large Christmas tree in central Syntagma Square was set on fire and windows were smashed on hotels, government buildings and departments stores.
There were reports of looting in some parts of the country.
Pakistan 'crackdown on militants'
Pakistani security forces have swooped on a camp in Pakistani-administered Kashmir used by a militant group that India links to the Mumbai attacks.
The Lashkar-e-Taiba group's operational chief, Zaki-ur-Rehman Lakhvi, who is said by Delhi to have ordered the attacks, was reportedly seized.
Witnesses heard several loud explosions and saw a helicopter and dozens of army personnel at the scene.
The outlawed group is one of the most feared in Indian-administered Kashmir.
Cordoned off
Government and militant-related sources in the capital Islamabad and in the Kashmiri city of Muzaffarabad reported Mr Lakhvi's detention although there has been no official confirmation.
The Lashkar-e-Taiba group's operational chief, Zaki-ur-Rehman Lakhvi, who is said by Delhi to have ordered the attacks, was reportedly seized.
Witnesses heard several loud explosions and saw a helicopter and dozens of army personnel at the scene.
The outlawed group is one of the most feared in Indian-administered Kashmir.
Cordoned off
Government and militant-related sources in the capital Islamabad and in the Kashmiri city of Muzaffarabad reported Mr Lakhvi's detention although there has been no official confirmation.
Top 9/11 suspects to plead guilty
Alleged 9/11 mastermind Khalid Sheikh Mohammed and his four co-defendants have said they want to plead guilty at a pre-trial hearing at Guantanamo Bay. Mr Mohammed said he would postpone entering his plea until an investigation into the mental state of two of his co-defendants is complete.
Military Judge Col Stephen Henley had ordered the probe into whether the two were mentally competent to stand trial.
The five men face death sentences if convicted of roles in the 2001 attacks.
Correspondents say no trial date has been set and there seems little chance that one will begin before President-elect Barack Obama takes office.
He has said he is opposed to the military tribunal and has pledged to close down the detention centre at Guantanamo Bay.
'No intimidation'
For the first time, nine relatives of the 9/11 victims were flown to Cuba by the US military to watch Monday's pre-trial hearing.
Military Judge Col Stephen Henley had ordered the probe into whether the two were mentally competent to stand trial.
The five men face death sentences if convicted of roles in the 2001 attacks.
Correspondents say no trial date has been set and there seems little chance that one will begin before President-elect Barack Obama takes office.
He has said he is opposed to the military tribunal and has pledged to close down the detention centre at Guantanamo Bay.
'No intimidation'
For the first time, nine relatives of the 9/11 victims were flown to Cuba by the US military to watch Monday's pre-trial hearing.
Stocks: More pain, more gains?
The article explains how although the economy has continued to decline as we near the end of 2008, stocks have been stable and continued to increase from the November low (around Nov. 20th.) In November alone, the economy has suffered over 530,00 joblesses, further bailouts, and companies going under. Even with stocks steadily increasing, it still does not act as an accurate indicator of the current condition of the economy. The article states that we can still expect investors to sell, or "cash out" towards the end of the year, which will lead further into this economic depression.
-What indicators should be examined during this period?
-When can we truely say that the bottom has been reached?
-What indicators should be examined during this period?
-When can we truely say that the bottom has been reached?
Sunday, December 7, 2008
India unveils $4bn stimulus plan
The reserve Bank of India have cut key interest rates 1% from 7.5% to 6.5% on December sixth followed by the announcement of an extra $4 billion in government spending in an attempt to increase consumption in the current economic woes. Its been the third time since October of this year that the Reserve Bank of India has cut its rates and is at its lowest since June of 2006.
Business confidence in India has fallen due to the recent terrorist attack. Along side the stimulus package and lowered interests the government is also planning on giving tax cuts to further encourage spending in India. Due to the rising debt of India, India has a limited weapons to battle this economic down turn, prior to this package India has primary used monetary policies to battle the recession.
Business confidence in India has fallen due to the recent terrorist attack. Along side the stimulus package and lowered interests the government is also planning on giving tax cuts to further encourage spending in India. Due to the rising debt of India, India has a limited weapons to battle this economic down turn, prior to this package India has primary used monetary policies to battle the recession.
Price of Recyclables Falling Fast
"Trashed Has Crashed" reads the first statement from this NY times article. It talks about how the economic downturn has been killing the market for recyclable materials like cardboard, paper, plastic, and metals. These recyclable materials have now been piling up in recycling centers because they are either unable to find buyers of the material or unwilling to sell at the "junk" price. An example of price decrease from the article reads "On the West Coast, for example, mixed paper is selling for $20 to $25 a ton, down from $105 in October".
This is just another example of how the weakening economy is hurting almost every industy in some way. Hopefully this does not affect peoples willingness to continue recycling.
This is just another example of how the weakening economy is hurting almost every industy in some way. Hopefully this does not affect peoples willingness to continue recycling.
Rise in Unemployment in the US
America shed more jobs in November than in any month in the past 34 years. If these are the figures to go by then America’s recession is likely to be long and deep. According to the data revealed by the Bureau of Labor Statistics there has been a fall in employment numbers by 533,000. Workers have been shed across almost the whole economy and even the people with jobs have been toiling for fewer hours than before. The only areas untouched were health care and government employment.
This, I feel is a big deal for America, whose unemployment rate rose from 5% to 6.7% since December 2007.
This, I feel is a big deal for America, whose unemployment rate rose from 5% to 6.7% since December 2007.
Oil prices fall to four-year low
The price of a barrel of crude oil has fallen to about $40, its lowest level in four years, as demand falls due to the global financial crisis.The contract for light, sweet crude for January delivery closed at $40.81 a barrel on the New York Mercantile Exchange on Friday, a drop of $2.86 on the previous day's trading. But at one point during Friday’s trading the contract fell to $40.50, its lowest level since December 2004.Meanwhile, the London contract for Brent North Sea crude for January delivery fell by $2.54 to round off the day at $39.74 dollars, its lowest price since January 2005.
Global slowdown
The precipitous fall in oil prices – from a record high of over $147 a barrel on July 11 – comes as businesses across the world cut jobs in an effort to survive the global economic slowdown.As oil prices fell on Friday, the US labour department reported that 530,000 people fell out of work in November.The US unemployment rate now stands at 6.7 per cent, its highest level since October 1993.The fall in oil prices and industrial output, along with higher than expected levels of unemployment in the world’s biggest economies, have led analysts to predict that the global recession will be a protracted one."The wild bull era is over," Phil Flynn, an analyst at Alaron Trading, said.The decline in oil prices comes after the Organisation of the Petroleum Exporting Countries (Opec) put off a decision on reducing oil output until December 17.
Demand sinks
A sharp rise in oil prices in the first seven months of 2008 was due to strong global economic growth, cheap money and available credit, Flynn said.But since the global financial crisis began in September, primarily in the banking sector, lines of easy credit to businesses have evaporated, hitting demand for crude."We are now entering a new era of lower and more stable oil prices for years to come. That does not mean we will not see other bull markets along their way but get used to the markets trading different than they did throughout most of this decade," he said.
The International Energy Agency (IEA) on Friday lowered its projections for global oil demand in 2008-2013. It said that demand for oil products would climb from 86.2 million barrels a day in 2008 to 91.3 million in 2013, revising downwards its July forecasts.The US, eurozone and Japan are already in recession and investors are concerned that oil prices could sink as low as $25 a barrel if the global downturn hits major emerging countries such as China and India.
Lower Oil prices may seem like a good thing when you are at the pump, but it can have disastrous side effects, not only because it decreases the push for alternative energy options, but because there are many countries in the middle east whose economies are on the brink. one of the only things that has kept them from collapsing years ago is their oil revenues. already some of these countries (Saudi Arabia) have almost 50% unemployment and when their economy gets worse, so will the unrest and violence that it triggers. If the US is truly committed to peace in the middle east, it should be ready to help these economies move away from oil dependence so that crises or the introduction of alternative energy to not the starting point of tremendous economic suffering and civil unrest in the region.
Global slowdown
The precipitous fall in oil prices – from a record high of over $147 a barrel on July 11 – comes as businesses across the world cut jobs in an effort to survive the global economic slowdown.As oil prices fell on Friday, the US labour department reported that 530,000 people fell out of work in November.The US unemployment rate now stands at 6.7 per cent, its highest level since October 1993.The fall in oil prices and industrial output, along with higher than expected levels of unemployment in the world’s biggest economies, have led analysts to predict that the global recession will be a protracted one."The wild bull era is over," Phil Flynn, an analyst at Alaron Trading, said.The decline in oil prices comes after the Organisation of the Petroleum Exporting Countries (Opec) put off a decision on reducing oil output until December 17.
Demand sinks
A sharp rise in oil prices in the first seven months of 2008 was due to strong global economic growth, cheap money and available credit, Flynn said.But since the global financial crisis began in September, primarily in the banking sector, lines of easy credit to businesses have evaporated, hitting demand for crude."We are now entering a new era of lower and more stable oil prices for years to come. That does not mean we will not see other bull markets along their way but get used to the markets trading different than they did throughout most of this decade," he said.
The International Energy Agency (IEA) on Friday lowered its projections for global oil demand in 2008-2013. It said that demand for oil products would climb from 86.2 million barrels a day in 2008 to 91.3 million in 2013, revising downwards its July forecasts.The US, eurozone and Japan are already in recession and investors are concerned that oil prices could sink as low as $25 a barrel if the global downturn hits major emerging countries such as China and India.
Lower Oil prices may seem like a good thing when you are at the pump, but it can have disastrous side effects, not only because it decreases the push for alternative energy options, but because there are many countries in the middle east whose economies are on the brink. one of the only things that has kept them from collapsing years ago is their oil revenues. already some of these countries (Saudi Arabia) have almost 50% unemployment and when their economy gets worse, so will the unrest and violence that it triggers. If the US is truly committed to peace in the middle east, it should be ready to help these economies move away from oil dependence so that crises or the introduction of alternative energy to not the starting point of tremendous economic suffering and civil unrest in the region.
Oil, and its pricey rollercoaster ride
Oil's back to pre 2004 levels. Gas is currently sold at about 1.34 a gallon. If there is one good thing about this recession, is that it drew back demand, and now the market's so flooded with oil that prices have dropped tremendously.
The implications? Well, for us college students, its simple. Gas is cheaper, travelling is easier, and the financial brunt of this recession is reduced. I'm pretty sure all other American's are on the same boat here. The oil producing countries though, i'm afraid, are hating on us. They planned out their budgets based on a price of $60 a barrel, and countries like Iran, Venezuela and Russia and feeling its immediate fallout. They cut back on production, cut back on spending, have tried to reign in the supply but the market just keeps falling.
This is good, since prices were overbid, but is also bad since a lot of energy related consumption needed a wake up call, and high prices was it. What i would hate to see is all that media attention on the "new energy" sector to goto waste. The 80's showed us a flash of light, and last year's prices gave us the thundering sound blast. Lets not forget, that this lighting rod of oil dependency will always strike again.
The implications? Well, for us college students, its simple. Gas is cheaper, travelling is easier, and the financial brunt of this recession is reduced. I'm pretty sure all other American's are on the same boat here. The oil producing countries though, i'm afraid, are hating on us. They planned out their budgets based on a price of $60 a barrel, and countries like Iran, Venezuela and Russia and feeling its immediate fallout. They cut back on production, cut back on spending, have tried to reign in the supply but the market just keeps falling.
This is good, since prices were overbid, but is also bad since a lot of energy related consumption needed a wake up call, and high prices was it. What i would hate to see is all that media attention on the "new energy" sector to goto waste. The 80's showed us a flash of light, and last year's prices gave us the thundering sound blast. Lets not forget, that this lighting rod of oil dependency will always strike again.
Latvia arrests Economist for giving public financial advice..
Latvia has stressed its support for free speech despite the arrest of an economist over comments he made, a spokesman for the prime minister says. University lecturer Dmitrijs Smirnov told a newspaper the nation's currency, the lat, was heading for devaluation. He advised people to withdraw their money from banks or change it. Mr Smirnov was later arrested by Latvia's security police, who usually hunt for terrorists and organised criminals, before begin released. Mr Smirnov was locked up for two days last month before he was freed. No decision has been made yet whether to charge him. In an interview with the BBC World Service, Mr Smirnov said the police accused him of trying to destabilise Latvia's financial system. He said: "I was scared. I am not a lawyer but I also cannot think a man can be detained for his opinion or advice in a newspaper."
Mr Smirnov, who teaches at Ventspils University College, says he was held in a cell by himself but was treated well. The police have been reluctant to talk about the case, but in a statement to the BBC said: "The Security Police of Latvia received a complaint from a finance control institution, after that we initiated criminal procedure." A spokesman for Latvia's prime minister said he would not comment on Mr Smirnov's arrest but said: "We support freedom of opinions, it is the base of our constitution".
Mr Smirnov says he will watch what he says in future. Asked if he would change his advice in light of his arrest, he said: "Of course I will be more careful. I don't want again to go to prison." He is not allowed to leave the country while the investigation continues but says there has been a "great reaction" to his arrest and he has been supported by Latvia's media.
Latvia, which has been a member of the European Union since 2004, is currently in talks with the International Monetary Fund about a possible loan. Finance Minister Atis Slakteris has said the IMF wants the central bank to devalue the lat but the government does not want to. The country is in recession and its output is predicted to shrink by 5% in 2009, according to the central bank.
Its interesting how, on one hand, a ogvernment wants to promote free speech, and on the other hand, the economy's welfare depends on experts not creating a stampede of capital flight (which requires stiffling free speech).
Mr Smirnov, who teaches at Ventspils University College, says he was held in a cell by himself but was treated well. The police have been reluctant to talk about the case, but in a statement to the BBC said: "The Security Police of Latvia received a complaint from a finance control institution, after that we initiated criminal procedure." A spokesman for Latvia's prime minister said he would not comment on Mr Smirnov's arrest but said: "We support freedom of opinions, it is the base of our constitution".
Mr Smirnov says he will watch what he says in future. Asked if he would change his advice in light of his arrest, he said: "Of course I will be more careful. I don't want again to go to prison." He is not allowed to leave the country while the investigation continues but says there has been a "great reaction" to his arrest and he has been supported by Latvia's media.
Latvia, which has been a member of the European Union since 2004, is currently in talks with the International Monetary Fund about a possible loan. Finance Minister Atis Slakteris has said the IMF wants the central bank to devalue the lat but the government does not want to. The country is in recession and its output is predicted to shrink by 5% in 2009, according to the central bank.
Its interesting how, on one hand, a ogvernment wants to promote free speech, and on the other hand, the economy's welfare depends on experts not creating a stampede of capital flight (which requires stiffling free speech).
Budget deficits galore...
Just recently, I read an article about India's economic stimulus package.
Its a whopping "$4 billion dollars". The columnist writes about how mounting debt in India has played such a strong role in hindering any investment by the government. The reasons traverse deeper though. India is a host of numerous loans from the World Bank and IMF and one of their binding conditions for loan usage is controlling a government fiscal deficit and reigning it in. Thats why India gives its people a $4 billion dollar stimulus, while China gives its people a $586 billion dollar stimulus package.
So lets talk about here, in United States. The total cost is now nearing about $1.5 trillion dollars. Wow. How is America gonna manage their "fiscal deficit problem"? Agreed its nowhere close to India's budget deficit and is considered a safer investment destination, in the long run, will America be able to satisfy its creditors that their money will be repaid and more importantly, will Obama satisfy his liberal economic goals while controlling the country's deficit problem.
Its clear, Obama and America have a long road ahead of them.
I'm thinkin 10 years and counting..
Its a whopping "$4 billion dollars". The columnist writes about how mounting debt in India has played such a strong role in hindering any investment by the government. The reasons traverse deeper though. India is a host of numerous loans from the World Bank and IMF and one of their binding conditions for loan usage is controlling a government fiscal deficit and reigning it in. Thats why India gives its people a $4 billion dollar stimulus, while China gives its people a $586 billion dollar stimulus package.
So lets talk about here, in United States. The total cost is now nearing about $1.5 trillion dollars. Wow. How is America gonna manage their "fiscal deficit problem"? Agreed its nowhere close to India's budget deficit and is considered a safer investment destination, in the long run, will America be able to satisfy its creditors that their money will be repaid and more importantly, will Obama satisfy his liberal economic goals while controlling the country's deficit problem.
Its clear, Obama and America have a long road ahead of them.
I'm thinkin 10 years and counting..
Man killed for 'hogging karaoke'
A Malaysian man has been stabbed to death for refusing to stop singing and hand over the microphone at a karaoke bar, police say.
Abdul Sani Doli, 23, reportedly angered some of the customers when he hogged the stage at the bar in Sandakan town on eastern Borneo island.
Witnesses said he was attacked, and the fight spilled out on to the street.
He was punched before being stabbed to death with a knife. His body was found a short distance from the bar.
Sandakan's police chief ACP Rosli Mohd Isa said two men were in police custody, helping them with their inquiries.
Karaoke, in which amateurs can sing along to their favourite songs, first emerged from Japan and became hugely popular across Asia during the 1980s, before spreading to other parts of the world.
Abdul Sani Doli, 23, reportedly angered some of the customers when he hogged the stage at the bar in Sandakan town on eastern Borneo island.
Witnesses said he was attacked, and the fight spilled out on to the street.
He was punched before being stabbed to death with a knife. His body was found a short distance from the bar.
Sandakan's police chief ACP Rosli Mohd Isa said two men were in police custody, helping them with their inquiries.
Karaoke, in which amateurs can sing along to their favourite songs, first emerged from Japan and became hugely popular across Asia during the 1980s, before spreading to other parts of the world.
Man killed for 'hogging karaoke'
A Malaysian man has been stabbed to death for refusing to stop singing and hand over the microphone at a karaoke bar, police say.
Abdul Sani Doli, 23, reportedly angered some of the customers when he hogged the stage at the bar in Sandakan town on eastern Borneo island.
Witnesses said he was attacked, and the fight spilled out on to the street.
He was punched before being stabbed to death with a knife. His body was found a short distance from the bar.
Sandakan's police chief ACP Rosli Mohd Isa said two men were in police custody, helping them with their inquiries.
Karaoke, in which amateurs can sing along to their favourite songs, first emerged from Japan and became hugely popular across Asia during the 1980s, before spreading to other parts of the world.
Abdul Sani Doli, 23, reportedly angered some of the customers when he hogged the stage at the bar in Sandakan town on eastern Borneo island.
Witnesses said he was attacked, and the fight spilled out on to the street.
He was punched before being stabbed to death with a knife. His body was found a short distance from the bar.
Sandakan's police chief ACP Rosli Mohd Isa said two men were in police custody, helping them with their inquiries.
Karaoke, in which amateurs can sing along to their favourite songs, first emerged from Japan and became hugely popular across Asia during the 1980s, before spreading to other parts of the world.
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