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Munich Re expects a rebound in profits in 2012

Munich Re has done better than expected in 2011 with a net profit of 710 million euros, supported by the positive fiscal impact of damage paid last year, and expects to find in 2012 profit levels achieved in previous years.

The annual result of the German reinsurer, before deduction of minority interests, is significantly higher than the 590 million euros expected on average by four analysts polled by Reuters, while being significantly lower than the net profit of 2.43 billion euros achieved in 2010.

"Munich Re expects for 2012 a return to results equivalent to those recorded before the year 2011," we learn in a statement. 

The world of reinsurance also announced in a statement that it intends to maintain its dividend for 2011 to 6.25 euros per share.

The title Munich Re was stable around 13h00. He lost nearly 12% of its value in one year as a result of earthquakes that hit Japan and New Zealand and storms in the United States.

The Community budget of the European Union will increase to 129 billion euros in 2012, an increase of 2% in line with inflation, according to the agreement reached Saturday morning after fifteen hours of negotiations.

The agreement is a victory for European governments, struggling with the financial consequences of the debt crisis in the euro area, rejected the will of MEPs to increase the Community budget of over 5% next year .

But by linking the progress of Community resources on expected inflation in 2012, the EU could find itself unable to meet certain expenses, prevent some European officials.

Outgoing Prime Minister and opposition leader have agreed on the names of the ministers of the next coalition government. They should announce it in the day. President Papoulias with George Papandreou and Antonis Samaras.

Greek Prime Minister outgoing, George Papandreou and his conservative rival, Antonis Samaras agreed to form and announce "that day" the new coalition government that they negotiate for three days, told AFP a government source . "There is an agreement on the course, which provides that Mr. Papandreou will make by the beginning of the afternoon at the head of state, who then convene a meeting of leaders of political parties during which agreement will be recognized and announced the composition of the new government, "the source said, but to come forward on behalf of the future prime minister, whose only certainty is that this is not Mr.Papandreou.

An ad for a room of 4.5 m² sold 38,000 euros has rekindled the controversy over the excesses of the real estate in Paris. Should we see evidence of a "market shacks" and the activity of the slumlords? Elements of response. http://www.flickr.com/photos/gcattiaux/

"Avenue Théophile Gautier, the seventh with no elevator. Refurbished room with skylights, approximately 4.5 m2 floor, WC on landing. Ideal office or residence. Price: 38,000 euros … Or nearly 8500 euros per m2. " Wednesday blamed the Liberation journalist Tonino Serafini, this ad has revived the controversy over the excesses of the housing market in Paris.

"Prices are high in Paris in general. They can go up to 12,000 euros per m²" says Jean-Yves Mano, the deputy mayor of Paris in charge of housing. Theophile Gautier Avenue, the average price rises in 9200 and euros, or 700 more than the closet in question.According to the election, "it's the size that is unreasonable. This announcement is outrageous and I hope no one will respond favorably" says he. The site pap.fr, who had published, was also quick to remove it.

But it is far from an isolated supply. "Further announcements show that there is a market shacks" said Libération journalist also on his blog. It evokes a room as well rue du Faubourg Saint-Denis (Paris IX) of 6 m2, or another in the 17th, 7 m2, both at 45,000 euros. But who are the real buyers in this market? What is their purpose?

Merchants of sleep?

The law prohibits a surface lease under 9 m², considered minimum level of decency. "But I do not see anyone buying a small area at this price if not for the purpose of return" admits Jean-Yves Mano.

To the surprise of the ECB cut its rate

The European Central Bank lowered its key rate to 1.25% against 1.5% so far. The new president of the institution Mario Draghi must hold a news conference this afternoon to justify this choice. The Governor of the Bank of Italy, Mario Draghi, should succeed Jean-Claude Trichet for the presidency of the European Central Bank.

The European Central Bank (ECB) decided on Thursday to the surprise of lowering its key rate a quarter point to 1.25%, it had noted in the same proportion there is barely five months.

Since the launch of the euro on 1 January 1999, the ECB changed its rates 34 times (18 increases and 16 decreases).

European markets end up, the CAC40 is 3.27%

European shares posted their third Thursday at the close win in a row, driven by the commitment of Paris and Berlin to keep Greece in the euro area.

In Paris, the CAC-40 ended up on 3.27% to 3045.62 points.

The European Central Bank (ECB) has also helped to sustain the upward movement of European stock. She said Thursday that it would conduct operations at a fixed rate to three months from October to December, offering to banks as many dollars as they want.

These operations are intended to amortize any drying up of liquidity that could occur later this year.

Banks in the euro area show a gain of 6%.BNP Paribas in particular gaining 13.4%, after surging 22% to the announcement of the ECB.

However, UBS ended the day on a loss of 10.8%.

A trader suspected of being linked to losses of some $ 2 billion announced Thursday morning by UBS was arrested in London, said on Thursday from several sources.

How to reduce unemployment without growth

For the French economy creates jobs, it must grow by at least 2%. Unattainable at present. However, there are solutions to reduce unemployment. Here's why. Agency employment center in Nice

After four months of slight decline earlier this year, unemployment in France has increased considerably and the. In July, the number of unemployed rose by 36,100. It is the largest monthly increase since October 2009. It is particularly disturbing that this is the third consecutive month of increases. "Predictably, with growth at 0%," Xavier Bertrand has responded in an interview with Le Figaro on Friday. "But that does not detract from my belief that unemployment will go back down," he added.

It appears optimistic, our Minister of Labour. As rising unemployment reflects a depressed economic conditions.As recalled by Xavier Bertrand growth lights made the place the second quarter. And the second half does not look better, the two engines of growth – business investment and household consumption – being seized. The government also revised down its growth forecasts for 2011 and 2012 – to 1.75% against 2.25% and 2 before. Some analysts are even more pessimistic: they expect a growth of only 1.5% this year and 1% next year.

Or to create jobs, the French economy should grow by at least 1.5%. And to reduce unemployment is to say, create enough jobs to absorb the growth of the labor force, growth must be at least 1.8%. And that's in normal times. The problem is that the French economy out of two years of zero productivity and a year of recession – in 2009.The catch must be more important. To reduce unemployment, it would now grow by at least 2.3% per year. We are far. "In order to reduce unemployment without growth, there are only two treatments, said Eric Heyer, deputy director of analysis and forecasting department of the French Office of Economic conjectures (OFCE).

Administrative treatment of unemployment

France has the chance – or luck – to have a dynamic workforce, due to a high birth rate (more than two children per woman). According to INSEE, the labor force, which stood at 28.35 million people in 2010, is expected to grow by an average of 110,000 people a year by 2025. More than 9000 people a month who register for employment center. To reduce the workforce, just out lists of people registered as unemployed.How? "In the radiant, by offering internships, apprenticeships and training, or putting them into early retirement and by providing job search," Eric Heyer lists.

Radiation administrative job seekers jumped unusual in July (25.1% over the month and 7% year on year). The SNU FSU, the majority union at employment center, sees the consequence of the recent computerization of letters sent to the unemployed. Some economists also point out that past governments in pre-election period, have used an administrative treatment of unemployment.

The current government is not immune to this temptation. Last February, Nicolas Sarkozy announced the release of 500 million euros to encourage the use of long-term unemployed and young people. On the menu: skills training and learning.Or people in learning or training out of lists of employment center. However, the government has no intention of using the subterfuge of early retirement, on the contrary, the exemption from job search (DRE), which allows the unemployed aged 60 and over not to look employment and reach retirement, will be removed in 2012. As for the pension reform passed in 2010, it extends the legal age of retirement and the age of full retirement. Which penalizes the elderly first. Since January 2008, unemployment of over 50 jumped 57%.

Social treatment of unemployment

"The alternative to reduce unemployment when growth is not the appointment is that the public sector taking the baton in the market sector," said Eric Heyer. This includes all forms of assisted contracts, that is to say, employment contracts mainly funded by the state.This is called the social treatment of unemployment. It is a great classic from the left. Martine Aubry, the Socialist candidate in the primary, has already announced that its first action as president, if elected in 2012, will be to remove the tax exemption of overtime to fund the creation of 300,000 "jobs of the future "- the little brothers of youth employment in 1997.

But this solution is also widely used on the right. The government is not talking about jobs for young people but CAE (support contracts in employment in the public sector) and ICE (employment initiative contracts in the private sector). 440 000 of these subsidized contracts to be financed by the state this year.

"While it is not sustainable contracts is not a panacea, recognizes Eric Heyer.But these subsidized contracts have two advantages: one is to target audiences that have the most difficulty in finding employment [the young and long-term unemployed for example], the second is to provide purchasing power to more, which is likely to boost consumption so the country's economic machine. "

Japan is prepared to act on the foreign exchange market

Japan will act firmly against any speculation on currency markets, said Monday the Minister of Finance Yoshihiko Noda, thus demonstrating the will of Tokyo to fight against the soaring yen.

Yoshihiko Noda, who believes the upward trend of the yen as more and more unilateral, also indicated that Japan was in close contact with other countries on this issue.

"We will monitor the markets even more closely than before to detect any speculative activity.We leave open any measure, and we will act decisively when necessary, "he said.

The phrase was repeated several times during the day by the Minister of Finance himself, but also by the Prime Minister Naoto Kan and Secretary of the Government Yukio Edano.

Friday the yen hit a new historic high of 75.95 against the dollar. Anticipating action by the Japanese authorities, the markets have brought the dollar to rise to 77.23.Shortly before 0800 GMT, the dollar was trading against 76.70 yen.

Signs of strength in Tokyo, however, did not allow the equity markets to hide the fear of a return to the U.S. recession, and the Nikkei closed Monday down to a low of five months .

August 4, Tokyo intervened unilaterally in the currency market, but the operation did not prevent minvestisseurs continue to buy yen a safe haven in times of crisis.

According to Kyodo News, the trade minister said Monday Banri Kaieda coordinated action with the U.S. on currency markets would be preferable.

The names of Banri Kaieda and Yoshihiko Noda are most often cited to replace Naoto Kan when it leaves the head of the government, perhaps by the end of the month.

The Paris Bourse is close to its lowest in 2011

The Paris Stock Exchange declined sharply and approaches the lowest of the year in early trade Friday after four consecutive sessions of decline against a background of political stalemate in the United States on the ceiling of debt and doubt resolution the debt crisis in the eurozone.

Around 9:30, the CAC 40 index lost 1.02% to 3674.92 points after a low of 3649.96 points, or five dots above the lower end of the year reached on July 18th (3645 points) .

The results of large groups is not likely to improve the climate created by the sovereign debt crises in Europe and the United States, investors punish poor performers.

Veolia (-6.58%) shows the largest drop in the CAC 40 after being forced to lower its 2011 targets.

Schneider fall of 4.3%, Japan and commodity prices have had a negative impact on the first half.

Vallourec gained 1.76% and is the subject of buying on the cheap after a fall of almost 17% following the announcement of a drop in its second quarter results.

London and Frankfurt lost 0.46% 0.81%. Of the European indices, the EuroStoxx 50 yields 1.07% and 0.69% Eurofirst 300.

The euro declined and traded around 1.4290 dollars against 1.4330 on Thursday.

COR-Deutsche Bank earnings below expectations

Deutsche Bank reported Tuesday a quarterly profit before tax lower than expected, following the presentation of its new management team.

Germany's biggest bank posted a profit before tax up 17% in the second quarter to 1.8 billion euros, while analysts polled by Reuters were expecting $ 1.97 billion.

Its net profit came out unchanged at 1.2 billion euros.

The bank expects to achieve its goal of a 2011 profit before tax of EUR 10 billion, but that it could miss its target on its corporate finance, due to the debt crisis in Europe.

Deutsche Bank announced Monday that a duo of Anshu Jain and Jürgen Fitschen be succeeded in May 2012 at the CEO, Josef Ackermann.

Anshu Jain, 48, heads the investment bank Deutsche Bank while Jürgen Fitschen, 62, driver's German operations of the facility.