Hollingsworth Daily Post

• The US Federal Reserve will buy up more debt if the outlook worsen "appreciably", minutes from its August meeting have revealed.The central bank preferred to purchase US government bonds, but did not rule out buying further mortgage debts.The Fed has already bought $1.4tn (£910bn) of mortgage debt in its efforts to stimulate the economy.The minutes also showed that one of committee member voted against keeping its investment at this level.


• China's purchasing manager's index, or PMI, has revealed its first gain in four months.
  The purchasing managers' index, which measures manufacturing growth, rose to 51.7 in August from 51.2 in July.A separate HSBC survey also showed a rise, reaching a three-month high of 51.9 in August from 49.4 in July. Anything above 50 shows an expansion.However, the benchmark Shanghai Composite Index fell despite the positive news.


• A three-year report into currency dealing shows rapid growth in trading, with the majority of business happening in London.Trade has jumped by 20% in the three years since the last survey was conducted by the Bank for International Settlements (BIS), which is sometimes called the "central bankers' bank".But London outpaced the average, with turnover up by 25% over the period.Some $4 trillion (£2.6tn) changes hands around the world every day.


• The Australian economy grew at its fastest pace in three years in the second quarter of the year.The growth was fuelled by demand for the country's iron ore and other commodities, mainly from China.The figures released on Wednesday showed gross domestic product (GDP) expanded 1.2% in the April-June quarter from the previous quarter, compared with 0.7% in the first quarter.Australia has gone for 19 years without suffering a recession.


• French media giant Vivendi has improved its outlook for 2010 after reporting a 4% rise in first-half profit.Vivendi saw a net profit of 1.53bn euros ($1.95bn; £1.26bn) in the first six months of the year, up from the 1.47bn euros it made a year ago.But revenues at its Universal Music Group fell 5.4%, because of "fewer major local and international releases and reduced demand".It now expects 2010 profit to exceed the 2.59bn euros it made in 2009.


• The US financial regulator has dropped possible fraud charges against rating agency Moody's over a computer glitch.The Securities and Exchange Commission (SEC) was investigating top-ranking AAA ratings given by the agency in error to complex debt products in 2007.Moody's said that a bug in its computer simulation model meant that it thought the "constant proportion CDO" products were much safer than they really were.The regulator said it was uncertain it had authority to pursue the case.

BBC Business News 1st September 2010