‘ Mark Carney Hints at Interest Rate Warning Hike ‘

#AceFinanceNews – LONDON – June 12 – Here are his exact comments: As Sterling goes into overdrive on the money markets.

​The MPC’s current guidance makes clear that we will set monetary policy to meet the inflation target while using up that spare capacity. This has implications for the timing, pace and degree of Bank Rate increases. There’s already great speculation about the exact timing of the first rate hike and this decision is becoming more balanced.

It could happen sooner than markets currently expect. But to be clear, the MPC has no pre-set course. The ultimate decision will be data-driven.

At this point it is safest to conclude, as the MPC has, that there remains scope for spare capacity to be used up before policy is tightened and that a host of labour market, capacity utilization and pricing indicators should be watched closely to determine how that slack is evolving.If there’s one thing that could unnerve the market, it’s the notion of the world’s major central banks actually beginning the tightening cycle in earnest.

Here Mark Carney is suggesting that markets, at least in the UK, are being too complacent about when the party will come to an end.

Although the Fed will do its own thing, it seems plausible that Carney’s comments will concentrate the mind around what will happen state-side.

Check out full speech here:

Read More: BI


‘ George Osborne to Give Bank of England Ability Powers to Curb Mortgage Lending to Prevent Overheating of the Housing Market ‘

#AceFinanceNews – UNITED KINGDOM – June 12 – British Finance Minister George Osborne said Thursday that he will give the Bank of England (BoE) new powers to curb mortgage lending due to the risk that the housing market could pose to financial stability.

UK housing prices have risen by 11 percent over the last year to pre-crisis levels, and the International Monetary Fund (IMF) urged Britain last week to cool the housing market.

Osborne also announced changes to planning rules and introduced limited funding to allow as many as 200,000 homes to be built on former industrial sites in urban areas.

The opposition Labour party has accused the government of not building enough affordable homes since coming to power in 2010.

Ace Related News:

1.BBC News


‘ Iraq Causes Deepening Turmoil and US Stocks Lower as Oil Prices Start Jumping ‘

#AceFinanceNews – UNITED STATES (Fox BN) – June 12 – Deepening turmoil in Iraq is sending U.S. stocks lower, and oil prices jumping, as Wall Street extends its slump.

The Dow is down 106 points, or 0.63%, while the broader S&P 500 is down 0.75%. U.S. crude oil prices are up $1.73, or 1.6%, to $106.12 a barrel.

Fox Business News


‘ Federal Charges Have Been Filed Against Dozens of People Who Allegedly Set-Up a Food Stamp Fraud ‘

#AceFoodNews – UNITED STATES (Georgia) – June 12 – Federal charges have been filed against dozens of people in Georgia who allegedly set up a scheme that funnelled $18 million worth of food stamps through grocery stores in what a Department of Justice official is calling “one of the largest federal food program frauds ever.”

​Fifty-four people were indicted for their roles in the massive fraud which involved the illegal purchase of WIC and food stamp benefits.

The fraud “allegedly involved the purchase of more than $18 million in WIC vouchers and Food Stamp benefits for cash through a number of purported grocery stores set up throughout Georgia.”

Another 34 defendants were indicted for selling their benefits. Through the WIC program, participants receive 3-month supplies of vouchers which can be exchanged for food at authorized stores. The Supplemental Nutritional Assistance Program (SNAP) provides food stamp benefits to low-income families.

It is illegal to sell WIC and SNAP benefits for cash, though that did not stop the 88 people involved in the scam.

“Many of the defendants allegedly canvassed low-income neighborhoods and solicited WIC and Food Stamp participants to illegally exchange their benefits not for food but for cash,” the DOJ’s charge reads.

Read More: Daily Caller Report


‘ European Commission Launches Formal Investigation into Whether Tax Breaks Breach EU’s State Aid Rules ‘

#AceFinanceNews – BRUSSELS – June 12 – The European Commission is to launch a formal investigation into whether tax breaks used to attract international companies breach the EU’s state aid rules.

  • Apple’s tax arrangements in Ireland are set to be a focal point in a Commission investigation (Photo: EUobserver)

The probe, which is likely to target Ireland, Luxembourg and the Netherlands, is set to be announced at a news conference on Wednesday (11 June) by EU competition chief Joaquin Almunia.

Irish broadcaster RTE on Tuesday reported the launch of an investigation into the arrangements of US-based software giant Apple, but EU officials have also been gathering information on tax deals in Luxembourg and the Netherlands since last autumn.

EU countries have promised to crack down on loopholes which have allowed companies such as Amazon, Starbucks and Apple to pay tiny amounts of tax on their European operations.

Last November, the Commission unveiled plans to prevent firms from setting up ‘letter-box’ companies in different countries to reduce their tax bills.

But although combating corporate tax avoidance has climbed the political agenda in recent years as governments look at ways to bolster tax revenues lost during the economic crisis, the EU executive estimates that tax avoidance and evasion in the EU cost about €1 trillion each year.

Almunia has previously described the practice of "aggressive tax planning" as going against the principles of the EU’s single market and "socially untenable".

Read More: EUO


‘ Lithuania’s Order and Justice Deny Rumours it has Joined with Marine Le Pen ‘

#AceFinanceNews – LITHUANIA – June 12 – Lithuania’s Order and Justice party on Wednesday (11 June) denied rumours it has teamed up with Marine Le Pen to form the far-right European Alliance for Freedom group.

  • Marine Le Pen’s National Front jumped from three to 24 seats in the EP (Photo: European Parliament / Pietro Naj-Oleari)

A spokesperson at the right-wing nationalist party told this website that its chairman Rolandas Paksas has not had any contacts with Le Pen on forming her European Parliament faction.

“Mr Paskas hasn’t had any discussions about this with Ms Marine Le Pen because actually after the elections he wasn’t in Brussels, so there wasn’t any meetings,” said the contact.

A group gives MEPs access to more money and influence.

Parliament rules require a group to have at least 25 MEPs representing seven different member states. Le Pen’s alliance of 38 MEPs is composed of only five parties so far.

The future faction, announced last month, includes allies from the Netherlands’ Freedom party, Austria’s Freedom party, Italy’s Lega Nord, and Belgium’s Vlaams Belang.

Rumours circulated on Wednesday suggested another two political groups had joined, meeting the parliament’s minimum threshold.

The two extra parties cited include Lithuania’s Order and Justice party and Poland’s Congress of the New Right.

Read More: EU Observer


‘ EU Legal Quibbling Over Signing Ukraine Trade Treaty ‘

#AceFinanceNews – BRUSSELS – June 12 – The EU has put off an internal decision on the Ukraine trade treaty over a technicality, amid a “nervous” atmosphere on the fate of the accord.

EU ambassadors meeting in Brussels on Wednesday (11 June) had planned to adopt a common decision to sign the text, paving the way for a signature ceremony by leaders at an EU summit on 27 June.

But a verdict by the EU court in Luxembourg on Wednesday morning stopped them from going ahead.

The verdict, in a case on an EU-Philippines treaty from 2012, said the EU used the wrong formula to enshrine British, Danish, and Irish opt-outs from some parts of EU law into the legal basis of the Philippines pact.

With the EU planning to use the same formula in the Ukraine text, ambassadors put off their decision until next week, pending clarification.

The European Commission the same day published a statement saying the 27 June ceremony is not in doubt.

“The EU-Ukraine association agreement will be signed as soon as possible and at the latest on 27/6 at the June European Council together with the association agreements with Georgia and Moldova,” it noted.

One EU diplomat added: “Even those member states who were reluctant in the past are all saying: ‘We really want to sign on 27 June’. That’s the important thing”.

Read More: EU Observer


‘ Forex Currency Manipulation by Banks ‘

#AceFinanceNews – LONDON – June 12 – (BBC News ) – Headline – More action to tackle wrongdoing in the financial sector will be unveiled by Chancellor George Osborne on Thursday.

The measures will include making the manipulation of the foreign currency markets by banks a criminal offence.

In a keynote speech he will promise to target "the unacceptable behaviour of the few and ensure that markets are fair for the many who depend on them".

There has been increasing concern about whether the multi-trillion pound foreign exchange market was rigged.

In his annual Mansion House speech, Mr Osborne will pledge the extension of legislation used to clean up after the Libor interest rate-fixing scandal.

As well as bringing the Forex currency market under this legislation, it will be extended to those who trade in commodities, and also to the fixed income market, where the most common type of products traded are bonds.

(AFN) – This is a global market that for too long has been controlled by bankers, and the latest revelations to hit the news stands, is the fact that it could be rigged. So our Chancellor will before any facts are revealed, try to convince us he is really going to provide safeguards.

A little bit too late Mr Osborne, the damage is already done, all he can do is mitigate facts. His intention he says will be to put in place an extension to the (FCA) legislation. This is truly impossible to control, under legislation.
There has been concern in the markets since 2008 and nothing was done as for the last four years, everyone has been told – things are improving and the more we bought, the more we made for the banks and finance houses.

As these safeguards need to control any or all financial transactions carried out across the world, including every purchase every person makes every day.
This has since the late eighties been evident, as trading in foreign currency has been completed and transactions, between the buy and sell price manipulated. This has increased as the percentage has increased in accordance with profiteering by investment banks.

"Our company pension funds also use the market, so they can invest globally. If wrongdoing is proved, banks could be facing massive fines.

So what of the taxpayers pension funds, invested by companies into these markets, how safe is your pension pot!

Also and including into this massive manipulation of transactions, will eventually come the property, investment and savings market, not leaving out assets and their value. This could truly be a massive financial manipulation of the financial markets.

We pressed ministers to regulate commodities markets and the full array of financial benchmarks back in 2012, but the chancellor failed to act”

Cathy JamiesonShadow Treasury minister

(BBC) "The chancellor will say that any manipulation could effect the amount people pay for foreign currencies when they go abroad, as well as the amount companies pay."

It has been reported that at least 15 banks are being investigated by regulators around the world for alleged forex manipulation.

Martin Wheatley, the head of the FCA, said recently that the allegations, if substantiated, could be "every bit as bad as Libor".

(AFN) This will pale into insignificance if what l suspect is happening and that in fact the difference between the buy and sell price is in fact inflated by a small percentage and this adds up to bankers raking in billions of Pounds, Dollars and Euro’s.

Take into account recent bankers and their deaths and we could be looking at a reason, l will update this post as and when l have researched further.

Though if l am right as l suspect, we could be looking at a worldwide currency manipulation scandal that will make 2008, look like a glitch in the financial trading world.

Ace Finance News

Contributions from BBC News