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Eurozone crisis: Spain’s borrowing costs hit nine-year high

• Interest rate on 18-month bond nears 4% • Relief that buyers could at least be found • Soros warns ‘real crisis’ requires euro bonds • UK banks claw back some of Monday’s losses Spain saw its borrowing costs leap to a nine-year high on Tuesday as the eurozone debt crisis continued to dominate the financial markets. Although Spain found buyers for €661m (£581m) of 18-month bonds, it had to agree to pay a yield, or interest rate, of 3.912%. This is the highest yield on such bonds since 2002, according to Reuters, and a significant rise on the 3.26% agreed at the last sale of 18-month bills. This 18-month auction was heavily oversubscribed – with Spain receiving offers for 5.5 times as much debt as it sold. Spain also sold €3.7bn (£3.25bn) of 12-month bonds at a yield of 3.7%, up from 2.695% at the previous auction in June. Its bid-to-cover ratio – the measure of how oversubscribed the auction was – was 2.2. The auction was the first measure of investor confidence since last week’s EU stress tests . There was some relief in the City that the auction had not failed, and that buyers were still prepared to take on Spanish debt despite fears that the country will have to seek a bailout. The yield on 10-year Spanish debt, seen as the key indicator of market confidence, eased back to 6.2%. Italian 10-year bonds also strengthened, with the yield dropping to 5.7%. But economists remain concerned that Europe is struggling to get to grips with the ongoing debt crisis, ahead of a crucial emergency meeting scheduled for Thursday . Gary Jenkins of Evolution Securities believes European leaders must announce a “comprehensive package which will have elements of a fiscal union”, if they are to persuade international investors that Italian and Spanish bonds are safe. “Whatever resolution is put in place for Greece will probably be taken as the template for Ireland, Portugal etc and there is a chance that the EU announces something that gives the market some short-term relief. But the number of cans that now need kicking down the road would challenge the left foot of Lionel Messi,” wrote Jenkins in a research note. Around €160bn of Italian bonds mature this year, with a further €250bn coming up for repayment in 2012. This far exceeds the current resources of the existing European financial stability mechanism. Banks shares claw back losses In London, bank shares staged a small rally following Monday’s heavy losses. Barclays topped the FTSE 100 risers , up 4.5% in morning trading, recovering some of its 6% decline as investors balked at last week’s European banking stress tests. UK government debt was also in demand on Tuesday, at an auction of five-year gilts. The yield on the securities fell to 1.78%, down from around 1.95% in June. The euro rose against the dollar on Tuesday, gaining over half a cent to $1.417 after a survey of German economic sentiment came in above forecast. But billionaire financier George Soros warned that the single currency was still at risk, and argued that further integration is needed to hold the EU together. “The euro is a real crisis. It’s a crisis of the European Union, not just of the euro,” Soros told the Today programme . Soros said that Greece’s troubles – the country is still shut out of the international money markets and needs a second bailout – have shown the problems of the European Union. He argued that so-called “euro bonds” need to be created, so that weaker members of the region can still borrow. “In order to deal with Greece, you have to strengthen the arrangements for the euro. The trouble is that the European establishment is now sticking to the status quo.” Nouriel Roubini, professor of economics at New York University and chairman of Roubini Global Economics, has argued that banks across the eurozone need to be recapitalised to prevent the contagion spreading further. “The eurozone’s current muddle-through approach is an unstable disequilibrium: kicking the can down the road, and throwing good money after bad, will not work,” Roubini wrote on Project Syndicate . “Either the eurozone moves toward a different equilibrium – greater economic, fiscal, and political integration, with policies that restore growth and competitiveness, including orderly debt restructurings and a weaker euro – or it will end up with disorderly defaults, banking crises, and eventually a break-up of the monetary union.” European debt crisis European banks Bonds Euro Greece Europe Spain Italy Graeme Wearden guardian.co.uk

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Raw Video: Murdoch Arrives at Parliament

Photographers surrounded Rupert Murdoch’s car Tuesday as he arrived for a grilling from UK lawmakers about the phone hacking scandal. The SUV quickly drove off. (July 19)

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Piers Morgan on Rupertgate: ‘Murdoch victim of a ‘witch hunt’

Click here to view this media Piers Morgan, the former editor for Rupert Murdoch’s now-defunct News of the World , dedicated a segment of his CNN show Monday to defending the media mogul. Former New York Post reporter Vicky Ward, who is a personal friend of Murdoch’s, joined Morgan. “Piers, I just got a call an hour ago, and Rupert wanted to tell me personally that, you know, he’s not okay,” Ward reported. “Ever since he met with Milly Dowler, the murdered girl’s parents, he hasn’t felt the same. His voice has been cracking, people around him are very concerned, his children are very concerned. This is a man who is more devastated than he has ever been in his entire 80 years, and you know, he is appalled at what’s gone on on his watch, and I think he’s as anxious to get to the bottom of it as we all are.” “I just cannot accept — although there is this huge witch hunt going on to bring him down personally — I don’t accept that he himself would be party to illegal activity,” Morgan asserted. “I completely agree with you, Piers,” Ward replied. “He became a friend to me when I was at The New York Post , he would stop by my office and talk to me. He wanted to know what tomorrow’s headlines were. He would not in any way want to interfere with a story. This is a man who cares so much about his legacy. He once said to me, ‘All I want is for my kids to be decent people.’” “I wouldn’t want this to become a kind of valedictory, he’s perfect kind of segment,” Morgan said finally. “The one thing about Rupert is that — yes, he can be ruthless, but actually we can just talk about this, he’s ruthless, but also entrepreneurial. He built an empire, often at great personal risk. But tomorrow I expect to see a very, very sincerely contrite person [when he appears before parliament],” Ward concluded. The CNN host was drawn into the News Corp. phone hacking scandal when Liberal Democrat MP Adrian Sanders called for Morgan to be questioned . The following entry from Morgan’s diary had made Sanders suspicious: “Apparently if you don’t change the standard security code that every phone comes with, then anyone can call your number and, if you don’t answer, tap in the standard four digit code to hear all your messages… I’ll change mine just in case, but it makes me wonder how many public figures and celebrities are aware of this little trick.” UPDATE: John Amato Digby wrote up some transcript of Gordon’s post from Newstalgia where Piers Morgan makes an arse out of himself: Morgan: I have a lot of sympathy for the people at the top because I don’t think they had a clue what was going on. And I think it’s one of those situations where until you know exactly what the scale of the problem is it’s very hard to deal with it. But what I do find stomach churning was your mate Hugh Grant on here the other day.A guy who has used the media. This is my problem with all the phone hacking victims. They’ve all used the media over the years to feather their nests, buy their houses flog their movies, sell out their concerts and now they’re squealing like little pigs ove them edia and I just think it’s perspective time again. The Guardian is leading the charge on phone hacking. They believe it’s wrong for any newspaper to publish material that has been gained unlawfully and yet the Guardian was the newspaper that published Wikileaks, which is openly an illegal form of material that’s been acquired illegally that was very dangerous to many parts of the security services and the armed forces. They knew that and willfully published it and their arguments is well it was all in the public interst. Really? Colonel Ghadaffi’s lovers? Which is one of the Wilileaks revelations? That’s in the public interest? There is no difference. It is sanctimonious, hypocritical bilge by the Guardian by the BBC — sorry, they’ve piled in too — by stars like Hugh Grant. The BBC, in my experience when I was a newspaper editory, you break a big juicy story, a big old scandal, and then what would happen is the Guardian and BBC the next day would say, “there are disgusting revelations in the Daily Mirror or news of the World so repellant that we are now going to talk about them for the next 20 minutes” and in the case of the Guardian we are going to run 17 pages. You can’t have your cake and eat it. If the BBC and the Guardian feel so strongly about this pruriant form of journalism then they should never cover it again. He’s right about the mainstream media being perfectly happy to run with scandals, but I think he’s rather purposefully missing the point. Hacking into celebrities’ answering machines is criminal. Hacking into crime victims’ answering machines is just sick. And turning it all into a backscratching exercise with the police is a threat to a free and democratic society. Yes, the Ghadaffi lovers story exposed in Wikileaks was not really a matter of national interest. But “big juicy scandals” of the tabloid variety are hardly the main thrust of Wikileaks. And as far as I know, Wikileaks hasn’t been blackmailing politicians with threats to expose their dirty personal laundry if they refuse to play ball. (It’s possible, but I haven’t heard of it.) Piers Morgan is a prick. And sooner or later CNN is going to have to deal with this. At the very least the celebrities who are his bread and butter should ask themselves if it’s worth whoring themselves out to someone who clearly has no respect for them whatsoever. He apparently thinks that if you use the media to sell something you’ve completely given up your rights CNN hasn’t had to face the chin music of hiring Morgan in the first place after he was part of News of The World hierarchy and has been beating his chest in defense of Murdoch–nonstop.

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Dog Fetches Beer (VIDEO)

Well, this could quite possibly be the most talented dog in the world. Upon hearing the word “beer,” Murdock the adorably puppy happily trots to the kitchen, opens the refrigerator door and fetches his owner a cold one. As if that weren’t enough, after receiving his award for the first feat, his owner reveals Murdock’s other skill — closing the refrigerator door after himself. As one YouTube commenter told the owner, “You just won life.” We have one more thing to thank the awesome pooch for though: finally associating something other than phone hacking, scandal, and cover-ups to the name “Murdock” this week. For more of this summer’s adorable puppies, check out our photo gallery. WATCH:

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ITC patent ruling against Apple will stand, Kodak nods approvingly

July is shaping up to be a pretty good month for Kodak. Just a few weeks after granting the camera-maker a second wind in its ongoing patent battle against Apple and RIM , the ITC has issued yet another decision in its favor, determining that a May ruling against Cupertino will stand. At issue is an Apple complaint, filed in April 2010, charging Kodak with infringement of two patents on image processing and power management. On May 12, ITC Judge Robert Rogers shot down Apple’s attack, ruling that the patents were not infringed and that one of them was invalid. The full Court had been scheduled to review Rogers’ decision later this year, but that won’t be happening, now that the ITC has decided to close the investigation (see the PDF, below). Kodak was understandably pleased with the result, though its focus will now turn to August 30th, when an administrative law judge is expected to weigh in on the company’s patent offensive against both RIM and Apple. ITC patent ruling against Apple will stand, Kodak nods approvingly originally appeared on Engadget on Tue, 19 Jul 2011 05:40:00 EDT. Please see our terms for use of feeds . Permalink

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Curious Folks Ask 2: Our Fellow Creatures, Our Planet, and Beyond

Type: eBooks Title: Curious Folks Ask 2: Our Fellow Creatures, Our Planet, and Beyond See all customer reviews Product Description: More Amazing Science Q&As from the Author of Curious Folks Ask !   Why do lizards do pushups? Does hot water really freeze faster than cold water? Why does the moon look bigger at the horizon? Why do some people float and others sink? What’s better, paper or plastic? Why can’t anything go faster than light? How did oil get there? How does carbon dating work, and why do scientists trust it? How much does the earth weigh? Why can’t you make square soap bubbles?   These are just a few of the fascinating science questions real people have asked top science writer, author, and columnist Sherry Seethaler. This book brings together 188 of her best answers—all crystal-clear, accurate, quick, and a pleasure to read. Seethaler knows exactly how to cut through jargon, confusion, and myths. She’s passionate about sharing what scientists have learned—and what they still don’t know. In this book, she explores everything from the inside of your freezer to the deepest reaches of the universe, ancient myths to cutting-edge theories. Prepare to be even more surprised, intrigued, and amazed! See the details

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One of the Senate’s staunchest budget-cutters has unveiled a massive plan to cut the nation’s deficit by $9 trillion over the coming decade, including $1 trillion in tax increases opposed by most of his fellow Republicans. Sen. Tom Coburn’s plan is laced with politically perilous proposals—like raising to 70…

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Lamar Odom Accident

Lamar Odom accident: Victim dies after car crash! (VIDEO) csonnier96 says: 15 year old killed in Lamar odom accident

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Lil Boosie

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Lil Boosie

Lil Boosie- He Did You Wrong Lil Boosie – Distant Lover (with lyrics) Lil Boosie – I’m Hot (with lyrics) Minah_Miney_Mo says: Lmao n Lil Boosie was this girl that didnt lik me favorite rapper. That bitch prolly in the corner cryin and shit lmfaooo.

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Victorinox Swiss Army Slim, Slim Duo USB drives begin shipping, won’t get you into trouble with the TSA

For frequent business travelers, the days of carrying around a Swiss Army knife on your keychain were gone even before the TSA was born. Well, that familiar pocket multi-tool is back, in the form of Victorinox’s Swiss Army Slim and Slim Duo. Both products pack a tool that many of us use far more often than scissors and knives: the USB flash drive. We first took a look at Victorinox’s latest gadget at CES, but the colorful, waterproof storage devices are finally shipping, in capacities that range from 4GB ($40) all the way up to 128GB ($350) with the Slim Duo (which, as its name implies, includes a pair of 64GB drives). Both flavors are designed to let you file photos and presentations, not your fingernails — but if you’re looking to do both, Vic’s got you covered there , too. Continue reading Victorinox Swiss Army Slim, Slim Duo USB drives begin shipping, won’t get you into trouble with the TSA Victorinox Swiss Army Slim, Slim Duo USB drives begin shipping, won’t get you into trouble with the TSA originally appeared on Engadget on Tue, 19 Jul 2011 08:00:00 EDT. Please see our terms for use of feeds . Permalink

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