usd and usd: September 2014

Tuesday, September 30, 2014

US stocks drop on disappointing economic data

9:23 am | Wednesday, October 1st, 2014

Wall Street stocks Tuesday finished lower following disappointing economic data, including a big drop in US consumer confidence. AP

NEW YORK–Wall Street stocks Tuesday finished lower following disappointing economic data, including a big drop in US consumer confidence.

On the final day of the third quarter, the Dow Jones Industrial Average closed at 17,042.90, down 28.21 points (0.17 percent).

The broad-based S&P 500 fell 5.51 (0.28 percent) to 1,972.29, while the tech-rich Nasdaq Composite Index shed 12.46 (0.28 percent) to 4,493.39.

Despite Tuesday’s drops, all three indices finished with quarterly gains. The Dow rose 1.29 percent, the S&P 0.62 percent and the Nasdaq 1.93 percent.

After rising for four months, the Conference Board index of US consumer confidence fell to 86.0 from 93.4 in August due to mounting concerns about the jobs market.

Other reports included a disappointing reading on Chinese manufacturing and a drop in eurozone inflation in September to the lowest level since the financial crisis.

EBay jumped 7.5 percent after announcing it would spin off PayPal to help it compete better in the fast-moving online payments industry. Earlier eBay had rejected calls by activist investor Carl Icahn to spin off PayPal.

Oil companies dropped as US crude prices retreated 3.6 percent. Dow members ExxonMobil and Chevron fell by 0.4 percent and 1.0 percent respectively, while ConocoPhillips lost 1.7 percent.

Online real estate listings company Move bolted 37.1 percent higher after Rupert Murdoch’s News Corp. announced it would buy the service for $950 million. Zillow, a rival real estate listing company, fell 2.8 percent. News Corp. dropped 2.2 percent.

Avis Budget fell 7.0 percent after the company’s chief financial officer told an investment conference that fleet costs have risen above expectations, in part due to heavy recalls announced by automakers.

Bond prices fell. The yield on the 10-year US Treasury rose to 2.51 percent from 2.49 percent Monday, while the 30-year increased to 3.21 percent from 3.18 percent. Bond prices and yields move inversely.

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Gov’t keeping 2014 growth goals as port congestion eases

4:00 am | Wednesday, October 1st, 2014

The National Economic and Development Authority (Neda) on Tuesday expressed confidence that the growth goal for the year would be achieved in view of the easing of congestion at the ports following the lifting of the truck ban in Manila.

Neda director-general and Economic Planning Secretary Arsenio M. Balisacan told reporters that the government was expecting gross domestic product (GDP) growth to hit this year’s target range of 6.5 to 7.5 percent.

“We have grown far above 7 percent in many quarters in the past, so it’s possible to reach the GDP target this time,” Balisacan said on the sidelines of the Philippine Economic Briefing in Pasay City. The Philippine economy grew by 7.2 percent in 2013.

Balisacan noted that the economy should expand by 6.9 to 7 percent in the second half to achieve the lower end of the 2014 goal. The first half GDP growth slowed to 6 percent from 7.8 percent in the first semester of 2013, mainly as the daytime truck ban implemented in the city of Manila starting February slowed trade.

The truck ban caused delays in the entry of imported raw materials as well as in the delivery of finished products for export.

The Neda chief pointed out that the flat imports figure last July reflected the impact of the truck ban to the economy. At the start of the second half, the value of imported goods was almost unchanged, barely inching up by 0.002 percent to $5.4943 billion from $5.4941 billion last year.

He said the truck ban’s negative effect on the economy peaked in June and July.

The official nonetheless expressed optimism that the economy would bounce back, especially as exports and employment both posted growth in July.

Latest government data showed that merchandise exports jumped 12.4 percent to $5.5 billion last July from $4.9 billion in the same month last year.

As for employment, the government reported that the unemployment rate in July slid to 6.7 percent, 0.6-percentage point lower than the 7.3 percent recorded during the same period last year. Neda claimed that 1.06 million jobs were created between July last year and July this year.

Also, Balisacan said the damage caused the by the last two strong typhoons that battered the country “was not as severe as those caused by previous typhoons.”

“Hopefully, the recent typhoons don’t have much negative impact on the economy,” he said.

With the lifting of the truck ban in mid-September, the government hopes export and import figures “will be much better” in the last two months of the third quarter, the Neda chief said.

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Gov’t logs P393B in investment pledges

But amount of commitments in 1st 8 months fell by 1.2% year-on-year

By Amy R. Remo |Philippine Daily Inquirer

3:00 am | Wednesday, October 1st, 2014

Total investment pledges approved by the Board of Investments (BOI) and Philippine Economic Zone Authority (Peza) dipped by 1.2 percent to P393.6 billion in the first eight months of 2014 from the P398.3 billion recorded a year ago.

Trade Undersecretary Adrian S. Cristobal Jr. said the decline was due to the lack of big-ticket projects seen in the same period last year. The country was also coming from a higher base, with investment approvals in 2013 growing by 10.4 percent to P742.2 billion from the P672.3 billion in 2012.

But Cristobal pointed to the upside of the investment figures, citing the number of jobs that the potential projects could generate.

Based on documents provided during the Philippine Economic Briefing Tuesday, the approved investment commitments for the January-August 2014 period covered 541 projects, which could generate 107,639 new jobs.

The bulk of these pledges (41 percent, or P162 billion) were intended to fund electricity, gas, steam and air-conditioning supply projects. Some of the major power projects approved included those of St. Raphael Power Generation Corp.; GNPower Kauswagan Ltd. Co.; Panay Energy Development Corp.; Emerging Power Inc.; Prime Meridian Powergen Corp.; and Agusan Power Corp.

Real estate activities comprised the second biggest share (25 percent) with P98 billion, followed by manufacturing projects, which could boost the country’s industrial sector. Other projects are related to construction, accommodation, and food services activities.

Of the investment commitments approved, about P328 billion (83 percent) came from domestic sources, while the remaining P66 billion (17 percent) came from foreign sources.

The top five foreign sources of investments were Japan, with approved investments reaching P13.6 billion; the Cayman Islands (P10 billion); The Netherlands (P9 billion); British Virgin Islands (5.9 billion); and the United States (P5.7 billion). They were followed by Germany, Singapore, the United Kingdom, South Korea and Australia.

This year, the BOI and Peza expect the value of investment approvals to reach a combined P790 billion; P869.3 billion in 2015; and P956.3 billion in 2016.

The BOI alone is looking at investment approvals amounting to P491 billion in 2014; P540 billion in 2015; and P594 billion in 2016. For Peza, investment approvals are targeted to reach P299 billion in 2014; P329 billion in 2015; P362 billion in 2016.

According to government documents, the investment target of BOI was based on 10 percent per year growth rate under the Philippine Development Plan. Peza’s target, meanwhile, was based on the agency’s performance in previous years, after taking into account the factors that influenced the global market.

These included movement of electronics products and devices in the world market; the movement and growth of the global automotive industry; and the concomitant upgrading of electronic and electrical machinery to produce upgraded products.

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BSP downplays impact of peso slide

Tetangco says inflation to remain in check

By Paolo G. Montecillo |Philippine Daily Inquirer

1:26 am | Wednesday, October 1st, 2014

Bangko Sentral ng Pilipinas. INQUIRER.net file photo

Central bank chief Amando M. Tetangco Jr. shrugged off fears that the peso’s recent weakness would destabilize consumer price movements, citing structural improvements in the economy that have made the country less susceptible to external shocks.

He said the Bangko Sentral ng Pilipinas (BSP) has more than enough foreign exchange reserves that it could draw on to calm foreign exchange markets should the peso’s decline be sustained.

“If we isolate the impact of the peso, I don’t think it’s going to be significant,” Tetangco said Tuesday.

Speaking at the sidelines of the government’s midyear Philippine economic briefing, the BSP governor reiterated that over the years, “pass-through” effects of foreign exchange movements on inflation have gone down. This refers to the effect of the peso’s value on imported consumer goods such as food, fuel and other items that could bring up the overall average. On Monday, the peso touched the 45-to-$1 level before closing at 44.995: $1, its lowest in four months.

The local currency Tuesday closed at 44.875 to a dollar.

Protecting the public’s purchasing power by keeping consumer prices stable is the BSP’s main role.

For September, the BSP expects inflation to average between 4.1 and 4.9 percent compared to August’s 4.9 percent. This year’s inflation target was set at 3 to 5 percent.

Tetangco reiterated that the BSP would continue to allow market forces to drive the peso’s value, although the central bank reserves the right to intervene in the market to smoothen out spikes. Market intervention is done through the BSP’s use of its gross international reserves (GIR) for the buying and selling of dollars, which influence the peso’s value.

The Philippines has $80.95 billion in dollar reserves as of the end of July, which are enough to cover 11 months worth of exports and 8.5 times the country’s short-term debt based on original maturity.

Apart from the peso, currencies in the region have depreciated against the US dollar due to shifting investor sentiment to favor the world’s largest economy. This came following a string of positive economic data for the United States. Last week, official data showed the American economy in the second quarter grew by 4.6 percent—its best performance since 2011.

This fueled speculation that the US Federal Reserve, which is expected to halt its monetary stimulus in October, would raise interest rates sooner than most market players expect.

According to Tetangco, the peso has fared well in the region in terms of stability, if not in terms of the change in its value.

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BCDA to appeal SC ruling on sale of Bonifacio lot

Philippine Daily Inquirer

1:24 am | Wednesday, October 1st, 2014

State-run Bases Conversion and Development Authority is set to file a motion for reconsideration at the Supreme Court to contest an earlier high court ruling, which prevented the government agency from bidding out the development of the 33.1-hectare Bonifacio South Pointe property in Taguig.

The Supreme Court ruling, which was released only last month, favored the petition of SM Land Inc., which had sought a Swiss challenge instead of a public bidding after it submitted an unsolicited offer.

But Malacañang thumbed down the petition and opted to sell the property through an open competitive bidding process. The property firm of the Sy family then cited the BCDA for breaching their agreement to conduct a competitive challenge.

“We will file a motion for consideration. It’s the President’s decision to [hold a] public bidding…. We believe that the best value for the government could be achieved [through a public bid] and not through a Swiss challenge, which got us a very low price,” explained BCDA president and CEO Arnel Paciano D. Casanova.

According to Casanova, SM Land had offered only P36,000 per square meter for the project. Based on BCDA’s last appraisal however, the property value ranged from P78,000 to P100,000 per square meter.

A bidding, he added, will also level the playing field for interested parties.

On Aug. 13, the high court issued a decision, which permanently stopped the BCDA from auctioning off the Bonifacio South Pointe property. It also ordered the state agency to push ahead with the competitive challenge. Amy R. Remo

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Marriage: Who owns what?

Money Matters By Efren Ll. Cruz |Philippine Daily Inquirer

1:17 am | Wednesday, October 1st, 2014

Question: I am about to get married. My future wife and I are not really fans of prenuptial agreements. Also, there really is not that much to include in the prenuptial agreement. How will our properties be shared between us?—asked at EnRich™ Estate Planning training program

Answer: Since you will be married after Aug. 3, 1988 when the Family Code of the Philippines was promulgated and since you do not want to enter into any marriage settlements, you and your future spouse will fall under the system of absolute community.

There are other systems to consider, such as the conjugal partnership of gains, regime of separation of property and regime of unions without marriage. But let us focus on your case.

The law provides that property relations between spouses shall be governed in the following order: 1) by marriage settlements executed before the marriage; 2) by provisions of the Family Code, and 3) by local customs.

In your case, you will fall under the provisions of the Family Code. In the absence of any marriage settlements, property relations between husband and wife fall under the system of absolute community of property.

The system of absolute community of property begins at the precise moment of the celebration of your marriage. If you are getting married in the afternoon of your wedding day, you and your future spouse will fall under the system of absolute community of property on that same afternoon.

Absolute community of property means that you and your future spouse will be co-owners of all the properties that each of you will bring into your marriage as well as of all those that you will acquire during your marriage.

So, even if you owned a sports car that you bought for the purpose of impressing the ladies during your debonair days, your future spouse will be a co-owner of that sports car as soon as you get married.

But there are exclusions.

Excluded from the system of absolute community of property are: 1) properties acquired by you or your future spouse during your marriage through gratuitous title including the fruits from and income thereof; 2) properties for each of your personal and exclusive use, and 3) properties acquired by either of you before your marriage where either of you have legitimate descendants under a former marriage, including the fruits from and income thereof.

Gratuitous comes from the Latin word gratuitus, which means done without pay, spontaneous and voluntary.

Under the Family Code, gratuitous title means donation or testate/intestate succession. Testate succession is the transfer of property through a will. Intestate succession is the transfer of property without a will.

So, if your parents donate property to you and you alone during your marriage, your future spouse will not co-own that property as well as the fruits and income therefrom. Please note, however, that with donation come donor’s taxes.

As to properties for each of your personal and exclusive use, your future spouse will not own your toothbrush; so go ahead and buy the most expensive one. However, jewelry will still be co-owned by you and your future spouse. You need not get used to wearing jewelry yourself. Just know that you will co-own those with your future spouse.

The third exclusion is intended to protect the rights of legitimate children and descendants of your former marriage, if you have any. If we were to simply apply the system of absolute community of property, the rights of the children and descendants of your previous marriage, again if you have any, may be prejudiced.

As a final note, know that, unless either of you can prove that they are excluded, any and all properties you and your future spouse will acquire during your marriage will form part of your absolute community property. Your house, car, furniture, home appliances, paintings and others will be co-owned by you and your future spouse under the system of absolute community of property.

The concept of property relations between husband and wife is really part of what is called estate planning. If you want to learn more and directly from an estate planning lawyer, attend one of the remaining 2014 EnRich™ Estate Planning training runs happening in Davao (Oct. 3) and Manila (Oct. 10). E-mail info@personalfinance.ph or SMS 0917-5050709 for details. Details for the training may also be found in http://ift.tt/1heZ9CW.

(Efren Ll. Cruz is a registered financial planner of RFP Philippines, personal finance coach, seasoned investment adviser and bestselling author. Questions about the article may be sent by SMS to 0917-5050709 or e-mailed to efren@personalfinance.ph. To learn more about the RFP program, attend a free orientation on Oct. 16, 7 p.m. at the PSE Center. Email info@rfp.ph or text <name><e-mail><RFP> at 0917-3464126 to register.)

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Palace mulls over plans to invest in local auto industry

Philippine Daily Inquirer

1:14 am | Wednesday, October 1st, 2014

The government is mulling over plans to invest about $600 million (equivalent to at least P26 billion) in the form of fiscal and non-fiscal support to help revive and further boost the local automotive manufacturing sector.

“This is a government investment,” Cabinet Secretary Jose Rene D. Almendras stressed on the sidelines of the Philippine Economic Briefing Tuesday.

Almendras was quick to clarify that the $600 million was just a number being floated. The amount, which will be used to support local carmakers, has not been approved yet, and is merely one of the suggestions from local automotive companies, he added.

“The $600-million figure is just a number, but we’re still talking [about it]. This is just part of some of the ongoing discussions. We’re still looking at an amount [that could be deployed] in over three years or five years. But I don’t want to call it an incentive because of its trade implications,” Almendras explained.

“Everybody’s been making suggestions, so we need to study. One particular manufacturer is suggesting (a support of) $1,000 per unit produced. But it could be more than $600 million because it’s going to be both cash and noncash, both budgetary and nonbudgetary items.”

Provisions on the planned seed fund are expected to be included in the proposed automotive manufacturing roadmap which, according to Almendras, may be issued within the next two months, or at least before the year ends.

The roadmap is expected to provide highly attractive fiscal perks to a limited number of participants and only for certain vehicle models. For companies to avail of these incentives, they have to be able to produce 40,000 units of one model a year, and invest at least $60 million for facilities that can produce large car components in the country, such as body stamp panels, and large plastic parts, like bumpers and dashboards.

Incentives, meanwhile, will include, among others, financial support meant to help close the $2,000 per unit gap in the cost of producing a vehicle here as against the much lower cost of importing a car.

“The objective of the program is to encourage [automotive firms] to make the correct investments that will generate jobs, because [those who will get the jobs are the ones] who will buy these cars,” Almendras said.

“We’re looking at the long-term. If you’re just thinking of producing small spare parts for now, that’s not the game plan. The game plan is to create an industry that will create more jobs,” he added. Amy R. Remo

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PH exports seen to sustain growth trend through 2016

Philippine Daily Inquirer

1:13 am | Wednesday, October 1st, 2014

Philippine export revenues are expected to rally strongly in the next three years, and may hit $105.1 billion in 2016, buoyed by the rising demand for the country’s fresh food exports and intermediate goods, and by the recovery of the global electronics sector.

Documents provided during the Philippine Economic Briefing Tuesday showed that, for this year, total exports (covering both merchandise and services) could grow by 8 percent to $85.2 billion. The trade figure may also grow by 10 percent to $94 billion in 2015, and 12 percent to $105.1 billion in 2016.

Merchandise exports alone are projected to grow by 6 percent (to $60.1 billion) this year; 8 percent (to $64.9 billion) next year; and 10 percent (to $71.4 billion) in 2016.

Export receipts of services, meanwhile, are expected to post double-digit growths in the next three years. Services may grow by 15 percent to $25.1 billion in 2014; by 16 percent to $29.1 billion in 2015; and by 16 percent to $33.7 billion in 2016.

“Merchandise exports in 2014 are expected to be driven by the nonelectronics sector, which generated $30 billion in 2013 from $27 billion in 2012. Growth will be supported by increasing demand from Japan, China, the United States, Singapore, Germany, Thailand and other countries in East Asia and the Asean,” the documents showed. “Fresh food exports and intermediate goods spurred the growth of nonelectronics exports. Fruits and vegetables have been enjoying generally good harvests, while processed food and beverages have likewise been experiencing robust demand. Lower tariffs in the Philippine free trade areas have been a boon to Philippine exports.”

The documents also pointed to growth in earnings from shipments of electronic products in 2014. It will be driven by a renewed demand for locally manufactured automotive and consumer electronic products, on the back of improving economic conditions in the United States, Europe and Japan. The new investments in the country’s electronics industry are also expected to support the recovery of shipments in 2014.

The Semiconductor Electronics Industries in the Philippines (Seipi) on Monday announced that it had raised its growth forecast on the sector’s export revenues this year despite the adverse effects of high power costs and the impact of the container congestion at the Port of Manila.

Seipi president Dan Lachica revealed that export revenues of locally manufactured electronics components could grow between 5 and 8 percent this year, from the $21.8 billion recorded in 2013. Seipi’s new and much bullish forecast will be driven by the recovery of the country’s key markets.

Also, Senen M. Perlada of Export Development Council (EDC) said that the forecasts announced Tuesday were well within the range of the proposed 2014-2016 Philippine Export Development Plan.

The development plan, which has yet to be presented to President Aquino for approval, defines the export revenue targets over the three-year period, taking into account the problems affecting local and international markets. It will enable local businesses to maximize their participation in the global value chain over the next three years. Amy R. Remo

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Asian shares mostly lower, China PMI weighs

Agence France-Presse

12:02 am | Wednesday, October 1st, 2014

A man walks by an electronic stock board of a securities firm in Tokyo on Sept. 26, 2014. Asian markets mostly slipped Tuesday, Sept. 30, with Hong Kong hit for a second day as a pro-democracy protest showed no signs of abating and a gauge of Chinese manufacturing came in below forecast. AP PHOTO/KOJI SASAHARA

HONG KONG–Asian markets mostly slipped Tuesday, with Hong Kong hit for a second day as a pro-democracy protest showed no signs of abating and a gauge of Chinese manufacturing came in below forecast.

Traders took their cue from a negative Wall Street. Japanese shares were hit by a surprise fall in factory output while the yen edged up against the dollar.

Hong Kong sank 1.28 percent, or 296.23 points, to 22,932.98, extending Monday’s 1.90 percent losses.

Tokyo closed 0.84 percent lower, shedding 137.12 points to 16,173.52, while Seoul gave up 0.32 percent, or 6.51 points, to end at 2,020.09.

However, Sydney added 0.54 percent, or 28.58 points, to 5,292.8 and Shanghai climbed 0.26 percent, or 6.16 points, to 2,363.87 on the last day before a week-long holiday for China’s National Day.

In Hong Kong a second night of mass protests passed off peacefully Monday, bringing relief after Sunday night saw police fire tear gas and pepper spray at protesters in the financial hub.

However, some of the city’s key roads remained closed off, with the demonstrators refusing to move until Beijing agrees to its demands for full universal suffrage.

The campaign comes as China’s Golden Week holiday begins on Wednesday, when big-spending mainlanders normally visit the city’s luxury stores.

While there are fears about the impact on the city’s economy Laura Luo, head of Hong Kong and China equities at Baring Asset Management, said the effects of the standoff on Hong Kong stocks would be limited.

“It is natural for investors to choose to take profit in an event like this, but any major market plunge may present a good entry point for long-term investors,” she told Dow Jones Newswires.

China data disappoints

Adding downward pressure on shares was HSBC’s final purchasing managers’ index (PMI) for China which came in at 50.2 for September.

While it was above the 50-point level that separates growth from contraction, it is lower than the 50.5 predicted in last week’s preliminary reading and adds to fears about the Chinese economy following a series of soft data.

In Japan official data showed factory production unexpectedly fell 1.5 percent month on month in August, reversing a 0.4 percent uptick in July. Output grew at its fastest rate in more than two years in January before losing steam.

Also, household spending dropped a steeper-than-expected 4.7 percent in August, logging a year-on-year drop for the fifth straight month since a sales tax rise in April.

The figures raised concerns that the tax hike continues to weigh on consumption and the economy.

Foreign exchange trading saw the dollar at 109.40 yen against 109.45 yen in New York late Monday as it takes a breather before the release of US data this week, with some economists predicting it will bounce back and pass 110 yen soon.

The euro bought $1.2684 and 138.77 yen, against $1.2686 and 138.87 yen in New York

On Wall Street Monday dealers took their cash off the table as they warily eye events in Hong Kong, while looking ahead to the US data releases, culminating in jobs creation figures on Friday.

The Dow slipped 0.25 percent, the S&P 500 also lost 0.25 percent and the Nasdaq fell 0.14 percent.

On oil markets US benchmark West Texas Intermediate for November delivery was up nine cents at $94.66 a barrel and Brent crude added 53 cents to $97.73.

Gold was at $1,207.30 an ounce against $1,219.65 late Monday.

In other markets:

— Taipei was flat, edging up 6.16 points to 8,966.92.

Smartphone maker HTC rose 1.54 percent to Tw$132.0 while Taiwan Semiconductor Manufacturing Co. fell 0.41 percent to Tw$120.0.

— Wellington ended marginally lower, dipping 4.47 points to 5,255.04.

Spark was up 0.34 percent at NZ$2.97 and Fletcher Building was steady at NZ$8.78.

–Manila closed 0.13 percent higher, adding 9.69 points to 7,275.05.

Energy Development Corp. gained 3.46 percent to 8.08 pesos while Philippine Long Distance Telephone rose 0.19 percent to 3,096 pesos.

— Bangkok slipped 0.01 percent, or 0.12 points, to 1,585.67.

Coal producer Banpu lost 0.84 percent to 29.50 while Bangkok Bank added 0.49 percent to 204 baht.

— Kuala Lumpur ended flat at 1,846.31.

SapuraKencana Petroleum lost 0.7 percent to 4.12 ringgit, while RHB Capital fell 0.5 percent to 8.83. Axiata Group inched up 0.1 percent to 7.00 ringgit.

— Jakarta ended down 0.09 percent, or 4.43 points, at 5,137.58.

Hero Supermarket climbed 1.80 percent to 2,545 rupiah, while Indah Kiat Pulp & Paper lost 0.94 percent to 1,055 rupiah.

— Singapore closed down 0.39 percent, or 12.98 points, to 3,276.74.

United Overseas Bank eased 0.71 percent to Sg$22.40 while public transport firm ComfortDelGro fell 4.00 percent to Sg$2.40.

— Mumbai was up 0.13 percent, or 33.40 points, at 6,630.51.

Eicher Motors gained 6.24 percent to 11,987.40 rupees, while Indiabulls Real Estate fell 5.33 percent to 67.55 rupees.

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A Malaysian activist holds an iPad tablet computer showing words "I support Hong Kong" during a rally in Kuala Lumpur, Malaysia. AP

Hong Kong stocks fall 1.20% by lunch

Aquino to businessmen: Nothing to fear of additional authority

Qantas puts world’s largest plane on longest route

Vietnam’s growth accelerates despite anti-China riots

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Monday, September 29, 2014

Hong Kong stocks fall 1.20% by lunch

Agence France-Presse

12:43 pm | Tuesday, September 30th, 2014

A Malaysian activist holds an iPad tablet computer showing words “I support Hong Kong” during a rally in Kuala Lumpur, Malaysia. AP

HONG KONG— Hong Kong slipped 1.20 percent Tuesday morning as a pro-democracy demonstration that has shut down sections of the financial hub moved into a third day.

The benchmark Hang Seng Index fell 278.55 points to 22,950.66 by the break on turnover of HK$40.56 billion ($5.23 billion).

Qantas puts world’s largest plane on longest route

Associated Press

11:28 am | Tuesday, September 30th, 2014

An Airbus A380 taxis at Dallas-Fort Worth International Airport in Texas. AP

FORT WORTH, Texas — Qantas is putting the world’s biggest passenger plane on the world’s longest airline route.

A Qantas Airbus A380 touched down Monday at Dallas-Fort Worth International Airport about 15 hours after leaving Sydney, Australia, on the 8,578-mile journey.

The double-deck, four-engine jet was greeted with a water-cannon salute, then taxied to a two-story gate that was configured just for the behemoth.

The inaugural flight carried a full load of 484 passengers, according to a Qantas spokesman.

DFW is a large airport with connecting flights throughout the US and Latin America, making it ideal for the plane and the route. But the A380’s size also limits its appeal. Smaller planes such as Boeing’s latest, the 787, are more economical on many routes.

In this Sept. 29, 2014 photo released by Qantas, an Airbus A380 taxis to its gate during its inaugural landing at Dallas-Fort Worth International Airport in Texas. AP

Qantas previously flew the Sydney-Dallas route with the Boeing 747, which required a stopover in Brisbane, Australia.

“The 747 served us really well, but it doesn’t have the range of the A380,” said Qantas Senior Executive Vice President Vanessa Hudson. “The A380 is much bigger, so we can actually now provide 10 percent additional capacity.”

For travelers wishing to fly the new route, it won’t be cheap. Hudson said tickets are roughly $1,900 in economy; double that for the roomier seats in premium economy; $7,000 for business class; and $12,000 to $13,000 for first class, where the airline tosses in a set of pajamas and a sheepskin mattress.

The special A380 gate at DFW will be used again on Wednesday, when Gulf airline Emirates begins flying the huge plane between Dallas and Dubai.

Aquino to businessmen: Nothing to fear of additional authority

By Kristine Angeli Sabillo |INQUIRER.net

10:55 am | Tuesday, September 30th, 2014

President Benigno S. Aquino III. INQUIRER FILE PHOTO

MANILA, Philippines—President Benigno Aquino III on Tuesday assured reportedly worried businessmen that the additional authority he is asking for will only address the country’s looming energy shortage.

He said the additional authority to contract power plants must be passed to maintain the country’s growth momentum.

Aquino gave his speech more than two weeks ago after he asked Congress for additional authority to contract generating capacity amid looming power shortage next year.

Energy Secretary Carlos Jericho Petilla told Congress they expect a shortage of around 300 megawatts to 800 megawatts.