Clinton: US must learn from BRICs in economic arena
*Clinton stressing economic diplomacy as U.S. lagsBy Patrick WorsnipNEW YORK, Oct 14 (Reuters) - The United States should learn
from emerging powers such as India and Brazil and make its
economic interests central to its foreign policy to remain a
global leader, U.S. Secretary of State Hillary Clinton said on
Friday.”We have to position ourselves to lead in a world where
security is shaped in boardrooms and on trading floors — as
well as on battlefields,” Clinton said in prepared remarks to
the Economic Club of New York.Clinton’s speech, billed as a major address, sought to
outline the Obama administration’s increasing focus on economic
issues as the United States heads into the 2012 election season
hobbled by huge budget deficits and stubbornly high
unemployment.She said the United States must end the “culture of
political brinksmanship” that many say has paralyzed
Washington, and get its own economic house in order while
facing new challenges as the global economy changes.”I know there are some who believe that America, after
taking a few lumps in recent years, should turn inward. But you
can’t call ‘time out’ in the global economy. Our competitors
aren’t taking a time out, and neither can we,” she said.Clinton said the United States must learn to use its
foreign policy to strengthen its domestic economy as it fights
unfair trade barriers and a new breed of foreign state-owned or
state-supported enterprises which act at the behest of foreign
governments.”Emerging powers like India and Brazil put economics at the
center of their foreign policies…one of the first questions
they ask is, ‘how will this affect our economic growth?’”
Clinton said. Brazil, Russia, India and China comprise the BRIC
group of emerging economies.”We need to be asking the same question - not because the
answer will dictate our foreign policy choices, but because it
must be a significant part of the equation.”EMERGING CHALLENGESClinton said U.S. global leadership would depend on
sustained U.S. economic power, which would depend in part on
aggressively challenging foreign trade barriers.”When we see governments impose a so-called ‘tollbooth’
that forces unfair terms on companies just to enter or expand
in a new market, we push back,” Clinton said.She said the United States must also come up with
strategies to compete with foreign state-backed companies that
often operate in secrecy, without the transparency and
accountability that comes with shareholders and boards of
directors.”Today we see hybrid companies masquerading as commercial
actors, but actually controlled by states and acting with
strategic consequences,” Clinton said.”The way states deploy their cash, companies and natural
resources, especially in global markets, is of critical concern
to us.”Clinton has increasingly stressed economic diplomacy,
highlighting issues such as energy security, job creation and a
“level playing field” on trade to counter what Washington
believes are unfair advantages that have helped China and some
other emerging economies grow so fast.Clinton’s message was clearly aimed in part at the
challenge posed by Beijing, which U.S. officials have accused
of using regulatory measures and an artificially low exchange
rate to rack up some $3.2 trillion in foreign exchange
reserves.She charged that China was trying to give its companies a
“leg-up” through its currency policy and that it would be key
for the United States to establish fair trading rules.”One of America’s great successes of the past century was
to build a strong network of relationships and institutions
across the Atlantic. One of our great projects in this century
will be to do the same across the Pacific,” she said.
UPDATE 2-Google beats Q3 profit, revenue estimates
* Shares up roughly 6 percent after hours
(Adds analyst comment, earnings details, byline)By Alexei OreskovicSAN FRANCISCO, Oct 13 (Reuters) - Google Inc’s
third-quarter results trounced Wall Street expectations as good
cost controls helped boost the Internet search leader’s profit
by about 26 percent.Shares of Google were up roughly 6 percent at $592.43 in
after-hours trading on Thursday.Google said its net income in the three months ended
September 30 grew to $2.73 billion from $2.17 billion in the
year-ago period.Excluding certain items, Google said it earned $9.72 per
share in the third quarter. Analysts polled by Thomson Reuters
I/B/E/S were expecting adjusted EPS of $8.74.”A lot of people were expecting spending to be out of
control, but they had good control,” said Herman Leung, an
analyst with Susquehanna Financial Group.Google, which faces increasing competition from social
networking giant Facebook, said on Thursday that it had signed
up more than 40 million users for its recently launched Google+
social network.Google said its third-quarter net revenue, which excludes
fees that Google shares with partner websites, increased 37
percent year-on-year to $7.51 billion. Analysts were looking
for $7.22 billion in net revenue.
Deals of the day — mergers and acquisitions
** Cerberus Capital Management and Chatham Lodging
Trust have reached a tentative agreement to buy
bankrupt Innkeepers USA Trust at a lower price than
in an earlier deal that fell apart, a source close to the talks
said.** Alcatel-Lucent , the Franco-American telecom
equipment maker, is moving closer to selling its Genesys
corporate call centre to private equity group Permira ,
people close to the matter said** Santander , the euro zone’s largest lender, plans
to join forces with private equity firm Apax to buy KBC’s
controlling stake in Poland’s Kredyt Bank ,
worth about $1 billion, sources told Reuters on
Thursday.** Tokio Marine Capital, a Japanese private equity firm
affiliated with Tokyo Marine Holdings , has launched the
sale of drugmaker Showa Yakuhin Kako Co in a deal that could be
worth as much as 70 billion yen ($905 million), according to
three people with direct knowledge of the matter.** Oil and gas firm Ophir Energy has agreed to buy
Dominion Petroleum in a 118 million pound ($186
million) all-share deal that will expand its portfolio of
projects in East Africa.
UPDATE 2-Fresnillo cuts 2011 silver output target
* Sees return to normal ops at Fresnillo mine by end October* Raises FY gold guidance to 430,000 ozs from 400,000 ozsBy Julie CrustLONDON, Oct 12 (Reuters) - Precious metals miner Fresnillo
Plc cut its silver production guidance for 2011, after
output fell in the third quarter as the company reinforced
safety conditions at all of its projects following the death of
two contractors in July.The FTSE-100 member expects to produce 41 million ounces of
silver, including silver sold from the Sabinas mine under its
Silverstream agreement, down from the original target of 44
million.”It is with deep regret that Fresnillo reports that it
suffered two fatalities of contractors this July, one at the
Fresnillo mine and the other one at the Centauro Deep project,”
the company said in a statement.Its silver output in the third quarter fell 5.8 percent from
the year earlier to 10,067 ounces, mainly due to the slowdown of
production at its largest mine, from which Fresnillo takes its
name. It expects to return to normal operations at the Fresnillo
mine by the end of October.However, the miner raised its total gold production target
to 430,000 ounces from 400,000 for the year, due to the ramp-up
of production at the Saucito and Soledad-Dipolos mines in
Mexico.
UPDATE 2-Fresnillo cuts 2011 silver output target
* Sees return to normal ops at Fresnillo mine by end October* Raises FY gold guidance to 430,000 ozs from 400,000 ozsBy Julie CrustLONDON, Oct 12 (Reuters) - Precious metals miner Fresnillo
Plc cut its silver production guidance for 2011, after
output fell in the third quarter as the company reinforced
safety conditions at all of its projects following the death of
two contractors in July.The FTSE-100 member expects to produce 41 million ounces of
silver, including silver sold from the Sabinas mine under its
Silverstream agreement, down from the original target of 44
million.”It is with deep regret that Fresnillo reports that it
suffered two fatalities of contractors this July, one at the
Fresnillo mine and the other one at the Centauro Deep project,”
the company said in a statement.Its silver output in the third quarter fell 5.8 percent from
the year earlier to 10,067 ounces, mainly due to the slowdown of
production at its largest mine, from which Fresnillo takes its
name. It expects to return to normal operations at the Fresnillo
mine by the end of October.However, the miner raised its total gold production target
to 430,000 ounces from 400,000 for the year, due to the ramp-up
of production at the Saucito and Soledad-Dipolos mines in
Mexico.
