ISE, CME drop economic indicator auctions

(Reuters) - The move to drop the contracts was "ISE's decision
entirely," said CME spokeswoman Mary Haffenberg.




ISE is the largest U.S. equity options exchange; CME is the
largest U.S. futures mart.


Read more at Reuters.com Economic News

Soybeans Rise as U.S. Farmers Cut Acreage, Seeking Higher Profit From Corn

(Bloomberg) -- Soybeans rose in Chicago, extending
a rally to a three-year high, after the government said U.S.
farmers planted the fewest acres in 12 years.

Soybean acreage was slashed 15 percent from last year's
record high, the government said June 29. Farmers planted more
corn after the grain reached a 10-year high in February, driven
by record demand for ethanol and animal feed. When farmers were
making planting decisions in early March, corn had gained 82
percent from a year earlier, while soybeans were up 29 percent.


Read more at Bloomberg Commodities News

Wheat Falls as Farmers Speed Up Winter Crop Harvest in Illinois, Indiana

(Bloomberg) -- Wheat futures fell in Chicago as U.S.
farmers sped up the harvest of the soft-red winter crop.

The harvest was 73 percent complete in Illinois on June 24,
more than the five-year average of 53 percent, the U.S.
Department of Agriculture said last week. Indiana farmers had cut
36 percent of their crops, more than the five-year average of 26
percent. The USDA will update the harvest figures at 4 p.m. today
in Washington.


Read more at Bloomberg Commodities News

Dollar Approaches All-Time Low Against the Euro on Interest-Rate Outlook

(Bloomberg) -- The dollar dropped to a 26-year low
versus the British pound and approached the weakest level against
the euro on speculation the Federal Reserve will keep borrowing
costs unchanged while other central banks extend their increases.

Investors sold the U.S. currency amid concern losses in the
subprime mortgage sector may weaken the housing market and spill
over into the broader economy, dimming the allure of U.S. assets.
The Bank of England is forecast to boost interest rates while the
European Central Bank may signal increases this week.


Read more at Bloomberg Currencies News

Manor Care Options Trading Jumped Before Carlyle $6.3 Billion Buyout Offer

(Bloomberg) -- Trading in options to buy shares of
Manor Care Inc. surged to a record June 29, the last trading day
before the operator of nursing homes and assisted-living centers
said it agreed to be acquired by Carlyle Group for $6.3 billion.

Manor Care option trading soared April 11 when the Toledo,
Ohio-based company said it hired investment bank JPMorgan Chase &
Co. to take advantage of its ``very strong financial position''
and ``enhance shareholder value.'' Since then, an average of
1,257 call-option contracts have traded each day, more than 3 1/2
times the prior year-to-date figure.


Read more at Bloomberg Stocks News

Washington's New Ethics Rules On Lobbying Put Birthday Partiers on Guard

(Bloomberg) -- For 9-year-old Brendan Loveng, it was
just a birthday party. For his father, Jeff, a congressional
aide, it was the entree into Washington's thorny new ethics
rules.

Brendan was treated to free laser-tag games, pizza and
birthday cake at the party for a lobbyist's son. On the advice
of officials in Congress, his father evened the score by
throwing an identical birthday party for Brendan two weeks later
and inviting the lobbyist's son.


Read more at Bloomberg Exclusive News

ViewSonic files for $143.8 mln IPO

(Reuters) - The filing did not reveal how many shares the company
planned to sell or the expected price.




The company said it has applied to list its stock on the
Nasdaq under the symbol "VIEW."



Read more at Reuters.com Government Filings News

Schwab sets $3.5 bln capital restructuring plan

(Reuters) - The program includes a special dividend, share buyback plan and debt offerings.



Schwab said it would return $1.2 billion to shareholders through a special cash dividend of $1 per share.


Read more at Reuters.com Bonds News

UPDATE 2-Virgin Media says receives bid approach

(Reuters) - LONDON, July 2 - British cable operator Virgin Media has received a bid approach from an unnamed group but has not engaged in negotiations, it said on Monday.



The group said it had already started a review of its strategic options, including a sale of the group, and this proposal would be considered as part of that process.


Read more at Reuters.com Mergers News

European Bonds Gain as Investors Seek Safe Haven After U.K. Terror Attacks

(Bloomberg) -- European bonds advanced, pushing 10-
year yields to the lowest in more than three weeks, as investors
sought the safety of government debt after terrorists targeted
central London and Glasgow.

Benchmark two-year yields fell the most in more than a week
after London police found two cars packed with explosive
materials on June 29 and suspected terrorists crashed a Jeep into
the terminal entrance of Glasgow International Airport the next
day. Five people have been arrested and the Home Office raised
its threat assessment to ``critical,'' the highest level, meaning
further attacks are expected imminently.


Read more at Bloomberg Bonds News

Brazil Bovespa Rises to Record, Led by Vale, on U.S. and Asian Expansions

(Bloomberg) -- Brazil's main stock index rose to a
record, led by mining company Cia. Vale do Rio Doce, on speculation
growth in the U.S. and Asia will boost demand for the country's
commodity exports.

The Bovespa Index of the most-traded stocks on the Sao Paulo
exchange rose 539.54, or 1 percent, 54,931.60 as of 11:30 a.m. New
York time, eclipsing its June 18 high.


Read more at Bloomberg Stocks News

UPDATE 1-Chicago futures mkts post record volume in June

(Reuters) - The Chicago Mercantile Exchange , the largest U.S.
futures market, said on Monday that June's daily trading volume
averaged 8 million contracts.




Volume was up 31 percent from May and 25 percent higher
than June 2006.


Read more at Reuters.com Mergers News

Mauritius bourse gains 19 pct in H1, led by hotels

(Reuters) - Mauritius's main all-share stock index rose 19.0 percent in the first half of 2007, stock market data showed on Monday, driven by two hotel companies in the island's fast-growing tourism business.

The SEM-7 index, which tracks the largest seven companies by market capitalisation, jumped 28.3 percent over the same period, the data showed.


Read more at Reuters Africa

US STOCKS-Wall St gains on data, takeover news

(Reuters) - NEW YORK, July 2 - U.S. stocks rose on Monday,
lifted by takeover news and data showing stronger manufacturing
growth in June even as price pressures eased.




As the data reassured investors about the economy, shares
of large industrial companies such as Caterpillar Inc.
and Honeywell International gained.


Read more at Reuters.com Bonds News

Walgreen to buy Option Care for $850 million

(Reuters) - The announcement comes after Walgreen bought Take Care Health Systems, an operator of in-store health clinics, in May. It has also acquired Medmark Specialty Pharmacy Solutions, SeniorMed Pharmacy and Schraft's, a specialty pharmacy focused on fertility medications and services.




Shares of Option Care were up 3.9 percent to $19.26 in late morning trading after rising as high as $19.30 in heavy Nasdaq trading. Shares of Walgreen rose 16 cents to $43.70 on the New York Stock Exchange.


Read more at Reuters.com Bonds News

UPDATE 2-Trump Entertainment buyout fizzles, shares plunge

(Reuters) - NEW YORK, July 2 - Casino operator Trump
Entertainment Resorts Inc. said on Monday it did not
reach a deal with potential acquirers and has ended discussions
to sell itself, sending its shares down 18 percent.




Trump Entertainment, which runs three casinos in Atlantic
City, New Jersey, in May said it received interest from
potential bidders. It said on Monday the indications of
interest were not likely to lead to a deal that was in the best
interests of the company and its shareholders.


Read more at Reuters.com Bonds News

Global PMI shows June manufacturing growth highest since Sept

(Reuters) - This is well above the 50.0 mark that separates growth from
contraction.




The U.S. saw a sharp acceleration of growth in the month
buoyed by a strong recovery in new business. Euro zone growth
also boosted last month's performance, recording a pick-up in
growth for the first time in four months.


Read more at Reuters.com Economic News

Agency Mortgage Bonds Have Worst Month Since July 2003, Lehman Index Shows

(Bloomberg) -- Mortgage-backed bonds guaranteed by
Fannie Mae, Freddie Mac and Ginnie Mae, a $4 trillion market
that rivals the scope of U.S. Treasuries, underperformed last
month by the most since July 2003 as investors sought the safety
of government debt and interest rates became more volatile.

So-called agency mortgage bonds in June returned
0.53 percentage points less than U.S. Treasury notes with
maturities similar to their expected lives, a Lehman Brothers
Holdings Inc. index shows.


Read more at Bloomberg Bonds News

Trump Entertainment buyout fizzles

(Reuters) - Trump Entertainment, which in March said it hired Merrill Lynch to help it consider its options, said it will continue to review other strategic alternatives.




Failure by Donald Trump's casino company to reach a deal comes amid a generally buoyant market for casino assets.


Read more at Reuters.com Mergers News

Citigroup buys Automated Trading Desk

(Reuters) - The largest U.S. bank will pay $102.6 million in cash and issue about 11.17 million shares.




Founded in 1988, Automated Trading Desk has about 120 broker-dealer customers and trades, on average, more than 200 million shares daily, or 6 percent of the volume on both the New York Stock Exchange and Nasdaq.


Read more at Reuters.com Mergers News

Gold jumps on dollar slump, security worries

(Reuters) - Security concerns and a sharp drop in the dollar helped gold hit its highest level in nearly two weeks on Monday, but investors were expected to trade cautiously ahead of the U.S. Independence Day holiday.

Gold rose as high as $658.80 an ounce, the highest since June 20, and was quoted at $658.10/658.70 at 1503 GMT, against $648.70/$650.20 in New York late on Friday and last week's three-month low of $638.90.


Read more at Reuters Africa

Hog Prices Decline as Report Spurs Concerns About Oversupply; Cattle Fall

(Bloomberg) -- Hog futures in Chicago fell to the
lowest in almost four months on concern there may be an
oversupply of pigs after a government report showed a larger
U.S. breeding herd. Cattle prices were little changed.

U.S. hog producers expanded their herds by 0.9 percent in
the three months ended May 31, the Department of Agriculture
reported last week, as corn costs steadied and profit improved.
The nation's 65,000 hog producers were holding back an
estimated 6.116 million females for breeding on June 1, up from
6.06 million a year earlier, the USDA said.


Read more at Bloomberg Commodities News

Brazil's Stock Rally May Wane Without Tax and Labor Reform, Magliano Says

(Bloomberg) -- Brazil's stock market rally may wane
unless the government passes tax and labor legislation to
improve investment conditions in the country, the president of
the Sao Paulo stock exchange said.

The benchmark Bovespa stock index's more than 100 percent
surge over the past two years has been supported by excess cash
held by international funds, Bovespa President Raymundo Magliano
Filho said in an interview.


Read more at Bloomberg Stocks News

Germany mulling rules on foreign funds-Merkel

(Reuters) - State-owned funds were not necessarily interested in
maximising the return on capital and their investment might be
motivated more by a thirst for political influence, she said.




The German government had to react appropriately to this new
challenge and "this could happen via legal measures," she added.


Read more at Reuters.com Government Filings News

US STOCKS-Indexes rise on data, takeover news

(Reuters) - NEW YORK, July 2 - U.S. stocks rose on Monday,
boosted by takeover news and data that showed manufacturing
growth quickened in June even as price pressures eased.




In deal news, Canada's largest telephone company, BCE Inc
, agreed to a proposed US$32.8 billion buyout
from a group that includes the Ontario Teachers Pension Plan on
Saturday, in the biggest such transaction in Canadian corporate
history. For details, see [ID:nN02315411].


Read more at Reuters.com Bonds News

Credit sell-off changes risk assessment of CDOs

(Reuters) - As rising interest rates have pushed up the cost of
corporate borrowing and overall risk, the distribution of risks
within CDO portfolios has changed.




The idiosyncratic risk of individual company default s
associated with mergers and leveraged buyouts is being replaced
with systemic risk, in which an increasing number of borrowers
are seen in danger of default.


Read more at Reuters.com Bonds News

Crude Oil Futures Decline as Refinery Shutdown in Kansas May Reduce Demand

(Bloomberg) -- Crude oil fell from a 10-month high in
New York as a refinery shutdown in Kansas cut demand.

Coffeyville Resources LLC shut its refinery in Coffeyville,
Kansas, yesterday because of flooding on the Verdigris River,
according to as statement on its Web site. The 108,000-barrel-a-
day refinery can produce about 2.1 million daily gallons of
gasoline.


Read more at Bloomberg Energy News

UPDATE1-Focus Media says audit committee starts internal inquiry

(Reuters) - The company said the counsel informed it about the
investor, without indicating the source of the evidence,
raising questions primarily on certain related-party
transactions the company reported in 2005.




The Shanghai-based company was first informed about the
short seller in a letter from the counsel dated June 1. The
counsel reiterated its findings in another letter to the
company on June 22.


Read more at Reuters.com Market News

After dip on ISM, safety bid lifts bonds

(Reuters) - The Institute for Supply Management said its manufacturing index rose to 56.0 in June from 55.0 in May, slightly firmer than Wall Street had forecast.




"Orders increased and inventories decreased slightly, suggesting that manufacturing prospects still look good," said Gary Thayer, chief economist at A.G. Edwards and Sons in St. Louis. "But while manufacturing improved in the second quarter over the first quarter, it wasn't a big enough difference to cause the Fed to have to raise rates."


Read more at Reuters.com Hot Stocks News

Treasuries Little Changed as Index Shows Accelerating U.S. Factory Growth

(Bloomberg) -- Treasuries were little changed as a
private index showed U.S. manufacturing growth accelerated last
month to the highest in 14 months.

``Despite the move higher in rates and wider spreads and
increased capital costs, the economy is still showing signs of
strength,'' said James Caron, head of U.S. interest rate
strategy in New York at Morgan Stanley. ``The economy isn't
falling apart even with higher rates.''


Read more at Bloomberg Bonds News

US STOCKS-Indexes open up; telecoms takeovers help

(Reuters) - The Dow Jones industrial average was up 57.23
points, or 0.43 percent, at 13,465.85. The Standard & Poor's
500 Index was up 6.68 points, or 0.44 percent, at
1,510.03. The Nasdaq Composite Index was up 14.34
points, or 0.55 percent, at 2,617.57.




Read more at Reuters.com Bonds News

Freddie Mac sells $3.5 bln in bills

(Reuters) - The six-month bills were priced at 97. 4459 and have a
money market yield of 5.213 percent.




Settlement is July 3


Read more at Reuters.com Bonds News

Penn Virginia acquires two coal reserves

(Reuters) - The company said it funded the acquisitions using its
credit facility.





Read more at Reuters.com Mergers News

UPDATE 1-Sunstone Hotel sells six non-core hotels for $150.5 mln

(Reuters) - Net proceeds of about $141 million from the sale will be
used to repay debt, the Southern California-based lodging real
estate investment trust said in a statement.




The sold hotels are Hilton Garden Inn , Courtyard and Residence Inn , Courtyard , Residence Inn
and Hawthorn Suites .


Read more at Reuters.com Mergers News

Gramercy Capital to sell stake in JV to SL Green

(Reuters) - Separately, Gramercy said it has agreed to modify its $900
million secured repurchase facility with Wachovia Securities
LLC and Goldman Sachs Mortgage Co.





Read more at Reuters.com Mergers News

UPDATE 1-Biogen signs deal to develop electrolyte drug

(Reuters) - Cambridge, Massachusetts-based Biogen said the drug,
lixivaptan, is an oral compound expected to enter a late-stage,
or Phase III, clinical trial this year in heart patients with
hyponatremia, a condition that occurs when the level of sodium
in the blood is too low.




Biogen will pay Philadelphia-based Cardiokine $50 million
up front and would make up to $170 million in additional
payments if and when certain development milestones were met,
as well as royalties on sales.


Read more at Reuters.com Mergers News

Manufacturing Growth in U.S. Accelerates to Highest in 14 Months on Orders

(Bloomberg) -- Manufacturing growth in the U.S.
accelerated last month to the highest level in 14 months,
boosted by an increase in production and new orders, an industry
report showed today.

The Institute for Supply Management's factory index rose to
56 from 55 in May. Readings greater than 50 signal expansion.


Read more at Bloomberg Currencies News

BCE, Dobson, Focus, InterOil, Theravance, Virgin Media: U.S. Equity Movers

(Bloomberg) -- The following is a list of companies
whose shares are having unusual price changes in U.S. exchanges
today. Stock symbols are in parentheses after company names.
Share prices are as of 9:35 a.m. New York time.

BCE Inc. (BCE US) rose $1.28, or 3.4 percent, to $39.07.
Ontario Teachers' Pension Plan, which manages C$106 billion ($100
billion) for teachers in Canada's most populous province, agreed
June 30 to buy the country's biggest phone company for C$34.2
billion with investors including Providence Equity Partners Inc.
The value of the transaction with debt, preferred shares and
minority interests is C$51.7 billion.


Read more at Bloomberg Stocks News

Hedge fund Och-Ziff Capital files for IPO

(Reuters) - Goldman Sachs and Lehman Brothers are serving as co-lead managers for the offering.




Read more at Reuters.com Business News

White Sugar Falls for 2nd Day After F.O. Licht Raises Production Forecast

(Bloomberg) -- White sugar fell for a second
straight trading session in London after German commodity
research company F.O. Licht lifted its production forecast.

Global sugar-cane output, led by an increase from India,
will be 4.6 percent higher than previously forecast, bolstering
a surplus, F.O. Licht said in an e-mailed report today. Output
will be 130 million tons in the 2006-2007 season, up 19 percent
from last year, the Ratzeburg, Germany-based group said. India
is the world's second-biggest producer, after Brazil.


Read more at Bloomberg Commodities News

Biogen says completes $3 billion share buyback

(Reuters) - The company said it will borrow $1.5 billion through a loan
agreement with Merrill Lynch Capital Corp. as administrative
agent and Goldman Sachs Credit Partners LP as syndication agent
to partially finance the share repurchase.




Read more at Reuters.com Bonds News

Trump Entertainment does not reach buyout deal

(Reuters) - Trump Entertainment, which runs three casinos in Atlantic City, New Jersey, said none of the indications of interest was likely to lead to a transaction that was in the best interests of the company and its shareholders.



Trump Entertainment said it will continue to review other strategic options.


Read more at Reuters.com Bonds News

Brazil's Real Gains After Better-Than-Expected Trade Data, Growth Forecast

(Bloomberg) -- Brazil's currency rose after better-
than-expected trade surplus data increased bets that dollar
flows to Brazil will remain strong.

The real rose 0.2 percent to 1.9255 per dollar at 9:25 a.m.
New York time, leaving it up 11 percent this year.


Read more at Bloomberg Currencies News

Crude Oil Falls From 10-Month High on Signs Gasoline Supplies May Increase

(Bloomberg) -- Crude oil fell from near a 10-month high
in New York on speculation U.S. gasoline inventories would increase
as refineries increased output.

Crude oil for August delivery fell as much as 62 cents, or 0.9
percent, to $70.06 a barrel in after-hours electronic trading on
the New York Mercantile Exchange. The contract traded at $70.10 at
9:13 a.m. in New York.


Read more at Bloomberg Commodities News

GLOBAL ECONOMY-Europe factories flourish in June, Japan's slip

(Reuters) - PARIS, July 2 - Germany lifted the overall rate of
growth in the euro zone's manufacturing sector to a 4-month high
in June but growth slowed in other key European countries and in
Japan, monthly business surveys show.




Surveys of purchasing managers at thousands of companies
across the globe showed growth continued everywhere -- with
notable accelerations in Germany and Spain and eye-catching
slowdowns in growth rates in Britain and above all Japan.


Read more at Reuters.com Economic News

Costco, Discover Financial, Local.com, SanDisk: U.S. Equity Preview

(Bloomberg) -- The following is a list of companies
whose shares may have unusual price changes in U.S. exchanges
today. This preview includes news that broke after exchanges
closed on June 29. Stock symbols are in parentheses after company
names. Share prices are as of 7:30 a.m. in New York.

Apple Inc. (AAPL US) rose $1.36, or 1.1 percent, to $123.40
in trading before U.S. exchanges opened. The U.S. debut of the
iPhone drew thousands of shoppers over the weekend, emptying most
of AT&T Inc.'s (T US) inventory and causing network glitches as
the flood of customers began activating the device. Shoppers
bought as many as 500,000 units over the weekend, Piper Jaffray
analyst Gene Munster said, more than twice his projection of
200,000. JPMorgan analyst Bill Shope estimated sales were
312,000. Before the phone's debut, analysts expected Apple to
sell 50,000 to 200,000 units.


Read more at Bloomberg Stocks News

Thomson to sell Prometric to ETS for $435 mln

(Reuters) - The purchase price includes $310 million in cash and $125 million through a promissory note due in 2014.



The transaction is expected to close in the third quarter, the company said.


Read more at Reuters.com Mergers News

Bank of New York Mellon: Long name, big company

(Reuters) - "I say it was meant to be," Kelly said in an interview.
"The last few years, I've holidayed in Nevis, where Alexander
Hamilton was born. The second reason is that my initials are
the stock symbol ."




Bank of New York Mellon , a mouthful of a name,
announced the merger's completion on Monday, combining two
storied names in American finance. Coincidentally, both quit
branch banking this decade.


Read more at Reuters.com Mergers News

Dollar Drops to One-Month Low Against Euro on Outlook for Interest Rates

(Bloomberg) -- The dollar fell to the lowest level in
more than a month against the euro and dropped against the yen on
speculation the Federal Reserve will keep borrowing costs
unchanged while other central banks extend their increases.

Investors also sold the U.S. currency amid concern losses
from the subprime mortgage sector may weigh on the broader
economy, dimming the allure of dollar-denominated assets. Reports
this week are forecast to show U.S. job growth slowed last month
while a gauge of the service sector declined.


Read more at Bloomberg Currencies News

US STOCKS-Futures rise on telecoms takeovers, Apple gains

(Reuters) - NEW YORK, July 2 -U.S. stock index futures rose
on Monday, with takeover news in the telecommunications sector,
including a $48.5 billion buyout, likely to offset concern
about the subprime mortgage market.




Stocks will also get direction from a report on
manufacturing activity, which investors will scrutinize for
clues about the outlook for profits.


Read more at Reuters.com Bonds News

Rogers Says He's Sold `Over-Exploited' Emerging Markets, Apart From China

(Bloomberg) -- Emerging markets are a sell with the
exception of China, said Jim Rogers, the chairman of New York-
based Beeland Interests Inc.

``I've sold out of nearly all the emerging markets,''
Rogers said in an interview in Singapore today. ``Right now,
there are probably 10,000 young MBAs on airplanes flying around
from one emerging market to another, they're all over-exploited,
so I've sold out.''


Read more at Bloomberg Emerging Markets News

Japan Tobacco to Sell $1.2 Billion in Bonds to Help Fund Gallaher Purchase

(Bloomberg) -- Japan Tobacco Inc., the world's
third-largest traded cigarette maker, said it plans to sell
about 150 billion yen ($1.2 billion) of bonds to repay debt for
the purchase of Gallaher Group Plc.

Tokyo-based Japan Tobacco hired Daiwa Securities SMBC Co.
and Nomura Holdings Inc. to handle the sale, said Yukiko Seto, a
spokeswoman for Japan Tobacco. The company is aiming to price
the bonds this month, Seto said in a telephone interview.


Read more at Bloomberg Bonds News