UPDATE 1-Carbon offsetting needs code of practice-UK report

(Reuters) - LONDON, July 23 - Carbon offsetting has a role to
play in fighting climate change but urgently needs a code of
practice, an environment committee of British parliamentarians
said on Monday.




Voluntary offsetting involves individuals and companies
paying others to cut greenhouse gas emissions on their behalf.
It is unregulated, and so distinct from a mandatory
international scheme under the Kyoto Protocol.


Read more at Reuters.com Government Filings News

Japan election could hit Nikkei, yen, boost JGBs

(Reuters) - "Politics and its uncertainty hasn't affected the real
economy," said Koji Ochiai, a senior market analyst at Mizuho
Securities.




Polls pointing to a blow for the ruling camp are stirring
worries that Prime Minister Shinzo Abe will be forced to resign
and Japan will return to the short-lived governments of the past.


Read more at Reuters.com Bonds News

Sabic Selling Islamic Bonds at Wider Yield Spreads Amid Market Volatility

(Bloomberg) -- Saudi Basic Industries Corp., the
world's biggest chemicals maker by market value, increased the
yield spread on an Islamic bond sale after boosting the size of the
deal to $2.1 billion amid ``market volatility.''

The bonds, known as sukuk al-Istithmar, will pay 38 basis
points more than the Saudi interbank offered rate, Rajiv Shukla,
director of investment banking at sale manager HSBC Holdings Plc
in Saudi Arabia, said in an interview today.


Read more at Bloomberg Bonds News

Rand firms more than 1 pct vs dollar

(Reuters) - South Africa's rand firmed by more than one percent versus the dollar on Monday, as the greenback hovered near a record low against the euro -- the currency of South Africa's largest trading partner.

At 0600 GMT, the rand stood at 6.8250 to the greenback, its strongest level since August 20 last year. It reached 6.80/dollar earlier.


Read more at Reuters Africa

New Zealand Dollar Advances Above 80 U.S. Cents on Rate Rise Speculation

(Bloomberg) -- The New Zealand dollar rose
above 80 U.S. cents to a 22-year high as the prospect of another
increase in interest rates this week lures investors to the
nation's higher-yielding assets.

The currency has gained 14 percent this year as the central
bank raised the benchmark rate three times in a bid to subdue
consumer demand, which it says is boosting inflation. There is a
67 percent chance bank Governor Alan Bollard will raise the
official cash rate by a quarter-percentage point for a fourth
time at his monetary policy review on July 26, according to a
Credit Suisse Group index based on interest-rate swaps trading.


Read more at Bloomberg Currencies News

U.S. Notes Rise as Investors' Risk Appetite Wanes, Asian Stocks Decline

(Bloomberg) -- U.S. Treasuries rose, with the yield
on 10-year notes falling to the lowest in almost two months, on
speculation investors sold stocks and sought the relative safety
of government debt.

The yield on the 4 1/2 percent 10-year note maturing in May
2017 fell 2 basis points, or 0.02 percentage point, to 4.93
percent as of 1:20 p.m. in Singapore, according to bond broker
Cantor Fitzgerald LP. The price rose 4/32, or $1.25 per $1,000
face amount, to 96 21/32. Bond yields move inversely to prices.


Read more at Bloomberg Bonds News

Australian Dollar Set for Record Winning Streak as Commodities Prices Rise

(Bloomberg) -- The Australian dollar headed for a
12th day of gains, the longest winning streak since it was
allowed to trade freely in 1983, as the prices of raw materials
the country exports rose.

The currency traded near an 18-year high as the Westpac
Commodity Futures Index, an export weighted average of exchange-
traded commodity futures prices, advanced 4.5 percent to an all-
time high. The local dollar has surged 17 percent over the past
12 months as demand from China pushed up prices of raw materials,
which add about 14 percent to Australia's economy.


Read more at Bloomberg Currencies News