Hello traders!

In the US tonight, the Dow Jones Industrial Average declined 0.3 points at
13,235.9, while the S&P500 was off 1.58 points to 1,462.5 and the Nasdaq
Composite fell 11.1 points to 2,541.7.

See you in the morning with the latest......

G.

Director Dealings - Thursday 23 August 2007

Absolute InsightPlusAgora S.A. (AGOD)Alliance & Leicester (AL.)BHP Billiton PLC (BLT)BSS Group PLC (BTSM)Brixton PLC (BXTN)Egdon Resources PLC (EDR)Fiske PLC (FKE)Intellego (IHP)

Intermap (IMAP)Liberty Intl PLC (LII)Lonmin PLC (LMI)Mandarin Oriental (MDO)Murray Inc Trust PLC (MUT)Murray Intnl Trust (MYI)New India In Tst PLC (NII)Private & Comm. Fin. (PCF)Proven Growth & Income VCT (PGO)

Proven Growth & Income VCT (PGO)Romag Holdings PLC (ROM)SPG Media Group Plc (SPM)Stagecoach Group PLC (SGC)Temple Bar Inv.Tst (TMPL)Temple Bar Inv.Tst (TMPL)Thus Group PLC (THUS)Tomkins PLC (TOMK)Zytronic PLC (ZYT)

Morning all. Market reports:

Telegraph
The Times
The Times (Need to know)
FT
The Guardian
The Independent
This is Money

Bank of China, the countrys second biggest lender, told investors on Thursday that it held nearly $10bn of securities backed by US subprime mortgages, the most of any bank in Asia. The amount is higher than many analysts were expecting but the debt is mostly rated AAA and actual losses are expected to be relatively small, especially compared with the banks total assets of around $770bn.

Bank of China in subprime provision

Thursdays admission by Bank of China that it holds more than $9.6bn of securities backed by US subprime loans makes it the Asian lender with by far the largest exposure to the sector. The figure easily trumps that of Mitsubishi UFJ Financial Group (MUFG), which this month disclosed about $2.4bn of investments that incorporate subprime loans.

Fingers are being crossed all over Asia that no bank is felled by the crisis. Sensitivities are high because this is the first big test of the regions banking system since the 1997-98 Asian financial crisis, which helped to bankrupt several financial institutions.

Asia crosses its fingers on exposure to subprime

Two of China's largest banks disclosed holdings of almost $11bn (5.5bn) in sub-prime mortgage-related assets but played down risks of taking a hit from the investments. Bank of China (BoC) and Industrial & Commercial Bank of China (ICBC) - both majority owned by the state - revealed details of their sub-prime exposure as they reported surging half-year profits on back of increased lending and rising fees.

Banks play down risk of sub-prime exposure

The chief executive of Countrywide Financial, the mortgage lender handed a $2bn (1bn) lifeline by Bank of America, said the housing market showed no signs of improvement and would push the US into a recession.

Mortgage crisis 'will drag the US into recession'

The head of one of Barclays Capitals key debt groups has resigned in the same week that several investment vehicles he structured were hit by losses in the credit market turmoil. Edward Cahill, the head of the banks European collateralised debt obligations (CDO) group, resigned on Monday after returning from holiday.

Barclays Capital debt executive resigns as SIV-lites struggle

It's also worth reading the first couple of paragraphs of the Independent's Market Report with respect to BARC.

NIKKEI	AUSTRALIA	SHANGHAI	HANG SENG

Good morning traders!

In Asia today, the Nikkei was recently down 61.14 points at 16,255.18, while the
Hang Seng ended the morning down 184.58 points at 22,782.39.

New York's main oil contract, light sweet crude for October delivery was
unchanged at $69.83 a barrel.

Happy Friday!

G.

TFN economic and business calendar

Thomson Financial Europe AM at a glance share guide: Shares, dollar mixed

TFN UK calendar and forecasts for today

The Friday Business Press Roundup

London shares outlook - lower; NY weaker; Barclays Capital banker resigns

Thomson Financial UK at a glance share guide

BROKERWATCH British Land, Land Securities upped to 'overweight' by Lehman

Australian shares close lower but post biggest weekly gain in 32 years

Tokyo shares close slightly lower on weak Wall St; optimism limits selling

BROKERWATCH Lonmin upgraded, Norilsk downgraded in HSBC mining review

UK smallcap opening - Meridian Petroleum lifted by upbeat production report

UK smallcap opening - Dicom higher as major investor joins boardAustralian shares close lower but post biggest weekly gain in 32 years - UPDATE

OUTLOOK CRH eyes Tarmac as part of acquisition strategy

OUTLOOK Diageo set to update on growth strategyUK smallcap opening - Yoomedia up on Meteor Parking dealTokyo shares close lower on weak Wall St; optimism limits selling - UPDATE

STOCKWATCH Sage Group up as Merrill Lynch upgrades to 'buy' vs 'neutral'UK smallcap opening - Titon slides on FY profits warning

STOCKWATCH BNP Paribas lower as fund reopening outweighed by wider credit fearsOUTLOOK Altadis H1 driven by recovery in Spanish cigarette opsUK small caps open firmer with Surface Technology up on Sumitomo mop-up

BROKERWATCH Shire maintained at 'buy' at Citigroup on Vyvanse growth in US

Metals - LME inventory data (Friday)Metals - Gold little changed amid lack of news, rangebound dollar, fragile mkts

Metals - Copper down on rising LME stocks amid shaky investor confidence

BROKERWATCH Lehman Brothers time to 'buy' European metals and mining sector

London shares - mid-morning features

One for the "UPS"

"UPS" (Added by Master RSI on Fri 24 Aug 10:55 am)
HCEG - Mid 2.435p

Reason - Some interest on shares last few days, as they are moving higher from lows, the Indicators are helping on this move up as slowly are rising higher from oversold. Company said early this month " Is focused on restoring group to break-even and then profits"

Metals - Copper down on rising LME stocks amid shaky investor confidence UPDATE

OUTLOOK PartyGaming focus on outlook for key Q4 period

US futures weaken

London shares - midday features

WALL STREET OUTLOOK Weaker amid ongoing credit woes, ahead of new home sales

Amsterdam shares turn lower midday as US futures point to Wall St negative openUK small caps still higher midday, with Surface Technology up on Sumitomo mop-up

Midday Market Roundup

Precious Metals Summary - London AM Fixings

OUTLOOK DSG International set to report solid Q1

Metals - Gold rises as players watch wider markets, strong physical demand ahead

Metals - Global credit fears push most lower; lead supported by tight stocks

London shares - midafternoon features

Precious Metals Summary - London PM Fixings

End-of-day Market Roundup

Have a good weekend all!

I'll be posting up the Traders Thread for Tuesday on Sunday and taking a day off
Monday.....

G.

Director Dealings - Friday 24 August 2007

Agora S.A. (AGOD)Alliance Trust PLC (ATST)Amtel-Vredestein NV (AMV)Aviva PLC (AV.)BLUEHONE AIM VCT PLC (BLN)Bank of America Corp (BAC)Baronsmead AIMVCTPLC (BAV)Baronsmead AIMVCTPLC (BAV)Baronsmead AIMVCTPLC (BAV)Baronsmead AIMVCTPLC (BAV)Baronsmead AIMVCTPLC (BAV)

Baronsmead AIMVCTPLC (BAV)Barr(A.G.) PLC (BAG)British Airways PLC (BAY)British Energy Group (BGY)ClinPhone Plc (CNP)CybIT Holdings PLC (CYH)Ermitage Money MrktGreencore Group PLC (GNC)INA-Industrija Nafte (HINA)LondonStockExGroup (LSE)Media Corp. (MDC)

Metorex Ld (MTX)Misys (MSY)Old Mutual PLC (OML)Raymarine PLC (RAY)Raymarine PLC (RAY)Raymarine PLC (RAY)Reed Elsevier PLC (REL)Sainsbury(J) PLC (SBRY)Tesco PLC (TSCO)Tomkins PLC (TOMK)Trafalgar Copley Fd

Friday's market reports:

Telegraph
The Times
The Times (Need to know)
FT
The Guardian
The Independent
This is Money

Britain's economy continued to grow healthily in the second quarter of this year, the Office for National Statistics has confirmed, renewing concerns that the Bank of England may yet be forced to raise interest rates despite the recent credit market turmoil.

Economy growth renews speculation of interest rate rise

Full-year earnings forecasts for Britain's banks are set to be downgraded, analysts warned yesterday, as the sector began to try to make sense of the credit crunch and its long-term effects.

City set to slash full-year forecasts for banking sector

Pension fund trustees are planning legal action against several London hedge funds in a desperate bid to salvage investments threatened by the recent credit crunch. Investors in one London-based hedge fund last week asked lawyers to prepare an injunction against the fund, which has been selling off assets because it cannot borrow any more money.

Pension funds demand money back

London's banking system is clogged up with a growing backlog of short-term loans estimated to stand at some $25bn (12.4bn).

Although an air of calm has descended on equity markets, the short-term money markets remain chaotic say senior bankers, who warn that the market for asset backed commercial paper (ABCP) - loans that typically last between 60 and 90 days - has ground to a halt.

Loans block up London banking

BOB Baer, the former Middle East CIA operative whose first book about his life inspired the oil-and-espionage thriller Syriana, is working on a new book on Iran, but says he was told by senior intelligence officials that he had better get it published in the next couple of months because things could be about to change.

Baer, in an interview with The Weekend Australian, says his contacts in the administration suggest a strategic airstrike on Iran is a real possibility in the months ahead.

US 'poised to strike Iran'