In a statement on the financial sector reform, the Ministry of Economy said that banks will increase to 80%, their provisions for problem assets.

Madrid said that no public money would be used for banking reform and institutions had until the end of the year to increase their level of provisions. 

The aim of this reform is to trigger a new wave of consolidation in the sector to develop, four years after the bursting of the housing bubble, banks stronger and restore confidence vis-à-vis Spain, which could still be a victim of the debt crisis in the euro area if ever it were to worsen.

Took office in December, the new right-wing government led by Mariano Rajoy is committed to restructuring the banking sector in the country once and for all. 

The previous government, Socialist Jose Luis Rodriguez Zapatero, had forced some 45 regional savings banks, the "cajas" – for the most highly exposed to noxious claims after the collapse of the housing market in 2007 – to merge with each other and to raise capital, brandishing the threat of nationalization for those who do not would comply with its guidelines.

With the austerity measures taken by the two successive governments to Spain to avoid being carried away by the debt crisis, an unemployment rate that reached 23% the labor force and a likely recession into the fourth largest economy in the euro area – the second in four years – bank loans do not increase. 

But their potential losses are so high – $ 176 billion according to the Bank of Spain 18% of GDP – that markets are not likely to repeat immediately trust sector.

The bank most threatened by the banking reform is Bankia, the result of the merger of seven "cajas" became the fourth bank, which is particularly exposed to the real estate sector.

The property, which has already received 4.5 billion euros of state aid, a portfolio of 41 billion euros in loans to developers and 11 billion of real estate with were seized.

This loss, which is the highest charged by the Japanese electronics group in ten years, compared with a previous profit forecast that anticipated a net profit of 30 billion yen for the fiscal year to March 2012 and the benefit net 74 billion recorded during the previous year.

From July to September, Panasonic has released an operating profit of 42 billion yen, an amount greater than its own forecast of 4.4 billion yen, but below the 50 billion predicted by the Thomson Reuters consensus I / B / E / S.

Last year, at the same time, he recorded an operating profit of 85.2 billion.

The group now expects an annual operating profit of 130 billion yen, while previously planned 270 billion. Analysts on average had forecast 225 billion yen.

As a number of Japanese exporters, Panasonic is faced with the high yen, which discourages consumers to purchase products made in Japan.

European leaders Sunday traced the outline of a plan to end the debt crisis that threatens the euro area, despite disagreements, and pressured the Italian leader Silvio Berlusconi seemed to hear their calls in a pinch.

A summit in Brussels has apparently helped a little closer Franco-German couple, who previously showed strong differences on how to strengthen the clout of the Fund to support the euro area (EFSF), a financial need to stop the contagion of debt.

A "broad agreement" is emerging on this issue, assured French President Nicolas Sarkozy, while this issue poisoned relations between Paris and Berlin for several days."Discussions are progressing well, there is no blockage," he said.

Careful, however, the French president warned that he would "still many hours of discussions" to reach a final solution Wednesday, during a new European summit which aims this time decisive.

After a standoff, Paris was forced to abandon his idea of ​​involving the European Central Bank (ECB) in strengthening the firewall in the euro area. German Chancellor Angela Merkel adamantly opposed on the grounds that it would have violated the legal prohibition against the European Central Bank (ECB) to help governments fiscally.

Two scenarios for the EFSF

Now, two scenarios, but matching multiple variants are still under consideration to give the EFSF firepower of at least 1000 billion euros, according to figures circulating.One proposes to act as an insurance system of partial public debt of countries in difficulty, the other is considering creating a kind of special fund to accept contributions from outside investors, which could be backed by the International Monetary Fund.

The President of the European Union, Herman Van Rompuy said after meetings on Sunday that "combined, these two models could have a cumulative effect." Executive Director of the IMF, Christine Lagarde, has expressed his satisfaction as he left the meeting Sunday evening. "We made very good progress, it was really an effective meeting, and I hope it is really in the right direction for Wednesday," she said.

The model involving the IMF, however, cause controversy, because countries such as China could invest."The Chinese said they were interested, but some member states are skeptical about the idea of ​​integrating a Chinese contribution to the EFSF," said one diplomat.

In addition to the EFSF, the answer to the crisis is to stabilize the over-indebted Greece, creditor banks impose on the country's heavy losses, recapitalize them for the shock and therefore more arming the EFSF.

In detail, the countries of the euro area have agreed to require banks losses of at least 50%. Greece is currently stifled by a huge debt of some 350 billion euros. Negotiations are ongoing with the financial sector.

Concerning the recapitalization of banks, the amount proposed is approximately 108 billion euros, according to a European source. The Europeans have yet to define the terms of the plan.Announcements should be made Wednesday on this.

"There will be no solution to this crisis pan-European if Europe does not take a global decision," stressed the Prime Minister of Greece, George Papandreou.

The Australian Minister of Finance, Wayne Swan, on Monday accused European leaders of having "lost time" past 18 months and urged them to present a serious plan, otherwise endanger world growth.

Worried about a contagion of the crisis, European leaders have also shown severe Sunday against Italy awash in a debt of 1,900 billion euros. Rome is accused of failing to meet its commitments to fiscal restraint and not enough to reform its economy.

Berlusconi will pension reform

"We have made it clear to Berlusconi that Italy must do everything to be up to its responsibilities," said German Chancellor. "This is not to appeal to the solidarity of partners if we do not have the necessary efforts," warned Mr Sarkozy for his part.

These stern warnings seem to have been heard by the Italian head of government: the latter announced his intention to convene an extraordinary cabinet meeting Monday to reform the pension system. Rome causes irritation of its partners who fear a major crisis in the euro area if the public accounts are not firmly held.

Last project: the reform of the governance of the euro area. EU leaders appointed Van Rompuy at the head of the summit meetings of the euro area alone, in addition to his cap pattern of the EU.The EU countries not members of the euro area, such as Sweden, do not like this two-speed Europe that is taking shape. They got a top-27 Sunday to take place Wednesday, one hour before that of the single euro area. British Prime Minister David Cameron has postponed the official visits he had made in New Zealand and Japan to attend this crucial meeting.

The successor to the iPhone 4 unveiled Tuesday, the eve of the death of the co-founder of Steve Jobs, has, according to the second mobile operator in the U.S., an "extraordinary demand", despite no change in design.

The three major U.S. telcos, AT & T, Verizon Wireless and Sprint, have begun taking orders for the iPhone 4S Friday.Apple's flagship handset will be available in stores from October 14.

Comparison with sales of the previous generation is difficult because the iPhone 4 at its output was distributed only by the operator AT & T in the United States. It was then passed to 1.7 million copies during the first three days of its launch.

Some analysts expect Apple sells between 27 and 28 million iPhones for the quarter October to December.

Handsets running the Android operating system from Google, as the Galaxy Samsung, have become formidable competitors of the iPhone while Tim Cook has just taken the reins of Apple and its founder, credited with a strategic vision, has disappeared as a result of cancer.

Around 9:35, the CAC 40 index 0.63% to 3189.33 wins points after nibbled 0.18% yesterday. Since the beginning of the benchmark index in Paris lost more than 13%.

Other major European markets, London ahead of 0.37%, 0.91% of Frankfurt and Milan by 0.33%.The pan-European Euro Stoxx 50 index was up 0.61%.

Investors will alert Wednesday in the investigation of private U.S. employment ADP, at 14:15 (Paris time), pending the official statistics of employment, much needed on Friday.

The U.S. Federal Reserve may engage in a third program of quantitative easing if economic indicators point to a deteriorating economy, said in Tokyo James Bullard, president of the St. Louis Fed, after publication of the minutes of the Fed meeting in early August.

"Although the publication of the minutes of the meeting of the Fed's monetary policy does not produce clear consensus on what the bank account specifically to do now, it leaves the door open for a new action, which should continue to support the feeling market, "said Cameron Peacock, market analyst at IG Markets.

The announcement that retail sales in Germany remained stable in July, while economists expected a 1.6% decline, also supports the trend.

BOUYGUES JUMPS, CARREFOUR DROP

From a graphical point of view, the Drogoff Alexandre, an analyst at Aurel BGC, said the "timing" the market continues and the EuroStoxx 50 should continue to hover around the psychological threshold of 2200 points.

As for values, Bouygues rebounds over 10% and tests its moving average 50 days after the announcement of a repurchase plan of action and its goal of raising revenues.

Carrefour (-4%), however, wipes the largest decrease in the CAC 40 after finally revised down its forecast for annual results, as expected.

The performance of 10-year Bunds is treated around 2.17% against 2.15% the day before the end of the day.

The euro is trading 1.4434 / 38 dollar against 1.4436 the previous day in the afternoon, while U.S. crude was steady at 88.86 dollars a barrel.

The cost of school students in 2011 will increase by over 4%, calculated their organizations. While inflation was 2.1%, the "cost of student life" increases of 4.1% compared to last year, according to UNEF, the first student union, and the "cost of school "4.2% according to Fage, the second organization, which is more than in 2009 and 2010. The return cost and 2657.3 euros a student and Ile 2265.8 euros in the province, said the Fage.

For both organizations, the increase was mainly due to housing and mandatory spending levels announced this summer by the government (fees, meals academic, social security). The UNEF insists that small units of large Cities are those whose rents are rising the most. "The figures of the Observatory of Student Life (OVE) give us an average of 646.6 euros for rent student Ile-de-France, an increase of 7.7%", details the Fage. As for increases validated by the government this summer, they represent an increase of 4.4% of the cost of living, according to UNEF.

As a result, the organization requests that the government does not sacrifice the purchasing power of students on the altar of debt reduction and the maintenance of "AAA" rating of the debt of France, while the budget announcements are expected Wednesday ."These decisions" will be viewed with extreme caution and extreme firmness by UNEF. It is not for students to pay the triple A of France, "he told a press conference the chairman, Emmanuel Zemmour, claiming that the tenth month of stock is properly funded.

The government will present its own assessment of the cost of the return within 10 days

But the executive defended himself: "The rising cost of this return is probably one of the lowest in the last five years," he told AFP the Minister of Higher Education Laurent Wauquiez. He cites as evidence an overall increase in rents at the national level "of 1.2% this year against 1.5% last year" and higher ticket university meal 1.7%, after 3.4% in 2010. Mr Wauquiez said that increases in the ticket "UK" or in license fees (1.7%) are "below inflation" (1.9%)."I do not take lightly the issue of cost of student life, but we need everyone to take the measure of the efforts," he added.

"France is the European country in which to study is the cheapest" and the government chose "not to increase, with the crisis, student fees, unlike Britain, Spain or Italy, "insisted the minister. "Student organizations are perfectly legitimate and in their role out of ciphers, but these are not scientific and statistical evaluation", he further argued, promising formal evaluations by "ten days".

However, the UNEF judge's record five-year "bad" in terms of purchasing power of students: on average since 2006, mandatory spending for students increased 33.2%, but the welfare of 13%.In higher education, the proportion of students from lower income households fell in the same period by 9.1%, "a historical perspective" according to Emmanuel Zemmour, because "the financial barriers to acccès are becoming larger ".

24:50: contracts of insurance against default (CDS) reached new highs Thursday on France and its main banks, which were the subject of many rumors involving a fall the day before the stock market. At 12:44 (10:44 GMT), the "credit default swaps" (CDS) in France were at 175 basis points, which means it must pay $ 175,000 a year to provide $ 10 million in French state debt to 5 years. The CDS on banks have also signed highs, well above most of those reached during the 2008 financial crisis, even as tensions on the funding of banks were extreme at the time.In detail, the Societe Generale CDS were Thursday morning at 335 basis points, far from the end of 2008 reached 150 and 200 affected in the outbreak of the debt crisis in May 2010. For their part, the CDS were BNP Paribas 237.6 basis points and those of Crédit Agricole to 266.7 basis points, well beyond the 100 to 150 basis points, the level around which the CDS on banks turned so far. The CDS of them have reached Natixis 192.7 basis points, which is not a record because they were 300-350 during the 2008 crisis, the bank was one of the most severely affected at the time.

24:38: Jean-Luc Mélenchon said he would tell the rating agencies to go "to the niche," Thursday on France 2. Faced with the crisis, "it is not that important to reassure the markets, it is the producers, that is to say, companies and employees," assured the former minister."We must resist, do not capitulate to the financial markets at the same time (…) and hitting those who strike us. It's still great, we are in the hands of rating agencies, but who are these people? "

12:30: Austerity in Italy. The Italian Minister of Economy, Giulio Tremonti said Thursday "very strong measures for 2012/2013" in the new austerity plan being developed to achieve a balanced budget a year ahead of expected. "We will reduce the deficit almost in half this year we will have to be 3.8 / 3.9%". The minister acknowledged that Italy had received indications from other European countries and the European Central Bank that serve as tracks.

12:22 London erases gains, Milan goes into the red.

12:00: The Paris Bourse goes into the red, the bank relapse.The Paris stock exchange plunged below 3,000 points.

11:54: BNP Paribas and Societe Generale go into the red, the CAC 40 is weakening.

>> How did we get here? The movie event of the crisis in a few dates here.

10:55: Paris tries to bounce back. The Paris Bourse and the banking sector were trying to rebound Thursday after a meeting black. At 10:18, the CAC 40 2.50% clinching points to 3077.05 and Societe Generale was flirting with 7%. "Can we believe the bounce? I have no idea, right now the smallest rumor brought down the market in delusional proportions," tempers Waldemar Brown-Theremin, manager of equity Turgot Asset Management .

10:52: European shares rise. The index featured the Milan Stock Exchange, the FTSE Eb, accelerating its rise Thursday morning after opening on a rise of 2.79%, jumping over 3%.London is also up sharply after a decline of more than 3% yesterday. Around 7:45 GMT, the FTSE-100 index of the core values ​​displayed an increase of 101.85. Frankfurt opened up 2.81%.

10:34: The Shanghai Stock Exchange closed up 1.27%, erasing the losses during a meeting with newspaper articles reporting that a government pension fund had acquired shares to support the market.

10:00: The SocGen takes the bull by the horns. The title recorded an increase of 7.19% on the Paris Bourse, the day after a black day which saw its collapse amid rumors of bankruptcy.

What you want to know about the debt crisis

Who is responsible? That investors are likely? And if we regulated the agencies? All the answers to your questions here.

[To understand why the title of the Societe Generale fell apart, click here]

9:50: Marine Le Pen tape fist. France Inter, the president of the Front National Marine Le Pen on Thursday called the policy to "regain control" on the economy, accusing them of "pass the keys to the truck to people who were not allowed driving "giving" political control to banks and markets. "

9:30: Apple head. Apple has become the world leader in terms of market capitalization. The manufacturer of the iPhone and iPad exceeded that of oil giant ExxonMobil Wednesday at the New York Stock Exchange.

9:00: Asia limit losses.Asian markets have limited the damage or closed up, while gold, with its status as a safe haven, bursting with new limits: Tokyo closed down slightly by 0.63%, Sydney ended with the balance, Seoul gained 0.62%.

8:18: "We are making solid profits, we strengthened our capital, there is no problem on Societe Generale," says its CEO, Frederic Oued.

8:13: The gold through the roof. The ounce of gold reached 1,814.50 / 1815.50 dollars on the market in Hong Kong early Thursday morning after the new bear market, the U.S. and Europe yesterday. Is a Lienprogression over 50% since August 2010/Lien. Considered a safe haven by investors, the price of gold steadily increasing in times of crisis or financial market.

0:30: Italy under pressure. "We must act quickly."Silvio Berlusconi pledged Wednesday to adopt by August 18, new conservation measures, under pressure from the ECB, which has granted a respite to Italy by acquiring a portion of its debt in return but requires a more severe austerity. The prime minister promised to "convene a Cabinet by 18 August" to adopt a new savings plan, and "perhaps before," during a meeting with the social partners.

0:00: Obama Bernanke.Le meets U.S. President received on Wednesday the president of the central bank to discuss the difficulties of the U.S. economy and the risk of contagion from the crisis of European debt, said the White House. They "discussed the prospects for recovery and employment, and budgetary problems, including the need to address the deficit in the long run," said the presidency in a statement."They also discussed the situation in Europe," the text, which states that it was the third time the two men met this year.

The context

European shares rebounded strongly Thursday at the opening, driven by banking stocks after the downfall of the previous day caused by rumors-denied-once degradation of the note of the failure of France and Société Générale. "The collapse in global equity markets was too important" Wednesday, analysts said Axa IM, hoping more rational for this session.

But concerns are far from being dissipated, particularly those relating to the slowdown in the global economy and the issue of sovereign debt on both sides of the Atlantic. The overwhelming investor nervousness could therefore persist while no major indicator is the program on Thursday.At this point, the rebound is largely technical after heavy falls the previous day and must be confirmed.

According to figures released Friday by the Labor Department, the U.S. economy created 117,000 non-farm jobs in July and the rate of unemployment has fallen from 9.2% to 9.1%.

Economists on average had forecast 85,000 new jobs.

"This is definitely better than expected.This is far from robust, but given the nervousness of the market before, it is a relief, "said Eric Stein, portfolio manager at Eaton Vance.

"In the context of a normal recovery, not a solid figure, but given the fear that gripped the markets, it is not catastrophic," he added.

In a context of strong market declines related to fears about sluggish growth in the U.S., the announcement was indeed the immediate consequence of back up stock markets and oil, while Treasuries retreated.

On Wall Street, the index contracts have increased significantly before the opening.

The employment figures were very disappointed in the previous month, but the statistics of June (18.000 creations) was revised to 46,000.

That of May was also revised upwards from 25,000 initially to 53,000.

The unemployment rate retreated slightly to 9.1%, while analysts expected the same from one month to the other at 9.2%.

PUBLIC SECTOR JOBS STILL DESTROYED

"These are good figures. The revision was made up and with a magnitude greater than expected. I do not think it will be enough to get us out of the economic downturn, but these figures do not in any case recession, "said Jay Feuerstein, chief investment officer at 2100 Xenon Group.

But other analysts emphasized that relief could be short-lived.

"It does not solve anything.Rather consider this as an opportunity to sell, rather than as a reason to get involved again in the long term. The upward revisions of previous figures are encouraging, but ultimately, we will retain only the number of low GDP last Friday, the ISM report on Monday and companies are starting to say that we are moving perhaps to a recession or that we are already there, "said Michael Marrale, RBC Capital Markets in New York.

All the creations of non-agricultural jobs is a credit to the private sector, which created 154,000 jobs, against 115,000 expected.

However, the public sector has in turn eliminated 37,000 jobs, after having already destroyed 39,000 in June.This further decline is mainly due to the temporary closure of the institutions of the State of Minnesota, during which thousands of civil servants have been deprived of wages.

In July, 24,000 manufacturing jobs were created, while 11,000 were expected. Most of the increase comes from the automotive sector. Employment in construction increased by 8,000, following a decline of 5,000 in June.

The average workweek was unchanged at 34.3 hours, but the average hourly wage increased 10 cents.

Initiated in 2009 as part of the big loan, the proposed public-private partnership around a consortium between the state, Orange, Thales and Dassault Systemes secure systems must provide for the accommodation of digital data, "cloud computing "- notably through the creation of large" data centers ", hosting data dematerialized.

The MoU was signed Friday between the four partners, but will be released once approved by the representative bodies of each of the signatory companies, in the fall."At this stage, the government does not comment on the case under investigation," said the Ministry of Industry. Also questioned the direction of Orange said the project progressed "quickly and well" but declined to confirm the signing of the MoU.

In the name of national sovereignty

In January 2010, Prime Minister François Fillon has called for the emergence in France of a system of secure cloud computing, in the name of "sovereignty" to deal with often foreign providers. As part of the big loan, the government has allocated a total budget of 4.25 billion euros for development of the digital economy.Part of this amount – 2.25 billion – will be particularly aimed at financing research and development initiatives relating to "use, innovative services and content" on the envelope is that cloud computing consortium should draw some of resources.

In late May, the three private partners Orange, Thales and Dassault Systems, had submitted a dossier to the Government, in response to a call for expressions of interest. Modalities remain to be clarified, as the level of funding or the governance of the consortium, said a source familiar with the matter.

The rating agency Moody's on Friday threatened to lower again the note of the Spanish debt, currently at "Aa2", pointing the finger once again the financial situation of the regions and sanctioning already six of them .

Degraded after the note of Spain March 10, the agency announced that it could still take away a notch.

If it did, during its review period of three months, the country would continue, however, borrowers in the category of high level, as classified by Moody's.The Madrid Stock Exchange responded with a drop, losing 1.42% at 0800 GMT, while the rates in Spain and ten years of going above 6%, an astronomical cost of financing for the country.

Thus, Spain has been good conduct several austerity plans to reduce its deficit and reforms to modernize its labor market, the pension system and banking sector for the rating agency, it keeps "an increasing vulnerability tightening the market. "

This fragility has also been felt in recent weeks about the bailout of Greece, which has been pitching the Madrid stock exchange and bond yields climb to record highs Spanish. The country is in the crosshairs of the markets for over a year now, Fitch and Standard & Poor's downgraded its rating in April and May 2010.

Moody's cites two reasons for its decision Friday.The first, "the continuing pressure to finance faced by the Spanish government," the pressures that could "escalate" to the Europe Agreement for aid to Greece. The latter has "set a precedent" by involving the private sector and a marked increase in the risk for investors, bondholders fragile in the euro zone, said the agency, which also threatened in June to degrade note Italy for "similar concerns."

Moody's second argument, the difficulty of Spain to reduce its deficit because of an "environment of low growth" and "fiscal gap that persists in many regional governments." The Spanish economy struggling to emerge from the crisis, with growth almost sluggish in the first quarter (0.3%) and rampant unemployment, which reached 20.89% of the population in the second quarter, the highest among industrialized countries.

In addition, rating agencies, analysts, as well as the International Monetary Fund (IMF) have expressed in months of their concerns about the financial position of the 17 Spanish regions, heavily in debt (121 billion euros in cumulated) with a strong financial independence and so far reluctant to reduce their deficits.

Not surprisingly, Moody's decided Friday to lower a notch notes six areas, one of the most powerful, Catalonia, due to "the deterioration of their fiscal and debt."

The other five regions are sanctioned Castilla-La Mancha, Autonomous Community of Murcia, the region of Valencia, Andalusia and Castile and Leon.Moody's "provides that regional governments will miss their collective goal deficit with a difference of up to 0.75% of GDP, which would make it more difficult to achieve the overall objective of the government deficit (6% of GDP in 2011). "

Until recently, regional finances were not controlled by Spain, which introduced a first follow-up, by setting targets for deficit reduction. But in 2010, it rose to 2.83% of GDP, well above the official commitment of 2.4%. In the first quarter 2011, only half of the regions had a deficit consistent with the objective, according to the Ministry of Economy. It displays its strength and has set ambitious goals for the coming years: 1.3% in 2011 and 2012, 1.1% in 2013 and 1% in 2014.

Finally, Moody's also threatened to lower notes of four Spanish banks, including the number one in the eurozone Santander, as well as the Confederation of Spanish Savings Banks (CECA). The other three banks involved are BBVA, La Caixa and Caixa-Bank. "A potential decline in the note by the Spanish government would affect only the notes of debt and bank deposits that have high individual ratings," Moody's said.

Santander, BBVA and CaixaBank, which are the first three listed banks in Spain, as have long-term rating Aa2 and P-1 short-term, which puts them in the category of borrowers to high level, as classified by the agency . La Caixa, the first Spanish savings bank, is rated A1 on the other hand, in the "medium high". Finally, Ceca is rated A1 long-term P-1 short term.