AUSTRALIAN bonds are generating the strongest demand in three years on speculation the central bank will win room to hold record-low interest rates as treasurer Joe Hockey’s first budget focuses on deficit reduction.

State-backed Royal Bank of Scotland will begin a new chapter today as New Zealander Ross McEwan takes over the helm.

Royal Bank of Scotland has ruled out another shake-up of its investment bank and sources familiar with the matter said such strategic changes were unlikely until RBS appoints a new chief executive.

Japan has suspended some imports of grain from the US after the discovery in an Oregon field of gene-altered crops developed by Monsanto that never won approval for consumption.

Moving carefully along a row of apple trees, two of Australia’s newest agricultural workers check if the fruit is ripe or the soil needs water or fertiliser.

Westpac Banking Corporation, one of Australia’s largest banks, has posted a 15% fall in its annual profit to AUS$5.97bn (€4.8bn) due to the tax implications of its takeover of smaller rival St George Bank.

The euro fell to the lowest level in more than a week against the yen as Spanish and Italian borrowing costs rose amid concern a EU summit this week will fail to solve the sovereign-debt crisis.

World stocks rebounded today as pledges by European officials to resolve the region’s debt problems once and for all helped soothe market jitters.

Most Asian stock markets slumped today amid persistent investor fears that Europe will not be able to come up with a plan to prevent Greece from defaulting on its debts.

Asian stock markets rose today as data showed the economy of earthquake-battered Japan shrank less than expected.

AUSTRALIA’S devastating floods could remove over 5% of steelmaking coal from world markets this year and lift prices by a third or more, analysts estimated yesterday, as damage and disruption to coal infrastructure continue to spread.

Troubled bank Halifax Bank of Scotland has agreed to sell its Australian banking business for £1.2bn (€1.54bn) in a bid to boost its balance sheet.

Troubled bank Halifax Bank of Scotland has agreed to sell its Australian banking business for £1.2bn (€1.5bn) in a bid to boost its balance sheet.

Wall Street’s overnight freefall sent Asian stock markets tumbling sharply today as investors were gripped with fears of a global financial crisis.

Petrol prices are expected to fall further after Hurricane Gustav failed to disrupt output.

Two of Australia’s biggest banks are understood to be circling one of Halifax Bank of Scotland’s Australian businesses, it was reported today.

Royal Bank of Scotland is this week expected to raise £950m (€1.2bn) through the sale of its stake in Tesco Personal Finance to the supermarket giant.

Oil rose above $141 a barrel in Asia today as expectations of a weaker dollar spurred investors to seek refuge in dollar-denominated oil futures as a hedge against inflation.

Crude oil was trading near to the $USD100 (€64.18) a barrel level today as a stronger dollar tempted investors away from commodities.

Oil prices soared to fresh highs today as tensions between Iraq and Turkey added to fears over global supply.

Anglian Water owner AWG found itself back in the spotlight today as speculation mounted that it could be on the brink of a bid battle.

Energy company Viridian – parent of Northern Ireland Electricity – today confirmed it was the subject of takeover interest.

Crude oil futures surged past $70 a barrel for the first time today as Hurricane Katrina headed toward the heart of US oil and refinery operations in the Gulf of Mexico, shutting down an estimated one million barrels of refining capacity.

Banking software firm Eontec has seen losses continue as turnover for the year to end December 2002 fell by nearly 2 million.

EUROPEAN government bond yields surged and the dollar rose to an 11-week high against the euro after Federal Reserve chairman Alan Greenspan said US economic growth is poised to accelerate.

AIB Bank and Bank of Ireland may become takeover targets for National Australia Bank when a former Barclays’ Bank deputy chief executive takes over NAB’s European operations in August.

THE Flood Tribunal has heard new evidence to support claims by Frank Dunlop that the late Fine Gael councillor, Tom Hand, demanded £250,000 in return for his support of the controversial Quarryvale project in 1992.

The Australian government has announced it has sold a 99-year lease for Sydney airport, Australia’s largest, to an Australian-led consortium for (Aus) €5.5bn (€3.24bn).