-Updates Version Transmitted At 0830 GMT
-UK BBA: Jul sa Mortgage approvals 28,441 vs 25,940 Jun

LONDON (MNI) – UK mortgage approvals rebounded in July from their
June low, but were still sharply down on year ago levels, according to
BBA data.

The number of seasonally adjusted mortgage approvals stood at
28,441 in July, up from 25,940 in June and a 9.6% rise on the month. The
June outturn was the lowest since the 22,921 seen back in December 2008
and the July reading is markedly below the levels seen in the first
quarter of this year.

Back in February mortgage approvals hit their local peak for this
year of 32,523. Mortgage approvals in July were 16.6% down on the same
month a year ago.

The data also showed a modest pick-up in remortgaging activity,
with the number of remortgaging loans approved in July rising to 15,600
from 14,033 in June.

There was a small net increase in the amount of mortgage lending
outstanding in July, of stg274 million following a stg283 million
increase in June.

The unsecured lending data showed negligible changes in credit card
borrowing, with the net change in amounts outstanding rising stg21
million in July.

“We continue to see the household sector increasing deposits and
repaying debt,” BBA statistics director, David Dooks said.

–London Bureau; Tel: +44207 862 7491; email: drobinson@marketnews.com

[TOPICS: MABDS$,M$B$$$]

– Clarifies Maturity Range Is 15 To 35-years

LONDON (MNI) – Ireland’s National Treasury Management Agency (NTMA)
announced Thursday that it has opened a formal sale process for five new
Irish Amortising Bonds, with maturity dates ranging from 15 years to 35
years.

The debt agency earlier this week said it will initially issue
amortising bonds with maturities of 15, 20, 25, 30 and 35-years, subject
to market conditions.

Irish Amortising Bonds (IABs) are amortising bonds which make equal
annual payments over their lifetime and each such annual payment
includes a partial principal repayment and a payment of interest, as set
out in the offering circular for each IAB,

All details were outlined in the Irish Amortising Bonds Information
Memorandum of July 2012.

The issuance will take place by way of tap and will be open only to
recognised Primary Dealers in Irish Government bonds, said the NTMA.

Orders may be placed between 0900GMT and 1200GMT, subject to the
NTMA’s right to close the tap at any time, added the NTMA.

–London newsroom: 00 44 20 7862 7494; email:nshamim@marketnews.com

[TOPICS: MMXBO$,MNXAU$,MFX$$$,MGX$$$,M$X$$$]

-UK BBA: Jul sa Mortgage approvals 28,441 vs 25,940 Jun
-UK BBA Jul sa Remortgage approvals 15,600 vs 14,033 Jun
-UK BBA Jul Net Change in mortgage amount outstanding stg274mn
-BBA Jul Net Change credit card credit stg21mn vs stg212mn Jun

LONDON (MNI) – UK mortgage approvals rebounded in July from their
June low, according to BBA data.

The number of seasonally adjusted mortgage approvals stood at
28,441 in July, up from 25,940 in June. The June outturn was the lowest
since the 22,921 seen back in December 2008 and the July reading is
still below the levels seen in the first quarter of this year.

Back in February mortgage approvals hit their local peak for this
year of 32,523.

–London Bureau; Tel: +44207862 7491; email: drobinson@marketnews.com

[TOPICS: MABDS$,M$B$$$]

UK DATA: BBA: Jul sa Mortgage approvals 28,441 vs 25,940 Jun
UK BBA Jul sa Remortgage approvals 15,600 vs 14,033 Jun
UK BBA Jul Net Change in mortgage amount outstanding stg274mn
BBA Jul Net Change credit card credit stg21mn vs stg212mn Jun
————————————————————————
UK mortgage approvals rebounded in July from their June low,
according to BBA data. The number of seasonally adjusted mortgage
approvals stood at 28,441 in July, up from 25,940 in June. The June
outturn was the lowest since the 22,921 seen back in December 2008 and
the July reading is still below the levels seen in the first quarter of
this year.

Italy 10 year govt bond yield up 7 bps at 5.74%

Action in periphery bond yields has taken a little steam out of the EUR/USD rally and we’re back down at 1.2545 from session high 1.2572.

LONDON (MNI) – Ireland’s National Treasury Management Agency (NTMA)
announced Thursday that it has opened a formal sale process for five new
Irish Amortising Bonds, with maturity dates ranging from 15 years to 35
years.

The debt agency earlier this week said it will initially issue
amortising bonds with maturities of 15, 20, 25, 30 and 35-years, subject
to market conditions.

Irish Amortising Bonds (IABs) are amortising bonds which make equal
annual payments over their lifetime and each such annual payment
includes a partial principal repayment and a payment of interest, as set
out in the offering circular for each IAB,

All details were outlined in the Irish Amortising Bonds Information
Memorandum of July 2012.

The issuance will take place by way of tap and will be open only to
recognised Primary Dealers in Irish Government bonds, said the NTMA.

Orders may be placed between 0900GMT and 1200GMT, subject to the
NTMA’s right to close the tap at any time, added the NTMA.

–London newsroom: 00 44 20 7862 7494; email:nshamim@marketnews.com

[TOPICS: MMXBO$,MNXAU$,MFX$$$,MGX$$$,M$X$$$]

Spain 2 year govt bond yield up 9 bps at 3.71%.

–Says Cut To Zero Or 0.25% Would Harm Position Of Certain Banks
–Rise In Sterling A Concern – Economy Has Lost Some Competitiveness
–Says No ‘Practical’ Limit To QE At Present; Is ‘Theoretical’ Limit
–Inflation ‘Not Major Problem’ – But Paying Careful Attention

LONDON (MNI) – Cutting Bank Rate would generate ‘perverse effects’
and weaken the financial position of certain banks, Bank of England
Monetary Policy Committee Member Martin Weale said today.

In an interview in French newspaper, Les Echos, Weale – who is
described as a member of the ‘hawkish camp” by the paper – also says
that the rise in sterling’s exchange rate was a concern.

“Lowering short-term rates (Bank Rate is currently 0.5%) to zero or
to 0.25% might generate perverse effects, such as weakening the
financial position of certain banks,” Weale said.

The comments put Weale in line with Governor Mervyn King who said
at a recent press conference that cutting Bank Rate could undermine the
position of certain building societies and would not, in any case, have
a major stimulus effect.

While there was a debate going on in the MPC about increasing its
quantitative easing programme further, Weale said:

“At this stage, my personal opinion is it’s not necessary to
increase the size of the asset purchase programme.”

Weale said that while there was a “theoretical limit to the size
of such a (QE) programme” – “there was “no practical limit at the
present moment”.

While inflation is “not a major problem” for Weale, he admits
that “we are paying careful attention to it” and he notes the
rise in petrol price and also food price pressures after the US drought.

The euro zone remains the number one risk for the UK economy, Weale
says.

The problems of the euro zone are an important source of tension
for the UK economy and the rise in sterling against the euro is a worry
for him:

“The rise in sterling is a concern for me. Because of that the
economy has lost some of its competitiveness,” Weale said.

On the Olympic effect, Weale made clear that short-term demand in
the UK would benefit from factors such as ticket purchases and
television rights, but said it was less clear if activity in the rest of
the economy had suffered or not as a result of people taking leave,
leaving the centre of London deserted.

Weale said no single factor could expalin the UK’s productivity
puzzle – an ongoing source of preoccupation for many on the MPC. Weale
noted one phenomenon that has already been cited anecdotally and in
surveys – namely that many workers who had changed jobs during the
crisis had opted for employment which was less productive than
previously.

–London Bureau +20 7862 7499; dthomas@marketnews.com

[TOPICS: MT$$$$,M$X$$$,M$$FI$,M$$BE$]

With 1.2565 reached and breached it’s time for another poll.

We sit at 1.2560.

What’ll we see first 1.2450 or 1.2650?

Reason/s for choice as always much welcomed, but not obligatory 

–Says Cut To Zero Or 0.25% Would Harm Position Of Certain Banks

LONDON (MNI) – Cutting Bank Rate would generate ‘perverse effects’
and weaken the financial position of certain banks, Bank of England
Monetary Policy Committee Member Martin Weale said today.

In an interview in French newspaper, Les Echos, Weale – who is
described as a member of the ‘hawkish camp’ by the paper – also says
that the recent rise in sterling’s exchange rate was a concern.

“Lowering short-term rates (Bank Rate is currently 0.5%) to zero or
to 0.25% might generate perverse effects, such as weakening the
financial position of certain banks,” Weale said.

While there was a debate going on in the MPC about increasing its
quantitative easing programme further, Weale said:

“At this stage, my personal opinion is it’s not necessary to
increase the size of the asset purchase programme.”

Weale said that while there was a “theoretical limit to the size
of such a (QE) programme” – “there was “no practical limit at the
present moment”.

While inflation is “not a major problem” for Weale, he admitted
that “we are paying careful attention to it” and he notes the rise in
petrol price and also food price pressures after the US drought.

The euro zone remains the number one risk for the UK economy, Weale
says.

The problems of the euro zone are an important source of tension
for the UK economy and the rise in sterling against the euro is a worry
for him:

“The rise in sterling is a concern for me. Because of that the
economy has lost some of its competitiveness,” Weale said.

–London Bureau +20 7862 7499; dthomas@marketnews.com

[TOPICS: MT$$$$,M$X$$$,M$$FI$,M$$BE$]

Down from 47.5 in July and 38 month low.

Flash manufacturing PMI 45.1, up from 43.0 in July and better than Reuters’ median forecast of 43.4

But

Flash services PMI 48.3, down from 50.3 in July and worse than Reuters’ median forecast of 50.0.

• MPC discussing whether to do more QE or other ways of supporting the UK economy
• At this stage my personal view is it is not necessary to increase asset purchases
• Cutting interest rate to zero or 0.25% could have perverse effects

• More time could also mean more money
• The euro zone has already gone to the limits of what is economically viable on Greek aid

Oh dear

Don’t you dare stop there!!!!!

FRANKFURT (MNI) – German public finances were in surplus by E8.3
billion in Maastricht terms, or 0.6% of GDP, in the first half of this
year after a deficit of 1.0% last year, the Federal Statistics Office
said Thursday.

The swing into the black came from a E11.6 billion surplus in the
social security system, which offset a E3.3 billion deficit for
federal, state and local governments combined.

At the federal level alone, resilient economic growth contributed
to a 2.9% rise in revenues to E588.0 billion, while public spending
increased 0.8% to E579.7 billion.

- Frankfurt bureau: +49 69 720 142; email: ccermak@mni-news.com –

[TOPICS: M$G$$$,M$X$$$,MAGDS$,MT$$$$,MGX$$$]

Up from final 47.9 in July and a 6 month high.

EUR/USD firmer at 1.2560.

Flash manufacturing PMI 46.2, up from 43.4 in July and  highest since April

Flash services PMI 50.2, up from 50.0 in July and seven month high

• 3% target maintained even if growth not as good as forecast

That’s the spirit 

Fraid you are pumpkins  

We sit at 78.50.

What’ll we see first, 77.50 or 79.50?

Reason/s for choice as always much appreciated, but not obligatory