Eurozone slump eases but recovery not yet on cards
Bloc’s purchasing managers index for manufacturing and services rises more than expected in June but remains in contraction territory
Americas
Fed likely to cut down on bond buying this year — Bernanke
Federal Reserve chairman says if the economy continues to improve as the central bank forecasts, bond purchases may be reduced later this year
Asia-Pacific
China rejects US judgment on human trafficking
Washington downgrades China, Russia and Uzbekistan’s efforts to fight ‘modern slavery’, putting them in lowest tier with North Korea, with sanctions a possibility
Europe
French slump eases, German economy stalls
Purchasing managers indices point to second-quarter stagnation in Germany, while rise in French PMI shows contraction persists but pace has slowed
Americas
US Federal Reserve to keep buying bonds at $85bn monthly pace
No explicit indication that Fed is close to scaling back programme, despite intense market speculation to that effect
Asia-Pacific
Chinese factory activity at nine-month low
HSBC flash purchasing managers index falls to 48.3 in June, showing further contraction in manufacturing sector, with subindices for new orders and employment falling
Europe’s youth unemployment non-problem
There are several reasons to doubt that youth unemployment is a discrete problem meriting special treatment, writes Daniel GrosAsia-Pacific
Death tolls rise as flash floods, landslides wreak havoc in India, Nepal
Helicopters and 10,000 Indian soldiers deployed to reach stranded tourists and pilgrims in India after more than 1,000 people die in early monsoons
Europe
Italian court rules designers Dolce and Gabbana guilty of tax evasion
Designers Domenico Dolce and Stefano Gabbana found guilty of failing to declare €200m through Luxembourg company to authorities
Middle East
Afghanistan shuns US talks with Taliban, suspends troop negotiations
Afghan President Hamid Karzai, angered by opening of Doha Taliban office, says his government will not join US talks, halts negotiations with US on post-2014 troop pact

International companies
Sony CEO asks for patience as it considers spinoff plan
Kazuo Hirai says management will carefully review hedge fund Third Point’s proposal for partial unbundling of electronics maker’s entertainment unitEurope
France orders Google to change privacy policy
French data protection watchdog CNIL warns top search engine and e-mail provider that it could face fines if it fails to act within three months
Europe
Alcatel-Lucent’s new head Combes spells out asset sales and cost cuts
Company plans to sell at least €1bn of assets and reduce costs by another à1bn to stem losses, says Alcatel-Lucent's new CEO Michel Combes
Myanmar’s growth challenge
Myanmar needs investment in a variety of sectors beyond energy and mining, and a significant boost in productivity, write Martin N Baily and Richard DobbsEurope
Banks rush in to offer record loan to Glencore Xstrata
World’s biggest publicly traded commodity supplier signs $17.3bn of revolving credit facilities, as the 80 banks backing the deal count on winning more business from the company
Europe
Banks seen at risk as Swiss bury US tax bill
Swiss legislators deal death blow to bill which aims to protect country’s banks from criminal charges in US for helping wealthy Americans evade tax
Europe
UK’s ‘reckless bankers’ could end up in prison
Bankers guilty of misconduct may be jailed and lose bonuses if recommendations on how to clean up London’s financial sector become law
Europe
Boeing launch sharpens rivalry
Launch of larger version of its flagship Dreamline aircraft sharpens battle with rival Airbus in booming market for fuel-efficient, long-distance aircraft
World
World ‘not truly safe’ from nuclear threat
US President Barack Obama renews call to cut world’s nuclear arsenals, saying the US can ensure its own security and that of its allies with one-third fewer weapons
Americas
Obama hints at Bernanke retirement
President Barack Obama suggests he will allow US Federal Reserve chairman Ben Bernanke to retire despite the US central bank facing a crucial period
Americas
Rousseff moves to defuse mass protests sweeping Brazil
President Dilma Rousseff expresses sympathy with ‘the voice of the streets’, promises to address grievances including poor public services and corruption
Europe
H&M posts drop in second-quarter earnings
Fashion retailer enters third quarter with higher inventories than planned after bad weather and sluggish consumer morale in Europe knock profit
Americas
Obama defends US monitoring tactics
President Barack Obama tells Chancellor Angela Merkel and wary Germans that Washington is not monitoring e-mails of ordinary citizens or damaging civil liberties
Middle East
‘Unhappy’ Afghanistan rejects US-Taliban talks
Afghan government, upset that Taliban has opened an office in Doha, distances itself from US-Taliban peace talks and suspends troop negotiations
World
Assange unlikely to leave embassy even if Sweden drops sexual assault case
WikiLeaks founder Julian Assange, who has spent a year in Ecuadorean diplomatic building, says he fears extradition to the US
Europe
Swiss government faces uphill battle to pass US tax accord bill
Swiss government faces struggle to push through landmark deal aimed at resolving a bitter tax dispute with the US
Europe
Maersk plans alliance with two biggest shipping rivals
World’s three biggest container shipping companies agree to share vessels in bid to minimise losses caused by overcapacity and falling freight rates
Europe
Obama urges Belfast youth to cement peace
US President Barack Obama urges young people in Northern Ireland to set an example to other parts of the world stricken by religious conflict, violence and war
Asia-Pacific
Japan’s economic growth outlook is given an upgrade
Poll shows that monetary stimulus is likely to boost Japan’s economy to faster than expected growth, despite recent surge in the yen and sharp fall in Tokyo shares
Americas
LETTER FROM AMERICA: Microsoft chief mulls bigger part in pulling customers’ strings
If you live in an advanced economy, you shed useable data about yourself around the clock in ways even George Orwell would have found hard to imagine, writes Simon Barber
World
Backing for enforcement of ban on ransom payments
Group of Eight leaders agrees to stamp out the payment of ransoms for hostages kidnapped by ‘terrorists’










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