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Bomb kills Afghan police commander

Written By Unknown on Sabtu, 03 November 2012 | 16.41

OFFICIALS say a roadside bombing in southern Afghanistan has killed a district police chief, as the insurgents increasingly target Afghan security forces amid the drawdown of foreign troops.

Ahmadulah Nazik, who is the administrator of Dand district in Kandahar province, said Rahmatullah Khan died on Saturday while trying to reach a police outpost under Taliban attack.

The killing comes a day after four policemen were shot dead in southern Helmand province by their own colleagues.

Taliban spokesman Qari Jusuf Ahmedi said the killers fled and joined the guerrillas.

The US-led NATO coalition is continuing its drawdown toward a planned withdrawal of the majority of combat troops in 2014.

Insider and other attacks have thrown doubt on the capabilities of the Afghans to maintain control after the transition.


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Navy frigate helps transport man

A SICK passenger has been airlifted from a cruise ship off the coast of Fremantle with the help of a navy frigate.

Crew on the MV Sea Princess contacted HMAS Toowoomba on Saturday morning to help transfer an elderly man suffering severe abdominal pains to hospital.

"We launched the ship's Seahawk helicopter at first light," said HMAS Toowoomba's commanding officer, Commander Brendon Zilko.

"The operation had a certain degree of difficulty as the Sea Princess doesn't have a landing pad, so we had to winch the patient off the deck and into the helicopter."

HMAS Toowoomba's doctor cared for the man as the helicopter flew 71 nautical miles to the Sir Charles Gairdner Hospital in Perth.

The man is in a stable condition, a hospital spokeswoman said.

"We are out here training for our next mission to the Middle East later this year," Cmdr Zilko said.

"I was very pleased with the way the crew handled a real-life emergency."

The MV Sea Princess has continued its passage to Adelaide.


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US grandma claims $22m lotto prize

FOR more than five months Julie Cervera struggled to pay a $600 electrical bill, feed her family and keep the cable company from shutting off her service.

Meanwhile, her $US23 million ($A22.2 million) lottery ticket languished forgotten in the glove box of her car.

On Thursday, someone texted her a photo of her daughter, Charliena Marquez, buying the winning ticket for her at a Palmdale liquor store. The photo had been released by lottery officials searching for the mysterious winner of the May drawing.

"I put my 99 cent glasses on, and I had to put two pairs on to see it," said 69-year-old Cervera.

She recognise her daughter in the grainy photo, but she still couldn't read the caption.

"I thought she robbed a bank because I couldn't see the words on top," Cervera said with a laugh.

"So I put on a third pair (of glasses) and it said she won. I was like, 'No way!"'

Back in May, mother and daughter were driving home together when Marquez felt queasy and asked her mother to pull over so she could buy a bottle of water.

"She always gets carsick," Cervera said.

Cervera asked her daughter to buy her a lottery ticket and dug in her purse trying to find a dollar. Marquez protested but eventually used her own money to purchase a Super Lotto Plus ticket for her mother.

"I put it in my new car. It's an old car but it's new to me. It's been there for five months," Cervera said on Friday at a news conference with her three adult children and half a dozen grandchildren lined up behind her.

"I've got like 200 tickets laying around my house. I never check my tickets."

But when she finally looked in the glove box, the winning ticket was right where she left it. It was set to expire on November 26, so the California Lottery went looking for the winner.

Officials found the surveillance video from the liquor store and released the photo, which Cervera's other daughter spotted in the Antelope Valley Press.

Marquez initially dismissed calls and texts from friends and family who recognised her in the photo.

It wasn't until the next morning that Marquez realised she had bought the winning ticket that would help her mother and her entire family for years to come.

Cervera, a widow who has lived on disability for 20 years, said her family has been through difficult times recently.

Last year her 47-year-old son Rudy was killed in a motorcycle accident, leaving four teenage children.

"I'd give it all up to have my son here again," she said and began to cry.

Her oldest grandson, Rudy Jr, hugged her and the whole family wiped away tears.

"My grandkids are all going to be taken care of, and my (three) daughters," she said. "I'm just so happy. I'm going to buy me a pair of Reeboks."


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Tree crash mum put under supervision

Written By Unknown on Jumat, 02 November 2012 | 16.41

A WOMAN who had her three children in her car and believed she was "taking them to heaven" when she deliberately drove into a tree in South Australia will spend more than 13 years under mental health supervision.

Earlier this year, the 34-year-old was found not guilty of three counts of attempted murder due to mental incompetence.

The mother and her children suffered minor injuries when she crashed her car into the tree at Ingle Farm, in Adelaide's north, in April last year.

In the SA Supreme Court on Friday, Justice Margaret Nyland said she accepted submissions that the woman acted impulsively.

"Apparently out of some misguided belief that she would be protecting the children from pain by taking them to heaven," the judge said.

"However, the defendant's actions have clearly had a significant impact on all of the children.

"Understandably, concern has been expressed through all of the victim statements about the need to ensure their ongoing protection and safety."

Justice Nyland ordered the woman to be supervised by mental health officials for the next 13 years and six months and ordered her to continue with a live-in counselling program.

She also limited the woman's access to her children.


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21 injured in chemical spill in NZ tannery

TWO people are in a critical condition and 19 others have been injured after breathing in hydrogen sulfide following a chemical spill at New Zealand's only leather tannery.

Emergency services were called to Tasman Tanning Company in Whanganui just before 5pm (1500 AEDT) on Friday following a chemical spill.

Whanganui District Health Boards spokeswoman Sue Campion told AAP on Friday evening that two people were in critical condition after breathing in hydrogen sulfide and were being flown to Wellington Hospital.

Hydrogen sulfide - a colourless, poisonous and flammable gas - can damage lungs and affect breathing.

Ms Campion said 19 others suffered minor to moderate injuries and were being treated at Whanganui Hospital.

About 20 firefighters were at the scene.

Media reported the emergency service staff were wearing chemical suits and there was a strong smell in the air.

Tasman Tanning Company, which started in 1953, employs about 200 staff.

The two people who are in critical condition are company staff.

Nineteen people - including a firefighter and five St John Ambulance staff - were treated for minor chemical inhalation but 17 have since been discharged from hospital.

Fire Service Assistant Area Commander Roger Calder told AAP a "cloud" of hydrogen sulfide had been created after two unknown chemicals had mixed.

"I have no idea what caused it, all I know is that two chemicals came together and produced hydrogen sulfide," he said.

"It is part of the process of tanning hides but of course something has gone wrong and caused it to either get too much or get too little [of one chemical]."

Those who came into contact with the chemical were decontaminated.


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Hong Kong shares end 1.33% higher

HONG Kong stocks climbed 1.33 per cent to a 15-month high on Friday as a strong set of US economic data added to confidence after the previous day's Chinese manufacturing figures.

The Hang Seng Index gained 289.46 points to 22,111.33, its highest since August 2, 2011, on turnover of HK$70.12 billion ($A8.74 billion).

"The (market's) direction looks to be quite clear and points to one way - up," Mark To, head of research at Wing Fung Financial, said.

The advance was in line with a regional rally, which came after Wall Street surged thanks to a bright batch of indicators that suggest the economy is gaining strength.

The US Conference Board index of consumer confidence for October rose to a better than forecast 72.2 in October, from a revised 68.4 in September, pointing to a pick-up in the crucial manufacturing sector.

Also, the Labor Department said weekly jobless claims continued their decline, falling a modest 9,000 to 363,000 last week - below the four-week moving trend of 367,250.

Adding to confidence was news auto sales continued to climb in October.

Meanwhile the Institute for Supply Management said its purchasing managers index (PMI) for the industrial sector rose to 51.7 from September's 51.5 reading. Anything above 50 points to growth.

The manufacturing figures followed a similar trend in China, where the official PMI swung back above 50 for the first time in three months, while a separate one by HSBC also showed an improvement, raising hopes for the world's number two economy.

There were also signs of life in PMIs from India, Indonesia, Taiwan and South Korea.

Gaming giant Sands China surged 6.3 per cent to HK$31.90 as revenue in Macau hit an all-time monthly high of $3.5 billion in October.

Fellow casino firm Galaxy Entertainment leapt 7.6 per cent to HK$29.05 and SJM Holdings closed 6.1 per cent up at HK$18.06.

Chinese shares closed 0.60 per cent up, with the Shanghai Composite Index rising 12.62 points to 2,117.05 on turnover of 55.9 billion yuan ($A8.69 billion).

The index is up 2.46 per cent for the week.

"There are some nascent improvements in economic fundamentals in China ... so that's likely to support sentiment for a while," Duan Wenyuan, an analyst at Soochow Securities, told Dow Jones Newswires.

Gree Real Estate surged by its 10 per cent daily limit to 6.36 yuan, Vantone Real Estate jumped 3.76 per cent to 3.59 yuan and Poly Real Estate rose 1.64 perc ent to 11.79 yuan.

China Communications Construction rose 2.61 per cent to 4.71 yuan while China Railway Construction gained 2.35 per cent to 5.22 yuan.


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Study slams defence inquiry processes

Written By Unknown on Kamis, 01 November 2012 | 16.41

THE Australian Defence Force's (ADF's) internal inquiry processes are excessively complex, take too long and the overall cost isn't known, which means it's likely to be too much, a defence study says.

The study, commissioned by ADF chief General David Hurley and secretary Duncan Lewis, was conducted internally to assess the current systems and make recommendations for improvements.

It surveyed 1678 defence managers and commanders, more than three-quarters of them currently involved in managing and overseeing various inquiry procedures, showing this remains an integral part of day-to-day defence business.

Those procedures are defined as inquiries, a fact-finding process to inform decision making, investigations which determine criminal or civil liability, and reviews which reconsider decisions already made.

That can range from assessments on whether to write off debts through to investigation of allegations of fraud, unacceptable behaviour and safety and security incidents.

Managers said the optimal system should feature simplicity, timeliness, transparency and fairness, which were often absent from the current systems.

"Given the consensus that the current system is complex and not capable of producing timely outcomes, Defence is almost certainly not achieving best value for money," the study said.

It noted that various elements of defence culture had been examined time and time again over almost two decades.

They included external inquiries into sexual harassment, treatment of women and military justice.

"These inquiries illustrate a long history of issues that have continuously plagued defence in terms of its culture, the military justice system and complaint handling and inquiry processes," it said.

A consequence of that had been piecemeal reform, and that had produced much of the complexity of the current system.

One consequence has been "command disempowerment", which was cited by Roger Gyles QC in his inquiry into misconduct aboard HMAS Success.

He said discipline problems on the ship stemmed from commanders perceiving themselves as unable to act because of the complex nature of procedures.


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Hills to shed hundreds jobs in restructure

TROUBLED clothes line, electronics and building products maker Hills Holdings is expected to shed hundreds of jobs as part of a massive restructure.

Newly installed chief executive Ted Pretty said he did not want to put an exact figure on the number of job losses until shift workers were informed on Thursday night, but he didn't deny that hundreds of people would be affected.

"I've seen that number reported and I won't be drawn, but it is a number you would expect to flow from the closure of one of our sites," Mr Pretty told a media call on Thursday.

The changes will cost the company as much as $110 million, as underperforming parts of Hills' businesses are closed.

Some products will be scrapped and jobs cut from its 2,642-strong workforce.

Hills' roofing business, Fielders, is likely to bear the brunt of the changes, while the Orrcon Steel arm and the company's lifestyle and sustainability businesses, whose brands include the Hills Hoist, Bailey Ladders and Team Poly water tanks, will also undergo major overhauls.

Shares in Hills closed 8.5 cents, or 11.2 per cent, higher at 84.5 cents on the news.

Mr Pretty said the restructure was needed because of the effect that slower economic conditions and a steeper-than-expected drop in construction activity were having on Hills' manufacturing businesses.

"My strong view is that recent events are a call to action to fundamentally review the way we operate and perform," Mr Pretty told shareholders earlier at the company's annual general meeting.

The company would consolidate some manufacturing activities, oversee the exit of certain products and businesses and sites and reduce staffing levels.

"We must now cut our coat according to our cloth," he said.

He said that Hills had no choice but to close some of its underperforming Fielders roofing branches until demand recovered.

The company expects the changes will allow it to reap savings of between $10 million and $15 million in the second half of the financial year and another $30-$40 million in 2013/14, subject to market conditions.

Shareholders were told that no dividend would be paid for the first half of 2012/13 but that the payments should return at the end of the year.

Both Orrcon and Fielders posted operating losses last financial year because of weak construction markets in Australia and New Zealand.

Mr Pretty, a former group managing director at Telstra, said the restructure would also involve Hills no longer making solar-hot-water specific products.

He also lashed out at the federal government for not recognising that businesses like Orrcon and Fielders should have been included in its steel transformation plan, along with BluesSope and Arrium.


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Evacuation alert lifted in north Qld

AN evacuation alert has been cancelled for the residents of a north Queensland town threatened by a large bushfire.

Firefighters were called to the blaze southwest of Ravenshoe at about 3.45pm (AEST) on Thursday afternoon.

With 10 crews fighting the flames, residents of Millstream were warned to get ready to evacuate.

That alert was lifted on Thursday evening but the Queensland Fire and Rescue Service said 12 crews would keep working on backburning.

With an increased fire danger predicted for Friday the service said crews would work through the night to make sure the blaze is fully contained.


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'Troll' apologises for false Sandy tweets

Written By Unknown on Rabu, 31 Oktober 2012 | 16.41

THE Twitter "troll" who became an online villain after several false tweets about the destruction of Hurricane Sandy has apologised and resigned from a Republican congressional campaign.

Twitterati had heaped criticism on @ComfortablySmug after the micro-blogger claimed the New York Stock Exchange was flooded and that Consolidated Edison was shutting off all power to New York City during the storm.

Both "breaking" news posts were refuted by authorities, but not before being retweeted hundreds of times, sparking panic as the massive storm devastated the US east coast and claimed dozens of lives.

After going silent for several hours, on Tuesday evening @ComfortablySmug offered "the people of New York a sincere, humble and unconditional apology".

"During a natural disaster that threatened the entire city, I made a series of irresponsible and inaccurate tweets," the user wrote.

"While some would use the anonymity and instant feedback of social media as an excuse, I take full responsibility for my actions."

The Buzzfeed online news site had earlier identified @ComfortablySmug as a 29-year-old hedge fund analyst and the campaign manager of New York Republican congressional candidate Christopher Wright.

@ComfortablySmug did not identify himself or herself in the mea culpa, but confirmed that he or she had resigned from Wright's campaign.

Wright's campaign website said on Tuesday that his campaign manager had resigned and been replaced, without providing further details.

Angry Twitter users had heaped criticism on @ComfortablySmug after the postings were shown to be made-up, and many remained furious after the apology, saying the prank had given social media a bad name.

"Kudos on your direct apology and owning up to your bad behaviour. But why?" wrote Joe Grossberg at @grossberg.

"You're only sorry you got caught. Have a nice life hating yourself scumbag!" wrote Tom Reynolds at @tomreynolds.

Others called on @ComfortablySmug to make amends to storm victims and to reporters who might have been put in danger by trying to verify the claims.

"You sir, are an example of Twitter at its worst. How about you help rescue victims on, say Long Island?" Viviane at @viviane212 wrote, referring to one of the hardest-hit areas.


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Wheat deregulation pushed through house

LABOR has combined with the Greens, independent MPs and WA Nationals MP Tony Crook to push through legislation to fully deregulate the wheat industry.

Agriculture Minister Joe Ludwig confirmed on Wednesday the government would support Greens amendments, including the formation of an expert industry taskforce to deal with stock reporting and wheat export standards.

A last ditch attempt by coalition agriculture spokesman John Cobb to amend the bill in the lower house and delay deregulation was defeated 66 votes to 70.

WA Nationals MP Tony Crook crossed the floor to join the government, alongside independents Peter Slipper, Rob Oakeshott and Green Adam Bandt.

Mr Crook told parliament he had received a lot of criticism, much of it from the coalition, about his decision to support final deregulation.

"I'm not supporting a Labor bill, I'm supporting Western Australian wheat growers and the Western Australian wheat industry," he told parliament before voting with the government.

An overwhelming majority of WA growers, the nation's largest wheat exporters wanted the bill and wanted it now, Mr Crook said.

"There was no other choice to be made."

Former coalition MP turned independent Peter Slipper launched a stinging attack on deputy opposition leader Julie Bishop for her decision not to support the views of WA wheat growers.

"The Liberal party's position has no political credibility at all and it's all about naked politics," he said.

"The approach being urged upon Liberal party members by the deputy leader of the opposition indicates that the Liberal party is resigning from its political principles."

Mr Slipper said while it was not historically a government of free enterprise, Labor had had the courage to introduce the bill and he had not abandoned his conservative values.

Environment Minister Tony Burke said before the vote that the Liberals were taking the opposite approach to free enterprise by voting against the legislation.

"I feel for those members of the Liberal party who actually believe in free enterprise," Mr Burke told parliament.

"Unless they cross the floor they are about to vote against it."

Mr Burke said he had some level of respect for the National party position because they had been consistent in their opposition to the dismantling of the single desk and market deregulation.

The Liberal party's history on deregulation would be fundamentally changed by the vote, he said.

NSW Liberal MP Alby Schulz reversed his decision to cross the floor and supported the coalition, alongside NSW independent MP Tony Windsor.

WA Liberal Dennis Jensen abstained from voting after earlier telling the lower house he could not oppose the bill.

The Wheat Export Marketing Amendment Bill 2012 was passed, 70 votes to 67.

It now goes to the Senate for consideration.


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Doing his job, Obama subtly campaigns

IT may look to America like President Barack Obama is off the campaign trail. He's really not.

By commanding the response to a ferocious October storm a week before the election, Obama is employing a political advantage in the race to be president.

He is the president.

Clearly, Obama's imperative to act transcends the election. Superstorm Sandy's wrath is real. At a time of death and danger, any president is expected to lead for the people of every state, battleground or otherwise.

Yet in a political sense - and politics are absolutely part of this - Obama has a remarkable last-minute chance to campaign for his job just by doing his job.

Republican nominee Mitt Romney can load canned food on to donation trucks as he did in Ohio on Tuesday; Obama can order aid and assets to the entire northeastern corridor.

Labelled by Romney as the big government guy, Obama is the one slashing red tape and telling governors to call him directly if they hit a single bureaucratic snag.

The presidential race is tied or close to it in all the states that matter, so Obama is taking on risks, too, by halting days of official campaign events as Romney resumes them.

Every rally Obama scraps means one less chance to implore people to vote early, as many states allow, or to vote at all. The storm is consuming attention for much of the East Coast, particularly in New York and New Jersey, but has far less resonance in the key states where the weather is fine.

And, of course, Obama can blow it.

Each major storm still lives in the harrowing legacy of Hurricane Katrina, which is why Obama has offered declarations like: "There are no unmet needs."

Advisers to Obama said that in a data-driven campaign, the storm emerged as an unpredictable factor - and, therefore, so is how voters will respond to Obama's moves.

The politics of Obama's storm response are not overt. The point is to go the other direction and just be presidential.

So gone, for three days and counting, are the rallies in which Obama expressly asks people to re-elect him. Instead, voters see images of Obama in charge in the Situation Room, or addressing the country from the White House briefing room, or assuring the hurting while visiting the American Red Cross that "America is with you".

To the independent and undecided voters sick of the mess in Washington, Obama appears bipartisan and positively unconcerned about his own political fate.

His best friend is suddenly a prominent Romney supporter, New Jersey Governor Chris Christie, with whom Obama will tour damage on Wednesday.

"The president has been all over this, and he deserves great credit," Christie, a Republican, gushed in a TV interview. By contrast, when Christie was asked whether Romney was coming to help, he said, "I have no idea, nor am I the least bit concerned or interested."

The decision on when Obama will shift back from a heavy governing role to traditional campaigning is being driven by the White House, not the re-election campaign, aides say.

Members of the tight inner circle of both operations appear plenty content with the position Obama commands so far this week.

"The president is focused on exactly what the American people elected him to do, which is manage the country in the event of crisis," campaign spokeswoman Jen Psaki said.

It is the kind of statement that leaves Romney little counter, because there is no good political move in undermining American unity.

On the flipside, even with a priority on safety and recovery for storm victims, the Obama camp's underplaying of all things political seems a mighty stretch.

On Tuesday, one week from Election Day, Vice President Joe Biden went so far as to say, "Honest to God, I don't think anyone's thought about that."

Romney, without government authority but with a real shot at unseating the president, has been mindful of his tone, too.

"We are looking for all the help we can get for all the families that need," Romney said in an Ohio gym. He stood in front of a neatly lined table of toothpaste, nappies and blankets. His donate-for-storm-relief event, though, welcomed supporters with a campaign video declaring how he would make America strong again.

More than one Obama adviser suggested Romney was blurring precisely the line that the president would never dare cross.

"Soon enough we'll need to get back to work on the most important campaign of our lifetime," campaign manager Jim Messina said in an email. It looked like so many of the fundraising appeals he has sent out for Obama's re-election bid. In this one, he was lobbying people to donate to the American Red Cross.

As for the back-to-campaigning part of Messina's message, Obama has campaign stops scheduled in Nevada, Colorado and Ohio on Thursday.

They remain a go, for now, while Obama monitors the storm.

And while voters monitor him, not campaigning, even as he is.


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Tokyo stocks close down 0.98%

Written By Unknown on Selasa, 30 Oktober 2012 | 16.41

TOKYO stocks have closed down 0.98 per cent after the Bank of Japan (BoJ) announced fresh easing measures while chopping its growth outlook for Japan's economy.

The benchmark Nikkei 225 index at the Tokyo Stock Exchange on Tuesday fell 87.36 points to close at 8,841.98, its lowest finish in about two weeks, while the broader Topix index of all first-section shares lost 0.92 per cent, or 6.84 points, to 733.46.

Following its meeting earlier on Tuesday, Japan's central bank announced Y11 trillion ($A134.14 billion) in additional monetary easing as a string of new data underscore slowing in the world's third-largest economy.

The BoJ said it would expand an asset-purchase program - its main policy tool - to Y91 trillion while keeping rates unchanged at zero to 0.1 per cent.

It follows a similar announcement last month.

The central bank also slashed its growth forecast in the fiscal year to March, saying the nation's economy would expand just 1.5 per cent, well off an earlier 2.2 per cent forecast, underlining the effect of the global slowdown and strong yen, which hurts exporters.

On currency markets, the dollar fell to Y79.50 after the BoJ announcement from Y79.90 before. Easing would tend to weaken the Japanese currency but analysts said the measures had largely been priced in.

"Any way you slice it, 10 trillion yen worth of buying in September, and now 11 trillion this month adds up to a great deal of easing," said CLSA equity strategist Nicholas Smith.

The BoJ move came as official data on Tuesday showed factory output came in weaker than expected for September, declining 4.1 per cent on-month, while Japan recently posted its worst September trade figures in more than 30 years, as a territorial dispute with China hit exports.

In Tokyo trade, shares in Sharp Corp jumped 6.17 per cent to Y172 on a report that the embattled Japanese electronics maker is in talks with US tech giants Apple, Google and Microsoft on forming business and capital tie-ups.

Nomura Holdings rose 1.41 per cent to Y287 after Japan's top brokerage said on Monday it eked out a $US35 million ($A34.03 million) net profit in the July-September quarter.

Honda Motor fell 2.75 per cent to Y2,333 after diving 4.65 per cent on Monday as the Accord and Civic maker cut its full-year profit outlook.

Troubled chipmaker Renesas Electronics was down 2.64 per cent at Y295 after posting a $1.18 billion loss in its fiscal second quarter.


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Bank of Japan lays out further stimulus

JAPAN'S central bank has expanded a government bond-buying program, acting to spur growth following news of a further decline in industrial production.

The Bank of Japan's policy board voted unanimously on Tuesday to increase the asset purchasing program by Y11 trillion ($A134.14 billion) to Y91 trillion.

The central bank decided against any change in its key interest rate, which remains at 0 per cent to 0.1 per cent.

The bond-buying program is intended to encourage borrowing and spending and help make Japan's exports more competitive.

A fresh barrage of negative data on Japan's failing recovery pumped up pressure for the central bank to act to help revive the world's third-largest economy.

Japan's industrial output contracted by 4.1 per cent in September from August and 8.1 per cent from a year earlier as automakers and steel mills cut production due to shrinking demand and antagonisms with China, according to the Ministry of Economy, Trade and Industry.

The economic recovery that followed Japan's March 2011 disasters has been doused by slowing global growth. Flaring tensions with China over disputed islands in the East China Sea have further crimped demand, especially for big-ticket items like cars. Slowing growth in China, meanwhile, has hit demand for industrial inputs like steel and machinery.

"Industrial production is on a downward trend," the ministry said, forecasting a further decline in October, followed by a rebound in November.

Embattled Prime Minister Yoshihiko Noda convened an extraordinary session of the legislature on Monday, appealing to the opposition Liberal Democratic Party to cooperate in passing a bill authorising bond sales to finance the growing deficit.

Japan's Cabinet approved a Y423 billion ($A5.16 billion) emergency stimulus package on Friday, double the size originally expected. The government was obliged to dip into reserves to pay for the new stimulus, since its leeway to boost spending is limited by a legislative standoff preventing issuance of some $US38.3 trillion ($A37.24 trillion) in deficit financing.

As it confronts that "fiscal cliff," which could raise the country's borrowing costs, Japan already leads industrial nations with government debt amounting to more than twice the country's gross domestic product.

"We still have work to do," Noda said on Monday in a speech that repeatedly reminded MPs of their responsibility toward future generations. He warned that funding shortfalls threaten to affect crucial government services.

Noda's Democratic Party of Japan is struggling as the Liberal Democrats gain in power. He was obliged to present his policy speech Monday in the House of Representatives after the LDP, which controls the upper house of the parliament, blocked him from delivering the speech in that chamber.

Apart from the political mess, exports, usually a bright spot for Japan's economy, are faltering as the prolonged crisis in Europe crimps demand. Another problem is the persistent strength of the yen, which makes products made in Japan relatively more expensive in overseas markets.

Shipments of passenger cars dropped 12.6 per cent in September from August and 13.2 per cent from a year earlier, METI reported. Shipments of virtually all other products also fell.

Jobless rate figures for September likewise offered little encouragement, as the government reported the seasonally adjusted unemployment rate was 4.2 per cent in September, unchanged from August.

The ratio of job offers to seekers fell to 0.81 from 0.83 in August, meaning there were 81 jobs for every 100 job seekers.


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Aust a better investment destination: RBA

AUSTRALIA is better equipped to deal with the effects of overseas economic problems, thanks partly to its attractiveness as an investment destination, a senior central bank official says.

Reserve Bank of Australia (RBA) deputy governor Philip Lowe also told the Commonwealth Bank's Australasian Fixed Income Conference in Sydney that the high Australian dollar had helped the country navigate though a once-a-century-investment-boom.

He said that the Australian economy had recorded solid growth, the unemployment rate remained relatively low, inflation was consistent with the target, public debt was low and the banking system sound.

"Few countries can make such claims."

He said the fact that the RBA's interest rate was above those of the other industrialised countries was helpful, especially to investment.

"The main reason for this is that the rate of return on new investment in Australia is higher than in many other countries, as evidenced by the high level of investment," he said.

"The very low interest rates in many other economies should not be seen as a good thing or something to aspire to.

"They reflect those countries difficult economic circumstances, and particularly the low risk-adjusted returns available on new investment."

Dr Lowe said this has meant that while many of the advanced economies struggled to attract investment, Australia has had the highest level of investment, relative to economic growth, in over a century, and a further increase was expected.

The RBA cash rate, of 3.25 per cent, is much higher than those of the US, Europe, the UK and Japan, all of which are below one per cent with most close to zero per cent.

The central banks of these countries cannot cut their interest rates any lower to stimulate growth and therefore buy bonds and mortgage-backed securities to free up commercial bank funds and encourage lending, a policy called quantitative easing.

Dr Lowe said this had worked, helping increase market confidence but has also driven down the yields on government bonds, which has decreased the cost of borrowing for debt-laden nations.

It had also increased investment flows into bonds markets for a higher return, that, of course, included the Australian bond market, that could boast yields of over three per cent.

"When institutions look for alternatives to holding large deposits earning a near-zero return, they look not just at domestic assets but at foreign assets as well," Dr Lowe said.

"Not surprisingly, with the rest of the world doing better than the troubled advanced economies, many of the assets earning positive risk-adjusted returns are located outside the countries undertaking quantitative easing."


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Tokyo stocks flat at close

Written By Unknown on Senin, 29 Oktober 2012 | 16.41

TOKYO stocks have closed flat as dealers took a wait-and-see position ahead of a Bank of Japan policy meeting, while carmakers fell after Honda slashed its full-year profit forecast.

The benchmark Nikkei 225 index at the Tokyo Stock Exchange on Monday slipped 0.04 per cent, or 3.72 points, to 8,929.34 while the broader Topix index of all first-section issues was down 0.13 per cent, or 0.93 points, to 740.30.

Stocks gave up early gains and started the afternoon session lower, pushed down by the midday release of Honda Motor's earnings report.

Honda shares dived 4.65 per cent to close at Y2,399 after it said its full-year results would be much weaker than forecast even as its first-half profit more than doubled to $US2.7 billion ($A2.62 billion).

"Honda's sales apparently felt the impact from a weaker China market, as well as the stronger yen, and raised the possibility that it will revise down its full-year view yet again," said Hideyuki Ishiguro, strategist at Okasan Securities.

"Of course Honda's problems are not unique. The magnitude of the China impact may be most felt in Nissan's earnings, since it has the heaviest proportional exposure to China," he told Dow Jones Newswires.

The release of the figures had been set for after markets closed, but came out several hours earlier with the company blaming a "human error".

Nissan Motor fell 2.18 per cent to Y670, while Toyota Motor lost 1.62 per cent to Y3,030.

Japan's central bank is widely expected to take further easing steps at a policy meeting on Tuesday as it looks to counter a slowdown in the world's third-largest economy and tackle the deflation that has plagued it for years.

With interest rates hovering near zero, the bank's main policy tool is an Y80 trillion ($A975.02 billion) asset-purchase program.

"The markets have pretty much factored in an additional 10 trillion yen in asset purchases by the central bank," said Tatsunori Kawai, chief strategist at kabu.com Securities.

NEC rose 5.71 per cent to Y148 after the information technology giant announced on Friday it booked a $US100 million profit in its fiscal first half thanks to a boost in sales and cost-cutting.

Japan's biggest mobile carrier NTT DoCoMo tumbled 5.99 per cent to Y116,000 after it cut its full-year profit forecast owing to rising costs.


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Woodside signs deal with Japan Bank

WOODSIDE Petroleum has signed a preliminary agreement with the Japan Bank for International Cooperation (JBIC) to help finance future liquefied natural gas (LNG) projects.

The oil and gas producer said the memorandum of understanding (MOU) aimed to support Japan's requirement for stable and long-term energy supplies.

Woodside said the MOU strengthened the long-term relationship established between the two organisations through the financial support that the Japanese bank provided for the Pluto LNG project.

"Under the agreement Woodside and JBIC will hold periodic discussions relating to Woodside's future LNG developments and JBIC will consider providing financial support for those potential developments as well as creating opportunities for Japanese companies to participate in Woodside's future LNG developments," the company said.

The agreement comes after Woodside last week struck an agreement with Daewoo International Corporation for a production sharing contract in Burma, the first time the oil and gas producer will operate in deep water off Burma.

In May Woodside Petroleum signed a $US2 billion ($A1.92 billion) deal to sell part of its stake in the Browse gas project to Japan's Mitsubishi Corporation and Mitsui & Co.

The Japanese companies will buy a 14.7 per cent stake in the $30 billion LNG project through their Perth-based joint venture company, Japan Australia LNG (MIMI).

MIMI helped obtain finance from Japanese banks, including JBIC.


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Hong Kong shares slip 0.16%

HONG Kong shares have lost 0.16 per cent as developers were hit after the city's government outlined plans to curb soaring property prices.

The benchmark Hang Seng Index on Monday fell 34.52 points to 21,511.05 on turnover of HK$47.07 billion ($A5.89 billion).

The losses are the second in a row after the index enjoyed a 10-day winning streak up until Friday, thanks to huge foreign capital inflows after the US Federal Reserve launched its third bond-buying scheme last month.

The Hong Kong government unveiled on Friday fresh measures to keep a lid on property demand, including a 15 per cent tax on purchases made by foreigners.

Sun Hung Kai Properties, the city's largest developer by market capitalisation, slumped 5.1 per cent to $HK106.10, while Cheung Kong fell 4.7 per cent to $HK112.30 and Henderson Land, New World Development and Sino Land each took a 6.4 per cent hammering.

However, the losses were tempered by Sinopec, which jumped 2.9 per cent to $HK8.25 despite reporting its third-quarter net profit fell 9.4 per cent year-on-year.

And China Construction Bank rose 0.9% to $HK5.79 after third-quarter earnings came in 12 per cent higher.

Chinese shares closed down 0.35 per cent. The benchmark Shanghai Composite Index fell 7.27 points to 2,058.94 on turnover of 39.1 billion yuan ($A6.11 billion).

"The third-quarter macroeconomic data has shown some signs of the economy bottoming out, but recent corporate earnings show that demand has yet to recover," Nanjing Securities analyst Zhou Xu told Dow Jones Newswires.

Lower prices hit rare earths producers. Baotou Steel Rare-Earth slumped 5.43 per cent to 27.35 yuan while Xiamen Tungsten lost 3.77 per cent to 33.67 yuan.

China Pacific Insurance dropped 3.23 per cent to 18.25 yuan after it posted a nearly 60 per cent year-on-year decline in third-quarter net profit.

Other insurance firms fell ahead of the release of their corporate earnings, with Ping An Insurance losing 4.23 per cent to 38.06 yuan and New China Life Insurance shedding 1.63 per cent to 21.73 yuan.


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Tsunami triggered by quake hits Hawaii

Written By Unknown on Minggu, 28 Oktober 2012 | 16.41

A TSUNAMI generated by an earthquake in Canada has hit the US state of Hawaii, an official from the Pacific Tsunami Warning Center says.

"The tsunami is arriving right now," Gerard Fryer, a senior geophysicist with the centre, told reporters.

"It is coming in as we speak."

Earlier a spokesman for the centre told DPA there would be a first wave up to two metres, with further waves following.

"What we're expecting, however is far from the disaster in Japan last year," Victor Sardina said.

Television images from the island of Oahu showed relatively small waves peacefully rolling toward the shore.

The centre issued the warning for all Hawaiian islands on Saturday night (Sunday AEDT), hours after a 7.7-magnitude earthquake rocked an island off Canada's west coast.

Hawaii governor Neil Abercrombie proclaimed an emergency, mobilising extra safety measures.

Officials originally said there was no threat to Hawaii but changed that after taking new sea level readings.

Warning sirens blared while residents drove away from coasts and tourists were evacuated from lower floors of beachside hotels.

Incoming bus routes were shut off into Waikiki and police shut down a Halloween block party in Honolulu.

US broadcaster CNN said city Mayor Peter Carlisle called on residents to leave their cars, find a building and make their way to the highest floors.

The situation was "very, very dangerous, he said.

Around 80,000 people live in the evacuation zone in Oahu, where Honolulu is located, CNN said.


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Doyle re-elected as Melbourne lord mayor

MELBOURNE Lord Mayor Robert Doyle has won a second term with about 40 per cent of the primary vote after Victorians went to the polling booths around the state.

Mr Doyle, a former leader of the Victorian Liberal Party, said his priorities would be safety in the CBD, liveability and planning for growth.

"I want to make sure that over the next four years the city is better positioned in each of those areas," he told ABC TV.

Mr Doyle had some high-profile opponents to contend with including Sothebys CEO Gary Singer and the ticket run by pollster Gary Morgan and former Foster's chief John Elliott.

The Doyle team is expected to control at least five of the 11 seats on council.

The Greens' Victorian leader Greg Barber hailed the council elections as the best result ever achieved by the party, having fielded about 100 candidates with nine councillors confirmed as victors and another eight likely winners as counting continued into Sunday night.


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No threat of tsunami to Australia

THERE is no threat of a tsunami hitting Australia's east coast following the magnitude-7.7 earthquake which struck off the coast of western Canada on Sunday.

The US Geological Survey issued a tsunami warning for coastal areas from British Columbia to Alaska.

But both Geoscience Australia and the Joint Australian Tsunami Warning Centre have said there is no threat to Australia.


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