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PetroVietnam’s capital withdraws to hit stock market, experts say

In Uncategorized on January 8, 2011 at 4:28 am

The oil and gas giant PetroVietnam’s capital withdrawals will effect the stock market in short-term and give a boost to some of its subsidiaries opportunities, financial experts said.

An investor watches share prices updated on a big screen at a HCMC-based brokerage (Photo:Minh Tri)

The Vietnam Oil and Gas Group, known as PetroVietnam, early this year began to withdraw its capital in its subsidiaries, which are not in the group’s core businesses.


The state-owned oil and gas giant also announced it would cut 51 percent of its holdings in the member companies specific in the group’s key fields


The move came from the state-owned gasoline supplier’s attempt to restructure its business model, of which the group will focus on mining and refining oil, according to PetroVietnam’s deputy general director Nguyen Ngoc Su.


The plans come at a time when market developments have facilitated the State’s withdrawal of investment in listed companies such as PetroVietnam Finance (PVF), Phu My Fertilizers (DPM) and Petroleum Technical Services Corp (PVS), baobariavungtau website quoted Su as saying.


The deputy director said PetroVietnam has “basically completed” their plan on restructuring and renewing its subsidiaries, with 14 units being equitised. So far, PetroVietnam has successfully auctioned more than 313 million shares, bringing in VND17,54 trillion (US$986.4 million).


Financial experts said PetroVietnam’s capital withdrawals would affect the slumping stock market, as well as share prices of its listed subsidiaries. However, selling shares in the firms not specific in core businesses will help the oil and gas group to regain a large amount, which will be reinvestments in current projects.


Stock analysts said oil stocks are among the market’s gainers in both short and long term. Listed enterprises specific in mining oil and renting rigs remain in black during the global economic turmoil, and will be the first ones growing sharply when the economy recovers, analysts said.


At present, two subsidiaries of the group including PetroVietnam Technical Services Joint Stock Corp. (PVS) and PetroVietnam Drilling and Well Services Joint Stock Company (PVD) are achieving healthy earning so far this year.


The former made a pretax profit of VND780 billion ($39 million) from a revenue of VND15 trillion in the first ten months of the year. The core businesses’ growth rate of PVS this year rose to over 20 percent year-on-year. PVS closed 2.84 percent lower at VND20,500 on the Ho Chi Minh Stock Exchange on Saturday.


PetroVietnam Joint Stock Finance Corporation (PVF) will likely to achieve thousands of billions of Vietnam dong from exporting crude oil, while PetroVietnam Insurance Joint stock Corp. (PVI) is providing insurance services to a large amount of clients, which are PetroVietnam Group’s subsidiaries and partners.


“There are 25 oil and gasoline firms listing on both exchanges in Ho Chi Minh City and Hanoi. They have a great chance of earning big bucks as local consumer demand for oil this year remains high and the global crude oil price is increasing,” said a director of a HCMC-based brokerage.

Source: SGGP

PetroVietnam’s capital withdraws to hit stock market, experts say

In Uncategorized on January 8, 2011 at 4:27 am

The oil and gas giant PetroVietnam’s capital withdrawals will effect the stock market in short-term and give a boost to some of its subsidiaries opportunities, financial experts said.

(Photo:Minh Tri)

The Vietnam Oil and Gas Group, known as PetroVietnam, early this year began to withdraw its capital in its subsidiaries, which are not in the group’s core businesses.


The state-owned oil and gas giant also announced it would cut 51 percent of its holdings in the member companies specific in the group’s key fields


The move came from the state-owned gasoline supplier’s attempt to restructure its business model, of which the group will focus on mining and refining oil, according to PetroVietnam’s deputy general director Nguyen Ngoc Su.


The plans come at a time when market developments have facilitated the State’s withdrawal of investment in listed companies such as PetroVietnam Finance (PVF), Phu My Fertilizers (DPM) and Petroleum Technical Services Corp (PVS), baobariavungtau website quoted Su as saying.


The deputy director said PetroVietnam has “basically completed” their plan on restructuring and renewing its subsidiaries, with 14 units being equitised. So far, PetroVietnam has successfully auctioned more than 313 million shares, bringing in VND17,54 trillion (US$986.4 million).


Financial experts said PetroVietnam’s capital withdrawals would affect the slumping stock market, as well as share prices of its listed subsidiaries. However, selling shares in the firms not specific in core businesses will help the oil and gas group to regain a large amount, which will be reinvestments in current projects.


Stock analysts said oil stocks are among the market’s gainers in both short and long term. Listed enterprises specific in mining oil and renting rigs remain in black during the global economic turmoil, and will be the first ones growing sharply when the economy recovers, analysts said.


At present, two subsidiaries of the group including PetroVietnam Technical Services Joint Stock Corp. (PVS) and PetroVietnam Drilling and Well Services Joint Stock Company (PVD) are achieving healthy earning so far this year.


The former made a pretax profit of VND780 billion ($39 million) from a revenue of VND15 trillion in the first ten months of the year. The core businesses’ growth rate of PVS this year rose to over 20 percent year-on-year. PVS closed 2.84 percent lower at VND20,500 on the Ho Chi Minh Stock Exchange on Saturday.


PetroVietnam Joint Stock Finance Corporation (PVF) will likely to achieve thousands of billions of Vietnam dong from exporting crude oil, while PetroVietnam Insurance Joint stock Corp. (PVI) is providing insurance services to a large amount of clients, which are PetroVietnam Group’s subsidiaries and partners.


“There are 25 oil and gasoline firms listing on both exchanges in Ho Chi Minh City and Hanoi. They have a great chance of earning big bucks as local consumer demand for oil this year remains high and the global crude oil price is increasing,” said a director of a HCMC-based brokerage.

Source: SGGP

Bitter end for acquired firms listing on stock market

In Uncategorized on January 8, 2011 at 4:26 am

Investors always expect that the mergers and acquisitions will bring booming time to their firm’s businesses, but many acquired enterprises are in red after the acquisition. 

Two investors discuss the stock market’s moves at the Ho Chi Minh City Securities JSC (Photo:Minh Tri)

Korea’s retailer Lotte announced its 40 percent stake in Vietnam’s confectionery firm Bibica (BBC), but some brokers said the actual holding is more than 51 percent, which put the Korean firm into the positions of chairman and financial manager in the candy maker’s board of directors.


The acquisition helps boost Bibica’s businesses and competitiveness, analysts said. However, Bibica is still miles behind the confectionery giant Kinh Do (KDC) in term of marketing, which is the most important skill in the candy industry.


Therefore, Bibica may not be among the great deal for both long-term and small-time investors, experts said.


Similarly, beverage firm Tribeco (TRI) incurs constant losses in seven years after Kinh Do bought its control stake. The firm now almost does not stand a chance to compete with both local and foreign rivals, including Tan Hiep Phat and Pepsi. Many brokers, therefore, put Tribeco into “Don’t buy” list.


Brokers and financial experts also pay high attention to mergers and acquisitions of securities enterprises, which are alongside banks to be the two main factors of the financial market.


However, the mergers and acquisitions in the last three years were ineffective as none of brokerages showed any improvement. The competitiveness of brokerages remains low, experts noticed.


“A company failing to beef up its acquired ones’ businesses will struggle to buy control stakes in other firms. Investors are hesitate to buy shares in big earning companies with low dividend rates and share prices treading water,” said a broker of a HCMC-based securities.

Source: SGGP

Stock market to jump up in first half of 2011, experts predict

In Uncategorized on January 8, 2011 at 4:26 am

Vietnam’s stock market will roar back in the first half of the year on the US’s bullish market, financial experts expect.

(Photo:Minh Tri)

The stock market in Vietnam last year were effected by many macroeconomic factors, while nearby markets including Singapore, Indonesia and Thailand were boosted by the US’s financial bailouts, said M.A. Le Dat Chi, head of the financial investment faculty of the University of Economics Ho Chi Minh City.


“A part of the US$600 billion bailout of the US flew into Asian markets, especially emerging ones. It was just a small proportion for the US market, but it did make big impact to emerging markets, except of Vietnam,” Tri said.


Only investors holding control stake in listed enterprises made profits from dividends as the VN-Index dropped to 430 points in the last quarter of last year, with many shares slumping to incredible levels, he said.


“Vietnam’s stock market is at the bottom, with the ratio of dividends per share equal to 15 percent. This rate is extremely attractive to some investment funds,” the economist said.


“Besides, investors’ confidence in a successful Eleventh Party Congress with new members elected into the central committee will boost the market sentiment. Foreign investments will flow stronger into the stock market, which hit the bottom. Therefore, the market will likely to roar back in 2011.”


Statistics showed nearly the foreign indirect investments (FII) pour into the stock market last year reached $1 billion. Stabilizing the foreign exchange rate should be the top priority this year to attract more FII, Tri noticed.


The financial expert also recommended that more adequate taxes on shares will attract more foreign investors.


“Instead of asking foreigners either to pay security before entering the market or not to sell shares in at least one year, we can impose taxes on the dividend from their share investments,” he suggested


Stock market analysts also predict the market will likely to recover strongly in the first half of the year on the increase of the US market.


“The US dollar getting weaker in the first half of 2011 will be good news for the country’s stock market. However, it will be stronger again in the last half. The market’s winning run will likely to last until June, with Dow Jones Index climbing 12,600 points,”  Tri said.


Statistics showed the stock market usually climbs up in March, April and December every year.


However, the market is still carrying some risks including the US dollar getting stronger constantly, warned Pham Xuan Anh, deputy head of the brokerage BIDV-BSC’s market analysis unit.


“Standard Chartered Bank expected the foreign exchange of Vietnam dong and dollar will reach VND20,800 per dollar at the end of the year, a year-on-year increase of around 6.6 percent,” said Tri.


“The Asia Development Bank last September predicted Vietnam’s inflation in 2010 would rise to 7.5 percent, caused by a weakening dong and an increase in food prices.”


Low foreign currency reserve and large amounts of dollar and gold owned by residents would put the central bank in difficult time, Tri added.

Source: SGGP

Investors anxious about stock market manipulation

In Uncategorized on December 21, 2010 at 9:36 am

Many shares on the stock market are being manipulating but the market watchdog fails to stop the issue, brokers said.

(Photo:Minh Tri)

The construction firm Song Da 9.06 (S96)’s share price surged to VND40,000 this month from the low level of VND15,000 last August, triggering questions about whether the price are being manipulated.


“Some listed firms’ board of directors and big shareholders manipulated their share prices by announcing their firm’s profitable business plans after buying back their shares strongly. And then they took big bucks by selling shares, which were boosted by the information,” said brokers.


Those key shareholders will use the profit from selling shares to buy back more shares in an attempt to ensure their main stakes in the firms, brokers said.


“Therefore, some listed firms focused on issuing additional shares, which will help them to raise their capital strongly,” said a broker in Ho Chi Minh City, who asked to be unnamed.


Last year, the construction company Sudico (SJS) clang on the price of VND60,000 in May before jumping up to VND210,000 five months later.


During the time SJS increasing, there was a rumor on paying dividends by additional shares on the stock market, which then came true as SJS’s share price surged to VND218,000.


PetroVietnam – Nghe An Construction Joint Stock Company (PVA) is among biggest gainers on the stock market this year.


The construction firm’s shareholders made big profits as the share price surged to VND120,000 from VND30,000 in only three months starting from February. Brokers said the share price was manipulated by many investors, who even posted their achievements on some websites.


Investors were anxious on information that Nguyen Thi Kim Phuong, a big shareholder of Cement Materials and Transportation Joint Stock Company (VTV), dumped her entire holding of 557,800 shares.


The State Securities Commission then fined Phuong and two other men VND370 million (US$18,500) for manipulating the share price. However, analysts said the fine was nothing compared with the profit they took from the affair.


Many investors suspected that brokerages, which those people opened trading accounts at, was also involved in the scam.


Similarly the transportation firm Ha Tien (HTV) rose to VND46,000 in September from VND16,000 in June before slumping nearly 75 percent to VND15,400 on December 20.


Some brokers said the slump came after market manipulators failed to boost the share price, while others said manipulators sold the share strongly to take profits from previous surges.


Le Van Dung, chairman and general director of the drug marker Vien Dong (DVD) listed on the Ho Chi Minh stock market was arrested for manipulating share prices last month.


The HCMC-based pharmacy maker earlier was fined VND50 million (US$2,500) for not buying shareholdings in Ha Tay Pharmaceutical JSC (DHT) as it registered to the commission.

Source: SGGP

Bull returns to Vietnam’s stock markets

In Uncategorized on December 16, 2010 at 10:07 am

Vietnam’s benchmark VN-Index jumped to 18-week high on December 13 as invetors rushed to buy on speculation that the rising trend would prolong.

The shares of 271 companies and five mutual funds listed on the Ho Chi Minh Stock Exchange shot up 3.63 percent, or 17.16 points, to close at 490.22 points.


On the benchmark, 234 stocks leaped forward, 16 dropped, while 26 treaded water.


Trading volume slightly fell over the previous trading session. Around 81.97 million shares changed hands at a value of VND1.9 trillion.


Petrovietnam – Idico Long Son Industrial Park Investment Joint Stock Company (PXL) topped the list of most active shares in volume with 4.46 million shares changing hands.


Saigon Thuong Tin Commercial Bank or Sacombank (STB) chased after with 4.06 million shares, followed by Tan Tao Investment Industry Corporation (ITA).


Winners on the city bourse included Mien Trung Petroleum Construction Joint Stock Company (PXM), Construction Joint Stock Copany No 5 (SC5), and Tai Nguyen Corporation (TNT).


Food and cosmetics producer S.P.M Corporation (SPM) slashed 4.69 percent to VND61,000.


Viet Thang Aquafeed Joint Stock Company (VTF) declined for four consecutive days, erasing 4.67 percent to VND14,300.


Ca Mau Frozen Seafood Processing Import Export Corporation (CMX) adjusted 4.52 percent to VND14,800.


Meanwhile, the Hanoi’s HNX-Index rallied 4.61 percent, or 5.37 points, to close at 121.76 points. Around 53.15 million shares changed hands at VND1.07 trillion.


The UPCom-Index also added up by 0.32 points to 41.75 points this morning. A total of 577,200 shares changed hands at a value of VND5.8 billion.

Source: SGGP

Upbeat investor sentiment lifts stock market up high

In Uncategorized on December 16, 2010 at 10:06 am

The stock market is roaring back on increasing confidence, helping many investors to achieve big profits.

Two investors caustiously watch share prices updated at a HCMC-based brokerage (Photo:Minh Tri)

VN-Index, the gauge of 271 companies and five mutual funds listed on the Ho Chi Minh Stock Exchange, regained more than 10 percent in the last one month, while the index of the Hanoi’s bourse rose 20 percent.


Brokers said the profit rate of the stock market’s investments was around 6-12 times higher than banks’ interest rate.


Nguyen Thanh Long, an investor favoring mineral shares, achieved a profit rate of 30 percent from investing in Nari Hamico Minerals Joint Stock Company (KSS) last month.


“I bought KSS at VND24,000 per share last month as I found it reasonable. Later I bought more as the share kept falling to around VND20,000, making an average price of VND21,000. I eventually took big profits when KSS rose to VND28,000 early this month,” Long recalled.


Tran Van Thanh, who has entered the market since it was set up, said he gained nearly VND30 million from investing in the air conditioner maker REE (REE).


“I bailed out of the market at the end of July and came back at the time when the VN-Index bounded back from 420-430. I just bought 10,000 REE shares at the price of VND14,000 at that time as I didn’t think the market would recover strongly,” Thanh said.


“I made around VND30 million from selling those shares, which jumped by 20 percent to VND17,000.”


The stock market will likely to remain on a rise until the end of the year, said Hoang Thach Lan, heads of the brokerage unit at the Ho Chi Minh City-based MHB Securities Co., the investment arm of Mekong Housing Bank.


“However, investors should be cautious. One of the biggest mistakes investors often make is to make out a certain reason that they believe it has boosted the market,” Lan said.


“For example, some individual investors told me that they would return to the stock market with long-term investments on an expectation that foreigners would pump money strongly into the market in early 2011.


“But there’s little likelihood that investors would pump as much money into the stock market as they did in the 2006-2007 period.”


Surging trading value
Statistics showed trading value on the Ho Chi Minh Stock Exchange increased sharply by VND17.5 trillion (US$875 million) in the last ten trading day.


According to the State Securities Commission, foreign investors pumped $920 million into Vietnam’s stock market in the first 11 months of the year.


The market’s sentiment was boosted by foreigners’ moves, said Nguyen Viet Hung, head of the analysis and investment unit of the brokerage SME.


“Many investors bailed out from the bearish market, which lasted from the middle of the second quarter to the third quarter this year. Therefore, I expect the current bullish run, which has just been started, will be extended further if those investors returned to the market,” Hung said

Source: SGGP

Vietnam’s stock markets drop most since August after Moody’s lowers rating

In Uncategorized on December 16, 2010 at 10:06 am

Vietnam’s benchmark VN-Index, which tracks 271 companies and five mutual funds listed on the Ho Chi Minh Stock Exchange, slumped on December 16 due to bad news on financial markets.

Moody’s Investors Service downgraded Vietnam government’s bond rating to B1 from Ba3, citing the risk of a balance of payments crisis and a drop in foreign reserves as inflation accelerates and the nation’s currency weakens. Along with this decision, the credit rating agency also cut long-term foreign-currency rating of six Vietnamese banks to B2 from B1.


The gauge tumbled the most since August, slashing 2.69 percent, or 13.26 points, to close at 480.21 points.


Among the index members, 28 advanced, 208 retreated, while 40 remained unchanged.


Trading volume stayed on high level as around 80.79 million shares worth VND1.9 trillion changed hands.


Tan Tao Investment Industry Corporation (ITA) led the list of most active shares by volume with 5.54 million shares changing hands.


It was followed by Saigon Securities Inc. (SSI), the country’s largest brokerage, with 5.29 million shares traded.


Saigon Thuong Tin Commercial Bank or Sacombank (STB) ranked third with 3.24 million shares.


Tan Binh Import – Export Joint Stock Company (TIX) nosedived for five straight days, giving up 5.05 percent to VND39,500. The company will pay dividends for the second term of this year in cash at a ratio of 20 percent to its current shareholders on December 30.


Other losers on the city bourse included Binh Dinh Minerals Company (BMC), Southern Rubber Industry Joint Stock Company (CSM), and Dien Quang Joint Stock Company (DQC).


Among a few gainers, seafood producer Vinh Hoan Corporation (VHC) accelerated 4.83 percent to VND30,400.


Mirae Joint Stock Company (KMR) rebounded 4.76 percent to VND8,800.


Viet Nam Joint Stock Commercial Bank for Industry and Trade or Vietinbank (CTG) advanced the fifth day, enhancing 4.72 percent to VND22,200.


The Hanoi’s HNX-Index plummeted 4.29 percent, or 5.17 points, to close at 115.43 points. Trading volume dropped to 57.7 million shares worth VND1.1 trillion.


Meanwhile, the UPCom-Index tripped by 1.02 points to 41.14 points this morning. A total of 123,200 shares changed hands at a value of VND1.31 billion.

Source: SGGP

Investors trapped with market reports, stock experts say

In Uncategorized on November 27, 2010 at 11:20 am

Many securities companies and institutional investors were trying to trap investors with their inaccurate analysis and unreliable recommendations, experts say.

Investors watch share prices at the Ho Chi Minh Securities Corporation (Photo: Minh Tri)


 


The Ho Chi Minh City Stock Exchange’s VNIndex may climb as high as 700 “at some point during this year,” and return within two years to the 1,000 level that it last touched in 2007, Kevin Snowball, chief executive of PXP, said in an interview in July.


 


But financial experts said the fund’s analysis was unreliable as the gauge of 270 companies and five mutual funds listed on Vietnam’s biggest stock market remained gloomy, closing at 439.85 points on Thursday.


 


PXP Vietnam Emerging Equity Fund Ltd. is among the big sellers this month. According to the Ho Chi Minh City Stock Exchange’s website last week, the fund failed to sell its shareholding in Southern Seed Corporation (SSC), Binh Thanh Import Export Production and Trade Joint Stock Company (GIL) and Transforwarding Warehousing Joint Stock Corporation (TMS) because of plunging share prices.


 


VN Direct Securities Ltd. last week warned in its report that the market was experiencing “a short-term panicky time” due to increasing interest rates and pressures on repaying loans against shares. Therefore some brokers and investors will sell shares strongly, the Hanoi-based broker said.  


 


“There is no way to know which amounts of money flowing on the market are individual investments or loans against shares. So how could VN Direct be sure that the market is under pressure on repaying loans against shares?” a stock market analyst, who wants to be unnamed, said.


 


He also said securities firms shouldn’t release incorrect analysis, which could hit the market’s sentiment.  


 


Some big shareholders in listed companies announced on the Ho Chi Minh City Stock Exchange that they would buy back shares as share price is pretty low, according to the exchange’s website.


 


But financial experts said some listed companies’ directors tried to restore investors’ confidence by negotiating with big shareholders, buying back shares from to sell shares at low prices and then sell out when the market recovers.


 


Investor confidence was also anxious by market analysis of brokers, which are run by listed companies.


 


Petro Vietnam Securities Incorporation (PSI) early last week recommended investors to buy PFL shares of the PetroVietnam Finance Land JSC, which was predicted to increase to VND18,559 per share. The construction firm, listed on the Hanoi Stock Exchange, remained unchanged at VND12,000 on Thursday.


 


Many investors however didn’t buy the broker’s recommendation as they were afraid it was trying to help PFL shareholders to sell out in the recent slumping market. “Both PSI and PFL are subsidies of the gasoline maker Petro Vietnam, which sold its holdings in listed subsidies recently. So I think there will be a strong selling of PFL shares soon,” said an individual investor in Ho Chi Minh city.   


 


A director of a HCMC-based broker disclosed many securities firms tended to release optimistic market reports in an attempt to keep their clients.  

Source: SGGP

Asian stock markets lower amid Korean hostilities

In Uncategorized on November 24, 2010 at 6:50 am

 Asian stock markets mostly fell Wednesday as investors exited riskier assets amid a tense military standoff between North and South Korea and grew more worried there may be no immediate end in sight to Europe’s debt crisis.


Oil prices rose slightly to near $82 a barrel in Asia as a report showing an unexpected jump in crude inventories provided mixed signals on demand. In currencies, the dollar rose against the yen but was lower against the euro.


South Korea’s financial markets opened sharply lower Wednesday the day after an artillery clash between North and South Korea sent tensions on their divided peninsula soaring. The Kospi index fell 3.3 percent in the opening minutes, though quickly pared losses and was 0.4 percent lower in early afternoon trading at 1,921.29.

A man walks in front of the electronic stock board of a securities firm in Tokyo, Wednesday, Nov. 24, 2010.

Japan’s Nikkei 225 stock average fell 0.7 percent to 10,044.52, after briefly falling below the 10,000 mark earlier in the session.


The South Korean won, meanwhile, dropped 2.6 percent against the dollar in early trading, but also recovered to trade 1 percent lower.


Rommel Lee, an analyst at Shinhan Investment Corp. in Seoul, said that China’s call for a peaceful solution to the tension on the Korean peninsula helped calm nerves among investors Wednesday.


Chinese Foreign Ministry spokesman Hong Lei on Tuesday called on both sides, without naming them, “to do more to contribute to peace and stability on the peninsula.”


“China saying to North Korea, ‘find a peaceful solution to this incident’ caused a positive reaction in the market, and overall it limited the negative effect,” said Lee.


As market jitters over the Korean peninsula eased, investors began to worry anew that the much ballyhooed bailout of Ireland’s banking sector may not be enough to contain Europe’s debt crisis. Stock traders panicked and dumped European shares Tuesday, sending Portugal’s benchmark stock index down 2.2 percent by the close. The euro slid below $1.34 for the first time in two months as investors sought the relatively safety of the dollar.


Spooked by the scale of Greece’s bailout requirements in May and Ireland’s banking failures, international investors are looking much closer at the public finances of eurozone countries and they don’t like what they’re seeing, particularly in Portugal.


“For a while now, investors were pretty complacent over the European credit woes. So I think investors have underestimated how long the Irish problem may drag out,” said Sean Darby, chief Asia Strategist at Nomura Global Equity Research in Hong Kong.


Shares in Australia, Taiwan, and New Zealand were lower, while Hong Kong’s Hang Seng index rose 0.7 percent to 23,054.61. Benchmarks in Singapore and Shanghai also rose.


The Korean incident had less of an effect on U.S. markets, but investors there still dumped shares heading into the Thanksgiving holiday. Sentiment was also hurt as the Federal Reserve lowered its growth forecast for next year.


In a report releasing minutes from its last meeting Nov. 3, the Fed predicted that the economy will grow only 2.4 percent to 2.5 percent this year. That’s down sharply from a previous projection of 3 percent to 3.5 percent. Next year, the economy will expand by 3 percent to 3.6 percent, the Fed said, also much lower than its June forecast.


Wednesday will bring an unusually large amount of economic data since several reports that normally come out Thursday are being moved up because of the holiday. Reports are due out on weekly claims for unemployment benefits, durable goods and personal income.


Overnight on Wall Street, the Dow Jones industrial average fell 1.3 percent to 11,036.37, while the broader Standard & Poor’s 500 lost 1.4 percent to 1,180.73.


Benchmark oil for January delivery was up 37 cents to $81.62 a barrel in electronic trading on the New York Mercantile Exchange. The contract lost 49 cents to settle at $81.25 on Tuesday.


In currencies, the dollar rose slightly to 83.24 yen from 83.16 late Tuesday in New York. The euro rose to $1.3397 from $1.3363.

Source: SGGP