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Posted by BradyNet ( Friday, October 24, '03 )
 
*NEW* Stay on top of important market events with the IdeaGlobal/BradyNet Economic Calendar

 GLOBAL MARKET HIGHLIGHTS
*Intel, HP chiefs praise offshore outsourcing 10-24-03 (Yahoo) ORLANDO, Fla. -- The CEOs of two technology giants on Tuesday issued an unapologetic defense of offshore outsourcing, saying that their firms need the talent that lies outside the U.S. and calling for increased investment in areas that will keep American workers competitive.
*U.S. Jobless Claims Fall to Lowest Level in a Month 10-23-03 (Yahoo) WASHINGTON -- The number of U.S. workers filing first-time applications for unemployment benefits unexpectedly fell last week to its lowest level in a month.
*Texaco faces $1bn lawsuit 10-23-03 (BBC) A trial has begun in Ecuador's jungle town of Lago Agrio of the US oil giant ChevronTexaco, which is accused of polluting the country's rainforest and water resources.
*States Try to Poach California Businesses 10-23-03 (Yahoo) PORTLAND, Ore. - With California roiled by the recall campaign and struggling to right its foundering economy, Oregon and other states are swooping in to try to lure some of its businesses away.
*The secret of the permanent poor 10-23-03 (Yahoo) IT CAN BE the best of times or the worst of times, but whether in prosperity or recession, there is one constant in the U.S. economy: the richest country in the world maintains a permanent class of people who are poor.

 LATIN AMERICA
*Texaco Goes on Trial in Ecuador Pollution Case 10-24-03 (NY Times) AGO AGRIO, Ecuador, Oct. 22 - When René Arévalo draws water from his well, it is brown and gummy, requiring him to run it through a makeshift filtering system outside his wood-plank home in the jungle outside this town.
*Is the US plotting to murder Venezuelas president? 10-24-03 (Yahoo) Venezuelan president Hugo Chavez cancelled a planned trip last month to the United Nations General Assembly’s opening debate, explaining that he did so because of a potential threat on his life.
*U.S. Denies Alleged CIA Subversion in Venezuela 10-24-03 (Yahoo) CARACAS, Venezuela (Reuters) - U.S. congressmen and diplomats on Thursday dismissed allegations by Venezuelan officials and lawmakers that the U.S. Central Intelligence Agency (news - web sites) was trying to topple leftist President Hugo Chavez.
*Venezuelas Chavez Warns on Referendum 10-24-03 (Yahoo) CARACAS, Venezuela - President Hugo Chavez issued a warning Saturday to anyone planning to sign a referendum on his presidency, saying their names would be registered and remembered "forever."
*Showdown in the Ecuadoran Jungle 10-23-03 (Washington Post) LAGO AGRIO, Ecuador, Oct. 22 -- Under a warm setting sun, a half-dozen children gathered Tuesday around a plastic tub filling with water from a tube snaking from the ground. Women washed clothes under the spout, smacking shirts and pants against planks to dry them as the children played.
*Ecuadoreans Sue U.S. Oil Firm Over Amazon Pollution 10-23-03 (Yahoo) LAGO AGRIO, Ecuador (Reuters) - Ecuadorean Indians wearing feathered headdresses and red face-paint marched outside a jungle courthouse on Tuesday at the start of a case accusing U.S. oil giant ChevronTexaco of polluting the Amazon.

 ASIA
*Battle Lines Being Drawn for Philippine Election 10-23-03 (Yahoo) MANILA (Reuters) - With seven months until a ballot is cast, major players in the boisterous and colorful world of Philippine elections have started drawing up the battle lines.

 AFRICA
*Burundi peace in African hands 10-24-03 (Yahoo) Last week, the African Union deployed its first peacekeeping force, aimed at ending a 10-year civil war.
*Net lifeline for African doctors 10-24-03 (BBC) Doctors in East Africa have been given access to thousands of online medical papers thanks to a unique project with the University of Toronto.

 OIL PRICES
*Commerce Secretary Touts Iraq Oil Output 10-24-03 (Yahoo) WASHINGTON - Oil production in Iraq (news - web sites) has the potential to hit 5 million to 6 million barrels per day in the next three to four years, triple the current output,
*Oil firm escapes heavy penalties in Beverly Hills cancer case 10-23-03 (Yahoo) An oil company accused of contributing to a cancer cluster among former students of Beverly Hills High School, the training ground for some of Hollywood's most glamorous names,
*Iraq oil watchdog formally established in UN deal 10-23-03 (Yahoo) UNITED NATIONS (AFP) - The oversight body to monitor the US-led coalition's handling of Iraqi oil money has been formally established, according to documents obtained by AFP.
 
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10-24-03  PILLZ: <PILLZ....Do you own....and/or...would you buy this...13 3/8 % Notes :Asia Global Crossing Ltd: 2000-15.10.10 Sr > I own it , but don't touch it, it will become cash in a short time...totaly illiquid

10-24-03  ElGrande: PILLZ....Do you own....and/or...would you buy this...13 3/8 % Notes :Asia Global Crossing Ltd: 2000-15.10.10 Sr

10-23-03  PILLZ: PT for your info, on your misinformation:

<An Israeli pilot who mistakenly attacked the American intelligence ship USS Liberty during the 1967 Six Day War said they were lucky he had no bombs otherwise he would have sunk her.

There was a mistake. Mistakes happen. As far as I know, the mistake was of the USS Liberty being there in the first place, said Brig.-Gen. (res.) Yiftah Spector.

After 36 years Spector, who this week was dismissed by the IAF for signing the pilots' refusal letter protesting the policy of targeted killings, agreed to speak to a reporter for the first time on his role in the attack on the Liberty, an American spy ship strafed on the fourth day of the war.

Flying a Mirage III fighter jet code named Kursa or couch, Spector was the first pilot to reach the ship, which was about 20 nautical miles west of Gaza.

He had been on an air-to-air mission and was not loaded with bombs.

Spector, now 63, went on to become a triple ace, shooting down 15 enemy aircraft, and take part in the 1981 raid on the Iraqi nuclear reactor, earning himself a place in the pantheon of Israeli fly boys. This week he ended a 20-year stint teaching new generations of pilots.
Spector had always refused to discuss the attack on the USS Liberty, which killed 34 US sailors and wounded 172, or even be revealed as the pilot who led the attack on her. Until now. "I did not fire on the Liberty as a human target. I was sent to attack a sailing vessel. This ship was on an escape route from the El Arish area, which at that same moment had heavy smoke rising from it," Spector said.
"It was thought to be an Egyptian vessel. This ship positively did not have any symbol or flag that I could see. What I was concerned with was that it was not one of ours. I looked for the symbol of our navy, which was a large white cross on its deck," he told The Jerusalem Post. "This was not there, so it wasn't one of ours."
The concern of the IAF was that Spector and his wingman, who had been diverted from the Suez Canal, would strike one of the Israel Navy ships in pursuit of the vessel, which was assumed to be Egyptian. IAF archival recordings of the pilots' radio transmission of the actual attack obtained by the Post show that Spector was specifically requested to verify that the ship was a military vessel and not Israeli.
According to the June 8, 1967, radio transmission, Spector said: "I can't identify it but in any case it's a military ship." Speaking of the event 36 years later may have caused Spector to mix what he remembered with what he may have read and his testimony does not always match archival facts. "I circled it twice and it did not fire on me. My assumption was that it was likely to open fire at me and nevertheless I slowed down and I looked and there was positively no flag. Just to make sure I photographed it," said Spector, who retired from active duty as a brigadier- general in 1984. Experts intimately acquainted with the incident said that the only photos Spector took were from his gun-sight camera during his strafing run. Regardless of whether the 455-foot ship bristling with eavesdropping antennas flew a US flag, which it evidently did from its starboard halyard, that banner was shot off in Spector's first strafing pass.
"I was told on the radio that it was an Egyptian ship off the Gaza coast. Hit it. The luck of the ship was that I was armed only with light ammunition [30mm] against aircraft. If I had had a bomb it would be sitting on the bottom today like the Titanic. I promise you," Spector said.
The 30mm rounds were armor piercing, which to this day led Liberty survivors to believe they had been under rocket attack. Spector's first pass ignited a fire which caused the ship to billow black smoke. Ironically, Spector transmitted he suspected the Liberty was putting out smoke to deliberately mask itself. "Every order is given by commanders and the last one to receive it has to decide whether he will pull the trigger or not. In this instance I was the fighter. I checked what I had to check [i.e. that it was a military ship and not one of ours] and pulled the trigger," Spector said.
"The crew should be thankful for their luck [that I was on an air-to-air mission and did not have any bombs]. It is a pity we attacked. I'm sorry for poor Capt. (William Loren) McGonagle, who was wounded in the leg and the other guys who were killed and wounded."
"I'm sorry for the mistake. Years later my mates dropped flowers on the site where the ship was attacked," Spector said. "I'm the last guy who has a problem with admitting mistakes and asking for forgiveness. There was a mistake, but it wasn't my mistake."
He added he remains baffled that the conspiracy theories live on that Israel deliberately attacked the US intelligence ship. He suggested it might be due to anti- Semitism, or anti-Israeli sentiments.
"I know that after the war one of the first things that was done was the establishment of a [US] senator's inquiry. I know this personally, because I was called upon to testify before it. They came to the country and I was questioned. I told them what I told you just now - that there was a mistake. I am sorry for the mistake. In war mistakes happen," Spector said.>

Another one to correct your misinformation

<The number of tourists in September rose 24 percent over the same month a year ago, the Tourism Ministry said Thursday.

September 2003 saw 90,500 tourists enter the country

Of those arriving, 82,800 came by air, an increase of 24% over September 2002. Another 7,300 arrived by land, and 400 entered by sea.

The figures also show that the first nine months of 2003 saw 739,800 tourist entries into Israel – 17% more than during January-September of last year, when the corresponding figure was 630,800.

Tourism Minister Benny Eilon said the Tourism Ministry's marketing efforts abroad are yielding results. >


10-23-03  tica9: Unfortunately Cheetah I bought the '06 at 96 and the '13 a few days ago at 83.50. I do most sincerely hope that you are right and i can keep clipping.

10-23-03  SPAL: <10-23-03 Fox: <TEO> But with the recent bad mood I think that 6.00 is a possibility so I wouldnt use all my power.> too bad it is not able to hold its gains unlike the normal cucaracha.

<The most incredible is the upswings with very large volume.> some weird stuff out there in the market yesterday.


10-23-03  Cheetah: tica9: Why don't we talk about something interesting and painful like Dominican Republic Bonds.?

i agree if you buy in the mid 70's it will be very very painful for whoever sold the bonds as the buyer will be clipping and clipping all those coupons...

thanks to all the DR's remittances and thanks to all the european and american tourists...


10-23-03  Advice55: <10-23-03 optimist: Its getting interesting.. Countrary to Advice, i think US stocks "stop falling and consolidate" here.. But .. who knows.. He's been damn right in timing recently..> Think your bonds will fly, nice call today! USStocks will acumulate only, maybe a little lower if rates do not fall again.... Still think curve needs to flaten more, but rates can easaly go down flattening....

10-23-03  Advice55: My feeling is the same colores, US stocks will acumulate here, maybe a little lower and bonds will be the best play in USA, cause us markets need some source of confirmation from the FED or the white house that rates will not go up soon.... I think they will get this confirmation at least untill the next fed meeting, but maybe before....

10-23-03  Advice55: Pillz, sorry to borrow you with what can be a stupid question, but you think that peace of news down there about MCI will be good or bad for stocks of MCI? And for EMT?

10-23-03  amigo latino: A strong reason to buy DR Bonds:

<Despite the widespread pessimism regarding the economic situation, 90% of those questioned said they were proud to be Dominican. Interestingly, 81% of those polled said they were "very happy" or "somewhat happy" on a personal level. Also on the positive side, 7 out of 10 people were aware that Miss Universe was Dominican, and 46% felt her win was helpful to the country.>


10-23-03  amigo latino: News from DR

<400,000 private sector jobs lost Hoy newspaper quotes a business leader as saying that 400,000 private-sector jobs have been lost as a result of the economic crisis. According to the estimate of the former president of private business association CONEP, Marino Ginebra, stated while this was occurring, "the government was persisting in its efforts to sustain the peso artificially." Ginebra blamed the job losses on the increase of government appointees, the government's failure to tackle the Baninter collapse in time, and its excessive public spending bill. ….>SD news

Allowing for some inaccuracies, 400,000 is a huge number for a country of 8 million population.


10-23-03  amigo latino: <Patient-Trader: Tica9, I cant think of any fruitful discussion on DR. The country is apparently desperately poor and messed up………>

<The country is apparently desperately poor and messed up…….> : Not < desperately poor > DR is classified as middle income country. Messed up ? very much.

But I think that those that recommend DR bonds are more messed up and those that buy them ?


10-23-03  Advice55: Emerging Markets TOOO

What does Peterson thinks?

Advice101?

Cheetah?


10-23-03  Advice55: Think, USbonds will perform well tomorrow <fox>

10-23-03  PILLZ: <Lawyers for WorldCom Inc. told a bankruptcy judge Tuesday, Oct. 21, that the company will seek to confirm its reorganization plan through a process known as a cramdown, despite a conflict in the way its general unsecured creditors are classified.

On Monday, Oct. 20, U.S. Bankruptcy Judge Arthur Gonzalez told the telecommunications company that grouping all of its general unsecured creditors together was problematic, because the creditors don't all receive the same compensation under the plan.

Most creditors in the group, called Class 6, would get about 36 cents on the dollar for their claims. But those that could show claims against the MCI unit that predated its 1998 merger with WorldCom would receive 60 cents on the dollar.

In addition, members of an unofficial committee of investors who purchased debt owed to MCI's vendors will receive about 53 cents on the dollar through a settlement. However, 17 cents of that amount will come from other creditors, not directly from WorldCom, and so is not technically considered a plan recovery.

The judge on Monday told WorldCom it could either solicit votes separately from each of the three groups in class six, or ask the court to confirm the plan in spite of the disparity.

WorldCom chose the latter. The company will deem the creditors receiving 35.9% and 60% recoveries to have rejected the plan, and the ad hoc trade group to have approved it. WorldCom will then ask Gonzalez to "cram down" the plan, or to confirm it despite its failure to receive approval from all its creditor classes.

When WorldCom filed its first reorganization plan in April, class six accounted for $2.8 billion in claims. Since then the company has reached settlements with large trade creditors such as Verizon Communications Inc., SBC Communications Inc., Sprint Corp. and just about every other large telecom.

In the most recent vote, class six creditors with about $650 million in claims submitted ballots, with close to 85% in terms of value accepting the plan. While the exact value of claims still entitled to vote has not been disclosed, it would be relatively small compared to the $35 billion or so in debt being restructured in WorldCom's Chapter 11 case. Most of the other classes had approval rates in the mid- to high-90% range.

WorldCom's counsel planned to outline the cramdown in a pleading on Tuesday, though it had not been filed by press time. A hearing on the matter is scheduled for Oct. 30. Responses and notices of witnesses to be called are due Oct. 27.

Gonzalez said any objections should be limited to the cramdown.>


10-23-03  tica9: Pillz. Don't like to put any more than 50k in on corp if speculative so will probably just go with the Euro. Thanks.

10-23-03  Fox: <TEO> Spal I confess that I was surprised by yesterday´s movement as well as today´s.

Didnt sell like Cheeth just stand still my price for increase its around 6.40.

But with the recent bad mood I think that 6.00 is a possibility so I wouldnt use all my power.

The most incredible is the upswings with very large volume.


10-23-03  PILLZ: <10-16-03 PILLZ: Back flom Jeru to Netania (only 5km flom the best Palestinian shoarma), interesting discussion for the next Fiji meeting, why I choose Belgium and not staying in Israel, why Vaaallly choooose USA and not Germany, vhy Carib choooose Carib Isle and not Italy, why is Savo not living in a Miami concominium, why is OZ living in Italy and not in a settlement and nuk the Fhalestiniens, why is Ruspan living in Spain and not in Russia, why is Glutt living in Vien and not in Moskva, why is Opti living in Moskva and not in Pattaya, why is Nez living in USA and not in Moskva, why is etc...are we still in a colores forum ?, but btw, I like to read the diff. opinions, but we must one time meet to better understant all this..

Savo, as I am with a very slow dial up modem here in my modest app. in Netania, I read the worldcom "anal" from debttraders, it looks interesting, but it is now a pure schtok play, I asked for prices, you must pay now 37 for the normal Worldcom bonds, I put an order at 36.5, but nothing done today, in my opinion all the out of CH11 C° are very low quoted, like Conseco, I think they need a few months to be rediscovered, I only speak about cash flow positive C°, GX is still not cashflow positive, and therefore I think it is a casino

Schpal, TISA, nobody react when I speak about it, but Pharmos is a gamble (up big way the last days), but this WE, I will meet more sophisticated anals.. >


10-23-03  PILLZ: Savo, I answered it here in the color, scroll back, as I was blocked with a dial up-modem, yahoo mail was very slow then..

10-23-03  savonarola: pillz... you never answer my mail on WCom....

10-23-03  PILLZ: U.S. Senate joins House of Rep., approves legislation that will make it possible for Americans to travel to Cuba legally (AP)

10-23-03  PILLZ: Tica, Tyco bonds in $ are also higher in price today <Tyco International Group S.A. 6.375 '11 106.25 >

10-23-03  PILLZ: <To those who are not familiar with the case: The USS Liberty was an espionage ship which floated off Egypt before and during the six-day-war. Apparently the Israelis were afraid that the US had learnt and would learn of Israeli massacres and attacked the ship. US servicemen on board who were waving US flags to identify themselves couldn't believe their eyes when Israeli planes made repeated bombing runs on their ship and even destroyed the rescue boats. >

PT it is your interpretation, I had a full year work with this issue (27 years ago), you are b°°°ting again with your misinformations...


10-23-03  PILLZ: Tica this is the most liquid Level 3 bond <Level 3 Communications, Inc. 9.125 '08 90.50 +1.00 > price is from today, but I prefer the discount bond 0/12.875%, here today prices and YTM

9.125% 5/1/08 91.000 11.75%

0/10.50% 12/1/08 91.000 12.67%

0/12.875% 3/15/10 80.500 13.76%


10-23-03  carib: Thanks Pill. I put an order to buy some Worldcom this morning, max 36. I am not sure if they executed.

10-23-03  PILLZ: Carib, RCN bonds don't move, everybody is curious hou M-L will structure a finantial outcome, on AX, it is still the mystery of the year..no news at all, even not an explanation on the small distribution..I wait till cash come in and forget it as soon as possible, they are still at 15 in my books sinds 6 months,,,

10-23-03  PILLZ: Carib, on Wcom bonds, debttraders have a schtrong buy on their bonds, as they estimate a 7 P/E at a 35 bond price, but most comparable telecom trade at 11-12 P/E, I bought some Wcom bonds again, but only for trading, I would sell them above 40-45 ( debttraders see a 50 to 150% upside potential, dependinf on their 2004 EBITA ) I believe more in their buy recommmendation then in their sell rec., if you remember they gave a sell rec. on GX at 2 :-))

10-23-03  Patient-Trader: Tica9, I cant think of any fruitful discussion on DR. The country is apparently desperately poor and messed up. As mentioned a Russian friend of mine went there recently with a cargo vessel. They had daily guys who tried to get on board to escape and one pirate attack. I am not aware of any DR assets apart from German sex-tourists.

10-23-03  tica9: Thanks Pillz. Sounds very interesting and will look into it. Any ideas on US$ bonds as have balance there also?

10-23-03  carib: Pill: nice to get you!
two questions:
1) Did RCN prices move? (I do not know how to follow them unless I ask a bank for a quote 2) Did you finally found out about the Asia GX mystery?

10-23-03  PILLZ: Tica, there is a nice Level 3 bond in zEuro <1MM LEVEL 3 COMM (EURO) LVLT 11.250% 03/15/2010 90.000 92.500 13.64% 13.01%>

<This morning, Level 3 Communications (LVLT) hosted a conference call at 11:00 am to discuss financial results. Net loss for the third quarter of 2003 was smaller than the Street consensus, driven by reduced costs. The tone of the conference call was cautiously optimistic. While the long-haul fiber sector remains challenging in the near term, the company’s recent debt restructuring has strengthened its financial position and credit profile. A replay of the call is available through October 27 by calling 320-365-3844 (access code: 696685).>



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