EU and Eurozone business confidence indicators improved again in September. The Economic Sentiment Indicator (ESI) rose to 82.6 (+1.6 points) in the EU and to 82.8 (+2.0) in the Eurozone. These levels, however, are still well below the respective long-term averages and the September increases were the smallest since the upturn started in April. The Business Climate Indicator (BCI) for the Eurozone also improved in September.

The Irish economy is set to return to growth in Q1 2010, according to Davy Stockbrokers and in the full year of 2011, GNP (gross national product) growth of 4% is forecast.

The Markit Eurozone Retail PMI (Purchasing Managers’ Index), based on a mid-month survey of more than 1,000 executives in the retail sector, indicated a sixteenth consecutive monthly fall in same-store retail sales in September. However, after accounting for seasonal influences, the PMI rose from 47.1 in August to 48.6, signalling the smallest monthly decline seen since sales began falling in June 2008.

Japan’s core consumer prices fell 2.4% in August year-on-year - - the fourth straight month of record falls. Meanwhile, the new Finance Minister Hirohisa Fujii said currency intervention may be an option if exchange rates make irregular moves. His remarks followed a surge in the value of the yen after he hinted he favoured a strong currency.

The board of  Independent News & Media (INM) on Monday rejected a restructuring plan proposed by its second-biggest shareholder Denis O’Brien and backed chief executive Gavin O’Reilly’s proposed deal with bondholders who are owed €200 million, which has been due for payment since last May.

Principal news stories from the Irish Independent, Irish Times, Irish Examiner, Financial Times and New York Times.

The Dow is closing in on the 10,000 level again over ten years after it first breached the threshold in March 1999.

The global economic crisis is contributing to shifts in power relations in the world that will impact currency markets, monetary policy, trade relations and the role of developing countries, World Bank president, Robert Zoellick, said on Monday. In a speech, he said the dollar was likely to lose its favoured position as the euro and the Chinese renminbi assume bigger roles.

The European Investment Bank announced today a loan of up to €300 million for the EirGrid Ireland-Wales electricity link and €200 million is being made available to the ESB  to help Ireland secure and green its electricity supplies.

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