OPEC may up output: Purnomo

OPEC may up output: Purnomo

JAKARTA: Indonesia's Energy Minister Purnomo Yusgiantoro, who
will take over the presidency of OPEC from next year, said on
Tuesday the organization would increase output by 500,000 barrels
per day (bpd) if oil prices stay above US$28 for more than 20
days.

The Organization of Petroleum Exporting Countries' (OPEC)
decision to cut output by 900,000 bpd to 24.5 million bpd from
Nov. 1 has led to a spike in crude oil prices above the
organization's target $22-$28 a barrel price band.

OPEC's crude oil price basket has been trading above $28 for
seven days, Purnomo said.

"OPEC will certainly increase its supply by 500,000 bpd if the
price remains above $28 a barrel for 20 days," he told reporters.
--Dow Jones

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Money-Japan-economy
Japanese firms up capital spending
JP/16/Money

Japanese firms up capital spending

TOKYO: Private-sector capital spending in Japan in the 12
months to March 2004 will expand for the first time in three
years, according to a newspaper survey published on Tuesday.

The latest survey showed a 4.1 percent increase in capital
spending plans for all industries, up from a 1.9 percent decline
indicated in the prior survey in March, the Nihon Keizai Shimbun
said.

Manufacturers now anticipate a 7.2 percent rise in capital
spending, instead of a 0.5 percent hike expected at the beginning
of the current fiscal year, the newspaper said.

Non-manufacturers, which had projected a 4.2 percent drop in
capital spending, now expect growth of 0.8 percent, which would
mark the first increase for that sector in seven years, the Nihon
Keizai said.

Of the 17 manufacturing sectors, 13 plan to boost capital
spending on the year. Sectors like electronic devices as well as
steel and non-ferrous metals are taking the lead with double-
digit increases, it said.

"Encouraged by improving corporate earnings and rising share
prices, a growing number of companies are eager to step up their
capital investment plans from those originally formulated at the
start of the fiscal year," the Nihon Keizai said. -- AFP

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Money-WTO-HongKong
HK to host crucial WTO meeting
JP/16/Money

HK to host crucial WTO meeting

HONG KONG: The World Trade Organization's (WTO) general
council has selected Hong Kong to host the global trade body's
next ministerial meeting, the Hong Kong government said on
Tuesday.

The last round of the crucial WTO ministerial conference to
spur momentum toward a new global trade pact collapsed in Cancun,
Mexico last month.

John Tsang, Hong Kong's secretary for commerce, industry and
technology, welcomed the council's unanimous decision, saying
"this is a strong vote of confidence in Hong Kong."

"It is also a reflection of the WTO membership's appreciation
of Hong Kong, China's constructive and active participation in
the organization," he said.

"We will do our best to stage a conference that is successful
in both substantive and logistical terms," Tsang said.

The timing of the next ministerial conference still needs to
be worked out with reference to progress to be made in the next
few months in Geneva, and the wishes of WTO members, the
spokesman said.

But the sixth ministerial meeting is expected to be held in
December next year.--AFP

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Money-Stocks-India
FII in Indian markets soars
JP/16/Money

FII in Indian markets soars

BOMBAY: Foreign institutions have invested US$5 billion in
India so far this year, with equity markets taking the biggest
chunk, officials said on Tuesday.

It is a huge rise compared to 2002 when foreign institutional
investors (FII) injected a total of US$740 million into India for
the whole of the year.

The FII data compiled by the Securities and Exchange Board of
India said net equity and debt investments made by foreign funds
between January 2003 and Oct. 19 touched $5 billion, with equity
attracting more than $4 billion.

In the first 19 days of October, FIIs invested $981 million,
while investment in debt was $55.9 million.

Analysts said the key factor driving the high foreign
investment was India's good economic prospects and high growth
figures.

Indian markets have been surging since May 2003 on the back of
the foreign investor investments.

"The market is in the grip of foreign investors and this data
was expected looking at the rise in our market," said a dealer
with a domestic brokerage.

The Bombay Stock Exchange's 30-share index has surged over 70
percent since May, making it one of the biggest gainers in world
markets. -- AFP