20120608 1119 Global Economy Related News.

China: Rate cut counters slowdown as PBOC eases loan rules. The one-year lending rate declines by a quarter percentage point to 6.31%, the People's Bank of China said in a statement. The one-year deposit rate drops the same amount, to 3.25%. (Source: Bloomberg)

Taiwan: Exports fell for a third straight month in May, increasing pressure on the central bank to hold interest rates to support a slowing economy. Shipments abroad slipped 6.3% YoY, compared with a 6.4% YoY decline in April, the Ministry of Finance said. (Source: Bloomberg)

Vietnam: To cut deposit rate cap to encourage loans to companies. The cap will be 9% from 11% currently and will take effect June 11, State Bank of Vietnam Governor Nguyen Van Binh told the National Assembly. The reduction will support companies and is in line with easing consumer price gains that are at their lowest since 2010, Binh said. Declines in borrowing costs still don't "meet the needs of businesses," he said. (Source: Bloomberg)

Australia: Unexpectedly added workers last month, capping the best January-to-May period of hiring in five years. The number of people employed rose by 38,900 in May, after a revised 7,000 gain in April that was lower than previously reported, the statistics bureau said. The jobless rate rose to 5.1% from a revised 5% in April as participation increased. (Source: Bloomberg)                                                                                  

France: Unemployment rate rose in 1Q12 as companies eliminated jobs in the face of faltering economic growth, posing a challenge to newly elected President Francois Hollande. About 10.0% of the population was unemployed, up from 9.8% in the previous three months, according to International Labour Organization standards, national statistics office Insee. (Source: Bloomberg)

U.S: Bernanke sees easing options and he described risks ranging from Europe's crisis to fiscal tightening in the U.S. "If we decide that further action is required, then of course we have to decide what action is appropriate or what communications are appropriate," Bernanke said to the Joint Economic Committee. "We do have options that we can consider." (Source: Bloomberg)

U.S: Consumer credit rose in April for eighth month boosted by financing for education and automobiles. The USD 6.51b increase followed a USD 12.4b gain in the previous month, the Federal Reserve said. Non-revolving credit, which includes student loans and automobile lending, climbed by the most in three months. (Source: Bloomberg)

U.S: Initial jobless claims fell last week to 377,000. First,time claims for jobless benefits fell by 12,000 in the week ended June 2 from a revised 389,000 the prior week that was higher than initially estimated. The number of people receiving extended payments plunged. (Source: Bloomberg)

U.S: Household worth rises most since 2004, bolstered by a jump in stock prices and more stable home values. Net worth for households and non-profit groups increased by USD 2.83t from January through March to USD 62.9t, the Federal Reserve said in its flow of funds report from Washington. (Source: Bloomberg)

U.K: Services unexpectedly sustains pace of expansion in May. A gauge based on a survey of purchasing managers remained at 53.3 from April, Markit Economics and the Chartered Institute of Purchasing and Supply said in a report in London. Confidence weakened because of concerns related to the euro-area debt crisis, Markit said. (Source: Bloomberg)