IRELAND TO REMAIN KEY PLATFORM FOR US FIRMS - Despite the global downturn the relationship between Europe and the US generates close to $4.28 trillion in commercial sales each year. According to Joseph Quinlan, a senior fellow at the Centre for Transatlantic Relations at John Hopkins University, Ireland can increase its share of that trade, by capitalising on the growth of US multinationals here.
Joseph Quinlan says Ireland was one of the few countries where US companies based here grew their income last year despite the tough recessionary conditions. He points out that Ireland remains the fourth most popular country for investment by US firms and the country acts as a platform to the wider European market. He says that the technology and pharmaceutical sectors will remain long term growth areas in Ireland, while there is also some scope for the renewables energy sector, such as smart cars.
While he says the threats from the euro zone debt crisis are 'not insignificant' and that the US mood on Europe is pessimistic, he says some of that pessimism is overdone. He says he believes that if Europe implements its planning austerity measures, the economic recovery will continue. He also says the productivity of the Irish labour force makes Ireland a profitable component in the supply chains of US companies.
On banks, Mr Quinlan says they are key organs of an economy and they have to be well capitalised.
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MORNING BRIEFS - Microsoft's dominance as the tech industry's most valuable stock has ended, as overnight Apple's market capitalisation edged past its rivals.
Last month, Microsoft's market cap exceeded Apple's by about $25 billion, but now Apple is in the lead by nearly $3 billion. Changes in the share prices now value Apple at $222 billion and Microsoft at $219 billion.
*** Facebook has announced changes that will make it easier for users to change their privacy settings and block outside parties from seeing personal information.
CEO Mark Zuckerberg said that feedback from users over recent privacy changes, which made some user information public by default, had led to the move. He said Facebook's new settings will give users 'one simple tool' to control how their information is shared: with friends only, with friends of friends or with everyone. The changes should be in place for most users within the next few weeks. A single click also will let users block all of their information from being accessed by third parties, such as game or application developers.
*** AIB shares ended 9% higher yesterday after it emerged that Poland's Treasury Ministry may put together a group to buy AIB's share of Polish bank Zachodni. The bank has to raise over €7 billion to meet the Financial Regulator's new capital requirements by the end of the year. AIB has a 70% stake in the profitable Polish bank, and it is thought selling its share could make about €2 billion.
*** On the currency markets this morning, the euro is trading at $1.2266 cents and 84.84 pence sterling.
