Morning business news - March 26

Tuesday 26 March 2013 08.03
Morning business news - March 26
Morning business news - March 26

US Federal Reserve chief Ben Bernanke has been playing down talk of currency wars between established and emerging economies.

He was speaking at the London school of Economics where he said that advanced economies were pursuing 'appropriate expansionist policies' which might lead to currency fluctuations - but it too would drive demand in the emerging economies.

He said he would continue with his own expansionist policies in the US until the jobless rate falls a bit further.

The unemployment rate in the US is at just over 7.5% right now.


Staying on the subject of currency fluctuations, one silver lining to the Cyprus cloud is that the pound hit its highest level against the euro in six weeks yesterday.

That gave exporters a bit of a breather because they've been under pressure since the start of the year with the pound weakening against a stronger euro.

That situation makes exports in the eurozone area less competitive.

The euro fell back yesterday after initially rallying in response to the the Cyprus deal.

Those comments by eurogroup president Jeroen Djiselbloem - suggesting that Cyprus would become a template for future bailouts - sent the markets and the euro tumbling.

He later pulled back from those remarks.

This morning on the currencies, the euro buys a dollar 28.7 and 84.7 pence sterling.

And you heard earlier, all banks in Cyprus have been ordered to stay closed until Thursday now.


Boeing's 787 Dreamliner was back in the skies yesterday - but only for a test flight.

The company was demonstrating that the plane's new lithium-ion battery system meets regulatory safety standards.

The company's fleet of 50 high-tech jets were taken out of commission in January after batteries overheated in two separate aircraft.

Boeing hopes the jets will be back in the skies by the beginning of May.


Finally, any listeners on their way to school this morning looking to make a quick buck, it appears if you've get a tech idea, you could try selling it to Yahoo.

17 year old Londoner Nick D'Aloisio sold a smartphone app - which summarises news stories into a few lines - to Yahoo for a reported 30 million dollars.


Irish renewable energy company, Gaelectric, has successfully completed a round of funding to the tune of €65 million for its portfolio of on-shore wind energy projects.

Barry Gavin, Gaelectric's Finance Director, said the company was happy with the outcome given the difficulties currently in the investment market.

Mr Gavin said the funding would be used to develop the first phase of the company’s on-shore portfolio in Ireland, which will ultimately aim to generate 164MW of energy.

“That would equate to providing energy for about 85,000 homes and it will also displace about 260,000 tonnes of carbon dioxide on an annual basis,” he said. “That’s all for the domestic market.”