1 JEFF BEZOS IS NOW WORTH MORE THAN BILL GATES AND LARRY PAGE COMBINED WWW.CNN.COM PUBLISHED:2018/07/17      2 APARTMENT COMPLEX FOR YOUNG FAMILIES UNDER CONSTRUCTION IN ERDENET WWW.MONTSAME.MN PUBLISHED:2018/07/17      3 NUM GRADUATES INVITED TO WORK FOR TOSHIBA CORPORATION WWW.MONTSAME.MN PUBLISHED:2018/07/17      4 RUSSIA & UNITED STATES CAN COMPETE & WORK TOGETHER IN ENERGY MARKET - PUTIN WWW.RT.COM PUBLISHED:2018/07/17      5 TESLA IS GETTING A CHINA FACTORY. THIS $4 BILLION STARTUP WILL BE WAITING WWW.BLOOMBERGTV.MN PUBLISHED:2018/07/17      6 HOW MINING TYCOONS ARE TRYING TO FOIL A BIG UK BRIBERY PROBE WWW.MINING.COM PUBLISHED:2018/07/17      7 MONGOLIA'S TOURISM REVENUE INCREASES BY 20 PERCENT WWW.NEWS.MN PUBLISHED:2018/07/16      8 WATER LEVELS OF MAJOR MONGOLIAN RIVERS EXCEED ALARM LINE WWW.XINHUANET.COM PUBLISHED:2018/07/16      9 CHINA SETS RECORD DAILY STEEL OUTPUT FOR THIRD MONTH IN A ROW WWW.REUTERS.COM PUBLISHED:2018/07/16      10 RUSSIAN RETAILERS, HOTELS EMERGE AS WORLD CUP WINNERS WWW.THEMOSCOWTIMES.COM PUBLISHED:2018/07/16      ОЛОН УЛСЫН ИННОВАЦИЙН ИНДЕКСЭЭР МОНГОЛ УЛС 53-Т ЖАГСЧЭЭ WWW.MONTSAME.MN НИЙТЭЛСЭН:2018/07/17     ШАДАР САЙД НҮБ-ЫН ӨНДӨР ТҮВШНИЙ УУЛЗАЛТАД ОРОЛЦОЖ БАЙНА WWW.EAGLE.MN НИЙТЭЛСЭН:2018/07/17     "ТАВАНТОЛГОЙ"-Н ТӨМӨР ЗАМЫН ТӨСӨЛ УРАГШЛАХ ЭСЭХ НЬ SHENHUA-ГААС ШАЛТГААЛАХААР БАЙНА WWW.ZGM.MN НИЙТЭЛСЭН:2018/07/17     ХӨШИГИЙН ХӨНДИЙН НИСЭХ БУУДАЛД 5.3 ТЭРБУМ ТӨГРӨГИЙН ҮНЭ БҮХИЙ ЦАЦРАГИЙН ХЯНАЛТЫН ТӨХӨӨРӨМЖ СУУРИЛУУЛНА WWW.DNN.MN НИЙТЭЛСЭН:2018/07/17     2017 ОНЫ САНХҮҮГИЙН НЭГДСЭН ТАЙЛАН ЗӨРЧИЛГҮЙ ДҮГНЭГДЛЭЭ WWW.NEWS.MN НИЙТЭЛСЭН:2018/07/17     2018 ОНЫ ЭХНИЙ ХАГАСТ ХЯТАДЫН ДНБ 6,8 ХУВИАР ӨСЧЭЭ WWW.GOGO.MN НИЙТЭЛСЭН:2018/07/17     МОНГОЛ УЛС ЯПОН УЛСАД 100 МЯНГАН АМ.ДОЛЛАРЫН ХҮМҮҮНЛЭГИЙН ТУСЛАМЖ ҮЗҮҮЛЭХЭЭР БОЛЛОО WWW.GOGO.MN НИЙТЭЛСЭН:2018/07/17     ОУВС-ГААС МАНАЙ УЛС 184.5 САЯ ДОЛЛАРЫН САНХҮҮЖИЛТ АВААД БАЙНА WWW.EAGLE.MN НИЙТЭЛСЭН:2018/07/17     МАНАЙ УЛСЫН ЗЭЭЛЖИХ ЗЭРЭГЛЭЛ ДЭЭШИЛЖЭЭ WWW.EAGLE.MN НИЙТЭЛСЭН:2018/07/16     “ЭРДЭНЭС-ТАВАНТОЛГОЙ” 40 САЯ ДАХЬ ТОНН НҮҮРСЭЭ ОЛБОРЛОЖЭЭ WWW.NEWS.MN  НИЙТЭЛСЭН:2018/07/16    

Events

Name organizer Where
"Open to Export" ICC WTO International business award ICC WTO London

NEWS

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Oil firm mulls stake buy in Noble www.chinadaily.com.cn

 
Sinochem Group is in early talks to become a strategic investor in Noble Group Ltd, providing the embattled Asia-based commodities trading house with an equity injection, according to sources familiar with the talks.
Noble is discussing a possible strategic investment, according to a statement on Tuesday that didn't refer to Sinochem.
"No binding arrangements have as yet been entered into with respect to this possible transaction and, accordingly, there can be no assurance that this transaction will be concluded," it said.
The conversations between the State-owned oil and chemicals group and the Hong Kong-based trading house are still at an early stage, the sources said.
Sinochem is understood to be interested in the international energy trading business of Noble, which includes oil, coal and natural gas.
Noble Chairman Richard Elman said last year that the company was looking for a strategic investor after it raised $500 million in fresh equity in June.
"A strategic partner is still very possible," said Elman, who is due to stand down later this year. "But it has to be at the right time and the right candidate."
Noble feels it's now in a stronger position to negotiate a deal for a strategic investor, with its equity price stabilizing and bond prices rising strongly, according to one source.
The yield of Noble's bond maturing in 2020 fell last week below the key 10 percent level for the first time in more than a year, compared with an all-time high of more than 35 percent in January 2016.
Sinochem didn't reply to phone calls and emails.
Noble has been fighting to prop up its finances after a torrid 2015 and 2016 during which its share price collapsed.
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Credit Suisse to cut up to 6,500 jobs after reporting $2.4 billion loss www.cnn.com

Credit Suisse said Tuesday that it plans to cut up to 6,500 jobs after suffering a loss of 2.4 billion Swiss francs ($2.4 billion) in 2016.
The Zurich-based lender said the bulk of the loss resulted from of a $2 billion provision it made for a settlement with the U.S. Department of Justice.
The Justice Department announced in January that Credit Suisse would pay a total of $5.3 billion to settle claims that it packaged and sold toxic mortgages between 2005 and 2007.
Bank CEO Tidjane Thiam said Tuesday that reaching the settlement removed a "major source of uncertainty for our future."
But it also cemented a second consecutive year of losses for the new CEO. Credit Suisse (CSGKF) lost 2.9 billion Swiss francs ($2.9 billion) in 2015.
Thiam was hired in 2015 and announced a major overhaul and cost cutting program just a few months into his tenure. He wants the bank to focus on wealth management and emerging markets.
The bank will cut between 5,500 and 6,500 jobs over the coming year, CFO David Mathers said on a conference call with investors.
On Tuesday, Thiam said that 2016 -- the first full year of implementing the new strategy -- was "challenging and busy 12 months."
DoJ vs big banks: $60 billion in fines for toxic mortgages
The company said it achieved 1.9 billion Francs ($1.9 billion) in savings in 2016 -- more than 500 million Francs ($500 million) above its target.
It also shed more than 7,250 jobs over the course of last year.
While losses were greater than analysts had anticipated, the bank's stock climbed 3% following its earnings statement on Tuesday.

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Greece plans to hire Rothschild as debt adviser www.rt.com

As concerns over Greece and its debt mount, Athens has reportedly decided to call in Rothschild, one of the oldest financial firms in the world, to navigate the country’s long-running creditor stand-off and avert default.

According to the Financial Times, Greek authorities hope to finalize the appointment before crunch debt talks with eurozone finance ministers on February 20. The date has been described as the last chance for a bailout review with the upcoming elections in Europe likely to dominate the EU agenda.

Sources told the FT that Rothschild is expected to advise Athens on all areas connected to its debt, including negotiations with creditors, potential inclusion in the European Central Bank’s €80 billion per month bond-buying program and the resumption of Greek government bond sales.

They added the bank will be paid a bonus when Greece regains access to global debt markets.

The Rothschild investment bank was founded over 200 years ago by Mayer Amschel Rothschild. Five of his sons established banking businesses around Europe and the firm today has more than three thousand employees in 40 countries.

The appointment of Rothschild as sovereign debt adviser will require ministerial approval. The bank will thus replace US investment bank Lazard, which worked on Greece’s bailout talks in 2012, and is currently acting as financial adviser to the Greek Ministry of Energy.

Greece’s Prime Minister Alexis Tsipras promised the government wouldn't pass any new austerity measures as talks with bailout lenders have stalled over their demands for deeper cuts.

“An adviser is not being hired to arrange another debt restructuring with private creditors, it is being hired to advise on official debt. It will be a difficult job," said Mitu Gulati, a law professor at Duke University in the US who specializes in the field. “There is always the risk that you can antagonize bilateral creditors when you bring financial advisers in and treat them like private creditors.”

Athens and its international creditors have been seeking ways to conclude negotiations on the current review of Greece’s €86 billion aid package. The bailout program was agreed two years ago and is the third since 2010.

Greece’s €323 billion debt is still the highest in the eurozone. According to the country’s Public Debt Management Agency, just €36 billion from that sum is owned by private investors who hold Greek bonds; the rest is in the hands of sector creditors such as the IMF and European institutions.

The country has €7 billion of debt payments due this July, which it won’t be able to meet unless it receives new funds or carries out restructuring.

Earlier this month, the IMF which was urging for more austerity and describes Athens’ debt as unsustainable, called for "significant debt relief" to stop Greece's debts becoming "explosive."

 
 
 
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OPEC members comply with production cut www.nhk.or.jp

 
OPEC members have so far complied with an oil production cut agreed last November.
 
Under the deal, the members of the Organization of the Petroleum Exporting Countries cap their total production at 32.5 million barrels per day from January to June to prop up sluggish crude oil prices.
 
The group said on Monday that total production in January fell by 890,000 barrels per day to 32.139 million.
 
All 10 member countries that are subject to the cut reduced their output in the month.
 
Saudi Arabia's production fell by 496,200 barrels per day, while Iraq recorded a reduction of 165,700 barrels and the United Arab Emirates 159,300 barrels.
 
Observers have been keeping an eye on whether the cut, the first in 8 years, would be implemented as agreed.
 
But crude oil prices appear to have peaked amid expectations of an increase in US shale oil production.
 
Attention is now focused on whether Russia and other non-OPEC producers, which agreed to cooperate in curbing production, will follow through on the agreement.
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Stand-By Arrangement and Mongolia www.gogo.mn

Government of Mongolia is negotiating with International Monetary Fund (IMF) on Stand-By Arrangement (SBA). Minister of Finance B.Choijilsuren paid visit to the United States last week to meet with IMF representatives. Minister of Finance stated that final decision and the amount of loan will be finalized this week. 
IMF have submitted 13 proposals on operation of Development Bank. In regards, amendments to draft law on Mongolian State Development Bank was approved by the Parliament session last week.
WHAT IS STAND-BY?
The IMF SBA is an economic program of the IMF involving financial aid to a member state in need of financial assistance, normally arising from a financial crisis. In return for aid, the economic program stipulates needed reforms in the recipient country aimed at bringing it back on a path of financial stability and economic sustainability. The SBA is a sub-set of IMF and World Bank programs aimed at Structural adjustment
IMF’s SBA was created in June 1952 to provide financing to countries requiring help with balance of payments problems. The SBA has often been used by member countries and is the dominant lending instrument of the IMF, especially for emerging market countries. After a significant pause in such aid, the financial crisis that erupted in 2008 resulted in a large number of countries requiring such financial assistance from the IMF. The financing terms are normally more advantageous than private markets offer. In 2009, the IMF upgraded the SBA "to be more flexible and responsive to members countries’ needs." At the same time, the borrowing limits were doubled and more funds were made available up front. Generally, the "conditions were streamlined and simplified.
HOW MANY TIMES MONGOLIA REQUESTED SBA? 
IMF provided SBA to Mongolia twice and granted total of US$ 195.7 million loan, of which US$ 136.6 million was granted as an ordinary loan without adjustment. 
Government of Mongolia received the first SBA in 1991, the early stages of transition to a market economy. The main goal of the IMF supported SBA was to support balance of payments, promote economic stability and reduce unemployment. The SBA was approved for an amount equivalent to SDR 13.75 million.

Affected by the global financial crisis, price of Mongolia’s main mineral exports such as copper and zinc have fallen sharply in the world market in mid-2009, causing declines in state revenues. Thus the Government of Mongolia requested an SBA with the IMF in support of its efforts to overcome the economic and financial crisis in Mongolia in March 2009. The Executive Board of the IMF approved a 18-month SBA for Mongolia in an amount equivalent to SDR 153.3 million (about US$229.2 million) with an annual interest rate of 5 percent to support the country's economic stabilization program. As a result, economic growth reached -1.6 percent in 2009.

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First Mongolian satellite to be sent to space in March www.gogo.mn

Within the framework of an international BIRDS project, three Mongolian students at the Kyushu Institute of Technology finalized “Mazaalai” the first Mongolian miniature sized satellite on January 1.
The Joint Global Multi-Nation BIRDS Satellite project - acronym as “BIRDS project” - is a cross-border interdisciplinary satellite project, composed of the deans of universities, researchers, professors and graduate and postgraduate students working at the Kyushu Institute of Technology (KIT) in Fukuoka Prefecture of Japan. The project is for non-space faring countries supported by Japan and is participated by countries such as Mongolia, Ghana, Nigeria and Bangladesh. 
Three Mongolian students pursuing a doctorate degree at the Kyushu Institute of Technology, D.Erdenebaatar, D.Amartuvshin and T.Turtogtokh are in the team to build the first Mongolian satellite. The roles of Mongolian engineers in the project are divided into designing and developing a camera subsystem for the BIRDS satellites, in Electrical Power System in Productive section and Interface management in non-productive section of Satellite Development as well as in On-board Computer (OBC) system to provide reliable and proper operation of the brain for the satellites. 
On February 8, a press conference was held to deliver the “Mazaalai” satellite to the Japanese Aerospace Exploration Agency. The satellite will soon be transferred to NASA to be sent into space along with the regular supplies of the International Space Station in SpaceX rocket. Although the exact date is still unknown due to weather and other factors, the flight is scheduled in March. 
The miniature satellite is capable of taking 100m resolution images in the altitude of around 400km, transmitting data through 437MHz frequency modulation, identifying satellite locations, determining air density in the altitute of 400km, detecting space radiation and using ground stations as an international network.

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Erdenet Mining Corporation under examination www.montsame.mn

Ulaanbaatar /MONTSAME / The Ministry of Finance and the Government Agency For Policy Coordination on State Property are jointly conducting investigation on Erdenet Mining Corporation’s production, financial and economic activities by the end of 2016 in pursuance of orders issued by the Parliamentary Standing Committees on Economy and Justice.

The investigation targets to examine the corporation’s production, profits, financial situation, utilization of state property, spending on assets, debt state, results of purchase and contracts.

A broader inspection team consisting of Bank of Mongolia, Finance Ministry, National Audition Department will probethe Erdenet Mining Corporation in near future to review and make conclusion regarding its financial violations and arguments.

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Geeks venture into Goldman Sachs' world of big deals and egos www.reuters.com

 
Technology whizzes who helped Goldman Sachs (GS.N) eliminate hundreds of trading jobs over the past few years are venturing into the bank's flagship M&A business, making some junior bankers uneasy.
 
A team of 75 programmers, internally referred to as "strats," has been developing technology to make Goldman's elite dealmakers more productive. That team within investment banking has doubled in size since 2014, when long time tech banker George Lee was appointed chief information officer for the investment banking division.
 
Programmers are now supporting those handling equity underwriting, leveraged buyouts and deals within the financial services and real estate sectors. They are also analyzing client data to offer better advice on deal targets and types of actions that might please a particular company’s investor base.
 
Conventional wisdom holds that investment banking does not yield itself to automation the way trading does, because it relies so much on personal relationships forged over years of business lunches, rounds of golf and boardroom presentations.
 
Goldman executives say technology aims to reduce the grunt-work junior bankers now perform, so they can spend more time helping top dealmakers rake in more money.
 
But some who joined Goldman in recent years expecting to advance from supporting cast to lead roles on big deals are wondering whether technology will be their friend or foe.
 
One employee who asked not to be named told Reuters investment bank staff are looking at how trading got automated, and wondering if the same fate awaits them.
 
There is more water-cooler chatter among young employees about using their Goldman experience to build a career outside banking, he said. Automation is not the only concern, but it does come up, he added.
 
"Banking used to be an area where the top undergrads and MBAs wanted jobs, but now so much of those roles are automatable," said Tom Davenport, a professor of information technology and management at Babson College.
 
One concern is that technology may make some staff redundant. Another is that the strats themselves – more likely to hold engineering PhDs from the Massachusetts Institute of Technology than MBAs from Wharton – could get ahead of bankers on a career path.
 
Worries have been exacerbated by weak business and broader job cuts across the industry.
 
At Goldman, revenue fell 9 percent last year to its lowest since 2011, and its return on equity remains below the 10 percent investors generally expect. Investment banking had a rough year, hurt by a near-empty calendar for initial public offerings, and a broad slowdown in M&A activity.
 
The top 10 Wall Street firms have cut the number of client-facing investment bankers they employ by 15 percent since 2010, according to research firm Coalition.
 
Advances in technology could thin the ranks of low-level staff at Goldman as much as 10 percent in the next few years, people familiar with the matter said. Kognetics, a software company that uses artificial intelligence to assist investment bankers, says about a quarter of their routine can be automated.
 
Goldman's strats recently launched "Sellside," an application that allows junior bankers to quickly compile deal information, such as when bids from different buyers arrive. They have also made it possible for senior bankers to check deals remotely while traveling, instead of calling analysts for updates.
 
As certain tasks get automated, it could become harder for junior bankers to learn the basics of their job and advance to more senior positions, said Jeanne Branthover, managing partner at executive search firm DHR International.
 
"The pipeline of talent will dwindle," she said.
 
But Goldman executives involved in the technology push say their goal is to makes junior staff more efficient and call concerns about job losses overblown. Expanding strats' roles is necessary to stay competitive, they say.
 
Goldman's deputy finance chief, Marty Chavez, has been telling people worried about their jobs to learn skills that cannot be replicated by a computer. At a Harvard event last month, Chavez said some investment banking tasks were "begging to be automated," according to an MIT Technology Review report.
 
Chavez, a computer scientist who made his name leading teams of strats, is now considered a contender to eventually succeed Chief Executive Lloyd Blankfein.
 
Blankfein himself likes to say Goldman is more of a technology firm than a financial one, even though dealmakers and traders have led the bank for its entire 148-year history.
 
Executives also note that programmers have been helping investment banking for over a decade, the cooperation has just intensified lately. They also point out that Goldman has thousands of investment bankers around the globe, compared with just 75 programmers inside the division.
 
"No CEO is going to just use a computer to decide what company they're going to merge with," said one. "The nature of an M&A transaction is much more intimate than that."
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Inflation picks up to multi-year highs in China as central bank eyes tighter policy www.reuters.com

 
China's producer price inflation picked up more than expected in January to near six-year highs as prices of steel and other raw materials extended a torrid rally, adding to views that global manufacturing activity is building momentum.
 
China consumer inflation also rose more than expected to near three-year highs, data showed on Tuesday.
 
Much of the pick up in consumer prices was likely due to higher food and transportation prices heading into the long Lunar New Year holiday, the National Bureau of Statistics said.
 
But mounting price pressures in China and many other developed economies have sparked talk of tighter monetary policy this year, after years of super-loose settings aimed at reviving economic growth.
 
China's central bank raised short-term interest rates in recent weeks as it looks to contain financial risks from an explosive growth in debt.
 
Consumer inflation quickened to 2.5 percent in January from a year earlier, the highest since May 2014 and just above market expectations.
 
Analysts polled by Reuters had predicted the consumer price index (CPI) would rise 2.4 percent, versus a 2.1 percent gain in December.
 
Food prices, the biggest component of CPI, rose by 2.7 percent in January from a 2.5 percent rise in December. Transportation and communication costs rose 2.3 percent, up from a 0.9 percent gain in December.
 
Producer price inflation accelerated to 6.9 percent, from December's rise of 5.5 percent.
 
The producer price index (PPI) rose the fastest since August 2011, driven by a 31.0 percent increase in mining costs as coal prices rise, the biggest jump in that category since early 2010.
 
Trump expects only 'tweaking' of trade relationship with Canada
The market had expected producer prices to rise 6.3 percent on an annual basis.
 
China's massive imports of coal, crude oil, iron ore and industrial materials have helped fuel a sharp rebound in global resources prices in recent months, boosting profits for producers and processors.
 
Iron ore futures in China rallied to the highest in more than three years on Monday, while London copper futures hit 20-month highs.
 
Price gains in China have been further amplified by government efforts to reduce overcapacity in some industrial sectors.
 
But heady increases in China's commodity futures market, especially for iron ore, metal reinforcing bars and coking coal used in steel production, have added to worries about speculative price bubbles.
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Finland inks $266 million deal to revitalize Europe's largest nickel mine www.mining.com

 
A large but troubled nickel mine in Finland may be back on the road to profitability thanks to a recent deal that saw commodities trader Trafigura take a 15.5 percent stake.
 
The Terrafame mine in northern Finland has been operated by the state since 2014, after its former operator Talvivaara Sotkamo went bankrupt following years of losses and production problems. Talvivaara also had to deal with a major environmental and public relations disaster in 2012 when the mine leaked wastewater, spilling toxic levels of nickel, cadmium, uranium, aluminium and zinc into nearby lakes and rivers.
 
The Finnish government planned to close what was once the European Union's biggest nickel mine, but changed its mind in November. Instead, the government provided 100 million euros to Terrafame, citing rising nickel and zinc prices and state-controlled Terrafame Ltd's efforts to put the business back on track, according to a story in Digital Journal.
 
Now the mine has been given an even bigger vote of confidence, with Trafigura – which describes itself as one of the world’s leading commodity trading and logistics houses – paying 250 million euros (US$266 million) for a 15.5% stake to help complete a planned ramp-up in production. Last year the mine produced 22,575 tonnes of zinc and 9,554 tonnes of nickel.
 
The cash will be issued through Trafigura's Galena fund; the company will also finance a new loan as part of the deal.
 
Trafigura also agreed to purchase all of the mine's nickel-cobalt sulphide precipitates and 80% of its zinc sulphide precipitates during the next seven years.
 
Ore at the mine is processed through a bioheapleaching process said to be cleaner and more energy-efficient. It uses natural bacteria to leach sulphide minerals.
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