Japan: Nissan to resume production at 5 plants Monday

TOKYO: Nissan Motor said it will resume limited operations at five of its plants in Japan on Monday, with vehicle production expected to start later in the week.

Japan is reeling from a humanitarian and nuclear crisis after a massive earthquake and tsunami. The country is a key supplier to the global auto and technology industries.

Nissan said in a statement it would resume production of repair parts and parts for overseas manufacturing at its Oppama, Tochigi, Yokohama, Kyushu and Nissan Shatai plants.

Vehicle production is planned to start on Thursday and will continue while supplies last, it said.

Restoration of its Iwaki engine plant, in northern Japan, is expected to take longer than the other plants, it said.

Nissan makes about 22 percent of its vehicles in Japan. Goldman Sachs has estimated the profit impact for stopping production to be about 2 billion yen a day for Nissan.

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Japan: Nissan to resume production at 5 plants Monday

TOKYO: Nissan Motor said it will resume limited operations at five of its plants in Japan on Monday, with vehicle production expected to start later in the week.

Japan is reeling from a humanitarian and nuclear crisis after a massive earthquake and tsunami. The country is a key supplier to the global auto and technology industries.

Nissan said in a statement it would resume production of repair parts and parts for overseas manufacturing at its Oppama, Tochigi, Yokohama, Kyushu and Nissan Shatai plants.

Vehicle production is planned to start on Thursday and will continue while supplies last, it said.

Restoration of its Iwaki engine plant, in northern Japan, is expected to take longer than the other plants, it said.

Nissan makes about 22 percent of its vehicles in Japan. Goldman Sachs has estimated the profit impact for stopping production to be about 2 billion yen a day for Nissan.

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Nokia Siemens to run Vodacom Tanzania network

HELSINKI: Nokia Siemens Networks has won a 5-year order to manage telecom network of Vodacom Tanzania, the two companies said on Wednesday.

Financial details of the deal were not disclosed, but the companies said they aimed reduce operating costs, improve efficiency, save energy and offer competitive tariffs to customers of Vodacom Tanzania. As part of the agreement, 124 Vodacom Tanzania employees will transfer to Nokia Siemens Networks, they said.

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Nokia Siemens to run Vodacom Tanzania network

HELSINKI: Nokia Siemens Networks has won a 5-year order to manage telecom network of Vodacom Tanzania, the two companies said on Wednesday.

Financial details of the deal were not disclosed, but the companies said they aimed reduce operating costs, improve efficiency, save energy and offer competitive tariffs to customers of Vodacom Tanzania. As part of the agreement, 124 Vodacom Tanzania employees will transfer to Nokia Siemens Networks, they said.

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Infosys calls back all employees based in Japan

NEW DELHI: Infosys on Tuesday called back all its employees based in Japan. Infosys has around 350 employees working in various projects in Japan.

Mohandas Pai, Director Human Resources, Infosys, said: "All employees will return back to India in the next 1-2 days."

However, Pai said all Infosys employees are safe in Japan. Infosys has an office in Tokyo and has several employees in Fukuoka and Nagoya cities. The company began its Japanese operations in 1996 and opened its office in Tokyo in 1997.

Infosys spokesperson on Monday said that local teams in these cities are making arrangements to support the employees' requirements.

"Some of them have returned, some are in the process of coming back," S. Gopalakrishnan told Reuters. "The revenue from Japan is very small and overall it will have a minimal impact on business."

A massive earthquake hit Japan followed by a devastating tsunami on March 11, leaving thousands of people dead or unaccounted for, as houses were swept away, ships were overturned, vehicles and several buildings, including a petrochemical plant, were set on fire.

The country is now facing a radiation scare with a hydrogen explosion occurring at the quake-hit Fukushima nuclear plant .

Pai said that Japan will take atleast 1-2 years to come back to normal. According to the software industry body NASSCOM, Japan accounts for about two per cent of the IT-BPO industry revenues.

Rivals TCS and Wipro had yesterday said that all their employees were safe in Japan. iGate, which has an office in Yokohama and an overall employee base of over 100 in Japan said, "No one was injured and it was business as usual for all the employees in Japan."

Several embassies advised staff and citizens to leave affected areas, tourists cut short vacations and multinational companies either urged staff to leave or said they were considering plans to move outside Tokyo where low levels of radiation have been detected.

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Infosys calls back all employees based in Japan

NEW DELHI: Infosys on Tuesday called back all its employees based in Japan. Infosys has around 350 employees working in various projects in Japan.

Mohandas Pai, Director Human Resources, Infosys, said: "All employees will return back to India in the next 1-2 days."

However, Pai said all Infosys employees are safe in Japan. Infosys has an office in Tokyo and has several employees in Fukuoka and Nagoya cities. The company began its Japanese operations in 1996 and opened its office in Tokyo in 1997.

Infosys spokesperson on Monday said that local teams in these cities are making arrangements to support the employees' requirements.

"Some of them have returned, some are in the process of coming back," S. Gopalakrishnan told Reuters. "The revenue from Japan is very small and overall it will have a minimal impact on business."

A massive earthquake hit Japan followed by a devastating tsunami on March 11, leaving thousands of people dead or unaccounted for, as houses were swept away, ships were overturned, vehicles and several buildings, including a petrochemical plant, were set on fire.

The country is now facing a radiation scare with a hydrogen explosion occurring at the quake-hit Fukushima nuclear plant .

Pai said that Japan will take atleast 1-2 years to come back to normal. According to the software industry body NASSCOM, Japan accounts for about two per cent of the IT-BPO industry revenues.

Rivals TCS and Wipro had yesterday said that all their employees were safe in Japan. iGate, which has an office in Yokohama and an overall employee base of over 100 in Japan said, "No one was injured and it was business as usual for all the employees in Japan."

Several embassies advised staff and citizens to leave affected areas, tourists cut short vacations and multinational companies either urged staff to leave or said they were considering plans to move outside Tokyo where low levels of radiation have been detected.

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Fukushima nuclear blast

The No 3 nuclear reactor of the Fukushima Daiichi nuclear plant is seen burning after a blast following an earthquake and tsunami in this handout satellite image taken March 14, 2011. The Fukushima nuclear complex, 240 km (150 miles) north of Tokyo, has already seen explosions at two of its reactors on Saturday (reactor No.1) and on Monday (reactor No.3), which sent a huge plume of smoke billowing above the plant, just days after a devastating earthquake and tsunami that killed at least 10,000 people. Reactors No.1 to No.4 can be seen from bottom to top

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Fukushima nuclear blast

The No 3 nuclear reactor of the Fukushima Daiichi nuclear plant is seen burning after a blast following an earthquake and tsunami in this handout satellite image taken March 14, 2011. The Fukushima nuclear complex, 240 km (150 miles) north of Tokyo, has already seen explosions at two of its reactors on Saturday (reactor No.1) and on Monday (reactor No.3), which sent a huge plume of smoke billowing above the plant, just days after a devastating earthquake and tsunami that killed at least 10,000 people. Reactors No.1 to No.4 can be seen from bottom to top

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Over 60 CEOs of US IT companies visit Washington to lobby for H1B visa, tax reforms

WASHINGTON: More than 60 CEOs from Silicon Valley have descended on Washington to meet lawmakers and members of the Obama Administration and apprise them on issues facing the technology sector, in particular H-1B visa and tax reforms.

TechNet, a bipartisan policy and political network of CEOs for promoting the growth of the innovation economy, said in a statement that it supports a complete overhaul of the nation's highly skilled immigration system to better reflect the realities of today's global economy.

This could be achieved "by increasing the number of H-1B visas available to foreign-born workers, speeding up the employment-based green card application process and ensuring that foreign-born students who graduate with advanced degrees from US colleges and universities are able to stay in the country instead of sending home to US competitors," it said.

The TechNet executives are meeting with senior Obama Administration officials and an array of bipartisan Congressional leaders to advocate for a robust innovation policy agenda comprising three critical areas: improving the nation's education system and human capital support; fostering a globally competitive business climate, including comprehensive tax reform; and driving investment for clean technology and 21st century energy solutions.

"To win the future, America must invest in innovation and the future discoveries that will create good paying jobs for more of our people," said TechNet President and CEO Rey Ramsey.

"To reach this goal, we must make the smart policy choices on R&D, education, comprehensive tax reform, high skilled immigration and protecting intellectual property. These are fundamental kitchen table issues that will help grow jobs here in America. Our message to our policy leaders is that we will work with you to ensure that America remains the world's center of innovation and economic growth," he said.

TechNet said it is committed to advancing US competitiveness, economic growth and job creation.

"Public policies and private sector initiatives that spur our nation's innovation-driven economy are essential to the nation's economic recovery. By focusing our activities on a few key issues, TechNet maximises its impact on those public policy issues most affecting the national economy," it said.

TechNet said it supports greater market access through the adoption of foreign trade agreements still pending before Congress and working with the US government to identify new market opportunities and protect companies from unfair trade practices.

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Over 60 CEOs of US IT companies visit Washington to lobby for H1B visa, tax reforms

WASHINGTON: More than 60 CEOs from Silicon Valley have descended on Washington to meet lawmakers and members of the Obama Administration and apprise them on issues facing the technology sector, in particular H-1B visa and tax reforms.

TechNet, a bipartisan policy and political network of CEOs for promoting the growth of the innovation economy, said in a statement that it supports a complete overhaul of the nation's highly skilled immigration system to better reflect the realities of today's global economy.

This could be achieved "by increasing the number of H-1B visas available to foreign-born workers, speeding up the employment-based green card application process and ensuring that foreign-born students who graduate with advanced degrees from US colleges and universities are able to stay in the country instead of sending home to US competitors," it said.

The TechNet executives are meeting with senior Obama Administration officials and an array of bipartisan Congressional leaders to advocate for a robust innovation policy agenda comprising three critical areas: improving the nation's education system and human capital support; fostering a globally competitive business climate, including comprehensive tax reform; and driving investment for clean technology and 21st century energy solutions.

"To win the future, America must invest in innovation and the future discoveries that will create good paying jobs for more of our people," said TechNet President and CEO Rey Ramsey.

"To reach this goal, we must make the smart policy choices on R&D, education, comprehensive tax reform, high skilled immigration and protecting intellectual property. These are fundamental kitchen table issues that will help grow jobs here in America. Our message to our policy leaders is that we will work with you to ensure that America remains the world's center of innovation and economic growth," he said.

TechNet said it is committed to advancing US competitiveness, economic growth and job creation.

"Public policies and private sector initiatives that spur our nation's innovation-driven economy are essential to the nation's economic recovery. By focusing our activities on a few key issues, TechNet maximises its impact on those public policy issues most affecting the national economy," it said.

TechNet said it supports greater market access through the adoption of foreign trade agreements still pending before Congress and working with the US government to identify new market opportunities and protect companies from unfair trade practices.

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France becomes first country to recognise Libyan rebels

Paris: Moving ahead of its allies, France on Thursday became the first country to recognise Libya's rebel leadership in the eastern city of Benghazi and said it would soon exchange ambassadors with the insurgents.

The move was a victory for the Libyan National Council in its quest for recognition and a setback for Col. Moammar el-Gaddafi who has been seeking whatever international support he can as NATO members in Brussels began a debate about the possible imposition of a no-flight zone over Libya.

The French announcement came as loyalist forces in Libya claimed new successes against the rebels west of the capital in the town of Zawiyah, while, to the east, loyalist forces renewed ferocious assaults on the key oil town of Ras Lanuf.

President Nicolas Sarkozy met in Paris on Thursday with Mahmoud Jibril and Ali Al-Esawi, representatives of the Libyan National Council that was set up after the uprising in Libya erupted in February. He was the first head of state to meet with insurgent leaders.

Soon afterward, a French announcement said France recognised the council as the sole legitimate representative of the Libyan people. News reports said that, in response, Libya would break diplomatic relations with France.

The move puts France ahead of other European powers that have been seeking ways of supporting the rebels in their goal of toppling Colonel Gaddafi. Normally, European Union countries say they recognise states, not governments, but the European Parliament has advocated recognition of the rebel leadership in Benghazi.

France has also set itself apart from some other nations, including the United States, by insisting that any military support for the rebels be authorized by the United Nations Security Council, but not carried out by NATO, since the alliance has an aggressive image in the Arab world. Washington favors using NATO. While he was out of government, Alain Juppé, the new French foreign minister, opposed France resuming full membership in NATO.

France's aggressive diplomatic stance is seen as a way of showing commitment to the popular uprisings and democratic changes in the Middle East and North Africa, after Mr. Sarkozy admitted that Paris was slow to recognise the strength of the revolutionary movements in Tunisia, a former French protectorate, and Egypt.

The British and German governments both indicated on Thursday that their practice was to recognise only states, but British authorities called the rebels "valid interlocutors with whom we wish to work closely."

In a highly embarrassing incident last weekend, Britain sent a small contingent of diplomats and special forces to try to make contact with the rebels in Benghazi, but they were arrested and later withdrew aboard a British warship sent to pick them up.

For its part, Germany on Thursday ordered the freezing of Libyan assets, which the finance ministry in Berlin said were worth "billions." Rainer Brüderle, the German finance minister, said the decision would affect about 193 accounts held at 14 financial institutions in Germany.

In Brussels, NATO officials said on Thursday that the alliance has started 24-hour surveillance of Libyan airspace where Colonel Gaddafi has deployed warplanes against rebels trying to advance westward toward loyalist strongholds along the shores of the Gulf of Sirte.

But it was unclear what further steps NATO would end up taking, if any. The alliance's secretary general, Anders Fogh Rasmussen, told reporters that NATO was considering a "range of options," including humanitarian help, but that any move would be governed by three principles: that there was "demonstrable need," a "clear legal basis" and "firm regional support."

The Libyan National Council has been pressing for foreign aid amid divisions over the extent of external intervention in a revolt that rebel leaders want to preserve as a home-grown phenomenon. The insurgents have acknowledged being overwhelmed by the myriad tasks and challenges facing them.

"We've found ourselves in a vacuum," Mustafa Gheriani, an acting spokesman for the provisional leadership, said Tuesday in Benghazi. "Instead of worrying about establishing a transitional government, all we worry about are the need - security, what people require, where the uprising is going. Things are moving too fast."

In the evolving diplomacy surrounding the conflict, Colonel Gaddafi has sent envoys across Europe and, according to some reports, Latin America and Africa, in many cases to argue against international intervention.

On Wednesday, emissaries were reported to have visited Egypt, Greece, Portugal, Malta and Brussels, where European Union foreign ministers were meeting Thursday to discuss Libya.

Greece confirmed that the colonel himself had spoken with Prime Minister George A. Papandreou and a government statement in South Africa said that he had spoken by telephone with President Jacob Zuma.

South Africa's international relations minister, Maite Nkoana-Mashabane, said on Thursday that Mr. Zuma told Colonel Gaddafi that South Africa "abhors the heinous human rights violations against his own people."

"We took advantage through our president to tell him this has to stop with immediate effect," the South African Press Association news agency reported.

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France becomes first country to recognise Libyan rebels

Paris: Moving ahead of its allies, France on Thursday became the first country to recognise Libya's rebel leadership in the eastern city of Benghazi and said it would soon exchange ambassadors with the insurgents.

The move was a victory for the Libyan National Council in its quest for recognition and a setback for Col. Moammar el-Gaddafi who has been seeking whatever international support he can as NATO members in Brussels began a debate about the possible imposition of a no-flight zone over Libya.

The French announcement came as loyalist forces in Libya claimed new successes against the rebels west of the capital in the town of Zawiyah, while, to the east, loyalist forces renewed ferocious assaults on the key oil town of Ras Lanuf.

President Nicolas Sarkozy met in Paris on Thursday with Mahmoud Jibril and Ali Al-Esawi, representatives of the Libyan National Council that was set up after the uprising in Libya erupted in February. He was the first head of state to meet with insurgent leaders.

Soon afterward, a French announcement said France recognised the council as the sole legitimate representative of the Libyan people. News reports said that, in response, Libya would break diplomatic relations with France.

The move puts France ahead of other European powers that have been seeking ways of supporting the rebels in their goal of toppling Colonel Gaddafi. Normally, European Union countries say they recognise states, not governments, but the European Parliament has advocated recognition of the rebel leadership in Benghazi.

France has also set itself apart from some other nations, including the United States, by insisting that any military support for the rebels be authorized by the United Nations Security Council, but not carried out by NATO, since the alliance has an aggressive image in the Arab world. Washington favors using NATO. While he was out of government, Alain Juppé, the new French foreign minister, opposed France resuming full membership in NATO.

France's aggressive diplomatic stance is seen as a way of showing commitment to the popular uprisings and democratic changes in the Middle East and North Africa, after Mr. Sarkozy admitted that Paris was slow to recognise the strength of the revolutionary movements in Tunisia, a former French protectorate, and Egypt.

The British and German governments both indicated on Thursday that their practice was to recognise only states, but British authorities called the rebels "valid interlocutors with whom we wish to work closely."

In a highly embarrassing incident last weekend, Britain sent a small contingent of diplomats and special forces to try to make contact with the rebels in Benghazi, but they were arrested and later withdrew aboard a British warship sent to pick them up.

For its part, Germany on Thursday ordered the freezing of Libyan assets, which the finance ministry in Berlin said were worth "billions." Rainer Brüderle, the German finance minister, said the decision would affect about 193 accounts held at 14 financial institutions in Germany.

In Brussels, NATO officials said on Thursday that the alliance has started 24-hour surveillance of Libyan airspace where Colonel Gaddafi has deployed warplanes against rebels trying to advance westward toward loyalist strongholds along the shores of the Gulf of Sirte.

But it was unclear what further steps NATO would end up taking, if any. The alliance's secretary general, Anders Fogh Rasmussen, told reporters that NATO was considering a "range of options," including humanitarian help, but that any move would be governed by three principles: that there was "demonstrable need," a "clear legal basis" and "firm regional support."

The Libyan National Council has been pressing for foreign aid amid divisions over the extent of external intervention in a revolt that rebel leaders want to preserve as a home-grown phenomenon. The insurgents have acknowledged being overwhelmed by the myriad tasks and challenges facing them.

"We've found ourselves in a vacuum," Mustafa Gheriani, an acting spokesman for the provisional leadership, said Tuesday in Benghazi. "Instead of worrying about establishing a transitional government, all we worry about are the need - security, what people require, where the uprising is going. Things are moving too fast."

In the evolving diplomacy surrounding the conflict, Colonel Gaddafi has sent envoys across Europe and, according to some reports, Latin America and Africa, in many cases to argue against international intervention.

On Wednesday, emissaries were reported to have visited Egypt, Greece, Portugal, Malta and Brussels, where European Union foreign ministers were meeting Thursday to discuss Libya.

Greece confirmed that the colonel himself had spoken with Prime Minister George A. Papandreou and a government statement in South Africa said that he had spoken by telephone with President Jacob Zuma.

South Africa's international relations minister, Maite Nkoana-Mashabane, said on Thursday that Mr. Zuma told Colonel Gaddafi that South Africa "abhors the heinous human rights violations against his own people."

"We took advantage through our president to tell him this has to stop with immediate effect," the South African Press Association news agency reported.

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New investment values Facebook at $65 bn

Investment firm General Atlantic is expected to buy a 0.1 per cent stake in Facebook , an investment which will value the social networking site at USD 65 billion.

The General Atlantic investment involves the purchase of a block of roughly 2.5 million shares of stock from former Facebook employees, a CNBC report said.

The deal will give the investment firm a 0.1 per cent stake in Facebook.

While the deal between General Atlantic and the selling shareholders has been agreed to, it requires the approval of Facebook and so has not yet been closed, the report said.

The last major investment in Facebook, made in January this year, had valued the company at USD 50 billion .

The California-based company had said it raised USD 1.5 billion in a financing round led by Goldman Sachs and Digital Sky Technologies.

The latest investment in Facebook, which values the company at USD 65 billion, means that the social networking site's value has grown by another 30 per cent in less than two months.

General Atlantic mostly makes investments of USD 50 million to USD 500 million in private and public companies.

Founded in 1980, the firm has USD 17 billion in capital under management.

Companies in the firm's investment portfolio include luxury goods seller Gilt Groupe and software company Kaspersky Lab.

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New investment values Facebook at $65 bn

Investment firm General Atlantic is expected to buy a 0.1 per cent stake in Facebook , an investment which will value the social networking site at USD 65 billion.

The General Atlantic investment involves the purchase of a block of roughly 2.5 million shares of stock from former Facebook employees, a CNBC report said.

The deal will give the investment firm a 0.1 per cent stake in Facebook.

While the deal between General Atlantic and the selling shareholders has been agreed to, it requires the approval of Facebook and so has not yet been closed, the report said.

The last major investment in Facebook, made in January this year, had valued the company at USD 50 billion .

The California-based company had said it raised USD 1.5 billion in a financing round led by Goldman Sachs and Digital Sky Technologies.

The latest investment in Facebook, which values the company at USD 65 billion, means that the social networking site's value has grown by another 30 per cent in less than two months.

General Atlantic mostly makes investments of USD 50 million to USD 500 million in private and public companies.

Founded in 1980, the firm has USD 17 billion in capital under management.

Companies in the firm's investment portfolio include luxury goods seller Gilt Groupe and software company Kaspersky Lab.

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Gold hits record above $1,440 on Libya unrest, oil

Gold touched a record high above $1,440 an ounce on Wednesday, as a bullish confluence of political unrest in Libya, surging oil prices and easy monetary policies spurred safe haven buying.

Gold has rallied 10 percent since late January when tensions first began to flare in the Middle East and Africa. Muammar Gaddafi on Wednesday launched a land and air offensive to retake territory from rebels in Libya's eastern region, and the possibility of a prolonged civil war fueled bullion demand as a hedge against uncertainty.
"You have political problems all over the world, a Federal Reserve bank that still erred on the side of easing rather than tightening, rising commodities prices in general, and growing disdain for fiat currencies generally," said Dennis Gartman, author of the Gartman Letter, an daily investment newsletter.

"It will be illogical for gold not to be going higher," he said.
Spot gold hit a session peak $1,440.10 an ounce, a record for the second straight day. It later eased about $1 to $1,432.55 an ounce by 2:29 p.m. EST (1929 GMT). The metal was fixed at $1,435.50 an ounce in London.
U.S. gold futures for April delivery settled up $6.50 at $1,437.70.

Gold is building on a 6 percent rise in February, its biggest one-month climb since August, triggered by unrest across the Arab world which unseated leaders in Tunisia and Egypt before spreading to Libya, Bahrain, Yemen, Oman and Iran.
Two U.S. warships were passing through the Suez Canal, heading for the waters off Libya to pressure the country's ruler to step down.
Meanwhile, two Iranian naval ships, whose passage through the Suez Canal to the Mediterranean last month was described by Israel as a "provocation", will return via the canal to the Red Sea on Thursday.
At a meeting of Arab foreign ministers in Cairo on Wednesday, Iraqi Foreign Minister Hoshiyar Zebari said the Libya crisis is an internal Arab affair and foreign powers should refrain from any intervention.

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Gold hits record above $1,440 on Libya unrest, oil

Gold touched a record high above $1,440 an ounce on Wednesday, as a bullish confluence of political unrest in Libya, surging oil prices and easy monetary policies spurred safe haven buying.

Gold has rallied 10 percent since late January when tensions first began to flare in the Middle East and Africa. Muammar Gaddafi on Wednesday launched a land and air offensive to retake territory from rebels in Libya's eastern region, and the possibility of a prolonged civil war fueled bullion demand as a hedge against uncertainty.
"You have political problems all over the world, a Federal Reserve bank that still erred on the side of easing rather than tightening, rising commodities prices in general, and growing disdain for fiat currencies generally," said Dennis Gartman, author of the Gartman Letter, an daily investment newsletter.

"It will be illogical for gold not to be going higher," he said.
Spot gold hit a session peak $1,440.10 an ounce, a record for the second straight day. It later eased about $1 to $1,432.55 an ounce by 2:29 p.m. EST (1929 GMT). The metal was fixed at $1,435.50 an ounce in London.
U.S. gold futures for April delivery settled up $6.50 at $1,437.70.

Gold is building on a 6 percent rise in February, its biggest one-month climb since August, triggered by unrest across the Arab world which unseated leaders in Tunisia and Egypt before spreading to Libya, Bahrain, Yemen, Oman and Iran.
Two U.S. warships were passing through the Suez Canal, heading for the waters off Libya to pressure the country's ruler to step down.
Meanwhile, two Iranian naval ships, whose passage through the Suez Canal to the Mediterranean last month was described by Israel as a "provocation", will return via the canal to the Red Sea on Thursday.
At a meeting of Arab foreign ministers in Cairo on Wednesday, Iraqi Foreign Minister Hoshiyar Zebari said the Libya crisis is an internal Arab affair and foreign powers should refrain from any intervention.

Read More

Why natural resources give Canada a key advantage

The Canadian economy is doing better than the US economy. Fourth quarter 2010 real GDP expanded at an annualized rate of 3.3 percent, compared to 2.8 percent for the US

The unemployment rate is 7.8 percent compared to 9.8 percent for the US. Moreover, the budget deficit relative to GDP is lower compared to the US.

What's the secret to Canada's success?

One major factor is natural resources.

In the fourth quarter of 2010, exports, up 4 percent quarte- on-quarter, drove the growth. The exports of energy surged 17 percent to lead the way.

Canada is similar to the US in many ways. It's mostly a services-based economy and is a major global manufacturer.

Domestic consumer demand for services has been weak in the aftermath of the global financial crisis. But corporate demand globally and demand from emerging market economies have been strong -- and Canada and the US's manufacturing sector has benefited from this growth.

Where the two economies differ is natural resource , which has been enjoying a healthy demand from both developed and developing countries. In this area, Canada has received a sizable boost since the global recovery began.

In effect, the Canadian economy, unlike its US counterpart,doesn't need the consumer to jumpstart the recovery. It can latch onto the global recovery, give consumers more wealth, allow them to deleverage, and wait for domestic consumer spending to catch up.

The US, whose economy is largely based on consumer spending, does not have this luxury; it needs consumer spending to lead the way. If not, it will have to grind out a slow recovery and/or resort to fiscal stimulus.

When the fourth quarter Canadian GDP data was released at 8:30 a.m. Eastern Time, the Canadian dollar turned sharply higher against the US dollar. As of 6:30 p.m. Eastern Time, it has gained over 2 percent against the US dollar, which is a huge move in the currencies market.

For a while, as oil prices surged in response to the Middle East unrest, the Canadian dollar did not perform as well as one might expect. It's possible that traders were waiting for this GDP report to turn bullish on the Canadian dollar.

Once it confirmed what they suspected -- which is that the Canadian economy benefit greatly from oil -- they pulled the trigger.

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Why natural resources give Canada a key advantage

The Canadian economy is doing better than the US economy. Fourth quarter 2010 real GDP expanded at an annualized rate of 3.3 percent, compared to 2.8 percent for the US

The unemployment rate is 7.8 percent compared to 9.8 percent for the US. Moreover, the budget deficit relative to GDP is lower compared to the US.

What's the secret to Canada's success?

One major factor is natural resources.

In the fourth quarter of 2010, exports, up 4 percent quarte- on-quarter, drove the growth. The exports of energy surged 17 percent to lead the way.

Canada is similar to the US in many ways. It's mostly a services-based economy and is a major global manufacturer.

Domestic consumer demand for services has been weak in the aftermath of the global financial crisis. But corporate demand globally and demand from emerging market economies have been strong -- and Canada and the US's manufacturing sector has benefited from this growth.

Where the two economies differ is natural resource , which has been enjoying a healthy demand from both developed and developing countries. In this area, Canada has received a sizable boost since the global recovery began.

In effect, the Canadian economy, unlike its US counterpart,doesn't need the consumer to jumpstart the recovery. It can latch onto the global recovery, give consumers more wealth, allow them to deleverage, and wait for domestic consumer spending to catch up.

The US, whose economy is largely based on consumer spending, does not have this luxury; it needs consumer spending to lead the way. If not, it will have to grind out a slow recovery and/or resort to fiscal stimulus.

When the fourth quarter Canadian GDP data was released at 8:30 a.m. Eastern Time, the Canadian dollar turned sharply higher against the US dollar. As of 6:30 p.m. Eastern Time, it has gained over 2 percent against the US dollar, which is a huge move in the currencies market.

For a while, as oil prices surged in response to the Middle East unrest, the Canadian dollar did not perform as well as one might expect. It's possible that traders were waiting for this GDP report to turn bullish on the Canadian dollar.

Once it confirmed what they suspected -- which is that the Canadian economy benefit greatly from oil -- they pulled the trigger.

Read More

China's SAIC shares to remain suspended next week

Trading in the shares of SAIC Motor Corp, China's top car maker, will remain suspended for another five working days from Monday, the company said in a filing with the Shanghai Stock Exchange on Friday.

Trading in SAIC Motor has been halted since Feb. 14 after its holding company, state-owned SAIC Group, said it was working on a major plan involving SAIC

SAIC Motor manufactures Buick, Chevrolet, Cadillac and Volkswagen brands in China through tie-ups with General Motors (GM.N) and VW (VOWG.DE).

Chinese media reported a week ago that SAIC Group plans to inject additional assets into its listed subsidiaries as it finalises its move to float all of its auto-related operations.

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China's SAIC shares to remain suspended next week

Trading in the shares of SAIC Motor Corp, China's top car maker, will remain suspended for another five working days from Monday, the company said in a filing with the Shanghai Stock Exchange on Friday.

Trading in SAIC Motor has been halted since Feb. 14 after its holding company, state-owned SAIC Group, said it was working on a major plan involving SAIC

SAIC Motor manufactures Buick, Chevrolet, Cadillac and Volkswagen brands in China through tie-ups with General Motors (GM.N) and VW (VOWG.DE).

Chinese media reported a week ago that SAIC Group plans to inject additional assets into its listed subsidiaries as it finalises its move to float all of its auto-related operations.

Most Popular Slideshows

Read More