London bullion body could charge more or disband gold rates
In July, the International Organisation of Securities Commissions (IOSCO) – a global umbrella group for market regulators – detailed a series of principles on financial benchmarks, after the Libor (London Interbank Offered Rate)manipulation scandal. The scandal led Madrid-based IOSCO to study how Libor, which was rigged by British banks, including Barclays (BARC.L), and other money market benchmarks should be supervised and how they are set, to restore market confidence. Libor is the estimated interest rate set daily by leading London banks at which they would be charged when borrowing from other banks. The GOFO rate is the gold equivalent to Libor, at which dealers will lend gold on swap against U.S. dollars. “Going forward, the GOFO service has to conform to some principles, therefore we have to look at how the data is collected, how it’s recorded, who is administrating it,” LBMA Chairman David Gornall told Reuters in an interview. “And we could either charge member banks more money or if the market decides that they don’t need to spend more money on regulatory affairs (because) as they already pay someone to do that… then the GOFO might not exist.” Gornall added that the alternative for the LBMA would be to carry on with the Good Delivery List, the Responsible Gold Guidance on ethical gold production, refining and assaying, the annual conference, publishing the dedicated quarterly journal the Alchemist but not the regulatory side. The Good Delivery rules specify the physical characteristics of bars used in settlement in the wholesale London bullion market. PRICE ENVIRONMENT Gold prices have fallen by a fifth this year, hurt by speculation that the U.S. Federal Reserve is set to rein in its bullion-friendly quantitative easing (QE) policy, a major driver of the record-high prices seen in recent years. QE put pressure on long-term interest rates, keeping the opportunity cost of holding non-yielding gold at rock bottom, while stoking fears of rampant inflation in the years to come. Gold dropped $200 an ounce in two days in April in its sharpest slide in 30 years, and investors started to divest gold as a result, unwinding nearly 700 tonnes of ETF holdings so far, while central bank buying more than halved. The halt in the gold price upward trajectory could have an impact on the decision that LBMA member banks have on the GOFO services, Gornall said.
capitals Heathrow airport, the busiest in Europe , would lead to colossal road congestion and overcrowding on trains. The mayors comments, in a submission to the government-appointed panel thats examining how to expand airport capacity in southeast England, are intended to support his case for a new hub to the east or north of the capital. The people who run Heathrow are greatly underestimating the effect of a third runway on the local transport network, Johnson said. They appear to be completely unconcerned about having cooked up a recipe for colossal levels of congestion that sentencetheir passengers and Londoners to years of misery. An extra runway at the existing airport would lead to more than 25 million additional road journeys a year, the mayor said in an e-mailed statement. That would require extra lanes on the M4 highway leading west out of London , while the M25 orbital motorway would need to be rerouted and put in a tunnel under the new landing strip. Including other road works, the cost might rise to 12 billion pounds ($19 billion), according to Johnson. New rail infrastructure might cost 10 billion pounds, he said. Johnson has said Heathrow should be replaced by one of two undeveloped sites in the Thames estuary or by an expanded Stansted airport, 35 miles (55 kilometers) northeast of London. The state-appointed Davies Commission on how to expand airport capacity is due to issue its final recommendation after the 2015 general election. To contact the reporters on this story: Eddie Buckle in Manchester, England , at firstname.lastname@example.org To contact the editor responsible for this story: James Hertling at email@example.com More News:
Landmark GBP25 million Gift for London Business School’s Old Marylebone Town Hall
Jiffy Lube? We have them in America where you get your oil changed.” It all came after multiple Steelers players followed the lead of Vikings end Jared Allen and balked at the idea of playing full-time in London if the NFL ever puts a team here. “I wouldn’t like it,” quarterback Ben Roethlisberger said. “I just, I wouldn’t. It’d be really tough.” Said linebacker LaMarr Woodley, “It’d be rough. Luckily, I’m in Pittsburgh, so I don’t have to worry about that.” Tomlin said he hasn’t considered the idea because “(i)t doesn’t involve me.” Told that it might one day, Tomlin responded with a smile, “I doubt it.” Perhaps Taylor could lead the way. He said he’s a fan of soccer (or, as he’d probably say, futbol) and in particular Argentine star Lionel Messi, who plays for FC Barcelona. “Should I be saying that here?” Taylor asked. He hopes to “bring a little London swag back to America” with a shopping trip before kickoff. And Taylor has one other item to check off his list. “I’ll tell you what,” Taylor said. “I would love to meet the Queen the head lady.” PHOTOS: NFL GOES OVERSEAS NFL titans Troy Polamalu (43) of the Pittsburgh Steelers and Adrian Peterson of the Minnesota Vikings met Sept. 29 as the NFL returned to London and Wembley Stadium. The Vikes outlasted the Steelers 34-27, thanks in large part to Peterson’s efforts. Kirby Lee, USA TODAY Sports There were other types of titans overlooking the grounds outside Wembley. Kirby Lee, USA TODAY Sports Minnesota was designated the “home” team, and the Viking theme seemed to resonate with local fans. Kirby Lee, USA TODAY Sports Like the preceding games at Wembley, the Steelers-Vikings contest proved a tough ticket after quickly selling out. Kirby Lee, USA TODAY Sports Naturally, cheerleaders were a big component of the fanfare. Matt Dunham, AP Hand over hearts for the Vikes cheerleaders. Kirby Lee, USA TODAY Sports Gene Simmons, best known as the bassist of rock group KISS, sang the American national anthem. Sang Tan, AP Vikings WR Greg Jennings celebrates a 70-yard TD catch from backup QB Matt Cassel. Matt Dunham, AP Jennings would haul in a 16-yard scoring strike from Cassel later in the day and got mobbed by his teammates as Minnesota’s lead was extended to 34-17. Matt Dunham, AP Cassel ended up with 248 yards and two TD passes in his first-ever start for the Vikes. Julian Finney, Getty Images Steelers rookie RB Le’Veon Bell made his NFL debut in the game and vaulted into the end zone for his first professional TD in the opening quarter.
London Mayor Sees ‘Colossal’ Congestion From New Heathrow Runway
Idan Ofer, whose Quantum Pacific Group spans energy, international shipping, natural resources, oilfield services and automotive industries, is an alumnus and long term supporter of the School, its values and its ethos. Mr Ofer said: “I have enjoyed a long association with the School and believe that it offers something uniquely valuable in the world of business education, combining strong fundamental business and management education with an emphasis on the business community being part of the solution for a better society. “This project is an important step towards ensuring the School can continue to grow and prosper in the future, creating new generations of leaders who can address the challenges of business and wider society. My father Sammy enjoyed learning from others and throughout his career in shipping was known to spend many hours speaking with seamen and officers of vessels, rather than being tucked away in his office. This sense of curiosity resonates strongly with London Business School’s community where students are not just stretched intellectually; they become a part of an ever-expanding international community, learning as much from each other as from the faculty,” he continued. “One of the goals of The Idan and Batia Ofer Foundation is to ensure the next generation of Israeli entrepreneurs is equipped to cope with the challenges of globalisation. London Business School is at the forefront of helping to meet these challenges. The Foundation hopes in this small way to contribute to economic growth in the region, ultimately improving the prospects for peace and stability.” Professor Sir Andrew Likierman, Dean, London Business School, said: “This wonderfully generous gift will enable us to convert this iconic London landmark for use as a state-of-the-art teaching and learning facility. It will provide us with the space we need and enable us to achieve our vision of having a profound impact on the way the world does business.” Today, the School has also announced its first comprehensive fundraising campaign – to raise GBP100 million over the next five years. The School’s campaign is to fund the development of Old Marylebone Town Hall, attract world class faculty, double its scholarships offering, invest in the latest technology, and to develop an unrestricted fund in support of the School’s strategic priorities. The campaign launch will cover six world cities in a three week period, in addition to London. A series of high profile events, chaired by the School’s dean, Professor Sir Andrew Likierman and other prominent faculty and alumni, will set out the School’s vision for the future.