Wednesday, October 7, 2015

Trio wins Nobel Chemistry Prize for DNA repair work

Trio wins Nobel Chemistry Prize for DNA repair work

[STOCKHOLM] Sweden's Tomas Lindahl, Paul Modrich of the US and Aziz Sancar, a Turkish-American, won the 2015 Nobel Chemistry Prize on Wednesday for work on how cells repair damaged DNA.
The three opened a dazzling frontier in medicine by unveiling how the body repairs DNA mutations that can cause sickness and contribute to ageing, the Nobel jury said.
"Their systematic work has made a decisive contribution to the understanding of how the living cell functions, as well as providing knowledge about the molecular causes of several hereditary diseases and about mechanisms behind both cancer development and ageing," the panel said.
DNA - deoxyribonucleic acid - is the chemical code for making and sustaining life.
Cells divide, or replicate, billions of times through our lifetime.
Molecular machines seek to copy the code perfectly, but random slipups in their work can cause the daughter cells to die or malfunction. DNA can also be damaged by strong sunlight and other environmental factors.
But there is a swarm of proteins - a molecular repair kit - designed to monitor the process. It proof-reads the code and repairs damage.
The three were lauded for mapping these processes, starting with Lindahl, who identified so-called repair enzymes - the basics in the toolbox.
Sancar discovered the mechanisms used by cells to fix damage by ultraviolet radiation. Modrich laid bare a complex DNA-mending process called mismatch repair.
"The basic research carried out by the 2015 Nobel laureates in chemistry has not only deepened our knowledge of how we function, but could also lead to the development of lifesaving treatments," the Nobel committee said.
With cells able to repair themselves, one could ponder the dizzying possibility that humans could go on living forever.
"No, I don't believe in eternal life," Lindahl, who is based in Britain, told reporters at the prize announcement, saying winning the prestigious honour was "a surprise".
Other scientists heaped praise on Lindahl for his pioneering work.
They included Britain's prestigious Royal Society, of which he is a fellow, and British biochemist Sir Tim Hunt, who co-won the 2001 Nobel for cell duplication.
"This is wonderful news!" Hunt told the Science Media Centre (SMC) in London. "Tomas was my boss for almost 20 years, a real scientists' scientist... (a) richly-deserved prize." It is the seventh time DNA research has been honoured with a Nobel prize. The first was in 1962, for the discovery of the structure of DNA.
Lindahl, Modrich and Sancar share the prize sum of eight million Swedish kronor (S$1.3 million).
Lindahl, 77, is the emeritus director of Cancer Research UK at Clare Hall Laboratory in Britain.
Modrich, born in 1946, is also a professor of biochemistry, at Duke University in the US.
Sancar, 69, was born one of eight children in the small Turkish town of Savur. He could have become a professional football player - Turkey's national junior team courted him to become their goalkeeper - but he chose to focus on his academic studies instead.
After working as a doctor in the countryside, he resumed his biochemistry studies at the age of 27, and then went to the University of Texas in Dallas.
He is now a professor of biochemistry and biochemics at University of North Carolina in the US.
He told the Nobel Foundation he was stunned by his win.
"I have just gotten a call half an hour ago. My wife took it and woke me up. I wasn't expecting it at all. I was very surprised," he said, adding: "I tried my best to be coherent." The Nobel awards week continues with the announcements for the two most closely-watched prizes: on Thursday the winner of the literature prize will be announced, followed by the peace prize on Friday.
The economics prize will wrap up this year's Nobel season on Monday, October 12.
The laureates will receive their prizes at formal ceremonies in Stockholm and Oslo on December 10, the anniversary of the 1896 death of prize creator Alfred Nobel, a Swedish philanthropist and scientist.
AFP

Moody's maintains US credit rating and stable outlook

Moody's maintains US credit rating and stable outlook

[NEW YORK] Ratings agency Moody's Investors Service upheld the United States' triple-A credit rating and stable outlook on Wednesday, but it noted potential longer-term threats to the rating.
Moody's, which has never changed the United States' triple-A rating, said the rating was supported by factors including a strong record of gross domestic product growth and the status of the US dollar and Treasuries as the global reserve currency and bond market benchmark.
The continued stable outlook signals the rating is not likely to change over the next 12-18 months.
The ratings agency said that a downgrade could occur toward the end of the decade or into the 2020s, however, if fiscal policy remained unchanged and US budget deficits and the debt ratios increase. The agency cited spending on social programs as a concern.
Moody's said the US government's debt to GDP ratio was stabilizing and noted that the United States remained on track to post its sixth straight year of expansion. Moody's also noted that US growth, on a relative basis, compared more favourably with other triple-A rated economies than it did a year ago.
REUTERS

Concern as German industrial output stutters

Concern as German industrial output stutters

[BERLIN] German industrial output unexpectedly slumped in August, the economy ministry said on Wednesday, as Europe's top export power feels the pinch of slowing growth in China and other emerging markets.
Factory production fell 1.2 per cent compared with a month earlier, corrected for seasonal factors and inflation, the ministry calculated.
The decline was much steeper than a 0.1 per cent fall predicted by financial services firm FactSet.
And it did not yet factor in the Volkswagen scandal sparked by news in September the auto giant has cheated on emissions tests in 11 million diesel vehicles, denting the 'Made in Germany' brand.
Manufacturing output dropped 1.1 per cent month-on-month in August - which the ministry blamed in part of the timing of some state school holidays - and construction and energy output also fell.
"The German industry is still struggling to gain momentum," said Carsten Brzeski, chief economist at ING-DiBa.
"The August drop marked the first decline for two consecutive months since the beginning of the year." The data was released a day after news that German industrial orders, a key measure of demand for goods, had declined 1.8 per cent in August, the second monthly fall in a row.
Weakness in domestic demand as well as from outside the eurozone had contributed to the slump, according to the preliminary data released by the federal statistics office Destatis.
Mr Brzeski said although German industrial production has remained flat since late last year, "there is no need to panic".
"Just remember last summer when the German industry went through a similar period of weak data," he wrote in a note.
"In the end, the batch of disappointing data was rather the result of too many Germans enjoying too much vacation than the beginning of a downward trend. Let's hope that history repeats itself." Jennifer McKeown of Capital Economics also said that "looking ahead, there are reasons not to be too pessimistic about German industry".
"August's fall in output partly reflected the timing of summer holidays," she wrote.
"And while the drop in capital goods production may well have related to the slowdown in China, we suspect that this has already passed its worst." However, she added, "the Volkswagen scandal and its effect on the German car industry is a downside risk to growth going forward".
Commerzbank analyst Ralph Solveen agreed that the main reason for the drop in output was "the relatively late timing of the summer holidays in many federal states, which depressed production in the automotive sector especially".
"That said, the production trend has generally been sideways in any case without this effect in past months. Real GDP will probably rise less in the third quarter".
AFP

Tuesday, October 6, 2015

Noble's US metal traders leave in latest senior exits: sources

Noble's US metal traders leave in latest senior exits: sources

[SINGAPORE] Noble Group Ltd's senior US metals traders Scott Evans and Jeff Romanek have left the company, four sources said on Tuesday, the latest in a string of high-profile departures as the Asian commodities trader battles weak metals and oil prices.
The departures come as Asia's biggest commodity trader seeks to shore up its balance sheet and reduce its exposure to capital-intensive operations like trading copper, and returns to its historic roots in aluminum and alumina.
Both traders were hired as part of the company's recent years-long push into copper, zinc, lead and nickel. Mr Evans joined 2-1/2 years ago from Goldman Sachs and Romanek followed from the Wall Street bank in April last year.
A spokeswoman for Noble declined to comment on the situation. The sources requested anonymity because they are not authorised to speak to the media.
Mining and metals accounted for 20 per cent of the company's US$34 billion revenue in the first half of the year.
Their exits reflect internal ructions as the trader pursues options, including selling core businesses, to boost market confidence after a bruising accounting dispute.
The moves also underscore challenging market conditions for merchants as prices of industrial raw materials languish at six-year lows.
Commodity traders carrying big inventory on behalf of customers have been hit by the unprecedented plunge this year in aluminum premiums, which are paid on top of the benchmark London Metal Exchange prices.
In the second quarter, Noble's metals and mining segment swung to a loss before interest and tax of US$50 million after an unprecedented drop in aluminum premiums. That compared with a profit of US$102 million in the same period last year.
The group reported net profits of US$62.6 million, compared with US$65.8 million a year earlier.
In its earnings report, it said the copper business performed strongly due to strong customer growth and volumes amid broader copper market weakness. Overall volumes in copper grew 30 per cent year-on-year in the first half.
Noble's rival and the only other listed commodities merchant Glencore PLC has also faced pressure from shareholders to cut costs and reduce debts. The collapse in its shares have sparked worries about the sector's outlook.
Noble's shares have hit record lows this month, while the yield on its bonds has tripled in just over a month to some 18 per cent.
REUTERS

Gold inches higher on expectations of US rate hike delay

Gold inches higher on expectations of US rate hike delay

[SINGAPORE] Gold rose towards its highest in nearly two weeks on Wednesday, as more sluggish US economic data supported views that the Federal Reserve would delay a rate hike to next year.
Spot gold had risen 0.1 per cent to US$1,148.16 an ounce by 0331 GMT. The metal climbed to US$1,151.20 in the previous session, its highest since Sept 24. Liquidity was thin in Asian hours with top consumer China out on a holiday.
Data on Tuesday showed that US exports took a hit from an ailing global economy in August and imports from China surged, fuelling the largest expansion of America's trade deficit in five months.
The data, following a weak nonfarm payrolls report last week, has triggered a drop in the dollar and pushed expectations of a rate hike to next year.
"We have to suspect that as US macro data starts to deteriorate, the dollar will likely continue to weaken from here, providing further upside to impetus for gold," said INTL FCStone analyst Edward Meir.
A softer dollar would make gold cheaper for holders of other currencies, while a delay in rate hike could also support non-interest-paying bullion.
Gold has benefited in recent years from ultra-low rates, which cut the opportunity cost of holding the metal.
Fed Chair Janet Yellen said last month she expected the US central bank to begin raising rates this year, but weak US economic data since then and caution about the global economy has prompted many to push out expectations.
The International Monetary Fund cut its global growth forecasts for a second time this year on Tuesday, citing weak commodity prices and a slowdown in China and warned that policies aimed at increasing demand were needed.
The Fed should be communicating its views of the economy well enough that markets will not be taken by surprise by an eventual interest-rate hike, San Francisco Fed President John Williams said on Tuesday.
Elsewhere, the value of China's gold reserves stood at US$61.2 billion at the end of September, down from US$61.8 billion at end-August, the People's Bank of China said on Wednesday.
Among other precious metals, silver held steady, trading near a 3-1/2-month high of US$16.08 reached in the previous session.
Platinum ticked higher, while palladium was trading near its highest since June.
REUTERS

Malaysian banks race to pin down fleeing deposits

Malaysian banks race to pin down fleeing deposits

[KUALA LUMPUR] Bank deposits in Malaysia are growing at their slowest pace in more than a decade as retail funds flee to higher-yielding avenues, weakening banks' buffers against any unforeseen funding needs at a time when the economy is losing steam.
Total deposits at commercial banks rose 4.8 per cent in July, the least since September 2002, according to the latest central bank data. Growth is expected to slacken further, with banks offering unattractive interest rates of 3.1 to 4.0 per cent per annum. Those rates are barely above the inflation rate of around 3.0. Most Malaysians still prefer property, equities and other investments than deposits, say analysts.
As deposits slow, banks' loans-to-deposits ratio - a measure of their liquidity - crept to a record 89.3 per cent at the end of July. Some of the bigger lenders such as Malayan Banking Bhd are currently operating at loan-to-deposit ratios above 85-90 per cent, according to analysts. They expect the sector-wide ratio to rise further and liquidity to tighten, even as loan growth in the Southeast Asian country slows due to a weaker economy.
Banks have not been idle. They have been raising interest rates after the central bank increased its overnight policy rate by 25 basis points to 3.25 per cent in July last year. Competition has also kicked up a notch ahead of a 2019 deadline to comply with Basel III capital requirements. As banks raise interest rates to attract deposits, net interest margins - or the difference between what banks pay on deposits and receive for loans - will suffer, analysts warn. "We do not discount the possibility of these banks paying up (raising rates) for deposits, and this would be negative even for banks with more liquid balance sheets, as these banks would likely need to pay up for deposits as well, in order to defend their market share," an analyst with RHB, a Kuala Lumpur-based bank, told Reuters.
REUTERS

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