WCPR Viewpoint

Saturday

Financial Times

Call for EU to control Greek budget

Germany reportedly wants Greece to accept a eurozone 'budget commissioner' to oversee tax and spending in return for securing a second Eu130bn bailout. The commissioner, appointed by other eurozone finance ministers, would have the power to veto budget decisions taken by the Greek government. Meanwhile, Germany appears increasingly isolated within the eurozone by its hard-line stance against putting more resources behind the proposed European Stability Mechanism.

[ pp.1, 6 ]

Barclays investors warn they will not tolerate lavish bonuses for investors

Influential institutional investors in Barclays Bank have told the bank they will not accept higher bonus payouts to CEO Bob Diamond and other senior executives, telling the board to end the 'lavish' bonus culture. The Barclays investors believe the row over the £1m bonus for Royal Bank of Scotland CEO Stephen Hester will fade into insignificance once the extent of the awards to Diamond and his colleagues are revealed. In its lead editorial, the FT says the government has shown 'muddled thinking' in its approach to bankers' bonuses.

[ pp.1, 3, 10 ]

Lex

...thinks investors should be sceptical of the 'blame game' now on the increase as more companies take advantage of the eurozone crisis to pass the buck for poor performance.

...While there was a good reason (surging car sales) for Kia Motors to have outperformed Korea's Kospi index by a fifth last year, there is less cause to think it can happen again this year.

...Starbucks is turning to alcohol to drive sales in the US where the coffee shop market is becoming saturated.

...Illumina looks to have panicked with activating a 'poison pill' defence against Roche's bid, although this should not prevent the Swiss drugmaker's eventual success.

[ p.24 ]

The Long View

...John Authers believes there are too many hedge funds which have grown big simply by copying each other and tracking the market, although they still charge hefty fees for doing it.

[ p.24 ]

Briefs

National News: The new Financial Services Bill will give greater regulatory powers to the Bank of England and make its governor one of the most powerful central bankers in the world. ● New figures show that house prices in more than half of London's postcodes are still up to 20% below their 2007 peak. ● World News: The US economy grew at an annualised rate of 2.8% in the final quarter of 2011, although much of this was due to an inventory build-up which is unlikely to be sustained. ● Company News: The proportion of new European Financial Stability Facility bonds bought by large Asian and Middle Eastern buyers, predominantly sovereign wealth funds and central banks, has fallen significantly over the past year. ● Carnival-owned Costa Cruises has reached a compensation agreement with some Italian consumer bodies over the recent shipwreck. ● James Murdoch is stepping down as a non-executive director of GlaxoSmithKline. ● The Financial Services Authority has levied further fines in the Greenlight Capital affair concerning alleged insider trading in Punch Tavern shares. ● UniCredit has successfully placed virtually all its Eu7.5bn rights issue. ● Fuller, Smith & Turner reported like-for-like sales up 5.1% in the nine weeks to 21 January. ● The auction for Iceland Foods is expected to come down to just two private equity firms, BC Partners and Bain Capital, as interest from Wm Morrison appears to have waned. ● The pensions regulator has told ITV to support the pension fund of Box Clever, a television rental business it once owned. ● The State Bank of India is set to enter the UK residential mortgage market. ● Hornby issued a profit warning after revealing lacklustre Christmas sales. ● Investec is to buy Irish financial services company NCB in a Eu32m deal. ● Market News: Misys closed 7% ahead at 327p on revived hopes of a bid or break-up. ● Orchid Developments surged 91.2% to 8.1p after disclosing a takeover approach. ● On London: Paul Murphy thinks the Financial Services Authority's focus on protecting the Blue Chip status of a primary London listing for foreign resources companies, rather than including Aim, is misplaced. Once the inevitable scandal hits London then the damage 'will be reputational and across the board'.
[ pp.2, 4, 6, 13, 16, 17, 18, 19 ]

The Times

Comment

...David Wighton thinks that the Royal Bank of Scotland board should not cave in to pressure over CEO Stephen Hester's bonus. If the government wants to treat the bank as an arm of the State, it should go ahead and nationalise it.

...New Lloyd's of London chairman John Nelson is right to focus his strategy on attracting emerging market business to London rather than set up separate hubs in those markets.

...The prospect of cheap shale gas in the US will prove a huge benefit to industry, giving manufacturing companies the competitive advantage to bring jobs 'back home'.

[ p.45 ]

Briefs

London Mayor Boris Johnson has joined criticism of the £1m bonus awarded to Royal Bank of Scotland CEO Stephen Hester. ● George Osborne told a meeting at the World Economic Summit in Davos that UK business leaders should 'go out and make the case' for cutting the 50p tax rate. ● Facebook is reportedly preparing to announce its planned US$100bn float this week. ● Baker Tilly International revealed full-year sales up 5% to US$3.2bn. ● Ford Europe made a loss of US$27m last year against a profit of US$182m in 2010. ● Market News: Wolseley slid 55p to £22.19 on worries about the strength of US growth and negative comment from analysts at ING.
[ pp.1, 44, 48, 53 ]

The Daily Telegraph

Comment

...Damian Reece defends Royal Bank of Scotland CEO Stephen Hester over his bonus, arguing that he deserves his reward for his work since the financial crisis - unlike the politicians, central bankers and regulators who are still on the public payroll. It is also time to stop denigrating British banking and start promoting it to the world as 'best in class'.

[ p.33 ]

Briefs

Fitch has downgraded the credit ratings of five eurozone countries - Italy, Spain, Slovenia, Belgium and Cyprus. ● Morgan Stanley is expected to be the lead adviser in Facebook's planned IPO. ● The Chancellor will have the power to force the Bank of England to support failing banks under new reforms proposed by the government. ● Procter & Gamble warned that full-year profits would be hit by the strength of the dollar. ● Market News: InterContinental Hotels Group lost 36p to £13.21 after UBS turned bearish on prospects.
[ pp.31, 32, 30 ]

The Independent

US Outlook

...Stephen Foley believes Roche should be prepared to pay more to secure US gene sequencing company Illumina as the two companies are ideal partners for the long run.

...The Federal Reserve's refusal to set a target for 'maximum employment' has foreclosed the possibility of innovative research to tackle the 'economic issue of the decade'.

...Google deserves a break as it will not be making use of data collected without permission, although this is not the case for others when web browsing information is tracked.

[ p.54 ]

Anthony Hilton's Week

...suggests that the World Economic Summit in Davos is now too 'organised and structured' to be worth attending.

[ p.49 ]

Briefs

Vincent Tchenguiz is hoping to help clear his debts by arranging the sale of ground rents worth £3bn on some 250,000 UK properties. ● Standard Chartered CEO Peter Sands has criticised proposed banking reforms to ring-fence retail banking. ● JP Morgan Cazenove trader Caspar Agnew has been fined £65,000 by the Financial Services Authority for his role in the Punch Taverns insider trading scandal. ● Marston's said 'wet' sales through its pubs were up 4.8% in the 16 weeks to 21 January. ● Shares in High Street jewellery chain Abbeycrest have been suspended after it failed to find a buyer for its Thai business. ● Market News: Imperial Tobacco put on 36p to £22.89 after Citigroup analysts rated it a buy.
[ pp.3, 48, 49, 51, 52 ]

The Guardian

Briefs

Royal Bank of Scotland has spent more than £2.5m on US lobbyists in the time since it has been controlled by the UK government. ● A US Court has rejected efforts by BP to force Transocean to accept a major share of the compensation bill for the Gulf of Mexico spillage. ● Market News: African Barrick Gold rose 26p to 515.5p after disclosing an 11% increase in its gold resources.
[ pp.5, 30 ]

The Daily Mail

Comment

...Alex Brummer says Royal Bank of Scotland CEO Stephen Hester must 'stop being so self-regarding' and understand why the public and politicians believe his bonus is wrong in the current circumstances.

...It is no surprise that James Murdoch has resigned as a non-executive director of GlaxoSmithKline, but this adds to the pressure on him to quit BSkyB as well.

...The Financial Services Authority was right to get tough with JP Morgan Cazenove over the suspicious trades in Punch Tavern shares, but the fine lacks 'real bite' in the context of the 'hundreds of millions' which flow across trading desks.

[ p.95 ]

Sunderland on Saturday

...Ruth Sunderland is critical of the fees and value delivered by investment bankers, arguing that 'their biggest talent has been for getting away with it'.

[ p.94 ]

Briefs

Serco is to shed 500 jobs as part of a review of back-office functions. ● The London Stock Exchange achieved a 13% increase in underlying income to £196.3m for the final quarter of last year. ● Jaeger owner Harold Tillman has sold his controlling stake in the Allders Croydon department store. ● Market News: N Brown added 3p to 234.5p after UBS upgraded its rating from neutral to buy.
[ pp.93, 95, 96 ]

Daily Express

Comment

...Peter Cunliffe thinks that while Royal Bank of Scotland CEO Stephen Hester deserves his bonus, he could defuse the situation by offering to give some or all of it to charity.

...Good news for the music industry has come from Parliamentary approval of the Live Music Bill, which removes some of the bureaucracy and expense that threatened to prevent small venues putting on live acts.

[ p.78 ]

Briefs

New extraction technology is making exploitation of shale gas reserves in the UK, such as those near Blackpool, more viable. ● Week of Dealings: Director buying was seen at EnQuest and Sanderson, with selling at Mulberry. ● Market News: Next put on 45p to £26.39 after positive comment from Seymour Pierce.
[ p.79 ]

Sunday

The Sunday Times

New £8m bonus for RBS chief

Royal Bank of Scotland CEO Stephen Hester is poised to receive £8m from new share awards under a long-term incentive scheme. Disclosure of the new bonus in addition to Hester's controversial £1m award for last year will put further pressure on the government to act at RBS. But other bank chiefs are also enjoying bumper bonuses in spite of a difficult year with Michael Sherwood, head of Goldman Sachs in London, receiving £1.6m.

[ pp.1.1, 3.1 ]

Americans take Hoare Govett off RBS for a song

US investment bank Jefferies is expected to clinch a deal this week to acquire Hoare Govett from Royal Bank of Scotland. Jefferies is believed to be only offering a nominal sum for Hoare, with RBS likely to pay for current salaries and redundancies.

[ p.3.1 ]

Osborne tells Europe to cough up

George Osborne has made it clear to France and Germany that the UK will not commit extra funds to bail out the eurozone unless they are also prepared to inject new funds. Osborne's comments, at the World Economic Summit in Davos, were made ahead of a eurozone finance ministers meeting on Monday to discuss a 'firewall' to isolate Greece and other at-risk countries.

[ p.3.1, 3.5 ]

AstraZeneca poised to axe 3,000 in cost cutting

AstraZeneca may announce further job losses of up to 3,000 along with its annual results on Thursday. CEO David Brennan is expected to extend the cost-cutting programme started in 2010 which has already promised 10,000 job losses by 2014.

[ p.3.1 ]

Rank eyes £250m takeover of Gala casino chain

Rank is in talks to acquire the casino division of Gala Coral for about £250m, with a deal possibly announced along with Rank's interim results on 9 February. Rank plans to merge its 35-strong Grosvenor Casinos chain with Gala's 24 casinos to make it the UK's biggest operator.

[ p.3.3 ]

Agenda

...Dominic O'Connell in Davos found the world's business leaders unconcerned about the euro's problems as all eyes continue to turn eastwards, away from the 'slow-moving West'.

...If George Osborne really believes that Stephen Hester is doing a good job, he should say so publicly.

...Boris Johnson continues to be something of a 'Davos darling', although David Cameron also had a good visit.

...Apart from all the speeches and networking, Davos remains a 'phenomenal money-spinner' for founder Klaus Schwab.

[ p.3.4 ]

Economic Outlook

...David Smith says that while last week's GDP figures were undoubtedly disappointing, there was some relief in the Treasury that they were not even worse.

[ p.3.4 ]

American Account

...Irwin Stelzer sees an end to uncertainty over the American economy, which will inevitably help the President's re-election chances.

[ p.3.4 ]

Briefs

EasyJet's board may turn next month's AGM vote on executive pay into a vote of confidence to counter criticism of the airline's management by founder Sir Stelios Haji-Ioannou. ● The London Stock Exchange is planning to go head-to-head with overseas bidders for control of the London Metal Exchange. ● Facebook is expected this week to start the process for an IPO valuing the social networking site at potentially up to US$100bn. ● Veteran US investor Gary Klesch is considering a rescue bid for Petroplus's Coryton oil refinery. ● Indian tycoon Subrata Roy is among the bidders for a £750m portfolio of Marriott Hotels being sold by Royal Bank of Scotland. ● Iceland Foods CEO Malcolm Walker has lined up Canadian backing for a £1bn offer for the chain. ● Property developer Gerald Ronson is part of a consortium bidding for a collection of Welcome Break motorway service stations being sold by Robert Tchenguiz. ● French oil group Total is poised to secure exploration rights for several oil and gas fields in Kurdistan. ● Mounting problems at RSM Tenon have raised questions over the audit carried out by PricewaterhouseCoopers. ● Former Gladedale CEO David Gaffney has raised £200m to launch a new national housebuilding group. ● LVMH's private equity arm L Capital is considering a £200m bid for the luxury jewellery chains owned by Aurum. ● BSkyB is set to raise its interim dividend by 15%. ● The Garden Centre Group is expected to be bought by Terra Firma Capital Partners. ● Management at Lotus Cars may try to buy the sports car business from its Malaysian owners. ● The top ten members of China's corporate elite have been identified for the first time by Sunday Times research. ● The future of Blackberry-maker Research in Motion is uncertain after last week's management changes and falling profits and market share.
[ pp.3.1, 3.2, 3.3, 3.7 ]

The Observer

Business Leader

...believes that that the successful efforts by the Royal Bank of Scotland's remuneration committee to 'hold the government to ransom' on bonuses shows the 'extraordinary grip' the financial sector continues to exert on the economy.

...Italy's UniCredit is the best performing stock among the eurozone's top 50 companies this year after seeming to be an extremely poor bet before Christmas - all thanks to the generosity of the European Central Bank.

...High-speed broadband from fibre-optic cables could mean effective live internet television, threatening BSkyB's traditional satellite dishes.

[ p.46 ]

In My View

...William Keegan argues that it is becoming clear that the post-crash stimulus was withdrawn too soon in the UK, unlike in the US which has enjoyed stronger recovery as a result.

[ p.46 ]

Media

...Peter Preston reveals that the New York Times, party concealed behind a paywall which limits traffic growth to its website, is feeling 'miffed' that the Mail Online site has now overtaken it in global popularity.

[ p.48 ]

Briefs

Japan Tobacco International is facing questions over its links to a Syrian billionaire accused by the EU and US of helping suppress the popular uprising in the Arab country. ● Royal Dutch Shell is this week expected to show a fall with its final quarter figures in comparison with Q3, although the full-year profits will still be substantially higher. ● Record profits from Apple last week has led to speculation by analysts that it could now embark on an acquisition spree. ● Fastest-growing sector of the UK economy appropriately appears to be fast-food outlets which continue to announce rapid expansion plans.
[ pp.6, 43, 44, 47 ]

The Sunday Telegraph

RBS chairman turns down £1.4m bonus

Royal Bank of Scotland chairman Sir Philip Hampton has waived a £1.4m share award he was due, putting pressure on CEO Stephen Hester to do the same over his controversial £1m bonus. Sources suggest that Hampton had felt uneasy for some time about accepting the bonus, due to be paid as a 'signing-on' reward when he agreed to join the bank from J Sainsbury.

[ p.1, B1 ]

Tate 'unhappy' with new Lloyds role

Lloyds Banking Group executive director (wholesale) Truett Tate could be the biggest casualty of a new management shake-up planned by CEO Antonio Horta-Osorio. Tate's new role, discussed at a board meeting last Thursday, is said to have so upset him that he threatened to resign after a row with Horta-Osorio.

[ p.B1 ]

Wipro to train UK students in Bangalore

Indian software group Wipro is close to agreeing a deal with the UK government to train British students in Bangalore. Wipro chairman Azim Premji made the offer of three months intensive training in India to help develop the students' expertise, with the government paying up to 30% of the cost.

[ pp.B3, B9 ]

Comment

...Kamal Ahmed thinks George Osborne was right not to oppose Stephen Hester's bonus, as he needs to ensure he has the business community onside if elusive growth is to be restored.

[ p.B4 ]

Economic Agenda

...Liam Halligan, chief economist at Prosperity Capital Management, is impressed by Mitt Romney's analysis of the continuing financial crisis, which suggests that the banking system remains gridlocked because of attempts to conceal the billions of toxic losses the banks still carry on their books.

[ p.B4 ]

The Markets

...Tom Stevenson, an investment director at Fidelity Worldwide, says the market rally so far this year should treated with caution in the short-term.

[ p.B4 ]

Rainmaker

...James Quinn reports that the Mitchells & Butlers AGM last week was overshadowed by investor Joe Lewis, even though he was nowhere near Birmingham's International Convention centre.

...Details likely to be released week as part of Facebook's IPO process will give the first real view of the social networking site's closely-guarded financials.

[ p.B8 ]

Briefs

The IMF has signalled that Greece will have to give up autonomy over its budget if it wants to receive further bail-out funds. ● Trinity College Cambridge, the university's richest college, has invested £440m in acquiring a 50% stake in a 11-strong portfolio of Tesco supermarkets. ● General Healthcare Group has been forced to cut fees charged to Bupa, putting further pressure on its finances. ● US casual clothing group Nautica has agreed a deal to sell its products through Debenhams stores in the UK. ● Jaguar Land Rover is to brief bankers operating in the West Midlands over its expansion plans in the area. ● MF Global clients should this week start to receive repayment of assets held at the failed broker. ● Ocado is planning to cut prices to challenge Tesco Direct. ● Latest venture from 'superwoman' Nicola Horlick is Rockpool Investment which aims to help SMEs raise funds from sources other than the banks. ● Intermediate Capital Group is planning to raise Eu1bn for a senior debt fund directly from institutional investors without involving the banks. ● Crédit Suisse's Canary Wharf HQ is being bought by the Qatar Investment Authority.
[ pp.B1, B2, B3, B5 ]

The Independent on Sunday

Comment

...Margareta Pagano thinks it is time that David Cameron and George Osborne stopped wasting time on irrelevant issues - such as Sir Fred Goodwin's knighthood - and developed some real economic growth policies, including increased lending to SMEs and tax incentives to companies to take on more workers.

[ p.87 ]

Economic View

...Hamish McRae thinks the 'politics of easy money' could change once it becomes more apparent to the public that the long-term impact is higher inflation and lower income from savings.

...The growth of smartphones in emerging markets will lead to increased commercial innovation in those regions.

[ p.90 ]

Briefs

Royal Bank of Scotland CEO Stephen Hester is allegedly set to receive an extra £3.3m pay-out in addition to his controversial £1m share bonus, bringing his total remuneration since joining the bank in 2008 to £35.5m. ● G4S is expected to replace advisers Hoare Govett and Deutsche Bank following the failure of the £5.2bn ISS deal. ● Wal-Mart is planning a European expansion drive, headed by 30-year old Sam Walton, grandson of the company's founder. ● Bridgepoint Development Capital is in talks with investment banks about a refinancing of Leeds soup maker Symington's. ● AstraZeneca is expected to announce a £2bn share buyback programme this week. ● Land Securities and Serco are among a number of companies in talks with the MoD about managing its £20bn property and infrastructure assets. ● BSkyB is said to be facing a 'perfect storm' of problems this year, including the future of chairman James Murdoch.
[ pp.2, 85, 86, 88-89 ]

The Mail on Sunday

Comment

...Lisa Buckingham thinks there is real movement under way to empower the 'army of small shareholders' who could tip the balance in favour of curbing excessive executive pay.

...Developing the RAF base at Northolt in west London could be an 'elegant solution' to the capacity crisis at Heathrow.

[ p.74 ]

Markets and Economics

Taking Stock: Jon Rees thinks the real challenge to BSkyB this year will be renegotiating the Premier League television rights in the face of new competition.

Economics: Dan Atkinson says those people who seem happy with 'zero growth' should be aware that this would mean real cuts in living standards.

[ p.78 ]

Briefs

Analysts believe the leading UK banks are likely to report lower profits this year. ● Troubled Blackberry was the UK's leading smartphone last year with 27.7% of the market, according to figures from GfK. ● Surveys of purchasing managers due his week are expected to show the economy recovering. ● Corporate governance group Manifest estimates that if Vince Cable's proposals to give shareholders binding votes on boardroom pay had been in force since 2002, some 67 votes would have been lost by FTSE 100 companies. ● The launch earlier this month of Netflix in the UK pay-TV film market is likely to provide the most effective competition to BSkyB so far, analysts believe. ● Ocado is suing Carillion for £1.2m over alleged cracks that have developed at its Hatfield warehouse.
[ pp.71, 72, 74, 76, 78 ]

Sunday Express

Comment

...Tracey Boles welcomes the EU's proposals to boost airport capacity by establishing a formal market for 'slot' trading.

...Dixons Retail believes the key trends in the consumer technology market this year will be 'smart' televisions and ultra-thin laptops.

...Smith & Nephew should post encouraging results this week, a result of building margins as well as moving into new markets.

[ p.F2 ]

Briefs

BSkyB is set to reveal an increase in cancelled subscriptions from 9.5% to 10.5% because of the difficult economic conditions. ● The EU is proposing a formal auction of airport take-off and landing slots to increase airport capacity across Europe. ● Numis Securities is forecasting that Ocado will report a £1.7m pre-tax loss for 2011, down from £12.2m in the previous year. ● Royal Dutch Shell is expected this week to post full-year profits of US$27.3bn, a 175% increase on the previous year. ● RSA Insurance CEO Simon Lee is backing calls for pay and bonuses to be clawed back from underperforming executives. ● Matalan is understood to have joined the potential bidders for collapsed Peacocks.
[ pp.F1, F2, F3 ]

Profiles

The Sunday Times

Notting Hill estate agent returns to his old manor

Jon Hunt, founder of the Foxtons estate agency who sold it for £375m in 2007 ahead of the housing crash (BC Partners was the unlucky buyer), invested much of the proceeds in property when prices were low post-recession. But he is now back in business with a new venture: an office rental club called Dryland aimed at affluent start-ups. The first offices have opened in Kensington High Street and will be run by his daughter Emma.

[ p.3.6 ]

The Mail on Sunday

The raw materials are here ...if we just stop throwing them away

Colin Drummond, Viridor CEO, has been instrumental in developing the waste management company into an environmentally-friendly business turning waste into useful products - everything from compost to recycled glass and paper. The latest sources of renewable energy also include 'anaerobic digestion' - using micro-organisms to produce biogas from biodegradable waste.

[ p.77 ]

Financial Times

The self-effacing outsider why has run foul of the FSA

David Einhorn, founder of hedge fund Greenlight Capital, is undoubtedly ruing the biggest mistake of his career - the 2009 sale of his shares in Punch Taverns based on insider information which last week earned him a £7m fine for market abuse from the Financial Services Authority. But Einhorn has won some support for his 'martyr's defence' claiming unfair treatment by the FSA for expanding its remit without accountability.

[ p.12 ]

Tip bits

The Times

Tempus: Nic Fildes says Ericsson's surprise profit warning casts doubt over the UK telecoms sector, although Vodafone, BT and Virgin Media all have their attractions. But while Cable & Wireless Worldwide looks one to avoid, there is the possibility of an eventual bounce back from its current low of 14p.

The Independent

No Pain, No Gain: Derek Pain is considering selling Mears, 235p, after the recent profit warning and fears over its vulnerability to public spending cuts.

The Daily Mail

Investment Extra: Sam Dunn points out that successful investing in China has proved difficult, as even the most experienced fund managers (such as Anthony Bolton and his Fidelity Special Situations fund) have shown. But there remains plenty of potential from investing in the country for long-term investors.

The Sunday Times

Inside the City: Danny Fortson sees only struggles ahead for Ocado, which does not have the luxury of sorting its problems out as a private rather than publicly quoted company. ● The City is expecting a set of 'barnstorming' results from ARM Holdings on Tuesday, with annual profits up 30% at £216m.

The Sunday Telegraph

Sunday Questor: Garry White says buy RPC Group, 380p, which still does not look expensive even after the recent share price surge. ● Buy 3i Infrastructure Fund, 120p, for income.

The Mail on Sunday

Midas: Joanna Hart says buy Secure Trust Bank, 935p, but prepare to be patient. ● Update: Cautious investors may prefer to sell Afren, tipped in January 2007 at 56p and now 124p, although others may stay in for further capital growth.

The Investors Chronicle

Tips of the Week: Buy UBS at SFr12.60; well-placed to absorb the shocks that the uncertain banking environment may deliver, along with a robust banking and wealth management franchise. ● Buy Stobart, 120.5p; diversifying away from its core trucks operation offers higher-growth potential, backed by a healthy yield. ● Buy Hummingbird Resources at 151p; a speculative mining play on the gold bubble continuing. ● Sell Logica at 76p; lacks defensive qualities and needs to overhaul its outsourcing model to become more competitive. ● Updates: Keep buying Gulf Keystone Petroleum, tipped on 19 August 2011 at 138p and now 276p. ● Hold Ceres Power, recommended as a sell on 7 April 2011 at 38p and now 10p. ● Keep selling Ocado, recommended as a sell on 30 July 2010 at 169p and now 81.5p. ● Tip Bits: Keep buying Digital Barriers, Ladbrokes, Jupiter Fund Management and William Hill. But sell Sanofi-Aventis. ● News Tips: Keep selling Nokia, Eu4, as it is falling further behind Apple and Samsung in the smartphone market. ● Buy Rio Tinto as the 'favoured play' on Asian-focused mining stocks. ● Feature Tips: 'Mr Bearbull' has bought 10,000 Vodafone shares for his income fund. ● Simon Thompson expects a significant re-rating for niche venture capital provider BP Marsh & Partners. ● Peter Temple offers his 2012 'Dogs of the FT30' high-yielding stocks: Ladbrokes, Man Group, Logica, Vodafone and RSA Insurance. ● Funds Tip: Buy New India Investment Trust, 218.5p, for long-term growth. ● Brokers' Views - Bovis Homes: Liberium (Buy), Northland Capital (Buy); IC View: Buy. ● Man Group: Citi Investment Research (Neutral), Numis Securities (Buy); IC View: Hold. ● APR Energy: Barclays Capital (Overweight), Numis Securities (Buy); IC View: Buy. ● Tullow Oil: Barclays Capital (Overweight), Canaccord Genuity (Hold); IC View: Hold. ● Results Tips: Buy Wynnstay, 349p; Buy NCC, 860p; Hold City of London Investment Group, 348p; Buy Zetar, 176p; Hold Chemring, 390p. ● Trading Tips - Dow Jones Industrials: Warren Firth at www.globalprimepartners.com.au sees an 'imminent reversal' in the index which offers shorting opportunities. ● Sterling/Dollar: Matt Shaw at www.fixedoddssuccess.com believes the pound should reach US$1.58 before the next significant sell-off. ● Gold: Clive Lambert at www.futurestechs.co.uk says the precious metal's recovery is coming up against a number of obstacles which could hold further progress back. ● Nikkei 225: Ragu Dharmaratnam of Baselica is bullish about the Japanese index, suggesting traders should go long.