CHINA

Sun Yang's victory in the men's 1500 metres freestyle at the world swimming championships on Sunday may indicate a re-awakening of the country's swimming programme.

China's Sun Yang provided a record-breaking finale to the world swimming championships on Sunday, while Ryan Lochte and Michael Phelps set up the potential of a mouth-watering showdown at next year's London Olympics.

China's factory activity slowed down in July and by one measure contracted as manufacturing across much of Asia weakened on signs that global demand is losing momentum.

China pledged to keep to a prudent monetary policy for the rest of the year to combat inflation, which is stubbornly fixed near a three-year high.

Honda Motor Co <7267.T> avoided an expected loss and raised its annual profit outlook by more than a third on Monday after it reported a 90 percent fall in quarterly operating profit, as it rebounded quickly from a severe parts shortage.

China's central bank said it would keep monetary policy prudent for the rest of the year as inflation risks escalating from three-year highs if it takes its foot off the policy brakes.

Honda Motor Co <7267.T> posted a 90 percent fall in quarterly operating profit as a severe parts shortage stemming from the March 11 earthquake slashed output, but avoided an expected loss and raised its annual profit guidance by more than a third.

The auto industry could lead an economic recovery in the United States, according to a recent survey by audit, tax and advisory firm KPMG.

INTERNATIONAL BUSINESS TIMES meets with fashion designer and rising star Amy Matto

A deal to raise the federal debt ceiling and avoid the first ever U.S. default is "very close," but House Democratic Leader Nancy Pelosi said Sunday there is a chance they may not pass it.

High inflation and soaring real estate prices have thrown thousands of residents into dire straits.

The Senate failed to advance Harry Reid's debt-ceiling plan, but leaders from both sides remained optimistic Sunday a deal can be reached before the Aug. 2 deadline to raise the U.S. debt ceiling.

Senate Majority Leader Harry Reid, D-Nev., is pushing ahead with a Senate vote on his debt plan, but the GOP votes are not there. Still, Republican Majority Leader Mitch McConnell said Sunday negotiators were "very, very close" to a deal.

Congress is "very, very close" to a debt ceiling deal, according to Senator Mitch McConnell. Negotiators are discussing final details, and the deal is not done yet, but they say its close.

China's Sun Yang could provide the perfect finale for the host country when he swims in the final of the men's 1500 metres freestyle on Sunday, the last individual men's event of the world swimming championships.

Ryan Lochte stormed into the final of the men's 400 metres individual medley as top qualifier at the world swimming championships on the last day of competition on Sunday.

Apple Inc.'s next generation iPhone, dubbed iPhone 5, is facing too much of a competition from Android. It is being speculated that iPhone 5 is scheduled to launch in early September.

Dell Inc. is expected to start selling a 10-inch Android Honeycomb tablet especially for the Chinese market soon. However, it has to deal with Samsung's ultra-thin tablet the Galaxy Tab 10.1 which is expected to be launched in China next month.

After two weeks of acrimony, Democrats and Republicans, perhaps after having stared into the abyss, returned to the bargaining table Saturday. Still, no one will believe the issue has been resolved until President Barack Obama signs a bill that raises the debt ceiling and cuts the budget deficit.

Finally, after weeks of incessant, heated rhetoric and counter-productive posturing, there's been a positive development in the debt talks. The White House and both Republican and Democratic leaders Saturday confirmed that they are now in serious talks to raise the debt ceiling and avoid a looming U.S. Government default.

If you thought U.S. Apple fans are impatient, check out the latest news coming from China. According to M.I.C Gadget, manufacturers of iPhone 5 silicone cases are now sweeping across the country in preparation of Apple's latest smartphone release.