MARKETS / FINANCE

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Europe's banks brace for clutch of health test failures

A health check of European banks is expected to show that as many as 15 lenders need more capital to withstand a prolonged recession, with criticism growing that the tests do not encompass the impact of a Greek default.

Wall Street set to rise on deals, earnings

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Wall Street was set to rise on Friday after strong earnings from Google and Citigroup helped lift some of the angst about Europe's debt crisis and stalled U.S. budget talks that have overhung the market.

Credit Suisse says target of U.S. probe

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Swiss bank Credit Suisse is being investigated by the Department of Justice as part of a broader inquiry into banks suspected of helping Americans evade taxes.
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Murdoch aide Brooks quits as head of UK newspapers

Rebekah Brooks resigned as chief executive of News International on Friday, yielding to political and investor pressure over a phone hacking scandal that has shaken Rupert Murdoch's media empire on both sides of the Atlantic.
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High chance of downgrade even if ceiling raised: S&P

The risk that the United States will lose its AAA credit rating in the next three months has risen considerably, even if lawmakers reach an agreement to raise the country's debt ceiling later this month, an S&P official said on Thursday.
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S&P warns of downgrade if no debt deal reached

Ratings agency Standard & Poor's has warned there is a one-in-two chance it could cut the United States' prized AAA credit rating if a deal on raising the government's debt ceiling is not agreed soon.
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UBS wins review of Madoff trustee's $2.6 bln suits

UBS AG won review by a Manhattan federal judge of $2.6 billion of lawsuits brought by the trustee liquidating Bernard Madoff's firm, at least the fourth time a bank has obtained access to that court.
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Google smashes Street expectations, shares surge

Google Inc's results soundly trounced Wall Street's most bullish expectations, sending its shares up 12 percent and easing concerns that its battle with Facebook and Twitter is costing too much and hindering growth.
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IMF urges action on Greece, European banks

The International Monetary Fund on Thursday called for a greater sense of urgency to address the Greek debt crisis and warned Europe it was taking too long to repair its banking system in the face of growing risks of contagion.
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Ambac $1 billion subprime lawsuit vs JPMorgan revived

A New York state appeals court revived Ambac Financial Group Inc's $1 billion lawsuit against JPMorgan Chase & Co over an investment vehicle that in 2007 and 2008 suffered heavy losses from toxic subprime debt.
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Bernanke warns spending cuts could derail recovery

Federal Reserve Chairman Ben Bernanke warned on Thursday that overzealous cuts to government spending in the short term could derail a shaky recovery and said a debt default could wreak financial havoc.
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Jobless claims fall, but retail sales timid

The economy may not see a strong pick-up in growth in the second half of 2011 as the number of Americans filing for first-time jobless benefits remained high last week and retail sales barely rose in June.
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TMX's hostile bidder would prefer its consent

A Canadian consortium would rather woo TMX Group then press forward with its hostile takeover bid, but it says it will do whatever it takes should talks with the Toronto Stock Exchange operator break down.
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Bernanke halts Wall St rally; Google jumps late

Stocks fell on Thursday as Fed Chairman Ben Bernanke backed off hints additional near-term stimulus could be on the way, removing a possible catalyst from a market already facing plenty of obstacles.
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Bernanke hits Wall Street with reality check

Stocks fell on Thursday as Fed Chairman Ben Bernanke backed off hints additional near-term stimulus could be on the way, removing a possible catalyst from a market already facing plenty of obstacles.
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Jobless claims, sales show recovery still weak

The U.S. economy will struggle to regain speed this year, data on Thursday suggested, as the number of Americans filing for first-time jobless benefits remained high and retail sales barely rose in June.
Tiananmen Square in Beijing

China Urges U.S. to Act Responsibly on Debt Ceiling

China Thursday called on the United States to adopt responsible policies and measures to guarantee the interests of investors -- a communique that highlights the rising concern about a possible U.S. Government default. Meanwhile, modest debt talk progress was noted on Day 5, with bipartisan agreement on at least $1.5 trillion in spending cuts over 10 years.
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Bernanke: Cutting too much too soon could hurt recovery

U.S. Federal Reserve Chairman Ben Bernanke warned Congress on Thursday that overzealous cuts to government spending in the short term could derail an already fragile recovery and said a U.S. debt default may wreak financial havoc.
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Sweden raids local Nasdaq bourse in competition probe

STOCKHOLM, July 14 - Swedish regulators have raided U.S.-owned bourse operator Nasdaq OMX Group in a competition probe likely to raise questions over exchanges' efforts to woo controversial high-frequency traders.

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