IBT Staff Reporter

No client is too small for Goldman Sachs Group Inc these days, even a company with no revenue that's owned by a hedge fund specializing in penny stocks.

Prices of U.S. single-family homes gained more than expected in June and rose in the second quarter, reflecting the lingering boost from homebuyer tax credits that ended in April, Standard & Poor's/Case Shiller home price indexes showed on Tuesday.

Filipino Catholics and Chinese Buddhists offered prayers for eight Hong Kong tourists at the site where they died in a bus hijacking, and the Philippine government promised a credible investigation into what went wrong.

Japanese powerbroker Ichiro Ozawa said on Tuesday he would stick to his plan to challenge Prime Minister Naoto Kan in a party election, setting up a showdown that threatens to create a policy vacuum as Japan struggles with a strong yen and a fragile economy.

German unemployment fell in August to its lowest since November 2008, laying the ground for further growth in consumer spending that the economy needs for a more balanced rebound.

India's economy grew at its fastest pace in nearly three years in the April-June quarter on strong manufacturing growth and better farm output that may keep the central bank on its gradual monetary tightening path.

Mortgage approvals and consumer credit lending rose unexpectedly in July, but total net lending was its weakest since March, Bank of England figures showed on Tuesday.

The FTSE 100 dropped sharply early on Tuesday, led by falls in risk sensitive assets such as banks and commodity stocks as fears intensified over the sustainability of the global recovery.

World stocks fell on Tuesday in markets dominated by concerns the U.S. economy is sliding back into recession, prompting further flows into safe-haven assets.

Carrefour , Europe's top retailer, said the summer sales trend was mixed in Europe but demand was holding up in emerging markets and confirmed it expected operating profit to rise this year.

Stock index futures were lower on Tuesday as investors awaited data on housing and consumer confidence to gauge the pace of the economy recovery.

Stock index futures were lower on Tuesday as investors awaited data on housing and consumer confidence to gauge the pace of the economy recovery.

Japan Airlines Corp, a carrier worth no more than a two-decade-old jumbo when it was bailed out by the government in January, said it will retire two-fifths of its aircraft, abandon one in eight overseas flights and end a quarter of its home routes in a bid to return to profit.

Stock index futures pointed to a lower open for Wall Street on Tuesday, extending a sharp decline in the previous session, on worries about the strength of the global economic recovery.

Japanese Prime Minister Naoto Kan and powerbroker Ichiro Ozawa were to meet at 5 p.m. (0800) on Tuesday, Jiji news agency said, as the party tried to avoid a clash in a leadership race that could create a policy vacuum as Japan struggles with a strong yen and fragile economy.

World stocks fell Tuesday in markets dominated by concerns the U.S. economy is sliding back into recession, prompting further flows into safe-haven assets.

Israeli Prime Minister Benjamin Netanyahu flew to Washington on Tuesday for peace talks with the Palestinians, leaving up in the air the question of future Jewish settlement construction once a partial freeze ends.

Japanese factory output edged up in July but manufacturing activity in August expanded at its slowest pace in more than a year, suggesting that companies were starting to feel the pinch from an export slowdown and a strong yen.

Mobile phone maker Sony Ericsson said on Tuesday it would introduce its first smartphone for the Chinese market that runs on the network of China Mobile, the world's biggest mobile carrier.

Japan led Asian stocks lower on Tuesday as worries about the flagging U.S. economy triggered profit taking across the region and fed a five-month rally in U.S. and Japanese government bonds.

Australian Prime Minister Julia Gillard on Tuesday claimed her Labor Party was best placed to run a stable minority government after the election dead heat, warning of political gridlock if a consensus is not found.

World stocks fell on Tuesday in markets dominated by concerns the U.S. economy is sliding back into recession, prompting further flows into safe-haven assets.

South Korea welcomed expanded U.S. financial sanctions against North Korea on Tuesday, but made its first large-scale offer of aid to its destitute neighbour since the sinking of one of its warships in March.

President Barack Obama must walk a fine line in a speech on Tuesday night as he highlights progress towards winding down the war in Iraq while trying to avoid any perception of a Mission Accomplished moment.

Mexico captured major drug trafficker Edgar La Barbie Valdez on Monday in a new victory for President Felipe Calderon's high-stakes war on murderous cartels that threatens the country's image among investors and tourists.

Pakistan will not suspend any players being investigated for alleged corruption without proof of wrongdoing, Pakistan Cricket Board chairman Ijaz Butt says.

World oil prices continued its southern journey in Asian trade Tuesday and dropped below $74 a barrel as equity markets slump amid concerns over global economic growth.

In an attempt to include every person under the food security scheme, National Advisory Council (NAC) said it will consult the Agriculture Ministry considering the high costs involved in such an exercise.

Gold prices mixed along with dollar in Asian trade Tuesday ahead of couple of key US reports while global stock markets declined. Gold for immediate delivery was seen trading at $ 1236.75 an ounce at 12.00 noon Singapore time while U.S. gold futures for December delivery was at $1,238.60 an ounce on the comex division of Nymex.