Rupert Murdoch's Landmark Penthouse

Australian media magnate Rupert Murdoch,83,has purchased the top four floors of One Madison Avenue,including the triplex penthouse and unit below,for 57.25 million dollars,a transaction described by seller Related Companies Inc as being a milestone achievement for One Madison and the downtown market.It is the most expensive downtown apartment in New York history.
The triplex plus the unit below total more than 10,000 square feet.The nearly 7,000 square foot penthouse features five bedrooms,five-and-a-half baths,a wraparound 596 square foot terrace,spiral staircase and internal elevator.It has brilliant views of the New York City skyline,the Hudson and East Rivers and One World Trade Center through its floor to ceiling glass.*
The building's amenities for the divorced billionaire include a lap pool,spa and fitness center.Murdoch's old Fifth Avenue penthouse went to former wife Wendi Deng in the divorce settlement.*
Murdoch is founder of News Corporation,21st Century Fox,Fox News Channel,FOX-British Sky Broadcasting and STAR India.*
News Corporation(NWS)

Blackstone's Deals;GeoResonance Claim Checked

The absolute levels of securities are on the higher side,said Stephen Schwarzman,CEO of The Blackstone Group,but there are deals to be had and we are quite active.We never buy anything unless we can improve them significantly.There are more than two trillion dollars in cash available,so you're gonna see deals.*
Long term,China's a really interesting place.I'm not in the non-believer school.Per capita income is very low there.Their middle class has grown immensely,but it's not as big as it needs to be.You have to transition from an export economy to a consumption economy.*
We've been very active buying both companies and real estate.Overall,this has been a very active time for us.We've bought and sold a lot of companies as well.Our companies are outperforming the S&P in a pretty significant way,Mr.Schwarzman observed.*
US pending home sales were up 3.4% in March.It's a good solid gain,a beat,but we need to see it continue throughout the Spring,said CNBC real estate correspondent Diana Olick.*
Bangladesh is sending two navy frigates to check out a claim by Australian firm GeoResonance that it may have found the wreckage from lost flight MH-370 in the Bay of Bengal.The Australian search committee has dismissed the claim because it doesn't fit with the satellite data provided by British firm Inmarsat,nor the pings detected by a search vessel in the southern Indian Ocean.
GeoResonance says its technology was created to search for nuclear,biological and chemical weapons under the ocean or in bunkers underground.They claim it is reliable and has successfully located submersed structures,ships,munitions and aircraft.In some instances,objects that were buried under layers of silt could not be identified by other means.The technology records electromagnetic fields by airborne multispectral imaging,but GeoResonance will not divulge exactly how the proprietary method works.
About 190 kilometers/118 miles off the coast of Bangladesh,they found traces of aluminium,titanium,copper and other trace elements that hadn't been there before the airliner disappeared on 8 March.These elements are suggestive of a commercial airliner such as MH-370,a Boeing 777.The company is not declaring this finding is MH-370;however,it should be investigated,their press release stated.*
The Blackstone Group LP(BX)

Voices and Trends in Global Business,July 2013

Apple has been slowing iPhone production,said Brian Blair,a senior research analyst at Wedge Partners.We believe there's been a 20% haircut to iPhone production.Most of the component suppliers will stay the same,despite the cuts. Apple's been cutting because they've been watching market leader Samsung,which hasn't been selling as many smart phones as they thought they would.The market for high end smart phones is slowing,and Apple's been responding to that. The IMF has cut its annualised global growth forecast from 3.3% in April to 3.1% in July.Their forecasts for commodity prices,as well as Russian,Brazilian and Spanish growth,were also lowered.The cause of the revision is the downturn in emerging markets and the lengthy Euro-zone recession. Hong Kong property agents marched against government price curbs over the weekend.Up to 5500 agents demonstrated,appalled at the fact that Q2 real estate transactions were at a two decade low because of new taxes and marketing restrictions.About a third of estate agents stand to lose their jobs in consequence. The government measures are making things worse,according to Michael Kilbaner of Jones Lang Lasalle.The rise in property prices both reflects and impacts the strength of the economy.A lot of the movement is really in tier one and upper echelon tier two property.A two bedroom flat in Hong Kong goes for a half million US dollars,with a similar price in Beijing.

Bond Market Impact:The Implications of Rising Rates

The recent bond sell-off and concomittant rise in interest rates present both challenges and opportunities.
I think we're gonna see a slowing in housing,said Bliss Morris,CEO of First Financial Network.Rising rates could certainly affect newer borrowers.Those still involved in renting could have some trouble buying a home.
California is doing better,the sand states of Arizona,Florida and Nevada,but secondary and tertiary markets could be in trouble.Our community banks are suffering from regulations and have not totally sold off their non-performing assests.
The next opportunities could be in the Euro-zone,with its many foreclosed properties.I don't think they've totally stabilised.They face some challenges with cultural and linguistic differences.
We do think the Treasury market offers value here,said Mark Kiesel,managing director and portfolio manager at PIMCO.We see a much weaker economy,and so we see value.We just don't see the economy generating jobs growth.There's a lot of consumer debt and unemployment is structurally high.
We're going through an unwinding of risk,creating volatility,but over time,the Fed will take another point of view and rates will go back down,Mr.Kiesel projected.
Mark Kiesel was Morningstar Associate's 2012 Fixed Income Manager of the Year.

Portfolio Management:The Need For Income Now

We've transitioned to an emergency need for income,said Rick Rieder,Chief Investment Officer of Fundamental Fixed Income at BlackRock.Rates are gonna be low for a long time.To get any real income,you have to take risk at levels that are uncomfortable.
Central banks are crowding out investments at a record level.You create a portfolio rebalancing act that is profound.We live in a delevering world.You'll create bubbles like we had in prior decades if it goes on for too long.
Maybe there will be no tapering of Fed policy until 2014.Because you're distorting the interest rates so low and lengthening the portfolio,you're creating potential risk in the fixed income portfolio higher than in equities.Tactical short term,we've taken some interest rate exposure;longer term,loans and structured products without a lot of interest rate risks,such as CMBS,collateralised mortgaged-backed securities.
We think the growth of the real estate business has some real durability to it.People underestimate what a big deal it is.You have an environment of liquidity today.It's part of what will keep the real estate market in strong shape.
The delevering in Europe is gonna go on for years.
It's very hard to generate yield when the 10 year Treasury is at 1.50%,Mr.Rieder pointed out.Central bank policies are causing a haircut for investors,PIMCO co-CIO Bill Gross agreed.
People are excited about the equity market,yet anxious about the artificiality of central bank assistance,his colleague Mohamed El-Erian added.If these prices are not validated by data,they will look very artificial.
BlackRock,Inc(BLK)

Asian Market Voices

We probably don't need QE3,or more Federal Reserve asset purchases,in the view of Tim Riddell,Head of Global Markets Research at Australian bank ANZ.I expect a relatively positive end to the third quarter.
It's not over for Greece.They've got a lot of problems.
Mario Draghi has shifted the whole focus of the European Central Bank.He's really doing a good job.
The Shanghai market could be a big shifter into the next quarter.We could get a 10.5% rebound going into the next month or two.The downside risk is only 2-4%.The skew to me is,look to get involved.
I think China's home prices have bottomed,said Nicole Wong,Head of Real Property Research at CLSA.Today 92% of buyers are end users,as opposed to investors,versus 50-60% a few years ago.The supply is getting a little bit tight at this time.
The new governent will have to think about the next few years.A lot of the tightening will stay just a warning.Supply is plummeting and demand is quite stable.Those developers with positive cash flow will be in the best position.
Another rate cut will make money in the bank feel more and more painful.
CLSA stands for Credit Lyonnais Securities Asia.It claims to be Asia's leading and longest running independent brokerage and investment group.The Hong Kong-based firm offers investment banking,equity broking and asset management to global corporate and insitutional clients.Credit Agricole is their main shareholder.