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Gold Subdued Despite Weak Dollar

French group Suez shares surge as Veolia eyes takeover

Shares in French utility Suez surged on Monday, after water and waste management company Veoliaoffered to buy a stake in Suez as a prelude to a full takeover of the company.

Late on Sunday, Veolia said it was offering to buy a 29.9% stake in Suez from French gas and power utility Engie for 2.9 billion euros ($3.45 billion), saying it aimed to create a "world champion of ecological transformation".

Suez shares were up 16% by 7:10 a.m. GMT. Engie shares rose 5.6% while Veolia's shares advanced 2.2%.

If the offer is accepted by Engie, Veolia will then formally bid for the rest of Suez.

Sudan’s Government Agrees Landmark Peace Deal With Rebels

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Sudan’s transitional government initialed a landmark peace deal with rebels, paving the way for a potential end to fighting that has ravaged much of the African nation for years.

The agreement initialed Monday by an official from Sudan’s Sovereign Council and the Sudanese Revolutionary Front could lead to the insurgents being folded into the army and granted roles in government. It’s the fruit of months of intense negotiations with Sudan’s rulers, a mix of civilians who led the revolt against ousted President Omar al-Bashir and military officials who once enforced his rule.

Rebel groups from the western region of Darfur and two southern border states are among those taking part. Another signing ceremony is to take place in Sudan’s capital, Khartoum.

— With assistance by Abdel Latif Wahba

Goldman Asia Hires Conor Yuan as EM Head of Credit Flow Trading

Goldman Sachs Group Inc. has hired Conor Yuan as its Hong Kong-based head of emerging markets credit flow trading in Asia, according to people familiar with the matter.

Yuan will effectively take over the responsibilities of Amanda Wu, the group’s former co-head of Asia flow credit trading, said the people who are not authorized to speak publicly and asked not to be identified. Wu left the position andjoined Morgan Stanley early August, Bloomberg reported previously. A spokeswoman at Goldman Sachs confirmed that Yuan has joined the firm.

Yuan was previously fromValue Partners Group Ltd. where he was a senior portfolio manager and, before that, headed UBS Group AG’s Asia credit trading operations, according to his LinkedIn profile.

Calls to Yuan’s office went unanswered and he didn’t immediately reply to an email seeking comment.

Acasti Pharma Says Phase 3 TRILOGY 2 Study Did Not Meet Primary Endpoint – Quick Facts

Biopharmaceutical company Acasti Pharma Inc. (ACST) announced Monday top-line results for the Primary Endpoint (triglyceride reduction at 12 and 26 weeks) from its 278 patient Phase 3 TRILOGY 2 study evaluating the efficacy, safety and tolerability of CaPre in patients with severe hypertriglyceridemia. The study did not meet its primary endpoint.

The Company reported a 30.4% median reduction in triglyceride levels among all patients receiving CaPre, as compared to 30.5% in TRILOGY 1, and a 17.9% median reduction in triglyceride levels among patients receiving placebo at 12 weeks (the Primary Endpoint), as compared to 27.5% in TRILOGY 1.

The unadjusted, placebo corrected triglyceride reduction of 12.4% achieved a “p” value of 0.19, which was not statistically significant.

As a result, the company will not file a New Drug Application (NDA) with the U.S. Food and Drug Administration (FDA) for patients with severe hypertriglyceridemia, and does not plan to conduct additional clinical trials for CaPre.

CaPre was well tolerated in TRILOGY 2, with a safety profile similar to placebo, and consistent with the Company’s previously conducted Phase 2 and 3 studies.

Fed Shift, Interest-Rate Guidance, World Hunger Crisis: Eco Day

Welcome to Monday, Americas. Here’s the latest news and analysis from Bloomberg Economics to help you start the week:

  • The Federal Reserve’s move to an extended era of low interest rates offers anopportunity for emerging economy central banks to do the same
    • Thereisn’t any urgency for the Fed to offer more clarity on how long it will hold interest rates near zero at the moment because investors already understand the central bank won’t be tightening for a while, Minneapolis Fed President Neel Kashkari said in an interview on the Bloomberg Odd Lots podcast

    Clayton, Dubilier & Rice To Buy Epicor From KKR In $4.7 Bln Deal – Quick Facts

    Clayton, Dubilier & Rice, KKR, and Epicor Software Corp. (EPIC) announced Monday a definitive agreement whereby CD&R funds will acquire Epicor, a global provider of industry-specific enterprise software to industrial-focused sectors, from leading global investment firm KKR in a deal valued at $4.7 billion.

    Epicor is an acknowledged leader in the industrial end markets it serves, including manufacturing, distribution, retail, and services categories.

    CD&R Operating Partner Jeff Hawn will serve as Chairman of the Epicor Board upon close of the transaction, expected later this year.

    Gold Subdued Despite Weak Dollar

    Gold prices were subdued on Monday despite a weak U.S. dollar, which was set for a fourth straight month of losses.

    Spot gold edged down marginally to $1,963.99 per pounce, while U.S. gold futures were down 0.2 percent at $1,970.85.

    The dollar came under pressure after Fed Chair Jerome Powell outlined an accommodative policy change last week, which could result in inflation moving slightly higher and interest rates staying lower for longer.

    Prices climbed to their highest level in nearly two weeks earlier today in reaction to mixed economic data from China and Japan.

    The manufacturing sector in China continued to expand in August, albeit at a slower pace, the latest survey from the National Bureau of Statistics revealed with a manufacturing PMI score of 51.0. That missed expectations for a reading of 51.2 and it’s down from 51.1 in July.

    Meanwhile, the non-manufacturing index came in with a score of 55.2 – beating forecasts for 55.0 and up from 54.2 in the previous month in a hopeful sign of reviving consumer demand.

    Elsewhere, industrial output in Japan climbed a seasonally adjusted 8.0 percent on month in July, the Ministry of Economy, Trade and Industry (METI) said in a report today. That beat forecasts for a gain of 5.8 percent and was up from 1.9 percent in June.

    The METI also said that the total value of retail sales in Japan was down a seasonally adjusted 3.3 percent on month in July. That missed forecasts for a gain of 3 percent and was down from 13.1 percent in June.