Turkeys EU prospects were bolstered by the news
that Turkish and Greek Cypriots agreed to resume peace talks.
Leaders of the two factions, Tassos Papadopoulos and Mehmet Ali
Talat, said they will restart a process which was stalled after
a unfavourable 2004 referendum vote. The Cyprus issue has been
a major stumbling block in Turkeys efforts to join
the EU, narrowly avoiding derailing recent discussions.
Polish prime minister Kazimierz Marcinkiewicz resigned,
shocking markets, and putting pressure on the zloty. He will
likely be replaced by Jaroslaw Kaczynski, twin brother of
president Lech Kaczynski. The former has said he would replace
newly appointed finance minister Pawel Wojciechowski with
former agricultural bank economist Stanislaw Kluza.
Andres Lopes Obrador said the election won by rival Felipe
Calderon was fraudulent and promised a legal challenge. He
called for more popular rallies to back his cause.
Singapores GDP grew at an annualised quarterly rate
of 1.1%, slowing from 7% in the first three months of the year.
Philippines central bank deputy governor Diwa Gunigundo
predicted inflation will this year fall faster than expected.
The target range of 7.3-7.9% will probably be revised down, he
Moodys upgraded Chiles foreign currency
debt to A2 from Baa1 as high copper prices boosted reserves.
Armando Rodas, Ecuadors finance minister elect, has
pledged not to increase expenditure and suggested he may try to
put aside oil revenue in special trusts designed to finance