Headlines:
•BoE's Adam Posen said it was too early to exit the central bank's easy monetary policy as Britain faces the risk of a double-dip economic downturn
•IMF's Strauss-Kahn, has urged policymakers to err “on the side of caution, as exiting too early is costlier than exiting too late”
•Australia's annual inflation jumps in Nov at its fastest pace in 7 months to 2.1% compared to 1.2% in October
•The UAE central bank said it would provide lenders with access to fresh liquidity and pledged to stand behind UAE banks and branches of foreign groups
 
Europe:
BoE's Adam Posen said it was too early to exit the central bank's easy monetary policy as Britain, along with the United States, faces the risk of a double-dip economic downturn.
 
FT has learnt that ECB will leave its main interest rate unchanged at 1%. However, expected policy tweaks will underline its determination to implement a timely “exit strategy” and return gradually to the level of stability in pre-crisis times. In doing so it will put itself at odds with the IMF, whose MD, Dominique Strauss-Kahn, has urged policymakers to err “on the side of caution, as exiting too early is costlier than exiting too late”.
http://www.ft.com/cms/s/0/311896b8-dd0e-11de-ad60-00144feabdc0.html
 
Michael Spencer, the Conservative party treasurer, says he is “hopeful” that a Tory government would deliver a corporation tax cut even bigger than so far promised and axe the 50p top rate of income tax.
http://www.ft.com/cms/s/0/28cd8302-dd1c-11de-ad60-00144feabdc0.html
 
 
European officials failed to persuade Beijing to begin strengthening its currency, despite talks between top officials ahead of  EU-China summit.
http://www.ft.com/cms/s/0/ae9f736a-dd07-11de-ad60-00144feabdc0.html
 
The EEF manufacturers' organisation reports suggests an easing of credit conditions for the first time in more than a year. Business leaders warn, however, that insolvencies could rise sharply in the next 12 months unless sufficient finance is available, especially for smaller companies.
http://www.ft.com/cms/s/0/03201316-dd14-11de-ad60-00144feabdc0,s01=1.html

 
US:
The global economic rebound is becoming entrenched, led by the US and fast-emerging countries such as Brazil, according to a business survey published by KPMG . The report suggests economic activity will pick up considerably in the next 12 months but the recovery could be less marked in Europe and Japan, where manufacturers expect to continue shedding jobs over the next 12 months.
http://www.ft.com/cms/s/0/e92f3f24-dd02-11de-ad60-00144feabdc0.html
 
 
U.S. retail sales on Black Friday and the weekend after Thanksgiving advanced just 0.5%.  Spending rose to $41.2 billion from $41 billion a year earlier, in line with expectations.
 
Australia & New Zealand:
Australia's annual inflation jumped in November to the fastest pace in seven months, increasing pressure on the central bank to raise interest rates. Consumer prices rose 2.1% from a year earlier, after gaining 1.2% in October, according to an index compiled by TD Securities Ltd. and the Melbourne Institute.
 
Australian business profits fell at the slowest pace in four quarters as earnings at builders and manufacturers offset a drop at banks and retailers. Gross operating profits slipped 2.1% in the third quarter from the previous three months, when they declined a revised 7%, the Bureau of Statistics said.
 
Australia should enjoy a boom in its terms of trade for decades to come thanks in part to the rise of China and India as major trading partners, a member of the central bank's policy making board Warren McKibbin said.
   
Japan:
The head of Bank of Japan said the bank will act decisively in the event of renewed financial market turmoil, his strongest hint yet at fresh support for the economy that analysts say could involve buying more government bonds or a return to quantitative easing.  A government spokesman said QE will indeed be part of the talks when BOJ's Masaaki Shirakawa and Prime Minister Yukio Hatoyama meet.
 
Asia and RoW:
The UAE central bank said it would provide lenders with access to fresh liquidity and pledged to stand behind UAE banks and branches of foreign groups. “The UAE banking system is more sound and liquid than a year ago,” a statement said in the first federal response.
http://www.ft.com/cms/s/0/e9334100-dca8-11de-ad60-00144feabdc0.html
 
India's economy expanded 7.9% last quarter, the fastest pace in 1 1/2 years, giving the central bank room to withdraw more stimulus to check inflation.
 
South Korean exports will return to double-digit growth in 2010 on the back of recovering global trade after posting their steepest decline in half a century this year, the Ministry of Knowledge Economy said. Overseas sales will grow 12.9% next year after a projected 13.9% loss this year, the ministry said in a statement.
 
Venezuelan President Hugo Chavez said he could nationalize private banks for refusing to lend to the poor and for failing to sufficiently aid in the country's development.