* Rajaratnam guilty of insider trading

* China buys most Japanese bonds since 2005

* Former TSMC manager in insider trading plea

* Mineral-rich Mongolia plans to issue first sovereign bonds

* Indian security agencies to intercept email, chats in real time

* Yahoo falls after sale of Alibaba unit

* Toyota to resume production in China in June

* Kazakh party calls for China protest

* Kolkata’s Tega to get $40m investment

* Insurers pressure Brazil and Argentina on rules

* Markets, down

Rajaratnam guilty of insider trading
Raj Rajaratnam, the hedge fund billionaire, has been convicted of insider trading, handing the US government its biggest victory in a generation in its campaign to root out corruption on Wall Street, the FT reports. On their 12th day of deliberations, the jury of eight women and four men convicted the former head of Galleon Group on all 14 counts of securities fraud and conspiracy. He was found guilty on Wednesday of making $63m by trading on inside information about earnings announcements and corporate takeovers.

China buys most Japanese bonds since 2005
China bought the most Japanese long- term bonds since 2005 and sold stocks as the smaller nation’s record earthquake in March spurred demand for safer assets, Bloomberg reports. China purchased a net 234.5 billion yen ($2.9bn) in long-term bonds in March, the biggest amount since January 2005, according to data released today in Tokyo by Japan’s Ministry of Finance. China sold a net 100m yen in Japanese stocks and a net 415.7bn yen of short-term debt, the figures showed.

Former TSMC manager in insider trading plea
A former employee of Taiwan Semiconductor Manufacturing Co has pleaded guilty to conspiracy to commit insider trading, handing prosecutors another victory in their expanding probe of illegal information sharing on Wall Street, the FT reports. Manosha Karunatilaka, a former US-based account manager for TSMC, entered a guilty plea in federal court in Manhattan on Wednesday just hours after a jury convicted Raj Rajaratnam, founder of Galleon Group, of trading on inside information.

Mineral-rich Mongolia plans to issue first sovereign bonds
Mongolia plans to issue its first sovereign bonds this month, marking a milestone for capital markets in this resource-rich democracy, the FT reports. The newly created Development Bank of Mongolia will issue $700m in sovereign bonds to fund lending programmes, Chuluundorj Khashchuluun, chairman of the national development and innovation committee, has told the Financial Times. Mr Khashchuluun said the issuance would take place in tranches beginning this month, with the first slice likely to be $100m.

Indian security agencies to intercept email, chats in real time
Security agencies will soon be equipped to intercept emails and cyber chats in real time through the Centralised Monitoring System (CMS), the Economic Times reports. The high-tech CMS, expected to be operational in a year, will be set up in 30 locations across the country, including Delhi and state capitals. CMS will enhance capacity of security agencies to monitor over 1,500 gbps of traffic through international gateways. Currently, about 25-30 per cent traffic can be tracked by Indian agencies. It will allow decryption of voice-over internet protocol ( VOIP) like Skype, mails and cyber chats in real time.

Yahoo falls after sale of Alibaba unit
Alibaba, the Chinese e-commerce group, has sold control of its online payment company to a group controlled by Alibaba’s chief executive without finalising the terms of the transaction, sparking fears that Yahoo’s prime asset in the region could be diluted, the FT reports. Yahoo shares fell 7 per cent on Wednesday, a day after it briefly mentioned the sale of Alipay to a group whose majority is owned by Alibaba’s Jack Ma in a quarterly filing with market regulators.

Toyota to resume production in China in June
Toyota will resume operations in China in June, two months earlier than expected, Toyota Motor (China) announced Wednesday, China Daily reports. The carmaker said a recent companywide review indicated production would recover to normal levels in its factories in China in June. Meanwhile, Lexus and other imported Toyota autos will also become available in China again next month, but deliveries of some models might be delayed, the company said.

Kazakh party calls for China protest
Kazakhstan’s leading opposition party has called for street demonstrations to protest against the country’s growing business ties with China, the FT reports. Azat, the All National Democratic party, said it hoped to stage a demonstration on May 28 against the growing influence of Chinese companies, particularly in Kazakhstan’s oil and metals sectors. Public protests are usually prohibited in Kazakhstan and it was not clear whether police would sanction Azat’s plan.

Kolkata’s Tega to get $40m investment
TA Associates of the US will acquire a minority stake in Tega Industries, a Kolkata-based engineering company, for $40m, said two people with direct knowledge of the matter, the WSJ reports. Tega makes products for use in mineral processing, material handling and grinding. TA Associates, previously, has invested in companies such as mobile phone manufacturer Micromax Informatics. Tega will deploy the money from TA Associates at its existing facilities in Chile, said one of the sources.

Insurers pressure Brazil and Argentina on rules
Foreign insurers are pressuring Brazil and Argentina to reverse new policies restricting companies from reinsuring risks overseas, the FT reports. New rules that took effect in Brazil last month require at least 40 per cent of all reinsurance business to be placed with local companies and severely restrict insurers from ceding business to companies within the same group abroad. The US, EU and Japan, meanwhile, have initiated informal consultations with Argentina, the first step towards any potential World Trade Organisation complaint, over a decision by Buenos Aires in February to tightly control the reinsurance of policies overseas.

Emerging Markets
MSCI Emerging Market Index down -0.82% at 1,156

Americas
DJIA down -1.02% at 12,630
S&P 500 down -1.11% at 1,342
Bovespa down -1.70% at 63,776

Asia
Nikkei 225 down -0.65% at 9,801
Topix down -0.30% at 855.04
Hang Seng down -0.83% at 23,099
Shanghai Composite down -0.36% at 2,873
MSCI Asia ex-Japan down -1.08% at 579.60
S&P CNX Nifty Index down -0.40% at 5,543

Currencies
€/$ 1.42 (1.42)
$/¥ 81.15 (81.15)

Commodities
Brent Crude (ICE) up +1.39 at 113.87
100 Oz Gold (Comex) unchanged 0.00 at 1,501

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