China's inflation rate accelerates in August

BEIJING: China's inflation rate accelerated slightly in August amid higher costs for food, official data showed Sunday, potentially limiting the government's ability to enact fresh stimulus measures.

Consumer prices rose 2.0 percent year-on-year, the National Bureau of Statistics said, as food prices increased 3.4 percent. Inflation stood at 1.8 percent in July.

Analysts say the figures could make moves such as further cuts to interest rates less likely because of the inflationary risks they pose.

Producer prices -- which measure costs of goods as they leave factories -- declined 3.5 percent year-on-year, falling for the sixth straight month, NBS data showed. Producer prices fell 2.9 percent in July.

China's economy expanded 7.6 percent in the second quarter through the end of June for its weakest performance in three years and marking the sixth straight quarter of slower growth.

The government is targeting expansion in gross domestic product of 7.5 percent for 2012. That would mark a significant slowdown for the world's second-largest economy, which grew 9.3 percent in 2011 and 10.4 percent in 2010.

Data in the current third quarter have remained weak as the slack global economy dents demand for exports and domestic activity weakens.

Chinese authorities have taken steps this year to boost growth by cutting interest rates twice in quick succession and slashing the amount of funds banks must keep in reserve to boost lending, but with little impact so far.

Given continued weak figures, analysts have been expecting authorities to take further monetary loosening steps to fire up growth, though the slight rise in consumer price inflation in August could call that scenario into question.

"The likelihood of a cut is now clearly smaller than last month," IHS Global Insight economists Ren Xianfang and Alistair Thornton said in a report on the August inflation data, emphasising that higher consumer prices make it harder to "absorb the inflationary pressure" of monetary stimulus.

Rather, they expect the government to use other tools, such as fiscal stimulus, to help gird the economy.

Indeed, state media reported Friday that that China has approved a massive infrastructure package worth more than 1.0 trillion yuan ($158 billion).

The top economic planner, the National Development and Reform Commission, last week announced approval of 55 infrastructure projects ranging from subway lines to highways, reports said.

The official Xinhua news agency described the package of projects as a "stimulus plan" though the government did not use that language when announcing the approvals.

China carried out a massive 4.0 trillion yuan fiscal stimulus package in the wake of the global financial crisis in 2008.

Singapore remains 2nd most competitive economy in the world

GENEVA -Singapore has maintained its position as the world's second most competitive economy, missing out on top spot to Switzerland which kept the title for the fourth year running, the World Economic Forum (WEF) said in its annual survey on Wednesday.

The study by the WEF, best known for running the annual meeting of world business leaders at the ski resort of Davos, ranks 144 countries by examining 113 indicators culled from official data sources and a poll of 15,000 executives who opine on the country where they do business.

Switzerland pipped Singapore to the top spot thanks to strong scores in areas such as innovation, labour market effiency and effective public institutions.

The US fell from fifth spot to seventh because of political and economic problems that detracted from its status as a global powerhouse of innovation, the study said.

"We see this development as a result of the growing macroeconomic imbalances in the country but also due to the political deadlock that has been augmenting the problem of macroeconomic imbalances," said Ms Margareta Drzeniek, a senior economist at the Geneva-based organisation.

"There does seem to be an inability to take decisions on the political side." Rather than a big shake-up in the rankings, the 2012 survey found deepening divides, she said.

"One of the reasons those persistent divides are not being closed - and the prime example here is Europe, or the United States as well - is because of the political deadlock that we've observed, that has prevented those countries from taking a longer term approach to improving competitiveness with a view to stabilising growth in the future."

"This political deadlock is jeopardising the future prosperity of those countries because it may lead to a reduction of productivity and a loss of competitiveness and reduced growth in the future."

The lowest ranked EU country was Greece, at 96th. But it was rock bottom - 144th out of 144 - for its macroeconomic environment.

Qatar moved up three places to 11th but may need to reduce its vulnerability to commodity price fluctuations if it is going to break into a top 10 dominated by northern European countries, the report said.

Four of the five BRICS nations fell in the rankings, with only Brazil climbing, up five places from last year to 48th.

China still led the group. Its 29th place ranking was down from 26th in 2011 but still 30 places ahead of India, which has lost 10 places since peaking at 49 in 2009.

"(China's) various barriers to entry appear to be more prevalent and more important than in previous years," the report said.

It added that China benefits from a macroeconomic situation ranked 11th globally, despite a prolonged episode of high inflation.

Russia was 67th, down one place from 2011, with a sharp improvement in the macroeconomic environment offset by weak public institutions, which were ranked 11th worst.

On several scores Russia was ranked among the 10 lowest achievers globally, including its low rates of technological adoption, lack of trust in its financial system, weak level of competition and inefficient markets for goods.

COE down for all categories except small cars

SINGAPORE - Certificate of Entitlement (COE) premiums dropped across the board with only Cat A cars below 1,600cc seeing an increase.

Prices rose 1.7 per cent to $68,000, up from $66,889 from the last bidding two weeks ago.

Motorcycles saw the biggest decrease of 10.5 per cent with premiums dropping from $2,013 to $1,801.

Cars above 1,600cc in Cat B also dipped to $80,191, down 8.9 per cent from $88,002 a fortnight ago.

Premiums for the Open category, which is usually used for cars and is transferrable, also slid 6.4 per cent, ending at $87,999. This is lower than the last bidding's $93,990.

Commercial vehicles saw the smallest decrease of 3.4 per cent to $57,334. This is down from the previous $59,334.

Sept 2012 - First bidding
Category	Sept 5 prices	Aug 23 prices
Cars (1600CC below)	$68,000	$66,889
Cars (above 1,600CC)	$80,191	$88,002
Commercial vehicles	$57,334	$59,334
Motorcycles	$1,801	$2,013
Open category	$87,999	$93,990

Organic food no more nutritious than non-organic: Study

Organic produce and meat typically isn't any better for you than conventional food when it comes to vitamin and nutrient content, although it does generally reduce exposure to pesticides and antibiotic-resistant bacteria, according to a US study.

"People choose to buy organic foods for many different reasons. One of them is perceived health benefits," said Crystal Smith-Spangler, who led a team of researchers from Stanford University and the Veterans Affairs Palo Alto Health Care.

"Our patients, our families ask about, 'Well, are there health reasons to choose organic food in terms of nutritional content or human health outcomes?'"

She and her colleagues reviewed more than 200 studies that compared either the health of people who ate organic or conventional foods or, more commonly, nutrient and contaminant levels in the foods themselves.

The foods included organic and non-organic fruits, vegetables, grains, meat, poultry eggs and milk.

According to US Department of Agriculture standards, organic farms have to avoid the use of synthetic pesticides and fertilizers, hormones and antibiotics. Organic livestock must also have access to pastures during grazing season.

Many of the studies used, though, didn't specify their standards for what constituted "organic" food, which can cost as much as twice what conventional food costs, the researchers wrote in the Annals of Internal Medicine.

Anecdotal evidence

Smith-Spangler and her colleagues found there was no difference in the amount of vitamins in plant or animal products produced organically and conventionally - and the only nutrient difference was slightly more phosphorous in the organic products.

Organic milk and chicken may also contain more omega-3 fatty acids, but that was based on only a few studies.

More than one third of conventional produce had detectable pesticide residues, compared with 7 per cent of organic produce samples.

Organic pork and chicken were 33 per cent less likely to carry bacteria resistant to three or more antibiotics than conventionally produced meat.

Smith-Spangler told Reuters Health it was uncommon for either organic or conventional foods to exceed the allowable limits for pesticides, so it was not clear whether a difference in residues would have an effect on health.

But others said more research is needed to fully explore the potential health and safety differences between organic and conventional foods, and it was premature to say organic foods aren't any healthier than non-organic versions.

"Right now I think it's all based on anecdotal evidence,"said Chensheng Lu, who studies environmental health and exposure at the Harvard School of Public Health.

Man nearly died by shipping himself to girlfriend

CHINA - A man from Chongqing in Southern China nearly suffocated to death after a romantic gesture to his girlfriend went wrong.

Mr Hu Seng had asked his friend to tape him into a box so he could ship himself via a courier service to his girlfriend, Li Wang.

However, the romantic gesture turned into a life-threatening event for Mr Hu when the courier company mixed up the address with another delivery.

The 30-minute wait turned into a three-hour ordeal for Mr Hu.

The material of the box was reportedly too thick for him to make any breathing holes while inside and he did not want to spoil the surprise by calling for attention.

When the box arrived at Li Wang's place, his friend was poised to record the event.

However, they found Mr Hu unconscious and looking pale upon opening the package.

Subsequently, paramedics were called over to her apartment to revive him.

He admitted, "I didn't realise it would take so long."

The courier company said they would not have accepted this delivery if they had known there was a person inside.

The spokesperson said that even for animals, a special container would be used so they can breathe properly.

Tapioca pearls in bubble tea contain carcinogens: Study

German health authorities and researchers have come out swinging recently against the Taiwanese drink bubble tea, warning that the popular dessert beverage presents a choking hazard to children and may contain cancer-causing chemicals.

The warnings, released separately, come as Europe, and Germany in particular, begin to catch on to the bubble tea trend which has already swept major urban centers in North America to become a popular dessert beverage.

After analysing the tapioca balls which make up the 'bubbles' in the drink, researchers from the University Hospital Aachen, for instance, found that the pearls contained polychlorinated biphenyls or PCBs such as styrene, acetophenone, and brominated substances, chemicals that shouldn't be in food at all, researchers told German paper The Local.

Samples were taken from an unnamed chain in Mönchengladbach, in northwest Germany and the tapioca balls were made in Taiwan.

The study comes on the heels of a public health warning from the country's German Federal Institute for Risk Assessment earlier this month, which warned that the tapioca balls also present a choking risk to children.

"Especially with children aged up to four years, there is a risk of foreign objects accidentally entering the lungs," said Dr. Andreas Hensel in a statement. "And that is precisely what can happen when the bubbles are sucked up through a straw."

Meanwhile, the institute says no bubble tea-related accidents have yet been reported.

Why AXA withdrawing coverage for Ferrari crash

He had been speeding in a part of town which was built-up, and where traffic was to be expected at all hours. He also failed to stop at the traffic lights, which had been red for a "significant" period of time.

These are some of the reasons why the vehicle insurer of Ferrari driver Ma Chi, 31, is withdrawing its coverage for the crash in May, which left three dead.

The reasons were outlined in a defence and counter-claim filed in the High Court on Monday by lawyers acting for AXA Insurance Singapore.

The document said: "Ma Chi was doing an act which he knew or ought to have known was courting imminent danger to himself and others."

The crash, it added, was "highly probably, foreseeable and to be expected".

In the counter-claim, the insurer's lawyers said that the incident was due to a "collision", not an accident.

In the insurance industry, this means that the driver was aware that his actions would cause an accident, thereby voiding the insurer's liability to make a payout.

It also stated that amounts from claims made for those injured or killed in the crash should come from Mr Ma's estate.

On May 12, Mr Ma allegedly beat a red light and crashed into a ComfortDelGro taxi, which then hit a motorcycle at the junction of Rochor Road and Victoria Street.

Mr Ma, a financial investor from Sichuan, died at the scene while cabby Cheng Teck Hock, 52, died in hospital along with his Japanese passenger, Ms Shigemi Ito, 41. Both the motorcyclist and a female passenger in the Ferrari were injured.

According to a Health Sciences Authority toxicology report dated June 5, Mr Ma had not consumed alcohol before getting behind the wheel.

AXA first informed Mr Ma's family of its decision to repudiate its liability in July. Last month, the family - through its lawyer, Mr Wendell Wong- filed a suit asking the High Court to rule that the crash was indeed an accident.