Last Update on July 01, 2015 07:29 GMT
ATHENS, Greece (AP) -- A last-ditch effort to extend the bailout went nowhere and Greece has now failed to repay a loan due to the International Monetary Fund, deepening fears over whether it will be able to remain in the eurozone.
With its failure to repay the roughly 1.6 billion euros ($1.8 billion) to the IMF, Greece became the first developed country to fall into arrears on payments to the fund. The last country to do so was Zimbabwe in 2001.
In a surprise move late yesterday, Deputy Prime Minister Yannis Dragasakis hinted that the government might be open to calling off the popular vote, saying it was a political decision.
With its economy teetering on the brink, Greece suffered its second sovereign downgrade in as many days when the Fitch ratings agency lowered it further into junk status, to just one notch above the level where it considers default inevitable.
Fitch said it now considered a default on privately-held debt "probable."
BEIJING (AP) -- China's manufacturing was weak in June and employers cut more jobs in a new sign the world's second-largest economy is struggling to emerge from a slump.
HSBC Corp. said its purchasing managers' index stood at 49.4, largely unchanged from May's 49.2 on a 100-point scale on which numbers below 50 show activity contracting. A separate index by an industry group, the Chinese Federation for Logistics & Purchasing, was unchanged from May's 50.2 on a similar 100-point scale.
Both surveys showed manufacturing employment declining. HSBC said jobs were cut at the fastest rate since February 2009 in the aftermath of the global financial crisis.
The Chinese government has cut interest rates four times since November and launched mini-stimulus efforts to shore up economic growth that slowed to 7 percent in the first quarter.
Both surveys found new orders and new export orders increased, suggesting global and domestic Chinese demand were reviving.
TOKYO (AP) -- The mood among big Japanese corporations is unexpectedly upbeat despite recent data showing the recovery appears to be stalling.
The Bank of Japan's quarterly "tankan" business survey released today shows a reading of 15 in June, up from 12 in March, for large manufacturers. Among large non-manufacturers it was 23, versus 19 in March.
Large companies plan to boost their capital investment by 9.3 percent from a year earlier, revised up from minus 1.2 percent in March.
The survey reflects the number of those responding with a favorable assessment of business conditions minus those with a negative assessment. So it is considered a gauge of confidence about the economy.
Many experts the economy may have contracted or stayed flat in the April-June quarter due to weak demand and faltering exports.
NEW YORK (AP) -- There's continued fallout from Republican presidential candidate Donald Trump's remarks about Mexican immigrants.
A TV company backed by Mexican billionaire Carlos Slim says it's scrapping a project in development with Trump, and Mexico says it won't be sending a contestant to the Miss Universe contest, which Trump partly owns.
The Miss USA pageant, set to take place July 12 in Baton Rouge, Louisiana, also lost both its co-hosts Tuesday, with "Dancing with the Stars"' Cheryl Burke and MSNBC anchor Thomas Roberts bowing out.
Last week, the hosts of the Univision simulcast, Roselyn Sanchez and Cristian de la Fuente, said they wouldn't take part in the Spanish-language telecast.
SAN JUAN, Puerto Rico (AP) -- Puerto Rico's financial future hangs in limbo as economists and officials warn that the U.S. territory could head down Greece's path if it is not allowed to declare bankruptcy as it struggles with $72 billion in public debt.
The island is closing a troubled fiscal year amid intense investor scrutiny, and the first of several multimillion-dollar debt payments is due. It remains unclear whether the government will meet a roughly $400 million obligation due today, obtain yet another extension from creditors, or default.
Gov. Alejandro Garcia Padilla has said that the overall debt is unpayable and that he will ask for a moratorium on payments, although it is still unknown whether bondholders will agree to that or opt to resolve the issue in court.
NEW YORK (AP) -- Nike Chairman Phil Knight plans to step down, and says he wants President and CEO Mark Parker to succeed him.
Knight, who is 77, says he plans to stay involved with the company after he steps down as chairman. Parker has been Nike's president and CEO since 2006.
Nike Inc. says it expects to name a new chairman in 2016, but no specific date was set for Knight's departure.
Phil Knight co-founded Nike and has been a director of the company since 1968. The company also named his son Travis to a spot on the board Tuesday.
Knight also says he will transfer most of his Nike stock to a limited liability company. The directors of that company will be Knight himself, Parker, and Nike directors Alan Graf and John Donahoe. He says the move will help maintain Nike's corporate governance.