FrontRunning 06.27.11

• China Auditor Warns of Risk on Local Debt (Reuters)
• Germany's Weber Slams Rescue Efforts (WSJ)
• Papandreou Faces Showdown on Austerity (Bloomberg)
• Obama to meet Senate leaders, keep debt talks alive (Reuters)
• Deutsche Bank, UniCredit May Have to Raise Additional Capital After Basel(Bloomberg)
• China to stimulate domestic demand: Wen (Reuters)
• Outflows a 'Major' Risk for Greek Banks (WSJ)
• Brussels eyes Tobin tax to aid EU coffers (FT)
• Threat of $100bn hit if US top rating lost (FT)
• Fed Seen Buying $25 Billion a Month in Treasuries After QE2 Comes to End (Bloomberg)
• Push for Private Help for Greece (WSJ)
• Iran Woos U.S. Allies as Troops Withdraw (WSJ)
• Crowd attacks police over Egypt trial delay (FT)
• Bank of America Sees Overseas Takeovers by India Curbed by Rates (Bloomberg)

European economic highlights:

• Italy Hourly Wages for May 0.0% m/m 1.8% y/y Previous 0.1% mom 1.8% y/y.
• Sweden Trade Balance for May 45.7B - lower than expected. Consensus 6.0B. Previous 4.0B.
• UK Nationwide House prices sa for June -0.1% m/m – lower than expected.Consensus 0.0% m/m. Previous 0.3% m/m.
• UK Nationwide House prices nsa for June-3.9% - lower than expected. Consensus -1.3% y/y. Previous -1.2% y/y.
• UK Lloyds Business Barometer for June 36.Previous 14