June 16, 2004

Bank of Japan gives its most positive assessment of economy in more than decade, saying rise in corporate profits is fueling growth in jobs; leaves monetary policy unchanged; yield on benchmark 10-year Japanese government bond falls to 1.795 percent from three-year high of 1.855 percent; bank governor Toshihiko Fukui comments; photo (M)

DaimlerChrysler cuts 15 percent of its 400 management jobs in Brazil (S)m

Citigroup and its Mexican subsidiary Ban9

Anthony Tommasini Critic's Notebook column on New York Philharmonic's announcement that it is extending contract of music director Lorin Maazel through 2009 while conductors Riccardo Muti, David Robertson and Alan Gilbert will conduct part-time beginning in 2006 (M)

Bureau of Labor Statistics reports surge in gasoline prices lifted Consumer Price Index by 0.6 percent in May, largest increase in three and a half years; so-called core inflation rate rose 0.2 percent; core rate has risen 1.7 percent over 12-month period ended in May; food prices rose 0.9 percent, up from 0.2 percent in April, because of sharp increases in meat and dairy prices; big factor was 33 percent increase in government's support price paid to farmers for gallon of milk, which is passed on to consumers; housing costs rose 0.4 percent in May after same increase in April; medical costs rose 0.4 percent in May and April and 4.6 percent over last 12 months; Federal Reserve chairman Alan Greenspan says Fed is likely to raise feeral funds rate slowly, until it is close to what it considers neutral level for healthy economy with mild inflation, testimony before Senate Banking Committee; graph; photo (M)

Newark Museum is presenting first major museum exhibition devoted to work of Bruce Springsteen; multimedia presentation focuses on his use of cars and highways as theme in his songs; photo (Our Towns article) (M)

DiPalo's Fine Foods in Lower Manhattan offers wide assortment of cheeses and usually long line of customers waiting to sample and buy; store opened in 1925; photos (M)

Whitney Museum names Italian architect Renzo Piano to design expansion for its permanent collection and public and educational space; Piano's plan is far more modest than proposal by Rem Koolhaas that was abandoned by board last year; map (M)

Kelefa Sanneh reviews concert by British singer Dido at Beacon Theater; photo (M)

World Business Briefing: Britain: Retailer To6

Fierce opposition to proposed liquefied natural gas terminals in Baja California has thrown into doubt Mexican government's plan to end country's dependence on US gas imports; Petroleos Mexicanos is heavily taxed to finance government's budget and is starved for cash to develop country's abundant natural gas reserves; Mexican government estimates demand for natural gas will grow 6.8 percent per year through 2012; building of natural gas terminals would enable Mexico to import gas from distant new sources, like South America, Russia and Indonesia; photo (M)

A surge in gasoline prices raised the consumer price index by 0.6 percent in May, the largest monthly increase in three and a half years, the government reported. Food prices also jumped, while the prices of many other items rose by enough to suggest that the inflation rate will continue to climb gradually.