Business news for Mon, 17 Dec 2007 & with word forecast. 9 news.

CONSUMER prices in China are expected to fall significantly next year while consumption may replace export and investment to become a major driver of the country's economy, Deutsche Bank said. In a report released yesterday, the bank maintains the forecast of a modest slowing in the nation's gross domestic product to 10.4 percent in 2008 from 11.5 percent this year, according to its December issue of Asia Economics Monthly. "We expect CPI (consumer price index) inflation to fall visibly to an average of 3.8 percent next year, down from the 6.5 percent year on year in October and an average 4.6 percent in 2007." The German bank made its projection based on several trends highlighted recently by the National Development and Reform Commission: - Inflation has been mainly driven by food items and is structural in nature, although international and cost factors also played a role. - This year's domestic wheat and rice output has grown and will be sufficient to meet

EUROPE'S manufacturing and service industries grew at the slowest pace in more than two years this month because of increases in energy and food prices and borrowing costs. Royal Bank of Scotland Group Plc said yesterday a preliminary estimate of its composite index fell to 53.3 from 54.1 in November. That's the lowest since August 2005 and lagged behind the 53.7 median of 15 forecasts in a Bloomberg News survey. A reading above 50 indicates growth. Europe's economy is heading for its slowest growth in three years in 2008 due to a near-record level for the euro, a 50 percent increase in crude oil prices, and higher lending costs. While the European Central Bank this month cut its forecast for economic growth next year, it's held off reducing interest rates as the inflation rate reached a six-year high. "The index is consistent with below-trend growth in the euro zone and this will continue until at least the second quarter 2008," Marco Valli, an economist at

Whats the fate of Yahoo!, NBCU, Google and AOL? CNNMoney's Paul R. La Monica gives his annual forecast.

NEW YORK (MarketWatch) -- KBR on Monday said it expects 2008 earnings of $1.30 to $1.60 a share. Analysts surveyed by Thomson Financial forecast earnings of $1.51 a share, on average. KBR, formerly known as Kellogg Brown & Root, was spun off Halliburton late last year.

PARK CITY, UTAH -- As search engines have increasingly begun to offer display, social media, RSS, widgets and other kinds of inventory, search agencies are stepping up to plan and execute these campaigns. Often, they're leveraging search data and analytics to forecast performance, better target audiences and deliver results that are more brand than direct response-oriented.

LONDON (MarketWatch) -- A measure of purchasing managers index for the euro-zone fell to 53.3 in December from 54.1 in November after drops in both the manufacturing and services sectors. The manufacturing PMI fell to 52.5 in December from 52.8 in November, a drop that wasn't as steep as forecast. The services PMI fell to 53.2 from 54.1, a bigger drop than forecast.

The CBI slashed its forecast for UK economic growth again today due to the continuing crisis on financial markets and soaring oil prices.

The CBI downgrades its economic forecast for 2008, following credit problems and surging energy costs.

The CBI employers' organisation has cut its forecast for UK economic growth for the third consecutive quarter.