Treasuries market before auctions for five- andseven-year notes on Wednesday and Thursday respectively. Totalissuance for this week is slated to be $101 billion, includingTuesday’s 2-year auction. [US/] Japan’s exports showed modest signs of recovery in April withshipments to China declining at a slower pace than a yearearlier, reinforcing market views that the worst of the globalslump in trade may be over A drop in exports to the U.S wassmaller than in March. [JPEXPY=ECI] But a trader at Japanese securities firm said this did nothave a significant impact on JGBs as the trade data was notsurprisingly strong (Editing by Joseph Radford) Bonds China Japan.

SAN FRANCISCO (Reuters) – Hewlett-Packard Co (HPQ.N) said on Tuesday a Massachusetts court has cleared a top executive who was lured away from rival EMC Corp (EMC.N) to begin working for the company, although his role at least initially will be different. FranceHP said the Suffolk County Superior Court of Massachusetts entered an order that allows David Donatelli to join HP, modifying an earlier ruling that temporarily blocked him.Donatelli, who started at HP on Tuesday, will serve as its executive vice president of enterprise servers and networking. However, under the terms of the court order, Donatelli will not be working on the storage business, as HP originally planned, after HP and EMC clashed over a non-compete clause he signed.”We are pleased with the court’s ruling upholding the terms of our key employee agreement,” EMC spokesman Michael Gallant said. “The judge has entered an order as proposed by EMC that precludes Mr. Donatelli from being engaged in any aspect of HP’s business that overlaps or competes with EMC’s storage business for a 12-month period.”HP said Dave Roberson will be in charge of the storage business in the interim. In a release, the company said it was pleased with the court’s decision.Donatelli was previously president of EMC’s storage division, which accounted for roughly three-fourths of EMC’s $14.9 billion in revenue last year.EMC filed suit and sought a preliminary injunction to bar Donatelli from taking the job, citing the non-compete clause. The court blocked him from starting at HP until the two companies resolved the dispute.Donatelli also filed suit in California, which generally does not recognize such clauses, seeking to dissolve that agreement.Shares of Palo Alto, California-based HP closed up 1 percent at $34.47 on the New York Stock Exchange.

Shares of Hopkinton, Massachusetts-based EMC rose 3.5 percent to $12.02, also on the NYSE.(Reporting by Gabriel Madway; Editing by Richard Chang and Steve Orlofsky) France. May 26. – Southern Chile copes with the aftermath of torrential rains as some 500 people have been driven from their homes Deborah Lutterbeck, Reuters. DETROIT (Reuters) – U.S. automaker Chrysler LLC said on Tuesday it submitted proposals totaling $448 million to the U.S. Department of Energy to research and develop electric vehicles and plug-in hybrid models. Science  |  ItalyChrysler and its “partners,” plus the Department of Energy, would pay $224 million each should the proposals be approved and would include an investment of up to $83 million to build a new technology and manufacturing center in Michigan to help develop and assemble these vehicles.

That complex should be functional by 2010 and produce more than 20,000 vehicles a year, Chrysler said.The applications for matching funds were made as part of two initiatives at the Department of Energy that are designed to speed up the development and manufacturing of electric vehicles and plug-in hybrids.Chrysler has been operating in bankruptcy since April 30.The announcement of Chrysler’s proposal came a day before a judge is expected to rule on the automaker’s plans to sell its most valuable assets to a new company owned by the U.S. and Canadian governments, Chrysler’s union and Italian car maker Fiat SpA.It also came a week after U.S. President Barack Obama announced tough new fuel economy standards for automakers.As of 2007, when Chrysler was still part of German automaker Daimler AG, the U.S. COLOGNE, Germany (Hollywood Reporter) – Director Michael Haneke, who won Cannes’ Palme d’Or on Sunday for his period drama “The White Ribbon,” will be honored with the CineMerit Award at the Munich Film Festival.

Film  |  PeopleHaneke will be honored at a ceremony July 3 in Munich, Germany, which will be followed by a screening of “The White Ribbon.” The 27th Munich Film Festival (June 26-July 4) will also feature a retrospective of the Austrian director’s recent work.This will mark the second consecutive year that a winner of Cannes’s top prize has been featured at the Munich event. Laurent Cantet’s “The Class” opened the 2008 Munich festival. Film People. * Benchmark 10-year notes edge higher on short-covering Bonds * But 10-year yield still hovering near 6-mth highs * Eyes on 5-year note auction later on Wednesday By Masayuki Kitano TOKYO, May 27 (Reuters) – U.S. 10-year Treasury notes edgedhigher in Asian trading on Wednesday, gaining some respite aftera sell-off the previous day pushed the 10-year yield to asix-month high.