Introduced to the former playing legend shortly before the “Forward with Franny” movement swept him to power, Bernstein helped with Lee’s campaign strategy and was rewarded with a place on the board. His four sons have inherited his enthusiasm for the light blue cause, spurning more fashionable alternatives, and the whole family are often to be seen at Maine Road. If only we could start winning on the field, the prospects would be outstanding.”
As a chartered accountant engaged in fashion retailing, the 54-year-old chairman of the French Connection group might not seem to hold obvious qualifications for the immense task of reviving a strife-ridden football club. But he and City go back a long way.Although resident in Finchley for 25 years, Bernstein was born in the North-west in St Helens and has followed City “with great passion” since 1954. What’s more, larger deficits could damage Japan’s credibility and raise “sell Japan” concerns – the selling of stocks, the yen and bonds – said Yoshiichi Taguchi, portfolio manager at Tokyo Marine Asset Management “That’s scary,” he said.. DAVID BERNSTEIN found himself portrayed with some predictability as a man in receipt of a poisoned chalice after he agreed to succeed Francis Lee as chairman of Manchester City.

Given the football club’s perilous position, faced with the once unthinkable prospect of relegation to the third-rate status of the Second Division, the image is understandable Bernstein, however, will have none of it. “Actually, Francis has left the club in good shape,” he said “Our income levels are very acceptable. We have an excellent entertaining and catering set-up, the merchandising side is first class and, of course, we have an incredible supporter base, with crowds regularly approaching 30,000. Stocks were led higher by BT, which said it was looking for a partner to gain a foothold in the $200bn (pounds 125bn) a year US phone market. The FT-SE Telecommunications Index rose 9.44 per cent over the week to 3904.9, with BT jumping 63p to 681p.”Takeover speculation will continue to boost stocks,” said Richard Kersley, a strategist at Credit Suisse First Boston. “Corporate activity is an ongoing theme.” Such speculation has driven up banks, insurance companies and pharmaceuticals.Mr Campbell said he favoured blue-chip stocks which were not exposed to the turmoil in Asia, such as Glaxo Wellcome, SmithKline Beecham and General Accident.

“If the package of measures does include cuts, then that will hurt bonds,” said Shinichi Fukuda, a fund manager at Sumitomo Life Insurance Asset Management. Premier Ryutaro Hashimoto said last week the government will be flexible in its drive to cut its budget deficit.While many economists call for more spending to revive the economy, some bond investors are starting to worry about growing deficits, which could lead to more new issues and a dampening of demand. “Signs that the government is going to put its foot down gave the market reassurance,” said Tomohiko Yohena, a deputy manager at Izumi Securities.Bonds have rallied since late January on a dim economic outlook, driving the benchmark yield down about 30 basis points and raising the possibility that new 10-year bonds may bear a record-low 1.8 per cent coupon.Speculation that the ruling party may propose income tax cuts could hold off buying, some investors said. “When the government buys high- priced stocks like Sony it has a big impact because of the weighting on the index,” said Yoshio Inamura, manager at Tokyo-Mitsubishi Asset Management.Stocks also rose after Eisuke Sakakibara, vice finance minister for international affairs, said the government was “prepared to take decisive measures” to support the yen, which fell to a two-month low against the dollar.Speculation that authorities would sell dollars sent the US currency as low as 128.95 yen, from 131.33 yen, easing concern that foreign investors might liquidate their Japanese equities because a cheap yen pinches their returns. The index fell 1.35 per cent last week to close at 16,830.47.
On Friday, stocks rose for a second day as public pension funds bought shares in an effort to boost the index. JAPANESE stocks are likely to rise this week as the government uses a combination of talk and public funds to boost the index before book-closing on 31 March. Financials, construction, real estate and chemicals may show an increase, yet gains may be capped as foreigners sell into the rally to benefit from the year-end high.