New York, London keeps top spots in global financial centres index
New York easily kept the top spot in the latest Global Financial Centres Index (GFCI). This is according to the ranking that was published. And then, London is held on to second place as Chinese cities slipped. The index was published by the Z/Yen Group in partnership with think-tank China Development Institute. This is a […]
Yen sinks, Aussie climbs as Evergrande contagion fears recede
The safe-haven yen sank to its lowest in nearly three months. From a one month low, the Australian dollar continued to recover. The fears of widespread contagion from China Evergrande Group receded is the main reason for this. The yen also fell as higher U.S. yields attracted Japanese investor money. From July, the U.S. yields […]
Credit Suisse board backs says the CEO
Credit Suisse’s board of directors is convinced that Chief Executive Thomas Gottstein is the right person to strategically realign the bank. This realignment can be done by curbing risk appetite, said the Swiss bank‘s chairman in a newspaper interview. When he was asked whether he was planning to replace Gottstein as CEO or take over the operational lead […]
After China central bank vows to crack crypto trade, Bitcoin slips
Bitcoin fell nearly 5% after China’s central bank said that it would crack down on cryptocurrency trading. From providing services to mainland investors, they have banned the overseas exchange. The largest cryptocurrency was last down 4.6% at $42,874. This fall down is with smaller coins that typically trade in tandem with bitcoin also tumbling. Ether fell over […]
Evergrande crisis spill beyond China
China Evergrande have put investors on guard for evidence that the crisis may be spilling over into broader markets. Evergrande was once China’s top-selling property developer. They owe $305 billion and has run short of cash. Investors are worried that a collapse could pose systemic risks to China’s financial system. There have been few signs […]
Scrapping banker bonus cap not a priority
Bank of England Deputy Governor Sam Woods said that scrapping a cap on bankers’ bonuses inherited from the European Union is not a top priority. Other curbs on remuneration that are aimed at fostering financial stability should not be weakened. Britain’s departure from the EU has raised hopes in the financial sector. Some rules might be changed. […]
There should be banking M&A – Deutsche Bank CFO
Deutsche Bank says that there should be consolidation in the European banking sector. Chief Financial Officer James von Moltke said that the task in hand is to prepare for that outcome. Von Moltke told a financial conference hosted by BofA Securities, that it should first complete a strategic overhaul before contemplating major deals. He also said that they […]
Fed policymakers see upward march in interest rates
Half of U.S. Federal Reserve policymakers are expecting to start raising interest rates next year. They think that the borrowing costs should increase to at least 1% by the end of 2023. The swifter pace of interest rate hikes compared to the central bank‘s last set of projections in June comes as the economy continues its […]
Georgieva defended by Ex-World Bank official
A former World Bank official who prepared reports at the center of a data-rigging scandal defended IMF chief Kristalina Georgieva. Because, the Economist magazine called for her to resign over her alleged role in the controversy. Shanta Devarajan had helped to oversee the World Bank‘s “Doing Business” report in 2017. He said that an outside investigation report alleged […]
Dollar wallows near one week low
The dollar wallowed near its lowest level in a week. This is because, the improved risk sentiment wiped out recent gains amid easing concerns about contagion from a potential China Evergrande Group default. Risk appetite returned, lifting oil and global equities. The 10-year U.S. Treasury notes hit the highest since July overnight at 1.437%. That […]