Banks toss bets for high-jeopardy bonds
Investors who profited from high-risk bonds created after the financial crisis are now confronted with a new reality: they may not receive their payments. These bonds, known as AT1 bonds or perpetual bonds, were typically sold by banks with a repayment option triggered after five years. In the past, investors received their money back, and […]
Regional US Banks might sell commercial real estate loans
After exceeding important regulatory criteria for exposure to the ailing industry, several regional U.S. lenders might have to think about selling off the commercial real estate (CRE) borrowings at a significant discount, based on fresh data and similar market sources. Regional banks have decreased their exposure to this sector by making stricter standards and making way fewer loans. This has been especially true […]
UBS changes the CFO, crowns Koerner from CS as head
Ulrich Koerner, the CEO of Credit Suisse, will remain on when the Swiss rival is acquired by UBS Group (UBSG.S), according to a statement released on Tuesday. He will join a new executive team for the combined company. In addition to announcing a change in leadership, UBS also announced the promotion of Todd Tuckner to organiser chief […]
Five queries for the ECB about inflation that is overwhelming
Markets anticipate the European Central Bank to announce its seventh consecutive interest rate increase on Thursday due to the uncomfortably high level of inflation in the euro area. Hawks may feel comfortable arguing for a higher raise now that banks have stabilised somewhat following a March rout, and crucial inflation and bank lending statistics on Tuesday […]
Drastically declining Credit Suisse issues a warning about more risks
After alarmed clients withdrew billions from the bank, Credit Suisse Group (CSGN.S) recorded its largest yearly loss since the global financial crisis of 2008 and issued a caution that a further “significant” loss will occur this year.Having been hit by controversy after scandal, the bank experienced a dramatic increase in withdrawal in the fourth quarter, […]
Credit Suisse promotes CSFB; which results in increased sales
As the troubled lender looks to borrow money for the restructured firm, Credit Suisse Group AG (CSGN.S) is positioning its First Boston corporate finance arm to investors as a mega boutique and anticipates revenue soaring to as much as $3.5 billion, according to a company document.The marketing pitch, which has not previously been revealed, reveals […]
Five queries for the ECB regarding maintaining the path
To combat inflation, the European Central Bank is prepared to announce another significant interest rate increase on Thursday. Less is known about what happens next.Speaking recently in Davos, ECB President Christine Lagarde emphasised the importance of maintaining the current monetary policy.Investors are interested in learning how long and how much more the central bank will […]
BOJ resists market expectations for policy changes, pushing the currency down
In defiance of market expectations that it would gradually wind down its enormous stimulus programme in the midst of escalating inflationary pressure, the Bank of Japan maintained its record-low interest rates on Wednesday, including a bond yield ceiling it was trying to keep.Investors undid bets they placed assuming the central bank would change its yield […]
Policy takes the u-turn; BoJ’s yield curve may slip
After the Bank of Japan’s (BOJ) effort to buy itself some breathing room backfired, encouraging bond investors to try its resolve, the central bank is under fire to alter its policy on interest rates as soon as Wednesday.The BOJ maintains its decades-long effort to fuel price increases in the third-largest economy in the world even […]
Yen reaches seven-month peak amid optimism for a change in BOJ policy
On Tuesday, the yen surged to a seven-month peak versus the dollar due to growing speculation that the Bank of Japan would abandon its ultra-accommodative monetary policy.When the BOJ widened the yield cap variety on 10-year Japanese government bonds (JGBs) steadily for the past month, a supposition that the bank was about to start abandoning […]