Dodd Unveils Financial Market Reform PlanCBS

Derivatives industry veteran, Jamie Cawley, comments on pending regulatory reform and remaining levels of credit counterparty risk in the financial markets.

Old Trade Clearing Picture Unclear -Derivatives Week Online

IDX CEO Cawley, appearing on a Financial Technologies Forum panel today in New York City, discusses the economics of novating existing CDS trades into a central clearinghouse.

Challenging the Status Quo - Structured Credit Investor

IDX's Jamie Cawley discusses clearinghouse fungibility and the likelihood the market supports multiple platforms.

Archived Credit Derivatives News

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9.6.2010		BIS Questions Growth Tradeoff - Wall Street Journal The Bank for International Settlements said sustained debt reduction need not be a cause of weaker growth in the aftermath of a crisis, as long as policy makers fix the problems that caused the turmoil in the first place. (more...)
9.6.2010		BNP Paribas makes 'add' recommendation on Glencore - Creditflux In credit research published today, BNP Paribas maintains a ‘stable credit trend’ and ‘add recommendation’ on Glencore. Although strategists foresee more volatility / underperformance of the credit in the coming weeks, they hold a constructive view in the medium term, as the trading/mining environment remains broadly favourable and some positive… (more...)
9.6.2010		Basel vs Barclays - Financial Times Sighted in the market — a Basel III attack on a UK bank.Of course, Diamond Bank would really rather continue being Universal Bank, thank you very much. But diamonds don’t come cheap.... (more...)
9.6.2010		Former Morgan Stanley credit trading head joins Citi - Creditflux Citi has recently hired a former Morgan Stanley credit trading head (more...)
9.6.2010		Trading desk recommends bank sub-CDS play - Creditflux BNP Paribas’ credit trading desk has recommended a relative value play on two banks' subordinated credit default swaps (more...)
9.6.2010		Switch UK bank's bonds, says trading desk - Creditflux BNP Paribas’ trading desk has put forward two new relative value recommendations for holders of Lloyds Bank cash bonds (more...)
9.6.2010		More Anglo Irish candour - Financial Times Spot the odd one out in this bevy of Irish credit spreads on Monday — chart and data courtesy of Markit:That’ll be Anglo Irish Bank CDS taking off towards 700bps,... (more...)
9.6.2010		Afghans Move to Bail Out Kabul Bank - Wall Street Journal Afghanistan's government inched closer to bailing out the country's largest bank, setting aside hundreds of millions of dollars that could be used to keep Kabul Bank solvent, officials said. (more...)
9.6.2010		German Banks Warn of Basel III Costs - Wall Street Journal Germany's largest 10 banks may need as much as $135 billion in extra capital under new international regulatory standards, the Federal Association of German Banks said. (more...)
9.6.2010		Europe rallies inside IG as US celebrates Labor Day - Creditflux An optimistic mood has greeted European credit markets at the start of the week, with iTraxx Europe trading inside CDX IG for the first time in a month (more...)
9.6.2010		GSC Group files for bankruptcy, reports Bloomberg - Creditflux Credit manager GSC Group has filed for bankruptcy, according to Bloomberg. It says the firm, which was once one of the biggest CDO managers, has debts of $313.6 million. According to the article, the manager is negotiating the sale of its assets to Black Diamond Capital Finance, which is also… (more...)
9.6.2010		Long-short credit fund attracts inflows - Creditflux A credit fund has put in a strong performance in August, according to investors, with a 2% NAV increase, taking its year to date return to well over 8% (more...)
9.6.2010		Macquarie Bank: desperately seeking swagger - Financial Times That old affluent sparkle seems rapidly to be wearing off Australia’s once seemingly teflon-coated Macquarie Bank – especially after the unthinkable happened and MacBank,... (more...)
9.6.2010		Hyundai Bidding War on the Horizon - Wall Street Journal The sale of Hyundai Engineering & Construction will pit two former sister companies against each other, in a deal that could fetch $3 billion for the construction firm's creditors (more...)
9.6.2010		EU Seeks Consensus on Bank Levy - Wall Street Journal Ways to protect taxpayers from bearing the cost of any future banking crisis will top the agenda at a meeting Tuesday of European Union finance ministers. (more...)
9.6.2010		Sell December payer spreads on iTraxx Europe, says Barcap - Creditflux In its Credit Strategy piece, published today, Barclays Capital recommends selling 1x2 payer spreads with a December expiry. Strategists say this provides an attractive way to the steep skew in three-month iTraxx Europe implied volatility. The bank recommends a trade which earns 11bp upfront and has positive P&L if the… (more...)
9.6.2010		BDC credit assets under management top $10 billion - Creditflux The combined net asset value of credit-focused business development companies has topped $10 billion for the first time, according to data compiled by Creditflux (more...)
9.6.2010		Dealers scrap new loan index - Creditflux Dealers have voted against rolling the LexX Senior index into a seventh series on 20 September (more...)
9.6.2010		Barclays to Tap Diamond as CEO - Wall Street Journal Barclays is expected to name its president and investment-banking chief, Robert E. Diamond, as chief executive, succeeding current boss John Varley. (more...)
9.6.2010		Stress Tests Missed Debt at EU Lenders - Wall Street Journal Europe's recent "stress tests" of the strength of major banks understated some lenders' holdings of potentially risky government debt, Wall Street Journal analysis shows. (more...)
9.6.2010		Bankruptcy Court Is Battleground for Traders - Wall Street Journal Traders in the beaten-down bonds and loans of troubled companies have turned bankruptcy court, which was created as a place for ailing firms to heal, into a venue for large investors to apply their sophisticated techniques in quest of profits. (more...)
9.6.2010		Hyundai Bidding War Looms - Wall Street Journal The sale of Hyundai Engineering will pit two former sister companies against each other. A deal could fetch $3 billion for the construction firm's creditors. (more...)
9.6.2010		Euro, Sterling Weaken - Wall Street Journal The euro gave up early gains as optimism over last week's better-than-expected U.S. nonfarm payrolls faded and investors eyed a packed calendar of central-bank meetings. (more...)
9.5.2010		Afghans Move to Bail Out Kabul Bank - Wall Street Journal Afghanistan's government inched closer to bailing out the country's largest bank, setting aside hundreds of millions of dollars that could be used to keep Kabul Bank solvent, officials said. (more...)
9.5.2010		BIS Questions Growth Tradeoff - Wall Street Journal Sustained debt reduction need not be a cause of weaker growth in the aftermath of a crisis, as long as policy makers fix the problems that caused the turmoil in the first place, the Bank for International Settlements said. (more...)
9.4.2010		Withdrawals Continue at Kabul Bank - Wall Street Journal Afghans continued pulling money from Kabul Bank—their country's largest bank—Saturday, despite assurances from top officials that the lender was financially secure.  (more...)
9.4.2010		Number of the Week: Safer Banks Without Sacrificing Growth - Wall Street Journal Contrary to conventional wisdom tougher banking regulations could generate 1.9% of added economic growth, according to the Bank for International Settlements. (more...)
9.3.2010		An impatient market is not a happy market - Financial Times Andrew Haldane, the Bank of England's executive director of financial stability, has penned a hugely thoughtful piece about the implications of growing cultural impatience and... (more...)
9.3.2010		Further reading - Financial Times Elsewhere on Friday,- Ben Bernanke’s Labor Day reading list.- Roubini’s new odds on a double-dip recession.- When bankers are more dangerous than warlords…... (more...)
9.3.2010		Dirty Money Probe Circles Globe - Wall Street Journal A slim lead helped spark an inquiry that found some of Europe's banks actively evaded U.S. law in aiding sanctioned countries to move $2 billion undetected. (more...)
9.3.2010		ECB Dismisses Double Dip - Wall Street Journal The European Central Bank raised its central forecast for 2010 economic growth in the euro zone after leaving its benchmark interest rate unchanged at a record-low of 1%, as expected. (more...)
9.3.2010		Bundesbank Seeks Sarrazin's Dismissal - Wall Street Journal The German central bank said its board will ask the country's president to dismiss Thilo Sarrazin, whose comments on immigration have caused a political storm. (more...)
9.3.2010		Credit spreads maintain rally into weekend on thin flows - Creditflux Credit spreads have continued to rally today, with much awaited US non-farm payroll data keeping a check on initial trading volumes but showing an improvement on expectations when they came in (more...)
9.3.2010		High yield companies come back to market - Creditflux Japanese telco operator Softbank has sold JPY130 billion (€1.2 billion) of 1.245 three-year unsecured notes, its largest ever straight bond issuance. Proceeds will be used redeem 2011 bonds. Softbank’s credit default swaps have traded in a narrow range over the past week at around 220bp, but rallied sharply from 290bp… (more...)
9.3.2010		Sub Financials and Crossover curves most attractive, says bank - Creditflux BNP Paribas’ trading desk has pointed out in a relative value note today that credit curves are very unlikely to flatten (more...)
9.3.2010		Banks Admit Better Disclosure On Bonuses Needed - Wall Street & Technology Banks said they need to be more open about the size of their bonus pools and the methodology for paying star bankers, after making progress in other areas of reforming pay structures. (more...)
9.3.2010		Four Ex-BofA/Merrill Advisers Sue For Gender Bias - Wall Street & Technology Bank of America Corp was sued Thursday in Manhattan federal court by four female financial advisers and trainees who accused the largest U.S. bank of mistreating and firing them because of their gender. (more...)
9.3.2010		Sarrazin's Dismissal Sought - Wall Street Journal The German central bank said its board will ask the country's president to dismiss Thilo Sarrazin, whose comments on immigration have caused a political storm. (more...)
9.3.2010		Credit spreads maintain rally into weekend - Creditflux Credit spreads have continued to rally today, with much awaited US non-farm payroll data keeping a check on initial trading volumes but showing an improvement on expectations when they came in (more...)
9.3.2010		Cuomo Looks at Schools' Role in Student Credit Cards - Wall Street Journal New York State Attorney General Andrew Cuomo announced a statewide investigation of credit-card companies marketing to college students through schools. (more...)
9.3.2010		Libor Falls as Banks Sit on Cash - Wall Street Journal A key interest rate on short-term loans between banks is at its lowest level in five months, but the decline may be more a sign of bank caution than an all-clear for the financial markets. (more...)
9.3.2010		Cuomo Probes Cards' School Ties - Wall Street Journal New York State Attorney General Andrew Cuomo announced a statewide investigation of credit-card companies marketing to college students through schools. (more...)
9.2.2010		Bundesbank Seeks Sarrazin's Dismissal - Wall Street Journal The German central bank said its board will ask the country's president to dismiss Thilo Sarrazin, whose comments on immigration have caused a political storm. (more...)
9.2.2010		East Coast Braces for Hurricane Earl - Wall Street Journal Tropical-storm force winds are expected to reach the North Carolina coast by Thursday afternoon, with hurricane-force winds expected to arrive near the Outer Banks Thursday night, before steadily turning north to New England, the National Hurricane Center said. (more...)
9.2.2010		A gazillion more CDS trades - Financial Times All hail the Depository Trust and Clearing CorporationThe DTCC has provided an updated and more in depth version of its market “snapshot” of CDS trade — six-month... (more...)
9.2.2010		Bank continues high yield build-up with two senior hires - Creditflux A bank has made two new key hires to its high yield trading business in Europe. (more...)
9.2.2010		Equity tranches rally amid trading flurry - Creditflux Yesterday’s US credit rally prompted an uptick in CDX IG9 tranche trading, say traders (more...)
9.2.2010		Copenhagen's Eik Bank Chooses Orc Trading for Proprietary Trading - Advanced Trading The bank will use Orc to support expansion into different assets, citing access to exchanges around the world. (more...)
9.2.2010		Ireland’s exteeeeended banking issues - Financial Times So much, perhaps, for that scary September of bank refinancing.Reuters reports that Ireland “signalled” on Wednesday, that it’s seeking to extend its guarantee... (more...)
9.2.2010		Sweden Raises Interest Rates - Wall Street Journal Sweden's Riksbank raised its key interest rate, continuing its gradual normalization of policy following heavy rate cuts in the wake of the financial downturn. (more...)
9.2.2010		Spain and France auctions fuel credit rally - Creditflux European credit markets got off to a strong start today following yesterday’s US rally (more...)
9.2.2010		Go long Europe/short US in index or options, says trading desk - Creditflux BNP Paribas’ trading desk has recommended investors return to a strategy of going long Europe versus the US through indices or credit options (more...)
9.2.2010		To: HSH Nordbank employees, Re: Spying, porn - Financial Times And you thought German landesbanks were boring.Last week, HSH Nordbank reportedly sent a memo to its employees preparing them for an upcoming Spiegel report. At the centre of... (more...)
9.2.2010		ECB Raises Growth Forecast - Wall Street Journal The European Central Bank raised its central forecast for 2010 economic growth in the euro zone after leaving its benchmark interest rate unchanged at a record-low of 1%, as expected. (more...)
9.2.2010		Ratings on $55bn muni debt face cut - Financial Times Credit ratings on almost 900 municipal bonds, or $50bn to $55bn of debt, could be cut by up to three notches by Moody's Investors Service (more...)
9.2.2010		Probe Circles Globe to Find Dirty Money - Wall Street Journal A slim lead helped spark a global inquiry that found some of Europe's vaunted banks actively evaded U.S. law in aiding sanctioned countries to move $2 billion undetected. (more...)
9.2.2010		Toronto-Dominion Quarterly Net Up 29% - Wall Street Journal Toronto-Dominion Bank's third-quarter earnings rose 29% from a year earlier, aided by strong retail results in both Canada and the U.S. and lower loan-loss provisions, but nonetheless just missed analyst expectations. (more...)
9.2.2010		Karzai Kin Asks U.S. to Bolster His Bank - Wall Street Journal A top shareholder in Kabul Bank called on the U.S. to shore up the lender after depositors withdrew about a third of its cash reserves in two days, while the country sought to avert a destabilizing crisis. (more...)
9.1.2010		FDIC Finds 829 U.S. Banks at Risk - Wall Street Journal More than a tenth of U.S. banks remain at risk of failure even as some industry indicators, including credit quality, show signs of revival. (more...)
9.1.2010		China Deflects Pressure for Yuan Rise - Wall Street Journal China will continue to relax restrictions on the use of the yuan, but those changes won't resolve China's massive trade imbalance with the U.S., the central bank's deputy governor said. (more...)
9.1.2010		Traders play the basis in credit indices - Creditflux Mid-August saw large flows through credit index rolls and curve trades as some relative (more...)
9.1.2010		UK banks make credit push across the Atlantic - Creditflux Two big UK banks with a relatively small credit trading presence are gearing up to extend their expansion plans to the US (more...)
9.1.2010		CDPC fights back in dispute on cash holdings - Creditflux Cournot Financial Products has asked a federal court in New York to dismiss a lawsuit which reveals the tensions between credit derivative product companies and the banks that bought protection from them (more...)
9.1.2010		The solution to all the ECB’s problems, by Goldman Sachs - Financial Times Goldman Sachs does it better than the ECB . . . or the rating agencies.Late on Tuesday, the investment bank published a proposal for the European Central Bank’s future... (more...)
9.1.2010		FDIC: 829 U.S. Banks at Risk - Wall Street Journal More than a tenth of U.S. banks remain at risk of failure even as some industry indicators, including credit quality, show signs of revival. (more...)
9.1.2010		Update: Bank loses high-yield trading head - Creditflux Further details have emerged in relation to yesterday’s article (more...)
9.1.2010		Bank hires trader for Sydney credit push - Creditflux Further details have emerged of a recent credit trading hire (more...)
9.1.2010		Credit spotlight - Mixed outlook for insurers - Creditflux Exposure to mortgage-backed assets and European sovereigns has made insurance companies a barometer for the global economy (more...)
9.1.2010		Credit hedge funds deliver the goods - Creditflux Long-only credit funds have made stellar returns in the past 18 months, but credit hedge funds have delivered better Sharpe ratios (more...)
9.1.2010		Wolseley - What the UK’s regulatory shuffle means for credit - Creditflux As credit marketeers return from summer holidays their thoughts are focused on the likelihood of a “double dip” and the merits of more quantitative easing. When Fed chairman Ben Bernanke was in London last year he coined the phrase “credit easing” to describe the willingness of central banks to inject… (more...)
9.1.2010		Manager lifts gates on long-short credit fund - Creditflux A London-based credit manager has lifted the redemption restrictions on a fund it recently took over (more...)
9.1.2010		Athens is open for short-selling - Financial Times All eyes on the Greek stock market and Hellenic bank shares because Wednesday, September 1, is the day the Hellenic Capital Market Commission's ban on short-selling of shares listed... (more...)
9.1.2010		Weber Stumbles on Way to Head ECB - Wall Street Journal The blunt criticism by Germany's top central banker, Axel Weber, of the European Central Bank has led to lingering tension with others on the ECB governing council. (more...)
9.1.2010		Clashing Testimony on Lehman Collapse - Wall Street Journal The general counsel of the New York Fed was expected to defend the government's response to Lehman's 2008 bankruptcy, while former CEO Fuld said the bank might have survived if U.S. regulators had made different decisions. (more...)
9.1.2010		ADB plans triple currency bond - Financial Times The Asian Development Bank plans to finance clean energy projects across the region by selling a bond denominated in three currencies to Japanese retail investors (more...)
9.1.2010		Henderson adds experienced credit analyst - Creditflux Henderson Global Investors has appointed Andrew Griffiths as analyst in its credit team. Griffiths joins a team of eight credit analysts, which is in turn part of a team of 22 credit specialists spanning investment grade, high yield, loans and ABS. He began work at the firm yesterday and reports… (more...)
9.1.2010		Cell C signs €240 million credit agreement with Chinese bank - Creditflux South African network operator Cell C has announced a €240 million credit agreement with China Development Bank. Proceeds will be used to refinance a portion of Cell C’s euro-denominated senior secured notes, of which €116 million is currently outstanding and callable at 102.156. The company also has $266 million of… (more...)
9.1.2010		US regulators See Dodd-Frank Help On Systemic Risk - Wall Street & Technology U.S. banking regulators see new powers under the Dodd-Frank financial reform law helping avoid a repeat of 2008's frenzied sale of Wachovia and the wreckage that followed the collapse of Lehman Brothers. (more...)
9.1.2010		U.S. Judge Approves BofA Settlement Fund - Wall Street & Technology A federal judge approved the creation of a $150 million fund for Bank of America Corp shareholders as part of a settlement with the Securities and Exchange Commission over the bank's 2009 acquisition of Merrill Lynch. (more...)
9.1.2010		JPMorgan Chase Shutting Down Prop Trading - Wall Street & Technology JPMorgan Chase &Co has told commodities traders who bet with the bank's money that their desk will be shut down, as it looks to comply with new U.S. banking laws, a person briefed on the matter said. (more...)
9.1.2010		EU Law to Crack Down on Abusive Short Selling - Advanced Trading European Union regulators would be able to ban abusive short selling of shares and naked selling of credit default swaps and sovereign debt for three months or more under a draft EU law seen by Reuters on Wednesday. (more...)
9.1.2010		JP Morgan Securities Inc. no longer exists - Financial Times Blink and you would’ve missed it, but JP Morgan Securities has just changed its legal status, and name.From the Federal Reserve’s primary dealers update:The Limited... (more...)
9.1.2010		All aboard the QE2 - Financial Times Bank of America Merrill Lynch has joined the passengers on the good ship QE2 and expects to set sail some time early in New Year.From strategist David Bianco on Wednesday:Owing... (more...)
9.1.2010		Evans-Pritchardium, the Telegraph hack of thunder - Financial Times In case you missed it, there was a pretty major event that transpired over the long weekend in the UK.While many were stuck on the M40 motorway, attempting to get out of London for the Bank Holiday,... (more...)
9.1.2010		Fuld Faults U.S. Over Lehman Collapse - Wall Street Journal Former Lehman Brothers CEO Richard Fuld said in prepared testimony that the bank might have survived if U.S. financial regulators had made different decisions. (more...)
9.1.2010		Palestinians Crack Down on Hamas - Wall Street Journal Palestinian security forces arrested more than 150 Hamas members in an overnight sweep throughout the West Bank after the Islamic militant group claimed responsibility for shooting dead four Israelis. (more...)
9.1.2010		J.P. Morgan Names CFO for Investment Bank - Wall Street Journal J.P. Morgan Chase promoted Tushar Morzaria to chief financial officer of its investment bank, to succeed Paul Compton. (more...)
9.1.2010		Traders Bet on BB&T Moves in Either Direction - Wall Street Journal Traders readied for regional bank BB&T's shares to shoot up or down, taking a position that profits if the stock stages big moves over the next several weeks. (more...)
9.1.2010		Colonial Bank Parent Wins Bankruptcy Fight With FDIC - Wall Street Journal A federal judge has rejected the FDIC's claim that it is owed more than $900 million from the former parent of Colonial Bank, which was seized by banking regulators last year. (more...)
9.1.2010		Traders Bet on BB&T Moves Up or Down - Wall Street Journal Traders readied for regional bank BB&T's shares to shoot up or down, taking a position that profits if the stock stages big moves over the next several weeks. (more...)
9.1.2010		Mediator to Guide Tribune Talks - Wall Street Journal Tribune said a court-appointed mediator will help negotiate among sparring creditors in the company's 21-month stint in bankruptcy. (more...)
8.31.2010		Basis traders pile into bank sub debt as bonds lag default swaps - Creditflux Credit basis traders have honed in on bank subordinated capital in recent weeks, as lower-tier-two financials continued to underperform in the cash markets (more...)
8.31.2010		Bank loses high-yield trading head - Creditflux A French bank has lost its head of high yield credit trading (more...)
8.31.2010		Creditex holds Pakistan flood relief charity day - Creditflux Creditex has announced that its London office will run its first ever charity day this Thursday, 2 September, to raise funds for the Pakistani flood disaster relief. The firm will do so through a combination of charities, but primarily (90%) through the DEC (Disasters Emergency Committee) and 10% direct to… (more...)
8.31.2010		Failed Bank Bargains Run Dry - Wall Street Journal Despite the brisk pace of U.S. bank failures this year, buyers of the assets are accepting smaller price discounts and more credit risk, and in some cases paying a premium for deposits. (more...)
8.31.2010		Anglo Irish Posts Massive Loss - Wall Street Journal Anglo Irish Bank said the Irish government has injected a further $10.87 billion to keep it afloat and that more capital will be needed, as it reported a massive first-half loss. (more...)
8.31.2010		Options stay active amid sluggish index widening - Creditflux European credit spreads are creeping wider today, catching up on the US move that occurred during yesterday’s UK bank holiday (more...)
8.31.2010		Mike Mayo’s Citi DTAaaaaaaattaaaaack! - Financial Times Where oh where, did the Mike Mayo vs Citigroup dispute begin?The CLSA bank analyst hit headlines last week after Fox Business News revealed Mayo had been “frozen out”... (more...)
8.31.2010		A central banker’s parable: the boy who cried ‘tekisetsu’ - Financial Times Here’s some suggested bedtime reading for Japanese officials, who might be wondering why the more vociferously they threaten action to curb the yen’s growing strength,... (more...)
8.31.2010		Where’s Zhou Xiaochuan? - Financial Times It's not often that central bankers go missing. Zhou Xiachuan, governor of the People's Bank of China, appeared to do so at the end of last week, says FT Alphaville. Rumours of... (more...)
8.31.2010		The (near) cash! The (near) cash! - Financial Times Short-selling info firm, DataExplorers, reports on Tuesday that the amount of commercial paper (CP) and certificates of deposit (CDs) -- otherwise known as ‘near cash' instruments... (more...)
8.31.2010		PBOC: Yuan Reform Won't Close Trade Gap - Wall Street Journal China will continue to relax restrictions on the use of the yuan, but those changes won't resolve China's massive trade imbalance with the U.S., the central bank's deputy governor said. (more...)
8.31.2010		Kroll Gets a License to Shoot (Bonds) - Wall Street Journal Onetime corporate sleuth Jules Kroll has acquired a small credit-ratings firm, in an effort to get licenses needed to go up against S&P, Moody's and Fitch. (more...)
8.31.2010		Chrysler Sets Fiat Rollout - Wall Street Journal About 400 Chrysler dealers gather in downtown Detroit to hear how they could help bring the Fiat brand back to the U.S. after a nearly 30-year absence. (more...)
8.31.2010		FDIC Finds 829 U.S. Banks at Risk - Wall Street Journal More than a tenth of U.S. banks remain at risk of failure even as some industry indicators, including credit quality, show signs of revival. (more...)
8.31.2010		'Flash Crash' Prompts a Rethinking of the Rules - Advanced Trading The Flash Crash quickly spurred the realization that disparate regulation across the interdependent securities and derivatives markets is ineffective. As a result, the SEC and CFTC are wasting no time taking steps to shore up the market structure and to simplify and harmonize rules for all participants. By Dan Safarik (more...)
8.31.2010		Icahn Boosts Lions Gate Bid - Wall Street Journal Carl Icahn raised the price of his hostile tender bid for Lions Gate by 15% as he continued to seek majority control of the film-and-television producer. (more...)
8.31.2010		China Deflects Pressure for Yuan Rise - Wall Street Journal China will continue to relax restrictions on the use of the yuan, but those changes won't resolve China's massive trade imbalance with the U.S., the central bank's deputy governor said. (more...)
8.31.2010		Anglo Irish Digs Deeper Hole - Wall Street Journal Anglo Irish Bank's CEO put a $31.66 billion estimate on the Irish government's bill to bail out the bank, as it reported a massive first-half loss. (more...)
8.31.2010		Crisis Panel to Hear from Bernanke, Lehman's Fuld - Wall Street & Technology Federal Reserve Chairman Ben Bernanke and bank regulator Sheila Bair will testify this week before a U.S. panel exploring the causes of the financial crisis. (more...)
8.31.2010		An illustrated history of yen intervention - Financial Times As you can see from that RBS chart, since the Bank of Japan’s last big splurge of intervention in 2003/04 the yen has appreciated by 20 per cent against the US dollar.... (more...)
8.30.2010		UPDATE 2-BofA loses bid to end investor lawsuits on Merrill - Wall Street & Technology A Manhattan federal judge refused to dismiss shareholder lawsuits against Bank of America Corp and various executives and directors over the purchase of Merrill Lynch during the 2008 financial crisis and disclosures about Merrill's losses and bonus payouts. (more...)
8.30.2010		Modest Measures Fail to Contain Yen - Wall Street Journal Japan's government offered a modest stimulus package and the central bank took steps to curb the rising yen, but a tepid market reaction leaves policy makers under pressure to do more. (more...)
8.30.2010		Push for Accord on Bank Rules - Wall Street Journal Global politics and complicated risk management formulas will collide in September as regulators from around the world try to reach an agreement on new banking rules aimed at preventing another financial crisis. (more...)
8.30.2010		FT Alphaville’s Bank Holiday break - Financial Times FT Alphaville, including our Markets Live team, is taking a break on Monday’s UK bank holiday. However, our Cut email letters will be delivered as usual.Full service will resume on Tuesday.... (more...)
8.30.2010		BOJ Moves Fail to Contain Yen - Wall Street Journal The Bank of Japan failed to curb the strong yen with an emergency easing Monday, raising pressure on policy makers to do more in coming days. (more...)
8.30.2010		Chrysler Dealers to Hear Fiat Pitch - Wall Street Journal About 400 Chrysler dealers will gather in downtown Detroit to hear how they could help bring the Fiat brand back to the U.S. after a nearly 30-year absence. (more...)
8.30.2010		Bankers Say Recovery Likely to Stay on Track - Wall Street Journal Current and former central bankers from around the world said an uneven global economic recovery was likely to stay on track despite worries about the vitality of the U.S. economy. (more...)
8.30.2010		Bank of Japan Moves to Contain Yen - Wall Street Journal Japan's central bank agreed at an emergency monetary-policy meeting to take new steps to rein in the soaring yen and pump up the slumping economy, in the latest sign of currency worries rippling around the world. (more...)
8.30.2010		Bargains Over for Buyers of Failed Banks - Wall Street Journal Despite the brisk pace of U.S. bank failures this year, buyers of the assets are accepting smaller price discounts and more credit risk, and in some cases paying a premium for deposits. (more...)
8.30.2010		Chrysler Sets Fiat Rollout - Wall Street Journal About 400 Chrysler dealers gather in downtown Detroit to hear how they could help bring the Fiat brand back to the U.S. after a nearly 30-year absence. (more...)
8.30.2010		Kroll Gets a License to Shoot (Bonds) - Wall Street Journal Onetime corporate sleuth Jules Kroll has acquired a small credit-ratings firm, in an effort to get licenses needed to go up against S&P, Moody's and Fitch. (more...)
8.30.2010		BofA Loses Bid To End Investor Lawsuits On Merrill - Wall Street & Technology A Manhattan federal judge refused to dismiss shareholder lawsuits against Bank of America Corp and various executives and directors over the purchase of Merrill Lynch during the 2008 financial crisis and disclosures about Merrill's losses and bonus payouts. (more...)
8.30.2010		Newedge Warns of International Regulatory Arbitrage in OTC Derivatives - Advanced Trading Supports regulatory harmony between the European Commissions proposals and the U.S Dodd-Frank Bill's private clearing initiatives. (more...)
8.30.2010		Chrysler Plans Fiat Rollout - Wall Street Journal About 400 Chrysler dealers gather in downtown Detroit to hear how they could help bring the Fiat brand back to the U.S. after a nearly 30-year absence. (more...)
8.30.2010		Measures Fail to Contain Yen - Wall Street Journal Japan's government offered a modest stimulus package and the central bank took steps to curb the rising yen, but a tepid market reaction leaves policy makers under pressure to do more. (more...)
8.29.2010		BOJ May Hold Emergency Meeting - Wall Street Journal The Bank of Japan will likely hold an emergency policy-board meeting early this week to discuss additional monetary easing measures aimed at slowing the yen's rise. (more...)
8.29.2010		Bankers Say Recovery Likely to Stay on Track - Wall Street Journal Current and former central bankers from around the world said an uneven global economic recovery was likely to stay on track despite worries about the vitality of the U.S. economy. (more...)
8.29.2010		Federal Reserve Ponders Bolder Moves - Wall Street Journal Fed Chairman Bernanke opened the door to bolder central bank moves to revive the economy. Separately, the Commerce Department revised down its estimate for second-quarter GDP growth. (more...)
8.29.2010		BOJ Plans Urgent Meeting - Wall Street Journal Japan's central bank is expected to hold an emergency meeting early this week to inject new money into the banking system. The prime minister also plans to unveil a modest package of fiscal-stimulus measures. (more...)
8.29.2010		AIA's IPO Timing Is Daunting - Wall Street Journal Those involved in taking American International Group's AIA Group public insist the October timing is firm. Unfortunately, the calender isn't AIA's friend. Weak U.S. economic data and fears of a double-dip recession are threatening to keep global markets choppy just when bankers need investors to feel confident. (more...)
8.29.2010		Japan Battles Soaring Yen - Wall Street Journal Japan's central bank said it will hold an emergency monetary-policy meeting, and the finance minister said the government is prepared to take action to rein in a soaring yen, in the latest signs of currency worries rippling through the global economy. (more...)
8.29.2010		Push for Accord on Bank Rules - Wall Street Journal Global politics and complicated risk management formulas will collide in September as regulators from around the world try to reach an agreement on new banking rules aimed at preventing another financial crisis. (more...)
8.28.2010		Federal Reserve Ponders Bolder Moves - Wall Street Journal Fed Chairman Bernanke opened the door to bolder central bank moves to revive the economy. Separately, the Commerce Department revised down its estimate for second-quarter GDP growth. (more...)
8.28.2010		Jordan's Central Bank Chief Defends Role of U.S. Dollar - Wall Street Journal Jordan's central bank chief defended the U.S. currency's role as the chief global reserve currency on Saturday, and fretted about the potential for a wave of competitive devaluations by some emerging-economy nations. (more...)
8.28.2010		BOJ May Hold Emergency Meeting as Early as Monday - Wall Street Journal The Bank of Japan will likely hold an emergency policy board meeting early this week to discuss additional monetary easing measures aimed at slowing the steep rise of the yen. (more...)
8.27.2010		The FSA’s finance fix (Part I): credit is different - Financial Times Behold — your financial crisis/accounting/structured finance/financial reform reading for the weekend:The 126-page discussion paper is from the UK’s Financial Services Authority,... (more...)
8.27.2010		Weak Firms Pile On Debt---and Trouble - Wall Street Journal For America's weakest companies, today's credit markets are a miracle drug allowing them to cheat death. But a number of the firms could have trouble generating enough cash flow in coming years. (more...)
8.27.2010		Oops, MBS settlements failing again - Financial Times Oh dear.After reversing their upward trajectory of late, MBS trade settlement fails in the US primary dealer repo market picked up rather forcefully last week.This, for example,... (more...)
8.27.2010		About that Irish downgrade - Financial Times So what was really behind Ireland’s furious reaction to this week’s S&P downgrade?Did a looming refinancing of government guaranteed bank debt play a part?We... (more...)
8.27.2010		The FSA’s finance fix (Part II): attacking the arbitrage - Financial Times Continued from Part I.The idea that banks arbitraged accounting categories to avoid mark-to-market losses as credit markets seized up in 2008 and 2009, won’t exactly be surprising.... (more...)
8.27.2010		Justice Department Aids CME Inquiry - Wall Street Journal The CFTC has spoken with the Justice Department about the futures regulator's antitrust inquiry into CME Group's conduct in its Treasury-futures business. (more...)
8.27.2010		Visteon prepares $700 million exit loan, Reuters reports - Creditflux Reuters reports that Visteon has asked its bankruptcy court for approval of a $700 million exit loan, citing court documents. It says Morgan Stanley will be the lead arranger and agent bank for the package, which will comprise a $200 billion revolver and a $500 million term loan. The car… (more...)
8.27.2010		The FSA’s finance fix (Part III): dampening profits - Financial Times Continued from Part II.A valuation-based approach may be the FSA’s preferred option for fixing banks’ trading books and fortifying them against future risk, but it’s difficult,... (more...)
8.27.2010		Big Banks Winners From New Contingent Capital Move - Wall Street & Technology Plans to make hybrid bond investors share the pain when banks run into trouble could polarise the financial sector into big firms that can afford to pay up for capital and smaller players that cannot. (more...)
8.27.2010		Bernanke Says Fed Stands Ready - Wall Street Journal Fed Chairman Bernanke said Friday he is prepared to do what it takes to support an economic recovery as central bankers gathered in Wyoming. (more...)
8.27.2010		Bernanke: Fed Won't Hesitate to Take Action - Wall Street Journal Bernanke signaled that the central bank could take new actions to spur a faltering recovery amid fresh reports showing economic growth has slowed. (more...)
8.27.2010		AMG reports strong flows into credit mutual funds - Creditflux The week has seen strong inflows into credit mutual funds, according to AMG/Lipper, with $1.3 billion moving into high grade debt funds in the week ending Wednesday (25 August), a 0.4% rise. In percentage terms, however, the biggest increases came in emerging market debt (up $231 million or 1.5%) and… (more...)
8.27.2010		CME Inquiry Gets an Assist - Wall Street Journal The CFTC has spoken with the Justice Department about the futures regulator's antitrust inquiry into CME Group's conduct in its Treasury-futures business. (more...)
8.27.2010		Federal Reserve Ponders Bolder Moves - Wall Street Journal Fed Chairman Bernanke opened the door to bolder central bank moves to revive the economy. Separately, the Commerce Department revised down its estimate for second-quarter GDP growth. (more...)
8.27.2010		Justice Dept. Aids CME Inquiry - Wall Street Journal The CFTC has spoken with the Justice Department about the futures regulator's antitrust inquiry into CME Group's conduct in its Treasury-futures business. (more...)
8.26.2010		Better Possibilities - Financial Times Or, Credit Suisse soothes the knife-catchers.It’s safe to say that BP hasn’t exactly outperformed since its July Q2 results release, ouster of a failing chief executive,... (more...)
8.26.2010		Firm Makes Bold Bet on Falling Prices - Wall Street Journal As more investors worry about the possibility of deflation, a Canadian insurer, Fairfax Financial, has spent nearly $200 million to buy derivative contracts wagering on a decline in the consumer-price index, an inflation indicator. (more...)
8.26.2010		Credit derivatives prepares for switch to new novation practice - Creditflux Isda has announced plans to streamline credit derivative novations through a new market standard (more...)
8.26.2010		Nasdaq OMX Unveils Volatility Target Index - Advanced Trading Nasdaq OMX Group announced that it will launch a new volatility index in conjunction with Deutsche Bank’s global asset management segment, a system it said is designed to limit risk for investors dealing on the Nasdaq-100 Index. (more...)
8.26.2010		UBS Faces Wave of Lehman Note Legal Woes - Advanced Trading Even as UBS launches a global campaign to revive its banged-up brand, the Swiss bank's U.S. brokerage faces another costly and embarrassing wave of regulatory actions. (more...)
8.26.2010		Banks turn to Madrid bonds for collateral - Financial Times The use of Spanish government bonds shows that confidence in Madrid has risen in recent weeks as fears recede that the country's sluggish economy will trigger defaults on bonds and loans (more...)
8.26.2010		Calls for radical rethink of derivatives body - Financial Times ISDA will need to reposition itself if it is to regain real clout. It could take a leaf out of Mr Greenspan's book and admit it made a mistake by assuming self-regulation would always work, says Gillian Tett (more...)
8.26.2010		FSA Seeks Tougher Bank Rules - Wall Street Journal The U.K.'s financial regulator said bank-capital rules should be overhauled to ensure enough capital is held against potential trading losses. (more...)
8.26.2010		ICBC, Bank of China Post Rising Profits - Wall Street Journal Two of China's biggest lenders reported strong earnings growth for the first half, cementing their strong position in the global financial sector. (more...)
8.26.2010		Credit Agricole rallies after beating Q2 estimates - Creditflux Credit Agricole credit default swaps have edged off the month’s wides after the bank beat estimates for the quarter. Five-year senior CDS is 3bp tighter at 138bp. This is against a backdrop of flattish corporate credit spreads and a slightly wider iTraxx Europe Senior Financials basket. Credit Agricole’s overall profit… (more...)
8.26.2010		Royal Bank of Canada Profit Drops on Trading - Wall Street & Technology Royal Bank of Canada said Thursday its third-quarter profit fell 18 percent, missing analysts' estimates, as weak trading activity ate into capital markets income. (more...)
8.26.2010		Mmm, Irish yield stew - Financial Times Take on more bank bailout risk than you planned for.Get kicked around by a rating agency.Then kick back at the rating agency.Watch spreads on your bonds widen to new records.... (more...)
8.26.2010		China Banks Cut Back on Loans to Local-Government Entities - Wall Street Journal China's big banks are starting to cut back lending to local-government projects, walking a delicate line between addressing risks to the financial system and keeping up the flow of money to the infrastructure boom that supports the nation's economy. (more...)
8.26.2010		Tribune Says Operating Cash Flow Rises 44% - Wall Street Journal Tribune disclosed limited financial results that indicate it is performing ahead of the prior year, even as Tribune has hit a roadblock in its 20-month effort to steer out of bankruptcy. (more...)
8.25.2010		Global regulators consider bank creditor "bail-in" proposal, says WSJ - Creditflux The Wall Street Journal reports that the Financial Stability Board, a global group of finance ministers, regulators and central bankers, is planning to make a proposal to the G20 meeting in November which would establish a system of what it calls bank “bail-ins”. This would be a mechanism where governments… (more...)
8.25.2010		BOJ Considers Move as Yen Rises - Wall Street Journal The Bank of Japan is considering additional measures to loosen monetary policy further to ease the negative impact of the surging yen on the domestic economy. (more...)
8.25.2010		S&P downgrades broadcaster as loan holders block coupon - Creditflux Standard & Poor’s downgraded troubled US broadcaster Radio One to selective default yesterday after it skipped a coupon payment on its 2013 subordinated bonds on 15 August. Bank lenders blocked the interest payment because of a leverage covenant failure on the loans. A failure to cure the default within the… (more...)
8.25.2010		Fitch trups CDO change will lead to new wave of downgrades - Creditflux Fitch says it is likely to downgrade most CDOs backed by US bank trups by one to two notches, after changing its methology for rating these deals. The main change seems to be that the agency is assuming a greater likelihood of losses for trups that are deferring payments. This… (more...)
8.25.2010		AIA Names More Banks for IPO - Wall Street Journal AIG has added Bank of America-Merrill Lynch, Credit Suisse and UBS to the list of bankers helping it with its planned IPO of its AIA arm in Hong Kong. (more...)
8.25.2010		Robeco says it's first European manager to centrally clear CDS - Creditflux Robeco has today announced its claim to be the first European asset manager to execute a centrally cleared over-the-counter credit derivative trade. The firm says this test has been conducted in anticipation of the planned legislative and regulatory reforms of the OTC derivatives market. Robeco cleared an index trade through… (more...)
8.25.2010		Numerix Expands South Asia Presence With New Seoul Office - Advanced Trading Numerix, a provider of cross-asset analytics for derivatives valuations and risk management, announced the opening of a new regional office in Seoul, a move the firm said is aimed at capitalizing on the growing South Korean derivatives market. (more...)
8.25.2010		Longs race for cover as early rally fails - Creditflux After a weak close across credit markets yesterday, European spreads tried to rally this morning (more...)
8.25.2010		FSA Calls for Tougher Bank Oversight - Wall Street Journal The U.K.'s financial regulator said bank-capital rules should be overhauled and there should be tougher oversight of banks' trading valuation and risk-management systems. (more...)
8.25.2010		Firm Makes Bold Bet on Falling Prices - Wall Street Journal As more investors worry about the possibility of deflation, a Canadian insurer, Fairfax Financial, has spent nearly $200 million to buy derivative contracts wagering on a decline in the consumer-price index, an inflation indicator. (more...)
8.25.2010		Ford Uses Wi-Fi to Customize Cars - Wall Street Journal Ford is using Wi-Fi at one assembly plant to add software to its new Edge and Lincoln MKX crossovers, but it may be just the start of the customization possibilities at car factories and dealerships. (more...)
8.24.2010		Second-liens face near wipe-out in power default - Creditflux LCDX dealers have voted to hold an auction to settle loan-only credit default swaps referencing a US power generator (more...)
8.24.2010		Dealers vote to hold Boston Generating LCDS auction - Creditflux LCDX dealers have voted to hold an auction to settle loan-only credit default swaps referencing US Power Generating Company subsidiary Boston Generating (more...)
8.24.2010		Judge Roils Stem-Cell Research - Wall Street Journal A U.S. judge blocked the federal government from funding research involving human embryonic stem cells, a surprise blow to one of the most promising yet controversial areas of current scientific research. (more...)
8.24.2010		Kabel ups outlook as it eyes credit facility pay-down - Creditflux Kabel Deutschland's credit default swap spread is trading in today at 400bp, against a slightly wider market backdrop, after reporting results that were roughly in line with expectations. The firm has upped its outlook for the full year, however. Kabel is set to repay €25 million of its senior credit… (more...)
8.24.2010		Dealers See Problems in Fiat Plans - Wall Street Journal As Chrysler prepares to lay out its strategy for selling a subcompact car from partner Fiat, the move is raising concerns among dealers struggling to sell the vehicles they already have on their lots. (more...)
8.24.2010		HSBC Eyes Majority Stake in Nedbank - Wall Street Journal HSBC is in talks to buy a majority stake in South Africa's Nedbank, in a move that could help it expand its operations in African markets where Chinese and other investors are active. (more...)
8.24.2010		Financials active as US housing expectations weigh on spreads - Creditflux Credit spreads are heading wider today, with European investment grade underperforming (more...)
8.24.2010		Trups redemption clause will boost CLOs, says Moody's - Creditflux The three-month window for banks to redeem their trust preferred securities in the Dodd-Frank law will be positive for trups CDOs in terms of default risk, according to Moody’s. In a recent report, the rating agency says that around $2.8 billion , or 7%, of trups CDO collateral could be… (more...)
8.24.2010		Yen intervention 101: why it won’t work - Financial Times Those yen-intervention rumours are flying, fuelled by reports of discreet phone calls between the Japanese PM’s office and the Bank of Japan, not-so-discreet complaints from... (more...)
8.24.2010		The BoE behind closed doors – surprisingly philosophical - Financial Times Or, what keeps Britain’s central bankers up at night.The Bank of England and the Centre for Economic Policy Research hosted their fourth monetary policy roundtable on July 14,... (more...)
8.24.2010		Pink picks - Financial Times Comment, analysis and other offerings from Tuesday’s FT,Sheila Bair: Road to safer banks runs through BaselOf all the lessons learnt in the recent financial crisis, the... (more...)
8.24.2010		Bank Sovereign-Debt Disclosures Get Muddied - Wall Street Journal Banks' disclosures about their government-debt holdings after the EU stress tests now leave an opaque picture of their portfolios. (more...)
8.24.2010		BoJ – just checking - Financial Times There was some talk on Tuesday that the Bank of Japan had been ‘checking prices’ in the foreign exchange market — a move that could suggest imminent intervention,... (more...)
8.24.2010		Trups redemption clause will boost CDOs, says Moody's - Creditflux The three-month window for banks to redeem their trust preferred securities in the Dodd-Frank law will be positive for trups CDOs in terms of default risk, according to Moody’s. In a recent report, the rating agency says that around $2.8 billion , or 7%, of trups CDO collateral could be… (more...)
8.24.2010		Dear SNB LLC investor… - Financial Times The euro plunged to an all-time low against the Swiss franc on Tuesday:Which means analytical knives are out for the Swiss National Bank’s dear, departed policies of... (more...)
8.24.2010		Repo is still puzzlingly inverted - Financial Times Barclays Capital’s latest collateral update continues to puzzle over why overnight general collateral (GC) is trading cheap to the overnight indexed swaps (OIS) — a.k.a.... (more...)
8.24.2010		TradeStation Integrates Futures Trading on Eurex - Advanced Trading TradeStation Securities announced real-time trading in Eurex futures has been integrated into its platform, a move the firm said was driven by growing demand from traders seeking the ability to deal in a wider range of global futures markets. (more...)
8.24.2010		China fund bond sale faces criticism - Financial Times The domestic arm of China's main sovereign wealth fund completed its first bond sale, raising Rmb40bn ($5.9bn) from the interbank market as it prepares to help recapitalise some of the world's largest banks (more...)
8.24.2010		Disney, Apple Near iTunes Deal - Wall Street Journal Walt Disney is close to an agreement that would allow Apple's iTune's online store to rent ABC network TV shows to viewers for 99 cents each. (more...)
8.24.2010		What's the Beef? Food-Inflation Fears - Wall Street Journal Cattle prices are soaring toward records, pushing up beef prices in stores, with gains fueled by rising appetites globally and a dwindling U.S. herd. (more...)
8.23.2010		Snap news - Financial Times Breaking pre-market news on Monday,- HSBC confirms it’s in talks with Old Mutual on Nedbank majority stake — statement and statement.- Petrofac posts first-half... (more...)
8.23.2010		Bank Sovereign-Debt Disclosures Get Muddied - Wall Street Journal Banks' disclosures about their government-debt holdings after the EU stress tests now leave an opaque picture of their portfolios. (more...)
8.23.2010		Emerging market debt funds see strong inflows of funds - Creditflux Emerging market debt funds saw the biggest influx of funds among US credit mutual funds last week in percentage terms, according to AMG/Lipper data. There was a net increase of $257 million in these funds in the week ending last Wednesday (18 August), representing a 1.8% increase. High yield bond… (more...)
8.23.2010		Bank of America, Ex-CEO Lewis Deny Cuomo Fraud Charges - Wall Street & Technology Bank of America and former Chief Executive Kenneth Lewis denied civil fraud charges brought by New York's attorney general over the bank's takeover of Merrill Lynch amid the 2008 financial crisis. (more...)
8.23.2010		Groups turn to private placements for funding - Financial Times The deals, whereby companies tap investors directly for loans, are on track for one of their strongest years, highlighting the extent to which companies are seeking to diversify their funding sources away from banks (more...)
8.23.2010		Junk-rated companies paying higher interest costs in order to secure credit - Financial Times Junk-rated companies that are tapping bond markets now ahead of a potential flood of issuance in a few years are paying higher interest costs than on much of their existing debt. (more...)
8.23.2010		Libor volatility is price of disrupted credit - Financial Times Most practitioners in money markets continue to ask when will money markets start functioning normally again (more...)
8.23.2010		A mixed outlook for CRE and CMBS - Financial Times As we have noted many times, exposure to commercial real estate loans has been among the biggest problems for small banks in the US.Losses and potential losses on CRE loans,... (more...)
8.23.2010		Fed Split on Move to Bolster Economy - Wall Street Journal At least seven of 17 Fed officials spoke against or expressed reservations on a plan to alter the way the Fed manages its huge portfolio of securities before the move was approved on Aug. 10. (more...)
8.23.2010		Some Chrysler Dealers See Problems in Fiat's Plans - Wall Street Journal As Chrysler prepares to lay out its strategy for selling a subcompact car from partner Fiat, the move is raising concerns among dealers struggling to sell the vehicles they already have on their lots. (more...)
8.23.2010		EXCLUSIVE: MURDOCH CONTROLS ‘BANK’ FOR SUPER RICH (and poor) - Financial Times If you register with Britain’s Financial Services Authority, you must be in the process of setting up an investment bank or something, right? And if you are doing that, then... (more...)
8.23.2010		In the land of two curves, and one price - Financial Times Marco Bianchetti, a senior quantitative analyst in market risk management at Intesa Sanpaolo Bank, has a very intriguing piece out in this month’s Risk Magazine.It’s highly technical,... (more...)
8.23.2010		Pink picks - Financial Times Comment, analysis and other offerings from Monday’s FT,Interactive graphic: Bankers’ pay – whose fell the most? The FT survey reveals that, while many bank... (more...)
8.23.2010		HSBC Eyes Majority Stake in Nedbank - Wall Street Journal HSBC is in exclusive talks to buy a majority stake in South Africa's Nedbank, in a move that could help it expand its operations in growing African markets where Chinese and other investors are increasingly active. (more...)
8.23.2010		Mortgage Fraud Is on the Rise Again - Wall Street Journal Mortgage fraud, which helped inflate the housing bubble and left banks and government housing agencies with an avalanche of bad debt, is up again. The crime rose last year after declining for two years from its 2006 peak. (more...)
8.23.2010		Dealers See Problems in Fiat's Plans - Wall Street Journal As Chrysler prepares to lay out its strategy for selling a subcompact car from partner Fiat, the move is raising concerns among dealers struggling to sell the vehicles they already have on their lots. (more...)
8.23.2010		M&A talk helps tone as week begins on a rally - Creditflux Credit markets are beginning the week with a modest tightening back of spreads, following the sell-off at the end of last week (more...)
8.23.2010		GSO plans structured credit fund-raising - Creditflux GSO Capital is hoping to raise new capital for a CLO investment fund (more...)
8.22.2010		Credit-Card Rates Climb - Wall Street Journal Borrowing rates for a large portion of U.S. credit-card accounts have been rising and are likely to climb further in the near future. (more...)
8.22.2010		Mortgage Fraud Is On the Rise Again - Wall Street Journal Mortgage fraud, which helped inflate the housing bubble and left banks and government housing agencies with an avalanche of bad debt, is up again. The crime rose last year after declining for two years from its 2006 peak. (more...)
8.21.2010		Regulators Seize ShoreBank - Wall Street Journal Regulators seized ShoreBank, agreeing to sell assets to a team led by the community lender's executives and backed by several U.S. financial firms. Three other small banks failed, bringing the year's total to 114. (more...)
8.21.2010		Swiss Seek to Return Duvalier Funds - Wall Street Journal A proposed law would send $5 million allegedly stolen by former Haitian dictator Duvalier decades ago—and potentially clean up Switzerland's reputation as banker to the world's strongmen. (more...)
8.20.2010		Guest post: The Fed does not want debt monetisation - Financial Times FT Alphaville presents a guest post from Jerry H. Tempelman, CFA, who was previously a Senior Financial and Economic Analyst with the Federal Reserve Bank of New York. The views... (more...)
8.20.2010		BofA, Lewis Deny Fraud Charges - Wall Street Journal Bank of America and its former Chief Executive Ken Lewis have have filed responses denying Cuomo's civil-fraud lawsuit that stems from the bank's purchase of Merrill Lynch. (more...)
8.20.2010		Tribune to Amend Reorganization Plan - Wall Street Journal Media company Tribune on Friday agreed to amend its bankruptcy reorganization plan after key supporters, including J.P. Morgan Chase, withdrew their support this week. (more...)
8.20.2010		Derivatives-Curbs Debate Reignited - Wall Street Journal Market experts are urging federal regulators to impose restrictions on banks' ownership in derivatives clearinghouses, reigniting a debate that will likely spark lobbying by banks and market operators opposed to the idea. (more...)
8.20.2010		Regulators Seize ShoreBank; Management Takes Over - Wall Street Journal Regulators seized ShoreBank and agreed to sell assets to a team led by the community lender's executives and backed by several large U.S. financial firms. Three other small banks failed in Florida and Virginia, bringing the year's total to 114. (more...)
8.20.2010		Creditors Scuttle Tribune's Plan - Wall Street Journal Media company Tribune on Friday agreed to amend its bankruptcy reorganization plan after key supporters, including J.P. Morgan Chase, withdrew their support this week. (more...)
8.20.2010		The Demise of the Corporate Data Center - Wall Street & Technology To secure their infrastructure and processes, Wall Street firms have built up castle walls around their data for years. But electronic trading is creating cracks in those walls. (more...)
8.20.2010		BofA Ex-CEO Denies Fraud Charges - Wall Street Journal Bank of America's former Chief Executive Ken Lewis has filed a response denying Cuomo's civil-fraud lawsuit that stems from the bank's purchase of Merrill Lynch. (more...)
8.20.2010		Card Firms Gird for Cut to Late Fees - Wall Street Journal Starting Sunday, credit-card issuers could lose more than $3 billion in revenue annually, as new federal laws on late-payment fees kick in. (more...)
8.20.2010		Flipping the capital structure || erutcurts latipac eht gnippilF - Financial Times Spotted late on Thursday – one massive change for banks’ capital structures appearing just on the horizon.The Basel Committee published a 20-page consultative... (more...)
8.20.2010		Potash Shakes Trees for Bidders - Wall Street Journal Potash, the target of a hostile $38.6 billion bid from BHP Billiton, is exploring alliances with petrochemical, agri-business and Chinese sovereign banks that could fashion a competing offer. (more...)
8.20.2010		Barcap highlights Yankee bank hybrid opportunities - Creditflux Barclays Capital has published credit research today in which it examines opportunities in Yankee bank hybrids. Strategists note that these have lagged as senior spreads have benefited recently from the increased transparency provided by the European stress test results. Barcap believes that many Yankee hybrids are cheap compared with the… (more...)
8.20.2010		August in ‘busy’ shocker for global M&A - Financial Times It’s beginning to look as if Credit Suisse were right about the upcoming rise of global M&A they recently predicted, though perhaps even they couldn’t have guessed... (more...)
8.20.2010		Fighting Flares on Derivatives Rules - Wall Street Journal How to regulate derivatives? Wall Street's attention has shifted from Congress to the federal agencies that have to interpret the law by writing hundreds of new rules. (more...)
8.20.2010		Bank of America Ex-CEO Denies Fraud Charges - Wall Street Journal Bank of America's former Chief Executive Ken Lewis has filed a response denying Cuomo's civil-fraud lawsuit that stems from the bank's purchase of Merrill Lynch. (more...)
8.20.2010		Swiss Seek to Return Duvalier Funds to Haiti - Wall Street Journal A proposed law would send $5 million allegedly stolen by former Haitian dictator Duvalier decades ago—and potentially clean up Switzerland's reputation as banker to the world's strongmen. (more...)
8.20.2010		Regulators Seize ShoreBank - Wall Street Journal Regulators seized ShoreBank, agreeing to sell assets to a team led by the community lender's executives and backed by several U.S. financial firms. Three other small banks failed, bringing the year's total to 114. (more...)
8.20.2010		'Merchant of Death' to be Extradited - Wall Street Journal A Thai appeals court ruled to extradite suspected Russian arms dealer Viktor Bout to face terrorism charges in the U.S. Friday after intense diplomatic pressure from Washington. (more...)
8.20.2010		Week ends on widening amid new growth concerns - Creditflux Credit spreads are ending the week with significant widening, after further poor data out of the US (more...)
8.19.2010		Potash Shaking Trees for Other Bidders - Wall Street Journal Potash, the target of a hostile $38.6 billion bid from BHP Billiton, is exploring alliances with petrochemical, agri-business and Chinese sovereign banks that could fashion a competing offer. (more...)
8.19.2010		Banks’ buyback pain to be $17bn – $42bn, Fitch estimates - Financial Times While the Firm uses the best information available to it in estimating its repurchase liability, the estimation process is inherently uncertain and requires the application of judgment.... (more...)
8.19.2010		Voice Trading in Derivatives Is Not Dead: Long Live the Squawk Box! - Advanced Trading Sweeping financial reform of the OTC derivative market targets aspects of voice trading, however today’s traders rely on voice solutions more than ever. (more...)
8.19.2010		Philly Fed double-dip disappoints - Financial Times The Federal Reserve Bank of Philadelphia’s index of business conditions registered a big unexpected fall into negative territory, on Thursday.Here’s the breakdown... (more...)
8.19.2010		Credit basis manager tops €1 billion in AUM - Creditflux Munich-based asset manager Assenagon has announced that it has increased its credit funds under management to over €1 billion. The assets are managed within the firm’s two funds, Assenagon Credit Basis and Assenagon Credit Basis II, both of which are Ucits III funds which pursue basis trading strategies. (more...)
8.19.2010		Why haven’t there been more bankruptcies? - Financial Times This chart below, courtesy of The Economist, raises a puzzling question as much as it depicts a worrisome trend (though it does that too):The Economist writes that bankruptcy... (more...)
8.19.2010		Basel gives good CoCo - Financial Times Basel goes bank CoCo nuts. Or as the Basel Committee has put it more, ah, soberly:The Basel Committee is of the view that all regulatory capital instruments must be capable of... (more...)
8.19.2010		Further reading - Financial Times Elsewhere on Thursday,- Those Druckenmiller years.- Six questions for China.- Brad DeLong does the Treasury bubble.- Should minors have bank accounts?- A contrarian take on gold.... (more...)
8.19.2010		Pink picks - Financial Times Comment, analysis and other offerings from Thursday’s FT,Analysis: Banking reform – suspense overThe new Basel rules are softer than the industry feared as economic... (more...)
8.19.2010		The loneliness of the long-distance inflationista - Financial Times Joachim Fels just isn’t giving in, part two.Despite mounting signs of global deflation fear – as yields on ultra-long bonds fall – Morgan Stanley’s central-bank... (more...)
8.19.2010		LCH.Clearnet Hires Michael Davie to Head SwapClear's Products for Buy Side - Advanced Trading Appointment of JP Morgan executive reflects commitment to buy-side OTC derivatives clearing offering. (more...)
8.19.2010		BofA Merrill Lynch to Pay $2.5 Million in FINRA Matter - Wall Street & Technology Bank of America Merrill Lynch will pay $2.5 million in restitution and fines after it failed to provide discounts to customers on a type of securities sale, the brokerage industry's primary regulator said. (more...)
8.19.2010		Power cut as Boston Generating files for bankruptcy - Creditflux Boston Generating, which holds the third largest power generating portfolio in the New England region, filed for bankruptcy on 18 August in the southern district of New York. The New England power generator has almost $2 billion in debt, including $1.13 billion in first lien loans, a $250 million first… (more...)
8.19.2010		Goldman sues Natixis over super senior CDO swap - Creditflux The Financial Times reports that Goldman Sachs is suing Natixis in London over the French bank’s decision to terminate three credit default swaps. According to the article, Natixis cancelled the swaps on the grounds that Goldman had failed to comply with its instructions, though the article does not say what… (more...)
8.19.2010		JPMorgan veteran hired as SwapClear CEO - Financial Times The appointment of Michael Davie as the group's first chief executive comes as LCH.Clearnet pushes its 'client clearing' interest rates swaps business in the US (more...)
8.19.2010		UK banks, sucking on the blood of depositors - Financial Times Here’s a brilliant report from Bruce Packard at Seymour Pierce on Thursday, which expands in great detail on the rather hypocritical trend of banks scorning unsecured lending... (more...)
8.19.2010		Flattening yield curve, flat-lining banks - Financial Times In pic-form — one drag on US bank earnings:It’s the flattening US yield curve. And its antithesis — a steepening curve — is one of the things that helped... (more...)
8.19.2010		Bundesbank Lifts Forecast - Wall Street Journal Germany's central bank raised its forecast for economic growth in 2010, becoming the first official body to upgrade its outlook after data showed the fastest growth in 20 years. (more...)
8.19.2010		UBS to Launch Ad Campaign - Wall Street Journal UBS is launching a new advertising campaign to re-establish confidence in the Swiss bank's brand name, according to an internal memo. (more...)
8.19.2010		Basel: Rules Won't Hurt Growth - Wall Street Journal The global economy won't suffer if banks are forced to adopt tighter standards on capital and liquidity, the Financial Stability Board and Basel Committee said. (more...)
8.18.2010		JP Morgan provided debt to fund RBS loan purchase, says FT - Creditflux The Financial Times says that JP Morgan provided €850 million of debt to fund Intermediate Capital Group’s purchase of a €1.4 billion portfolio of loans from Royal Bank of Scotland. According to the article, JP Morgan bought the entire debt of ICG Eos Loan Fund I, the CLO structured to… (more...)
8.18.2010		Judge: Barclays Pact 'Sweetheart Deal' - Wall Street Journal A U.S. judge questioned a proposed $298 million settlement that would allow Barclays Bank to avoid prosecution over dealings with sanctioned countries, asking why no one is being indicted or going to jail. A hearing on whether to approved the pact is scheduled for Wednesday. (more...)
8.18.2010		German bank CLOs receive low secondary bids - Creditflux Part of the equity of two CLOs managed by a German bank received extremely low bids in a b-wic circulated yesterday (more...)
8.18.2010		Every 1% increase in bank capital = 0.19% lost in GDP, BIS says - Financial Times The long-awaited interim reports of BIS’s macro-economic impact study are out.They’re part of the Bank for International Settlements efforts to assess potential changes... (more...)
8.18.2010		Caught between Scylla and Sentance - Financial Times The song remains the same, as Led Zeppelin and Andrew Sentance would say. The August Bank of England MPC minutes on Wednesday offered what has by now become a bit of an institutional trademark:... (more...)
8.18.2010		Europe reconverges on IG but sovereign rally slows - Creditflux Credit spreads have continued tighter today, although the rally in sovereign spreads appears to have slowed after the more positive tone seen yesterday around Ireland and Spain’s bond sales (more...)
8.18.2010		Target Profit Climbs 14% - Wall Street Journal Target's earnings rose 14% as the company's credit-card business showed continued strength. (more...)
8.18.2010		EMI Faces Uphill Struggle - Wall Street Journal U.K. music company EMI remains in danger of defaulting on banking covenants despite several cash injections and a corporate restructuring which led to a significant decrease in its annual loss. (more...)
8.18.2010		Hotel Firm Nears Brink - Wall Street Journal A real-estate investment firm led by Joseph E. Robert Jr. is exploring a potential bankruptcy filing for Highland Hospitality that would mark yet another collapse of a major hotel company. (more...)
8.18.2010		EMI at Risk of Default - Wall Street Journal U.K. music company EMI remains in danger of defaulting on bank covenants despite several cash injections. Meanwhile, EMI and Citigroup are in talks to settle litigation over the buyout. (more...)
8.18.2010		'Economic Benefits' From Bank Regulation - Wall Street Journal The global economy won't suffer if banks are forced to adopt tighter standards on capital and liquidity, the Financial Stability Board and Basel Committee said. (more...)
8.18.2010		Banks Face Fight Over Mortgage-Loan Buybacks - Wall Street Journal Fannie Mae and Freddie Mac work to push bad loans to originators, and lenders are fighting back. In the cross-hairs: Bank of America, Wells Fargo, Citigroup and others. (more...)
8.18.2010		Hotel Chain Explores Bankruptcy - Wall Street Journal A real-estate investment firm led by Joseph E. Robert Jr. is exploring a potential bankruptcy filing for Highland Hospitality that would mark yet another collapse of a major hotel company. (more...)
8.18.2010		Barclays Pact Called 'Sweetheart Deal' - Wall Street Journal A U.S. judge questioned a proposed $298 million settlement that would allow Barclays Bank to avoid prosecution over dealings with sanctioned countries. A hearing on whether to approved the pact is set for Wednesday. (more...)
8.18.2010		TurkDex wins US sales approval for contract - Financial Times Latest example of US authorities approving the sale of emerging market derivatives exchange products into the US (more...)
8.18.2010		Store-Brand Credit Cards Boom - Wall Street Journal The private-label corner of the U.S. credit-card market is enjoying a resurgence as fewer Americans fall behind on their payments. (more...)
8.18.2010		Trustees Sue to Block Stuyvesant Foreclosure - Wall Street Journal The banks that oversee the first mortgage on Manhattan's Peter Cooper Village and Stuyvesant Town apartment complex sued to block hedge-fund chief William Ackman from foreclosing on the property. (more...)
8.17.2010		Lockheed Missile Deal On Hold - Wall Street Journal A Pentagon official said he is withholding a contract from Lockheed Martin over concerns about problems with a missile interceptor that is a centerpiece of the Obama administration's missile-defense strategy. (more...)
8.17.2010		RBS offloads €1.4 billion of leveraged loans to fund manager - Creditflux Intermediate Capital Group has bought a portfolio of €1.4 billion in face value of leveraged loans from Royal Bank of Scotland. The firms did not say how much ICG will pay for the assets, which will go into its ICG European Fund 2006 and ICG Recovery Fund 2008. RBS says… (more...)
8.17.2010		Dear George, again [updated] - Financial Times July inflation data for the UK is in, and surprise, surprise: CPI is above 3 per cent -- again -- and Bank of England Governor Mervyn King has to write a letter to the Chancellor,... (more...)
8.17.2010		Inflation falls to 3.1% in July - Financial Times Inflation fell to 3.1 per cent in July but remained more than one percentage point above the Bank of England's target, forcing Mervyn King to write to George Osborne for the second time to explain why inflation is so high (more...)
8.17.2010		Judge Won't Approve Citi-SEC Pact - Wall Street Journal A federal judge refused to approve the SEC's $75 million settlement with Citigroup over the bank's alleged failure to disclose nearly $40 billion in subprime securities. (more...)
8.17.2010		Big Banks Loosen Lending Standards - Wall Street Journal Big banks in recent months eased standards on small-business lending for the first time since late 2006, a Fed survey found, but customers of all sizes showed little appetite for loans with the economy slowing. (more...)
8.17.2010		Financials and sovereigns rally back after Irish auction - Creditflux Yesterday’s underperforming credits have become today’s outperformers, with sovereigns and financials back on a rally following a successful bond auction by Ireland (more...)
8.17.2010		ProLogis agrees new revolving credit facility - Creditflux Facilities distributer ProLogis European Properties announced yesterday that it has finalised a €50 million three-year, unsecured revolving credit facility to replace its existing €100 million facility, due to expire in December. The new facility will be arranged jointly by Deutsche Bank, Morgan Stanley Senior Funding and Royal Bank of Scotland.… (more...)
8.17.2010		Barclays to Pay $298 Million in U.S. Sanctions Case - Wall Street & Technology Barclays Bank has agreed to pay $298 million to settle criminal charges that it violated U.S. sanctions through dealings with banks in Cuba, Iran, Libya, Sudan and Myanmar, according to court documents. (more...)
8.17.2010		RBS offloads €1.4bn loan portfolio - Financial Times Move highlights a return by banks to boom time securitisation techniques to derisk balance sheets or raise funds (more...)
8.17.2010		Inflation rate falls to 3.1% in July - Financial Times Inflation fell to 3.1 per cent in July but remained more than one percentage point above the Bank of England's target, forcing Mervyn King to write to George Osborne for the second time to explain why inflation is so high (more...)
8.17.2010		Politics by default - Financial Times Take pity on Republican Congressman Mario Diaz-Balart.The man in charge of Florida’s 25th congressional district has just been singled out by Deutsche Bank as the US Congressional... (more...)
8.17.2010		Rabobank's Asian Appetite - Wall Street Journal Dutch bank Rabobank wants to profit from Asia's growing appetite for foreign food. Its tie-up with Agricultural Bank of China is just one part of that. (more...)
8.17.2010		Judge: Barclays Pact 'Sweetheart Deal' - Wall Street Journal A U.S. judge questioned a proposed $298 million settlement that would allow Barclays Bank, asking why no one is being indicted or going to jail. A hearing on whether to approved the pact is scheduled for Wednesday. (more...)
8.17.2010		Judge Orders Visteon to Restore Retiree Health-Care Benefits - Wall Street Journal A bankruptcy judge on Tuesday told Visteon Corp. to restore health-care and life-insurance benefits to some 6,500 retired workers whose coverage was sacrificed in the auto-parts maker's restructuring. (more...)
8.17.2010		Banks Face Fight Over Mortgage-Loan Buybacks - Wall Street Journal Fannie Mae and Freddie Mac work to push bad loans to originators, and lenders are fighting bank. In the cross-hairs: Bank of America, Wells Fargo, Citigroup and others. (more...)
8.17.2010		SEC Launches Probe of General Growth - Wall Street Journal The regulator has started a formal probe of possible insider trading by current and former officers and directors of bankrupt mall owner General Growth Properties Inc. (more...)
8.17.2010		CDO fund loses case over margin payments, reports Bloomberg - Creditflux Bloomberg reports that Wells Fargo has won a case in which a credit hedge fund sued it over a margin payment. VCG Special Opportunities Master Fund had accused Wachovia (which was later taken over by Wells Fargo) of making an unfair margin call on a $10 million CDO holding which… (more...)
8.16.2010		JP Morgan Veteran Sean Gallagher Joins Fiserv#8217;s Investment Services Group - Wall Street & Technology Gallagher has experience with the hedge fund, asset manager and broker-dealer segments. (more...)
8.16.2010		‘Can’t the Fed just buy stocks?’ - Financial Times Confused about the Fed’s latest round of pseudo-quantitative easing?Fear not.Bank of America Merrill Lynch’s Michael S. Hanson and Ethan S. Harris are on hand to... (more...)
8.16.2010		To: Ben Bernanke Re: Everyone thinks Lehman is &!@%#! - Financial Times Economics of Contempt is once again digging up bits of the Valukas Report.Much more — in particular the Fed’s back-up plans for the busted bank — over at EofC.... (more...)
8.16.2010		Six Flags Swings to Profit - Wall Street Journal Six Flags swung to a second-quarter profit on gains related to its emergence from bankruptcy while revenue increased on improved attendance and sponsorship. (more...)
8.16.2010		Barclays Settles U.S. Charges - Wall Street Journal Barclays Bank has reached a $298 million agreement with U.S. and New York authorities to settle charges that it facilitated financial payments for parties and countries facing U.S. sanctions. (more...)
8.16.2010		Fed Report: Bank Lending Eases - Wall Street Journal U.S. bank lending conditions began to ease in the second quarter, providing some hope for an economic recovery that appears to be losing momentum. (more...)
8.16.2010		Barclays in Sanctions Bust - Wall Street Journal Barclays Bank has reached a $298 million agreement with U.S. and New York authorities to settle charges that it facilitated financial payments for parties and countries facing U.S. sanctions. (more...)
8.16.2010		Judge Won't Approve Citi-SEC Pact - Wall Street Journal A federal judge refused to approve the SEC's $75 million settlement with Citigroup over the bank's alleged failure to disclose nearly $40 billion in subprime securities. (more...)
8.16.2010		Big Banks Loosen Lending Standards - Wall Street Journal Big banks in recent months eased standards on small-business lending for the first time since late 2006, a Fed survey found, but customers of all sizes showed little appetite for loans with the economy slowing. (more...)
8.16.2010		Chicago Condo Project Gets $170 Million Loan - Wall Street Journal The developers of a luxury Chicago condominium project stalled by the credit crunch obtained a $170 million construction loan from a group of lenders led by Japan's Sumitomo Mitsui Banking. (more...)
8.16.2010		Structured credit specialist joins UK government agency - Creditflux The UK’s Asset Protection Agency, the body that looks after the treasury’s guarantee on Royal Bank of Scotland’s legacy book, has hired another experienced structured credit professional (more...)
8.16.2010		ECB holds off buying bonds - Financial Times Emergency government bond purchases by the European Central Bank remained close to zero last week, despite resurging nervousness about the countries worst hit by this year's crisis over eurozone public finances (more...)
8.16.2010		Trups CDO deferral rate lessens, says Fitch - Creditflux HNB Corporation was the biggest trups issuer to default last month, according to the latest research on the sector by Fitch. The bank had $32 million of trups outstanding that are held in CDOs rated by Fitch. July continued the recent trend which has seen something of a leveling off… (more...)
8.16.2010		Ireland shakes, rattles and rolls - Financial Times Last week was not the best for Ireland.The ‘I’ in, err, SGIP, saw the first major blip in its sovereign spreads since the European banking stress tests, as Bank of Ireland... (more...)
8.16.2010		Adventures in ECB funding – At least Austria’s doin’ all right - Financial Times Spanish banks’ reliance on funding from the European Central Bank surged to a record in July.The country’s banks combined use of ECB facilities like the MRO and LTRO... (more...)
8.16.2010		BofA May Pare Its BlackRock Stake - Wall Street Journal Bank of America has concluded that its 34% stake in BlackRock isn't a core asset and is weighing a possible reduction of its holdings in the influential New York asset manager, said people familiar with the situation. (more...)
8.16.2010		Investors pile into bankruptcy exit bonds - Creditflux Investors snapped up an issue of bankrupty exit notes on Friday (more...)
8.16.2010		Bank Lending Shows Signs of Easing - Wall Street Journal U.S. bank lending conditions began to ease in the second quarter, providing some hope for an economic recovery that appears to be losing momentum. (more...)
8.15.2010		AgBank Sets Global IPO Record - Wall Street Journal Agricultural Bank of China has raised more money in an initial public offering than any other company in history, despite lackluster interest in the shares since they started trading in mid-July. (more...)
8.13.2010		Hedge fund buys CDPC - Creditflux Minneapolis-based hedge fund EBF Associates has bought a credit derivative product company (more...)
8.13.2010		Irish Banks Rattle Nerves Again - Wall Street Journal Less than a month after stress tests calmed concerns about the health of European banks, new problems have arisen in the Irish banking sector. (more...)
8.13.2010		Short-unwinds cause IG to buck the market - Creditflux Technical factors drove US investment grade credit spreads tighter yesterday despite the continued sell-off in other credit and equity markets (more...)
8.13.2010		The $11.1bn buyback pain at BAC - Financial Times A sharp-eyed spot over at American Banker.They’ve noticed this little section from Bank of America’s recently filed second-quarter 10-Q:Although the timing and volume has varied,... (more...)
8.13.2010		Blockbuster Gets More Time on Debt - Wall Street Journal Blockbuster said creditors have pushed back a debt deadline until Sept. 30, as the video-rental company reported a $69 million quarterly loss on a 20% drop in revenue. (more...)
8.13.2010		Pink picks - Financial Times Comment, analysis and other offerings from Friday’s FT,Gillian Tett: Unravelling the web of shadow banking A couple of years ago, it occurred to me that the 21st century... (more...)
8.13.2010		Number of New-Car Dealerships Shrinks - Wall Street Journal The consolidation of new-car dealerships in the U.S. continued in the first half of the year, although there are signs the trend is easing. (more...)
8.13.2010		SocGen Adds Block Cross Liquidity Finder to E-Trading Platform - Advanced Trading Societe Generale Corporate & Investment Banking announced it added Block Cross, a liquidity-seeking feature to the electronic trading platform Quantitative Electronic Services, as it looks to offer clients access to European MTF dark pools like Chi-Delta and Turquoise Dark. (more...)
8.13.2010		AgBank Finally Takes IPO Crown - Wall Street Journal Agriculutural Bank of China can finally claim the title of the world's largest initial public offering after raising $22.1 billion. (more...)
8.13.2010		Sales of 'junk' bonds set to reach new high - Financial Times Companies sold junk bonds in record volumes this week as investors favoured the credit markets over equities in an environment of rising uncertainty over economic growth (more...)
8.13.2010		Sales of junk bonds set to reach new high - Financial Times Companies sold junk bonds in record volumes this week as investors favoured the credit markets over equities in an environment of rising uncertainty over economic growth (more...)
8.13.2010		Illinois Regulators Close Bank - Wall Street Journal Illinois racked up its 14th bank failure of the year as state regulators shut down Palos Bank and Trust. (more...)
8.13.2010		How to say ‘appropriate action’ in Japanese - Financial Times It seems befitting that to top off a (relatively) wild week for markets and central banks, the prospect of yen intervention dominated trading on Friday, following media reports... (more...)
8.12.2010		Barclays Capital to Cut Several Hundred Jobs-Source - Advanced Trading Barclays Capital, the investment banking arm of Barclays Plc, plans to cut as many as several hundred jobs, mostly in back-office support functions, a person familiar with the situation said on Tuesday. (more...)
8.12.2010		Unravelling the mystery of the negative US swap rate - Financial Times Readers might remember how back in March 2008, Bloomberg ran a story that declared:Treasuries Riskier Than Bunds, Default Swaps Show (Update1)March 11 (Bloomberg) — The risk of losses on U.S.... (more...)
8.12.2010		Derivatives reform: now what? - Financial Times You may have heard that the signing of financial reform in the US wasn’t just the end of a long and difficult process but also the beginning of another, with a host of federal... (more...)
8.12.2010		A deep freeze over Catalonia, or is it? - Financial Times Now here are some rather interesting developments in the Spanish banking arena this week.On Thursday, Bloomberg reported how Spain’s autonomous region Catalonia has been... (more...)
8.12.2010		Lehman: Och-Ziff Knew of Stock 'Short and Distort' Efforts - Wall Street Journal Lehman Brothers said Och-Ziff Capital Management has information about efforts to "short and distort" the investment bank's stock before its collapse in September 2008. (more...)
8.12.2010		Japan Hints at Yen Intervention - Wall Street Journal Japan's finance minister threatened to act against the strengthening yen for the first time Thursday, in an effort coordinated with Japan's central bank to tame the surging currency and address growing frustration at home. The central bank conducted "rate checks" with banks, a form of verbal intervention. (more...)
8.12.2010		Using Real-Time Events in Electronic Trading - Wall Street & Technology Event data is evolving from machine-readable news to give electronic traders new real-time factors (more...)
8.12.2010		Troubled Waters - Financial Times We’re not here to pile onto Maxine Waters, the US congresswoman from California.To FT Alphaville she has been not only a source of amusement but, on the subject of credit default swaps,... (more...)
8.12.2010		Number of New-Car Dealerships Shrinks - Wall Street Journal The consolidation of new-car dealerships in the U.S. continued in the first half of the year, although there are signs the trend is easing. (more...)
8.12.2010		Banks Tap Commercial-Paper Market - Wall Street Journal Foreign banks are back as major borrowers in the short-term U.S. commercial-paper market as investors resumed lending to them after European banks passed stress tests last month. (more...)
8.12.2010		Europe underperforms as market flips back into bearish mode - Creditflux Credit spreads rose yesterday as the markets flipped back into bearish mode, a switch said to have been prompted by the Federal Reserve’s statement on Tuesday evening (more...)
8.12.2010		Pink picks - Financial Times Comment, analysis and other offerings from Thursday’s FT,Analysis: Financial markets – derivative dilemmasAs regulators start to decide how much trading in derivatives... (more...)
8.12.2010		ECB Warns on Economic Recovery - Wall Street Journal Healthier banks and more private-sector demand are necessary if the euro zone, and the world economy in general, is to continue its recovery, the ECB said in its monthly report. (more...)
8.12.2010		Irish Banks Rattling Nerves Again - Wall Street Journal Less than a month after stress tests calmed concerns about the health of European banks, new problems have arisen in the Irish banking sector. (more...)
8.12.2010		Honeymoon ends as Sea Island files for bankruptcy - Creditflux Sea Island Company filed for bankruptcy in Georgia on Wednesday, citing over $500 million in outstanding debt. Debt included $482 million in term loans, a $21 million revolving loan, and an $11 million construction loan. Under the bankruptcy plan, the company’s assets will be sold to Oaktree Capital Management and… (more...)
8.12.2010		Buyers' Credit Lifts Home Prices - Wall Street Journal Home prices rose in two-thirds of U.S. metropolitan areas in the second quarter, but economists have warned the trend could prove fleeting. (more...)
8.11.2010		Insolvency II will not lead to CDO unwinds, predicts Citi - Creditflux Recently published solvency requirements for European insurers are unlikely to lead to a wave of CDO unwinds, according to recent research by Citi. The report notes that Solvency II will increase the regulatory capital for insurance companies holding structured credit, especially junior and mezzanine positions. But it says that the… (more...)
8.11.2010		BarCap Cuts Jobs, Slowdown Set to Squeeze Banks - Wall Street & Technology Barclays Capital is to cut jobs across the world after a slowdown in activity, in a move bankers expect to be matched by rival investment banks if market conditions stay tough. (more...)
8.11.2010		US Bank Regulators Move to Replace Credit Ratings - Wall Street & Technology U.S. banking regulators took a first step Tuesday on the road to replacing the use of private credit ratings to assess the soundness of banks, while also expressing nervousness about the transition. (more...)
8.11.2010		Uncertainty at the (CDS) margin - Financial Times Newsflash! Agency specialising in credit ratings says credit derivatives might not factor in fundamentals properly. Compared to… err, credit ratings, perhaps.But Fitch... (more...)
8.11.2010		Buyers' Credit Lifts Home Prices - Wall Street Journal Home prices rose in two-thirds of U.S. metropolitan areas in the second quarter, but economists have warned the trend could prove fleeting. (more...)
8.11.2010		Treasury yields tumble on Fed move - Financial Times Levels approach record lows reached at the height of the financial crisis as dealers speculate that demand could increase by $14bn to $17bn a month (more...)
8.11.2010		Gloomy School Season Looms - Wall Street Journal Small retailers are bracing for another disappointing back-to-school season amid continued credit woes and weak consumer spending. (more...)
8.11.2010		GM Secures $5 Billion Credit Facility - Wall Street Journal GM has secured a $5 billion credit facility in a step that clears the way for a return to the public markets later this year. (more...)
8.11.2010		Court ruling undermines Lehman bankruptcy judge's position - Creditflux A New York judge yesterday overturned a previous court ruling in a move which will allow investors in Hong Kong minibonds to sue HSBC and the Lehman Brothers estate (more...)
8.11.2010		ING's Net Profit Soars - Wall Street Journal Dutch financial-services company ING Groep's quarterly net profit jumped as strong results at its banking arm offset a weaker performance for insurance. (more...)
8.11.2010		Market jitters send credit wider ahead of Fed statement - Creditflux Market sources report relatively busy trading across most credit sectors yesterday ahead of the Federal Reserve statement on monetary policy (more...)
8.11.2010		Bank scoops up rare batch of vintage CBOs - Creditflux There was said to be strong interest yesterday in a rare block of older vintage CBOs, with one investment bank said to have scooped up at least half the positions in the hope of offloading them to customers (more...)
8.11.2010		ICO, Spain’s public sector risk taker - Financial Times Via Spanish business daily Expansion, and run through Google Translate, comes this tidbit on Spain’s exploding supranational credit agency the Instituto Credito Oficiale:... (more...)
8.11.2010		BoE: Great uncertainty and a choppy recovery - Financial Times As usual, the Bank of England’s latest inflation report has been published with an impressive array of fan charts outlining the Bank’s view on inflation, GDP and other economic factors.... (more...)
8.11.2010		CLO retention rules could have biggest impact in Europe, says Wells Fargo - Creditflux Wells Fargo’s latest CLO Market Update report notes that Europe’s proposed “skin-in-the-game” rules are even tougher than those recently passed into US law. The Committee of European Banking Supervision is consulting on proposed new bank capital rules that would force securitisation “sponsors” to retain a 5% interest in the assets.… (more...)
8.11.2010		Electronic Trading Reaches Maturity in Brazil, Says Exchange - Wall Street & Technology CEP platforms are increasingly connecting to Brazil's BM&FBovespa, which is now the sixth largest derivatives market in the world with growth of 67% in the first quarter of 2010. (more...)
8.11.2010		EuroCCP Nabs J.P. Morgan as General Clearing Participant - Advanced Trading EuroCCP, a provider of clearing and settlement services for a range of European markets, announced that J.P. Morgan has agreed to become one of its general clearing participants. (more...)
8.11.2010		Focus shifts to merger impact on GDF Suez - Creditflux As International Power credit investors breathed a sigh of relief at the confirmation of a long-expected merger with GDF Suez, attention turned to the impact of the deal on the more creditworthy partner. Moody’s slapped a downgrade review on GDF Suez’s Aa3 ratings yesterday, saying that the additional debt and… (more...)
8.11.2010		Quantitative Group Spins Out of Deutsche Asset Management - Wall Street & Technology Deutsche Bank's quantitative strategies group, which invests $11 billion for clients, is splitting from the company's investment management arm at a time when many traders and managers are launching independent businesses. (more...)
8.11.2010		Group Spins Out of Deutsche's Investment Arm - Advanced Trading Deutsche Bank's quantitative strategies group, which invests $11 billion for clients, is splitting from the company's investment management arm at a time when many traders and managers are launching independent businesses. (more...)
8.11.2010		China Closes Lending Loophole - Wall Street Journal China ordered banks to close a regulatory loophole that allowed them to get around lending quotas at a time Beijing looks increasingly concerned about credit risks amid an economic slowdown. (more...)
8.11.2010		Deutsche Bank Spins Off Quant Group - Wall Street Journal Deutsche Bank spun off the quantitative strategies group from its DB Advisors institutional asset-management operations via a management buyout. (more...)
8.10.2010		Insurer moves help push investment grade tighter - Creditflux Insurers were in focus in the investment grade credit market, with a sharp move tighter by several names (more...)
8.10.2010		Credit Suisse’s Garthwaite does QEII - Financial Times Credit Suisse equity strategist Andrew Garthwaite is on hand to answer all your questions about a possible second round of unconventional measures in the US — the possibility... (more...)
8.10.2010		ECB dissent in the collateral/cover/credit rating ranks - Financial Times The Federal Deposit Insurance Corp. in the States may be ready to start moving away from credit ratings, but the European Central Bank is still holding on — at least when it comes to MBS.... (more...)
8.10.2010		International Power spreads gap in as event risk turns positive - Creditflux International Power credit default swaps tightened further this morning on confirmation that it will merge with larger and more creditworthy GDF Suez (more...)
8.10.2010		Loans should add call protection, argues report - Creditflux In a report published last week, independent credit research firm CreditSights suggests that borrowers should start adding call protection to their loans to make them more attractive to buyers of high yield bonds. It notes that leveraged loan volumes are likely to continue to decline unless the asset class can… (more...)
8.10.2010		Mexico#8217;s GBM Deploys FIX Flyer#8217;s Software for FIX Messaging - Advanced Trading Electronic trading software provider FIX Flyer announced that Mexico-based broker Grupo Bursatil Mexicano using both the Flyer Engine and Daytona Monitoring for their FIX messaging. (more...)
8.10.2010		The Great Mortgage Refinancing, by the numbers - Financial Times Deutsche Bank have returned with some numbers to back up their cost claims when it comes to the Great Mortgage ReFi Rumour of August 2010.Analyst Steven Abrahams noted last week... (more...)
8.10.2010		Regulators Express Qualms About Overhaul - Wall Street Journal U.S. bank regulators taking steps to implement financial-overhaul legislation expressed concern that some requirements could cause more harm than good. (more...)
8.10.2010		Indian Billionaires Aim High - Wall Street Journal Indian tycoons Ravi and Shashi Ruia are moving into the international spotlight as they strive to turn Essar Group into a global energy giant. (more...)
8.10.2010		Everbright Prices IPO at Top of Range - Wall Street Journal China Everbright Bank is on course to raise $3.21 billion from its Shanghai initial public offering after it set the price of its shares at the top end of the indicative range. (more...)
8.10.2010		Strict rules to reduce bond volatility - Financial Times Stricter regulations requiring investors to pay money upfront against possible losses on credit derivatives trades could reduce volatility in corporate bond markets, according to a study by Fitch Ratings, the credit rating agency (more...)
8.10.2010		Spanish banks go abroad to revive repo financing - Financial Times Savings groups are seeking membership of international trading networks and clearing houses to widen fundraising options (more...)
8.10.2010		The BoE and central bank forecasting - Financial Times Central banks are no strangers to criticism, but we wonder if the Bank of England was remotely prepared for the smackdown it was just given by FT economics editor Chris Giles:... (more...)
8.10.2010		Financial Overhaul Gets Off to Rocky Start - Wall Street Journal U.S. bank regulators' efforts to implement sweeping financial-overhaul legislation got off to a rocky start, as officials suggested Congress might already have to make changes. (more...)
8.10.2010		Probe of WaMu's Demise Approved - Wall Street Journal A bankruptcy judge signed off on the work plan that sets out how a former Justice Department fraud chief will tackle the legal trouble spawned by the collapse of Washington Mutual. (more...)
8.10.2010		Issuers open the floodgates amid investor thirst for new issues - Creditflux An expected flood of new bond issues dominated trading in the high yield credit markets yesterday (more...)
8.10.2010		Digging into Goldman’s trading losses - Financial Times Goldman Sachs’ 10-Q filing revealed a much less glittering trading performance in the second quarter versus the first of this year. In fact, the bank registered trading losses... (more...)
8.10.2010		Deutsche Bank hires senior structured credit specialist - Creditflux A former Bank of America and Morgan Stanley structured credit specialist has returned to the sell-side, (more...)
8.10.2010		Bank of America Merrill Lynch Working Hard on Retirement - Wall Street & Technology BofA is ramping up retirement services staff and sees more retirees using mobile devices. (more...)
8.9.2010		BOJ Leaves Rates Unchanged - Wall Street Journal The Bank of Japan's policy board decided to leave its super-easy monetary policy unchanged, as the central bank waits to assess the impact of the yen's recent strength on the country's fragile economic recovery. (more...)
8.9.2010		Governments Help Ford Cut Debt - Wall Street Journal Ford, the only U.S. car maker that didn't receive a bailout last year, is now getting help from the U.S. and other governments around the world as it races to slash its debt and boost its credit rating. (more...)
8.9.2010		Bank of America is on Double-Secret Probation - Wall Street & Technology (more...)
8.9.2010		Gaming Volcker is a work in progress - Financial Times FT Alphaville noted last week that despite all the reports of spinning off units in response to the Volcker Rule, banks weren’t finished looking for creative ways to continue... (more...)
8.9.2010		Chrysler Posts Loss as Sales Rise - Wall Street Journal Chrysler reported a net loss of $172 million for the second quarter amid sluggish sales, the latest sign the smallest of Detroit's auto makers continues to struggle after emerging from bankruptcy reorganization. (more...)
8.9.2010		New York Subpoeanas J.P. Morgan, Citi - Wall Street Journal Units of J.P. Morgan Chase and Citigroup have been subpoenaed as part of an investigation into alleged predatory-lending practices involving health-care credit cards. (more...)
8.9.2010		Coup de coverage ratio - Financial Times Banks’ coverage ratios are a favourite topic here on FT Alphaville.They’re often one of the prime drivers of European and US bank profit — witness those recent... (more...)
8.9.2010		Japan Likely to Hold Rate Steady - Wall Street Journal The Bank of Japan is expected to keep its monetary policy unchanged when it meets Monday and Tuesday, as it weighs the impact of the yen's recent strength on the country's fragile economic recovery. (more...)
8.9.2010		Boston Generating's loans surge on bankruptcy move - Creditflux Loans issued by troubled power producer Boston Generating surged in the secondary market this morning on Constellation Energy’s announcement that it will bid for Boston Generating’s assets (more...)
8.9.2010		Tranche trader switches firms - Creditflux A tranche trader has jumped ship from one bank to another (more...)
8.9.2010		Credit markets start the week tighter amid light volumes - Creditflux Credit markets ended the week tighter despite a sell-off on Friday in response to the poor US employment figures (more...)
8.9.2010		Anadarko looks beyond spill with $2bn issue - Financial Times BP's US oil partner is launching a sale of seven-year bonds, the proceeds of which will be used to refinance bank debt, highlighting renewed confidence in the sector (more...)
8.9.2010		Nomura announces debt head hire - Creditflux Nomura has announced that it has hired former Barclays Capital and Lehman Brothers fixed income syndicate head James Merli as head of debt origination and debt syndicate for the Americas. He reports to Nomura’s joint US fixed income heads Charles Spero and Jeff Michaels, as well as to investment banking… (more...)
8.9.2010		Investors dump paper makers bonds as liquidity fears grow - Creditflux A US paper company was one of the more actively traded credits last week, on the back of poor earnings and rising liquidity fears (more...)
8.9.2010		UK pension fund invests in credit and bond fund - Creditflux A London-based asset manager has secured a £74 million ($118 million) investment from a UK pension fund. Lincolnshire Pension Fund has invested in the Target Return fund, a multi-manager Ucits III fund which includes a large allocation to credit strategies. The fund is managed by Goodhart Partners, a firm set… (more...)
8.9.2010		Scenes from an asset-liability mismatch - Financial Times It’s three years to the day since the UK retail bank Northern Rock suddenly found its access to short-term funding markets frozen — setting the Rock up for collapse one month later,... (more...)
8.9.2010		StreamBase Links CEP To Brazil's BMFBovespa - Advanced Trading StreamBase Systems announced that it connected its complex event processing platform to Brazil’s BM&FBovespa, a move it said will give users low latency access to derivatives and equities listed on the exchange. (more...)
8.9.2010		German exports surge points to rebound - Financial Times German exports rose in June to the highest level since the collapse of the investment bank Lehman Brothers sent the global economy into a tailspin two years ago, in the latest sign of the rebound in Europe's largest economy (more...)
8.9.2010		Gaming Volcker: work in progress - Financial Times FT Alphaville noted last week that despite all the reports of spinning off units in response to the Volcker Rule, banks weren’t finished looking for creative ways to continue... (more...)
8.9.2010		GSO hires Seix duo for marketing role - Creditflux GSO Capital Partners, Blackstone’s credit arm, recently announced that it has hired John Cashwell and Eric Storch from Seix Advisors. They come on board as managing directors co-heading GSO’s institutional marketing effort for customised credit strategies. (more...)
8.9.2010		Bank lending to small businesses: supply vs demand - Financial Times Has lending to small business declined so sharply in the US because banks are unwilling or unable to make loans, or do businesses simply have less need for them in an economy with... (more...)
8.9.2010		Volcker Rule Impact Sends Shivers Through Banks - Advanced Trading Speculation continues to grow as to which Wall Street bank will be looking to get out of proprietary trading or the private equity business in order to comply with new financial regulatory reform legislation. (more...)
8.9.2010		Chrysler Posts Loss - Wall Street Journal Chrysler reported a net loss of $172 million for the second quarter amid sluggish sales, the latest sign the smallest of the Detroit three auto makers continues to struggle a year after emerging from bankruptcy reorganization. (more...)
8.9.2010		Regulators Plan First Steps on Credit-Rating Overhaul - Wall Street Journal U.S. financial regulators this week will take their first steps to replace private credit ratings in their review of bank capital levels, a big step for regulators eager to ensure they are able to accurately assess firms' financial condition. (more...)
8.8.2010		Japan Likely to Hold Rate Steady - Wall Street Journal The Bank of Japan is expected to keep its monetary policy unchanged when it meets Monday and Tuesday, as it weighs the impact of the yen's recent strength on the country's fragile economic recovery. (more...)
8.8.2010		Regulators Plan First Steps on Credit-Rating Overhaul - Wall Street Journal U.S. financial regulators this week will take their first steps to replace private credit ratings in their review of bank capital levels, a big step for regulators eager to ensure they are able to accurately assess firms' financial condition. (more...)
8.6.2010		Nomos ruble bonds offer good premium, says VTB - Creditflux In research published today, VTB Capital says that it views a reported new offering by Nomos Bank of seven-year ruble bonds worth RUB 5 billion ($170 million) favourably. The price talk is for a coupon of 8.75-9% to the three year put (YTP 8.94-9.20%). This corresponds to a spread to… (more...)
8.6.2010		Investors, Hedge Funds Get Real About Returns - Advanced Trading Hedge fund investors scarred by global credit crisis losses are setting their expectations lower and beginning to content themselves with smaller gains they would have balked at two years ago. (more...)
8.6.2010		Falling Charges Push RBS Into the Black - Wall Street Journal Royal Bank of Scotland said it swung to a small net profit in the first half of the year, helped by falling charges for bad debt. (more...)
8.6.2010		StreamBase, Alphastream Collaborate on Trading Systems for Brazilian Market - Advanced Trading StreamBase Systems, which develops complex event processing technology, announced that it formed a partnership with Alphastream to build electronic trading systems targeted for the Brazilian market. (more...)
8.6.2010		Dodd-Frank, destruction and Buffett’s derivatives - Financial Times That Berkshire Hathaway has a one-way mega-bet on equity markets is no secret.The insurer built by Warren Buffett — the man who once condemned derivatives as “financial... (more...)
8.6.2010		‘Capital requirements increase systemic risk.’ Discuss. - Financial Times Is this what went wrong with Basel II?Is this what will go wrong with Basel III?A recent working paper from the Dutch central bank starts with the provocative question: “Why... (more...)
8.6.2010		Britain’s bankers are ‘still alive’ – Britain’s tabloids go nuts - Financial Times Spotted in the Square Mile. Those elusive, sardonic, still-alive bankers.Spotted elsewhere. The Sun, the Daily Star et al. combusting with rage. (more...)
8.6.2010		RBS profits rise despite single name losses - Creditflux Royal Bank of Scotland’s credit default swaps have ended the week roughly flat around 170bp, after it reported second quarter results today. The bank posted operating profit of £869 million, up from £713m in Q1 and losses of £2.6 billion in the same period last year. However, nearly £620 million… (more...)
8.6.2010		Supply appetite sees off jobs fears as week ends near the tights - Creditflux Credit spreads are ending the week with a slight push back wider (more...)
8.6.2010		Proprietary Traders May Find Hedge Fund Life Harder - Wall Street & Technology As banks spin off their proprietary trading groups into hedge funds to comply with a new law, traders will find themselves in a tougher environment. (more...)
8.6.2010		Poland ’swaps’ out its 2009 budget deficit - Financial Times Oh dear. It appears some European governments never learn.News comes to us via Dow Jones on Friday of Poland’s extremely active participation in the interest-rate and FX... (more...)
8.6.2010		BofA Seeks Sanction's End - Wall Street Journal The reluctance to release Bank of America from a confidential sanction imposed during the financial crisis is another signal that U.S. regulators are shortening the leash to prevent future blowups at big banks. (more...)
8.6.2010		RBS Creeps Back Into Black - Wall Street Journal Royal Bank of Scotland said it swung to a small net profit in the first half of the year, helped by falling charges for bad debt. (more...)
8.6.2010		ECB Confronts Critics - Wall Street Journal Trichet praised the ECB'S handling of Europe's credit crisis, including one initiative—its purchases of debt of troubled countries—that critics say has undermined the central bank's credibility. (more...)
8.6.2010		Station Casinos Goes to Family - Wall Street Journal The founding family of Station Casinos appeared poised to remain in control of the company as a bankruptcy judge said a group backed by the family had made the only qualified bid in an auction for part of the company. (more...)
8.6.2010		Regulators Shut Lender With Ties to Blagojevich - Wall Street Journal Ravenswood Bank in Chicago is the country's 109th bank failure in 2010 and the 13th in Illinois. (more...)
8.6.2010		BofA Weighs Sale, Other Options for Trading Desk - Wall Street Journal Bank of America is considering options for its main proprietary-trading desk that include a sale of the business as the giant bank prepares for regulatory changes in the U.S. (more...)
8.6.2010		Consumer Credit Fell in June - Wall Street Journal Americans cut credit-card use a 21st straight time in June as sluggish job growth and a slowing economy turned spenders into savers, putting more pressure on the recovery. (more...)
8.5.2010		BofA Seeks End to Crisis-Era Constraint - Wall Street Journal The reluctance to release Bank of America from a confidential sanction imposed during the financial crisis is another signal that U.S. regulators are shortening the leash to prevent future blowups at big banks. (more...)
8.5.2010		ECB Confronts Critics of Its Strategies - Wall Street Journal Trichet praised the ECB'S handling of Europe's credit crisis, including one initiative—its purchases of debt of troubled countries—that critics say has undermined the central bank's credibility. (more...)
8.5.2010		Geriatric asset prices - Financial Times BIS analyst Elod Takáts is worried about ageing. And not in a personal way, either.In a caveat-heavy but very interesting Bank for International Settlements working paper,... (more...)
8.5.2010		So, what was that Lloyds profit again? - Financial Times Was it £1.6bn, £1.3bn, or £280m?You can literally take your pick of Lloyds’ pre-tax interim profits.The Banking Group reported its 2010 interim earnings on Wednesday.... (more...)
8.5.2010		Latin America Ratings Are Blessed - Wall Street Journal Latin America, already this year's world leader in credit-ratings upgrades, could see more improvements to its credit rankings over the remainder of 2010, Moody's Investors Service said. (more...)
8.5.2010		Nolan Ryan Group Wins Texas Rangers - Wall Street Journal With a winning bid worth more than $608 million, baseball legend Nolan Ryan and Pittsburgh lawyer Chuck Greenberg bought the Texas Rangers in bankruptcy court Thursday. (more...)
8.5.2010		DTCC Launches Equity Derivatives Reporting Repository - Wall Street & Technology The building of the EDRR repository follows a competitive request for proposal process led by the International Swaps and Derivatives Association (ISDA) last year. (more...)
8.5.2010		MPC opts to leave policy unchanged - Financial Times The Bank of England has voted to leave monetary policy unchanged with interest rates at the historic low of 0.5 per cent and £200bn of newly created money pumped into the economy to boost the recovery (more...)
8.5.2010		Bank of England holds rates at 0.5 per cent - Financial Times It is what it is. The Bank of England, as expected, has held rates at 0.5 per cent.As Marc Ostwald at Monument Securities highlighted ahead of the decision, it was always going to be a non-event:... (more...)
8.5.2010		Barclays's Profit Rises on Lower Charges - Wall Street Journal Barclays added more good news to U.K. bank results, reporting a 29% rise in net profit on lower bad-debt charges as the economy improves. (more...)
8.5.2010		BOE Holds Rates Steady - Wall Street Journal The Bank of England's Monetary Policy Committee kept its stock of bond purchases at $317.9 billion and its key interest rate at its all-time low of 0.5%. (more...)
8.5.2010		Barclays's Investment Arm Boosts Results - Wall Street Journal Barclays reported a 29% rise in net profit on lower bad-debt charges and higher profits at its investment-banking business. (more...)
8.5.2010		CLO mezz tranches are now attractive, says Morgan Stanley - Creditflux In structured credit research published today, Morgan Stanley says that it has changed its view on mezzanine CLO tranches from that held earlier in the year. Strategists now think that current market prices provide an attractive entry point for mezzanine tranches, particularly single-A. They see loss-adjusted returns for A-rated tranches… (more...)
8.5.2010		Rerporting banks take focus as indices hold their ground - Creditflux With credit index spreads flat today, some trading is taking place around single names that have reported quarterly and half-year results. (more...)
8.5.2010		DTCC obtains FSA approval for European derivatives repository - Creditflux DTCC has announced that its new European subsidiary, DTCC Derivatives Repository has received UK Financial Services Authority approval to operate as an FSA regulated service company. This new subsidiary will maintain global credit default swap data identical to that of its New York based trade information warehouse, as well as… (more...)
8.5.2010		Interactive Data Strikes Deal To Distribute Tradition#8217;s OTC Data - Advanced Trading Interactive Data Corp said today that it will carry over-the-counter data from interdealer broker Tradition through its low-latency data feed PlusFeed. (more...)
8.5.2010		Pfffft to more M&A - Financial Times Oh look — another investment bank pumping a global M&A recovery.But we liked this note — from Credit Suisse on Wednesday — because the evidence they laid... (more...)
8.5.2010		European interbank lending rate hits highest in a year - Financial Times European bank lending rates have risen to their highest in a year, a move that could send the euro higher against the dollar (more...)
8.5.2010		Reporting banks take focus as indices hold their ground - Creditflux With credit index spreads flat today, some trading is taking place around single names that have reported quarterly and half-year results. (more...)
8.4.2010		RBS says stress tests were a success – in the first week - Financial Times Did stress-testing the sovereign exposures of European banks help soothe the market, asks FT Alphaville? On Monday July 26, shortly after results of the tests were published, the... (more...)
8.4.2010		SocGen's Net Profit Triples - Wall Street Journal Société Générale's net profit more than trebled in the second quarter, as strong retail operations and lower provisions and toxic assets helped offset a weaker investment-banking business. (more...)
8.4.2010		Yen Hits Eight-Month High - Wall Street Journal The dollar fell to a fresh eight month-low against the yen, dealing a blow to Japanese share prices and fueling speculation that the government could pressure the Bank of Japan to take further easing steps. (more...)
8.4.2010		Japan sovereign bond yields fall below 1% - Financial Times Seven-year low hit after the yen's climb to an eight-month high led to expectations for additional easing by the country's central bank (more...)
8.4.2010		Fuzzy Link Between Capital Rules, Lending - Wall Street Journal Banks have suggested capital requirements would curtail lending, jeopardizing the fragile global economic recovery. But at least three recent studies cast doubt on that assertion. (more...)
8.4.2010		Bank Capital Fears Questioned - Wall Street Journal Banks have suggested capital requirements would curtail lending, jeopardizing the fragile global economic recovery. But at least three recent studies cast doubt on that assertion. (more...)
8.4.2010		Measuring Liquidity: A Challenge in OTC Markets - Advanced Trading The credit crisis has demonstrated the need for a new generation of market-based liquidity measures in OTC instruments, according to David Austin and Gavan Nolan, who say the focus should be on indicators of 'prospective liquidity.' (more...)
8.4.2010		S&P to Dagong (and Moody’s): It’s on - Financial Times Standard & Poor's chairman Harold McGraw has responded to criticism of his ratings agency by the chair of rival Dagong Global Credit, which is based in China. McGraw said... (more...)
8.4.2010		SBA Program Proves a Hit, but Now It Is in Limbo - Wall Street Journal The SBA's so-called 7(a) program to help unfreeze credit has been used by nearly 3,000 lenders' loans in the current fiscal year. But the program's extension is in limbo as Congress debates broader small-business legislation. (more...)
8.4.2010		BTIG Expands Prime Brokerage With New Hires for Boston Office - Advanced Trading Broker dealer BTIG, LLC said today that it made key hires for its sales and relationship management departments as part of the firm’s continued expansion of its Prime Brokerage platform. (more...)
8.4.2010		Split views emerge on financing US debt - Financial Times A split is emerging among investors and dealers in the US government bond market over how the US Treasury should finance its record borrowing needs, with the scale of 30-year debt sales causing particular friction (more...)
8.4.2010		Motivational indexing - Financial Times The Wall Street Journal reported on Wednesday how — shock, horror — Wall Street banks may have actively created and pushed securitised products to some clients which... (more...)
8.4.2010		Bankruptcy Filings Drop in the South - Wall Street Journal Even as consumer bankruptcy filings rose in July, the South is doing better than the rest of the country. (more...)
8.4.2010		Banks Back Off Grim Euro Calls - Wall Street Journal Some of the world's most prestigious foreign-exchange banks are ripping up their gloomy forecasts for the rallying euro. (more...)
8.4.2010		Lloyds spreads swing as market digests earnings - Creditflux Lloyds credit default swaps are trading in a relatively wide range today after the bank reported first half results (more...)
8.4.2010		Kevin Kometer Manages Growth at CME Group - Wall Street & Technology CME Group is constantly growing, and CIO Kevin Kometer, who has witnessed the expansion first-hand during his career, is now in charge of preparing the exchange’s technology for future expansion. (more...)
8.4.2010		The sovereign-bank singularity is (still) here - Financial Times Remember Europe’s grim sovereign-bank loop?Fitch does — in a bank ratings overview on Wednesday (emphasis ours):Rating activity fell significantly, to 83 rating... (more...)
8.4.2010		Fight for Control of Rangers Nears End - Wall Street Journal Two giants of American sports—one a billionaire, the other a pitching legend—squared off in a bankruptcy court for control of the Texas Rangers. (more...)
8.4.2010		Personal Bankruptcies Rise, Reversing Trend - Wall Street Journal U.S. personal bankruptcies rose 9% last month, reversing a trend of declining filings over the previous three months and highlighting the continuing financial struggles of many consumers. (more...)
8.3.2010		HSBC's Earnings Double - Wall Street Journal HSBC Holdings said its first-half profits doubled, kicking off what is expected to be a string of strong results from the U.K.'s four big banks this week. (more...)
8.3.2010		Das Stressometer - Financial Times CreditSights has created a sort of EU bank stressometer.In their words, it seeks to “exploit” the additional disclosure on sovereign risk published in the CEBS-administered... (more...)
8.3.2010		Banks are the problem: CLOs could be the solution - Creditflux Joe PimbleyAmidst the clamour for regulatory reform of banks, it’s stunning that few people give voice to the dominant cause of the credit crisis: the financial world’s deadly combination of high leverage and the deliberate maturity mismatch between assets and liabilities. More and “better” regulatory rules cannot diminish the banks’… (more...)
8.3.2010		Fishknife - We need good ideas and lasting products - Creditflux Plenty of people believe that it was the unbridled inventiveness of credit structurers that got us into this mess. The last thing they want to see is a return to the days of synthetic super senior swaps on CDOs-squared, CPDOs and structured investment vehicles. But product innovation does not have… (more...)
8.3.2010		Stress tests boost prospects for bank issuance - Creditflux European bank stress tests could materially benefit some bank names, among them Spanish banks Santander and BBVA (more...)
8.3.2010		CDO secondary prices start to rebound - Creditflux While the secondary CDO market usually lags the broader credit market, there are early signs that it is starting to share in the rally that appeared to be taking hold in late July (more...)
8.3.2010		Investor Shoots for Liverpool Football - Wall Street Journal A Hong Kong businessman wants to take control of the Liverpool Football Club, seeking to buy $372 million in debt owed to Royal Bank of Scotland. (more...)
8.3.2010		Probes Spotlight Dual Roles in Housing Deals - Wall Street Journal Probes of the collapsed mortgage-bond boom are shedding light on how Wall Street firms, including Deutsche Bank, sometimes created securities and sold them to some investors, while advising others to bet against them. (more...)
8.3.2010		U.K. Court Overturns Lehman Fund Ruling - Wall Street Journal A U.K. Court of Appeal ruled in favor of hedge funds that argued that their money, held in the main European arm of Lehman Brothers, wasn't properly protected when the investment bank collapsed. (more...)
8.3.2010		Apidos - Credit’s true believers - Creditflux Few CLO managers can boast they have never failed an OC test. Apidos can, and it wants the world to know about its track record (more...)
8.3.2010		Firms Struggling to Implement Liquidity Risk Management Technology and Processes - Wall Street & Technology Two years after the North American credit crisis began, financial firms are facing new liquidity demands from regulators and are still working to implement enterprisewide liquidity risk management systems. (more...)
8.3.2010		CQG Connects Trading Platforms to TurkDEX - Wall Street & Technology CQG and TurkDEX have partnered to provide low-latency trade routing and consolidated market data access for TurkDEX derivatives contracts through CQG's advanced trading platforms. (more...)
8.3.2010		Regulatory thaw helps hybrid return - Financial Times Banks are issuing bonds that have features of debt and equity (more...)
8.3.2010		Fuzzy Link Between Capital Rules, Lending - Wall Street Journal Banks have suggested capital requirements would curtail lending, jeopardizing the fragile global economic recovery. But at least three recent studies cast doubt on that assertion. (more...)
8.3.2010		Businesses Split Over Tax Credits - Wall Street Journal A number of large U.S. companies have embraced Democratic proposals to end some tax breaks on overseas profits, the first opening in what had been unified opposition to ending the controversial provisions. (more...)
8.3.2010		NYSE Sees Derivatives Delay - Wall Street Journal NYSE Euronext reported a $184 million profit for the second quarter but said efforts to expand derivatives operations in the U.S. are likely to be delayed. (more...)
8.3.2010		Citi Hires Ian Smith to Head Electronic Execution in Asia Pacific - Advanced Trading Smith joins Citi after ten years with Credit Suisse where he was head of AES in Asia Pacific. (more...)
8.3.2010		CQG Provides Low Latency Routing to Turkish Derivatives Exchange - Advanced Trading CQG's hosted trading gateways enable traders to route orders to TurkDEX and manage both inter-and intra-exchange spread strategies. (more...)
8.3.2010		The fight over interest on reserves - Financial Times Is the policy of continuing to pay interest on the bank reserves held at the Federal Reserve a good idea, a bad idea, or completely irrelevant?This question has been the source... (more...)
8.3.2010		The secured lending boom (through gold-tinted glasses) - Financial Times There have been some intriguing developments in the precious metal markets since August 2007, not least:346 tonnes of BIS gold swaps.The fact that rather than traditional swaps,... (more...)
8.3.2010		Home Data Slide Again - Wall Street Journal A gauge of pending home sales dipped in June, continuing a decline tied to the expiration of a tax credit for home buyers. (more...)
8.2.2010		House Panel Charges Waters in Ethics Case - Wall Street Journal House ethics investigators formally said they will hold a public trial to determine if Rep. Maxine Waters violated congressional rules by helping steer federal funds to a bank in which her husband owned stock. (more...)
8.2.2010		Panel Charges Waters in Ethics Case - Wall Street Journal House ethics investigators said they would hold a public trial to determine if Rep. Maxine Waters violated congressional rules by helping steer federal funds to a bank in which her husband owned stock. (more...)
8.2.2010		Further reading - Financial Times Elsewhere on Monday,- There’s a derivative in your cereal.- Seven lessons to learn from a trading loss.- How dare you second-guess the gold bugs.- Correlation –... (more...)
8.2.2010		BNP Paribas's Net Profit Jumps 31% - Wall Street Journal BNP Paribas reported far better-than-expected net profit, as strong retail operations more than offset a slide in investment banking. Shares soared 3.8%. (more...)
8.2.2010		Smug bank is back - Financial Times Well, here’s something to kick off a week of UK bank earnings — some nice forecast-beating numbers from HSBC.The bank posted pre-tax profit of $11.1bn in the first half on Monday.... (more...)
8.2.2010		Cliff-diving in European interbank rates - Financial Times Short-term liquidity rates -- like European top-tier commercial paper -- quite literally jumped off a stress-test cliff last week, reports FT Alphaville. Which is rather a step-change... (more...)
8.2.2010		The sound of one central bank clapping - Financial Times Compare and contrast, central banking psychology edition.Here’s a Bank of England angle on the Fed’s got a stimulus problem this summer — in which there’s... (more...)
8.2.2010		HSBC's Earnings Double - Wall Street Journal HSBC Holdings said its first-half profits doubled, kicking off what is expected to be a string of strong results from the U.K.'s four big banks this week. (more...)
8.2.2010		UBS's U.S. Mortgage Push - Wall Street Journal UBS is expected to announce Monday the hiring of two executives from Goldman Sachs and Bank of America who will lead the Swiss bank's efforts to make more mortgages and other loans through its brokerage force in the U.S. (more...)
8.2.2010		Law firm adds derivatives and structured credit specialist - Creditflux Law firm Dechert has announced today that private funds and derivatives lawyer Holland West has joined the firm as a partner in the financial services practice group of the firm’s New York office. West was previously at Shearman & Sterling, where he was the head of its global hedge fund,… (more...)
8.2.2010		Stocks Build on July's Momentum - Wall Street Journal U.S. stock investors welcomed August with a bang, climbing on the back of encouraging manufacturing and construction spending data and better-than-expected European bank earnings. July was the market's best month in a year. (more...)
8.2.2010		U.K. Lehman Ruling: A Win for Some Hedge Funds - Wall Street Journal A U.K. Court of Appeal ruled in favor of hedge funds that argued that their money, held in the main European arm of Lehman Brothers, wasn't properly protected when the investment bank collapsed. (more...)
8.2.2010		Probes Spotlight Dual Roles in Housing Deals - Wall Street Journal Probes of the collapsed mortgage-bond boom are shedding light on how Wall Street firms, including Deutsche Bank, sometimes created securities and sold them to some investors, while advising others to bet against them. (more...)
8.2.2010		Early Doubts on Tribune Deal - Wall Street Journal An investment bank in 2007 declined to endorse Sam Zell's buyout of Tribune Co., showing that doubts emerged early on a deal that would sour. (more...)
8.2.2010		The Congressional Budget Office does a US fiscal crisis - Financial Times If you thought the Bank of England’s fan charts were bad in terms of err, fanning uncertainty, take a look at the below from the US Congressional Budget Office’s economic... (more...)
8.2.2010		Correlation fatigue, emerging market edition - Financial Times Following up FT Alphaville’s recent focus on market correlations, here’s an interesting piece from Reuters quoting Bank of America Merrill Lynch’s Daniel Tenengauzer.... (more...)
8.2.2010		Investors Parse Citigroup Settlement - Wall Street Journal Did Citigroup settle fraud charges or not? Hundreds of millions of dollars are riding on the answer in the form of lawsuits by investors who bought the bank's stock and bonds before they plunged in value after the magnitude of the subprime assets became known. (more...)
8.2.2010		High coupon bonds will outperform, says Goldman - Creditflux In Goldman Sach’s latest ‘Credit Line’ research, published Friday, strategists note that the recent drop in rates has pushed corporate bonds up to levels well above par for the first time in two years. Triple B bonds trade at an average price of $108, while even high quality high yield… (more...)
8.2.2010		Fiserv Selects Omgeo Protocoll As Collateral Management Solution - Wall Street & Technology New and existing Fiserv customers on the TradeFlow platform will be able to automate their collateral management process, handle numerous asset classes and increase visibility into credit exposure to mitigate counterparty risk. (more...)
8.2.2010		EU Mulls Centralised Databank On Listed Companies - Advanced Trading European Union regulators are looking at how to make it easier for investors to find and analyse information on the bloc's 8,000 listed companies. (more...)
8.2.2010		Investor Shoots for Liverpool Football - Wall Street Journal Hong Kong businessman Kenneth Huang wants to take control of the Liverpool Football Club, seeking to buy $372 million in debt owed to Royal Bank of Scotland. (more...)
8.1.2010		Credit-Card Issuers Forced to Play Fair - Wall Street Journal The rules of credit are changing. Consumers will see improvements this month as credit-card companies roll out the latest in a big series of government-ordered reforms on how they operate. (more...)
8.1.2010		UBS's U.S. Mortgage Push - Wall Street Journal UBS is expected to announce Monday the hiring of two executives from Goldman Sachs and Bank of America who will lead the Swiss bank's efforts to make more mortgages and other loans through its brokerage force in the U.S. (more...)
8.1.2010		Number of the Week: Default Repercussions - Wall Street Journal Twenty-five percent of Americans now have a credit score of less than 600. In an economy where credit plays a central role, that presents a significant obstacle to recovery. (more...)
8.1.2010		Banks await nod on cocos issuance - Financial Times Regulators' view of the asset remains unclear, but there are signs that the Basel Committee on Banking Supervision will no longer take the expected hard line on tier-one capital (more...)
8.1.2010		Investors Parse the Citigroup Settlement - Wall Street Journal Did Citigroup settle fraud charges or not? Hundreds of millions of dollars are riding on the answer in the form of lawsuits by investors who bought the bank's stock and bonds before they plunged in value after the magnitude of the subprime assets became known. (more...)
7.31.2010		Number of the Week: Default Repercussions - Wall Street Journal Twenty-five percent of Americans now have a credit score of less than 600. In an economy where credit plays a central role, that presents a significant obstacle to recovery. (more...)
7.31.2010		The New Credit-Card Tricks - Wall Street Journal Just months after historic legislation banned certain billing practices, card issuers have dreamed up new ones designed to trip up consumers. (more...)
7.30.2010		Lingerie maker sues after losing its shirt on a CDO - Creditflux Reuters and De Tijd report that Belgian lingerie producer Van de Velde is suing KBC in the Belgian courts over a CDO it bought from the bank. Van de Velde has written off its €3.45 million investment in the unnamed CDO. However, the deal in question is most likely one… (more...)
7.30.2010		Anglo American comes into focus as spreads drift wider - Creditflux Anglo American credit spreads, which had tightened ahead of today’s results, moved out by some 15 basis points on the miner’s announcement of a 31% fall in profits (more...)
7.30.2010		Swap rates fall below Treasury yields - Financial Times The relationship between government bonds and swaps has dislocated this week for only the second time, largely as a result of the burst of bond issuance from banks (more...)
7.30.2010		Former Nomura fund chairman fingers Nomura Asset Management to the SEC - Financial Times It’s a bit of an odd one this. So here’s a straight story to start:——- Nomura Asset Management USA, the American offshoot of the Japanese bank’s asset management business,... (more...)
7.30.2010		BofA Cuts Some CD Rates - Wall Street Journal Bank of America cut some rates on certificates of deposits this week, the latest in a round of cuts that will leave consumers and businesses with fewer options to stash their cash. (more...)
7.30.2010		Regulators Shut Five More Banks - Wall Street Journal U.S. regulators closed five more banks in four states, as a still-weak economy continues to batter the banking industry. Banks in Georgia, Florida, Washington and Oregon failed, bringing the 2010 total to 108. (more...)
7.30.2010		Nomura’s horrible quarter - Financial Times It says a lot about recent business conditions for Japan’s biggest investment bank that an 80 per cent year-on-year plunge in quarterly net profit — reported on Friday —... (more...)
7.30.2010		How Gangsters Are Saving Euro Zone - Wall Street Journal Gangsters, drug dealers and money launderers -- fans of the €500 note -- are playing their part to shore up the stability of the euro zone, Stephen Fidler writes. (more...)
7.30.2010		The New Credit-Card Tricks - Wall Street Journal Just months after historic legislation banned certain billing practices, card issuers have dreamed up new ones designed to trip up consumers. (more...)
7.30.2010		RBS Plans Asset Sales - Wall Street Journal Royal Bank of Scotland Group is likely to announce two asset sales worth up to a total of $6.71 billion as early as Tuesday, as it continues efforts to shrink its balance sheet. (more...)
7.30.2010		Citi’s super senior subprime SEC slip - Financial Times One of these is a draft version of a pre-announcement release Citigroup considered making in the credit-crunched October of 2007, in reference to its subprime exposure. The other... (more...)
7.30.2010		Anglo American come into focus as spreads drift wider - Creditflux Anglo American credit spreads, which had tightened ahead of today’s results, moved out by some 15 basis points on the miner’s announcement of a 31% fall in profits (more...)
7.30.2010		Second-liens set for a haircut as razor maker files for bankruptcy - Creditflux The cut throat business of selling shaving products proved too much for American Safety Razor, which filed for chapter 11 bankruptcy on Wednesday (more...)
7.30.2010		Garrison CLO will refinance existing deals, says Bloomberg - Creditflux Bloomberg reports that Deutsche Bank’s planned CLO for Garrison Investment Group, first reported in Creditflux (see Boutique lines up mid-market CLO ), will be a refinancing of assets from two existing Garrison CLOs. It adds that the equity in the $350 million deal will be three-times levered. Spreads on the… (more...)
7.29.2010		Bank loses correlation and distressed trading heads - Creditflux A European bank has seen both senior arrivals and departures in recent weeks (more...)
7.29.2010		Santander's Net Slips as Spain Weighs - Wall Street Journal Banco Santander said that its second-quarter net profit fell 8%, as a drop in profit in continental Europe offset higher earnings at the banking giant's Latin American and U.K. operations. (more...)
7.29.2010		French bank looks to stem exodus - Creditflux Despite talk of hiring activity in credit having slowed down, there are indications that some banks are finding it increasingly difficult to hold onto staff (more...)
7.29.2010		How to profit from the Euribor-Eonia basis - Financial Times FT Alphaville noted on Wednesday how the basis between the Euribor rate (set by a panel of 42 European participating banks) and Euro Libor (as set by 16 banks in London) has been... (more...)
7.29.2010		Sovereign CDS all a-lite at LCH.Clearnet - Financial Times To post collateral or not to post collateral?That is the sovereign derivatives question of the week.Earlier this week we learned that Portugal’s debt office is now posting... (more...)
7.29.2010		Bank offloads $1 billion trups CDO portfolio - Creditflux A US bank sells half its total trups CDO portfolio (more...)
7.29.2010		CME Group Profit Jumps, Beating Street View - Wall Street & Technology CME Group reported higher-than-expected quarterly profit on Thursday as heightened volatility in debt and stock markets boosted trading in the exchange operator's futures contracts. (more...)
7.29.2010		Macro-prudence, macro-unintended consequences - Financial Times With a tip of the hat to Simon Johnson, here’s a Harvard paper with a curious take on two hot topics of the financial future: macro-prudence and shadow banks.Getting the... (more...)
7.29.2010		ECB haircuts are trimmed, ABStylish - Financial Times On Wednesday the European Central Bank whipped out its scissors to trim a little more off the top of eurozone banks’ repo collateral, as well as restyle certain market segments.... (more...)
7.29.2010		Banks Get Pitches on Overdraft Protection - Wall Street Journal Bad spending habits like overdrawing a checking account are good for banks, and for technology and marketing companies trying to help them preserve billions of dollars in overdraft fees. (more...)
7.29.2010		Inflationista! - Financial Times Joachim Fels just isn’t giving in.Here’s what Morgan Stanley’s central-bank watcher had to say on his recent theme of inflation on Thursday — never mind... (more...)
7.29.2010		Swap rates fall below Treasury yields - Financial Times The relationship between government bonds and swaps has dislocated this week for only the second time, largely as a result of the burst of bond issuance from banks (more...)
7.29.2010		Pink picks - Financial Times Comment, analysis and other offerings from Thursday’s FT,News analysis: Banks plan for loss of eurozone memberBanks have started early-stage planning to deal with the... (more...)
7.28.2010		Russia's DST Plans IPO - Wall Street Journal Russian Internet firm Digital Sky Technologies has hired investment banks to organize an initial public offering in 2011, a person familiar with the plans said. (more...)
7.28.2010		ECB Gets Tougher on Its Bank Lending - Wall Street Journal The ECB set big increases to the discounts it will impose on low-rated and illiquid bonds when it accepts them as collateral for its lending operations. (more...)
7.28.2010		Keeping the pedal on the UK metal, with Merv - Financial Times GDP surprising on the upside; sales trading up; sterling on a rocket — the British economy’s looking pretty good at the moment.Unless you govern the Bank of England....