New Federal Reserve chairman Ben Bernanke will make his first major speech today before the House Financial Services Committee. Analysts will be paying close attention to any hints of future interest rate hikes.
Minutes from Alan Greenspan's final Federal Reserve meeting pointed to the likelihood of at least two more rate increases, although policy-makers plan to rely more heavily on economic developments to make rate decisions. New chief Ben Bernanke will oversee his first meeting in March.
Credit Suisse Group said its net income rose 15% to $840 million in the fourth quarter, below analysts' estimates. Profits at Credit Suisse's investment bank unit also came in below forecasts. Credit Suisse CEO Oswald Grubel said he is convinced the firm can narrow the gap between the firm's profitability and those of its industry peers.
The NASD fined Diversified Investors Securities Corp. $1.3 million for facilitating impermissible market timing, and ordered the firm to pay an additional $950,000 in restitution. "Diversified selectively permitted certain customers to carry out hundreds of market timing exchanges," said James Shorris, NASD Senior Vice President and Acting Head of Enforcement. In the settlement, the company neither admitted nor denied the allegations.
U.S. authorities are reportedly investigating Deutsche Bank as part of a larger inquiry into questionable tax shelters offered by banks, according to people close to the matter. The German bank declined comment.