The Bank for International Settlements has produced a paper that examines the rise of fintech and big tech credit, which it says reached a combined global value of $800 billion in 2019. The report focuses on the size of the markets, the factors driving their growth and their likely evolution in the future.
The coronavirus pandemic has led to a surge in automated online payments, and security expert Michael Rogers points to corresponding growth in fraud opportunities. Rogers contends the sector's rapid growth has highlighted weaknesses that can be exploited, and adds that the need to combat fraudsters will become more urgent as digital currencies are embraced.
Households and small businesses are running out of financial lifelines as Congress and the Trump administration have allowed pandemic relief measures to lapse. Economists say the financial strain families and small businesses face could irreversibly damage the economy. Treasury Secretary Steven Mnuchin and House Speaker Nancy Pelosi have indicated they are prepared to reopen negotiations on another relief bill, with just days remaining before Congress recesses until after the November elections.
Former Morgan Stanley executive Johnbull Okpara is joining Citigroup as its controller and chief accounting officer. "I'm thrilled that Johnbull is joining our team at Citi," said Citi CFO Mark Mason.
PNC Bank closed 35 branches on Sept. 18, according to the bank's filing with the Office of the Comptroller of the Currency. Ohio, Pennsylvania and New Jersey saw the most closures, which extended across 10 states and the District of Columbia.
The US economy has not recovered and banks may be impacted by consumer and business loan defaults, said Esther George, president of the Federal Reserve Bank of Kansas City. "Strains on household and commercial balance sheets since March have created fragilities that could yet threaten bank profitability and loss-absorbing capacity for some time," George said.
California Gov. Gavin Newsom has signed into law the legislation that transforms the state's Department of Business Oversight into the Department of Financial Protection and Innovation. The new agency is intended to replicate the purview of the Consumer Financial Protection Bureau at the state level.
Rep. Jaime Herrera Beutler, R-Wash., has filed a petition aimed at forcing Congress to vote on a bill that would reopen $138 billion in unused Paycheck Protection Program funds for lending. Buetler needs 218 signatures, including 20 Democrats, to compel a House vote on the bill.
The US stock market's bull run and a rush of interest in companies that cater to the "new normal" life during a pandemic have prompted a surge in initial public offerings that could achieve the highest dollar value since 1999, according to data from Ally Invest and Bloomberg. By the end of August, 143 companies had raised $50.4 billion, and Ally Invest expects those figures to reach 206 flotations with potential proceeds of $72 billion by the end of the year.
Modern Money Murmurs: My, how things change over just a few months. What started out as one of the slowest years for IPOs is shaping up to be quite the opposite.
New York held its position as the world's top financial hub in the Global Financial Centres Index, with London taking second place despite the imminence of Brexit. The survey showed "increased confidence in the leading financial centres, but a general reduction in confidence in other centres," noted Michael Mainelli, executive chairman of Z/Yen, which conducts the survey the index is based on.