Industry News
Financial Markets
Top stories summarized by our editors
10/23/2020

Negative interest rates would damage the profitability of UK banks without a guaranteed boost to the economy, senior bankers say. Supporters cite success in the eurozone, but critics note structural differences between the UK and eurozone banking systems.

Full Story:
Reuters
More Summaries:
UK, UK
10/23/2020

A placement of 30-year Italian debt Thursday attracted more than €90 billion in bids, days after a €17 billion coronavirus bond from the EU met with strong demand.

10/23/2020

Changes in habits by consumers and businesses will leave oil prices below pre-pandemic levels for years, according to World Bank projections. Agricultural and metal prices will see a slow advance, the World Bank says.

More Summaries:
World Bank
10/23/2020

Asset managers are turning to direct lending as an alternative to investing in assets such as quoted equities and fixed income, which they say central bank intervention has undermined.

10/23/2020

US banks might have less to fear than expected from Joe Biden's tax proposals should he win the presidential election, analysts say. Despite a proposed increase in the corporate tax rate to 28%, Democratic spending plans could improve loan-book credit quality and let banks reduce loan-loss provisioning.

Full Story:
Reuters
10/23/2020

An 82% jump in profits at New York City securities firms for the first half of 2020 represents good news for the city and the state, which depend heavily on financial companies for tax revenue. Securities firms generated pretax profits of $27.6 billion in H1, close to the $28.1 billion for all of 2019, according to the state comptroller's office.

10/23/2020

The European Commission has suggested regulation of hedge funds and alternative investments might increase. The commission might tighten requirements on cross-border delegation in light of Brexit.

10/23/2020

The UK Financial Conduct Authority reportedly has an investigation underway regarding the Cum-Ex tax scandal, a dividend-stripping scheme that allegedly has occurred in several European countries. Danish prosecutors have spoken to former traders of major UK banks, sources say.

10/23/2020

Citigroup aims to launch an investment banking arm in China, a source says. The move would mark a shift in strategy after the bank reportedly shelved a plan last year to open a securities business in China.

10/23/2020

Millennials own $9.1 trillion in assets, a figure set to increase as more of them inherit wealth and develop a career, bringing major implications for how they invest. Unlike the postwar generation, millennials rely more on defined-contribution retirement plans, which give them a bigger say in how money is invested, and use technology more to manage investment decisions.