Bitcoin has posted a record low for the year, losing more than 10% of its value Wednesday to end below $6,000. CoinList President Andy Bromberg cites a schism caused by bitcoin's offshoot, bitcoin cash, for the sell-off, which hit other cryptocurrencies as well.
After a five-hour meeting, the UK Cabinet has decided to support a draft agreement governing the UK's relationship with the EU after Brexit, setting up Prime Minister Theresa May for the next hurdle: Parliament, where the deal faces opposition from within her party. Brexit Secretary Dominic Raab has resigned in opposition.
The draft Brexit deal would reduce UK access to EU financial markets to only a basic level, through the EU's limited system of equivalence, experts say. The draft text "is particularly vague but emphasises the EU's ability to take decisions in its own interests", former banker and consultant Graham Bishop says.
Despite a draft Brexit agreement, uncertainties are causing some EU entities to avoid additional deals with UK companies, and some are considering cutting ties with UK financial institutions. Lawyers and consultants say the buy side remains anxious about problems Brexit could create, despite efforts by the Bank of England the UK Financial Conduct Authority to mitigate them.
Deutsche Bank might speed up cost cutting to turn fortunes around. Chief Financial Officer James von Moltke says management might have to get expenses "potentially substantially lower than" an existing target of €21 billion by 2021.
All eyes are on a Group of 20 summit this month in Argentina to see whether the US and China build on a truce and ultimately end their trade row, Clay Chandler writes. So far, the US has shown no sign of backing down, and it remains unclear whether China will agree to demands the US has made.
Retail sales weakened last month in China, pointing to slowing consumption, which reinforces the view that the economy will continue to cool in coming quarters. The news comes a day after the release of weak credit data.
The Japanese Financial Services Agency has authorized LCH to clear foreign exchange nondeliverable forwards for Japanese banks and clients directly through ForexClear.