Newly sworn-in Consumer Financial Protection Bureau Director Kathy Kraninger said in a news conference that her focus would be on consumers, but when asked about specific bureau policies, she said she was waiting to be briefed by staff. Kraninger did indicate she would review a proposed name change for the bureau, adding that she cared more about what the bureau does than what it's called.
Technical analyst Avi Gilburt disputes the assumption that geopolitical events, such as the US-Chinese trade dispute, are the trigger for market movements. Using the Elliott Wave method of analysis, Gilburt asserts the market is within the fourth and most volatile wave of a five-wave cycle, causing volatility.
US bank stocks are being valued by the market as if a recession is imminent, Morgan Stanley analyst Ken Zerbe says, writing, "The carefree days of rising rates and pristine credit quality could be coming to an end." Morgan Stanley has lowered its price targets and 2020 estimates for earnings per share.
McDonald's might be about to make an impressive upturn, after several weeks of consolidation, writes technical analyst Bruce Kamich, CMT. With steadily improving factors on its chart, the stock has potential to reach an unprecedented $200, Kamich writes.
Investors have made at least $10 billion in bearish bets on high-yield bond exchange-traded funds and derivatives as defense against declining liquidity, according to IHS Markit. Bets against some credit default swaps indexes reached a four-year high last month, according to Citigroup.
The Democratic Steering and Policy Committee has nominated US Rep. Maxine Waters to head the House Financial Services Committee, though she needs approval from the Democratic caucus. Waters has vowed to "continue to prioritize protecting consumers and investors from abusive financial practices, ensuring strong safeguards are in place to prevent another financial crisis," if she becomes chairwoman.
Advisers can get around the fiduciary duty that requires them to put clients' interests above their own if exceptions are written into client agreements, Securities and Exchange Commission Chairman Jay Clayton told the US Senate banking committee. "This is something that we want people to understand," he said.
The UK Parliament's Treasury Committee has called the government's Brexit economic-impact analysis inadequate, saying it gives "an exceptionally optimistic scenario for what the government could achieve in its negotiations." The committee says the report does not give lawmakers enough information to decide whether to back Prime Minister Theresa May's proposed exit deal.
ISDA has published its 2018 benchmarks-supplement protocol to help market participants incorporate the ISDA benchmarks supplement into interest-rate, foreign exchange, equity and commodity derivatives transactions. The ISDA benchmarks supplement was developed primarily in response to requirements under the EU Benchmarks Regulation for certain contracts to reflect actions that parties will take if a referenced benchmark is materially changed or ceases to be provided.
The Basel Committee on Banking Supervision has updated the Pillar 3 framework, noting heightened market volatility required amendments for credit-risk and leverage-ratio disclosures. "A particular concern is 'window dressing', in the form of temporary reductions of transaction volumes in key financial markets around reference dates resulting in the reporting and public disclosure of elevated leverage ratios," according to a committee report.