Banking

BLOOMBERG  The European Central Bank (ECB) said that financial markets will be vulnerable to negative shocks as it continues the fight against inflation, with real estate among the sectors at risk. Higher interest rates are testing the resilience of households, companies, governments and property markets, the institution said on Wednesday in its biannual Financial Stability Review. That’s leaves investors potentially ...

BLOOMBERG  Thailand’s central bank raised its benchmark interest rate to the highest level in eight years, while making a case for retaining a tightening bias to anchor inflation firmly in the tourism-fuelled economy. The Bank of Thailand’s (BOT) Monetary Policy Committee (MPC) voted unanimously to raise the one-day repurchase rate by 25 basis points to 2% on Wednesday, as seen by ...

BLOOMBERG  Citigroup Inc has begun to see signs of a rebound in investment banking, with an agreement to avert a US debt default poised to further boost deal volumes. The company had already begun to see a pickup in both investment-grade debt and equity underwriting, Tyler Dickson, co-head of Citigroup’s banking, capital markets and advisory unit, said in a Bloomberg ...

BLOOMBERG  Morgan Stanley is letting go of at least six managing directors, including some key China bankers, as part of broader job cuts in Asia where dealmaking has been stymied by growing China-US tensions and tepid economic growth. Clarence Kwok, who’s focussed on mergers and acquisitions in China, Julia Xiao in corporate finance, and Tony Yin on the technology coverage ...

BLOOMBERG  The Bank of Japan (BOJ) will gradually build a case for a major overhaul of its stimulus framework in the second-half of next year, using the results of a review to support its move, according to Bloomberg Economics (BE). Governor Kazuo Ueda is aware that the current yield curve control stimulus framework is unsustainable, as it distorts prices, lacks ...

BLOOMBERG  Mitsubishi UFJ Financial Group Inc raised 570 billion yen ($4 billion) worth of debt in what is Japan’s biggest yen bond deal this year. With yields rising, the lender offered a coupon of 2.127% on the perpetual non-callable 10-year and one-month Additional Tier 1 (AT1) bonds, underwriter Mitsubishi UFJ Morgan Stanley Securities Co said. That’s the highest coupon on ...

BLOOMBERG  Euro-area lenders count on financial firms from outside of banking for about 14% of their funding — underlining how the industry is exposed to potential turmoil in sectors that aren’t subject to strict regulatory oversight. Unsecured deposits make up the largest part of those liabilities, followed by debt securities and repo funding, European Central Bank (ECB) researchers said in ...

BLOOMBERG  Deutsche Bank AG sees the current slump in mergers and acquisitions (M&A) as an opening to boost ranks and take back some market share from Wall Street rivals. The German giant has signed on M&A veterans from peers including Bank of America Corp, Credit Suisse Group AG, Lazard Ltd and Citigroup Inc over the past couple of months and ...

BLOOMBERG  UBS Group AG and Credit Suisse Group AG are offering a rare incentive for their wealth bankers in Asia to bring in fresh cash, underscoring the challenges the former Swiss rivals face to ensure stability as they seek to complete a government-orchestrated merger. Relationship managers at both firms will receive commissions of 15 basis points, or $0.15 for each ...

BLOOMBERG  Bank of America Corp (BofA) plans to ask about 40 bankers in Asia to look for jobs in other divisions as it looks to manage the industry-wide decline in dealmaking while trying to avoid headcount reduction. About half of these client-facing roles are based out of Hong Kong with a focus on China, and the majority of the affected ...