Banking

Bloomberg Morgan Stanley is a clear winner, posting its biggest share rally since February 2017, after reporting third-quarter results earlier, garnering near-universal approval from Wall Street analysts picking through its report. Goldman Sachs Group’s stock is gaining too, but just the most since September 19, while its earnings are getting more of a cold eye. Morgan Stanley is scoring the ...

Bloomberg The European Central Bank’s bid to wean itself away from ultra-loose monetary policy may be challenged by an unlikely development: the creation of a new overnight borrowing rate. Ester, which the ECB will publish by October next year, will eventually replace Eonia as the risk-free rate. However, unlike Eonia that is still anchored by the deposit facility, the Ester ...

Bloomberg The fastest wage growth in almost a decade is a sign that inflation pressures are building, but the Bank of England may not act until it gets clarity on Brexit. Data from the Office for National Statistics on Tuesday showed average earnings excluding bonuses rose 3.1 percent in the three months through August, the most since January 2009. While ...

Bloomberg Goldman Sachs Group Inc. and Standard Chartered Plc have recently expanded the number of staff moving to Frankfurt by April as financial services firms accelerate their Brexit planning, according to people familiar with the matter. The decision came after the European Central Bank toughened its demands for how many people and IT resources it expects banks to have in ...

Bloomberg Latvia is looking into connections between several unnamed local lenders and a Turkish company sanctioned by the US for attempting to supply North Korea with weapons and luxury goods. Already grappling with the closure of its No. 3 lender and bribery charges against its central bank governor, the latest allegations stem from October 4 action by the Trea- sury ...

Bloomberg Less is sometimes more. The private banking arm of Germany’s cooperative lenders, a group of around 900 local banks with total assets of 891 billion euros ($1 trillion), has almost halved the number of customers while also nearly doubling assets under management within a few years. DZ Privatbank now takes care of more than 18 billion euros for the ...

Bloomberg Look to bond yields and not asset purchases for the first sign that the Bank of Japan is finally ready to start exiting its years-long monetary stimulus, Governor Haruhiko Kuroda said in an interview. Kuroda’s statement offered the clearest glimpse yet of what an exit will look like one day, though he stressed that policy settings will remain at ...

Bloomberg The revival of a long-established relationship between unemployment and inflation is proceeding — ever so slowly, according to European Cent-ral Bank Governing Council member Olli Rehn. “We see some signs that the Phillips curve is waking from its coma,” said Rehn, referring to the theory first described by William Phillips in the 1950s. “It’s maybe alive but not kicking ...

Bloomberg Wells Fargo & Co. hasn’t yet fixed all of its problems, but at least it stopped its revenue slump. The bank posted a surprise increase in revenue, with the figure rising to $21.9 billion in the third quarter, after analysts expected a slight decline. The bank benefited from rising interest rates and saw growth in consumer-lending originations in areas ...

Bloomberg The Bank of England’s next 50-pound note will be made out of plastic as the UK extends the production of polymer cash to its highest-denomination bill. The new note, worth about $66 at current exchange rates, will be Britain’s last denomination to make the shift from paper to plastic, with five- and 10-pound bills already made of the more ...