Banking

Bloomberg Investors are punishing markets where policy makers haven’t done enough to stem deteriorating current-account balances, ballooning inflation and a run on their currencies. They became unforgiving as rising Treasury yields and a stronger dollar put the case for riskier investments in the balance. Money is no longer cheap or plentiful, and low-quality investments burdened by policy baggage are being ...

Bloomberg Emerging-market central banks are going on the defensive. A surging dollar and the highest 10-year US Treasury yields since 2011 are fuelling bets that policy makers in key developing nations from India to Mexico will raise interest rates faster than economists previously anticipated. The turnaround is led by concern that a failure to tighten monetary policy risks the possibility ...

Bloomberg Slower-than-expected UK growth this year won’t stop the Bank of England from at least one interest-rate increase, according to a Bloomberg survey of economists. Output will stutter to 1.4 percent from 1.8 percent in 2017, the median forecast showed, slightly lower than the 1.5 percent previously forecast. Nearly 60 percent of economists see a hike at the August meeting. ...

Bloomberg The Bank of Spain is debating how to handle an in-house study of wealth and income disparities which risks landing the institution in the middle of a political storm, according to two people familiar with the matter. Rather than publish the analysis in its signature annual report, which carries the stamp of the governor and sets out the official ...

Bloomberg JPMorgan Chase & Co. plans to offer sophisticated investments to a much broader clientele. The bank is slashing requirements to participate in certain alternative investments that its asset management arm once offered mainly to institutions or the ultra rich. That will allow it to accommodate more allocations made through registered investment advisers. The new minimum buy-in will be $100,000, ...

Bloomberg A tense scene unfolded inside Deutsche Bank AG’s Manhattan tower just hours before news began leaking that the firm was looking for a new chief executive officer. US regulators on that day in late March gave senior executives a stern warning that remains in effect: Europe’s biggest investment bank, they said, must act more urgently to fix lapses described ...

Bloomberg HSBC Holdings Plc is set to reaffirm its position in Saudi Arabia with the takeover of Royal Bank of Scotland Group Plc’s local venture as lenders bet on the kingdom’s ambitious plans to transform its economy. In the country’s first bank merger in almost 20 years, HSBC affiliate Saudi British Bank offered to take over RBS-backed Alawwal Bank in ...

Bloomberg A stronger dollar, rising US yields and geopolitical tensions have sent plenty of investors bolting from emerging markets. Then there’s Aberdeen Standard Investments and Goldman Sachs Asset Management. Aberdeen Standard Investments, which oversees about $770 billion, took advantage of the recent selloff to increase its holding in the Russian ruble, South African rand and Indonesian rupiah. Goldman Sachs Group ...

Bloomberg Poland’s lack of urgency to raise interest rates is becoming less out of step with global central banks as plans to tighten monetary policy get sidetracked around the world. Maintaining the rate differential with major economies won’t be a challenge any time soon for Governor Adam Glapinski as he looks to extend Poland’s longest-ever policy pause at least through ...

Bloomberg A Swedish interest rate increase as early as October is in line with the policy path laid out by the central bank, Riksbank Deputy Governor Cecilia Skingsley said. Policy makers last month again pushed back a plan to raise rates for the first time in seven years, saying they didn’t see a tightening until towards the end of the ...