Banking

SYDNEY/ Reuters The US central bank should be patient as it raises interest rates this year, said Federal Reserve Bank of Atlanta President Raphael Bostic, adding his voice to other dovish comments from officials concerned by low inflation and the risk of an inverted yield curve. “I am comfortable continuing with a slow removal of policy accommodation,’’ Bostic, who votes ...

Bloomberg Andorran private bank Andbank is working to add Argentina to its Latin American roster and looking to expand in Mexico and Brazil as tax amnesty programs unlock wealth in the region. The micro-state’s largest bank, with 25 billion euros ($30 billion) under management, is trying to obtain a license to operate as a global investment adviser in Argentina under ...

Bloomberg The Swiss National Bank (SNB) expects to have racked up a record 54 billion-franc ($55 billion) profit in 2017, in large part because of the drop in the franc against the euro. Earnings at the central bank led by Thomas Jordan got a boost from holdings of foreign currency, which contributed 49 billion francs. The overall result dwarfs even ...

SYDNEY/ Reuters The African Export-Import Bank (Afreximbank) has raised around $260 million via three sharia-compliant facilities to support small- and medium-sized businesses in the region, as African markets gradually open to Islamic finance. Cairo-based Afreximbank, which was founded by African governments and other investors in 1993 and focuses on trade finance, obtained a $100 million financing from the Islamic Corp ...

Bloomberg UBS Group AG is in discussions to acquire a majority stake in its Chinese securities joint venture, Chief Executive Officer Sergio Ermotti said, as global banks rush to take advantage of Beijing’s pledge to further open its financial markets. UBS has started talks with its local partners on taking a 51 percent stake in the venture, Ermotti said in ...

Bloomberg A former Royal Bank of Scotland Group Plc trader was fined 250,000 pounds ($338,000) and banned from working in the industry by the UK markets regulator for manipulating Libor, five years after the bank was penalised for its role in the scandal. The Financial Conduct Authority issued the penalty against Neil Danziger on Monday, saying the ex-trader “routinely” made ...

Bloomberg After a quiet start to January, this week could see bigger bets come back into play on the pound. With the UK Parliament returning from recess and a slew of data, investors will be looking to put on fresh sterling positions, according to Neil Jones, head of currency sales at Mizuho Bank Ltd. Despite lingering Brexit uncertainty and a ...

Bloomberg Romania unexpectedly raised borrowing costs for the first time in almost a decade as inflation bounces back and its economy expands at one of the continent’s quickest paces. The central bank lifted its benchmark interest rate to 2 percent from a record-low 1.75 percent on Monday, according to an emailed statement. The move was predicted by five of 15 ...

Bloomberg Milton Friedman put a nail in the coffin of the original version of the Phillips Curve 50 years ago when he correctly foresaw that the US could simultaneously suffer from high unemployment and lofty inflation. A growing number of economists are now trying to lay to rest Phillips Curve 2.0, still in use at the Federal Reserve and other ...

Bloomberg The US central bank should take its time before raising interest rates again to avoid inverting the yield curve and because inflation is still low, said Federal Reserve Bank of Philadelphia President Patrick Harker. In remarks during the annual meeting of the American Economic Association in Philadelphia, Harker also revealed a dovish rate call for 2018: two hikes instead ...