Banking

Bloomberg Big euro-area lenders face a choice; clean up the complicated corporate structures that make them difficult to wind down in a crisis, or watch Elke Koenig do it for them. Koenig, head of the Brussels-based Single Resolution Board, said in an interview that streamlining banks’ architecture and ensuring they can fund their own demise without taxpayers’ help will be ...

Bloomberg Bank of England policy makers said the breakthrough in Brexit negotiations this month could prove to be positive for the UK economy, which has lagged behind many of its international peers this year. Having long been criticised for being overly negative on the fallout from Brexit, the lat- est commentary from the central bank noted the recent progress in ...

Bloomberg Bank of Canada Governor Stephen Poloz said policy caution and uncertainties around the economic outlook remain prominent in the central bank’s thinking, even as an economy running close to capacity increases the likelihood rates will eventually rise. Poloz used his last speech of the year to highlight three subjects he called “slower-moving, nagging issues” that keep him up at ...

Bloomberg UBS Group AG’s head trader for commercial mortgage-backed securities denied claims of trying to influence research reports published by the Swiss bank’s former senior strategist for CMBS products. David McNamara, 49, testified at a trial brought by former CMBS strategist Trevor Murray, who says UBS illegally fired him in February 2012 for blowing the whistle on alleged attempts to ...

Bloomberg The Bank of Russia surprised the market with a cut in its key rate that was double what economists expected, but warned that it’s not shifting into higher gear on easing. A deal between the Organization of Petroleum Exporting Countries and its allies to maintain oil production cuts until the end of 2018 was a key factor lifting the ...

Bloomberg Spain kicked off the race to lock down the European Central Bank vice presidency after Prime Minister Mariano Rajoy confirmed the nation will bid for the post. The Spanish premier said the country is well-placed to present “a female or male” candidate for the role set to become vacant after the current No. 2, Portugal’s Vitor Constancio, retires in ...

Bloomberg The Bank of Spain cut its estimate for economic growth for 2018 and 2019 because of the impact of political uncertainty related to Catalonia’s drive for independence. Growth is set to slow to 2.4 percent next year from a previous estimate of 2.5 percent in September before the secession crisis erupted. The economy will grow 2.1 percent in 2019 ...

Bloomberg The German economic upswing is reaching an “increasingly mature state,” according to the Bundesbank. The Frankfurt-based institution lifted its projections for growth in Europe’s largest economy through 2019 and said it expects momentum to remain strong over the coming year, before moderating in the medium term. The Bundesbank sees inflation accelerating to 1.9 percent in 2020, with energy costs ...

Bloomberg A new dissenter on the Bank of Japan board calling for more stimulus has prompted the BOJ to adjust its communications to flag risks of additional eas- ing, according to people familiar with the central bank’s discussions. The change in messaging could explain why some investors wrongly interpreted Governor Haruhiko Kuroda’s recent comments on the “reversal rate” theory as ...

Bloomberg Not everyone is convinced that the European Central Bank will be able to move as slowly as it wants on the path away from extraordinary stimulus. At least six banks including Nomura International Plc and Barclays Plc predict that President Mario Draghi will raise interest rates as soon as next year. While those forecasts are outliers — most investors ...