July, 2019

• 3 July

  Why is world’s largest car market facing slowdown?

  

  The world’s largest car market is grappling with a sharp slowdown. What’s the best remedy? China’s car sales and output have fallen dramatically every month since July 2018. Inventories are piling up, especially for autos that don’t comply with emissions regulations, which will kick in next month for a large part of the country. Beijing has pulled out all the ...

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• 3 July

  India needs to get its budget numbers right

  

  During election years such as this one, India’s outgoing finance minister offers up only an “interim budget,” under the assumption that the incoming government will have different policy priorities. Given that Prime Minister Narendra Modi’s government was reelected so easily, one might think the budget it’s scheduled to present on July 5 won’t look much different. It should. Modi’s new ...

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• 3 July

  These upstart bond ETFs actually act like bonds

  

  Exchange-traded funds have never quite been a perfect fit for the bond market. In fact, some of the main selling points of ETFs — real-time pricing, instant liquidity and the ability to trade at a low cost — run counter to some of the core tenets of traditional fixed-income investing. The buy-and-hold types don’t need to know precisely where their ...

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• 3 July

  Dow Average heads for record, Treasuries dip

  

  Bloomberg US stocks advanced to fresh records in thin trading ahead of a holiday. The rally in global bonds extended as investors weighed the prospect of more dovish appointees to two of the world’s major central banks. Ten-year Treasury yields dipped to the lowest since November 2016 on rising market bets that the Federal Reserve will cut rates this month. ...

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• 3 July

  Most Indian stocks rise ahead of budget

  

  Bloomberg Most Indian equities advanced and key indexes eked out gains ahead of the federal budget due on Friday. Investors are counting on the government to provide stimulus for an economy growing at its slowest pace in several years. The benchmark S&P BSE Sensex added 0.1 percent to 39,839.25 in Mumbai, after fluctuating between a gain of as much as ...

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• 3 July

  Nordea CEO vents frustrations days after announcing his exit

  

  Bloomberg Within days of announcing he will step down, the chief executive officer of Nordea Bank Abp has revealed his thoughts on an activist investor that repeatedly slammed his firm. Casper von Koskull, who said that he plans to retire by late next year when he turns 60, acknowledged that the frequent public criticisms by shareholder Cevian Capital AB were ...

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• 3 July

  European banks face $153bn capital hole under Basel rules

  

  Bloomberg Large European banks need about 135 billion euros ($153 billion) to comply with the latest capital standards agreed to by the Basel Committee on Banking Supervision, according to a new estimate that raises the stakes for policy makers and the industry. Global regulators clinched a deal in 2017 on how banks must measure the risk of mortgages, loans and ...

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• 3 July

  Andrea Orcel considers starting ‘boutique bank’

  Bloomberg Andrea Orcel has spent his career leading some of the world’s biggest investment banks. Now he may strike out on his own. Orcel is considering starting a boutique investment bank, one of a range of options that may force him to give up tens of millions in deferred pay from his former employer, UBS Group AG, according to people ...

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• 3 July

  India’s central bank is trying to drain cash

  

  Bloomberg Indian bond traders who were expecting the central bank to keep the cash spigot open may have to rework their calculations. The Reserve Bank of India was expected to hold a reverse repo auction of 250 billion rupees of 63-day duration on Wednesday, the first such move to use the tool for a longer duration to drain cash. It ...

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• 3 July

  Deutsche Bank mulls ‘unwanted assets sale’

  

  Bloomberg Deutsche Bank AG is sounding out potential buyers for a wide range of unwanted assets as it lays the groundwork for its most dramatic overhaul in recent history, people with knowledge of the matter said. Germany’s largest lender is gauging interest for performing and soured loans as well as assets including equity-related securities and interest rate derivatives, the people ...

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