June, 2019

• 9 June

  BOJ to cut negative rate in September: JPMorgan

  

  Bloomberg The Bank of Japan (BOJ) will lower its short-term interest rate to -0.3 percent from -0.1 percent in September to head off risks posed by an expected Federal Reserve rate cut, JPMorgan Chase & Co. said in a research note. Fed cuts are now expected in September and December after escalating US-China trade tensions have raised the risk that ...

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• 9 June

  Draghi’s rate-cut plan fails to sway investors

  

  Bloomberg Mario Draghi’s insistence that he’s determined to revive euro-zone inflation with interest-rate cuts and renewed bond purchases if needed isn’t convincing investors. The European Central Bank president talked a tough game after policy makers extended their pledge to keep borrowing costs at record lows and announced more cheap loans to banks. Yet traders pared bets on a rate cut, ...

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• 9 June

  Fitch slashes Deutsche Bank rating to BBB

  Bloomberg Deutsche Bank AG’s credit rating was cut by Fitch Ratings, which cited the firm’s lack of progress in improving operations. The bank’s long-term issuer default rating was downgraded to BBB from BBB+, Fitch said in a statement. “The downgrade of Deutsche Bank reflects its continued difficulty and limited progress in improving its profitability and stabilising its business model,” Fitch ...

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• 9 June

  Lawmakers seek documents on 737 Max faulty sensor alert

  

  Bloomberg House lawmakers demanded records from Boeing Co, one of its suppliers and US aviation regulators on why a cockpit alert that might have helped pilots in two fatal 737 Max crashes was installed with a defect that the planemaker didn’t plan to fix it until 2020. Representative Peter DeFazio, the Oregon Democrat who heads the House Transportation and Infrastructure ...

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• 9 June

  Fosun in talks to buy Thomas Cook unit

  

  Bloomberg Fosun International Ltd’s tourism unit is in talks to buy Thomas Cook Group Plc’s tour-operating business, Sky News reported. Hong Kong-listed Fosun is already Thomas Cook’s biggest shareholder and is working with JPMorgan Chase & Co on the potential offer. Discussions are at an early stage and it isn’t certain a bid will emerge, Sky said, citing people it ...

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• 9 June

  Steinhoff, Tongaat woes raise South African auditor scrutiny

  

  Bloomberg Steinhoff International Holdings NV’s financial scandal and sugar maker Tongaat Hulett Ltd’s admission it may need to restate results is spurring South African auditors to weigh tougher measures for the profession. While auditors are expected to reassure the public that the financial statements they have signed off are reliable, the standards used don’t require them to uncover wrongdoing. That ...

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• 9 June

  Tiffany’s US sales to Chinese tourists drop 25%

  Bloomberg Tiffany & Co’s US sales to Chinese tourists fell by more than 25 percent last quarter, a trend that’s worsening as a trade war escalates between the two countries. The jeweller first started seeing cracks in tourist spending a year ago, and it has further deteriorated over the past three quarters. Company executives said on a conference call that ...

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• 9 June

  FedEx trims Amazon ties as retailer flexes delivery muscles

  

  Bloomberg FedEx Corp said it wouldn’t renew its US air-delivery contract with Amazon.com Inc, paring a key customer relationship as the largest online retailer deepens its foray into freight transportation. The new focus will be on “serving the broader e-commerce market,” with US package volume from online shopping expected to double by 2026, FedEx said in a statement. The Amazon ...

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• 8 June

  Oil optimism slumps to 12-week low as price dips to bear market

  

  Bloomberg Hedge funds kept running away from oil as prices tumbled into a bear market. They cut bets on West Texas Intermediate crude’s rally to the lowest level in 12 weeks, according to data. Optimism on Brent crude, the global benchmark, declined by the most this year. WTI reached bear territory, dropping more than 20 percent from its April high ...

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• 8 June

  G-20 warns on downside risks to global growth

  

  Bloomberg Finance chiefs gathered in Fukuoka, Japan, for meetings of the Group of 20 are wrangling over language on how to describe global trade disputes in a communique that is to be published at the meeting’s conclusion. A fifth draft version of the statement seen by Bloomberg News referenced the need for a ‘pressing need to resolve trade tensions’ amid ...

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