May, 2016

• 25 May

  Pound may lose reserve currency status on Brexit, warns S&P

    Bloomberg A Brexit wouldn’t just weaken the pound — it would jeopardize its status as a reserve currency used in world trade, according to S&P Global Ratings. Sterling lags only the dollar and euro in central banks’ holdings, a legacy of Britain’s large economy, its trusted legal system and use of the global lingua franca. But a vote to ...

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• 25 May

  Hungary for clarity on Russian sanctions

    AP The EU’s decision on whether to extend economic sanctions against Russia for its actions in Ukraine should be transparent and discussed openly, Hungary’s foreign minister said on Wednesday. Foreign Minister Peter Szijjarto said after meeting Russian counterpart Sergey Lavrov that Hungary will not accept an “automatic” decision regarding the sanctions currently in place until the end of July. ...

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• 25 May

  London’s City finance centre braces for possible Brexit

  

    London/ AFP With one month to go before Britain’s vital in-out EU referendum, London’s City finance district is busily planning ahead for a potential “Brexit”. Big City firms, many of which are housed in skyscrapers that dominate the London skyline, are seeking to protect themselves from market volatility should Britons vote “Leave”, experts say. Major players like HSBC and ...

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• 25 May

  China plans to ask US on timing of Fed interest rate hike in June

  

    Bloomberg Chinese officials plan to ask their American counterparts in annual talks next month about the chance of a Federal Reserve interest-rate increase in June, according to people familiar with the matter. The Chinese delegation will try to deduce whether a June or a July rate rise is more likely, as their nation’s policy makers prepare for the potential ...

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• 25 May

  Brazil records first current account surplus since 2009

    Bloomberg Brazil recorded an unexpected current account surplus last month, the first since April 2009, as a prolonged economic recession curbed imports and companies sent less profits abroad. The surplus in the current account, the broadest measure of trade in goods and services, reached $412 million in April after a revised deficit of $857 million in the previous month, ...

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• 25 May

  Oil extends gains near $50 as US crude stockpiles seen falling, easing glut

  

    Bloomberg Oil extended its advance to near $50 a barrel as weekly U.S. industry data showed crude stockpiles declined, easing a glut. Futures rose as much as 1.7 percent in New York on Wednesday, marking a third day of gains. U.S. oil inventories, which are near the highest in 80 years, dropped by 5.14 million barrels last week, the ...

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• 25 May

  Argentina loans tripled on holdout resolution

  

    Bloomberg The World Bank’s International Finance Corporation is more than tripling its investment in Argentina this year after President Mauricio Macri’s government began carrying out economic reforms and resolved a 15-year legal battle with holdout creditors. The IFC will lend about $1.8 billion to Argentina’s private sector this calendar year compared with $500 million in 2015, Liz Bronder, director ...

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• 25 May

  Exxon, Chevron oppose environmental drive to cut big oil’s reach

  Bloomberg Climate activists seeking to pull investors into their camp are pushing Exxon Mobil Corp. and Chevron Corp. to limit money spent on exploration in favor of higher dividends and more share buybacks. Shareholders will vote on proposals that would urge the two biggest U.S. oil producers to cut what they spend opening up new oil fields and instead hand ...

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• 25 May

  Trader beats banks in currency race

  

    Bloomberg Computerised trading firm XTX Markets Ltd. has come from out of nowhere to dethrone major banks including Deutsche Bank AG in the rankings of the world’s biggest spot currency traders. The London-based proprietary trader is now the fourth-biggest trader, accounting for 7.6 percent of spot foreign exchange. It’s the first time an electronic specialist has displaced a bank ...

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• 25 May

  Sberbank Q1 net profit jumps despite sanctions

  

    Bloomberg Sberbank PJSC reported record first-quarter profit, better than analyst estimates, as provisions and financing costs declined. Net income rose to 118 billion rubles ($1.8 billion) from 30.6 billion rubles in the first quarter last year, Russia’s biggest lender said in a statement on Wednesday. That was better than the average estimate of 102 billion rubles from six analysts ...

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