UK to press ahead with Edinburgh reforms despite banking crisis fears March 21, 2023 The UK government has said it will press ahead with its plans to deregulate the country’s financial services sector, known as the Edinburgh reforms, despite widespread turmoil in the banking industry. “We are continuing to deliver the Edinburgh reforms, which recognise the foundations on which the UK’s success as a financial services hub is built: [...]
Europe’s banks post strong gains as Janet Yellen is set to signal further support for US banks March 21, 2023 European Bank stocks continued to recover today as US Treasury Secretary Janet Yellen is set to signal further support for regional US lenders. Europe’s largest banks were all firmly in the green around midday. BNP Paribas rose 3.9 per cent, Deutsche Bank was up 5.2 per cent, while UniCredit and Santander climbed 6.3 per cent [...]
Moody’s follows S&P in UBS ratings downgrade as concerns grow over Credit Suisse deal March 21, 2023 Moody’s downgraded the outlook on UBS today, following a similar move by S&P over the weekend, after the Swiss banking giant’s acquisition of Credit Suisse. The ratings agency said “the transaction poses significant financial, cultural and franchise related integration challenges” to UBS. These challenges included the difficulty of maintaining key members of staff, the need [...]
European markets to open higher after Credit Suisse drama as investors split on central bank rate hikes March 21, 2023 European markets are set to open higher on Tuesday as investors bet that banking turmoil will put a halt to central banks’ battle to contain inflation The FTSE and Frankfurt’s DAX were called up 0.59 per cent while the CAC in Paris was called up 0.47 per cent. After the drama of the past few [...]
FTSE 100 closes up as investors hope Credit Suisse deal will contain banking crisis March 20, 2023 Markets managed to shrug off turmoil in the banking sector to finish the day higher despite huge turmoil in the financial sector. The FTSE 100 closed 0.93 per cent higher at 7,403.85 points, while the domestically-focused mid-cap FTSE 250 index, which is more aligned with the health of the UK economy, climbed 0.13 per cent [...]
UBS and Credit Suisse face legal threats after bond wipeout and shareholder bypass March 20, 2023 UBS and Credit Suisse are facing potential legal action from investors after the controversial tie-up between the two banks bypassed a vote by shareholders and wiped out $17bn of Credit Suisse bonds.
Credit Suisse set to pay bonuses and boost salaries despite UBS takeover March 20, 2023 Credit Suisse is reportedly set to pay out bonuses and go ahead with planned salary increases for its staff despite the dramatic acquisition of the bank by UBS over the weekend. In an internal email sent to members of staff and seen by the Financial Times, the beleaguered lender said it “will continue to allocate [...]
Bank of England confirms AT1 bondholders priority over shareholders as it proclaims UK banks ‘safe and sound’ March 20, 2023 The Bank of England confirmed the pecking order in which investors would be paid out if a bank went bust as it sought to reassure markets about the stability of the UK’s financial system. In a statement released today, the UK central bank confirmed that alternative tier 1 (AT1) bondholders would be prioritised over shareholders [...]
Banking crisis: Thousands of City jobs at risk with UBS set to ‘downsize’ Credit Suisse investment bank division March 20, 2023 Thousands of jobs in the City are at risk after UBS’s dramatic acquisition of Credit Suisse last night, with Credit Suisse’s investment banking division at the heart of discussions. The Swiss banking stalwarts employ some 11,000 people in London, including a high concentration of their investment banking units which were already facing potentially hefty job [...]
Banks recover morning losses as markets digest Credit Suisse-UBS merger March 20, 2023 Shares in UBS were trading over 5 per cent down around midday on Monday, having traded nearly 10 per cent lower earlier in the day, after it completed its emergency acquisition of Credit Suisse over the weekend. Although many European banks were trading lower in the morning, most had recovered some of their losses shortly [...]