The EU competition watchdog just fined HSBC, Credit Agricole and JP Morgan Chase €485m over Euribor December 7, 2016 HSBC is one of three banks fined a total of €485m (£412.4m) over their participation in a Euribor rigging cartel, the European Commission's antitrust watchdog said today. HSBC will pay €33.6m over its month-long participation in the cartel, which rigged euro interest rate derivatives, while Credit Agricole will pay €114.7m and JP Morgan willl pay €337.2m, both [...]
Credit Suisse shares rise as chief exec Tidjane Thiam cuts costs and lowers profit targets December 7, 2016 Credit Suisse shares have risen more than six per cent in early trading after it announced more than 1bn Swiss francs (£785.4m) in extra cost cuts. It is just over a year since chief executive Tidjane Thiam set out his restructuring strategy for the bank to focus on markets in Switzerland and Asia and ditch investment banking for wealth management, [...]
Monte dei Paschi shares jump 10 per cent on bailout hopes December 7, 2016 Shares in Italian bank Monte dei Paschi di Siena soared more than 10 per cent today on rumours that the Italian government is preparing a rescue bid. According to reports, Italy will take a €2bn (£1.7bn) controlling stake in the country's third biggest bank. The surge in the bank's shares is a turnaround from the stock's [...]
Digital challenger bank N26 has pulled back from its UK launch plans December 6, 2016 The German digital challenger bank N26 has pulled back on its plans to launch in the UK as it pushes forward with expansion elsewhere in Europe, City A.M. can exclusively reveal. The startup which is seeking to disrupt the established banks, and whose peers include the likes of Monzo, Tandem and Atom in the UK, announced its [...]
Monte dei Paschi shares plunge on government bailout fears as Renzi expected to leave by Thursday December 6, 2016 Shares in Italian bank Monte dei Paschi di Siena fell as much as five per cent as doubts surround the possibility of a private-sector bailout for the struggling bank. Meanwhile, Italy's senate will vote on a budget for 2017 on Wednesday, paving the way for Prime Minister Matteo Renzi to formally step aside by Thursday, [...]
Contracts for difference: What are they and what’s the FCA’s problem with them? December 6, 2016 It's been a tumultuous day so far for spreadbetting firms after financial regulators announced plans to clamp down on the retail trading of contracts for differences (CFD) products. Platform investors ran for the hills in the wake of the news: the likes of IG Markets, Plus 500 and CMC Markets have had between a quarter and [...]
US regulators have been much harsher than their UK counterparts while European authorities have been even kinder… December 5, 2016 US regulators have slapped fines on banks at four times the level imposed by their UK counterparts in connection with interest rate and foreign exchange manipulation. A total of 12 banks have been fined $9.8bn (£7.7bn) by US authorities over the last four and a half years. This compares with £2bn imposed on 11 lenders by UK authorities. [...]
Overseas banks miss out on bid to be excluded from banking levy scope December 5, 2016 Overseas banks have failed in their bid to be taken outside the scope of the UK's banking levy, a government consultation has revealed. The document, which was published today, noted various consultation submissions from foreign banks had asked government if it would reconsider the rules so the levy was on assessed on the balance sheets [...]
Too big to fail banks are a global affair, says Bank of England’s Sir Jon Cunliffe December 5, 2016 Handling too big to fail banks is a worldwide issue, particularly given the number of lenders which trade cross-border, a key Bank of England figure has said today. Writing for the European Economy online journal, Sir Jon Cunliffe, deputy governor for financial stability at the Bank, said international cooperation to create response plans for the failure of one of [...]
Italian banks fall as Monte dei Paschi’s future hangs in the balance following Matteo Renzi’s resignation December 5, 2016 Most people aren't out of bed yet, but it's already a dramatic morning for Italy's troubled lenders, who are facing more uncertainty following the result of the country's referendum. The FTSE Italia all-share banks index was down 4.3 per cent in early trading in the country after the resignation of Prime Minister Matteo Renzi threatened another setback in [...]