Cathay Pacific profits plummet March 14, 2012 Cathay Pacific Airways, Asia’s fourth largest airline, posted a bigger-than-expected 61 per cent drop in 2011 net profit today, amid high fuel costs and a slowing global economy, and warned of a more challenging year ahead. The firm reported an annual net profit of HK$5.5bn, down from a record high of HK$14.05bn in 2010 which [...]
Britain considers issuing 100-year government bonds March 14, 2012 Britain could start selling 100-year and perpetual bonds, Treasury sources said on Tuesday, as ministers seek to lock in current low market interest rates to reduce the future costs of servicing the government’s debt burden. The Debt Management Office will launch a consultation alongside next week’s budget to gauge the appetite for super-long bonds of [...]
UK unemployment rises by 28,000 March 14, 2012 UK unemployment rose by 28,000 to 2.67m in the three months between November and January, meaning that 8.4 per cent of the economically active population are without a job, figures from the Office of National Statistics show. Meanwhile youth unemployment rate rose to a record high of 1.042m in the three months to January, taking [...]
WALL STREET PASSES CRUCIAL STRESS TEST March 14, 2012 But Fed says Citigroup, Ally, MetLife and SunTrust are barred from joining in dividend bonanza THE FEDERAL Reserve paved the way for a multi-billion dollar dividend bonanza last night by passing 15 banks in its latest stress tests, allowing them to return cash to shareholders. The US central bank said most of the largest American [...]
Angry banks hit out at Fed March 14, 2012 THE THREE US banks and an insurer that failed Federal Reserve stress tests last night signalled the start of a battle with the regulator. MetLife, the largest life insurer in the US, led the criticism after it was denied permission for a $2bn (£1.27bn) share buyback and a 49 per cent increase in its annual [...]
WHAT THE OTHER PAPERS SAY THIS MORNING March 14, 2012 FINANCIAL TIMES CAR LOANS SPEED UP AT CLOSE BROTHERS Close Brothers has reported strong growth at its banking arm in the six months to 31 January, but profits were held back by its securities and asset management divisions. Profits at the banking division have grown since the start of the financial crisis, as it expanded [...]
Dow hits a four-year high March 14, 2012 NEWS of the stress test results helped send the Dow Jones industrial average to its highest level since 2007 yesterday, with a late spark coming from JP Morgan and its dividend announcement. And the Nikkei opened above 10,000 this morning to hit a seven-month high on the back of the strong performance in US markets. [...]
Tests looked at fraud, lawsuits and meltdown March 14, 2012 THE FEDERAL Reserve’s stress test results, released two days ahead of schedule yesterday, put banks’ balance sheets through a projected financial meltdown over a two and a quarter year period. The Fed said the 19 banks taking part would lose a total of $534bn under the worst-case scenario, including loan losses, market shock as well [...]
JP Morgan sparks a US divi bonanza March 14, 2012 SHARES in JP Morgan Chase soared last night after it became the first bank to say it would boost its dividend after passing the Federal Reserve’s stress tests. The bank’s stock closed up more than seven per cent at $43.39, making it the highest riser on the Dow Jones, after it said it would raise [...]
Deutsche to cull 1,000 jobs in its investment bank March 14, 2012 DEUTSCHE Bank is plotting an overhaul of its corporate and investment bank that could see up to 1,000 jobs slashed, City A.M. has learned. The cuts, which will not affect Germany, come in addition to the 500 announced last October. That number sparked surprise at the time because it was significantly less than rivals. But [...]
