Fed to begin stress tests January 9, 2011 The US Federal Reserve will this week begin carrying out new stress tests on 19 big American banks, to see if they are healthy enough to hike their dividends or buy back stock. The Fed will try to determine how another financial crisis or economic shock would hurt the 19 banks, which include Goldman Sachs, [...]
Shock, horror: UK needs rich people January 9, 2011 BRITAIN doesn’t just need more jobs – over time, it also needs them to be better, higher productivity and hence higher paying jobs. This would be good for everybody: for the millions concerned and their families; and also for the public finances, which desperately need an overall rise in prosperity. Such a scenario is, however, [...]
Xstrata eyes Colombia deal January 9, 2011 MINING giant Xstrata is the front-runner in an auction worth around £5bn for Colombia’s second biggest coal miner. Alabama-based Drummond put its Colombian coal mining operations up for auction last summer, attracting interest from Xstrata as well as Rio Tinto, Vale, Glencore and mining investment vehicle Vallar. However, auction-runner Bank of America Merrill Lynch (BAML) [...]
What the other papers say this morning January 9, 2011 FINANCIAL TIMES GOLDMAN TEAM RAISES MONEY FOR NEW FUND The last big proprietary trading team at Goldman Sachs has begun raising money to start a new hedge fund independent of the bank, for launch in the second quarter of this year. The team – led by two senior members of Goldman Sachs’ Principal Strategies desk, [...]
Taxpayers bear brunt of fraud January 9, 2011 Taxpayers bore the brunt of a huge increase in fraud last year, with the public losing nearly £600m, according to KPMG. In a year which saw the highest level of fraud since the accountant’s Fraud Barometer began 23 years ago, the cost to victims was almost £1.4bn. The number of recorded cases last year rose [...]
Square Mile rent up 25 per cent January 9, 2011 The City of London saw the largest annual increase in office rents for 22 years last year, with rents reaching £55 per sq ft at year-end, according to consultancy Divers Jonas Deloitte.
Brazil expects currency war January 9, 2011 Brazil’s finance minister has warned that the world could be set for a “trade war”, as the country seeks to prevent exchange-rate manipulation. Guido Mantega said the US and China are the worst offenders for exchange-rate manipulation and said Brazil wants to prevent further appreciation of its currency, the real.
Leak forces BP to shut a key pipeline January 9, 2011 SHARES in BP could come under pressure today, after the oil major was forced to shut down nearly all of its output on a pipeline in Alaska following a leak. The firm has closed down 95 per cent of production from North America’s biggest oil field in Prudhoe Bay, which could result in the loss [...]
Pressure grows on Portugal January 9, 2011 PRESSURE is growing on Portugal from Germany, France and other Eurozone countries to seek financial help from the EU and IMF to stop the bloc’s debt crisis from spreading, a senior Eurozone source said yesterday. Some preliminary discussions on the possibility of Portugal asking for help if its financing costs on markets become too high [...]
Confidence growing in City: survey January 9, 2011 CONFIDENCE among City firms is growing on the back of strong business volumes and expectations of rising profitability, a survey shows today. The Confederation of British Industry (CBI) and PwC Financial Services survey paints a picture of steady recovery in the City over the past quarter, brightened by a boom in individual investment that has [...]
