FTSE breaks eight day streak on jitters over China and Euro July 6, 2011 THE FTSE 100’s eight-day winning streak came to a halt yesterday as worries over debt contagion in Europe and the demand outlook in China hit banking and commodity stocks. The top share index closed 21.11 points or 0.4 per cent lower at 6,002.92, having risen more than six per cent in the previous eight sessions [...]
Banks in retreat after Portugal downgrade July 6, 2011 The FTSE 100 lost ground on opening today after Moody’s cut Portugal’s credit rating to “junk” sending banking shares down. As the Eurozone crisis deepened investors abandoned risky equities as banks’ exposure to the crisis in the eurozone came under the spotlight. The euro fell sharply after the Moody’s four-notch downgrade to Ba2, with the [...]
Allianz sells first insurer coco bonds July 5, 2011 GERMAN insurance group Allianz sold €500m (£451m) of so-called “coco” bonds to privately-owned Japanese insurer Nippon Life yesterday in the first use of such instruments in the sector. The contingent convertible bonds Allianz created can convert to common equity in the insurer within ten years of being issued, in the event of certain conditions it [...]
FTSE digs in after gains July 5, 2011 The FTSE started solidly today after breaking the 6,000 barrier yesterday but bleak service sector data cast a shadow across European markets. Growth in the eurozone’s service sector slowed for a third straight month in June — sending negative signals to investors. The UK Markit/CIPS services PMI came in at 53.9 for June, down from [...]
Bankers facing jobs bloodbath July 4, 2011 INVESTMENT bankers are facing the prospect of mass lay-offs as the City struggles to cope with an ongoing period of low trading volumes and depressed revenues. City A.M. understands that Credit Suisse plans to announce hundreds of job cuts this Thursday following a headcount freeze put in place in London last month. The bank has [...]
Eurozone producer prices slip July 4, 2011 Producer prices in the Eurozone slipped more than expected in May, declining by 0.2 per cent, after a 0.9 per cent jump the previous month. However, underlying data suggest that price pressures remain intense, according to Barclays Capital: “The annual inflation rate for the core (excluding food and energy) consumer goods PPI reached 1.3 per [...]
Banks hit by S&P Greece default blow July 4, 2011 Banking shares took a hit in early trading after ratings agency S&P issued a fresh warning over the Greek debt crisis. S&P said Greece would be likely to default if it follows a debt rollover plan in which French banks would allow the country to pay back its debt to them over decades. Investors were [...]
Heartening US data prompts market rally July 1, 2011 Financial stocks have powered ahead today after good economic news from the US and a reduction in concerns over Greece’s debt prompted a market rally. Lloyds, Barclays and RBS, the UK’s three biggest banks, have provided firepower to the FTSE 100, leaving it 0.7 per cent higher at the close, at 5,989.76 and bringing it [...]
US manufacturing up but consumers remain wary July 1, 2011 US manufacturing growth picked up in June, a national index has shown, in a second day of positive data that points towards an end to the soft patch that has dogged the economy in recent months. A separate survey of consumer confidence showed it edged up in June, as fuel prices fell and eased the [...]
Barclays offloads private equity assets for £460m June 30, 2011 BRITISH lender Barclays has sold a €520m (£460m) portfolio of private equity fund investments to French firm Axa Private Equity. Led by Bob Diamond, the bank is seeking to sure up its capital position in the face of tough new regulation. The lender said the portfolio included investments in private equity funds as well as [...]