DIRS.INFO The most relevant business & tech news

☆ Citi's Fraser warns U.S. debt ceiling debate has serious consequences
▼ + stars: | 2023-05-01 | by ( ) www.reuters.com time to read: +1 min

BEVERLY HILLS, May 1 (Reuters) - Citigroup chief executive officer Jane Fraser said on Monday that debate about the debt ceiling in the United States had serious consequences even as the investing world breathes a sigh of relief that an ailing bank was rescued by a bigger competitor the same day. The debt ceiling turmoil is "more worrying" than previous events, Fraser said at the Milken Institute Global Conference. Facing uncertainty, Fraser stopped short of saying there is a world financial crisis but she said the stress will be there and will be targeted in certain sectors. She also said that she expected a lot of people to make a lot of money. Reporting by Svea Herbst-Bayliss and Carolina Mandl; Editing by Hugh LawsonOur Standards: The Thomson Reuters Trust Principles.

May 1 (Reuters) - JPMorgan Chase & Co (JPM.N) will buy most of First Republic Bank's (FRC.N) assets in a last-ditch rescue led by U.S. regulators, marking the third major U.S. institution to fail in two months. First Republic Bank shares tumbled 43.3% in premarket trading. The FDIC estimated in a statement that the cost to the Deposit Insurance Fund would be about $13 billion. "Our government invited us and others to step up, and we did," said Jamie Dimon, Chairman and CEO of JPMorgan Chase. The failed bank's 84 offices in eight states will reopen as branches of JPMorgan Chase Bank from Monday, according to the JPMorgan statement.

☆ JP Morgan to buy First Republic's assets and assume deposits
▼ + stars: | 2023-05-01 | by ( ) www.reuters.com time to read: +3 min

The banking giant will take $173 billion of loans and about $30 billion of securities of First Republic Bank including $92 billion of deposits, JPMorgan said in a statement. First Republic Bank shares tumbled 36% in premarket trading. The FDIC estimated in a statement that the cost to the Deposit Insurance Fund would be about $13 billion. "Our government invited us and others to step up, and we did," said Jamie Dimon, Chairman and CEO of JPMorgan Chase. The failed bank's 84 offices in eight states will reopen as branches of JPMorgan Chase Bank from Monday, according to the JPMorgan statement.

If a bank fails, insured deposits will be moved to another FDIC-insured bank or paid out. Checking accounts, savings accounts, money market accounts, and certificates of deposit are examples of FDIC-insured bank accounts. Single bank accounts and joint bank accounts are examples of different ownership categories. If you want to keep more money in the bank than the FDIC will insure, you could open another bank account at a separate bank. Aside from First Republic, Silicon Valley Bank, and Signature Bank, the last bank failure happened in October 2020, when Alamena State Bank in Kansas was shut down.

☆ What every consumer should know about bank failures
▼ + stars: | 2023-05-01 | by ( Jeanne Sahadi | ) edition.cnn.com time to read: +4 min

New York CNN —Let’s be frank: If you have a US bank account, hearing about bank failures in the past couple of months hasn’t felt great. Here’s what you need to know to keep things in perspective despite the recent closures of First Republic, Silicon Valley Bank and Signature Bank. How do I know my money is safe? How can I know if my bank will fail? The FDIC will issue information within a day or so of taking over a failed bank to let the bank’s customers know what steps if any they need to take and when.

☆ Lawmakers praise First Republic sale, but efforts to pass new bank rules are fizzling
▼ + stars: | 2023-05-01 | by ( Christina Wilkie | In | ) www.cnbc.com time to read: +3 min

WASHINGTON — Lawmakers who sit atop key banking committees praised the federal takeover of First Republic Bank on Monday, and held up the sale of its assets to JP Morgan Chase as a successful public-private collaboration to protect the U.S. financial system. His statement contrasted from the reaction of the Senate banking committee's chairman, Democratic Sen. Sherrod Brown of Ohio. He did not directly respond to the federal intervention, choosing instead to direct his ire at the failed bank. "First Republic Bank's risky behavior, unique business model, and management failures led to significant problems, and it's clear we need stronger guardrails in place," Brown said in a statement. "We must make large banks more resilient against failure so that we protect financial stability and ensure competition in the long run."

☆ What the First Republic takeover means for customers
▼ + stars: | 2023-05-01 | by ( Jeanne Sahadi | ) edition.cnn.com time to read: +3 min

New York CNN —First Republic Bank was taken over by the Federal Deposit Insurance Corporation on Monday, with most of its assets sold to JPMorgan Chase. Chase is assuming all deposits of First Republic customers. First Republic customers’ deposits will continue to be FDIC-insured. First Republic customers will have many of the same banking conveniences that they had before the bank was taken over. Direct deposits like paychecks and Social Security benefits will continue as usual,” the FDIC said on its resource page for First Republic customers.

☆ Just a few stocks are behind the market's recent resilience. A real concern or routine rotation?
▼ + stars: | 2023-04-29 | by ( Michael Santoli | ) www.cnbc.com time to read: +7 min

After Friday's 0.8% lift, the S & P 500 is just a sliver below its Feb. 2 year-to-date high. .SPX YTD mountain S & P 500 YTD The same dynamic is happening at the sector level, too. JP Morgan this year is outperforming the equal-weighted S & P 500 financials by 13 percentage points. "While breadth is bad, the S & P 500 is actually one of the weakest indices in the G7," he says. By the way, the top-heaviness of the index also extends to valuation: The equal-weighted S & P 500 is nearer to 15-times earnings.

Bischoff died on Tuesday of natural causes, a close relative, who asked not to be named, told Reuters on Wednesday. A former chairman of Lloyds Banking Group (LLOY.L), Citigroup (C.N) and more recently JP Morgan Securities (JPM.N), Bischoff had also been CEO of Schroders (SDR.L). Robert Swannell, former chairman of Marks & Spencer, who worked with Bischoff for 33 years at Schroders and later Citi, said he would profoundly mourn his friend and colleague. The deal was hailed as a huge success for Bischoff's leadership team, having started with a business worth just a fraction of the 1.3 billion pounds price Citi later paid. He returned to JP Morgan as chairman of JP Morgan Securities the same year.

☆ A 17th-century mansion that once housed JP Morgan and Napoleon Bonaparte's brothers is on sale for $93 million. Take a look inside.
▼ + stars: | 2023-04-23 | by ( Ryan Hogg | ) www.businessinsider.com time to read: 1 min

It's being sold by Mike Jatania, a multimillionaire cosmetics tycoon who made about $200 million when he sold Lornamead a decade ago. Mel Yates PhotographySource: Bloomberg"In central London, the likes of Ken Griffin and other hedge fund managers have bought properties, so I'm sure the Americans will look at it," Jatania told Bloomberg. "There's also been a lot of wealth created in the Middle East recently, and we know families there have a tradition of owning London homes."

A Reuters review of testimony, previously unreported public documents and interviews with elected leaders, lobbyists and attorneys detail mounting challenges to many pending anti-ESG bills. The tussles have financial implications for some of the largest investment firms that manage billions of dollars for state pension plans. Lauren Doroghazi, senior vice president at government relations consultant MultiState Associates, said the debates show lawmakers coming to terms with the anti-ESG bills' practical impact. Several public pension systems raised concerns about it, including the largest, the $182 billion Texas Teacher Retirement System (TRS). For instance, if federally-regulated local banks faced new national rules on an issue like climate change disclosures, banks would need special permissions from local officials to keep public business in Utah he said.

☆ Is it a bull market or a bear market? Stocks churning in same spot for weeks frustrates investors
▼ + stars: | 2023-04-22 | by ( Michael Santoli | ) www.cnbc.com time to read: +7 min

Stocks have been churning in a narrow channel on low volume for weeks, the S & P 500 about flat on Friday, flat for the week and barely changed this month. Yet rather than finding comfort in the gentle action anchored to familiar price levels, investors are generally frustrated or confused by it. As Bespoke Investment Group summed it up after Friday's close, "For all the talk about whether we're in a new bull market or still stuck in a bear, at this point it seems like neither. All but one of the prior 13 instances saw the S & P 500 higher six and 12 months later (beyond the initial six-month period). This is an organic insulator of S & P 500 volatility.

ORLANDO, Florida, April 21 (Reuters) - Even though it may surprise some that it's positive at all, the risk premium on equity over bonds has hit historic lows - a key driver of the recent dash for fixed income. The so-called equity risk premium (ERP), the extra return investors can expect for holding stocks over risk-free government bonds, is hovering around its lowest level since before the Great Financial Crisis. The S&P 500 earnings yield is calculated dividing the latest or forecast 12-month earnings per share by the market's current level. The ERP is then arrived at by subtracting a benchmark bond yield, say 10-year, from the equity market earnings yield. "The earnings yield is not what it used to be but it is still attractive relative to other opportunities," Jaffee said.

☆ JPMorgan thinks this drastic move by Schwab could lead to a higher share price over the long run
▼ + stars: | 2023-04-21 | by ( Brian Evans | ) www.cnbc.com time to read: +1 min

JPMorgan said a move away from banking services could boost long term-growth for Charles Schwab stock. The firm reiterated an overweight rating on the stock on Friday, with a price target of $85 per share. But JP Morgan thinks that Schwab could benefit from de-banking, or moving away from banking services altogether. Worthington added that while the process of de-banking would put pressure on earnings, the move could lead to Schwab stock trading at a higher multiple. "At 20x, a de-banked 2024 projection of $3.20, we arrive at a value of $64 per share, noticeably higher than the current stock price," he said.

☆ Former investor questions Barclays vetting of ex-CEO over Epstein
▼ + stars: | 2023-04-21 | by ( ) www.reuters.com time to read: +2 min

LONDON, April 21 (Reuters) - Former Barclays (BARC.L) investor Edward Bramson on Friday questioned how the British bank and its chairman Nigel Higgins vetted its ex-CEO Jes Staley over his earlier business ties to sex trafficker Jeffrey Epstein. Staley has acknowledged having been friendly with Epstein, expressed regret for their relationship and denied knowing about his crimes. Staley, who joined Barclays 2015 and left in November 2021, is contesting the findings of an investigation by UK regulators into how he characterised his relationship with Epstein. Staley, who joined Barclays after more than 30 years at JP Morgan, has been named in two civil lawsuits against the U.S. bank for enabling and concealing Epstein's network. JP Morgan, in turn, has sued Staley over "outrageous" alleged conduct and breaching his duty of loyalty to the bank.

☆ This transport stock got two major upgrades with analysts predicting a big rally ahead
▼ + stars: | 2023-04-21 | by ( Brian Evans | ) www.cnbc.com time to read: +2 min

A key shipping company just received two upgrades on new management additions that could underpin a strong rally. Citi upgraded shares of XPO from neutral to buy on Thursday, while JPMorgan Chase went from neutral to overweight on Friday. XPO YTD mountain Shares of transportation company XPO are heading higher Friday after two key upgrades from Citigroup and JP Morgan. XPO recently added new chief operating officer David Bates from Old Dominion, and he will assume the role on Friday. Former Old Dominion chief financial officer Wes Frye joined XPO's board of directors on March 9.

☆ CEO says many of his remote workers didn't open their laptops for a month, and 'only the rarest of full-time caregivers' can be productive employees
▼ + stars: | 2023-04-20 | by ( Sindhu Sundar | ) www.businessinsider.com time to read: +4 min

Clearlink CEO James Clarke said remote workers "quietly quit" and didn't open laptops in a month, Vice reported. A representative didn't address the remarks, but said Clarke "could not be more excited" for the company. Clearlink's CEO James Clarke reportedly told employees that he believed many remote workers have "quietly quit" and become so brazen that dozens at his company "didn't even open" their laptops for a month. "And those were all remote employees, including their manager — for a whole month." Clearlink is a private company with 800 employees, a company representative told Insider.

German specialised property lenders such as Aareal Bank (ARLG.DE), Deutsche Pfandbriefbank (PBBG.DE) and Berlin Hyp, have a bigger concentration of real estate exposure, analysts added. Blackstone (BX.N) recently blocked withdrawals from its $70 billion real estate income trust after facing a flurry of redemption requests. Open-ended real estate funds in Britain have also battled to meet strong demand for redemptions. In Europe, CRE exposure for smaller banks, more at risk of deposit flight, is estimated at under 30% of all loans, Capital Economics said. "On the other, real estate owners themselves are going to face quite material increase in costs."

☆ Retail traders are dumping tech stocks, but loading up on this one big bank
▼ + stars: | 2023-04-20 | by ( Sarah Min | ) www.cnbc.com time to read: +2 min

Retail traders may be selling tech stocks en masse, but they're spying opportunity in one major financial institution — Bank of America. Beneath the hood, however, retail traders are increasingly pivoting away from big tech names in favor of financials – suggesting a rotation between the biggest gainers and laggards in markets this year. Given this, here are 10 of the biggest stocks retail traders bought into this past week: Retail traders snapped up Bank of America shares, resulting in $82 million in net inflows, according to JPMorgan. American Airlines Group saw a big surge in retail trader interest, which saw a net $68 million in inflows. On the other hand, retail traders dumped some notable tech names such as Apple , with saw net selling of $190 million this past week.

[1/2] The logo of commodities trader Glencore is pictured in front of the company's headquarters in Baar, Switzerland, July 18, 2017. REUTERS/Arnd WiegmannApril 19 (Reuters) - Glencore (GLEN.L) has told Teck Resources (TECKb.TO) shareholders it is willing to improve its $22.5 billion takeover offer, raising pressure on the Canadian miner to ditch a restructuring plan and sit down at the negotiating table. In an open letter on Wednesday, Glencore said it would consider taking the offer to Teck's shareholders directly if the board failed to engage. "With engagement, we could improve our proposal's terms and value, which would be in the best interests of all Teck shareholders." "The vote (on Teck's restructuring plan) is highly likely to go through without an official bump in terms (from Glencore)," Ben Cleary, portfolio manager at Tribeca Global Natural Resources Fund, told Reuters.

☆ Johnson & Johnson expects no new Covid vaccine revenue, after shots drive earnings beat
▼ + stars: | 2023-04-18 | by ( Annika Kim Constantino | ) www.cnbc.com time to read: +3 min

International Covid vaccine sales helped spark Johnson & Johnson 's revenue and earnings beat on Tuesday, but the company said it expects no sales from the shot moving forward. That marks the end of a rocky three years for J&J's Covid vaccine despite being one of the first shots to enter the U.S. market during the pandemic. Notably, all Covid vaccine revenue during the quarter came from outside of the U.S. JP Morgan analyst Chris Schott added that J&J's first-quarter beat was in part "driven by Covid vaccine upside." While J&J's vaccine fell out of favor in the U.S. and other wealthy countries, developing countries have continued to rely on it.

☆ Glencore courts 120 Teck investors for bid backing as spinoff vote looms -source
▼ + stars: | 2023-04-17 | by ( ) www.reuters.com time to read: +2 min

[1/2] The logo of commodities trader Glencore is pictured in front of the company's headquarters in Baar, Switzerland, July 18, 2017. The Swiss mining giant would instead combine and spin off its thermal coal unit and Teck's steelmaking coal business. Glencore's initial bid represented a 20% premium to Teck's closing stock price on March 26, when it was made privately. JP Morgan analysts said in a note on Monday that Glencore could pay as much as $27.2 billion. Reporting by Clara Denina; Additional reporting by Mrinalika Roy; Editing by Alexander SmithOur Standards: The Thomson Reuters Trust Principles.

Wall Street closed lower on Friday after mixed economic data appeared to affirm another Fed interest rate hike in May, dampening investor enthusiasm after a series of big U.S. bank earnings launched the first-quarter reporting season. "Regional bank earnings will come in very slightly positive, while bigger banks will probably post surprisingly positive results." Other major U.S. banks including Goldman Sachs Group Inc (GS.N), Bank of America Corp (BAC.N) and Morgan Stanley (MS.N) will report through the week. ET, Dow e-minis were up 35 points, or 0.10%, S&P 500 e-minis were up 1.75 points, or 0.04%, and Nasdaq 100 e-minis were down 3.75 points, or 0.03%. Prometheus Biosciences Inc (RXDX.O) rallied 69.9% after Merck & Co (MRK.N) said it will buy the biotech company for about $10.8 billion.

Dan Izzo, founder of investment management company Blackbird Capital, said that though banks have been seen as a bellwether for U.S. earnings, markets today were different. Stock futures based on the S&P , Nasdaq and Dow Jones Industrial Average were up slightly around 0.1%. Upbeat earnings news from banks and large corporations may lessen the odds of rate cuts later this year, he added. At least eight top Fed officials are speaking this week, including three governors, and could generate plenty of headlines to move the dial further. EARNINGS KEYOther big U.S. names reporting earnings this week include Johnson & Johnson (JNJ.N), Netflix (NFLX.O) and Tesla (TSLA.O).

☆ Futures subdued as investors eye bank earnings, Fed cues
▼ + stars: | 2023-04-17 | by ( ) www.reuters.com time to read: +3 min

SummarySummary Companies Futures up: Dow 0.07%, S&P 0.10%, Nasdaq 0.01%April 17 (Reuters) - U.S. stock index futures were largely flat on Monday as investors awaited more bank earnings and views from Federal Reserve policymakers that could shape expectations around when the central bank will pause its monetary policy tightening. Wall Street ended lower on Friday as a barrage of mixed economic data appeared to affirm another Fed interest rate hike in May, dampening investor enthusiasm after a series of big U.S. bank earnings launched the first-quarter reporting season. U.S. central bank officials including New York Fed President John Williams and Cleveland Fed President Loretta Mester are scheduled to speak later this week. ET (1230 GMT) is expected to show business conditions in New York state improved in April after slumping in the previous month. ET, Dow e-minis were up 24 points, or 0.07%, S&P 500 e-minis were up 4.25 points, or 0.10%, and Nasdaq 100 e-minis were up 1 point, or 0.01%.

Search resuls for: "JP MOrgan"

25 mentions found