DIRS.INFO The most relevant business & tech news

☆ Crypto insurer Evertas authorized to offer largest single crypto insurance policy
▼ + stars: | 2023-06-02 | by ( Gertrude Chavez-Dreyfuss | ) www.reuters.com time to read: +3 min

"This is the single largest policy that can be approved from one insurance company," Evertas chief executive officer J. Gdanski told Reuters. The $420 million coverage applies to crime-related policies involving the theft of private keys - or codes used to authorize transactions or prove ownership - held by a custodian. The previous single policy limit for Evertas was $5 million. Being a coverholder gave Evertas the authority to write crypto insurance on behalf of Arch, one of Lloyd's syndicate members, part of a group of insurance entities that band together to provide coverage for large risks. The London insurer has also authorized Evertas to provide insurance on crypto mining hardware of up to $200 million, also the largest single policy coverage, Gdanski said.

Persons: Evertas, J, Gdanski, Gertrude Chavez, Dreyfuss, Alden Bentley, Mark Potter Organizations: YORK, Insurance, Reuters, Evertas, Arch Capital, TRM Labs, Thomson Locations: London, Gdanski

☆ US rate futures expect Fed pause in June in sharp turnaround from earlier
▼ + stars: | 2023-05-31 | by ( Gertrude Chavez-Dreyfuss | ) www.reuters.com time to read: +2 min

The big catalyst were comments from Fed Governor and vice chair nominee Philip Jefferson and Philadelphia Fed President Fed Harker who both touted skipping a June rate hike. That said, data due on Friday about the U.S. job market "may change my mind." The Job Openings and Labor Turnover Survey, or JOLTS report, also showed layoffs declined significantly last month. After the JOLTS report, rate futures had priced in a nearly 70% chance of a rate increase next month. Some things seem like a little bit loose and so if the Fed is going to be on pause, it's time.

Persons: Refinitiv's, Philip Jefferson, Fed Harker, Jefferson, Harker, Ellis Phifer, Raymond James, Gertrude Chavez, Dreyfuss, Diane Craft Organizations: YORK, Federal Reserve, Fed Governor, Philadelphia Fed, Labor Department, Labor, Survey, Thomson Locations: Memphis , Tennessee

☆ Cost of insuring vs US default increases before vote on debt ceiling bill
▼ + stars: | 2023-05-31 | by ( ) www.reuters.com time to read: +1 min

NEW YORK, May 31 (Reuters) - The cost of insuring exposure to a U.S. debt default rose on Wednesday, with investors focused on a debt ceiling vote in the House of Representatives later in the day. The U.S. one-year credit default swap (CDS) - a market-based gauge of the risk of default - climbed to 76 basis points (bps) from 56 bps late on Tuesday, data from S&P Global Market Intelligence showed. U.S. five-year CDS also edged up to 43 bps versus 42 bps the previous session. The House Rules Committee late on Tuesday, in the first procedural vote on the legislation, cleared the measure for debate in the full House on Wednesday. Speaker Kevin McCarthy predicted that the evening vote would succeed, telling reporters, "It's going to become law."

Persons: Kevin McCarthy, Karl Schamotta, Schamotta, Gertrude Chavez, Dreyfuss, Will Dunham Organizations: YORK, U.S, P Global Market Intelligence, Republicans, Republican Freedom Caucus, Democratic Party, Thomson Locations: U.S, Toronto

☆ Analysis: As sun sets on LIBOR, its successor rate may heighten bank risks
▼ + stars: | 2023-05-22 | by ( Gertrude Chavez-Dreyfuss | ) www.reuters.com time to read: +5 min

The transition to the Secured Overnight Funding Rate (SOFR) has been well-telegraphed for years and U.S. banks are mostly prepared for the new rate regime. Typically in a crisis, the cost of bank funding rises: rates on commercial paper and bond issuance increase as investors demand a premium to buy bank debt. This was highlighted by the New York Fed in a study released in December 2022 and updated last February. Bank funding costs have increased with the surge in interest rates since the Fed began tightening last year. "The transition has largely taken place and the rates on SOFR have risen in tandem with policy rate increases."

☆ US dollar advances to seven-week peak after data, debt ceiling hopes
▼ + stars: | 2023-05-18 | by ( Gertrude Chavez-Dreyfuss | ) www.reuters.com time to read: +1 min

Another piece of data indicated a milder-than-expected fall in a business index to -10.4 from the Philadelphia Federal Reserve. The dollar index touched a new seven-week high of 103.38, and was last up 0.5% at 103.34 after the economic numbers. Against the yen, the dollar rose to a fresh five-month peak of 138.39 after the data and was last up 0.5% at 138.35 . Traders are pricing in around a 20% chance that the Federal Reserve raises its interest rate at its June meeting. The focus was also on debt ceiling talks.

☆ Some of the Books That Hernan Diaz Owns Surprise Even Him
▼ + stars: | 2023-05-18 | by ( ) www.nytimes.com time to read: +3 min

Scott, Deborah Eisenberg, Paul Yoon, Ottessa Moshfegh, Michael Ondaatje, Louise Erdrich, Colson Whitehead, Sigrid Nunez, Jean Strouse, Lorrie Moore. The novel contains four different books, written by different fictional authors in disparate genres and styles. “Trust” closes with a personal diary that is also a sort of a prose poem and a love letter to modernism. While writing this, I read and revisited authors as different as Jean Rhys, Ludwig Wittgenstein, Virginia Woolf, Sylvia Townsend Warner, Dawn Powell, Theodor Adorno and Gertrude Stein. Wodehouse section of my library and can report that I’ve read 29 of his books.

The euro, meanwhile, dropped to a six-week low versus the dollar at $1.0811 . Wednesday's data showed that U.S. single-family homebuilding increased in April, but data for the prior month was revised sharply lower. Single-family housing starts, which account for the bulk of homebuilding, rose 1.6% to a seasonally-adjusted annual rate of 846,000 units last month. In late morning trading, the dollar rose 0.7% versus the yen to 137.37 yen, after earlier climbing to a two-week peak of 137.445 . In the offshore market, the dollar rose 0.2% to 7.00911 .

☆ Foreign buying of US Treasuries in March hits largest since June 2021 -data
▼ + stars: | 2023-05-15 | by ( Gertrude Chavez-Dreyfuss | ) www.reuters.com time to read: +3 min

There were lots of buying by China, lots of buying by Japan. Japan, however, had been selling Treasuries for most of 2022 to help boost a weak yen. China had been selling Treasuries as well, like Japan for most of last year. U.S. residents, meanwhile, increased their holdings of long-term foreign securities, with net purchases of $22.8 billion, compared with net selling of $8.3 billion in February. Overall, net foreign purchases of long-term securities are estimated to have been $133.3 billion in March, up sharply from February's inflows of $56.6 billion, data showed.

☆ US dollar retreats from five-week high as debt ceiling stalemate weighs
▼ + stars: | 2023-05-15 | by ( Gertrude Chavez-Dreyfuss | ) www.reuters.com time to read: +4 min

In afternoon trading, the dollar index , which measures the greenback's value against six major currencies, fell 0.3% to 102.40. Earlier in the session, the dollar touched a five-week high of 102.75. Analysts have said many factors could be behind the dollar's recent strength, including concerns about U.S. inflation and safe-haven buying driven by fears about the debt ceiling standoff and global economic growth, as well as more hawkish rhetoric from Fed officials. Against the yen, the dollar was up 0.3% at 136.06, while sterling was 0.7% higher at $1.2527, rebounding after last week's 1.5% fall. It earlier jumped to 19.7 for the first time since March 10, when the dollar hit a record high of 19.8 on a volatile trading day.

The greenback took an early dive after data showed the New York Federal Reserve's Empire State manufacturing index plunged to -31.8 this month from a reading of 10.8 in April. "The things that have weighed on the dollar recently have not gone away, such as the debt ceiling, even though there has been some progress made." In late morning trading the dollar index , which measures the greenback's value against six major peers, fell 0.2% to 102.48. Analysts have said many factors could be behind the dollar's recent strength, including concerns about U.S. inflation and safe-haven buying driven by fears about the debt ceiling standoff and global economic growth. It earlier jumped to 19.7 for the first time since March 10, when it hit a record high of 19.8 on a volatile trading day.

Though stocks remain near their 2023 highs, some investors now believe those factors will soon start taking a greater toll, limiting further upside. The market may be "back in the soup on the banking crisis," said Chuck Carlson, chief executive officer at Horizon Investment Services. Many investors don’t expect that calm to continue, as a battle over raising the $34 trillion U.S. debt ceiling looms. In the six rate-hiking cycles since 1984, the S&P 500 has posted an average three-month return of 8% following the peak funds rate, Goldman Sachs strategists wrote. However, the S&P 500 is already trading well above its valuation at the end of any cycle except the one ending in 2000, when the S&P 500 declined despite a Fed pause, the bank said.

☆ Bond investors fearing recession, boost safety bets ahead of FOMC
▼ + stars: | 2023-05-01 | by ( Gertrude Chavez-Dreyfuss | ) www.reuters.com time to read: +5 min

Going long duration reflects expectations U.S. yields will fall because the Fed will be forced to cut rates. During the Fed's aggressive rate-hike phase last year, investors shortened their duration exposure. In terms of price action, U.S. 5-year yields dropped 67 bps since March, suggesting increased demand from investors. U.S. Treasuries rallied in March, pushing yields lower, as the market sought safety during the banking crisis. U.S. two-year yields, which reflect rate expectations, fell nearly 60 bps in March, the largest monthly fall since December 2007.

☆ US dollar gains as inflation data backs Fed rate hike; yen sinks
▼ + stars: | 2023-04-28 | by ( Gertrude Chavez-Dreyfuss | ) www.reuters.com time to read: +3 min

The dollar index, a measure of the greenback's value against six major currencies, rose 0.1% to 101.54 . Friday's data showed the personal consumption expenditures (PCE) price index edged 0.1% higher in March after rising 0.3% in February. In the 12 months through March, the PCE price index increased 4.2% after climbing 5.1% in February. The so-called core PCE price index gained 4.6% on a year-on-year basis in March after rising 4.7% in February. Following the inflation data, the rate futures market has priced in a 90% chance of a 25 basis-point hike next week.

☆ U.S. dollar advances as inflation data affirms Fed rate hike next week
▼ + stars: | 2023-04-28 | by ( Gertrude Chavez-Dreyfuss | ) www.reuters.com time to read: +2 min

The dollar index, a measure of the greenback's value against six major currencies, rose 0.7% to 102.10 . In the 12 months through March, the PCE price index increased 4.2% after climbing 5.1% in February. Excluding the volatile food and energy components, the PCE price index inched up 0.3% after increasing at the same rate in February. The so-called core PCE price index gained 4.6% on a year-on-year basis in March after rising 4.7% in February. Following the data, the rate futures market has priced in a 90% chance of a 25 basis-point hike next week.

☆ Pretty Yende, South African opera star will perform at King Charles' coronation
▼ + stars: | 2023-04-28 | by ( Gertrude Kitongo | ) edition.cnn.com time to read: +7 min

CNN —“Pretty, are you sitting down?” South African soprano Pretty Yende was performing in Vienna last December when she received a call from her manager. She had just been booked for the biggest gig of her life: a performance at the coronation of King Charles III. As one of three soloists at the ceremony, it’s thought that Yende is the first African to be invited to perform solo at a British coronation. The coronation will not be the first time King Charles has watched Yende perform; he saw the soprano sing at the Royal Philharmonic Orchestra’s 75th anniversary gala, held at Windsor Castle in April 2022. Pretty Yende performs in "Lucia Di Lammermoor" at the Bastille Opera House in Paris in October 2016.

☆ Dollar advances after US nonfarm payrolls data
▼ + stars: | 2023-04-07 | by ( Gertrude Chavez-Dreyfuss | ) www.reuters.com time to read: +1 min

Prior to the jobs report, the rate futures market had been betting that the Fed would pause at the May policy meeting. The market has now priced in a 68% chance the Fed will raise interest rates by 25 basis points (bps). Friday's data showed there were 236,000 new jobs in March, in line with forecasts of 239,000. Data for February was revised higher to show 326,000 jobs were added instead of 311,000 as previously reported. Against the yen, the dollar was up 0.3% at 132.075 yen while the euro was 0.2% weaker at $1.0905 .

The underlying trend though for the dollar remained tilted to the downside and Wednesday's U.S. private sector jobs numbers affirmed that. The ADP National Employment report showed U.S. private employers hired far fewer workers than expected in March, suggesting a cooling labor market. Private employment increased by 145,000 jobs last month. Economists polled by Reuters had forecast private employment increasing 200,000. Another report on Wednesday also indicated continued economic weakness, this time in the services sector.

☆ Picasso: Love Him or Hate Him?
▼ + stars: | 2023-04-05 | by ( Deborah Solomon | April | ) www.nytimes.com time to read: +14 min

It is not hugely cool to profess a love for Picasso these days. This is what Picasso’s detractors — like Hannah Gadsby, the Australian comedian and Picasso basher, who will help curate a Picasso show at the Brooklyn Museum opening on June 2 — often miss. Picasso, by contrast, brought the weight of lived experience into his work, even when he was tethered to archetypal subjects. “The Mother” (1901), an early painting by Picasso, shows a view of motherhood purged of Renaissance idealization. The conventional view of the painting holds that the women are “dolled-up cocottes,” as John Richardson glibly put it in his biography of Picasso.

☆ Analysis: U.S. bank loan plan provides Fed rate hike path amid SVB fallout
▼ + stars: | 2023-03-14 | by ( Gertrude Chavez-Dreyfuss | ) www.reuters.com time to read: +5 min

Banks can use eligible government securities on their books like Treasuries and agency mortgage backed-debt to guarantee the loans. By comparison, a one-year loan from a Federal Home Loan Bank, a government state enterprise that provides low-cost lending to regional banks, is around 5.4%, according to market participants. In essence, the bank lending program will allow the Fed to keep raising rates." U.S. banks had raised their holdings of government securities during periods of ultra-low interest rates to defend falling interest net margins. Major banks led by Goldman Sachs (GS.N) and Barclays Bank (BARC.L) have called for a pause from the Fed next week.

☆ Analysis: Declining U.S. bank reserves add wrinkle to contentious debt ceiling issue
▼ + stars: | 2023-03-10 | by ( Gertrude Chavez-Dreyfuss | ) www.reuters.com time to read: +5 min

Bank deposits, which are part of reserves, also dropped with customers seeking higher-yielding alternatives for their cash. Lower reserves constrain banks' balance sheets, hampering their ability to lend to finance corporate growth and expansions, analysts said. As of March 8, bank reserves during the week averaged $2.999 trillion, Fed data show, falling around $1.3 trillion from a peak of $4.3 trillion in December 2021. Volumes on reverse repos have hit north of $2 trillion since June last year, even as bank reserves have dwindled. And cash assetsDeposit outflows, reverse repos, and bank reserves are all inter-related.

☆ US digital asset fund, venture capital firm to raise $100 million for two new blockchain funds
▼ + stars: | 2023-03-08 | by ( ) www.reuters.com time to read: +2 min

NEW YORK, March 8 (Reuters) - Alpha Sigma Capital, a U.S.-based digital asset fund, and Transform Ventures, a venture capital firm, will raise $100 million for two new funds focused on the blockchain and so-called decentralized Web 3.0 ventures, Alpha Sigma founder and Chief Executive Officer Enzo Villani said on Wednesday. Transform Ventures, founded by crypto investor Michael Terpin, also merged some of its assets with Alpha Sigma's parent to form a new holding company called Alpha Transform Holdings. Truglia along with other participants stole 3 million tokens from Terpin's cellphone account in early 2018. The second fund, a closed-end venture capital firm called the Aegean Fund, is still in the process of being established, Villani said. "A lot of things that are happening right now (in the crypto and blockchain space) may be challenging.

☆ Odds of 50-basis-point Fed rate hike rise after Powell testimony
▼ + stars: | 2023-03-07 | by ( ) www.reuters.com time to read: +2 min

March 7 (Reuters) - Traders of futures tied to the Federal Reserve's policy rate were pricing in a half-percentage-point hike in interest rates at the U.S. central bank's March 21-22 policy meeting after Fed Chair Jerome Powell said on Tuesday that continued strong inflation data could require tougher measures. That was up from the 30% chance seen before Powell's testimony before the Senate Banking Committee. Futures briefly showed more than a 50% chance of a 50-basis-point (bp) hike immediately after Powell's remarks. The futures contracts pricing also points to firming expectations for the policy rate to rise to a 5.25%-5.50% range by June. Powell's testimony on Tuesday marked a stark acknowledgement that a "disinflationary process" he spoke of repeatedly in a Feb. 1 news conference may not be so smooth.

The greenback briefly cut its losses after data showed the U.S. services sector grew at a steady pace in February, with new orders and employment rising to more than one-year highs. "This suggests traders think yields have been pushed too far, too fast, and could augur a peak in implied terminal rates," he added. "Next week's job opening and non-farm payrolls reports could generate a lift in yields and the dollar. The dollar eased 0.4% to 136.26 yen , after climbing to 137.10 on Thursday, the highest since Dec. 20. For the week, the dollar is down 0.4% versus the yen, but any gain would preserve its win streak since mid-January.

Durable goodsThe report dented some of the hawkishness built into U.S. interest rates, though they are expected to remain higher for longer, analysts said. The National Association of Realtors (NAR) said its Pending Home Sales Index, based on signed contracts, jumped 8.1% last month, the biggest increase since June 2020. Traders now expect the Fed to raise interest rates to about 5.4% in July, according to pricing in futures markets . At the beginning of February, they envisaged rates rising to a peak of just 4.9%. The dollar index , which measures the currency against six major peers, fell 0.513% and is on track to snap a four-month losing streak.

U.S. interest rates though are expected to remain higher for longer. Data showing U.S. pending home sales posting their largest gain in 2-1/2 years failed to lift the dollar, however. Traders now expect the Fed to raise interest rates to around 5.4% by the September meeting, according to pricing in rate futures markets . At the beginning of February, they envisaged rates rising to a peak of just 4.9%. "Whereas headline rates are falling, the trend of rising core inflation rates has been unbroken," he said.

Search resuls for: "Gertrude"

25 mentions found