DIRS.INFO The most relevant business & tech news

☆ 'Big money never buys cheap': Why investors are waiting on Japan
▼ + stars: | 2023-05-18 | by ( Summer Zhen | ) www.reuters.com time to read: +5 min

Yet for many, the lofty milestones are a reminder that Japan's stocks have gone sideways for years, making many foreign asset allocators reluctant to venture into the market. "A very significant inflow from global investors (followed)," Powell said, "but then unfortunately, a lot of the enthusiasm has dissipated." Swiss wealth manager Union Bancaire Privée is also underweight Japan, with the policy outlook presenting currency risks. BIG MONEY WAITINGThe policy and communication challenge for new BOJ governor Kazuo Ueda is a tricky one. "Big money never buys cheap, it buys momentum."

☆ Analysis: 'Big money never buys cheap': Why investors are waiting on Japan
▼ + stars: | 2023-05-18 | by ( Summer Zhen | ) www.reuters.com time to read: +5 min

The emergency is also tied to telehealth flexibilities, Medicaid enrollment safeguards, and the ability of government health agencies to collect data on the spread of the coronavirus. Here is what will change after Thursday, and what does not:WILL THERE BE A COST FOR VACCINES, TESTS AND TREATMENTS? They will face co-pay or co-insurance costs for certain covered treatments and the full price of those that are not covered. People enrolled in state government Medicaid health plans for the poor will also get zero-cost vaccines. The U.S. Centers for Disease Control and Prevention (CDC) will have less authority to collect certain types of public health data after the emergency expires.

☆ Citi's guide to trading the debt ceiling: Beware companies with high revenues from U.S. government
▼ + stars: | 2023-05-08 | by ( Michelle Fox | ) www.cnbc.com time to read: +4 min

Investors looking to trade the showdown over the U.S. debt ceiling should focus on stocks that are tied most to government spending, according to Citigroup. Lawmakers have been trying to find a way to raise the debt ceiling so the government can pay its bills on time. On Sunday, Treasury Secretary Janet Yellen warned that failing to raise the debt ceiling will cause a " steep economic downturn ." As the fight over the debt ceiling — and talk of spending cuts — ramp up, some stocks will trade down, Citi pointed out. He believes the iShares U.S. Aerospace & Defense , SPDR S & P Aerospace & Defense , and Invesco Aerospace & Defense ETFs "could be useful off-the-shelf trading tools to consider."

☆ Explainer: Why First Republic Bank failed and what JPMorgan's deal means
▼ + stars: | 2023-05-01 | by ( Lawrence Delevingne | Thomson Reuters | Delevingne Works Primarily On Enterprise Stories Related To Finance. He Joined Reuters In | ) www.reuters.com time to read: +4 min

May 1 (Reuters) - The focus of the U.S. regional banking crisis turned on First Republic Bank in late March after the wealthy clients it courted to fuel its breakneck growth began pulling their deposits. The failure of First Republic, which said last week it had first-quarter outflows of more than $100 billion, marks the demise of a third major U.S. bank in just two months, after Silicon Valley Bank and Signature Bank . Merrill Lynch acquired the bank in 2007 but First Republic was listed on the stock market again in 2010 after being sold by Merrill's new owner, Bank of America. WHAT THE JPMORGAN DEAL MEANSJPMorgan said that under its deal First Republic's 84 offices in eight U.S. states would reopen as branches of JPMorgan Chase Bank from Monday, so customers of the failed bank will be dealing with the giant financial group instead. The biggest U.S. bank will get even bigger as a result of the deal for most of First Republic's assets.

ORLANDO, Florida, April 28 (Reuters) - With the U.S. debt ceiling crisis set to reach boiling point between June and August, it already promises to be a long hot summer for financial markets. - and inflation is high, while history shows the U.S. Congress certainly has the ability to push debt ceiling negotiations to the brink. "Markets are fundamentally intolerant of tightening liquidity conditions, and you could see this confluence of tightening liquidity where the debt ceiling and YCC come together," said Alex Lennard, investment director at Ruffer LLP. Default fears could suck more money out of bills and into safer parts of the money market universe like the Fed's RRP, exacerbating broader market liquidity conditions. Related columns:- 'Peak Fed' aggravates U.S. debt ceiling strains- Inequality and 'deposit glut' sowed bank instabilityBy Jamie McGeever; Editing by Andrea RicciOur Standards: The Thomson Reuters Trust Principles.

regulators reached out to their European Union counterparts, according to emails that were obtained through a Freedom of Information request. That April, the Europeans asserted jurisdiction using a novel theory, asserting that the combination would stifle innovation in the E.U. claims that conforming to the European financial regulations — rules based on directives of the European Parliament and intended to drive social objectives — is a laudable goal. The Federal Reserve and other financial regulators face virtually constant pressure from members of Congress and international bodies to import similar, sweeping E.U. If these were isolated examples of abdication of regulatory authority to Europe, we might shrug it off.

☆ 'Cracks in the foundation': 3 leading Wall Street strategists reveal the overlooked reason why stocks are on shaky ground right now — and how to invest with a downturn looming
▼ + stars: | 2023-04-02 | by ( James Faris | ) www.businessinsider.com time to read: +9 min

Instead, they've been propelled by large caps and growth stocks, specifically tech. If not for a small number of mega-cap growth stocks, the S&P 500 wouldn't be staying afloat. Last year investors learned the hard way that narrow markets are dangerous, as tech stocks tumbled during the market selloff. "Breadth has been exceptionally weak as large-cap growth stocks hold up the major averages," Wilson wrote in a late March note. Outside of tech, Lebovitz highlighted traditional defensive sectors like consumer staples and utilities.

Macro and trend-following hedge funds dropped 3.2% this month through March 29, while algorithmic commodity trading advisor funds (CTAs) dove 6.8%. Hedge fund strategies based around macroeconomic ideas like those run by Rokos, DG Parters and EDL Capital fund posted negative performances in March, sources and bank data said. Trend-following hedge funds, which trade on systematically programmed ideas, also posted big losses. The bank decided not to change clients' borrowing limits, but it has increased diligence oversight on the hedge fund exposure, including new clients, the broker said. Trend-following funds tend to bail quickly on trades that stop working, said a pension fund director who invests in hedge funds.

☆ Dow jumps 400 points to end tumultuous first quarter as markets move on from bank crisis
▼ + stars: | 2023-03-31 | by ( Jennifer Sor | ) www.businessinsider.com time to read: +1 min

US stocks jumped on Friday, ending the first quarter on a positive note. A key price gauge showed continued signs that inflation is cooling off. The S&P 500 and Nasdaq have gained 6% and 17%, respectively, since the start of the year. The Personal Consumption Expenditures Index — the Fed's preferred inflation measure — rose 0.3% in February from the prior month, lower than the expected 0.4%. Then the failure of Silicon Valley Bank and fears of a recession on the horizon whipsawed markets again.

☆ S&P 500 futures are slightly higher as investors weigh Fed outlook on rate hikes: Live updates
▼ + stars: | 2023-03-22 | by ( Tanaya Macheel | ) www.cnbc.com time to read: +2 min

U.S. equity futures were slightly higher on Wednesday evening as traders digested the latest policy update from the Federal Reserve. Futures tied to the Dow Jones Industrial Average added 71 points, or 0.2%. S&P 500 futures rose 0.2%and Nasdaq 100 futures advanced by 0.1%. The Fed's decision and subsequent comments by Chair Jerome Powell at the conclusion of the policymakers' two-day meeting weighed on stocks. "Investors thought the banking crisis could weigh on growth enough to ease inflation, but the Fed isn't taking any chances.

Investors know the event risk so they tighten controls, and are generally more cautious. Calendar event risk, or 'known unknowns,' may unleash market volatility, but investors can hedge or sit on the sidelines. chartNominal trading volumes in these contracts often spikes up on 'event days' like U.S. jobs and inflation data days. However, as a share of overall options turnover - which Cheng says is a better indication of potential market risk - many of the recent peaks have been on random 'non-event' days. chartHe and his colleagues estimate that the daily notional value of trading in '0DTE' options has grown to about $1 trillion.

☆ TikTok's potential U.S. ban presents host of questions for app stores, internet companies and the government
▼ + stars: | 2023-03-17 | by ( Lauren Feiner | ) www.cnbc.com time to read: +7 min

The TikTok logo is displayed outside TikTok social media app company offices in Culver City, California, on March 16, 2023. related investing news What a potential TikTok ban could mean for Club holding Meta Platforms It's not an issue yet, as there are still some ways a TikTok ban could be avoided or accessed legally in the U.S. Should the U.S. ban TikTok, the mechanics on what happens from there get murky. And the app stores controlled by Apple and Google are the primary places for consumers to download the TikTok app. Under Chinese law, companies can be required to hand over internal information to the government for supposed national security purposes.

SVB said on Monday it was considering strategic alternatives for its assets but did not disclose bankruptcy as one of the potential options. SVB has not made any final decisions on the path it will take and is still attempting to find buyers for assets without filing for bankruptcy, the people said.A bankruptcy filing is only one option SVB is considering. The financial firm is also exploring other restructuring and recapitalization alternatives built around its investment bank and venture capital business, one of the people said. SVB's investment bank and venture capital business are separate divisions of the company from Silicon Valley Bank, which California regulators closed last week after a run by depositors. Reuters reported on Wednesday that the FDIC hired Piper Sandler Companies (PIPR.N) as adviser to sell Silicon Valley Bank.

☆ Buy these 52 top stocks now before a multi-year market recovery begins, according to BMO Capital Markets
▼ + stars: | 2023-03-15 | by ( James Faris | ) www.businessinsider.com time to read: +3 min

The days of low interest rates that allowed growth stocks to take off are over, according to BMO. A three-year stretch of chaos in markets will soon end, according to BMO Capital Markets. Stocks have swung from feverish highs to crushing lows since the pandemic as interest rates rose from rock-bottom levels to historically high. 52 top stocks to buy nowIn the report, dozens of BMO analysts listed 52 of their favorite stocks across nine market sectors to buy this quarter. Below are the top investing ideas from BMO, along with each company's ticker, market capitalization, sector, price target, and thesis.

Markets remained fragile, with European bank stocks tumbling over 5% on Monday and U.S. banks set to open lower (.SX7P). Markets also moderated their view on UK rates and were pricing in a roughly 75% chance of a 25 bps hike when the Bank of England meets next week. Goldman Sachs said on Sunday the banking stress meant it no longer expected the Fed to hike rates next week. "It's not going to want to go clattering in with another 50 (bps hike) and see some other financial institution getting hosed." A new Fed bank funding scheme aimed at addressing some of Silicon Valley Bank's apparent problems with losses in its bond portfolio is expected to further help with stability for banks and bonds.

☆ 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.

☆ Bank of Japan keeps low rates as Kuroda sticks to script at swan song meeting
▼ + stars: | 2023-03-10 | by ( ) edition.cnn.com time to read: +4 min

At its two-day meeting that ended on Friday, the BOJ maintained its short-term interest rate target at -0.1% and that for the 10-year bond yield around 0%. It also left unchanged a band set around the 10-year yield target that allows the yield to rise up to 0.5%. “The decision to uphold policy rates comes at a cost. Many investors expect the central bank to phase out YCC when Kuroda’s successor, Kazuo Ueda, takes the helm in April. “The BOJ will likely abandon its 10-year bond yield target, while maintaining negative interest rates, to arrest distortions in the yield curve,” he said.

☆ Recession worries used to be bad for bank stocks. Not anymore
▼ + stars: | 2023-03-08 | by ( Anna Cooban | ) edition.cnn.com time to read: +6 min

London CNN —Investors are bucking tradition this year by piling into big bank stocks just as major economies are expected to either slow down or fall into recession. Fed Chair Jerome Powell said Tuesday that interest rates would rise more than people anticipated. European bank stocks have risen particularly sharply in the past six months. “As those worries have unwound, European banks have done particularly well.”No ‘hidden skeletons’But European economies are still fragile. When economic activity slows down, bank stocks are typically among those hit hardest.

☆ The explosion of risky zero-day options could worsen market shocks, JPMorgan says
▼ + stars: | 2023-03-06 | by ( Yun Li | ) www.cnbc.com time to read: +2 min

Daily notional volumes in these 0DTE options that track the S & P 500 recently reached a record above $1 trillion, according to JPMorgan data. The Wall Street bank conducted an experiment to see the impact of these options during a sudden drop in the broader market. "The estimated market impacts from 0D option unwind exceed the original market shocks in all scenarios, highlighting the reflexive nature of the 0D options and their potential risk posed to market stability," JPMorgan said. The S & P 500 pulled back by 2.6% in February after rallying more than 6% in the prior month. In early March, the broader market index is up by more than 2%.

"(But) it feels like I should keep some dollars on hand, as the yuan will depreciate further." Others anticipating a bumpy ride ahead for the Chinese currency include China Southern Airlines (600029.SS). Such moves are perhaps not surprising given yuan volatility since Beijing suddenly unwound its zero-COVID strategy. "Overall, yuan exchange rate will remain basically stable at reasonable levels," he added at a March 3. news briefing. ($1 = 6.9009 Chinese yuan)Writing by Tom Westbrook; Editing by Vidya Ranganathan and Alexander SmithOur Standards: The Thomson Reuters Trust Principles.

☆ Japan Post’s deal will test interest rate optimism
▼ + stars: | 2023-02-28 | by ( ) www.reuters.com time to read: +2 min

HONG KONG, Feb 28 (Reuters Breakingviews) - The $12 billion triple initial public offering of the Japan Post Group by the government in 2015 was done in the name of economic efficiency. After a brief rally, the collective market value of the three companies it comprises has declined from a peak of 18 trillion yen to below 10 trillion yen, per Datastream. The Ministry of Finance holds over a third of Japan Post Holdings (6178.T), which in turn retains big stakes in the banking and insurance units – although it has trimmed the latter to below 50%. Japan Post Holdings plans to unload shares worth up to $9.3 billion, Reuters reported, reducing its stake to below 65%. It’s a huge deal in a rickety market but the prospect of interest rate normalisation could see more investment into domestic banks – Japan Post Bank shares have rallied this year alongside local peers.

☆ Dollar edges higher, headed for 1st monthly gain since September
▼ + stars: | 2023-02-28 | by ( ) www.cnbc.com time to read: +4 min

"The market has repriced the Fed and it now sees a higher terminal rate and low scope for cuts for the rest of the year. And that's what the dollar strength reflects," said Vassili Serebriakov, FX strategist, at UBS. The dollar index, which measures the currency against a basket of peers, was 0.29% higher at 104.98, and is set for a February gain of 2.4%, its first monthly increase since September. We think some of the dollar strength is exaggerated. So we are cautiously fading dollar strength," UBS' Serebriakov said.

☆ After splitting with Kanye West, British audio startup Kano asks for funding
▼ + stars: | 2023-02-27 | by ( Ryan Browne | ) www.cnbc.com time to read: +6 min

The two would go on to discuss the beginnings of what eventually became the Stem Player. It was originally named the "Donda Stem Player," a reference to West's 10th studio album, Donda. Faced with "worse" terms and news of Ye's antisemitic comments, Kano didn't accept, Klein said. Despite recent outcry over Ye's antisemitic remarks, he has frequently raised eyebrows. The Stem Player, along with West's dedicated fanbase, drove great commercial success for the small London startup.

☆ AT&T seeks to shed cybersecurity division -sources
▼ + stars: | 2023-02-21 | by ( Milana Vinn | ) www.reuters.com time to read: +2 min

NEW YORK, Feb 21 (Reuters) - AT&T Inc (T.N), the second-biggest U.S. wireless carrier, is exploring a sale of its cybersecurity division, potentially undoing an acquisition it completed five years ago, according to people familiar with the matter. The sale of the cybersecurity business would add to a string of divestments AT&T has turned to in order to pay down debt following its $108.7 billion acquisition of Time Warner Inc in 2018, a deal it has since also unwound. AT&T has been working with Barclays Plc (BARC.L) to solicit potential bids for its cybersecurity business, which was called Alienvault when it was acquired in 2018 in a roughly $600 million deal, the sources said. The sources cautioned that no deal is certain and requested anonymity because the matter is confidential. AT&T's cybersecurity division helps small-to-medium-sized businesses keep their information technology networks, including laptops, desktops, servers and mobile devices, secure.

Search resuls for: "Unwound"

25 mentions found