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"We’ve built a platform for cooperation that can truly transform Indonesia’s power sector from coal to renewables and support significant economic growth," U.S. Special Envoy on Climate Change John Kerry said. EARLIER, LOWER PEAKThe Treasury official said that the peak power emissions for Indonesia in 2030 under the plan would be at a level 25% lower than their currently estimated peak in 2037. Indonesia's annual emissions reduction over those years would be larger than Britain's annual power sector emissions, the official said. U.S., JAPAN LEADThe United States and Japan are co-leading the effort with Indonesia on behalf of the other G7 democracies Britain, Canada, France, Germany Italy, as well as partners Norway, Denmark and the European Union. On Monday, Japan announced it would help Indonesia transition away from coal power through public and private institutions, including the state-affiliated Japan Bank for International Cooperation (JBIC).

☆ Japan's biggest bank Mitsubishi UFJ reports 70.5% slump in Q2 profit
▼ + stars: | 2022-11-14 | by ( ) www.reuters.com time to read: +1 min

TOKYO, Nov 14 (Reuters) - Mitsubishi UFJ Financial Group Inc (8306.T), Japan's largest lender by assets, on Monday reported a 70.5% slide in second-quarter net profit because of another one-off loss related to the sale of U.S. unit MUFG Union Bank. Mitsubishi UFJ, which owns about 22% of Morgan Stanley (MS.N), posted a net profit of 117.41 billion yen ($841.83 million) for the July-September period, against 398.4 billion yen a year earlier, according to Reuters' calculations based on six-month cumulative figures disclosed in a filing. The Japanese bank maintained its full-year profit forecast of 1 trillion yen, a 12% drop from the previous year when it posted a record profit. The outlook compared with an average forecast of 1.04 trillion yen from 12 analyst estimates compiled by Refinitiv. ($1 = 139.4700 yen)Reporting by Makiko Yamazaki; Editing by David Dolan and Christian SchmollingerOur Standards: The Thomson Reuters Trust Principles.

☆ Dollar slides, CPI data suggests Fed could slow pace of rate hikes
▼ + stars: | 2022-11-10 | by ( Herbert Lash | ) www.reuters.com time to read: +5 min

"Inflation is clearly moving in the right direction, and that keeps a more hawkish Fed at bay," he said. The spike higher in the yen versus the dollar stirred speculation the Bank of Japan intervened, which analysts doubted. Fed funds futures priced in a drop in expectations for the U.S. central bank's peak target rate, which fell below 5%. The likelihood of a 50-basis-point rate hike by the Fed instead of a 75-basis-point increase in December rose to 71.5%. CPI rose 7.7% in October on a year-over-year basis, down from 8.2% in the prior month, as headline inflation fell below 8% for the first time since February.

☆ Instant View: Comfortably cool U.S. CPI suggests aggressive Fed hikes taking hold
▼ + stars: | 2022-11-10 | by ( ) www.reuters.com time to read: +5 min

read moreMARKET REACTION:STOCKS: S&P 500 futures turned sharply higher and were up 3.1%BONDS: The yield on 10-year Treasury notes tumbled and was down 21.5 basis points at 3.927%; The two-year U.S. Treasury yield was down 26.6 basis points at 4.362%. The dollar index was off 1.3%COMMENTS:BRIAN JACOBSEN, SENIOR INVESTMENT STRATEGIST, ALLSPRING GLOBAL INVESTMENTS, MENOMONEE FALLS, WISCONSIN“Well, that was a relief. And I think the expectation now is the Fed hikes rates 50 basis points in December. ART HOGAN, CHIEF MARKET STRATEGIST, B. RILEY WEALTH, NEW YORK"A softer than expected inflation report is acting as a tailwind for markets. "Given just this data, it would allow the Fed to raise by only 50 basis points rather than 75 at the next meeting.

☆ Comfortably cool US CPI suggests aggressive Fed hikes taking hold
▼ + stars: | 2022-11-10 | by ( ) www.reuters.com time to read: +5 min

read moreMARKET REACTION:STOCKS: S&P 500 futures turned sharply higher and were up 3.1%BONDS: The yield on 10-year Treasury notes tumbled and was down 21.5 basis points at 3.927%; The two-year U.S. Treasury yield was down 26.6 basis points at 4.362%. And I think the expectation now is the Fed hikes rates 50 basis points in December. ART HOGAN, CHIEF MARKET STRATEGIST, B. RILEY WEALTH, NEW YORK"A softer than expected inflation report is acting as a tailwind for markets. Next, we immediately turned our attention to the CPI and that clearly came in better than expected. "Given just this data, it would allow the Fed to raise by only 50 basis points rather than 75 at the next meeting.

☆ 3 Markets rejoice after surprisingly cool inflation report
▼ + stars: | 2022-11-10 | by ( ) www.reuters.com time to read: +9 min

YUNG-YU MA, CHIEF INVESTMENT STRATEGIST, BMO WEALTH MANAGEMENT, CHICAGO“The better-than-expected CPI numbers are welcome but show a lot of underlying volatility. What Powell said is that we are going to need a few more reads on good CPI data before he can say we’re done." Shelter is the main contributor to inflation and everyone should know by now that it’s a garbage indicator of where inflation is headed. ART HOGAN, CHIEF MARKET STRATEGIST, B. RILEY WEALTH, NEW YORK"A softer than expected inflation report is acting as a tailwind for markets. “The good news is that we saw a significant sequential improvement, inflation is clearly moving in the right direction.

☆ Sterling set for biggest daily gain since 2017 after U.S. CPI
▼ + stars: | 2022-11-10 | by ( Joice Alves | ) www.reuters.com time to read: +2 min

LONDON, Nov 10 (Reuters) - Sterling was set for its biggest daily gain since January 2017 against a weakening U.S. dollar on Thursday after U.S. consumer prices rose less than expected, opening the way for the Federal Reserve to slow the pace of its interest rate hikes. After falling 1.6% on Wednesday, the pound leapt 2.86% to a session high of $1.1685, hitting its highest since Sept. 13. "The CPI report has reinforced the sell-off momentum in the dollar," said Lee Hardman, currency strategist at MUFG in London. Cable Nov. 10Against the euro , sterling jumped 1.2% to 87.15 pence, reversing a 1% fall on Wednesday and setting the UK currency on track for its biggest daily gain against the single currency in one month. "Sterling may have become a little oversold yesterday," Jeremy Stretch, head of G10 FX strategy at CIBC, said.

☆ Debt rules in Europe are changing. And that could have big repercussions in the bond markets
▼ + stars: | 2022-11-04 | by ( Silvia Amaro | ) www.cnbc.com time to read: +6 min

The euro zone is to discuss changing its fiscal rules - a task that could have market repercussions. Bloomberg | Bloomberg | Getty ImagesThe euro zone will soon reveal changes to its fiscal rules — a move that could have significant repercussions for government borrowing costs and the region's bond markets. At the same time, Germany and the Netherlands would blame the European Commission for not enforcing the rules with fines. "Interest burden on large public debt to GDP ratios is set to increase significantly in the years ahead. This means that in a optimal scenario, the fiscal rules will be changed from 2024 onward.

☆ Sterling slumps ahead of BoE decision after Fed hikes rates again
▼ + stars: | 2022-11-03 | by ( Harry Robertson | ) www.reuters.com time to read: +3 min

The Fed raised interest rates by 75 basis points (bps) for the fourth consecutive meeting on Wednesday, taking the target range to 3.75% to 4%. Michael Quinn, senior trader at Monex Europe, said the drop in sterling was driven by bets that the BoE will struggle to raise rates as high as the Fed. Higher rates - or the expectation of them - traditionally boost a country's currency by making investments there look more attractive. According to futures market pricing, traders think it's almost certain the BoE will raise rates by a lower 50 bps in December. Yet they think there's a 58% chance the Fed opts for another 75 bps hike .

REUTERS/Ricardo Moraes/File Photo/File PhotoLONDON, Nov 2 (Reuters) - The pace and scale of rate hikes delivered by central banks around the globe in October slowed down dramatically following September's historic peak. The latest moves have brought total rate hikes in 2022 from G10 central banks to 2,050 bps. Emerging markets interest ratesMarkets had recently taken heart from indications that rate hikes from major central banks - especially the U.S. Federal Reserve - were slowing down. "We see central banks on a path to overtighten policy," said Boivin on Monday in a weekly outlook note from the world's largest asset manager. "We think the Fed, like other developed market central banks, will only stop when the severe damage from rate hikes is clearer.

[1/2] U.S. Dollar and Euro banknotes are seen in this illustration taken July 17, 2022. However, late last week this narrative ran out of steam, and it continued to struggle on Monday. The Fed is expected to deliver another 75 basis point (bp) rate hike after the conclusion of the FOMC meeting on Wednesday. ECB governing council member Klaas Knot said on Sunday the central bank's next move in December is likely to be between 50 and 75 bps. The dollar was last 0.68% higher against the yuan traded offshore at 7.31.

The Dutch Title Transfer Facility (TTF) is Europe's main benchmark for natural gas prices. In addition, intraday European gas prices even went negative at the start of the week — meaning that holders of natural gas paid buyers to take the cargo off their hands. Nikoline Bromander, analyst at consultancy Rystad Energy, said high output from wind power and political agreement within the EU on cooperative measures to reduce gas prices and consumption have contributed to lowering gas prices. Before Russia's invasion of Ukraine, the EU was obtaining about 40% of all its natural gas from Moscow. Several experts have warned that Europe's high storage levels were to a large extent achieved with Russian gas.

Markets are anticipating a potential slowdown in the pace of Fed hiking," said Lee Hardman a currency analyst at MUFG. The aggressive pace of Fed tightening has sent the dollar higher. Traders and economists predict another 75 basis point increase next Wednesday, but there is a growing view that it will slow to half a point in December. The benchmark 10-year U.S. Treasury yield continued its descent from last week's multi-year high of 4.338%, and was last down seven basis points at 4.038%. That would be the second consecutive reduction in the size of rate rises after a 100 basis point move in July and 75 basis points last month.

Wall Street banks committed to helping Elon Musk finance his $44 billion takeover of Twitter stand to $500 million in the process, by some estimates. One of Musk's banks has even told its staff to expect a borrowing notice from Musk by today, Bloomberg reported. But don't feel sorry for the banks just yet — a group that comprises Morgan Stanley, Bank of America, Barclays, MUFG, BNP Paribas, Mizuho, and SocGen. The group consists of Morgan Stanley, Bank of America, Barclays, MUFG, BNP Paribas, Mizuho, and SocGen. Birchall's eldest son Benjamin even interned at Morgan Stanley for his ex-colleagues Frank Malone and Jon Neuhaus in the summer of 2021.

☆ Dollar shakes off suspected Japan intervention; stocks brace for earnings
▼ + stars: | 2022-10-24 | by ( Amanda Cooper | ) www.reuters.com time to read: +5 min

LONDON (Reuters) -The dollar weathered another suspected blast of Japanese intervention to rise against the yen on Monday, while European markets got a lift from hopes that U.S. interest rates could rise more slowly than previously thought. Japan likely spent a record 5.4 trillion-5.5 trillion yen ($36.16 billion-$36.83 billion) in its yen-buying intervention last Friday, according to estimates by Tokyo money market brokerage firms. Sterling, meanwhile, see-sawed in volatile trade on news Boris Johnson had dropped out of the running for British prime minister. Chinese blue chips slid almost 3%, while Hong Kong shares fell 6.4%, their biggest one-day drop since the financial crisis. Sentiment will also be tested by some major earnings with Apple, Microsoft, Google-parent Alphabet and Amazon all reporting.

☆ U.S., European shares rise on hopes Fed will slow rate hike pace
▼ + stars: | 2022-10-24 | by ( Chris Prentice | Amanda Cooper | ) www.reuters.com time to read: +6 min

WASHINGTON/LONDON (Reuters) -U.S. and European shares rose on Monday as signs of a cooling U.S. economy raised hopes that the Federal Reserve will slow its pace of rate hikes. “Investors are getting more confident that inflation is going to come down and that the Fed might be quick to pause. European shares rose on Monday, driven by hopes that the Federal Reserve could slow its pace of interest rate hikes, while investors braced for a busy week of earnings and key interest rate decision from the European Central Bank. Markets are still priced for a rate rise of 75 basis points next month, but have scaled back bets on a matching move in December. Chinese blue chips slid almost 3%, while Hong Kong shares fell 6.4%, their biggest one-day drop since the financial crisis.

☆ Traders on intervention watch as yen hits 150, pound gains as Truss resigns
▼ + stars: | 2022-10-20 | by ( Karen Brettell | ) www.reuters.com time to read: +3 min

The fragile yen briefly weakened past 150 per dollar for the first time since August 1990. It was last trading at 149.76 yen per dollar. This has sent U.S. yields and the dollar higher, particularly against the yen as the Bank of Japan is committed to keeping interest rates near zero. The pound rallied ahead of the announcement, before paring gains and then again moving higher. The dollar index dipped 0.50% against a basket of major currencies to 112.40, which analysts said was likely due to consolidation.

☆ Yen softens past 150 per dollar for first time since 1990
▼ + stars: | 2022-10-20 | by ( Alun John | ) www.reuters.com time to read: +4 min

LONDON, Oct 20 (Reuters) - The dollar hit the symbolic level of 150 yen for the first time since 1990 on Thursday as the greenback was supported by Treasury yields trading at multi-year highs, keeping markets on high alert for intervention from Japanese authorities. The fragile yen briefly weakened past 150 per dollar in early European trading for the first time since August 1990. It was last trading a touch below that level, at 149.7 yen per dollar. This has sent U.S. yields and the dollar higher, particularly against the yen as the Bank of Japan is committed to keeping interest rates near zero. The benchmark U.S. 10-year Treasury yield rose to 4.18% on Thursday, its highest level since mid-2008, while the two-year Treasury yields touched a 15-year high of 4.614%.

☆ China c.bank rolls over policy loans to maintain liquidity, keeps rate unchanged
▼ + stars: | 2022-10-17 | by ( ) www.reuters.com time to read: +3 min

The People's Bank of China (PBOC) kept the rate on 500 billion yuan ($69.6 billion) worth of one-year medium-term lending facility (MLF) loans to some financial institutions at 2.75%, unchanged from the previous operation. Monday's liquidity injection was to "keep banking system liquidity reasonably ample" and to "fully meet financial institutional demand," the PBOC said in an online statement. In a poll of 27 market watchers conducted last week, all respondents forecast no change to the MLF rate, with the vast majority of them expecting a partial rollover. Widening policy divergence could risk yuan depreciation and capital outflows, despite inflationary pressure in China remaining largely benign by global standards. The MLF rate serves as a guide to the loan prime rate (LPR), which is scheduled for release on Thursday.

☆ Fed Approves U.S. Bancorp Acquisition of MUFG Union Bank
▼ + stars: | 2022-10-14 | by ( Andrew Ackerman | ) www.wsj.com time to read: 1 min

Approval of U.S. Bancorp’s deal solidifies its status as the fifth-largest retail bank in the country. WASHINGTON—The Federal Reserve on Friday approved U.S. Bancorp acquisition of MUFG Union Bank’s core retail-banking business, one of a series of large regional bank mergers pending before federal regulators. In conjunction with the approval, regulators said they would launch a related rule-making process to enhance regulators’ ability to wind-down large regional banks in an orderly way should they fail.

☆ Sterling clings to bulk of U-turn-driven gains as dollar firms
▼ + stars: | 2022-10-14 | by ( Alun John | ) www.reuters.com time to read: +2 min

LONDON, Oct 14 (Reuters) - Sterling fell against a strengthening dollar on Friday, though held on to most of its gains from the previous day on reports the British government will reverse more of its controversial mini-budget. That plan triggered turmoil in financial markets, sending yields on British government bonds soaring and the pound to a record low of $1.0327. Register now for FREE unlimited access to Reuters.com RegisterTruss is due to hold a press conference at 1300 GMT. The dollar rebounded on Friday after sliding against most other major currencies on Thursday. Register now for FREE unlimited access to Reuters.com RegisterReporting by Alun John; Editing by Frank Jack Daniel, Kirsten DonovanOur Standards: The Thomson Reuters Trust Principles.

Typically, banks would sell the debt to investors and pocket an underwriting fee. Elon Musk vs TwitterThe debate, currently a topic of conversation among investment bankers and debt investors, provides a window into the havoc wreaked on Wall Street by Musk’s U-turn last week. Musk, however, conditioned his proposal on his ability to secure debt financing and now has until Oct. 28 to close on the transaction. VARIOUS OPTIONSThe debt financing package is comprised of leveraged loans, which are risky because of the amount of debt the company is taking on, as well as secured and unsecured bonds. In September, banks financing the Citrix buyout undertook a similar restructuring.

☆ Sterling falls for a fifth day; turmoil dogs the bond market
▼ + stars: | 2022-10-11 | by ( Amanda Cooper | ) www.reuters.com time to read: +4 min

LONDON, Oct 11 (Reuters) - The pound fell for a fifth day on Tuesday as the turmoil engulfing UK government bond markets forced the Bank of England to step in yet again to attempt to stem a damaging sell-off in the country's debt. Sterling fell 0.3% to $1.1036, and was also down 0.3% versus the euro at 88.00 pence. If you have a look at the population of holders of long-dated UK assets - anything that is 15-20 years - it's mostly domestic funds," ADM Investor Services Chief Economist Marc Ostwald said. The pound promptly nosedived and the gilts market went into a tailspin, putting pension funds at risk of insolvency. But sterling's problems extend beyond the liquidity crunch in the gilts market.

☆ Plunging pound pauses as investors await policy response
▼ + stars: | 2022-09-27 | by ( Tom Westbrook | ) www.reuters.com time to read: +3 min

On Friday and again on Monday the pound plunged, finding a record low of $1.0327 as investors question Britain's economic gambit of unfunded tax cuts to spur growth. Sterling has dropped 5% since Thursday and 21% this year against a backdrop of an ever stronger dollar. As the pound fell on Monday, the dollar surged to new highs on the euro and many more. "Everyone's got this hope that the dollar is peaking and peaking and peaking, but it's just been far too premature," said Paul Mackel, global head of FX research at HSBC in Hong Kong. China's yuan also hit a 2-1/2 year low on Monday and was steady at 7.1639 on Tuesday.

☆ China's yuan ends at 28-month low despite fresh policy step, nears daily lower limit
▼ + stars: | 2022-09-26 | by ( Reuters Staff | ) www.reuters.com time to read: +2 min

SHANGHAI (Reuters) -China’s yuan finished domestic trading session at a new 28-month low against the dollar on Monday, near its downside trading limit, despite the central bank taking steps to rein in the currency’s weakness. FILE PHOTO: Chinese yuan banknotes are seen in this illustration picture taken April 25, 2022. However, the midpoint continued to come in much stronger than market projections for the 23rd straight trading session, traders and analysts said. The official daily midpoint fixing limits the onshore yuan to trade in a narrow range of 2% above or below, and Monday’s guidance kept the range to between 6.8892 and 7.1704. The onshore yuan hit an intraday low of 7.1690, 14 pips away from the lower end of the trading band.

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