Britain May Revive Perpetual Gilts
Everything old is new again–Britain is considering bringing back perpetual gilts, long-term bonds that were first debuted after the South Seas Bubble crisis of 1720. With 100-year maturities and today’s extra-low interest rates, the idea is attractive to many.
China Stops FX Swaps With Some European Banks
Bank of China and another Chinese bank have stopped interest rate swaps and foreign exchange trading with a number of foreign banks, reducing their exposure to the euro zone.
Gundlach Guilty of Fiduciary Breach, but Awarded Millions in Damages
A jury awarded Jeffrey Gundlach and co-defendants $66.7 million but found he breached his fiduciary duty and violated trade secrets when the star fund manager broke off from TCW to start rival firm DoubleLine Capital.
European Markets, Italian Bonds Down
Worries over the European debt crisis drove markets and Italy’s bonds lower on Monday, with gold and the dollar gaining over the euro. Angela Merkel’s party lost elections in Germany over the weekend as well, showing opposition to euro bailouts the German chancellor has advocated.
Health Care/Biotech: A Good Prognosis
Companies offering advanced medical technology and pharmaceuticals continue to show strong revenue and profit growth.
Georgia on My Mind: Emerging Market Temptations
A bank in Georgia is offering a dazzling 8% rate on a 1-year CD or 9% for 2 years, but it’s not SunTrust Bank in Atlanta but TBC Bank in Tibilisi.
August 10 Markets' Freefall More Eurocentric Than American
Watching the market give up its hard-earned gains from Tuesday was certainly painful, and most likely due to events in Europe, not the United States.
China Inflation Rate Is Fastest in Three Years
China's inflation rate for July hit 6.5%, its highest in three years, despite Beijing's best efforts to control it through required reserves for its banks and increased interest rates—five just since October.
European Bank Stocks Crash After ‘Bankmageddon’ on Friday
Traders, analysts find bank stress tests to be lacking in credibility.
Moody's Threatens to Downgrade French Banks
Moody's Investors Service on Wednesday threatened to downgrade France's three largest banks because of their exposure to Greek debt.