Prices of goods in the region are rising more slowly than expected. Inflation drives bond yields up; a lack of it could send them downward, even though the U.S. Fed is threatening to edge up rates around the world. Asian debt is already pricey – it may get yet more expensive.
Valuations are soaring despite a global tech sell-off, as companies eye an audience that could hit 77 million by 2015. But it’s unclear how China’s couch potatoes will generate profit: investors like Alibaba founder Jack Ma are ploughing in time and money for uncertain returns.
The buyout firm generated record quarterly earnings, in stark contrast to Wall Street’s slog. It’s the latest sign of a power shift from banks to shadow banks, broadly defined. Having confined big lenders, watchdogs could pick up the scent on Steve Schwarzman and his ilk.
Two cases challenge the hedge fund’s ability to work around U.S. laws that shield the country’s assets. The court is hearing one of them as it mulls another on paying debt-swap holdouts. Upcoming arguments in the first may reveal how creative collection plans fare in the second.
Sterling and gilt yields have risen as traders put the best possible gloss on recent economic snapshots and bet on an early 2015 rate rise. Market optimism could well persist, pushing the pound even higher. But there are good reasons for the Bank of England to be less sanguine.
James Gorman presided over a far better Q1 than in 2013 – including bucking the Wall Street trend in fixed-income trading. Goldman posted stronger numbers, though investment gains helped. More importantly, Gorman is closer to hitting targets than other rivals like Citi and BofA.
A new leverage limit requires the eight largest to add another $68 bln in padding, on top of other rules on capital and liquidity. Janet Yellen still isn’t certain that’s enough. Sure, it’s the Fed’s job to worry. But big banks and their investors are already feeling the pinch.
European leaders blame Russia for the takeover of Ukrainian cities by armed separatists. Yet they’re refraining from further sanctions because it’s not a full-blown invasion. The wavering and waiting will only increase the final price to be paid for Vladimir Putin’s actions.
David Walker always envisaged he would step down in August 2015. The current lack of clarity over who will be running the board wouldn’t matter if things were going well. But with Barclays at a strategic crossroads, it needs solid and sustained leadership as soon as possible.