Malaysia drops charges against Goldman Sachs over 1MDB scandal September 4, 2020 Malaysian prosecutors today dropped criminal charges against three Goldman Sachs units accused of misleading investors over $6.5bn (£4.9bn) in bond sales they helped organise for scandal-hit state fund 1MDB. The move comes after Goldman Sachs agreed to pay $3.9bn to Malaysia to settle a probe into its alleged role in the scandal involving the fund, [...]
Bank of England: UK economy ‘likely’ to need further stimulus September 4, 2020 Bank of England interest rate-setter Michael Saunders said today that it was “quite likely” that more stimulus will be needed for Britain’s Covid-hit economy in a downbeat speech on the outlook. “I consider it quite likely that additional monetary easing will be appropriate in order to achieve a sustained return of inflation to the two [...]
Treasury set to reject City coronavirus loan refinance plan September 4, 2020 The Treasury is reportedly set to reject a Canada plan for a new state-owned organisation that would refinance the billions of pounds of emergency coronavirus loans lent to UK companies. Chancellor Rishi Sunak is set to rebuff plans put forward by a group led by trade body The City UK and audit firm [...]
HSBC’s looming pensions crisis: will the bank win the battle but lose the war? September 4, 2020 A business of any reasonable size should have members of its team scanning the horizon for potential problems, like Frederick Fleet in the crow’s nest of RMS Titanic. The most dangerous crises, though, are those which fall on a company from an apparently cloudless sky: those which hit unprepared, and leave a business scrabbling for [...]
HSBC pulls low-deposit mortgages after surge in demand September 2, 2020 HSBC UK today said it was restricting its low-deposit mortgages to those switching rates after a surge in demand. The bank said it is “temporarily reserving its mortgages over 85 per cent Loan to Value (LTV) for those customers switching rates.” HSBC was the only High Street bank to continue to offer 90 per cent [...]
Swiss regulator starts action against Credit Suisse over spying claims September 2, 2020 Switzerland’s financial supervisor has opened enforcement proceedings against Credit Suisse over a spying scandal that led to the ousting of former chief executive Tidjane Thiam and tarnished its reputation. The move by the Swiss Financial Market Supervisory Authority (FINMA) intensifies the regulatory pressure on Credit Suisse and follows the completion of a review of the [...]
German parliament launches investigation into Wirecard collapse September 1, 2020 German politicians will open a full inquiry into the collapse of Wirecard, forcing the government to address questions over its failure to avert one of the country’s biggest corporate frauds. Wirecard collapsed into insolvency in June and there have been growing questions over the failure of German authorities to pick up on numerous red flags. [...]
Andrew Bailey says Bank of England ‘not out of firepower’ August 28, 2020 Bank of England governor Andrew Bailey has said the central bank is “not out of firepower” with which to tackle the coronavirus downturn “by any means”. In fact it seemed like the Bank underestimated the amount of firepower it had left before coronavirus hit, the governor told the online Jackson Hole economic policy symposium. Yet [...]
Amigo shares rise as founder pushes for takeover August 28, 2020 Shares in subprime loan business Amigo Holdings rose 14 per cent this morning after founder James Benamor last night called for investors to back his return to the company. Benamor said he had made an irrevocable bid for 29 per cent of the company at 20 pence per share, to be executed if he is [...]
Fed to tolerate higher inflation in major policy shift August 27, 2020 The US Federal Reserve has announced a new approach to monetary policy that will tolerate periods of higher inflation, paving the way for it to leave interest rates near record lows for the foreseeable future. Fed chair Jay Powell announced the central bank would try to achieve inflation averaging two per cent over the longer [...]
