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Meagre $5bn profit for US commercial banks, says FDIC
Federally insured US banks posted total profits of just $5 billion for the second quarter of 2008, an 87% drop on the $31.8 billion earned over the same period in 2007 and the second-worst earnings results since 1991.
Fannie flushes out CRO and CFO, but Mudd sticks
Fannie Mae has made several leadership changes aimed at improving capital management and reducing credit losses.
FGIC in MBIA reinsurance deal
Financial Guaranty Insurance Company (FGIC), the New York-based monoline insurer, has signed a reinsurance deal with MBIA, the Armonk, New York-based monoline. The deal, which sees MBIA reinsure $184 billion of municipal bonds, was overseen by the New…
MF Global establishes nuclear trading desk
Broker MF Global has set up its first nuclear fuel trading desk. Based in London, the new desk will provide the primary nuclear fuel market with a forum for the sale and purchase of physical uranium oxides, as well as a suite of uranium price hedging and…
Short sales climb in wake of SEC injunction lapse
The latest market data shows the Securities and Exchange Commission’s recent emergency order to prohibit naked short selling has curbed overall short-selling activity, despite mixed messages from other market barometers.
eBay customer buys one million account details for £35
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Dow Jones and CCX launch emissions indexes
Index provider Dow Jones Indexes and Chicago Climate Exchange (CCX), have launched two new carbon credit price indexes.
Banks' latest ARS settlement falls short
Merrill Lynch has agreed a $7 billion settlement with its auction rate securities (ARS) customers, but the deal leaves the larger purchasers uncovered, as did a similar settlement at Goldman Sachs.
Canadian ABCP restructuring faces last hurdle
Efforts to restructure C$32 billion ($30.6 billion) of Canadian asset-backed commercial paper (ABCP) moved closer to a resolution on August 18, when the Ontario Court of Appeal unanimously dismissed the claims of a group of corporate investors that…
Lone Star to buy KfW’s stake in troubled IKB
A conclusion was reached last week for one of Germany’s recent banking crises as Texas-based private equity firm Lone Star agreed to purchase KfW Bankengruppe’s (KfW) stake in struggling IKB.
FSA issues ‘Dear CEO’ letter on valuation and product control
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SEPA clarification welcomed
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Poor database archiving leads to increased op risk
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CFTC closes commodity fraud case
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RGGI futures contracts start well
Trading of Regional Greenhouse Gas Initiative (RGGI) CO2 futures contracts on the Chicago Climate Futures Exchange (CCFE) got off to a positive start since their launch on 15 August.
Fannie and Freddie equity plunge continues as bailout looms
Speculation is mounting in the US that the Treasury will shortly have to give direct support to Fannie Mae and Freddie Mac, as the government-sponsored enterprises’ (GSEs) equity prices plunged to 17-year lows today.
Foreign banks face $475 billion subprime losses
Although banks such as UBS have reported massive subprime-related writedowns in the early stages of the mortgage crisis, European banks are not over-represented in the subprime market, according to research published by the US Federal Reserve.
Ginnie Mae creates risk committee and appoints CRO
The US government-sponsored mortgage entity Ginnie Mae has established a risk committee and appointed Stephen Ledbetter as chief risk officer.