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CBI/PwC survey “one of the gloomiest ever”
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Shanghai launches gold futures
The Shanghai Futures Exchange (SFE) will launch trading in gold futures on Wednesday, January 9. The contract size has been set at 1,000 grams, rather than 300g as earlier announced, chiefly to discourage speculation by individual investors.
Moody’s: 2008 marks turning point for credit cycle
New York-based rating agency Moody’s Investors Service said the global corporate default rate had reached its lowest level in two decades by the end of 2007, although it expected a “sharp rise” in 2008.
Countrywide Home Loans dominates December US CDS trading
Credit default swaps (CDS) for the banking and financial services sectors dominated the most active trading in the US over December, led by Countrywide Home Loans, Lehman Brothers, CIT Group, Merrill Lynch and SLM Corp, according to interdealer broker…
Markit adds AJ tranche to CMBX indexes
London-based data provider Markit added a new tranche, the AJ tranche, to the off-the-run Markit CMBX indices on January 4.
Commodities trading volumes boom in 2007
Trading volumes of commodities on the Chicago Mercantile Exchange’s Globex platform, consisting of New York Mercantile Exchange (Nymex) energy contracts and Comex metals, reached record levels in 2007, as did annual volumes at Atlanta-based…
Hunt leaves as State Street takes subprime charge
William Hunt, the president and chief executive of State Street Global Advisors (SSGA), has resigned, as the hedge fund’s Boston-based parent company announced it would take a $279 million pre-tax charge for costs stemming from US subprime mortgages.
UOB strengthens trading desk in Singapore
Singapore’s United Overseas Bank (UOB) has made several senior trading hires, including a new head of market-making and trading. Samuel Lin joined on December 3 from local rival OCBC Bank, where he was head of financial derivatives for group treasury.
London Scottish short on capital
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Société Générale and Calyon launch new brokerage
Société Générale and Calyon have merged the brokerage activities of their respective subsidiaries, Fimat and Calyon Financial, and launched a new brokerage house called Newedge, based in Paris. The two banks will equally control Newedge and have…
Q4 writedown estimates raised for Citi, Merrill and JP Morgan
Citi, Merrill Lynch and JP Morgan could see writedowns totalling $33.6 billion relating to collateralised debt obligations (CDOs) over the fourth quarter, according to a report by Goldman Sachs on American firms, published on December 26.
Plan for the worst, says regulator
The UK Financial Services Authority has warned lenders to prepare in case the funding markets stay shut
Industry sets template for loan modifications
A framework sponsored by the US administration to soften the impact of subprime resets provides comfort for servicers and clarity for investors
European buyside survey provides encouragement
A poll of investors in European asset-backed securities suggests demand will be reduced but not extinguished for the year ahead
Mixed reaction to central bank liquidity push
Central banks acting in concert eased liquidity troubles at the end of 2007 but a more fundamental improvement in money markets will be harder to achieve, say analysts