Monday, March 1

Month: November 2018

U.S., Canada, Mexico sign trade deal after last-minute brinkmanship

U.S., Canada, Mexico sign trade deal after last-minute brinkmanship

business
BUENOS AIRES (Reuters) - The leaders of Mexico, Canada and the United States signed a North American trade pact on Friday after brinkmanship over the final details of the deal continued through the eve of the signing. FILE PHOTO: Flags of the U.S., Canada and Mexico fly next to each other in Detroit, Michigan, U.S. August 29, 2018. REUTERS/Rebecca Cook/File PhotoThey agreed on a deal in principle to govern the more than trillion dollars of mutual trade after a year and a half of acrimonious negotiations concluded with a late-night bargain just an hour before a deadline on Sept. 30. Since then, the three sides have bickered over the wording and the finer points of the deal and still had not agreed just hours before officials were due to sit down and sign it as the G20 summit kicks off i...
IDFC Bank to seek shareholders’ nod next month for name change

IDFC Bank to seek shareholders’ nod next month for name change

Finance
IDFC Bank will seek shareholders' nod next month to change its name to IDFC First Bank Ltd in the process of amalgamating Capital First and its entities. The voting process for postal ballot and e-voting shall be held from December 4, 2018 to January 2, 2019, IDFC Bank said in a BSE filing Friday. The bank's board on January 13, 2018 had approved a composite scheme of amalgamation of Capital First, Capital First Home Finance and Capital First Securities (collectively referred as amalgamating companies) with IDFC Bank (amalgamated company). IDFC Bank has already received approvals from the National Housing Bank, CCI, BSE, NSE, RBI, shareholders and creditors of the amalgamating companies as well as the amalgamated company. Capital First and IDFC Bank would create a Rs 88,000-crore combin...
What needs to happen to avert a slowdown in 2019

What needs to happen to avert a slowdown in 2019

investment
Now that the Federal Reserve has become slightly less hawkish on its interest rate plans, there's one final issue that could hinder U.S. economic growth in 2019, CNBC's Jim Cramer said: China. "Remember, if we're going to avert a slowdown next year, we need the president to make some kind of deal with the Chinese, and I don't think we'll get one. That's the problem here, at least for stocks," the "Mad Money" host said ahead of the G-20 summit, where President Donald Trump is supposed to meet with China President Xi Jinping to talk trade. Ahead of what Cramer believes will be a no-deal result, he suggested investors that h...
Trade deal possible at G20 but Chinese paper says U.S. must be ‘fair minded’

Trade deal possible at G20 but Chinese paper says U.S. must be ‘fair minded’

business
SHANGHAI (Reuters) - China and the United States can reach a trade agreement at the G20 meeting in Argentina this week, the state-run China Daily newspaper said in an editorial on Friday, but Washington must be “fair minded” if it wants to defuse spiraling tensions. FILE PHOTO - U.S. President Donald Trump and China's President Xi Jinping shake hands after making joint statements at the Great Hall of the People in Beijing, China, November 9, 2017. REUTERS/Damir Sagolj/File Photo “Beijing wants a deal, just as Washington does. And it is willing to cooperate with Washington in dealing with concerns about trade if they are fair-minded,” the paper said. “Should there be any other aspirations, such as taking advantage of the trade spat to throttle Chinese growth, then an agreement is unlike
Will savers earn higher interest income?

Will savers earn higher interest income?

Finance
Domestic savers could get higher interest incomes as Indian banks must stump up more cash for garnering fresh deposits, which are now being outpaced by credit advances to willing borrowers in an expanding economy. Fresh credit to deposit ratio is at 122% as of November 9, compared with 90% a year ago, show the latest data from the Reserve Bank of India (RBI). That ratio points to a likely increase in deposit rates amid a quickening expansion in loans. The data mean that for every incremental Rs 100 collected in deposits, banks are lending Rs 122, drawing down from their holding of government bonds. Hence, lenders have to raise the share of deposits to meet credit demand. Fresh investments to deposit ratio has come down to 31% from more than 100% a year ago. RBI data also indicate the wi...
Bull run finale for global stocks not far off now: Reuters poll

Bull run finale for global stocks not far off now: Reuters poll

business
BENGALURU (Reuters) - An end to the bull run in global stocks is not far away, according to a Reuters poll which also showed a broad cut to forecasts for next year on concerns over global growth and tightening financial conditions. World stocks tested lows at the end of October during a brutal rout that wiped off trillions of dollars of market value, driven by a U.S.-led trade war and a hawkish Federal Reserve. The recent turbulent sell-off in stocks is more or less over, according to nearly 250 equity strategists polled Nov 13-28. But they mostly said 2018 would end up a forgettable year with most markets set to finish off in the red. While all but one of the 17 stock market indexes polled are forecast to gain by end-2019 from now, about half were not expected to recoup this year’s los
Morgan Stanley upgrades McDonald’s stock to overweight

Morgan Stanley upgrades McDonald’s stock to overweight

investment
Morgan Stanley said it is "buying the McDonald's of the future today" as the firm upgraded the fast food chain's stock to overweight from equal weight on Thursday. "We are endorsing the notion that McDonald's massive store modernization efforts, first rolled out in select international markets and now in the US (its single largest market), will begin to pay off in '19 and should produce best in class sales results for more years to come," Morgan Stanley's John Glass said in a note to investors. McDonald's shares rose 1.3 percent in premarket trading. ...
Japan central banker mum on alleged involvement in Ghosn transaction

Japan central banker mum on alleged involvement in Ghosn transaction

business
FILE PHOTO: Bank of Japan's (BOJ) new board member Takako Masai attends a news conference at the BOJ headquarters in Tokyo, Japan, June 30, 2016. REUTERS/Toru HanaiFUKUOKA, Japan (Reuters) - A Bank of Japan board member declined on Thursday to comment on a media report that she was involved in an alleged attempt by former Nissan chairman Carlos Ghosn to shift personal investment losses to the automaker during her time at a commercial bank. Japanese tabloid Shukan Bunshun reported on Thursday that as an executive at Shinsei Bank Ltd (8303.T), Takako Masai was involved in an alleged attempt by Ghosn to pass 1.7 billion yen ($15 million) in personal derivatives-trading losses incurred during the 2008 financial crisis onto Nissan. The suspected transaction was first reported by the Asahi ...
Rana Kapoor’s holding companies pay ₹700 crore to avoid covenant breach

Rana Kapoor’s holding companies pay ₹700 crore to avoid covenant breach

Finance
MUMBAI: Yes Capital and Morgan Credits, the holding companies for Yes Bank co-founder Rana Kapoor family, stumped up at least about Rs. 700 crores in cash collateral in recent days to Franklin Templeton Mutual Fund and Reliance Mutual Fund to avoid breach of covenants in Non-Convertible Debentures, said two people familiar with the matter. The Rs. 630 crore bonds held in about five schemes of Franklin Templeton Mutual Fund was about to break or already broke the minimum 3 times the cover stipulated in the transaction agreement that led to the top-up of collateral, said those people who did not want to be identified. Covenants suggest that the value of Yes Bank shares be at least Rs. 1,890 crores, according to transaction summary provided by Templeton. The value of 7.56 crore shares as a...
U.S. third-quarter growth unrevised, headwinds increasing

U.S. third-quarter growth unrevised, headwinds increasing

business
WASHINGTON (Reuters) - The U.S. economy slowed in the third quarter as previously reported, but the pace was likely strong enough to keep growth on track to hit the Trump administration’s 3 percent target this year, even as momentum appears to have moderated further early in the fourth quarter. FILE PHOTO: Crews load and unload consumer products at the Port of New Orleans along the Mississippi River in New Orleans, Louisiana June 23, 2010. REUTERS/Sean Gardner Gross domestic product increased at a 3.5 percent annualized rate, the Commerce Department said on Wednesday in its second estimate of third-quarter GDP growth. That was unchanged from its estimate in October and well above the economy’s growth potential, which economists estimate to be about 2 percent. The unrevised third-quarte