74.27 -0.55 (-0.74%)
Pre-Market: 8:17AM EST
|Bid||74.35 x 800|
|Ask||74.42 x 1400|
|Day's Range||74.47 - 75.24|
|52 Week Range||48.42 - 76.28|
|Beta (3Y Monthly)||1.80|
|PE Ratio (TTM)||9.92|
|Earnings Date||Jan 14, 2020|
|Forward Dividend & Yield||2.04 (2.73%)|
|1y Target Est||84.10|
(Bloomberg) -- Oil held near a two-week low on signs of swelling American crude inventories, while investors monitored developments on the U.S.-China trade war.Futures were steady in New York after slumping 3.2% on Tuesday, the most since the end of September. Industry data showed crude stockpiles rose by 5.95 million barrels last week, about fourtimes the increase analysts expect the government will report Wednesday. The U.S. Senate passed legislation supporting Hong Kong protesters, potentially complicating trade talks with Beijing.Oil has dropped almost 17% from an April peak as the trade war saps demand amid a surge in global supply. Despite a looming oversupply in 2020, Saudi Arabia and Russia aren’t aiming to announce deeper production cuts when the OPEC cartel and its partners meet in Vienna early next month.“The optimism among market participants about an imminent partial trade agreement being reached between the U.S. and China has proven to be premature,” said Carsten Fritsch, an analyst at Commerzbank AG in Frankfurt. “OPEC+ is likely to find it hard to agree on more pronounced production cuts. And without bigger cuts, early 2020 risks seeing a sizeable oversupply.”West Texas Intermediate for December delivery, which expires Wednesday, rose 11 cents to $55.32 a barrel on the New York Mercantile Exchange as of 10:45 a.m. in London. Futures lost $1.84 to settle at $55.21 on Tuesday, the lowest since Oct. 31. The more-active January contract rose 15 cents to $55.50.Brent for January settlement rose 19 cents to $61.10 a barrel on the London-based ICE Futures Europe Exchange. The contract fell $1.53 to close at $60.91 on Tuesday. The global benchmark crude traded at a $5.61 premium to WTI for the same month.See also: California Intensifies Fossil Fuel Fight With Drilling BanThe Energy Information Administration will probably report that crude inventories increased by 1.5 million barrels, the fourth straight weekly advance, according to a Bloomberg survey. America’s shale output is expected to show a yearly growth of 800,000 barrels to 1 million barrels a day over the medium term, according to a note from Citigroup Inc.\--With assistance from James Thornhill.To contact the reporters on this story: Saket Sundria in Singapore at email@example.com;Grant Smith in London at firstname.lastname@example.orgTo contact the editors responsible for this story: Serene Cheong at email@example.com, Christopher Sell, Rakteem KatakeyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Alibaba Group Holding Ltd. has raised about HK$88 billion ($11.2 billion) in its Hong Kong share sale, marking the biggest equity offering in the financial hub since 2010.The company confirmed that it has priced 500 million new shares at HK$176 each in a statement on Wednesday. The price represents a 2.9% discount to the last close of Alibaba’s American depository shares in New York, with each equal to eight ordinary shares of the internet company. This Hong Kong share sale is also one of the largest globally this year.The mega share sale comes as Hong Kong’s economy has been hurt by months of increasingly violent protests and growing anti-China sentiment. Alibaba’s return will please Chinese officials who’ve watched many of the country’s largest private firms flock overseas for capital. With a Hong Kong listing in sight, Alibaba will challenge Tencent Holdings Ltd. for the title of the largest listed corporation in the city.Why Now, and Why Hong Kong, for Alibaba’s Share Sale?: QuickTakeAlibaba has allocated more shares for individual investors, raising the ratio to 10% from 2.5% of the total offering, people familiar with the matter said, who asked not to be identified as the details are private. The company has an over-allotment option to sell an additional 75 million shares.The firm is planning to have its shares start trading Nov. 26 on the Hong Kong exchange under the ticker 9988. Eight is an auspicious number in Chinese culture.Hong Kong is no stranger to Alibaba as the tech giant once listed its business-to-business platform in the city in 2007. Shares of Alibaba.com tripled at debut on overwhelmingly strong investor demand for technology companies. The enthusiasm didn’t last and the stock plunged later. Alibaba took the platform private in 2012 at HK$13.5 each, which was the IPO offer price five years earlier.In 2014, Alibaba listed its shares in New York in the biggest ever initial public offering. After losing some of China’s brightest technology stars, Hong Kong started looking into allowing dual-class shares. Last year, the city’s bourse introduced new rules to accommodate the structure. The efforts to lure Alibaba went all the way to the top of Hong Kong’s government, with Chief Executive Carrie Lam exhorting billionaire Jack Ma to consider a share sale in the financial hub.A listing in Hong Kong brings Alibaba closer to its home market as well as Chinese investors. The company could become eligible for trading via the two links with China, which allows investors on the other side of the border to buy and sell shares listed in the former British colony.Read: Alibaba Won’t Join Hong Kong’s Stock Benchmark Any Time SoonAlibaba is “hopeful to be eligible in the future,” its head of investor relations Rob Lin said on an investor call last week.“The key element as to why this listing here in Hong Kong could be an advantage is the stock connect,” Ken Wong, a Hong Kong-based Asian equity portfolio specialist at Eastspring Investments Hong Kong Ltd., said on Bloomberg Television. “Once Alibaba’s in the stock connect, you have a lot of mainland Chinese investors who can finally start to invest in Alibaba.”Credit Suisse Group AG and China International Capital Corp. are the joint sponsors of the share sale. Citigroup Inc., JPMorgan Chase & Co. and Morgan Stanley are also arranging the deal.\--With assistance from Julia Fioretti.To contact the reporters on this story: Carol Zhong in Hong Kong at firstname.lastname@example.org;Lulu Yilun Chen in Hong Kong at email@example.com;Crystal Tse in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Fion Li at email@example.com, Peter ElstromFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
The poster, who identified himself as David and declined to give his last name, told MarketWatch that he vented his frustrations on Reddit before going to bed on Thursday night because he was tired of seeing rave reviews from tech enthusiasts online that overlooked the fact that the Apple Card was “missing the basic functionality” of many other cards. David’s comments come three months after Apple’s hotly anticipated laser-etched, titanium card back by Goldman Sachs (GS) hit the market.
Citibank announced today that it is introducing Citi Elevate Checking, a digital high-yield checking account that offers unlimited ATM reimbursements nationwide while paying interest up to 1% for U.S. customers residing outside of the bank’s physical branch footprint. The launch of Citi Elevate Checking is the natural next step in the U.S. Consumer Bank’s strategy to deliver a truly client-centric relationship and drive national scale in Retail Banking by leveraging new digital capabilities for its existing cards customer base and consumers nationwide with the support of the largest fee-free ATM network in the country. “With ATM fees climbing to record levels, we saw an opportunity to provide customers with two very useful benefits – no ATM fees and an interest rate that’s up to 12 times the national average,” said Harp Rana, Head of U.S. Deposit Products, Citibank.
(Bloomberg) -- While China’s central bank is helping stem the panic that in October drove its sovereign bond yield to five-month highs, the buoyant mood in the market is unlikely to last.A series of unexpected policy-rate cuts and liquidity injections keep triggering mini rallies in China’s sovereign-debt market this month. China’s 10-year benchmark yield fell 1 basis point on Tuesday to 3.18%, the lowest in a month, after the People’s Bank of China injected 120 billion yuan ($17 billion) to the banking system in open market operations.The yield slid 5 basis points on Monday when the central bank lowered borrowing costs on short-term loans for the first time since 2015 and injected 180 billion yuan.It’s deja vu for bond investors who saw yields drop twice before in November following similar supportive actions from the central bank. But any bond rally will be limited as Beijing’s prudent approach to stimulus hasn’t changed, while a trade agreement may boost risk sentiment, according to Tommy Xie, an economist at Oversea-Chinese Banking Corp.“The rate cuts are helpful in turning around the negative sentiment but they’re not a game changer,” Xie said.The small adjustment to the rates -- Monday’s cut was just 5 basis points -- signal a continuation of the PBOC’s restrained stimulus policy that prevented Chinese bonds from joining in a global rally this year. That’s even as data continues to show weaker economic growth across the board.The central bank will release November’s loan prime rate -- the base rate for new corporate loans -- on Wednesday. It’s linked to the rate at which the central bank will lend financial institutions cash for a year and is made up of submissions from a panel of 18 banks, though Beijing has a role in setting the level. Citigroup Inc. expects the one-year rate to decline by at least 5 basis points.Inflation remains a top concern for investors, said Zhou Hao, a senior emerging markets economist at Commerzbank AG. Accelerating inflation due to soaring pork prices in China have depressed real yields, taking them negative for the first time in seven years. Beijing will want to avoid adding too much liquidity, which risks stoking prices even more.“It’s difficult to be very bullish on the outlook for bonds because the issue of rising inflation can’t be ignored,” he said. “I don’t think this is a turning point for bonds.”(Updates with open market operations in second paragraph and details of loan prime rate in sixth paragraph)To contact Bloomberg News staff for this story: Livia Yap in Shanghai at firstname.lastname@example.orgTo contact the editors responsible for this story: Sofia Horta e Costa at email@example.com, Philip GlamannFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Dimon spoke with Barron’s Jack Hough about a recent Streetwise column about big tech and banking, and objected to a 2018 study that found consumer banking costs haven’t fallen.
PayPal was launched 21 years ago to disrupt the money transfer market. Today, it is one of the giants in the payments market behind American Express, Visa, Mastercard, but ahead of Western Union and Moneygram. Facebook Inc is trying to disrupt the same market right now, but hindered by political pressure. Legacy financial companies like JP […]
Investing.com - It was a matter of time and the Chinese have finally said it. They have concerns over the impeachment proceedings of President Donald Trump. Oil prices slid Monday on that news, leveling some of Friday’s pop that came on the hype that the two sides were close to a deal.
The Zacks Analyst Blog Highlights: Citigroup, SunTrust Banks, First Horizon National, BB&T and U.S. Bancorp
Saudi Arabia has abandoned plans to formally market shares in its state-owned oil company outside the kingdom and its Gulf neighbours, in the latest sign of the initial public offering’s shrunken ambitions. Bankers learnt on Monday that no formal European investor meetings would take place, a day after roadshows in the US and Asia were called off, according to people familiar with the matter. The decision is the latest setback for the kingdom, which will now seek to raise about $25bn through the flotation of Saudi Aramco — just a fraction of the $100bn it once sought.
(Bloomberg) -- India unveiled rules to help creditors recover loans due from large shadow lenders as a prolonged upheaval in the nation’s credit markets raises the risk of defaults by the financiers.The amended law provides a generic framework for insolvency and liquidation proceedings of systemically important financial services providers, other than banks, according to a government statement on Friday. The 15-month-old credit crisis has choked economic growth to its slowest pace in six years, while company defaults on rupee bonds are at a record high.Prime Minister Narendra Modi’s government is bolstering the rules after last year’s shock default at IL&FS Group reverberated across the nation’s financial system and led to delinquencies at other non-bank lenders, including Dewan Housing Finance Corp. and Altico Capital India Ltd.The new framework could help with the resolution of cases such as Dewan Housing, according to analysts including Manish Shukla at Citigroup Inc. If such cases can be resolved faster, it will improve the flow of credit, they added in a note.Read how Arcelor’s Essar purchase will help Indian lendersHowever, it remains to be seen how the new framework will deal with situations where multiple regulators are involved, the Citigroup analysts said, noting that both banks and mutual funds have exposure to Dewan Housing. That process would have to be approved by both the Reserve Bank of India and the Securities & Exchange Board of India, they said.Here are some highlights of the amended rules:Insolvency will be initiated on the application of the appropriate regulatorOn admission, the adjudicating authority will appoint an individual proposed by the regulatorAn interim moratorium shall start on and from the date of filing of the application till its admission or rejection by the authorityThe license that authorized the firm to engage in business will not be suspended or canceled during the interim moratoriumProvisions of the moratorium process will not apply to any third-party assets or properties in custody or possession of the financial service providerThe administrator will take control and custody of third-party assets or properties in possession of the financial service provider(Updates with Citigroup analysis in fourth and fifth paragraphs; an earlier version of this story corrected the full name of Altico Capital)To contact the reporter on this story: Anurag Joshi in Mumbai at firstname.lastname@example.orgTo contact the editors responsible for this story: Andrew Monahan at email@example.com, Ravil Shirodkar, Anto AntonyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Alibaba Group Holding Ltd. called off plans for an investor luncheon in Hong Kong amid intensifying protests in the city, according to people with knowledge of the matter.The e-commerce company is conducting investor meetings by phone rather than in person for its planned new share sale, citing logistics and safety concerns, said one of the people, who asked not to be identified because the information is private.Months of pro-democracy protests in Hong Kong have closed the city’s airport at least twice, while its transit system is increasingly facing disrupted service. Citigroup Inc., one of the underwriters on Alibaba’s offering, warned staff to steer clear of dangerous places after one of its bankers was arrested in the financial district this week.Companies that go public in Hong Kong typically arrange a luncheon with institutional investors on the day book-building commences.A representative for Alibaba declined to comment on the roadshow schedule.Alibaba’s planned offering size hasn’t changed as a result of the protests, Michael Yao, the company’s head of corporate finance, said on a conference call with investors earlier this week.The company priced the retail portion of its Hong Kong share sale at HK$188 each, an auspicious number in Chinese culture. Alibaba said it may price the remainder of its 500 million-share offering above that ceiling, signaling that it aims to raise at least $12 billion, the biggest first-time share sale in Hong Kong this year.Alibaba aims to price the institutional tranche of the offering Nov. 20, according to terms for the deal obtained by Bloomberg. China International Capital Corp. and Credit Suisse Group AG are sponsors for the deal.To contact the reporters on this story: Crystal Tse in New York at firstname.lastname@example.org;Lulu Yilun Chen in Hong Kong at email@example.comTo contact the editors responsible for this story: Liana Baker at firstname.lastname@example.org, ;Peter Elstrom at email@example.com, Michael Hytha, Shamim AdamFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
The idea seems to be that customers would enjoy a whizzy Google banking interface, backed by an old-fashioned current account at Citi. Silicon Valley has already cracked payments. This phenomenon is not new: 20 years ago, Walmart tried to get into the retail banking business.
Citigroup has put up solid earnings growth this year, but as global tensions rattle its big clients and key markets, investors might have reservations about scooping up the stock.
Bank stocks are racing ahead of the market as they secure cheap sources of funding. The KBW Nasdaq Bank Index, after having lagged the broader market over the past year, is up 7.8% in just the past month, double the S&P 500’s 3.9% gain. The rally is being helped along by banks’ ability to secure more deposit funding, the cheapest of bank liabilities, and which are likely to get even cheaper in coming months, according to the Wall Street Journal.
The latest round of 13F filings from institutional investors is out, revealing to the world the stocks that some of the richest and most successful investors have been buying and selling. Takeaways From ...
(Bloomberg) -- Goldman Sachs Group Inc. agreed to pay $20 million to settle an investor lawsuit accusing traders at the bank, along with 15 other financial institutions, of rigging prices for bonds issued by Fannie Mae and Freddie Mac.As part of the settlement, disclosed Friday in a court filing, Goldman Sachs will cooperate with investors in their case against the other banks. The firm also agreed to make changes to its antitrust-compliance policies related to bond trading. A federal judge in Manhattan must approve the settlement before it can take effect.Investors sued after Bloomberg reported in 2018 that the U.S. Department of Justice was investigating some of the world’s largest banks for conspiring to rig trading in unsecured government bonds.Goldman Sachs has turned over 71,000 pages of potential evidence, including four transcripts of chat-room conversations among its traders and some from Deutsche Bank AG, BNP Paribas SA, Morgan Stanley and Merrill Lynch & Co., according to court papers filed Friday. The bank agreed to provide additional help, including deposition and court testimony, documents and data related to the bond market.Goldman Sachs isn’t the first to resolve the civil claims. In September, Deutsche Bank agreed to settle for $15 million. First Tennessee Bank and FTN Financial Securities Corp. agreed to a $14.5 million settlement later in September.Among the firms remaining as defendants in the case are Credit Suisse AG, Barclays PLC and Citigroup Inc.The case is In re GSE Bonds Antitrust Litigation, 19-01704, U.S. District Court, Southern District of New York (Manhattan).To contact the reporter on this story: Bob Van Voris in federal court in Manhattan at firstname.lastname@example.orgTo contact the editors responsible for this story: David Glovin at email@example.com, Steve StrothFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Currency traders at rival banks traded information in an attempt to counter “unprofessional” behaviour from central banks that would “spray the market” with orders, a London tribunal was told on Friday. The “vicious” trading from central banks was one of the reasons senior managers at Citigroup “most definitely knew and implicitly approved” currency dealers messaging counterparts at rival banks about deal flow in the foreign exchange market, Carly Hosler, a former Citi employee, told a London employment tribunal. against Citi filed by one of its former star currency traders, Rohan Ramchandani.
Citigroup said it has appointed Ken Chow and Udhay Furtado to head the bank's Asian equity capital markets in a move which will bring the investment bank's local structure in line with its global operations. The bank introduced the Banking, Capital Markets and Advisory (BCMA) model in September last year, placing all of the firm's banking and capital markets businesses under one umbrella, and has appointed leaders in those divisions in each region since then. Chow, previously the co-head of greater China equity capital markets, has been with Citigroup for four years while Furtado rejoined the bank last year from Goldman Sachs, the bank said in a statement.