Feb.23 -- David Brown, deals leader for Asia Pacific at PricewaterhouseCoopers LLP, discusses the M&A activity in China and how it’s being impacted by coronavirus. He speaks with Haidi Stroud-Watts on “Bloomberg Markets: Asia.”
Feb.23 -- David Brown, deals leader for Asia Pacific at PricewaterhouseCoopers LLP, discusses the M&A activity in China and how it’s being impacted by coronavirus. He speaks with Haidi Stroud-Watts on “Bloomberg Markets: Asia.”
Traders took a pause after the S&P 500 and Dow logged fresh record highs last week.
(Bloomberg) -- Two of the world’s most powerful money managers are joining forces to build a business on climate-change investing and raise one of the largest venture-capital funds dedicated to carbon-cutting technologies.BlackRock Inc. and Singapore’s Temasek Holdings Pte. formed a new firm, Decarbonization Partners, to take stakes in startups that have the potential to reduce the world’s reliance on fossil fuels and meet the goal of zero-carbon emissions in three decades. They’re committing a total of $600 million to the effort, including $300 million of seed capital for a $1 billion first fund, and raising the rest from outside investors.Eventually, Decarbonization Partners aims to manage billions across multiple funds, BlackRock Chief Executive Officer Larry Fink said in an interview with Bloomberg Television, adding, “I look at this as one of the greatest investment opportunities over our lifetimes.”Although renewables are displacing coal in power generation and electric vehicles can be cost-competitive with gasoline-driven cars, there are no viable solutions for problems like large-scale storage of energy or clean alternatives to carbon-intensive cement and steel production. Hydrocarbons still dominate much of the economy because they're cheap and easy to transport.Today, the pools of money dedicated to clean tech are growing, but managers tend to focus either on the bleeding edge of innovation or cash-flowing assets such as solar arrays and wind farms. BlackRock and Temasek are zeroing in on late-stage VC, the point at which startups need greater amounts of capital to manufacture at scale and expand into new markets.“As you look at the transition to greener options, there is obviously a need to address the gulf between the cost of what’s available today and the cost curve of those solutions,” Dilhan Pillay Sandrasegara, CEO of Temasek International, said. “That’s why private capital is required, to give these solutions a chance of making it to commercialization, to where the cost curves can be brought down to the levels of non-green options or even lower.” Breakthrough Energy Ventures, founded by Bill Gates in 2015, is currently the largest VC player in sustainable energy. It has raised more than $2 billion for early-stage investing, where the risk of failure is high, and anticipates holding its stakes for 20 years or longer. Another, Energy Impact Partners, has raised $1.7 billion, mainly from power utilities and industrial companies.More money is flowing into carbon-related investing. Dealmakers Chamath Palihapitiya and Ian Osborne plan to raise at least $1 billion for a publicly traded vehicle. Venture funding for climate tech startups totaled $16 billion in 2019, up from about $400 million in 2013, according to a PwC report published last year.The first climate-investing boom between 2006 and 2011 ended poorly, with venture funds losing more than half the $25 billion invested. One notable bankruptcy was Solyndra, a solar-panel startup with financing backed by U.S. taxpayers.Decarbonization Partners will operate like a traditional VC fund, asking investors to lock up money for about a decade and targeting annualized returns of about 20%. Fink offered $5 billion as a longer-term goal for assets under management.“We’re going to be testing this, we’re going to be building it, we’re going to have proof of concept and then we’ll see,” he said. “This is not tens of billions of dollars. It may lead to those types of large-scale investments, but it doesn’t need to be that large-scale.”Temasek, a state-owned investor that oversees about $230 billion, has pledged to reduce net-carbon emissions by its portfolio companies to half their 2010 level by 2030 and to zero by 2050. Because it controls Singapore Airlines, one of Temasek’s priorities is finding a sustainable and cost-effective alternative to jet fuel. Pillay and Fink described their shared interest in making green hydrogen a practical replacement for fossil fuels. Decarbonization Partners also is targeting technologies in battery storage, autonomous driving and power grid reliability, as well as materials and process innovation for industries and infrastructure.As the world’s largest asset manager, New York-based BlackRock has the reach and client relationships to marshal capital into new investment vehicles. Just last week, it raised $4.8 billion to buy renewable-power facilities and separately raised $1.5 billion from Temasek, the California State Teachers’ Retirement System and others for two exchange-traded funds. The ETFs use proprietary research and analytics to find stocks that’ll benefit in the low-carbon transition.Fink has taken a vocal stance in the fight to reduce carbon emissions, declaring climate change an investment risk and pushing for sustainability. In his annual letter to CEOs in January, he said companies must disclose plans for making their business models compatible with a net-zero economy.Read more: Fink Demands Net-Zero Disclosure as Climate Push StrengthensTemasek and BlackRock already are partners in a Chinese asset-management business and Temasek is one of BlackRock’s top shareholders. Pillay, who takes over as Temasek CEO in October, said he’ll judge the new venture’s success on two measures: the speed at which its investments help achieve carbon abatement in the economy, and profitability.“We’re not going to look at sacrificing returns,” he said. “We may have to wait longer, given the early-stage element of this partnership, but we do believe the returns will come.”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Reuters) -The S&P 500 hit an intraday record high on Tuesday and the Nasdaq composite index jumped as investors flocked to tech-related stocks, and markets took the halt in Johnson & Johnson's COVID-19 vaccine rollout and strong U.S. inflation in stride. The news came as U.S. data showed the consumer price index (CPI) in March rose by the most in more than 8-1/2 years, kicking off what the majority of economists expect will be a brief period of higher inflation. Wider markets remained positive as investors returned to high-flying technology names that flourished during coronavirus-induced lockdowns last year.
(Bloomberg) -- Follow Bloomberg on LINE messenger for all the business news and analysis you need.Indonesia’s central bank says the rupiah is “very undervalued” following a two-month slide. Investment banks and money managers are predicting further losses.Goldman Sachs Group Inc. says climbing U.S. yields and a potentially firmer dollar will keep hurting Indonesian assets in the near term, while PineBridge Investments Asia Ltd. says the rupiah will keep sliding due to the global risk-off trade and as overseas funds take home dividends. Loomis Sayles Investment Asia Pte. is bearish due to the Covid-19 situation.The rupiah has dropped 3.8% this year, the worst performer in emerging Asia after the Thai baht, as surging U.S. Treasury yields led to an outflow of funds from emerging-market assets. The currency fell as low as 14,635 per dollar on Tuesday, the weakest level since November.“The rupiah is among the most vulnerable among high-yield emerging-market currencies under risk-off sentiment,” said Arthur Lau, head of Asia ex-Japan fixed income at PineBridge in Hong Kong. “In the coming months, we expect the weakness of the rupiah to remain due to seasonal dividend and coupon repatriation in April-May and higher seasonal imports in the second quarter.”Indonesia’s currency is seen as a bellwether of risk in emerging Asia due to the relatively high foreign ownership of local assets and its generally open economy. The rupiah’s prolonged slide suggests there is a deeper shift away from developing nations than just a pullback from last year’s liquidity-fueled surge.Emerging-market stocks, bonds and currencies have all declined over the past three months with the biggest foreign-exchange losses in Brazil, Argentina and Turkey.“One of the most frequently asked investor questions in recent weeks has been whether it is time to buy the dip in Indonesia local markets?” Goldman Sachs analysts led by Zach Pandl in New York wrote in a research note this month. “The answer is ‘not yet’, in our view.”Goldman says its analysis indicates Indonesian bonds are not yet in cheap territory, and strong U.S. data suggests there’s the potential for even higher Treasury yields, which would be a further negative for the Asian nation’s assets.Bank Indonesia sees the rupiah rebounding due to the country’s low inflation and improving economic growth. Meanwhile, policy makers will seek to stabilize the currency in line with its fundamentals, Deputy Governor Dody Budi Waluyo said last week.Amundi Singapore Ltd. is also positive over a longer horizon.“Over the medium term, Indonesia will benefit from structural tailwinds, such as further finalization and implementation of the omnibus law, and from the relatively quicker economic recovery post-Covid,” said Joevin Teo, head of investment in Singapore. “This should continue to bolster investor interest and inflows in both the bond and currency markets.”Back among the bears, Loomis Sayles believes there’s little reason to be positive about the rupiah at present, especially with the country struggling to bring the coronavirus under control.“The fundamental reason for being bullish rupiah right now isn’t there,” said Thu Ha Chow, a portfolio manager at the firm in Singapore. In addition to the risk of a rising dollar and U.S. yields, “there’s no massive turnaround story in terms of what’s going on with the Covid situation,” she said.(Updates rupiah return in third paragraph, adds EM asset performance in sixth)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- U.S. regulators are throwing another wrench into Wall Street’s SPAC machine by cracking down on how accounting rules apply to a key element of blank-check companies.The Securities and Exchange Commission is setting forth new guidance that warrants, which are issued to early investors in the deals, might not be considered equity instruments and may instead be liabilities for accounting purposes. The move, reported earlier by Bloomberg News, threatens to disrupt filings for new special purpose acquisition companies until the issue is resolved.The accounting considerations mark the latest effort by the SEC to clamp down on the white-hot SPAC market. For months, the regulator has been raising red flags that investors aren’t being fully informed of potential risks associated with blank-check companies, which list on public stock exchanges to raise money for the purpose of buying other entities.The SEC began reaching out to accountants last week with the guidance on warrants, according to people familiar with the matter. A pipeline of hundreds of filings for new SPACs could be affected, said the people, who asked not to be identified because the conversations were private.“The SEC indicated that they will not declare any registration statements effective unless the warrant issue is addressed,” according to a client note sent by accounting firm Marcum that was reviewed by Bloomberg.In a SPAC, early investors buy units, which typically includes a share of common stock and a fraction of a warrant to purchase more stock at a later date. They’re considered a sweetener for backers and have thus far been considered equity instruments for accounting purposes. Sponsor teams -- the management of a SPAC -- are also typically given warrants as part of their reward to find a deal, on top of the founder shares.In a statement late Monday, SEC officials urged those involved in SPACs to pay attention to the accounting implications of their transactions. They said that a recent analysis of the market had shown a fact pattern in transactions in which “warrants should be classified as a liability measured at fair value, with changes in fair value each period reported in earnings.”“The evaluation of the accounting for contracts in an entity’s own equity, such as warrants issued by a SPAC, requires careful consideration of the specific facts and circumstances for each entity and each contract,” the officials said in the statement.The SEC issued its guidance after a firm asked the agency how certain accounting rules applied to SPACs, according to another person familiar with the matter. It’s unclear how many companies will be impacted by the move and not all warrants will be affected. Still, regulators consider it likely to be a widespread issue. Firms will be expected to review their statements and correct any material errors, said the person.The shift would spell a massive nuisance for accountants and lawyers, who are hired to ensure blank-check companies are in compliance with the agency. SPACs that are already public and that have struck mergers with targets may have to restate their financial results, the people familiar with the matter said.More than 550 SPACs have filed to go public on U.S. exchanges in the year to date, seeking to raise a combined $162 billion, according to data compiled by Bloomberg. That exceeds the total for all of 2020, during which SPACs raised more than every prior year combined.In an April 8 statement, John Coates, the SEC’s top official for corporate filings, warned Wall Street against viewing SPACs as a way to avoid securities laws. Claims that promoters face less legal liability than a traditional public offering are “uncertain at best,” Coates, who was one of the officials issuing Monday’s statement on accounting, said at the time.The deluge has overwhelmed those responsible for reviewing filings at the SEC, triggered a surge in liability insurance rates for blank-check companies and fueled market anxieties that the bubble is about to burst.(Updates with SEC official’s previous comment in penultimate paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
The British pound has initially pulled back against yen but continues to find interest near the ¥150 level for buyers to come back and push it higher.
The S&P 500 hit a record high on Tuesday and the Nasdaq jumped as investors flocked to technology-related stocks after the United States' pause in the rollout of Johnson & Johnson's COVID-19 vaccine sparked fears of a delay in a broader economic rebound. The drugmaker's shares fell 2.7% to a one-month low as calls for pausing the use of its COVID-19 vaccine after six women developed rare blood clots dealt a fresh setback to efforts to tackle the pandemic. The technology and consumer discretionary sectors, which house high-flying technology names that flourished during coronavirus-induced lockdowns last year, rose 0.6% and 0.4%, respectively.
(Bloomberg) -- U.S. stocks climbed to record highs and bond yields fell as investors bet that a higher-than-forecast rise in inflation won’t be enough to slow economic stimulus measures.The S&P 500 touched an all-time high even after the U.S. recommended pausing Johnson & Johnson vaccines amid health concerns. The tech-heavy Nasdaq 100 also hit a record while the Dow Jones Industrial Average erased earlier losses. Consumer prices rose more than expected last month but investors speculated the acceleration was not fast enough to warrant any Federal Reserve policy change. The drop in yields weighed on bank shares.“The market has been skittish about rates for some time,” said Mike Loewengart, managing director of investment strategy at E*Trade Financial. “While this may cause some short-term volatility, investors have been pretty steadfast in their faith in a full economic recovery.”J&J shares fell as officials agreed to the pause and started an investigation into a link from its shot to rare and severe blood clots, while rivals Moderna Inc. and Pfizer Inc. advanced. The U.S. anticipates having enough other vaccines during the period. Investors flocked back to stay-at-home companies while selling travel shares such as Carnival Corp. and Royal Caribbean Cruises Ltd. American Airlines Group Inc. also slid.Fund managers across the world now see inflation, a taper tantrum and higher taxes as bigger risks than Covid-19, according to the latest Bank of America Corp. survey.“A lot of growth and inflation have already been priced into the market,” said Emily Roland, co-chief investment strategist at John Hancock Investment Management. “It’s almost as if you need to exceed those expectations in order to see a more pronounced reaction from markets.”Although policymakers at the Federal Reserve expect a bump in consumer prices to be short-lived, many traders disagree, with fears of faster CPI playing out across duration-heavy assets from bonds to tech stocks.Treasuries extended gains after the government’s auction of 30-year bonds was greeted with strong demand.Meanwhile, Bitcoin jumped to an all-time high as the mood in cryptocurrencies turned bullish before Coinbase Global Inc. goes public. Oil traded near $60 a barrel.Some key events to watch this week:Banks and financial firms begin reporting first-quarter earnings, including JPMorgan Chase & Co., Citigroup Inc., Bank of America Corp., Morgan Stanley, Goldman Sachs Group Inc.Economic Club of Washington hosts Fed Chair Jerome Powell for a moderated Q&A on Wednesday.U.S. Federal Reserve releases Beige Book on Wednesday.U.S. data including initial jobless claims, industrial production and retail sales come Thursday.China economic growth, industrial production and retail sales figures are on Friday.These are some of the main moves in financial markets: For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- Air Canada shares fell after the company reached a deal with the federal government for loans and equity worth nearly C$5.9 billion ($4.7 billion), making the state a shareholder of the country’s largest airline for the first time since the 1980s.Air Canada declined 2.6% to C$26.29 as of 12:39 p.m. in Toronto. Earlier it dropped more than 6.6% as the market absorbed the news that Prime Minister Justin Trudeau’s government is buying C$500 million of shares at a discount. The government will also receive warrants as part of a financing agreement that makes Air Canada eligible for five new credit facilities, according to a company statement.The dilution for shareholders “was greater than we had anticipated,” Kevin Chiang, an analyst at Canadian Imperial Bank of Commerce, said in a note. If all the warrants were exercised, the government would own 9.7%, Chiang said.In return for the money, Air Canada agreed to restrict share buybacks and dividends, keep employment at April 1 levels and follow through on a deal to buy 33 Airbus SE A220s made at a factory in Quebec. Executives won’t be allowed to earn more than C$1 million. And the airline will resume service on routes its suspended to distant locations such as Gander, Newfoundland and Yellowknife, in the country’s far north.The long-anticipated announcement will ease tensions between the industry and Trudeau’s government, which since last March has barred most foreign travelers from entering the country and recently made the rules even tougher.Air Canada repeatedly complained that its home country was the only Group of Seven member without an aid plan specifically for the aviation sector -- although the company has used federal wage subsidies available to all industries hit by the pandemic.“We wanted a good deal, not just any deal. And getting a good deal can sometimes take a little time,” Finance Minister Chrystia Freeland said at a news conference Monday evening.Air Canada also committed to paying back customers who didn’t take flights they had booked because of Covid-19. One of the credit facilities, a C$1.4 billion line, is dedicated to financing refunds.‘Solid Guarantees’“At first glance, the Canadian government’s aid package to Air Canada looks somewhat onerous,” Citigroup analysts said in a note. “On one hand, the aid certainly helps provide a more stable financial situation for the carrier. On the other, some of the requirements seem difficult.”While the equity component is “somewhat surprising,” the package is “the money that’s needed,” said Robert Kokonis, managing director of Toronto-based aviation consulting firm AirTrav Inc.“It’s going to take a lot of aid for carriers. We’ve been through a lot. We’ve been on standby while airlines in countries around the world have received one or more aid packages,” Kokonis said.Freeland said talks are ongoing with other airlines, including WestJet Airlines Ltd., controlled by Toronto-based investment firm Onex Corp. Tour operator Transat AT Inc. also needs money and has said it’s talking to the government after a deal to be taken over by Air Canada fell apart.“Wherever and whenever the federal government provides public aid, the supported company will have to give solid guarantees, as Air Canada did, that the public interest will be respected, workers protected, and travelers’ interest defended,” Freeland said.As of March 18, government financing for the airline industry globally -- including loans and equity stakes in exchange for cash -- has totaled more than $183 billion, according to Ishka Ltd., an aviation finance and investment consultancy.Before Monday’s agreement, Canada’s most visible lifeline to the industry was a combined C$375 million in emergency loans to Sunwing Airlines Inc. and Sunwing Vacations Inc., a small vacation operator.Air Canada said it will only draw down the new credit facilities “as required”. The package includes C$2.48 billion in unsecured loans.“This program provides additional liquidity, if required, to rebuild our business to the benefit of all stakeholders and to remain a significant contributor to the Canadian economy through its recovery and for the long term,” Chief Executive Officer Michael Rousseau said in a statement.(Updates share move in second paragraph and comments from Citigroup analysts)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- The Bank of England’s Chief Economist Andy Haldane will step down in June, removing the the Monetary Policy Committee’s most outspoken contrarian and inflation hawk.Haldane, 53, will leave after career spanning more than three decades at the central bank to become chief executive officer at the Royal Society for Arts, Manufactures and Commerce starting in September. He will remain in place through the bank’s rate decision on June 24. He’s departing as the U.K. emerges from its worst recession in three centuries, which pushed the central bank to unleash unprecedented stimulus including 150 billion pounds ($206 billion) of bond purchases this year. Haldane alone on the nine-member policy panel voiced concerns about inflation accelerating with a rapid bounce-back in growth as Prime Minister Boris Johnson winds back restrictions to contain the Covid-19.“The most interesting element to me is that he is probably the arch-hawk on the MPC, and his removal will certainly see a more dovish tone seep into meetings,” said Stuart Cole, chief macro strategist at Equiti Capital and a former BOE economist.Bank of England Governor Andrew Bailey will appoint a successor after the bank advertises the position. While the chief economist traditionally also sits on the MPC, it’s the Treasury’s decision to name members to that panel.In recent months, Haldane has warned about the risk of excessive pessimism about the economic outlook as the pandemic winds down, terming it “Chicken Licken” economics that could undermine the recovery.While many of his colleagues point out concerns about rising unemployment and signs of sluggishness in the economy, he said he expects a “rip-roaring recovery” and on inflation said a “tiger has been stirred” that may “prove difficult to tame.”Several economists said the improving outlook for the U.K. economy has already shifted debate on the MPC away from extra stimulus and toward whether the pace of bond purchases need to slow -- or even an eventual tightening in policy.“In 2022 the BOE is likely to set out an exit strategy from its ultra-easy policy stance before hiking the bank rate in 2023,” said Kallum Pickering, senior economist at Berenberg.Haldane joined the BOE in 1989 after gaining a masters in economics from Warwick University.He logged experience at the central bank in international finance, market infrastructure and financial stability during the financial crisis before clinching his current role under previous Governor Mark Carney in 2014. That year, “Time” magazine named him one of the world’s 100 most influential people.Haldane is known for his occasionally quirky speeches. He once used Dr. Seuss to bemoan the reading age needed to understand the central bank’s communications.His words sometimes raised eyebrows, notably when he compared pre-crisis economic projections to a famously inaccurate forecast by BBC weatherman Michael Fish before a 1987 storm that killed 18 people.In 2012, he drew the ire of his future boss with a speech -- titled “The Dog and the Frisbee” -- which called for simplicity in banking regulation. Carney, who was then the Bank of Canada governor and head of the global Financial Stability Board, said the speech was “uneven” and the conclusion “not supported by the proper understanding of the facts.”Haldane has also led the government’s Industrial Strategy Council until it was dissolved a few weeks ago and is the co-founder of charity Pro-Bono Economics.“If your business is trying to predict rates and quantitative easing, it will be a bit easier without Andy’s speeches somewhat clouding the issue,” said Tony Yates, a former BOE official who worked with Haldane. “If you’re trying to get up to speed on the latest things in monetary economics and finance, then it’s less good because there won’t be Andy picking up new things and explaining them.”(Updates with context and comment from the first paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
The US tech giant is buying artificial intelligence firm Nuance, best known for developing Apple's Siri.
Stocks were choppy and mixed in afternoon trading Tuesday as a drop in bond yields hurt bank stocks but helped big technology stocks. The Dow Jones Industrial Average fell 61 points, or 0.2%, to 33,683 and the Nasdaq was up 0.9%. The divergence was largely due to the fact the Dow has more bank stocks while the Nasdaq is heavily weighted with technology companies.
Roth accounts serve a special tax purpose — they’re funded with after-tax dollars and thus, are distributed tax-free (compared with a traditional account, where the money is contributed and grows tax-free but is taxed at withdrawal). Roth conversions are similar — investors move the money from their traditional accounts into Roth accounts and pay the tax upfront.
(Bloomberg) -- The window for Europe to sell its longest dated debt may be closing faster than countries expect.Demand for Britain’s longest-dated gilt fell to the lowest level since July 2018 at auction on Tuesday, with bids for the bond maturing in 2071 coming in at more than two times the 1 billion pounds ($1.38 billion) on offer. Austria and Spain both saw orderbooks fall for sales of 50-year and 15-year debt respectively.It’s a sign that the region’s bond markets are being hit by a double whammy of heavy supply and fears of a reflationary resurgence, which threatens to erode returns for investors. Nordea Bank Abp warned that the window to sell long-dated tenors is now closing as the economy recovers against a backdrop of an accelerating vaccine rollout. That could put pressure on the European Central Bank to dial back its bond purchase programs.“The odds are stacked against longer-dated supply being taken down well,” said Peter Chatwell, head of multi-asset strategy at Mizuho International Plc. “There is no likely outcome where long end rates are able to sustain a bid.”Around 15% of debt sales in the region during the first quarter had maturities of 25 years or more -- an all-time high, according Nordea -- as countries took advantage of the ECB’s bond-buying program to borrow at near record-low rates. But now, government bond yields have rebounded from all-time lows as investors begin to price an end to the pandemic.“It may become trickier later this year, as the economic recovery materializes and an environment of higher yields may start to look less remote,” Nordea’s chief strategist Jan von Gerich said, adding that the worst of the selling pressure in bonds appears to be over for now.Spain saw orderbooks drop by around 20 billion euros for a six billion euro debt sale, while in Austria, demand for its 50-year sale fell by around one billion euros, even with only 2 billion euros on offer. Its four-year sale did better, garnering above 26.6 billion euros of bids, around six times more than the amount being sold.One overwhelming force keeping a lid on yields is the ECB’s repeated pledge to keep monetary policy accommodative as the region shakes off economic pain from the pandemic. Data scheduled for Friday is expected to show euro-area consumer price inflation jumped to 1.3% last month, the highest in more than a year. Yet that would still be below the central bank’s goal of a reading close to, but below 2%. “I don’t sense a shift in attitude towards duration based on the better economic outlook, not yet at least,” said Antoine Bouvet, senior rates strategist at ING Groep NV. “The lower-for-longer narrative is still widely shared in Europe.”Austrian securities that come due in 2062 yield around 0.66%, up from around 0.10% in December. Fifty-year gilts currently yield around 1.12%, having climbed from less than 0.3% last year. That’s well below a market gauge of expected price rises over the next decade, which hit 3.83% this month, the highest level in more than a decade.(Updates with prices throughout, adds Mizuho comment in fourth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Bitcoin surged to a record high on Tuesday, a day ahead of Coinbase Global’s public stock listing — the latest coming-out party for cryptocurrencies. The price of Bitcoin rose as high as $63,209 before giving back some of those gains, according to Coindesk. This pattern of Bitcoin hitting new highs ahead of a major event is not new.
Our call of the day from Bank of America narrows down where investors see the most risk these days. Fingers are pointing at the world's most popular cryptocurrency.
Bitcoin has picked up a tail wind in the lead up to Coinbase's stock listing on Nasdaq
The Australian dollar has pulled back a bit during the course of the trading session on Tuesday, as we continue to see significant downward pressure.
‘The Big Move’ is a MarketWatch column looking at the ins and outs of real estate, from navigating the search for a new home to applying for a mortgage. The costs of homeownership are rising quickly across the country, so you’re not alone in feeling burdened.
The full-size luxury EQS sedan will launch on Thursday and could completely change the public perception of Mercedes, Deutsche Bank analysts said.