Oil prices might hit triple digits this years
Crude oil prices are rising, with some grades trading above $100 a barrel, indicating restricted supply. Nigerian crude Qua Iboe and Malaysian crude Tapis reached their highest levels of 2023. Brent oil futures reached $94.89, and dated Brent was just above $96. Brent futures are projected to rise beyond $100, and Brent futures might hit…
The Fed will raise interest rates because of inflation
The Federal Reserve is expected to maintain interest rates constant after its policy meeting, but may raise them again due to risk aversion and concerns about inflation rising. Evercore ISI analyst Krishna Guha predicts the Fed will strike a stern tone, asserting a serious option of a further hike and a high bar for future…
German banker accused on tax fraud conspiracy
German banker Christian Olearius is on trial for participating in a multibillion-euro tax fraud conspiracy involving local and global banks and hundreds of individuals. The loophole that allowed trading between 2005 and 2012 is closed, but courts are still investigating to recover an estimated 10 billion euros ($10.66 billion) from government coffers. Olearius denies misconduct…
The world’s five largest hedge funds have increased its stock
Goldman Sachs has reported that the world’s five largest hedge funds have increased their U.S. stock market leverage and trading holdings since 2014. These multi-manager funds hold over a third of the hedge fund industry’s U.S. shares, despite their 9% share of the industry’s assets under management. The largest hedge funds own 1% of the…
Bank Of Montreal affected by rapid rise of interest rates that caused job losses
Bank of Montreal (BMO) will close its retail vehicle finance business in Canada and the US, causing job losses. The move is due to a rise in retail trade bad debt provisions, indicating consumer stress from rising borrowing costs. BMO is monitoring job-cutted employees and providing help. Retail vehicle loans grew 34% to C$17.36 billion…
US debt would bring recession if its continue to rose
Leading financial analysts are warning of rising US debt and a possible recession due to increasing federal deficits and the Treasury selling $1 trillion in bonds this quarter. The Federal Reserve’s tightening efforts have raised borrowing costs in the last year and a half. The supply-demand imbalance goes beyond bond issuance, as interest rate increases…
The Fed won’t raise rates at next meeting to improve economic growth, says Goldman Sachs
Goldman Sachs strategists predict the Federal Reserve will improve economic growth predictions and not hike interest rates at its meeting. They believe labor market rebalancing, better inflation news, and a Q4 growth pothole will convince more participants to forgo a final hike this year. J.P. Morgan Asset Management and Janus Henderson Investors believe the Fed…
Economists predict the FED will raise rates more this years
Executives are exploiting strong demand for new bonds in investment-grade and high-yield debt markets to penetrate US debt markets. Some finance chiefs expect high borrowing costs to persist, with some borrowers willing to lean in. High-grade and junk debt markets issued $110 billion of bonds worldwide last week, marking the busiest September start ever. Investors…