Tag Archives: banking sector

Central bankers are trapped by their own policies

It’s unclear when it all started, but it has reached the point where it would make the biggest banker of all times, John Pierpont Morgan, turn in his grave.

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New Basel rules mean buy-to-let mortgage interest rates will jump

Ahead of the Chancellor’s Budget set to be published on March 16, there is a lot of speculation that he may announce other measures to cool down the buy-to-let property market. I don’t think he will need to: the market will cool down pretty rapidly once the regulatory changes that are coming for banks are understood by buyers. Admittedly, that will take a while. This article is for those who want to stay ahead of the game.

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How to win the currency war of words

By Mirela Roman

Central bankers have been striving to bring inflation down for a long time. But ironically, they took a U-turn after the financial crisis and are now trying to heal the wounds via negative or near zero lower-bound rates, “unorthodox” stimulus such as quantitative easing or various forward guidance and communication techniques.

As words almost became monetary policy tools, prices continue to stay stubbornly low or on a downward path. But there is one thing that bucks the trend, and its swings are even more sensitive to the way central banks talk than those of inflation.

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Italian banks’ bad loans need long-term solution: rating agency

Italian banks’ bad loans are holding back its economy, but creating a “bad bank” and dumping them there is not a good idea, because deeper reforms are needed, a European rating agency has warned.

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The world’s tightest regulated banks

Bank shareholders hoping that profits will rise rapidly in the quarter ahead are likely to be disappointed.

The various constraints placed on banks after they were saved from bankruptcy at the cost of increased social inequality and poverty will limit the financial institutions’ earnings.

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European banks outlook: sluggish earnings, weak returns

Investors in European banks will have to put up with “sluggish earnings and weak returns” for the sector next year, analysts from European rating agency Scope Ratings have warned.

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