Finance

UBS to take over Credit Suisse, central banks act on liquidity

LONDON/NEW YORK (Reuters) - UBS sealed a deal to buy rival Swiss bank Credit Suisse in an effort to avoid further market-shaking turmoil in global banking, Swiss authorities said on Sunday. Meanwhile, global central banks said they would open daily dollar taps to their banks. Here are comments from market analysts: JEFFERIES' EUROPEAN ANALYSTS: "It's positive news that a deal could be found as

2023-03-20T01:30:19Z

Buffett's Berkshire Hathaway speeds up stock buybacks

By Jonathan Stempel (Reuters) - Warren Buffett's Berkshire Hathaway Inc has stepped up its pace of stock buybacks, repurchasing more than $1.8 billion of its own stock this year. In its proxy filing on Friday, Berkshire said that as of March 8 it had the equivalent of 1,455,698 Class A shares outstanding, down 4,035 from year end and 2,537 from Feb. 13, reflecting the repurchases. Berkshire's

2023-03-19T18:34:44Z

Sight deposits rise, indicating Credit Suisse took central bank liquidity

ZURICH (Reuters) - Credit Suisse took a hefty chunk of liquidity from the Swiss National Bank last week, sight deposit data published by the central bank indicated on Monday. Total deposits held by banks overnight rose to 515.1 billion Swiss francs ($554.35 billion) from 510.8 billion francs last week, the data said. The figure was an average of the level of the last 7 days to the end of

2023-03-20T09:35:54Z

UBS close to finalizing deal for Credit Suisse -source

By Stefania Spezzati, Oliver Hirt and John O'Donnell (Reuters) - UBS is close to finalizing a deal to buy rival Swiss bank Credit Suisse, a source familiar with the matter told Reuters. The deal is valued at more than $2 billion, after UBS increased its offer, the Financial Times earlier reported. The Credit Suisse chair declined to comment when reached on his cell phone. The Swiss National

2023-03-19T17:49:35Z

FDIC to relaunch sale of SVB, moves toward break-up plan -sources

By David French (Reuters) - The U.S. Federal Deposit Insurance Corp (FDIC) is planning to relaunch the sale process for Silicon Valley Bank after failing to attract buyers in its latest auction, with the regulator seeking a potential break-up of the failed lender, according to people familiar with the matter. One of the options under consideration by the regulator is a sale process for the

2023-03-19T18:19:43Z

Factbox-Insurers press carmakers for more help with EV batteries

DETROIT (Reuters) - Insurers and industry experts say electric vehicle insurance premiums will keep rising as sales grow unless the car companies make it easier to access battery data and repair packs that are only slightly damaged in collisions. Many carmakers in turn say their EV battery packs are repairable, though few seem willing to share access to battery data. Ford Motor Co said it has

2023-03-20T05:15:41Z

VW's Skoda would cut 3,000 jobs if 'Euro 7' implemented in current form

PRAGUE (Reuters) - Czech carmaker Skoda would have to cut 3,000 jobs and axe some models if the European Union's "Euro 7" emissions scheme is implemented in its current form, a Skoda board member warned in a TV debate on Sunday. The proposed Euro 7 law, which EU countries and lawmakers will start negotiating this year, would tighten limits on the emission by cars of health-harming pollutants,

2023-03-19T16:19:34Z

Credit Suisse, UBS deal: What you need to know

(Reuters) - UBS agreed to buy rival bank Credit Suisse for 3 billion Swiss francs ($3.23 billion) and assume up to $5.4 billion in losses, in a shotgun merger engineered by Swiss authorities. But banking stocks and bonds plummeted on Monday as confidence in the sector remained fragile. DEVELOPMENTS * In a global response not seen since the height of the pandemic, the Fed said it had joined

2023-03-20T09:00:53Z

Ex-Goldman CEO Blankfein says bank rout may depress growth, even with robust capital

By Lananh Nguyen NEW YORK (Reuters) - Turmoil in the banking sector will probably weigh on economic growth as lenders become more conservative, former Goldman Sachs Group Inc CEO Lloyd Blankfein said Sunday. "The greater risk environment for financials leads to husbanding of capital and risk-taking, less and more conservative investing and lending, and inevitably, lower growth," Blankfein, who

2023-03-20T00:05:10Z

UBS to take over Credit Suisse to stem global crisis of confidence

LONDON (Reuters) - UBS sealed a deal to buy rival Swiss bank Credit Suisse in an effort to avoid further market-shaking turmoil in global banking, Swiss authorities said on Sunday. The Swiss central bank will supply substantial liquidity to the merged bank, it said at a news conference in the Swiss capital, Bern. It said the deal marked a solution to secure financial stability and protect the

2023-03-19T20:44:52Z

UBS seals Credit Suisse takeover in bid to calm market nerves

By Stefania Spezzati, Oliver Hirt and John O'Donnell (Reuters) -UBS sealed a deal to buy rival Swiss bank Credit Suisse in an effort to avoid further market-shaking turmoil in global banking, Swiss authorities said on Sunday. The Swiss central bank will supply substantial liquidity to the merged bank, it said at a news conference in the Swiss capital, Bern. It said the deal marked a solution to

2023-03-19T18:49:47Z

UBS makes offer for Credit Suisse as contagion fears grow

By Stefania Spezzati, Oliver Hirt and John O'Donnell (Reuters) - UBS Group AG is in emergency talks to buy fellow Swiss banking giant Credit Suisse as authorities bid to stave off turmoil when markets reopen on Monday, with reports saying UBS has offered to pay up to $1 billion. Swiss authorities are examining imposing losses on Credit Suisse bondholders as part of a rescue, two sources with

2023-03-19T15:49:33Z

Credit Suisse rescue relief runs dry in skittish trade

By Tom Westbrook SINGAPORE (Reuters) - Equity futures and Asian stocks struggled to stabilise on Monday as a weekend deal to rescue Credit Suisse and promises of liquidity from central banks offered little lasting respite from fears that a bigger banking crisis is brewing. Early gains for S&P 500 futures and European futures evaporated by lunchtime in Tokyo to trade flat. A Japanese banks' index

2023-03-20T05:15:42Z

How did these companies survive the pitfalls of the pandemic pivot?

Nick Ngo still vividly remembers the spring of 2020, and the sudden wave of new shops making the same acrylic barriers as his business. "During that time, companies would pop up. I remember (it was) anybody with a saw who was able to cut it," said Ngo, project manager at Sixstream Signs Ltd. in Surrey, B.C. "I don't necessarily agree with it, but t...

2023-03-19T08:10:23Z

Derivatives that track bonds at the heart of Credit Suisse rescue slide

LONDON (Reuters) - Derivatives that track the value of key bank debt fell sharply on Monday, after UBS agreed to rescue rival Credit Suisse, forcing a massive writedown of the latter's additional tier-one debt as part of the deal. Invesco's AT1 Capital Bond exchange-traded fund, which tracks the value of AT1 debt, dropped 14% in early trading, while WisdomnTree's AT1 CoCo bond ETF was indicated

2023-03-20T09:00:55Z

UBS makes offer for Credit Suisse; bondholder losses considered

By Stefania Spezzati, Oliver Hirt and John O'Donnell (Reuters) - UBS Group AG is in emergency talks to buy fellow Swiss banking giant Credit Suisse as authorities bid to stave off turmoil when global markets reopen on Monday, with reports saying UBS has offered to pay up to $1 billion. Swiss authorities are examining imposing losses on Credit Suisse bondholders as part of a rescue, two sources

2023-03-19T14:34:30Z

Exclusive-Swiss authorities mull imposing losses on Credit Suisse bondholders -sources

By John O'Donnell and Chiara Elisei FRANKFURT/LONDON (Reuters) - Swiss authorities are examining imposing losses on Credit Suisse bondholders as part of a rescue of the bank, two sources with knowledge of the matter said on Sunday. However, European regulators are apprehensive about such a move for fear that it could hit investor confidence elsewhere in Europe's financial sector, the sources

2023-03-19T16:19:34Z

Digital literacy: Can the republic 'survive an algorithm?'

SEATTLE (AP) — Shawn Lee, a high school social studies teacher in Seattle, wants to see lessons on internet akin to a kind of 21st century driver's education, an essential for modern life. Lee has tried to bring that kind of education into his classroom, with lessons about the need to double-check online sources, to diversify newsfeeds and to bring...

2023-03-20T04:08:22Z

BlackRock's Hildebrand reportedly taking part in UBS, Credit Suisse talks

(Reuters) - BlackRock Inc Vice Chairman Philipp Hildebrand is taking part in talks as Swiss officials try to put together a deal for UBS Group to take over Credit Suisse Group AG, Bloomberg News reported on Saturday, citing unidentified sources. Asked about the report, BlackRock spokesman Ryan O'Keeffe said in a telephone interview that "Philipp has no formal involvement in these discussions at

2023-03-18T22:18:16Z

So you want to be a climate-conscious investor. Here's how to avoid greenwashing

Canadians are driving up demand for green investment opportunities, but while a growing number of companies and funds claim climate-friendly credentials, many don’t live up to their promises.

2023-03-19T08:06:58Z

Safe haven yen, dollar regain footing as caution builds over bank contagion

By Kevin Buckland TOKYO (Reuters) - Safe-haven currencies the yen and U.S. dollar recovered from early steep declines and the risk-sensitive Australian and New Zealand dollars flipped to losses as early optimism ebbed over efforts by global authorities to contain a banking crisis. Japan's currency, which is particularly sensitive to long-term Treasury yields, rebounded from losses as steep as

2023-03-20T05:15:43Z

UBS seeks $6 billion in govt guarantees for Credit Suisse takeover -source

By Stefania Spezzati, Oliver Hirt and John O'Donnell (Reuters) - UBS AG is asking the Swiss government to cover about $6 billion in costs if it were to buy Credit Suisse, a person with knowledge of the talks said, as the two sides raced to hammer together a deal to restore confidence in the ailing Swiss bank. The 167-year-old Credit Suisse is the biggest name ensnared in the turmoil unleashed by

2023-03-18T23:03:20Z

Switzerland wakes to new era after historic bank merger; employees 'shocked'

By Tom Sims and John Revill ZURICH (Reuters) - Switzerland awoke to a new era on Monday after UBS swept up Credit Suisse in a government-brokered rescue that dented the country's long-held pride in its banking expertise. A bank employee association said it was deeply shocked by the potential consequences from the deal to save the 167-year-old Credit Suisse after customer and market confidence in

2023-03-20T08:00:52Z

Exclusive-UBS seeks about $6 billion in government guarantees for Credit Suisse deal -source

By Oliver Hirt and Stefania Spezzati (Reuters) - UBS Group AG is seeking government guarantees of about $6 billion for a potential takeover of Credit Suisse Group AG, a person with knowledge of the discussions told Reuters on Saturday. The talks are still ongoing and the figure could change as several scenarios are still under review, the person said. The guarantees would cover the cost of

2023-03-18T21:03:11Z

Asia policymakers move to calm nerves after Credit Suisse takeover

By Scott Murdoch SYDNEY (Reuters) - Asian policymakers on Monday moved to calm investor nerves after announcements of a historic Swiss-backed takeover of troubled Credit Suisse and a coordinated move by major central banks to avert a banking crisis. As markets remained fearful of the risk of financial stress jumping across borders, Japan's chief cabinet secretary, Hirokazu Matsuno, said the

2023-03-20T06:30:47Z

UBS agrees to buy Credit Suisse for more than $2 billion, Financial Times reports

By Stefania Spezzati, Oliver Hirt and John O'Donnell (Reuters) - UBS has agreed to buy Swiss banking giant Credit Suisse after increasing its offer to more than $2 billion, the Financial Times reported on Sunday, as authorities bid to stave off turmoil when the markets reopen. Officials have been racing to rescue the 167-year-old bank, among the world's largest wealth managers, after a brutal

2023-03-19T17:19:38Z

UBS to take over Credit Suisse, assume up to 5 billion Swiss francs in losses

BERN (Reuters) - UBS agreed to buy rival Swiss bank Credit Suisse for 3 billion Swiss francs ($3.23 billion) in stock and agreed to assume up to 5 billion francs ($5.4 billion) in losses, in a shotgun merger engineered by Swiss authorities to avoid more market-shaking turmoil in global banking. The deal includes 100 billion Swiss francs ($108 billion) in liquidity assistance for UBS and Credit

2023-03-19T19:34:47Z

Credit Suisse, UBS shares plunge after takeover announcement

GENEVA (AP) — Shares of Credit Suisse plunged 63% in early trading Monday after the announcement that banking giant UBS would buy its troubled rival for almost $3.25 billion in a deal orchestrated by regulators to stave off further market-shaking turmoil in the global banking system. UBS shares were down 14% in early trading on the Swiss stock exch...

2023-03-20T08:56:02Z

Two major banks in Europe look to regulators to stem contagion risk

By Stefania Spezzati and Elisa Martinuzzi LONDON (Reuters) - At least two major banks in Europe are examining scenarios of contagion in the region's banking sector and are looking to the Federal Reserve and the ECB for stronger signals of support, two senior executives close to the discussions told Reuters. The fallout from the crisis of confidence in Credit Suisse Group AG and the failure of

2023-03-19T18:19:41Z

UBS CEO says bank can handle risks of Credit Suisse takeover

ZURICH (Reuters) - UBS can handle the risks from taking over Swiss rival bank Credit Suisse, UBS Chief Executive Ralph Hamers told broadcaster SRF. In a package orchestrated by Swiss regulators on Sunday, UBS will pay 3 billion Swiss francs ($3.23 billion) for 167-year-old Credit Suisse and assume up to $5.4 billion in losses. Hamers, who will lead the combined entity as chief executive, said

2023-03-20T07:00:49Z

Two major banks in Europe worry about contagion, look to regulators for reassurance - sources

By Stefania Spezzati and Elisa Martinuzzi LONDON (Reuters) - At least two major banks in Europe are examining scenarios of contagion possibly spreading in the region's banking sector and looking to the Federal Reserve and the ECB to step in with stronger signals of support, two senior executives with knowledge of the deliberations told Reuters. The fallout from the crisis of confidence in Credit

2023-03-19T15:19:37Z

Relief over Credit Suisse deal crumbles as focus shifts to bond risks

By Stefania Spezzati, Scott Murdoch and Tom Westbrook (Reuters) -Banking stocks tumbled on Monday as initial relief over a historic state-backed rescue of troubled lender Credit Suisse by Swiss rival UBS Group gave way to new worries about the risks of high-yield debt issued by big banks. In a package orchestrated by Swiss regulators on Sunday, UBS Group AG will pay 3 billion Swiss francs ($3.23

2023-03-20T06:30:45Z

Credit Suisse's First Boston plan in doubt amid crisis talks -Bloomberg

(Reuters) - Credit Suisse's plan to spin off its investment bank under the First Boston brand are being thrown into doubt by takeover talks, Bloomberg News reported on Sunday. UBS is showing little appetite for Credit Suisse's investment banking business as part of a government-orchestrated takeover, the report said, adding that plans to separate and eventually list that business are in doubt.

2023-03-19T09:04:00Z

Credit Suisse, UBS crunch talks; US bank fallout: What you need to know

(Reuters) - UBS Group AG has offered to buy Credit Suisse for up to $1 billion, with the Swiss government planning to change the country's laws to bypass a shareholder vote on the transaction, the Financial Times reported on Sunday. Regulators are pushing for a deal to restore confidence in the ailing Swiss lender before financial markets open on Monday amid fears that turmoil stemming from the

2023-03-19T12:49:27Z

US Senator Warren criticizes Fed, calls for probe into SVB failure

By Kanishka Singh and Rishabh Jaiswal WASHINGTON (Reuters) -U.S. Senator Elizabeth Warren on Sunday called for an independent probe into the recent failures of Silicon Valley Bank and Signature Bank and took specific aim at the head of the Federal Reserve Bank of San Francisco responsible for oversight of SVB. Democrat Warren, who is pushing for tighter banking regulations, sent a letter to the

2023-03-19T14:19:26Z

Goldman Sachs prepares claims trading for wiped-out Credit Suisse debt - Bloomberg News

(Reuters) -Goldman Sachs Group Inc traders were preparing to take bids on claims against Credit Suisse Group's riskiest bonds, Bloomberg News reported on Sunday, citing people familiar with the matter. Clients were told in a message late Sunday that the New York-based bank would soon start trading claims in the so-called additional tier 1 bonds, or AT1s, according to the report. The Swiss

2023-03-20T09:35:53Z

Investors dump Credit Suisse stock and bonds after UBS rescue

LONDON/ZURICH (Reuters) -Investors dumped Credit Suisse shares and bonds on Monday after rival UBS agreed at the weekend to take over the 167-year old bank for just a fraction of its market value, with hefty backstops from the Swiss government. Credit Suisse shares slid by almost 62% in Swiss premarket trading to around 0.61 Swiss francs ($0.6578), while the value of its additional tier 1 (AT1)

2023-03-20T08:00:51Z

Alan Cross: How much longer will we be able to buy digital downloads of songs?

For the last couple of decades, iTunes has been our go-to when it comes to buying digital music files. But in the age of streaming, how long will it last?

2023-03-19T14:04:45Z

Relief over Credit Suisse rescue short-lived as bank shares plummet

By Amanda Cooper, Scott Murdoch and Tom Westbrook (Reuters) -Banking stocks and bonds plummeted on Monday after UBS Group sealed a state-backed takeover of troubled peer Credit Suisse Group AG, a deal that was orchestrated in an attempt to restore confidence in a battered sector. In a package engineered by Swiss regulators on Sunday, UBS Group AG will pay 3 billion Swiss francs ($3.23 billion)

2023-03-20T09:00:56Z

Credit Suisse writes down $17 billion of bonds to zero, angering holders

By Pablo Mayo Cerqueiro and Chiara Elisei LONDON (Reuters) - Credit Suisse has written down its Additional Tier 1 bonds to zero as part of its takeover by UBS, angering some bondholders who thought they would be better protected in a rescue deal announced on Sunday. The Swiss regulator and Credit Suisse said that the bonds, which are a riskier type of debt than traditional bonds, have a notional

2023-03-19T21:25:02Z

UBS chairman wants to keep Credit Suisse's Swiss unit

ZURICH (Reuters) - UBS Chairman Colm Kelleher said the bank wants to keep Credit Suisse's Swiss unit, speaking at a news conference announcing the merger between Switzerland's two biggest banks on Sunday. "It is a fine asset that we are very determined to keep and hopefully service their customers and clients as efficiently as Credit Suisse has done," Kelleher said. The Chairman of Switzerland's

2023-03-19T19:49:56Z

Global central banks open daily dollar taps to help banks

By Francesco Canepa and Howard Schneider FRANKFURT/WASHINGTON (Reuters) - Top central banks, faced with the risk of a fast-moving loss of confidence in the stability of the financial system, moved on Sunday to bolster the flow of cash around the world. In coordination with central banks elsewhere, the U.S. Federal Reserve offered daily currency swaps to ensure banks in Canada, Britain, Japan,

2023-03-20T00:05:03Z

UBS swallows doomed Credit Suisse, casting shadow over Switzerland

By John O'Donnell and Stefania Spezzati LONDON (Reuters) -UBS Group emerged as Switzerland’s one and only global bank with a state-backed rescue of its smaller peer Credit Suisse, a risky bet that makes the Swiss economy more dependent on a single lender. The unprecedented move announced late on Sunday in Zurich capped a race against time by regulators to avert a meltdown in global markets.

2023-03-20T08:30:50Z

UBS close to finalizing deal to buy Credit Suisse -source

By Stefania Spezzati, Oliver Hirt and John O'Donnell (Reuters) - UBS is close to finalizing a deal to buy rival Swiss bank Credit Suisse, a source familiar with the matter said on Sunday. The deal is valued at more than $2 billion, after UBS increased its offer, the Financial Times earlier reported. The Credit Suisse chair declined to comment when reached on his cell phone. The Swiss National