News
Spanish CDS spread jumps as four banks announce merger
Four regional savings banks announce merger after one ailing lender was seized and placed into administration by the central bank on Saturday; move plays into investor fear that banking sector is unsteady
Iosco calls on regulators to share information
International securities body says members should cooperate outside an enforcement context to spot disturbing trends; report sets out principles of bilateral information-sharing deals
Securities and Exchange Commission appoints new chief financial officer
SEC's appointment of new chief financial officer follows criticisms last year from the US Government Accountability Office
RBA offshoot used prostitutes and bribes to win contracts: police witness alleges
Former employee of Securency, a Reserve Bank of Australia offshoot, alleges firm used bribes and prostitutes to win contracts to supply polymer substrate to foreign central banks
Bank of Spain bail-out spooks investors
Spanish central bank’s rescue of savings bank CajaSur on Saturday sees Spanish bank shares falling on Monday; central bank says rescued bank accounts for very small percentage of system overall
Foreign holdings of US Treasuries fall for second straight week
Data show holdings of US Treasuries by foreign central banks with accounts at the Federal Reserve declined for a second successive week; use of swap lines lower than expected
Rate round-up: Israel opts to hold
Israeli, Kenyan, Turkish and Serbian central banks’ rates remain unchanged
Volcker rule fails to make approved Dodd bill
Key amendment omitted; Fed gains powers but will face audit in sweeping regulatory reform
Riksbank’s Persson: don’t shoot CDS ‘messenger’
The Swedish central bank uses CDS spreads as an indicator of financial stability
Bank of Italy defends change on capital accounting
Allowing banks to ignore falling bond prices for capital purposes is a legitimate move, says regulator
Eurozone crisis weighs on Swiss exit plans: SNB's Jordan
Swiss National Bank deputy head Thomas Jordan says normalisation of monetary policy hampered by eurozone debt crisis
Iran's central bank faces sanctions squeeze
Iranian central bank's dealings could come under international spotlight if Security Council passes nuclear sanctions package
Hungarian prime minister-elect hints at Simor ouster
Hungary’s incoming prime minister gives clearest sign so far that András Simor’s days as central bank governor could be numbered; party wants a central bank that will stimulate economy
Macroprudential tools need hard, fast rules: BIS
Basel-based Committee on the Global Financial System says macroprudential policy needs as strong a mandate as monetary policy to work
Venezuela cracks down on “parallel” currency market
Venezuelan government stops trading in foreign government bonds in bid to stifle unofficial currency markets; plans for central bank to provide central platform
Trichet lays first stone at ECB’s new HQ
ECB president marks the start of building work at a ceremony in Frankfurt
Dubai World agrees restructuring terms
Government owned investment company agrees the terms of a $23.5 billion restructuring effort with creditors and state; markets welcome news
Former head of UK FSA backs new British supervisory structure
Howard Davies says new coalition government was right to keep banking supervision out of Threadneedle Street
Berlin hastily bans naked CDS, short-selling
Supervisor places temporary ban on naked credit default swaps, eurozone bond short sales, citing market volatility; analysts say uncoordinated move is further sign of fragmentation within eurozone
Inflation targets must account for financial stability: former FSA head
Ex-Bank of England deputy governor Howard Davies proposes more flexible inflation target that takes into account credit conditions
Italy amends laws on capital gains to ease sovereign debt pressure
New laws imposed on capital losses by the Bank of Italy signals continued fragility in European markets
Hungary’s Simor tells critical government to curb debt
National Bank of Hungary governor András Simor says high external and government debt levels must be corrected; central bank adds that growth cannot be financed through foreign borrowing anymore
Iceland seals deal to buy back Luxembourg-based króna bonds
Icelandic central bank agrees to buy nearly all outstanding bonds pledged by Landsbanki's Luxembourg subsidiary to secure funds from Luxembourg central bank
Market puzzled by Bafin ban
Traders incredulous as Bafin acts unilaterally to calm “extraordinary volatility”