Chillin' out till it needs to be funded
Q1 expectations for banks include another flyer that deals are shutting down again even as S&P targets are upped to 1400 and Dow remained positive last week after a big neckline plunge mid week. JP Morgan has gone digital and also caught up in Asia Pac Deals even as Pru threatens to shut down its Headquarters in the UK ..but first, even as Euro ministers meet to approve the EUR 130 bln second tranche, Spain’s deficit and Italian recession have been reprioritised and plan to keep everyone busy the rest of the month, a nice piece on a small town muni debt overhang in Spain’s Peleas de Abajos on Reuters.
Nothing may likely come of it but the ongoing Pepsi shake up esp with the snacks and foods divisions ( Frito Lays and the healthy stuff) and a new President post created by incumbernt CEO Indra Nooyi could still be ppushed to the back burner for the rest of the management as Indra Nooyi herself gets listed by the Whitehouse as a close probable for the World Bank chief’s job given her Emerging markets background. Also seemingly Western journalism has lost sight of 100% media FDI in India and cut on sources as they revert back to stories of the magical and the mythical from India to replace all the hot deal stuff pouring out of India, while Zarda and Vanaspati caused a new kind of heartburn among Economists, IIP reporting 6.8% for the month
China burnt up a big hole in February data reporting a bigger jump in Imports than Exports, rusing China baiters as the Chinese get to the business of recovery and India hopes to follow. Other markets in Asia getting worked up as India and China got too much liquidity fdrom equities and the coming round of LTRO induced liquidities is likely to target other markets like Bangladesh, Vietnam and Indonesia as also the have beens in Malaysia, Thailand, Korea and Japan as Japan hopes for a return from the Asia excl Japan statistical gruping to more of its partners counting it as Asia and China’s new best friend. Of course, if you did not check the weekend ticker, ISDA has ruled that Greek CDS worth $3.2 bln will pay out
OF course, UBS and Credit Suisse are just following on to new Financial regulation and pressure on Swiss governments for disclosures on Swiss accounts, shifting offshore banking headquarters to Singapore and moving accounts there unhindered by new Swiss treaties, while Goldman Sachs would like to learn more about its losses in Asian investments, unlikely to be a regular feature, and meets in Mumbai for its annual board meeeting two weeks after the India budget. UBS earlier held its Board meeting to elect the new CEO in Singapore, the home of its investor GIC owned by the Government of Singapore
Robert Giuffra, not to be confused with likely #2 draft pick Robert Griffin, represents banks like UBS, BofA and Natixis ( and SocGen) that continue to accuse MBIA of having created a sham restructuring splitting its monoline insurance operations from its MBS allowing it to run away with MBS capital for other operations well into the crisis. The latest qaccusation suggesst CEO Joseph Brown bought stocks in millions before the February 2009 announcement
The MBIA Countrywide suit proceeds independently. Joseph Brown owns 4.3 mln shares of the bank and has not sold a single share since he returned as CEO in February 2008.(Dealbook.com)
The two indian “co-headed” Banks reported changes at the top. Josef Ackerman leaves in May and with him takes CRO, Hugo Banzuger and his IT man Herman Josef Lamberti as Colin Fan from the Emerging markets franchise and Rob Rankin as head of Asia Pacific take over the investment Banking unit as Head of Corporate Banking & Securities.
Citi CEO Vikram Pandit moved out of penury when he booked himself a $15 mln payout and the bank decided to say bye to Chairman Parsons and announce a new return of Cash program worth $2.92 bln for investors. Peter Tague was today announced as the new Global Head of M&A at the bank as others on Wall Street have reached bigger milestones in Fee income and even flailing Europeans have been able to grab the lead, far away from both Citi in M&A and Deutsche in its earlier domination of Asia debt till Mid 2011. Deutsche is no 8 in Debt origination this week and Citi, though no. 1in Equity Capital Markets this week, gets behind as Goldman Sachs and Credit Suisse run the $6 bln AIA deal in Asia Pac rankings
HSBC, JP Morgan and Gold man Sachs lead in Debt deals, carving out almost a 50% share. Asia Dealvolumes are expected to be higher to compensate for falling deal income in the UK and US