A few days after announcing a loss for broking $ 2 billion, Jamie Dimon acknowledged his twist on a television program. Some experts believe it could keep his job. The U.S. bank, who wanted a model in terms of risk management, announced a loss of over $ 2 billion related to its trading activities.
"I was wrong all along the line." It is in these terms that Jamie Dimon, CEO of JP Morgan, returned to the brokerage loss of 2 billion dollars from his bank in the program "Meet the Press" on NBC. A mea culpa-style humiliation for the one who, when the first information output in the Wall Street Journal on the extent of paris risky, there had been "a tempest in a teacup".
The question is how Jamie Dimon is weakened. According to Erik Oja, an analyst at Standard & Poor's, his place as CEO is "absolutely not" in question. "He made amends, there was no attempt to hide the problem," he adds. However, according to the Wall Street Journal, Constable American markets (SEC) is studying the case for whether the bank should have known earlier losses to investors. It seems in any case that JP Morgan has lost much of its credibility.
Until this case, Jamie Dimon was one of the most admired bankers of the United States. He had helped his bank through the crisis without pitfalls and was accustomed to receive praise. Born in New York to a father and a grandfather brokers, Jamie Dimon, 56, began his career as Sandy Weill's right arm, which made the first U.S. bank Citigroup by acquisitions before crisis causes this giant on the brink of bankruptcy.
The two men fell out in 1998 and Jamie Dimon found himself abandoned by his mentor. This was followed by a journey through the desert before leaving for Chicago in 2000 to lead Bank One. In 2004, Jamie Dimon returned to Wall Street through the front door when JPMorgan acquired Bank One. It has become number two behind Bill Harrison until it retired in 2007. Prudent management has enabled JPMorgan to weather the worst financial crisis since the 30's also taking advantage of the defeat of some competitors. JPMorgan has purchased Bear Stearns on the cheap in 2007 and part of Washington Mutual last year becoming the first U.S. bank by assets at Bank of America.
Jaimie Dimon has used this particular well and its good image to combat the financial reform of 2010, which will come into force in July but was delayed. He who had been an ardent supporter of President Obama, but said today "it is hardly more democratic", has not lost an opportunity to rehearse in the media that more regulation would hurt U.S. banks. Cruel twist of fate, it is because of a risky strategy brokerage own derivatives, the kind of problems addressed specifically by the financial reform and its key measure, the rule of Volker, as the statue of Jamie Dimon wobbles .
The leader of PASOK, Evangelos Venizelos, announced Saturday its economic program a week early parliamentary elections in Greece, promising reforms on liberalization professions rather than tax increases.
The party of former Socialist Minister of Finance, who played a key role in the financial rescue of Greece by the EU and the IMF last year, is ahead in polls voting intentions by his conservative rival, New Democracy.
PASOK came to power in 2009 with nearly 44% of the votes, May 6 should get between 14 and 19% of the vote, voters blaming him for the harsh treatment of austerity imposed by the donor in exchange for their financial support.
Evangelos Venizelos took the reins of a party in February capilotade in succeeding former Prime Minister George Papandreou. At the time, PASOK enjoyed a popularity rating of just 8%.
The new leader pledged Saturday not to declare the general fall in wages and pensions as long as the country continues on the path of reform.
"No Greek citizen should live in fear of what will be done in June," has tried to reassure the Socialist leader, referring to the new crackdown announced for next month's parliamentary elections. "We pledge (on this point) and we assure you that no new tax will be imposed."
He added before a crowd of enthusiastic supporters: "On the contrary, we will focus on structural reforms in order to have a state smaller and less expensive, open market and professions ; s and to allow everyone free access to economic activities and production. "
Last week, the leader of New Democracy, Antonis Samaras, promised if he wins election to cut taxes and increase social spending while meeting commitments budget set by foreign donors.
New Democracy and PASOK are the only two major political parties to support the Greek bailout the nation's finances, which bends under the burden of debt.
China widened the fluctuation band of its currency. A measure to reassure the markets following the slowdown in growth, but also a real business strategy. Interview with Sebastien Barbe, senior economist at Credit Agricole-CIB. Doubling the maximum fluctuation of the yuan is a diplomatic act, with a real strategic significance …
China conducted today to double the ceiling of fluctuation of the yuan. Should we consider the measure as a real movement towards liberalization of the Chinese currency? What impact will the measure on the evolution of the currency? Our questions to Sebastien Barbe, senior economist at Credit Agricole-CIB.
As of today, the yuan is really undervalued, or does it happen, as claimed by Prime Minister Wen Jiabao, to its equilibrium level?
It is difficult to answer this question with certainty. We lack precise figures which we can really conclude. This is indeed some, however, is that the yuan is much undervalued than five years ago. China has actually taken steps since constant progressive revaluation of its currency. If during the subprime crisis the exchange rate with the dollar was frozen, the yuan has appreciated against many currencies of emerging countries over the period. It is better to resonate well in terms of real effective exchange rate.
Doubling the maximum fluctuation of the Chinese currency translate into a genuine process of internationalization? Does it not rather a symbolic approach?
In reality, these two aspects will play. But the increased ceiling remains above all a measure of scale. Eventually, the Chinese will be able to fluctuate even more their motto. This is a significant step towards liberalization of the yuan. If in the future the Chinese are more confident about international politics, they are probably glad to have introduced this measure. It is a reform that will eventually play and count. At the moment, it's more of an accompaniment of the process of internationalization of the yuan. The symbolic is seen in turn at different levels. A message of confidence, first, compared to the rate of growth. A willingness to reassure the markets, while China's growth tends to slow down. By extending the maximum fluctuation of the yuan, they take the chance to see their currency appreciate more, which would hurt exports and thus their international trade. It's a real soft landing that is looming for the Chinese. We can then analyze this decision as "an act of economic diplomacy" aimed at their trading partners. If China loose a little ground on the control of its currency, it will have greater legitimacy to demand a return to its partners, by being much more demanding. Specifically, it could expect from Europe, its largest importer, that it demonstrates a much better coordination. The measure is reflected, and will add weight to China in its trade relations.
While doubling the currency became effective today, the yuan was at the opening down to the dollar. How do we tend to expect in the future?
The assessment should continue, perhaps not spectacularly, at least as concerns about the European market will also remain strong. Europe is the largest importer of China, a major evaluation on the rise of the yuan should now be discounted. Within a year or two, things may have to evaluate more quickly. To give you a figure, we believe that the yuan could appreciate the full year from 2.5% to 3%. Even up to 4.5% in the event of Europe show signs of recovery. But to date, caution should remain the watchword.
Wall Street opened sharply higher Monday, the Federal Reserve chairman, Ben Bernanke, who hinted that the Fed will continue its accommodative monetary policy to support demand and help lower the unemployment rate.
In early trade, the Dow Jones took 0.80% (104 points) at 13,186 points. The Standard & Poor's, wider, gained 0.84% (11 points) at 1,408 points while the Nasdaq composite advanced 0.84% (26 points) to 3094 points.
Growth of the U.S. economy will have to accelerate job creation that do fall further unemployment, Ben Bernanke said Monday.
"An additional significant improvement in the unemployment rate will probably require a more rapid growth of production and demand from consumers and businesses, a process that can be supported by continued accommodative policies , "he said.
The dollar turned down against the euro after these statements. The single currency was trading at over $ 1.33.
Values, Lions Gate Entertainment gained almost 5% in early trade, after the flying start to his latest production, "The Hunger Games", which produced 214 million dollars in revenue for its first weekend of operation.
Investors monitor the numbers of the promises of housing sales (at 14:00 GMT), expected up 1% in February after rising 2% in January.
The S & P 500 fell 0.5% last week, a relatively modest decline but still the sharpest recorded over a week since late December.
The U.S. economy created 734,000 jobs in three months and over a million in five months. As a result, experts are beginning to revise their growth forecasts upwards.
Once again the United States are surprisingly dynamic. They experienced in the month of February a new massive hiring, confirming the scenario of a widespread economic recovery. The government says the country has indeed created 227,000 more jobs than it removed in February, which is higher than the net balance of 206,000 that gave the median forecast of analysts. The net job creation is well above 200,000 for the third consecutive month.
The hiring of January have not enough to lower unemployment, which remained at 8.3%, its lowest level for three years, according to official figures released Friday in Washington.
In theory, the strength of job creation should lead to lower unemployment. This has not occurred because the labor force increased as much (0.3% compared to January) that the number of employed persons, according to government figures.
However, unlike previous upturns, the number of hours worked across the Atlantic is recovering strongly. This number of hours has already recovered its pre-crisis level and will continue to climb, because the stock of workers who say they work part time for economic reasons will melt slowly. "The expert consensus expects U.S. growth between 2 and 2.5% for the next three years. However, the U.S. will probably a little better ", the experts conclude Deutsche Bank
. The Ministry figures show that in February, employment grew in all sectors except retail trade, construction and public service. In the latter, job losses, which are the norm for over a year , have slowed considerably since there were only 6,000 per month from December to February, against more than 20,000 from September to November. The employment report further states that the average hourly wage increased 0.1% from January to 23.31 dollars. On a year, says the Ministry, the increase in hourly wages was 1.9% which remains below its most recent measurement of the inflation (2.9% yoy in January)
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The tender rate to ten years back below 3%
France has raised a total of 9.479 billion euros, when issued to Treasury bonds (OATs) due 2017, 2019, 2022 and 2026, announced Monday the Agence France Trésor in a statement.
This is the third award in the long run of the year. On the line OAT 4.25% maturing October 25, 2017, tenders served primarily by the Treasury (ONC) totaled 233 million euros, bringing the total of the auction to 1.058 billion euros at weighted average rate of 1.91% against 2.42% in the last similar operation on 1 December.
On the line at 3.75% maturing October 25, 2019, the ONC totaled € 343 million bringing the total amount of ajdudication to 1.593 billion euros at weighted average rate of 2.48%. AFT does not provide a comparison on this line.
On the line at 3.00% maturing April 25, 2022, the ONC totaled 620 million euros, bringing the total of the tendering procedure to 4.535 billion euros at weighted average rate of 2.91% against 3.13% in the last similar operation on December 2.
On the line at 3.50% maturing April 25, 2026, the ONC totaled 292 million bringing the total of the auction to 2.293 billion euros at weighted average rate of 3.30% against 3.65 % in the comparable operation on 1 December. Regulation of these four lines will take place March 6.
London to Moscow resumed its unenviable title of European champion of the highest rents, according to ECA International. This study considers the homes of about 80 square meters in over 130 cities. It is widely used by corporations to calculate housing allowances to their expatriates. Globally, it is Tokyo that dominates the charts. Note that New York is only the 18th, moved up to the United States through San Francisco. Paris and in all this? Discover a place in pictures. 1/15
Previous Previous PauseSuivant 1. London: Euro 2565 Next Photo 2/15
Previous Previous PauseSuivant 2. Moscow: Euro 2540 Next Photo 3/15
Previous Previous PauseSuivant 3. Geneva: Euro 2155 Next Photo 4/15
Previous Previous PauseSuivant 4. Stockholm: Euro 1752 Next Photo 5/15
Previous Previous PauseSuivant 5. Zurich: Euro 1716 Next Photo 6/15
Previous Previous PauseSuivant 6. Paris: Euro 1700 Next Photo 7/15
Previous Previous PauseSuivant 7. Amsterdam: Euro 1670 Next Photo 8/15
Previous Previous PauseSuivant 8. Istanbul: Euro 1500 Next 9/15
Previous Previous PauseSuivant 9. Oslo: Euro 1480 Next Photo 10/15
Previous Previous PauseSuivant 10. The Hague: 1380 euros Next Photo 11/15
Previous Previous PauseSuivant 11. Rome Next Photo 12/15
Previous Previous PauseSuivant 12. Basel Next Photo 13/15
Previous Previous PauseSuivant 13. St. Petersburg Next Photo 14/15
Previous Previous PauseSuivant 14. Dublin Next Photo 15/15
Previous Previous PauseSuivant 15. Next Copenhagen
Wall Street ended on a note undecided Tuesday, a series of macroeconomic indicators worse than expected U.S. have led investors to pause after gains accumulated , s by the U.S. stock market since the beginning of the year. </ p> the Dow Jones Industrial 30 0.16% sold, 20 , 81 points, to 12,632.91. The S & P-500, wider, lost 0.60 points, or 0.05% to 1312.41. In contrast, the Nasdaq Composite was up on its side of 1.90 point (0.07%) to 2813.84. </ P> The S & P 500 index re ference of fund managers, is up 4.4% over the entire January, the Dow 3.4% and the Nasdaq Composite of 8%. Wall Street posting its best monthly performance since October. </ P> Shortly after the opening of the meeting, the 50-day moving average of the S & P 500 crossed ; rising moving average 200 days, a technical effect known as the "golden cross". </ p> The "golden cross" is usually perceived by investors as a buy signal which should push up prices for the next six months. </ p> Wall Street opened up, driven by European stock exchanges such as the hope of soon reaching an agreement between Athens and its private creditors on Greek debt and after the adoption of the new Treaty of fiscal discipline.</ P> But then Wall Street has suffered from the publication of results in mixed company and U.S. economic indicators worse than expected, which sow doubt on the strength of the recovery of the world's largest economy. </ p> The U.S. consumer confidence fell against all expectations in January, reflecting their growing concern about , a labor market at half-mast: the Conference Board index measuring consumer confidence fell to 61.1 in January, against 64.8 in December and 68.0 expected. </ p> < p> The index of purchasing managers in the Chicago area has also declined, falling to 60.2 from 62.2 in December, while analysts expected a lege ; re improvement to 63.0, said Tuesday the Institute for Supply Management-Chicago.</ P> The title Pfizer ended down 0.83% to 21.40 dollars after the pharmaceutical giant has reported a net profit down 50% in the fourth quarter. </ p> Action Exxon Mobil fell 2.04% to 83.74 dollars, the oil giant has certainly reached quarterly results better than expected but did not reach consensus in terms of production. </ p>
The rating agency Standard & Poor's warned Wednesday that the sovereign ratings of the euro zone could face additional pressures in the case of a recession in the next year, as feared, many of the 17 countries using the currency unique.
The director of the sovereign rating S & P agency that has already withdrawn the United States their highest grade "triple A" last summer, said it would be difficult to avoid a recession in many countries in the euro area in 2012 if the government bond yields remain high and if the banks continue to reduce their balance sheets.
The referendum is a bad idea that falls at the wrong time (…) because the market was hoping to see unity within the euro area, "Judge Lionel Garden, head of institutional sales at Assya Capital, for whom" post-rally seems definitely over the top. "
The announcement of a further slowdown in manufacturing activity in China and its potential effects on the global economy added to negative sentiment, while the bankruptcy of the broker MF Global, the first American victim of the major European crisis debt, disrupts the futures markets around the world.
In the trend, Wall Street is expected to open sharply lower.
The resurgence of risk aversion benefits primarily German government bonds (Bunds) which yields relax.
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