Hungary’s surprisingly strong bond auction underscores how sentiment in Europe has improved. (Europe)Even after its spat with the IMF and EU, Hungary successfully auctioned 57.5B forints ($263.8M) of government debt, and yields declined from previous auctions. 8 comments!
After a long and rather tense wait, the initial response to the publication of the European bank stress tests was always going to be something of an anti-climax. Indeed the results should hardly have comes as a surprise to anyone It is hardly breaking news to learn that a number of Spanish cajas will find themselves badly undercapitalised if the economic recovery – as surely might be expected – fails to materialise as planned. For the rest, the outcome is really a victory for politically correct: thinking. The situation, we learn, is slightly more serious than previously acknowleged, but we are a long way from seeing the imminent collapse of the European financial system. How could we be, when we have the friendly face of the ECB, always there ready to offer a helping hand.
The European Union (EU) bank stress tests failed to account for a sovereign default, meaning results show a healthier banking sector than actually exists.
The tests results were released Friday with seven banks failing, but analysts say many more institutions could have failed if the tests simulated a sovereign default. Testing regulators from the Committee of European Banking Supervisors (CEBS) decided against testing securities held in lenders' banking books, where sovereign debt is held and only written down in the case of default.
Dell settles with the SEC. Dell (DELL) agreed to pay $100M to settle accounting charges by the SEC, and CEO Michael DEll will pay $4M to settle disclosure-related allegations. Regulators had alleged that Dell improperly hid the effect of massive payment from Intel (INTC) earlier this decade that inflated earning and misled investors. Dell neither admitted nor denied wrongdoing.
Probe turns to two BP managers. Two BP (BP) managers have been named "parties of interest" in a federal probe of the Deepwater Horizon oil rig disaster, indicating they're potential targets of the investigation. Robert Kaluza, a BP employee overseeing operations on.....
The biggest financial news story out of the Europe this summer is getting very little play in the U.S. mainstream press. However, it has the potential to torpedo the European Union (EU), and has disastrous implications for borrowing costs worldwide.
Hungary is supposed to have about $30 billion in domestic liquidity for exchange, the equivalent of about five months of capital in its national account. But it won't be getting additional funds from the EU machine in Brussels, or the International Monetary Fund
GYOR, Hungary, July 20 /PRNewswire-USNewswire/ -- We have been meeting with the families of the victims. And they have repeatedly made clear to us from the time we arrived that we must make sure that what happened to their children (Dora Schwendtner, 16, and Szabolcs Prem, 20) – their only chi
Global free commuter newspaper publisher Metro International came back to quarterly EBIT profitability, after more than a year away, in Q2.
Its income, which comes from advertising, recovered in all its markets except France, where it has most readers, and in Netherlands and Hungary, while new Russian and Brazilian editions contributed fast growth.
EBIT turned from a €6.6 million loss last year in to a €2.7 million profit ($3.5 million) on six percent lower net revenue of €57.3 million ($74 million)
The publisher has reduced its quarterly online losses from €1.2 million to €751,000.
CEO Per Mikael Jensen told investment analysts: “Clever distribution is.....
Even Willy Wonka might struggle to use this much chocolate. Yesterday, somebody bought 241,000 tonnes of cocoa beans. The purchase was enough to move the entire global cocoa market, sending the price to the highest level since 1977, and triggering rumours and intrigue in the City.
It is unclear which person, or group of traders, was behind the deal, but it was the largest single cocoa trade for 14 years. The purchase was enough to move the entire global cocoa market, sending the price to the highest level since 1977, and triggering rumours and intrigue in the City......
Hungary's debt situation has the potential to become extremely ugly, again, now that the government said it won't push further austerity measures over the weekend. Politics killed fiscal responsibility. The current government has elections to deal with on October 3rd.
Hungary better be careful, else it push itself past the point of no return as shown by the pessimistic scenario below, from Morgan Stanley.
Gold eased in Asia on Monday after see-sawing most of the day as selling on low inflation signals gave way to safe-haven buying on concern over Hungary's debt crisis and a cut to Ireland's sovereign rating.
Remember the storm-in-a-teacup Hungary crisis (Hungary), back in June? Global markets all tumbled on fears about Hungarian austerity, of all things. It was all a bit weird for two reasons: firstly, the crisis was caused by remarks from a brand-new and wholly inexperienced incoming government, which had yet to find its legs or implement any policies at all. And secondly, Hungary is not a part of the eurozone, so there was no chance of a broader euro crisis resulting from what went on there: in the worst case scenario, the forint would simply weaken. The obvious conclusion was that markets were just looking for any excuse to plunge.
Gold steadied in Asia on Monday after early selling on low inflation signals gave way to fresh concerns over Hungary's ability to pay its debts prompted safe haven buying.
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My God man, you don't want people... to... to... doubt their banks do you??!!
ANARCHISTS SPOTTED!!!! ALARM! ALARM!!
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