Investors hope authorities will ring-fence stress in the global banking system, while the cost of insuring against default nears dangerous levels
Sydney — Asian shares struggled on Monday while US and European stock futures edged higher on hopes authorities were working to ring-fence stress in the global banking system, even as the cost of insuring against default neared dangerous levels.
Japan’s Nikkei gained 0.4%, but South Korea lost 0.3%. MSCI’s broadest index of Asia-Pacific shares outside Japan also eased 0.3%, led by a 0.9% drop in Chinese blue chips. “The current level of credit default swaps for European banks is just a little lower than it was during the height of the European financial crisis in 2013,” Naeem Aslam, chief investment officer at Zaye Capital Markets, said.
Minneapolis Fed president Neel Kashkari said on Sunday officials were watching “very, very closely” to see if the banking stress led to a credit crunch that threatened to tip the economy into recession. Yields on two-year Treasuries have fallen an astonishing 102 basis points so far this month to stand at 3.77%, while the entire yields curve out to 30 years is below the 4.85% effective funds rate.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
More SA investors are turning to hedge funds amid global volatility | BusinessFear and uncertainty around the Covid-19 pandemic, Russia's invasion of Ukraine and higher inflation and interest rates globally have led to more South African investors including hedge funds in their portfolios, Old Mutual Multi-Managers says.
Read more »
THE FINANCE GHOST: Transaction Capital goes crash! Boom! Bang!Transaction Capital is the latest share to horrify investors, but, technically speaking, there were ways to play its market plunge, writes FinanceGhost.
Read more »
Time for the South to define and defend democracyAs authoritarianism spreads globally, it’s becoming urgent for Africa, Latin America and Asia to set their own standards for democratic governance — and implement them, writes LindiMazibuko.
Read more »
Time for the South to define and defend democracyAs authoritarianism spreads globally, it’s becoming urgent for Africa, Latin America and Asia to set their own standards for democratic governance — and implement them, writes LindiMazibuko.
Read more »
Spain Off To Flying Start Under New Coach | Soccer LadumaSpain got their 2024 European Championship qualifying campaign off to a flying start after defeating Norway 3-0, while Scott McTominay bagged a brace to get Scotland off to a winning start. SLInt MORE:
Read more »
New Spain coach starts with victory in EURO qualifiers | KickOffSpain started life under new coach Luis de La Fuente with a 3-0 victory over Norway in their opening 2024 European Championship qualifier. WRAP ▶️
Read more »