3 Comments By Michael Wursthorn and Michael Wursthorn The Wall Street Journal BiographyMichael Wursthorn @4BetterOrWurst Google+ [email protected] David Hodari David Hodari The Wall Street Journal BiographyDavid Hodari @davidhodari [email protected] Updated Oct. 2, 2018 2:14 p.m. ET The Dow Jones Industrial Average rose to a new intraday record Tuesday, while major indexes in other regions of the world struggled, a sign of investors’ growing divergence in expectations between growth in the U.S. and elsewhere. Shares of Boeing and Caterpillar, industrial manufacturers that have been sensitive to trade, led the Dow industrials higher, contributing to more than a quarter of the index’s gain on Tuesday. Monday’s revamped North American trade pact between the U.S., Canada and Mexico has spurred the latest leg of the Dow’s climb, which is on track to rise a fourth consecutive session. The Dow’s push to fresh records stands apart … [Read more...] about U.S. Stocks Climb as Uncertainty Weighs on Overseas Markets
U s bank wealth management
The country's share in treasury notes has dropped by more than 80 percent since March. For many years Russia has been one of the largest holders of U.S. Treasury bonds, but that seems to be no longer the case. Since March, Russia has significantlycut its holdings from $96.1 billion to $14.9 billion in May, which means it's no longer a leading investor in the U.S. government bonds, and it’s now well behind China, Chile and Kazakhstan. Russia's total investment in U.S. bonds has almost returned to mid-2007 levels ($14.7 billion). According to Elvira Nabiullina, head of Russia’s Central Bank, the sell-off came as part of efforts to diversify the country’s international reserve portfolio. “We have increased ourgold reserves almost 10 times in the past 10 years,” she said. “We are diversifying our currency portfolio … assessing all the risks, including financial, economic and geopolitical.” (link in Russian) Experts believe … [Read more...] about Why is Russia selling off its U.S. bonds?
For the second time this year, UBS Group AG’s investment bank is causing a headache for Chief Executive Officer Sergio Ermotti by outshining the business that investors really want to see do well.More volatile markets were a boon for Andrea Orcel’s traders at the investment bank, helping the business beat expectations. That contrasted with the bank’s key wealth management unit, which posted rare net new money outflows and slightly missed profit estimates. The unit saw large outflows in the Americas.Seven years after a sweeping revamp of the bank, whose tilt toward wealth management became a blueprint for rivals, Ermotti is overseeing one of the most stable lenders in Europe. But as the turnaround at peers gather speed, some investors have begun to ask whether UBS is doing enough to sustain its lead. That’s ramping up pressure to show better results from the merger of its wealth divisions into a super-unit that manages about $2.3 trillion.The net new money … [Read more...] about UBS Wealth Management Sees Outflows as Investment Bank Outshines
The U.S. demands follow a decision by the Organization of the Petroleum Exporting Countries last week to increase production. REUTERS U.S. oil prices rose to a three-and-a-half year high on Thursday, bolstered by supply concerns due to U.S. sanctions that could cause a large drop in crude exports from Iran. U.S. West Texas Intermediate (WTI) crude CLc1 futures rose 80 cents to $73.56 a barrel, a 1.1 percent gain, by 1:35 p.m. EDT (1735 GMT). It reached $74.03 earlier in the session, the highest since November 26, 2014, Reuters said. Brent crude LCOc1 futures fell 1 cent to $77.61 a barrel. Read also Ukraine's Supreme Court blocks gas production near Russian-occupied Crimea The United States this week demanded countries halt imports of Iranian oil from November, a hardline position the Trump administration hopes will cut off funding to Tehran. On Thursday, officials said they would work with countries on a case-by-case basis. China, the biggest importer of Iran’s oil, … [Read more...] about U.S. oil prices hit three-and-a-half-year high on concern over Iran sanctions – media
Tidjane Thiam is reaping the rewards of Credit Suisse Group AG’s pivot to wealth management after the bank attracted new assets at the fastest pace in seven years.Net new assets at the combined wealth management businesses were 14.4 billion francs in the first quarter, beating analyst estimates, with key contributions from the Asia-Pacific and international wealth management divisions. Profit at the latter rose 66 percent to 484 million francs, while overall both profit and revenue at the bank did better than expected.Thiam is entering the final stages of a three-year turnaround plan that included tapping shareholders for more than 10 billion francs of fresh capital and paring back investment banking. The bank has slashed expenses and cut thousands of jobs -- mostly at the trading operations in New York and London -- to reduce the reliance on volatile businesses. It’s also exited some operations, including private banking in the U.S.“We’ve now completed 9 … [Read more...] about Credit Suisse Reaps Wealth Management Rewards as Assets Soar