Latest news with #CitigroupInc.
Yahoo
8 hours ago
- Business
- Yahoo
Big Tech Drives Bullish Flows in US Stocks, Citi's Montagu Says
(Bloomberg) -- US technology heavyweights have attracted a flurry of bullish bets as optimism around the economic outlook overshadows trade concerns, according to Citigroup Inc. strategists. Long positions in the technology-heavy Nasdaq 100 increased by more than in the S&P 500 last week, the team led by Chris Montagu wrote in a note. Exposure has been mainly driven by new bullish bets, while short bets steadily declined across indexes, they said. 'Flow activity has been largely one-sided, driven by new risk flows for large caps,' the strategists said. 'While tariff policy issues remain a concern, investors have also been assessing the evolving macro backdrop.' US stocks have rebounded after President Donald Trump paused some tariffs in April. Tech stocks have outperformed against the backdrop of robust corporate earnings and a resilient economic outlook. The S&P 500 and the Nasdaq 100 are both now about 2% below their February record highs. A slate of Wall Street strategists including at Citi have raised their year-end targets for the S&P 500 in recent days, saying the worst shock from tariffs is likely over. New Grads Join Worst Entry-Level Job Market in Years The SEC Pinned Its Hack on a Few Hapless Day Traders. The Full Story Is Far More Troubling Cavs Owner Dan Gilbert Wants to Donate His Billions—and Walk Again What America's Pizza Economy Is Telling Us About the Real One America Cast Itself as the World's Moral Leader. Not Anymore ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
The Mainichi
a day ago
- Business
- The Mainichi
Editorial: Amid global warming threat, Japan's financial sector must help protect planet
Neglecting climate change initiatives to appease the U.S. administration of Donald Trump will create a breeding ground for future problems. Major financial institutions in Japan and the U.S. have successively withdrawn from the Net-Zero Banking Alliance (NZBA), an international framework aiming for decarbonization. Following the departure of U.S. banks including Citigroup Inc., Japan's three megabanks, including Sumitomo Mitsui Financial Group Inc., followed suit this spring. The NZBA is a system that encourages financial institutions to select their investment and lending targets based on whether they are contributing to decarbonization, thereby promoting the exit of businesses with a large environmental impact, such as coal-fired power generation. It is expected that the initiative will prove effective in pushing for the realization of a carbon-free society with the power of finance to influence corporate activities. The tide has changed, however, with the return of Trump, who has dismissed the climate crisis as "fake." Criticism within the ruling Republican Party has grown over financial institutions aligning themselves to restrict investments and loans for fossil fuel businesses. In some U.S. states, there have been moves to exclude NZBA member banks from transactions, on the grounds their stance contradicts the Trump administration's energy policy. U.S. banks that have left the NZBA are already actively investing and lending for fossil fuel projects. The Japanese megabanks have not provided reasons for their departure, but it is believed that they became wary of the risk of their business in the U.S. being disadvantaged under the scrutiny of the Trump administration. The banks stress that they will strengthen climate change measures, but by following the lead of American banks, they cannot evade being labeled deceptive. The NZBA was launched in 2021 at the proposal of Mark Carney, former governor of the Bank of England and current Prime Minister of Canada. Leading financial institutions worldwide signed up, pledging to collaborate on decarbonization, aiming for net-zero greenhouse gas emissions by 2050. European banks that place an emphasis on climate change measures and many in emerging and developing countries have not withdrawn. Within Japan, Sumitomo Mitsui Trust Group Inc. remains a member of the alliance. The target of keeping the average global rise in temperatures to no more than 1.5 degrees Celsius compared to pre-industrial levels as a measure against global warming is under threat. It is essential to make efforts to keep international cooperation on decarbonization from backpedaling. Megabanks operating globally bear a responsibility to act with the planet's interests in mind.
India.com
5 days ago
- Business
- India.com
Bad news for employees of this company as it plans to sack 3500 workers, not Narayana Murthy's Infosys, Ratan Tata's TCS, IBM, name is...
Narayana Murthy, Late Ratan Tata and Azim Premji- File image (Left to right) In a massive development for global business and demand loss, Citigroup Inc. has announced its plan to cut around 3,500 jobs at its technology centres in Shanghai and Dalian, China by early Q4 2025. It has also announced that the job cuts are being done aimed at its global effort to simplify operations and improve risk and data management. Here are all the details you need to know about the recent step by Citigroup. 'Citi continues to pursue the establishment of a wholly owned securities and futures company in China,' Marc Luet, banking head of Japan, Asia North and Australia, was quoted as saying by a report by the Economic Times. Citi's broader strategy The downsizing move reportedly comes after Citi's broader strategy to reduce its reliance on IT contractors. The group is reportedly aiming to strengthen internal IT capabilities after regulatory scrutiny over data governance. The Economic Times report also says that Citi will only have around 2,000 staff in China after the tech job cuts, including a few hundred at the tech unit. Chinese Vice Premier meets Chair of Citigroup In a recent development for the Citigroup, Chinese Vice Premier He Lifeng met with Chair of Citigroup John Dugan and CEO of Carlyle Group Harvey Schwartz separately in Beijing. The Chinese VP said that China's economy has continued its notable rebound, while high-quality development efforts are resulting in solid progress, demonstrating strong resilience and great vitality, as per a report carried by Reuters. The Chinese Vice Premier added that China will continue to expand its high-level opening up to the outside world, offering broad space for the long-term and stable development of multinational companies. Dugan said that Citigroup Inc. is willing to deepen its presence in the Chinese market and will further enhance investment cooperation with China. (With inputs from agencies)
Mint
15-05-2025
- Business
- Mint
Buffett's Berkshire Sat Out Market Drop, Trimmed Bank Stocks
Warren Buffett's Berkshire Hathaway Inc. made no major purchases during the market slump that preceded President Donald Trump's trade war, instead whittling or selling off holdings in financial stocks during the first quarter. In the last year of his tenure as Berkshire's chief executive officer, Buffett exited his position in Citigroup Inc., according to a regulatory filing Thursday. The firm also shrank its pile of Capital One Financial Corp. shares, as well as its longtime stake in Bank of America Corp. Buffett, 94, started cutting his BofA stake in July last year, without providing any explanation for the move. He now owns 8.3% of the US lender and is no longer its biggest shareholder, according to data compiled by Bloomberg. Buffett largely refrained from making large acquisitions in recent years, instead building a cash pile that reached nearly $350 billion by the end of March. At the conglomerate's annual meeting this month, the billionaire said the recent market downturn was 'really nothing,' pointing to times in Berkshire's history when his company's stock lost half of its value in short spans. Shares of Omaha, Nebraska-based Berkshire have gained more than 11% so far this year. In the meeting, Buffett said his firm had been 'pretty close' to spending $10 billion on a deal recently but eventually decided against it. Buffett added to his stake in Constellation Brands Inc., which now totals 6.6% — or some $2.2 billion — of the alcohol distributor. He also bought more Sirius XM Holdings Inc. and Occidental Petroleum Corp. shares in the first quarter. His stake in Apple Inc. remained untouched in the period and still represents the billionaire's portfolio's most valuable holding. Buffett plans to step down as chairman at year-end. He built Berkshire into a business valued at more than $1.1 trillion, with individuals as well as professionals closely watching and sometimes imitating his investment moves. With assistance from Erin Fuchs. This article was generated from an automated news agency feed without modifications to text.
Yahoo
14-05-2025
- Business
- Yahoo
Citi, JPMorgan See 2025's Laggards Turning Short-Term Winners
(Bloomberg) -- Two of Wall Street's major trading desks are making the same bold call on US stocks as trade tensions ease: Pile into this year's biggest losers for quick, short-term profits. As Coastline Erodes, One California City Considers 'Retreat Now' What's Behind the Rise in Serious Injuries on New York City's Streets? A New Central Park Amenity, Tailored to Its East Harlem Neighbors How Finland Is Harvesting Waste Heat From Data Centers Lawsuit Challenges Trump Administration Policy on Migrant Children Heads of equity trading at Citigroup Inc. and JPMorgan Chase & Co. say they're particularly bullish over the next few weeks on small caps, technology hardware and homebuilders, which have each lagged the broader S&P 500 Index during the most recent leg up. In the current environment, Stuart Kaiser, who runs Citigroup's desk as head of US equity trading strategy, also likes shares of companies with weaker finances, he said. With the broader US stock indexes already erasing their declines of the year, the firms now say the traders and other speculative buyers who missed out will be on the hunt for pockets of opportunity to play catch-up before the next bout of tariff-induced turbulence strikes again. 'There will be significant buying from systematic traders and discretionary investors who haven't captured as much of this rally as they would have liked,' Kaiser said. 'Now, they're under-positioned and have a lot money to use to buy some of these laggards.' With commodity trading advisers, or CTAs, slashing their exposure to equities in recent weeks, the run-up in the S&P 500 has cleared the path for many of them to return as buyers, he said. Traders closing out their bearish wagers in the Russell 2000 Index will also likely spur more gains for small caps in the coming weeks, he added. Andrew Tyler, head of global market intelligence for JPMorgan's trading desk, says it makes sense to buy — via derivatives — shares of hard-hit groups like retailers or consumer discretionary on the potential for a near-term short squeeze. That squeeze occurs when a stock's price rises sharply while traders have short positions, forcing them to buy back shares quickly to cut losses. 'Any short squeeze will likely push small- and mid-capitalization companies to outperform,' the JPMorgan team led by Tyler wrote in a Monday note. Short-Term Trend Long-term money managers still see risks in small caps and companies with the most fragile balance sheets given that interest rates remain elevated and economic growth has slowed. While broader markets rallied so far this week because of a reprieve in US-China trade tensions, some investors remain concerned about the possibility of more friction between the two countries down the road. 'We're still not out of the woods on tariffs so we wouldn't buy small caps or own the riskier parts of the market,' said Thomas Martin, senior portfolio manager at Globalt Investments. 'That may work for a short-term trade, but it doesn't work for those managing money for the next few years.' While small-caps were one of the biggest winners when Donald Trump won the elections — as investors expected his protectionist policies to boost the group — his other proposals, such as tough immigrant laws, can drive up labor costs and squeeze out businesses that derive most of their sales at home. Even so, the short-term trend is telling. Goldman Sachs' weak balance sheet index, which tracks the 50 most indebted companies, has outpaced the S&P 500 in seven of the past eight sessions — evidence that traders are veering toward cheaper stocks. Citi's Kaiser also suggests adding upside exposure to groups that had struggled since Trump first announced his aggressive tariffs on April 2, including tech hardware, consumer durables and those with weak balance sheets. To Dennis Debusschere, founder of 22V Research, there's such a large valuation gap between riskier, economically sensitive companies versus higher-quality names that it leaves more room for the former to rally in the short term. 'Given how onerous the China tariffs were for small caps, that group has the most near-term upside,' he wrote to clients in a Monday note. Cartoon Network's Last Gasp DeepSeek's 'Tech Madman' Founder Is Threatening US Dominance in AI Race Trump Has Already Ruined Christmas Why Obesity Drugs Are Getting Cheaper — and Also More Expensive The Recession Chatter Is Getting Louder. Watch These Metrics ©2025 Bloomberg L.P.
