Latest news with #regulators
Skift
13 hours ago
- Business
- Skift
United and JetBlue Partnership Wins DOT Approval
JetBlue found a new dance partner after its messy breakup with American – but this deal is deliberately limited to avoid antitrust headaches. A commercial partnership between United Airlines and JetBlue has been approved by regulators. On Tuesday morning, the carriers announced that they have completed the U.S. Department of Transportation (DOT) review of their planned collaboration and are able to proceed to the implementation phase. The approval follows the unveiling of the 'Blue Sky' col
Telegraph
2 days ago
- Business
- Telegraph
The $6tn bank tweak that risks triggering the next crisis
Bair's big fear is that the money won't end up being funnelled back into boring bonds at all, but end up lining shareholders' pockets or in more exotic investments. She says: 'Banks will likely find a way to distribute some of it to shareholders, or otherwise deploy it into their market operations which are riskier and more vulnerable to crisis conditions than insured banks.' Covid buffer Those who back removing Treasuries from the calculations highlight that it was done during the pandemic without much fanfare as banks ploughed more money into bonds. However, analysts at Morgan Stanley have highlighted that this was in part a function of a 21pc jump in bank deposits as workers had nowhere to spend their cash during lockdowns. It recently noted: 'The Covid-related surge in deposits means that 2020-21 is not comparable with today's environment, as deposit growth is tepid at 1pc year-on-year. Deposit growth, combined with loan demand, are key drivers of bank demand for securities as banks will prefer to use deposits to support client lending activity and build client relationships.' Bair says capital buffers were put there for a reason. 'If there should be a future crisis, regulators have the authority to provide emergency temporary relief. 'Reduce capital requirements now, they don't know how banks may deploy it. Better to maintain strong requirements in good times so capital cushions will be there when bad times hit.' Regulators are also keeping a close eye on this side of the Atlantic amid concerns we are moving towards a world where sovereign risk is completely removed from the leverage ratio. While the UK has already taken steps to remove central bank reserves from its calculations, officials here believe removing government bonds would be a step too far. Rogoff, now a Harvard professor, agrees that capital buffers have served their purpose during times of crisis. 'It is notable how well the banking system held up during the pandemic, and later from the sharp rise in global interest rates. It is precisely when the system hits peak stress moments – especially when the economy is hit by completely out of the box shocks – that the SLR suddenly does not seem quite so crazy,' he says. The rules tweaks may look benign, but bond sell-offs are often quick and violent. And it's usually the taxpayer left picking up the pieces.
Bloomberg
2 days ago
- Business
- Bloomberg
Tata Sons Expects Reprieve From Forced IPO Amid Regulator Review
Tata Sons Pvt., the closely-held holding company of India's salt-to-software conglomerate, is not making any preparations for a near-term share sale as it believes the country's regulators will extend a deadline to take itself public, said people familiar with the matter. Following engagement with officials, the company's leaders expect it will receive official communication from the Reserve Bank of India granting extension for an initial share sale amid a nationwide review of rules governing entities that are not public-facing and do not require public funds, said the people, who asked not to be named discussing information that's sensitive.
Yahoo
4 days ago
- Entertainment
- Yahoo
What to know about the Paramount-Skydance merger saga
Federal regulators approved Paramount's $8 billion merger with Skydance, clearing the way to close a deal that combined Hollywood glitz with political intrigue. Here's what to know. Solve the daily Crossword
Bloomberg
6 days ago
- Business
- Bloomberg
SoftBank-Backed InMobi Is Said to Aim for $1 Billion India IPO
InMobi Pte, a mobile advertising platform backed by SoftBank Group Corp., aims to raise as much as $1 billion in an initial public offering in India, according to people familiar with the matter. The company plans to hire arrangers for an IPO in Mumbai and file an initial draft prospectus with regulators this year, the people said, asking not to be identified because the discussions are private. InMobi could seek a valuation of $5 billion to $6 billion in a share offering, they said, adding that considerations are ongoing and no final decisions have been made.
