- Hedge Funds Expand Bets With Most Junk Since ’08: Credit Markets. Hedge funds have amassed the greatest share of the $1.2 trillion U.S. junk-bond market since the credit crisis, raising concern bets with borrowed cash will accelerate losses when the Federal Reserve stops printing record amounts of money. The funds, which typically use leverage to bolster returns, hold as much as 23 percent of outstanding dollar-denominated high-yield bonds, from as much as 18 percent last year and the highest since 2008, according to Barclays Plc. Credit hedge funds have boosted assets by 89 percent since 2008, outpacing the 66 percent growth of the junk market, data from Hedge Fund Research Inc. and Bank of America Merrill Lynch indexes show.
- European Stocks Drop. Burberry Group Plc (BRBY) retreated 1.2 percent as its chief executive officer told a newspaper that the slowdown in Chinese luxury-goods sales may continue. SAP AG lost 2.2 percent, contributing the most to a decline by a gauge of technology stocks, after a report that the German software maker has held talks with BlackBerry Ltd. Solvay SA (SOLB) climbed 1.2 percent after agreeing to buy U.S. chemicals maker Chemlogics Group LLC. The Stoxx Europe 600 Index slid 0.2 percent to 309.18 at the close in London, after earlier falling as much as 1 percent.
- New American Economy Leaves Behind World Consumer. The rising American economy isn’t lifting all boats -- and may even sink some. A healthier U.S. even could come at the expense of emerging markets if it turns into more of a competitor than consumer by boosting manufacturing.
- Egypt Violence Spreads as Security Forces Attacked. A shooting and separate explosion targeting Egyptian security forces left at least nine dead a day after 51 people were killed in police clashes with Islamists that fueled the turmoil threatening the nation’s political transition. Five soldiers and one officer were killed when gunmen opened fire on them near the Suez Canal city of Ismailiya, according to Moustafa Younes, a police officer in the province. Three policemen were killed in a blast outside a security installation in Southern Sinai, the Interior Ministry said. Mohamed Darwish, an officer at provincial security directorate, described it as a car bomb.
- Obamacare Seen Straining Clinics With Medicaid Expansion. 43 percent of doctors in California and a third nationwide won’t take new Medicaid patients. Low pay is one of the reasons. A shortage of Medicaid doctors will leave many newly insured seeking care in a two-tiered system in which they will have access to less experienced medical staff, longer travel times to find a doctor who accepts Medicaid, and be subject to appointment waiting times sometimes weeks longer than those with private coverage.
- Prospect of Long Shutdown Stokes Concern. Closure's Overall Sting Is Hard to Measure So Far, But Economists Say Debt-Ceiling Deadline Adds Pressure on Markets.
Zero Hedge:
Business Insider:
Reuters:
- U.S. venture funds raise $4.1 billion, down 18 percent. U.S. venture capital firms raised $4.1 billion last quarter, down almost 18 percent from the same period in 2012, according to data from the National Venture Capital Association and Thomson Reuters released on Monday.
- Frontier markets lure investors chasing yield. After a year of mediocre returns from emerging markets, many investors are searching for yield in so-called frontier markets in hopes that low prices and potential growth will outweigh the risks in little-developed lands.
- Bank loan book review 'risks eurozone recovery’. Economic recovery in the eurozone is being threatened by the planned review of the loan books of 130 of the biggest banks, a report says today.
- Burberry CEO Says China Slowdown More Than Temporary. Burberry CEO Angela Ahrendts says China slowdown in sales of luxury products may be more than just a "temporary accident" and may constitute a new market trend, according to an interview.
No comments:
Post a Comment