This Monday edition of rising Japanese equities/weak yen is brought to you by Haruhiko Kuroda, president of the Asian Development Bank and according to various media reports, the likely nominee for Bank of Japan governor.
Kuroda reportedly said early this month he was quite happy at the ADB and had nearly four years to serve of his third term. But to that we say: Mark Carney! Read more
It’s Carney live. We know George Osborne is
frustrated excited. Mark Carney, the next Governor of the Bank of England and the man Osborne once called “quite simply the best, most experienced and most qualified person in the world to do the job”, is in front of the Treasury select committee.
Here’s the live feed:
BoE governor-to-be Mark Carney made a speech titled ‘Guidance’ last night. It was all about communications strategies, for both companies and central banks — a very interesting topic for students of monetary Jedi tactics.
Carney stressed at the beginning that his talk would be about guidance, and not containing guidance. Tee hee! However, he did drop the N-bomb and when a central bank governor talks in positive terms about a non-mainstream monetary policy framework, it’s… interesting. Read more
Canada’s central bank governer Mark Carney may have played hard to get with British chancellor George Osborne, but Ozzy was up for the challenge. Doubt this man’s resolve at your peril. Read more
We say old – he’s only 47. But what kind of “quality guvnor” (George Osborne’s words) will Mark Carney be at the Bank of England?
Well, one thing pops out from the Bank of Canada press release announcing Carney’s move across the Atlantic: “The Governor will remain Chair of the Financial Stability Board.” Emphasis ours. Read more
Rather unexpectedly, Mark Carney gets the job.
The race for Mervyn King’s job is hotting up — months before it’s even officially advertised — as rumours circulate that a second Goldmanite could be in the running.
The focus on Monday was on Jim O’Neill, chairman of Goldman Sachs’ asset management division, after a piece in The Sunday Times lauded his “unique qualifications” for the job. The paper added that the UK Treasury had approached O’Neill about the job several months ago, but did not cite sources. O’Neill has neither denied or commented on the story. Read more
Do not Forseke me, oh my darling, as Frankie Lane might have sung, had he been an Alliance Trust shareholder. That’ll be Karin Forseke, the new chairman, and next Friday is High Noon (GMT) as the outlaws from Laxey Partners renew their efforts to shoot their way into the Dundee citadel of Britain’s largest investment trust. Colin Kingsnorth and his gang have already spurred Alliance into a frenzy of activity, overturning the habit of several lifetimes and buying in shares for cancellation, but now the gang is demanding a “comprehensive review of the company”.
There is something to be said for this. Alliance has struggled to make its diversifications (including the excellent Alliance Trust Savings) into profit centres, and even if ATS finally does turn the corner, it will be years before it has any impact on Alliance’s net asset value, the measure by which investment trusts are judged. The suspicion remains that its moves away from managing the main fund are to give the executives under Katherine Garrett-Cox the prospect of growing the business. Read more
“Shadow banking” must be dragged into the harsh light of day and both it and global banks must be forced to serve the real economy, the new chief of the Financial Stability Board has warned. Mark Carney, who also serves as governor of the Bank of Canada, told the FT that bankers must stop trying to delay or water down the reforms so they can return to “business as usual”. He said shadow banking market-based sources of credit, which include corporate bond sales and direct lending by hedge funds, are now half the size of the traditional banking sector and growing still, even as many banks scale back their lending. Read more
The eurozone crisis is in danger of creating a global wave of instability by sucking liquidity out of financial markets worldwide, according to leading policymakers and financiers, the FT reports. Mark Carney, the new chairman of the Financial Stability Board, the international association of regulators, told an audience in London on Tuesday that the stresses in the eurozone were creating financial volatility around the world that would soon start dragging down global economic growth. “As global liquidity recedes, volatility is increasing and activity falling. The effect on the real economy will soon be felt,” said Mr Carney, who is also governor of the Bank of Canada. Mr Carney’s concerns that turbulence in eurozone credit markets would hit emerging market economies were echoed on Tuesday by Guido Mantega, Brazilian finance minister, and Stuart Gulliver, chief executive of HSBC, the international bank. Read more
Jamie Dimon of JPMorgan Chase launched a tirade at Mark Carney, Bank of Canada governor, in a closed-door meeting in front of more than two dozen bankers and finance officials, underscoring mounting tensions between bankers and officials over financial regulation, the FT says, citing several people at the meeting. The JPMorgan chief executive’s remarks to Mr Carney, who is touted as a potential next head of the Financial Stability Forum, the international group of regulators, were focused on a capital surcharge for the largest banks, according to several people who attended the meeting of about 30 bank chiefs. The JPMorgan chief executive’s remarks to Mr Carney, who is touted as a potential next head of the Financial Stability Forum, the international group of regulators, were focused on a capital surcharge for the largest banks. Read more