With all eyes focused on Washington, on a Friday evening, Morgan Stanley just revealed that 58-year-old Morgan Stanley CEO James "don't call me Jim" Gorman was paid $22.5 million. Despite a notable drop in earnings from expectations and a focus on cost-cutting, Gorman got a 7.1% pay rise (almost double that of Jamie Dimon). Analysts expected Morgan Stanley to earn $3.155 in 2016. By the end of 2016 the firm realized just $2.756... but thanks to Trump's election victory, the stock soared... As Bloomberg notes, Gorman received $1.5 million in salary as well as restricted stock units, Mark Lake, a company spokesman, said Friday. The restricted stock is valued at about $5 million based on Wednesday’s closing price. The New York-based firm will report other components of Gorman’s pay package in coming months. Gorman’s pay for 2015 was $21 million, down 6.7 percent from the prior year. He typically receives at least half of his compensation in the form of restricted shares. Some vest over time depending on the bank’s return on equity and stock performance relative to the S&P Financials Index, while the remainder vests over three years regardless of financial results. Part of his cash payouts also have been deferred over three years. The CEO in November made his first sale of Morgan Stanley stock since he joined the bank in 2006. He sold shares and exercised stock options for a net gain of about $10 million, regulatory filings show. Gorman's pay raise comes as the firm has shifted its focus toward wealth management with a $1 billion expense-reduction program, improving the wealth unit's profit margin and increasing shareholder capital return are key in its effort to improve return on equity.
How Trump Aims to Broadly Reshape Policy (WSJ) Trump Calls for Unity at Opening Concert as Inaugural Festivities Begin (NYT) Trump Takes the Reins of a Deeply Divided Nation (BBG) Washington braces for anti-Trump protests, New Yorkers march (Reuters) After the Parties, a Protest for the Ages (WSJ) Voter Anxiety That Fueled Trump’s Victory Turns to Hope (WSJ) Pageantry, protests to mark the start of Trump's presidency (Reuters) For stock performance under Trump, don't look to prior transitions (Reuters) Bullion Bulls Have History on Their Side as Trump Takes Helm (BBG) Yellen Backs Gradual Rate Rises as Fed Not Behind the Curve (BBG) Doing Business With Putin (BBG) Floor Caving In on Europe Real Estate Stocks Bashed by Rates (BBG) Republican Governors Balk as Congress Races to End Obamacare (BBG) Telecommunications company Avaya files for bankruptcy (Reuters) Finland Prepares for ‘Manifold Warfare’ as Russia Feeds Paranoia (BBG) Samsung Blames Battery Size for Galaxy Note Fires (WSJ) There's an Unexplained $9 Billion Gap in India's Cash Supply (BBG) Turkey can no longer insist on Syria settlement without Assad: Turkish deputy PM (Reuters) Islamic State destroys famous monument in Syria's Palmyra: antiquities chief (Reuters) GE Meets Profit Estimates on Gains in Power, Aviation Units (BBG) P&G profit and sales beat Wall Street estimates (Reuters) U.K. Retail-Sales Slump Hints at Cracks in Britain’s Brexit Boom (BBG) U.S. Oil Producers Ramp Up Spending (WSJ) Robot Crop Pickers Limit Loss of U.S. Farm Workers to Trump Wall (BBG) Companies’ Job Pledges: Analyzing the Numbers (WSJ) Lloyd’s of London Seeks Europe Base as May Backs Hard Brexit (BBG) Overnight Media Digest WSJ - Joaquin "El Chapo" Guzman, the drug lord who staged two spectacular escapes from maximum-security prisons in Mexico, has arrived in New York to face trial, U.S. officials said Thursday. http://on.wsj.com/2jeuWLl - A $1 billion financing deal with Chinese firms Shanghai Film Group Corp and Huahua Media promises Viacom Inc's struggling Paramount Pictures some much-needed funds and a foothold in the world's second-largest box-office market. http://on.wsj.com/2jeBNV7 - A Chinese consortium led by China Oceanwide Holdings Group Co reached a deal to buy International Data Group Inc, the data and marketing company that also runs venture-capital firm IDG Ventures. http://on.wsj.com/2jevNMa - China's flagship state-owned chip maker Tsinghua Unigroup said it plans to build a $30 billion memory-chip factory in Nanjing, its latest investment as China moves to diminish its dependence on U.S. chip manufacturers. http://on.wsj.com/2jeE7LL - U.S. regulators closed a probe of a fatal crash involving a Tesla Motors Inc car driving itself, concluding the Silicon Valley auto maker's semi-automated technology didn't contain a safety defect. http://on.wsj.com/2jeEpSQ - JPMorgan Chase & Co Chief Executive Jamie Dimon will receive $28 million in total compensation for 2016, up 3.7 percent - or $1 million - from 2015, according to a Thursday securities filing. http://on.wsj.com/2jezEsp - South Korea's Hyundai Merchant Marine Co Ltd said it will buy a fifth of the company that runs the biggest container terminal at Long Beach, Calif., the U.S.'s second-largest port. http://on.wsj.com/2jeCGNr - Uber Technologies Inc agreed Thursday to pay $20 million to resolve Federal Trade Commission allegations that it misled drivers about potential earnings and vehicle financing. http://on.wsj.com/2jev9Oy FT * President-elect Donald Trump said on Thursday that National Football League team owner Woody Johnson was "going to St. James," indicating he would assume the plum diplomatic post of U.S. ambassador to the United Kingdom. * Miner BHP Billiton Ltd,, its partner Vale SA and their jointly owned Samarco unit have agreed with Brazilian prosecutors on a June 30 deadline to settle billions of dollars in compensation claims stemming from an iron ore mine disaster in 2015. * Britain's biggest house builder Barratt said on Thursday its Chief Finance Officer Neil Cooper had left the firm by mutual agreement just over a year after he joined. * Sinn Fein's Martin McGuinness, a key figure throughout five decades of conflict and peace in Northern Ireland, said on Thursday he was bowing out of politics and would not lead his nationalist party into elections in March. NYT - Joaquín Guzmán Loera, the notorious drug lord known as El Chapo, was extradited to the United States on Thursday night. nyti.ms/2iQWtBH - American law enforcement and intelligence agencies are examining intercepted communications and financial transactions as part of a broad investigation into possible links between Russian officials and associates of President-elect Donald Trump, including his former campaign chairman Paul Manafort. nyti.ms/2juYk0Q - Donald Trump arrived in Washington the day before his inauguration as the nation's 45th president in a swirl of cinematic pageantry but facing serious questions about whether his chaotic transition has left critical parts of the government dangerously short-handed. nyti.ms/2iI6ZQt - President-elect Donald Trump on Thursday chose Woody Johnson, the owner of the New York Jets football franchise, as his ambassador to Britain. nyti.ms/2iQShBQ - Federal auto-safety regulators said their investigation of the Tesla Motor's car found no defects in the system that caused a fatal accident eight months back and said Tesla's Autopilot-enabled vehicles did not need to be recalled. nyti.ms/2juVA3J - The political standoff in Gambia intensified on Thursday as foreign troops crossed the border with orders to dislodge a repressive leader who has refused to step down after losing a presidential election last month. nyti.ms/2jFtyoh Canada THE GLOBE AND MAIL ** The incoming Trump administration is ruling out an across-the-board border tax as it prepares a sweeping new trade agenda that includes renegotiating the North American free-trade agreement with Canada and Mexico. https://tgam.ca/2j11Gdg ** Ottawa will consider adopting national guidelines for prescription heroin and other unconventional therapies to treat severe opioid addiction, looking to guidelines being developed by doctors in British Columbia, where such treatments are already available on a small scale. https://tgam.ca/2j12jUs ** As an executive at Loblaw Companies Ltd, Sarah Davis helped steer the company through some of its toughest times. Now she is being rewarded with a promotion to president of Canada's largest grocer and drugstore retailer. https://tgam.ca/2j0Z67a NATIONAL POST ** Starwood Capital Group is paying $2.85 billion to buy Milestone Real Estate Investment Trust, a TSX-listed company that focuses solely on U.S. residential properties. In the process, Canadian investors are losing one of the TSX's most significant direct plays on the U.S. real estate market. http://bit.ly/2j12D5C ** Canadian Pacific Railway Ltd may be losing its legendary CEO to a competitor, but investors shrugged off the development Thursday, sending shares up as much as 4.2 per cent in morning trading. http://bit.ly/2j1b5BJ ** Alberta Premier Rachel Notley shuffled her cabinet Thursday to carve out a new Children's Services ministry, citing ongoing problems keeping kids safe in government care. http://bit.ly/2j0Xdrc Britain The Times Ofgem warns Big Six firms against raising energy prices Ofgem has issued a warning shot to the Big Six suppliers against raising prices, saying there was no "obvious reason" for them to increase standard tariffs. http://bit.ly/2jEWEUK The Guardian Rolls-Royce lobbied ministers to weaken anti-bribery proposals Rolls-Royce Holdings Plc, which this week agreed to pay 671 million pounds in penalties after admitting it had engaged in corruption, lobbied ministers to weaken proposed curbs on bribery a decade ago. http://bit.ly/2k6183s Goldman Sachs stalls plan to move jobs to UK amid Brexit uncertainty Goldman Sachs Group Inc has suspended plans to move key operations from the United States to London because of the uncertainty created by the vote to leave the EU. The Wall Street firm - in the midst of building a new 350 million pound London headquarters - had been preparing to shift more of its global operations and IT activities from New York, but now appears to have embarked on a hiring freeze. http://bit.ly/2ju22HT The Telegraph Barratt's chief financial officer leaves the company after just 15 months Barratt Developments Plc's chief financial officer is to leave the business a week after the house builder reported a sharp drop in the number of homes it built in London last year. Neil Cooper joined Barratt just 14 months ago, in November 2015, but has now left by mutual consent. Chief Executive David Thomas will stand in for Cooper until a successor can be found. http://bit.ly/2iPWNRe Glaxo's pharmaceuticals boss walks away as new chief prepares to take the helm One of GlaxoSmithKline Plc's most senior directors is leaving the company as incoming boss Emma Walmsley moves to refresh her team. Abbas Hussain, who has run Glaxo's sprawling pharmaceuticals division since 2008, has agreed to leave the FTSE 100 drugs giant later this year. http://bit.ly/2jEXEYN Sky News Southern railways to suffer more strike action Passengers on the Southern railway network face more delays next week after drivers and guards in the RMT union decided to press ahead with further strikes. The RMT said its members would be taking action because it has been excluded from talks between ASLEF and the company. http://bit.ly/2iOM21r Metro Bank creates 500 jobs in branch expansion Metro Bank Plc has announced plans to create 500 new jobs as it continues to expand its interests beyond London and the South East. The loss-making challenger bank, which first hit high streets a little over six years ago as major lenders juggled the damaging fallout from the financial crisis, said the new roles included customer-facing and head office positions. http://bit.ly/2jDoq3H
JPMorgan Chase & Co., крупнейший в США банк по объему активов, увеличил вознаграждение своего председателя совета директоров и главного исполнительного директора Джейми Даймона по итогам 2016 года на $1 млн - до $28 млн, говорится в сообщении банка.
В 2012 году Марио Драги дал свое знаменитое обещание «любой ценой» предотвратить распад Еврозоны, что, естественно, позволило европейским политикам отбросить все мысли о проведении необходимых структурных реформ, переложив всю ответственность на ЕЦБ. Однако игнорирование проблемы редко способствует ее решению, и вчера в Давосе это подтвердил глава JPMorgan Джейми Даймон. По его словам он наде читать далее…
Moments ago JPM released an 8-K which revealed Jamie Dimon's total compensation for the year. The answer: $28 million, up from the $27 million he was paid in 2015. Which, since Jamie Dimon is already a billionaire, will hardly make an impact on his bottom line. JPMorgan Chase & Co. (the “Firm”) announced that the independent members of the Board of Directors (the “Board”) approved Mr. James Dimon’s total compensation for 2016, in the amount of $28,000,000, compared to last year’s total compensation of $27,000,000. Mr. Dimon’s total compensation includes an annual base salary of $1,500,000 and performance-based variable incentive compensation of $26,500,000. $5,000,000 of the variable incentive compensation will be delivered in cash and the remaining $21,500,000 will be delivered in the form of Performance Share Units ("PSUs"). Both base salary and cash incentive remain unchanged from last year. The key features of Mr. Dimon's 2016 PSU award, including financial metric, performance goals, payout levels, vesting and hold requirements, also remain unchanged from the PSU award granted last year. How did the board make its decision? In determining Mr. Dimon's compensation, the independent members of the Board took into account the Firm's strong performance, in 2016 and through the cycle, across four broad categories: Business Results, Risk & Control, Customer & Clients, and People Management & Leadership. We continue to invest in our future, strengthen our risk and control environment and reinforce the importance of our culture and values. We gained market share in nearly all of our businesses, demonstrated strong expense discipline, continued to achieve high customer satisfaction scores, and maintained a fortress balance sheet. Under Mr. Dimon's stewardship, the Firm earned record net income of $24.7 billion, or $6.19 per share in 2016, achieved a strong return on tangible common equity ("ROTCE")1 of 13%, and returned capital to shareholders of $15.0 billion (including common dividends and net share repurchases), while delivering sustained shareholder value over an extended period of time. And that's why Jamie Dimon is richer than you.
Инвестбанкиры, собравшиеся в Давосе уверены, что новая администрация Дональда Трампа ослабит законодательные ограничения для финансистов.
After yesterday's speech by Janet Yellen which signaled a path of steady interest rate increases and was perceived as hawkish, the dollar rebounded, Asian shares slipped and government bond yields jumped to multi-week highs on Thursday. European, Asian stocks and US equity futures all decline together with commodity metals while oil rises on the API reported drop in crude inventories. The euro rebounded as investors look to Mario Draghi to address quickening inflation that make his stimulative policies look increasingly out of sync, even if the market is confident the ECB won't make any changes to its policy today. That said the ECB may struggle to downplay the recent spike in Eurozone inflation. Top news stories include Netflix reporting its biggest quarter ever, Credit Suisse resolving U.S. mortgage probe, France’s Safran buying Zodiac in $10 billion aviation deal. In markets, the main focus for the past 24 hours has been once again on the fairly large moves across rates and FX, albeit moves which largely ended up being a reversal of the previous day’s price action. 10y Treasury yields closed a shade over 10bps higher yesterday at 2.430% while the USD index rebounded +0.60% and finished higher for the first time in over a week. Those moves were given a late boost by comments from Fed Chair Yellen who said that “it is fair to say the economy is near maximum employment and inflation is moving toward our goal”. She also said that while “it makes sense to gradually reduce the level of monetary policy support” the actual timing of the next Fed rate hike “will depend on how the economy actually evolves over coming months”. So a fairly straight bat approach. As a result, the dollar gained almost one percent from Thursday's lows against a basket of currencies, yields climbed in Europe, catching up with Treasuries which sold off yesterday after Fed chair Janet Yellen said the American economy is strong enough to warrant higher interest rates, bringing the ECB’s quantitative easing into sharper relief as policymakers led by Draghi meet today. Stocks fell, led lower by real estate after an indicator of U.K. house prices fell for the first time in five months in December as values slumped in London. Yellen's hawkishness appeared to be wearing off on Thursday, though, as investors, looking for further details on Trump's plans to boost growth, remained cautious before the President-elect's inauguration on Friday. As a reminder, Yellen will speak again later on Thursday, after European markets close, about the economic outlook and monetary policy. The ECB is set to meet as the euro recovered some of the ground it lost overnight, but with no policy changes expected. However, hints of disagreements among the region's monetary guardians could ruffle markets. European stocks opened a tad higher with some big moves in single stocks, as Zodiac Aerospace surged following a takeover offer, and Moneysupermarket.com jumped after it reported strong results. Asian shares edged down 0.2 percent, knocked back by the dollar. Bucking the trend of weaker Asian shares, Japan's Nikkei stock index ended up 0.9 percent, helped by weaker yen. "Of all the speakers we're getting, either from Davos or from less ostentatious spots, the one I'm going to listen to most for now will probably still be Janet Yellen," Societe Generale's currency strategist Kit Juckes said cited by Reuters. "As the U.S. economy approaches full employment, as wages rise but inflation rises nearly as quickly, how hawkish the Fed dares to be will determine how much the dollar rises." Euro zone government bonds were still moving in the slipstream of Yellen's speech with benchmark German bond yields spiking to one-month highs after U.S. equivalents rose to their highest since Jan. 9. Yields on 10-year German bunds jumped 3 basis points to 0.38 percent by 9:40 a.m. in London. Treasury yields were steady at 2.43 percent. As Reuters adds, and as we previewed overnight, earlier in Asia, short-term funding costs in China shot to their highest in nearly 10 years on fears that liquidity was tightening heading into the Lunar New Year holidays at the end of this month. "The market is typically short of liquidity ahead of the Lunar New Year," said Gu Weiyong, chief investment officer at bond-focused hedge fund Ucom Investment Co, adding that a cash injection by the central bank was insufficient. Crude oil prices regained some ground lost in the previous session when the dollar strengthened as investors turned their attention to upcoming government data on U.S. inventories. A stronger dollar makes dollar-denominated commodities more expensive for those holding other currencies. U.S. crude added 0.8 percent to $51.50 per barrel, after shedding 2.67% on Wednesday. Brent crude rose 0.7 percent to $54.32 after slipping 2.79%. Market Snapshot S&P 500 futures down 0.2% to 2263 Stoxx 600 down 0.3% to 362 FTSE 100 down 0.6% to 7206 DAX down 0.1% to 11585 German 10Yr yield up 2bps to 0.38% Italian 10Yr yield up 3bps to 1.99% Spanish 10Yr yield up 3bps to 1.48% S&P GSCI Index up 0.2% to 395.9 MSCI Asia Pacific down 0.2% to 140 Nikkei 225 up 0.9% to 19072 Hang Seng down 0.2% to 23050 Shanghai Composite down 0.4% to 3101 S&P/ASX 200 up 0.2% to 5692 US 10-yr yield down less than 1bp to 2.42% Dollar Index up 0.18% to 101.11 WTI Crude futures up 0.6% to $51.40 Brent Futures up 0.7% to $54.28 Gold spot down less than 0.1% to $1,204 Silver spot down 0.5% to $16.98 Top Global News Netflix Soars, Esquire Goes Dark as More TV Viewers Move Online: Online video leader beats projections in U.S., foreign markets Credit Suisse Resolves U.S. Mortgage Probe for $5.3 Billion: Bank to pay $2.5 billion fine, $2.8 billion in consumer relief Safran to Buy Zodiac for $10 Billion in All-French Aviation Deal: Struggling seat supplier accepts bid from aero-engine maker Goldman Says Aluminum Poised for Big Gains If China Widens Cuts: China seen widening capacity cuts to aluminum from steel, coal Kremlin Said to Fear Trump Won’t Be a Great Deal After All: Top officials fret furor in U.S. over hacking could hurt thaw Russia Weighs FX Purchases as Strong Ruble Hits Exporters: Russia considers how to cut volatility of real exchange rate Vegemite Heads Back to Australia in $345 Million Bega Deal: Bega Cheese to acquire global trademark rights for Vegemite CSX Jumps on Report Hilal, CP Rail’s Harrison Targeting Company: WSJ reports, citing unidentified people familiar Oclaro Jumps 5.5% After 2Q Preliminary Revenue Tops Estimate Plexus Drops 2.6% Post-Mkt; Sees 2Q Revenue Below Estimates Canadian Pacific Railway 4Q Adj. EPS Misses Est. Looking at regional markets, Asia stocks traded mixed following a similar lacklustre lead from Wall St, although exporters in Japan have been buoyed by a weaker JPY. This saw the Nikkei 225 (+0.9%) outperform with the power sector underpinned by TEPCO plans to resume bond issuances for the 1st time since the 2011 Fukushima disaster, while there were also reports that the nuclear regulator passed safety screenings for 2 Kyushu reactors. Elsewhere, ASX 200 (+0.2%) was marginally positive with healthcare outperforming after CSL upgraded its FY net guidance, while Hang Seng (-0.5%) and Shanghai Comp. (-0.4%) had been dampened following a reduced liquidity operation by the PBoC. Finally, 10yr JGBs saw spill-over selling to track T-notes lower amid heightened risk appetite for Japanese stocks, while a discouraging 5yr auction also pressured in which b/c fell from prior and lowest accepted price missed the consensus. Top Asia News Takata Bidders Said to Favor Japan Bankruptcy; Shares Tumble: Takata says no decision has been made on turnaround plan Asia’s Worst EM Currency Seen Most Resilient in 2017 Survey: Philippine peso is forecast to be the most resilient to external risks this year Toshiba Drops 16 Percent on Reported Writedown Losses: the writedown may exceed 700 billion yen, Kyodo reports Indonesia, Malaysia Hold Rates as Fed Fuels Currency Weakness: Most economists predicted decision by the two central banks China Signals It May Aim Lower on Cleaner-Burning Fuel Target: Natural gas share in total energy mix will be 8.3% to 10% European equities (Euro Stoxx 50: -0.2%) trade modestly in the red after a choppy start to the session. Earnings are beginning to come into focus, with Royal Mail (-5.2%) the notable laggard in the FTSE 100, with the Co.'s shares at 11 month lows. Similarly, Carrefour (1.3%) are among the worst performers in the CAC in the wake of their pre market earnings. Elsewhere, on a sector specific basis, commodities dictate play with materials seeing upside this morning, while energy names weigh on European indices. Fixed income markets have seen pressure throughout the morning, with Bunds back below the 163 level in tandem with some of the softness seen in T-Notes in the wake of comments from Fed's Yellen yesterday, who suggested she sees a few hikes a year as the economy continues to recover. Elsewhere, ahead of today's ECB rate decision and press conference, source reports have emerged that the ECB lacks a deal on how to buy bonds below deposit rate but will do so despite the lack of a deal. Top European News ECB Said to Lack Agreement on How to Buy Debt Below Deposit Rate: Hold-up linked to complexity of $2.4 trillion QE program Goldman May Cut London Staff by 50% on Brexit, Handelsblatt Says: Firm says no decision has been made, doesn’t recognize figures U.K. House Price Gauge Declines for First Time in Five Months: Home prices in London decrease for 10th consecutive month May Says U.K. Must Accept the Road Ahead Will Be Uncertain In currencies, much of the FX price action from Fed chair Yellen's comments late yesterday played out through NY and Asia, while London tried to push USD/JPY towards 115.00, though sellers here have contained the move for now. The limited pullback shows intent on retesting these levels and higher, with higher UST yields recovering well as 'skew' moves to the right of the 2-3 rate hike expectation range for this year. Headwinds for EUR/USD though as the market remains wary of any taper talk at today's ECB meeting. Sellers above 1.0700 will be a little unnerved by the lack of follow through on the downside, as we held off 1.0600 before the latest modest recovery, but this may all change past the press conference later today. The post Brexit speech analysis continues to pull Cable either side of 1.2300 in the meantime, but widespread reports of investment banks transferring some of their operations over to the continent have added some weight, helping to contain the short squeeze in the low 1.2400's. EUR/GBP is now also in consolidation mode, trading the .8600-.8700 range over the last 24 hours. In commodities, oil prices have have staged a modest rebound with no major catalyst seen other than longs perhaps unnerved by the US inauguration ahead. The API report suggested an inventory drawdown, but to little effect, offset by a surge in gasoline stocks, as such WTI maintains a USD51.00 handle. Gold has taken a hit after the USD rallied on Fed Chair Yellen's comments late yesterday alluding to a steeper rate path as she highlighted the dangers of allowing the economy to overheat. Silver is down 1.5% this morning. This does not seem to have done the rest of the commodity complex much harm (the USD rise), with copper more or less flat on the day. Looking at the day ahead, this morning in Europe there’s little in the way of data which instead clears the path to the aforementioned ECB policy meeting outcome at 7.45am ETwith Draghi due at 8.30am ET. Over in the US the data consists of December housing starts and building permits numbers, initial jobless claims and the Philly Fed business outlook. In addition to the data, the corporate reporting calendar today consists of American Express, IBM and Schlumberger, all after the close. Away from that, keep one eye on the apparent press briefing from Trump’s team at 2.15pm GMT. Finally after the US close Fed Chair Yellen will speak again, this time on Thursday evening (8pm) when she speaks to the Stanford Institute for Economic Policy Research. Any reaction to that will come during the Asia session. US Event Calendar 8:30am: Housing starts, Dec., est. 1.188m (prior 1.090m) 8:30am: Building permits, Dec., est. 1.225m (prior 1.201m) 8:30am: Initial jobless claims, Jan. 14, est. 252k (prior 247k) Continuing claims, est. 2.075m (prior 2.087m) 8:30am: Philadelphia Fed Business Outlook, Jan., est. 15.3 (prior 21.5) 9:45am: Bloomberg Consumer Comfort, Jan. 15 (prior 45.1) 10am: Freddie Mac mortgage rates 10:30am: EIA natural-gas storage change 11am: DOE Energy Inventories 8pm: Fed’s Yellen Speaks at Stanford US Government events President-elect Donald Trump inaugural festivities begin 9:30am: Senate Energy and Natural Resources Cmte hearing on nomination of Rick Perry for Energy secretary 10am: Senate Finance Cmte hearing on nomination of Steven Mnuchin for Treasury secretary 1pm: Sen. Patty Murray, top Democrat on Senate Health Cmte, joins Democratic Sens. Debbie Stabenow of Mich. and Elizabeth Warren of Mass. to discuss “who would be hurt” by Obamacare repeal DB's Jim Reid concludes the overnight wrap Today is ECB day and with that it means another Draghi press conference at 1.30pm GMT. Given the big tapering story at the last meeting in December, it’s hard to see this one as being quite as exciting. In terms of the message, our economists are expecting patience to be the key theme today. They don’t think that the ECB will feel challenged by recent strong data but if the current data trends continue, the outright taper decision could accelerate to June rather than September – although the latter remains their baseline for now. The key on this front is whether inflation, especially core, is becoming more likely to exceed ECB forecasts. Yesterday we got confirmation that headline inflation rose to +1.1% yoy in December and +0.9% yoy at the core. Headline CPI could rise to +1.6% yoy and +1.8% yoy in January and February, respectively, according to our colleagues, although the earliest that the core will satisfy the minimum conditions for tightening is likely mid-year. That said the ECB won’t be afraid to change plans if necessary but today seems far too early but we’ll see what Draghi has to say later. Interestingly, Draghi’s press conference coincides with another press briefing from the Trump camp at 2.15pm GMT. That said it appears that it won’t actually feature the President-elect himself and will instead be left to his team to brief the media so it remains to be seen how market moving this will actually be. At this stage there are no details about what is to be discussed but it’s possible that some questions are directed at the recent confusion over both the border tax and about the incoming administrations' views on the dollar. Yesterday’s comments out of the Davos shindig and in particular from commerce secretary nominee, Wilbur Ross, may have also added some spice to proceedings. Ross directed some tough talking at China, saying that the nation is the “the most protectionist country” amongst the large nations. He also said that “they talk much more about free trade than they actually practice” and “we would like to levelize that playing field and bring the realities a bit closer to the rhetoric”. Away from China Ross also said that the NAFTA discussion will happen very soon after Friday’s inauguration while also pitching that his “number one objective will be expanding our exports”. So it’ll be interesting to see if any of this gets brought up too. Over in markets the main focus for the past 24 hours has been once again on the fairly large moves across rates and FX, albeit moves which largely ended up being a reversal of the previous day’s price action. 10y Treasury yields closed a shade over 10bps higher yesterday at 2.430% while the USD index rebounded +0.60% and finished higher for the first time in over a week. Those moves were given a late boost by comments from Fed Chair Yellen who said that “it is fair to say the economy is near maximum employment and inflation is moving toward our goal”. She also said that while “it makes sense to gradually reduce the level of monetary policy support” the actual timing of the next Fed rate hike “will depend on how the economy actually evolves over coming months”. So a fairly straight bat approach. Meanwhile equity markets continue to trudge along in a fairly directionless pattern. The S&P 500 finished +0.18% with gains for financials offset by losses for telecoms and energy stocks. The latter were under pressure after WTI Oil tumbled -2.67% and back to $51/bbl after the IEA Chief warned that OPEC reigning in supply will likely result in a “significant” boost to US shale output. With regards to the gains for financials it was interesting to see that both Goldman Sachs (-0.62%) and Citigroup (-1.70%) closed in the red despite both banks adding to what has been a decent reporting season for US banks. Both reported beats at the profit line with the theme of stronger than expected FICC revenues once again playing out. Over in Europe the Stoxx 600 also closed +0.18% while there was a similar weak theme in rates where 10y Bund yields crept up 3.3bps to close at 0.351%. Staying in Europe, another comment which caught our eye yesterday was that from JP Morgan CEO, Jamie Dimon. Commenting about the impact of Brexit and the potential for further nationalist politicians to come to power, Dimon said that the “eurozone may not survive” in an interview with Bloomberg TV. Quite fascinating for such a high profile banker to doubt it publically. This morning in Asia we’ve seen the US Dollar continue to press on (+0.30%) which is putting some pressure on currencies in the region. Away from that equity bourses have been mixed once again, albeit on limited newsflow. The Nikkei is currently +0.81% with the Yen retreating a touch, while the Hang Seng (-0.59%) has weakened. Bourses in China, Korea and Australia are flat as we type. Moving on. Yesterday’s economic data didn’t sway too much from market expectations. In terms of the US December inflation report, headline CPI was reported as rising +0.3% mom which matched the consensus estimate and helped push the YoY rate up to +2.1% from +1.7%. The core rose +0.2%, also as expected, and helped nudge the YoY rate back up one-tenth to +2.2%. Away from that, industrial production was confirmed as rising +0.8% mom in December following a downwardly revised -0.7% mom in November. Finally the NAHB housing market index was a little softer than consensus, falling 2pts to 67. In the UK the ILO unemployment rate was unchanged at 4.8% in the three months to November, which matched expectations. Before we look at today’s calendar, yesterday we got confirmation that the UK Supreme Court appeal decision about whether or not the UK Government has the authority to trigger Article 50 without parliamentary appeal, will be made next Tuesday (on January 24). One to mark in the diary for next week. Looking at the day ahead, this morning in Europe there’s little in the way of data which instead clears the path to the aforementioned ECB policy meeting outcome at 12.45pm GMTwith Draghi due at 1.30pm GMT. Over in the US the data consists of December housing starts and building permits numbers, initial jobless claims and the Philly Fed business outlook. In addition to the data, the corporate reporting calendar today consists of American Express, IBM and Schlumberger, all after the close. Away from that, keep one eye on the apparent press briefing from Trump’s team at 2.15pm GMT. Finally after the US close Fed Chair Yellen will speak again, this time early on Friday morning (1am GMT) when she speaks to the Stanford Institute for Economic Policy Research. Any reaction to that will come during the Asia session so we’ll have a review on Friday morning.
В среду два крупнейших европейских банка — HSBC и UBS — заявили о намерении перевести часть сотрудников из офисов в Великобритании в континентальную Европу. Эти решения связаны с выходом Великобритании из ЕС, возможность перемещения части сотрудников на континент обсуждалась с момента проведения референдума. Генеральный директор UBS Аксель Вебер заявил о том, что Brexit затронет около 1 тыс. из 5 тыс. сотрудников банка, работающих в Лондоне. HSBC также планирует перевести 1 тыс. своих работающих в Великобритании сотрудников в Париж. Ранее генеральный директор JPMorgan Chase Джейми Даймон заявлял в интервью Bloomberg TV, что могут быть затронуты 4 тыс. из 16 тыс. работающих в Лондоне сотрудников банка.Немецкая газета Handelsblatt сообщила также о намерении еще одного банка, Goldman Sachs, сократить число сотрудников, работающих в Лондоне, вдвое, то есть на 3 тыс. человек, и перевести ключевые операции в Нью-Йорк и в континентальную Европу. По данным газеты, 1 тыс. сотрудников банк планирует перевести во Франкфурт…
According to some, it all started with Mario Draghi, who back in 2012 said that the ECB would prevent the collapse of the Eurozone "whatever it takes." By saying that, he effectively took the impetus away from Europe's politicians to engage in any real structural reform and promote difficult policy changes, and well, here we are five years later with a "populist" wave sweeping across Europe which is now ex the UK. And while few are willing to discuss the topic of Europe's viability in the current regime, JPM's Jamie Dimon broke the tranquil setting of Davis where all remains well, to wanr that Europe needs to address disagreements spurring the rise of nationalist leaders or the region’s strong economic ties will break, warning that politicians must get to grips with the discontent that’s spurring support for populist leaders across the continent. Dimon said he hoped European Union leaders would examine what caused the U.K. to vote to leave and then make changes. That hasn’t happened, and if nationalist politicians including France’s Marine Le Pen rise to power in elections across the region “the euro zone may not survive,” Dimon, 60, said in a Bloomberg Television interview with John Micklethwait. Not mincing his words, Dimon warned that "what went wrong is going wrong for everybody, not just going wrong for Britain, but in some ways it looks like they’re kind of doubling down,” the JPM CEO said in the interview in Davos. He continued that unless leaders address underlying concerns, “you’re going to have the same political things about immigration, the laws of the country, how much power goes to Brussels.” This reminds us of what Jeff Gundlach said during this weekend's Barron's roundtable: when asked "what will we be talking about this time next year" his answer was simple: "Trouble in the euro zone." As Bloomberg notes, "Dimon’s remarks on Europe were unusually pessimistic, coming in a wide-ranging interview in which he also criticized regulations that he said stunt economic growth. But he reiterated optimism for President-elect Donald Trump. Minutes later, Goldman Sachs Group Inc. Chief Executive Officer Lloyd Blankfein also expressed concern about Europe, telling CNBC that leaders are facing a backlash in the midst of a long, complicated process to create an economic bloc." “That’s complicated, that’s very hard to do,” said Blankfein, 62. “It’s not done, and it’s not accomplished. We’re finding the pain of that.” The bottom line is the region must become more competitive, Dimon said, which in simple economic terms means accept even lower wages. It also means major political overhauls: “I say this out of respect for the European people, but they’re going to have to change,” he said. “They may be forced by politics, they may be forced by new leadership.” It is unclear how Europeans will adopt these major "changes" without anger at the establishment growing even more. Yet while he was clearly concerned about Europe, Dimon said he isn’t as concerned about the future of the U.S. under Trump, whose own rise drew on a populist movement. The reason for that: Trump's decision to surround himself with a "who's who" list of former Wal Streeeters. The real estate mogul and reality TV star is enlisting “very serious people” for his administration, such as former Goldman Sachs alumni Steven Mnuchin and Gary Cohn, who’ve been tapped to lead the Treasury Department and help oversee White House economic policy. “The side that people are worried about a little bit, and I think is may be blown out of proportion, is trade,” Dimon said. “They’re listening to tweets and one-liners and statements” from Trump. But in his book, “The Art of the Deal,” the president-elect “will tell you he does that” as a tactic, Dimon said. Asked about a concerns Trump may start a trade war with China, Dimon said he’s not worried. “I think these very rational people will be very thoughtful when they go about the actual policy,” he said. Translated: Trump's ex-Goldman advisers will never let him do anything that could hurt Goldman's interests in the US or around the globe.
BOSTON (Reuters) - JPMorgan Chase & Co Chief Executive Jamie Dimon has been no fan of Institutional Shareholder Services and once called investors "lazy" if they cast votes in corporate elections...
For those unfamiliar with what goes on at the annual January boondoggle at the World Economic Forum in Davos, here is the simple breakdown. Officially, heads of state, captains of industry, prominent academics, philanthropists and a retinue of journalists, celebrities and hangers-on will descend Tuesday on the picturesque alpine village of Davos, Switzerland, for the World Economic Forum; Unofficially, it's the world's biggest echo chamber, where wealthy, influential and/or powerful people, yet vastly out of touch with the rest of the world, sit down with other wealthy, influential and/or powerful people who are just as out of touch, to validate to each other that nobody really knows anything (also known as the "ratings agency effect"), but because the press is there and fails to point out that these emperors of industry, commerce, entertainment and politics are naked in hopes of maintaining their annual invitation and direct access, everyone goes home happy. And just as clueless. Hence Trump. Case in point, as Reuters fondly recalls, last year, the consensus here was that Trump had no chance of being elected (actually, last January the world's elites were far more worried about plunging markets as we pointed out in "How Billionaires Are Investing In 2016: "The Only Winning Move Is Not To Play The Game"). Trump was elected. His victory, less than half a year after Britain voted to leave the European Union, "was a slap at the principles that elites in Davos have long held dear, from globalization and free trade to multilateralism." We'll get to Trump in a second, but first some more on the background of this festival which revels in everything the populist backlash of 2016 found excerable, courtesy of the NYT. Who Attends the Conference? More than 2,500 people will attend this year’s conference from 90 different countries, paying up to $50,000 per person to attend (that of course excludes the ultra-celebrities who get in for free). In fact, so many people are attending, some of the local staff may sleep in shipping containers. Most of the participants are corporate executives, but more than two dozen heads of state and government are expected to attend. Theresa May, the prime minister of Britain, and Xi Jinping, president of China, are attending the conference for the first time this year. Xi is the first Chinese president to attend the event, and will also be the star attraction. His presence is being seen as a sign of Beijing's growing weight in the world at a time when Trump is promising a more insular, "America first" approach and Europe is pre-occupied with its own troubles, from Brexit to terrorism. On the other hand, Trump has decided not to officially send a member of his team as it would "betray his populist-fueled movement." Likewise German chancellor Merkel will be absent, worried about her own image ahead of the 2017 German elections. Aside from politicians, Shakira and the actor Forest Whitaker are to receive awards this year. Expected attendees include Sheryl Sandberg, COO at Facebook; Matt Damon; Formula One driver Nico Rosberg; and Alibaba's Jack Ma. While only 17% of last year’s participants were women, according to the forum, this year the number is not expected to change. How Are These People Kept Safe? All of those dignitaries need security. During the conference, Davos transforms into a fortress. Roadblocks restrict traffic on the city’s main streets and checkpoints spring up outside each venue. At the Congress Center, where the main panels take place, and at each hotel that hosts parties and talks, attendees pass metal detectors, armed guards and beneath the watchful eyes of sharpshooters. In the past, the conference was targeted by protesters associated with the anticapitalist Occupy movement. In 2013, members of the Ukrainian activist group Femen were arrested after a topless demonstration. The Swiss government estimated it will spend 8 million Swiss francs, about $8 million, on security, but said that number could increase if there were a credible threat to the conference. “Switzerland is still not regarded as a priority target for jihadist terrorists,” the Federal Council said on its website. “On the other hand, even on Swiss soil, the interests of states participating in the military coalition against the so-called Islamic State face an increased threat.” Is It as Elitist as It Sounds? Yes. The meeting runs on a tiered system of colored badges denoting just how important one is, or is not. White badges are for attendees able to attend any official event and make full use of the forum’s facilities. Orange badges are reserved for the 500 journalists who cover the forum, but are not allowed at some parties. Other badges, like purple ones, denote technical or support staff and limit their holders to a few areas. Local hotels like the Belvedere and the InterContinental often sell their own badges to the bankers and consultants who descend upon Davos to strike deals and chat up clients. These souls camp out at the hotels, renting rooms for business meetings by day and soiree hopping at night. What About the Parties? Beyond the boring, ineffective, and circle-jerking lectures and panel discussions, a much more important agenda unfolds after sunset. One notable event, according to the NYT, is a simulation of a refugee’s experience, where Davos attendees crawl on their hands and knees and pretend to flee from advancing armies. It is one of the most popular events every year. The theme of this year’s conference is “Responsive and Responsible Leadership.” But attendees like to play as hard as they work. There are several official cocktail receptions, but the action really lies in a galaxy of events hosted by corporations. Some are small, intimate dinners that feature the likes of Leonardo DiCaprio and Bono. Others are dazzling affairs worthy of a modern day Gatsby: JPMorgan Chase, for example, has previously taken over the Kirchner Museum Davos for drinks with its chief executive, Jamie Dimon, and Tony Blair, the former British prime minister. Google’s annual party at the InterContinental Hotel has become the hottest ticket in town. The investor Anthony Scaramucci, now an adviser to Donald J. Trump, for years has hosted a reception at the famed Hotel Europe featuring a sometimes eye-popping list of high-end Champagne and Bordeaux red wine. A more recent up-and-comer is hosted by Salesforce.com, a business software maker, whose chief, Marc Benioff, is one of the forum’s most ardent boosters. Last year’s Salesforce party included Mr. Benioff flying in scores of fresh flower leis and a band from Hawaii, as Eric Schmidt of Google and other tech notables danced in a corner. Several years ago, Sean Parker of Napster and Facebook fame, hosted an over-the-top gathering that featured stuffed animal heads shooting laser beams out of their eyes. And the Russian billionaire Oleg Deripaska has thrown opulent gatherings at a nearby villa where the Champagne flowed freely For a nightcap, the Davos crowd traditionally retires to the Tonic Bar at Hotel Europe, sipping cocktails while the forum fixture Barry Colson leads the crowd in Billy Joel singalongs. * * * With the background of the event covered, we once again focus on the key topic at hand, namely quite ironic "social and wealth inequality" - which incidentally has been a core topic for the past several years, demonstrating just how clueless Davos really is, and of course Trump. Just so readers can get a sense of just how delightfully surreal this whole event is, one of the most prominent panels is called "Squeezed and Angry: How to Fix the Middle-Class Crisis" Its description: "Poor employment prospects and low-income growth in many developed economies have laid the groundwork for the rise of populism. Did policy-makers ignore these trends or do too little to redress them? What can be done to restore growth in the middle class and confidence in the future?" Who are these experts on the woes of the middle class? Read em and weep: Ray Dalio - a billiionaire who encourages spying on his employees; Christine Lagarde - a convicted criminal and tax evader, head of an organization that takes from the poor and gives to the world's creditors; and Larry Summers, a firm believer, and doer, in wealth redistribution from the middle classes to the wealthy. * * * While in previous years the Davos party was not to be spoiled with any actual concerns about the real world violating the inner sanctum of the world's uber-poseurs, this year something has changed. Beneath the veneer of optimism over the economic outlook lurks acute anxiety about an increasingly toxic political climate and a deep sense of uncertainty surrounding the U.S. presidency of Donald Trump, who will be quite symoblically, even if purely accidentally, inaugurated on the final day of the forum. And with Trump's election come worries that the ivory towers inhabited by the 2,500 or so Davosites, are far less sturdy than previously believed. "Regardless of how you view Trump and his positions, his election has led to a deep, deep sense of uncertainty and that will cast a long shadow over Davos," said Jean-Marie Guehenno, CEO of International Crisis Group, a conflict resolution think-tank. Moises Naim of the Carnegie Endowment for International Peace was even more blunt, suggesting that the people in Davos are even more clueless than usual, which is saying quite a lot. "There is a consensus that something huge is going on, global and in many respects unprecedented. But we don't know what the causes are, nor how to deal with it." Brilliant. * * * Meanwhile, in an attempt to figure out the causes and "how to deal with it", the participants in the World Economic Forum, which runs from Jan. 17 to 20, will partake in such panels as the abovementioned "Squeezed and Angry: How to Fix the Middle Class Crisis", "Politics of Fear or Rebellion of the Forgotten?", "Tolerance at the Tipping Point?" and "The Post-EU Era". The central question in Davos, a four-day affair of panel discussions, lunches and cocktail parties that delve into subjects as diverse as terrorism, artificial intelligence and wellness, is whether leaders can agree on the root causes of public anger and begin to articulate a response... aside from the forum participants themselves of course. A WEF report on global risks released before Davos highlighted "diminishing public trust in institutions" and noted that rebuilding faith in the political process and leaders would be a "difficult task". Guy Standing, the author of several books on the new "precariat", a class of people who lack job security and reliable earnings, believes more people are coming around to the idea that free-market capitalism needs to be overhauled, including those that have benefited most from it. "The mainstream corporate types don't want Trump and far-right authoritarians," said Standing, who has been invited to Davos for the first time. "They want a sustainable global economy in which they can do business. More and more of them are sensible enough to realize that they have overreached." But Ian Bremmer, president of U.S.-based political risk consultancy Eurasia Group, is not so sure, and he recounted ro Reuters a recent trip to Goldman Sachs headquarters in New York where he saw bankers "rejoicing in the elevators" at the surge in stock markets and the prospect of tax cuts and deregulation under Trump. Both Goldman CEO Lloyd Blankfein and his JP Morgan counterpart Jamie Dimon will be in Davos. It remains to be seen if there will be as much "elevator rejoicing" when the market finally crashes under Trump, an inevitable outcome which some speculate is precisely why Trump was allowed to become president: so that all the blame on the grand crash, once it, happens can be placed on him. Others are less worried about the impact of Trump, and more concerned that the pace of technological change and the integrated, complex nature of the global economy have made it more difficult for leaders to shape and control events, let alone reconfigure the global system. The global financial crisis of 2008/9 and the migrant crisis of 2015/16 exposed the impotence of politicians, deepening public disillusion and pushing people towards populists who offered simple explanations and solutions. The problem, says Ian Goldin, an expert on globalization and development at the University of Oxford, is that on many of the most important issues, from climate change to financial regulation, only multilateral cooperation can deliver results. And this is precisely what the populists reject. "The state of global politics is worse than it's been in a long time," said Goldin. "At a time when we need more coordination to tackle issues like climate change and other systemic risks, we are getting more and more insular." * * * Whatever the reason, sense of dread that things are moving, changing beyond the participants' control will be all too tangible. It is also why, as Bloomberg reported today, the World Economic Forum will convene a special meeting in Washington this year to discuss issues raised during the president-elect’s campaign "and the populist wave that swept him to victory" WEF founder Klaus Schwab told Bloomberg Television on Sunday. The gathering will explore U.S. investment and job-creation opportunities for companies that participate in the forum, he said. “It’s very natural that with the new administration we plan a major event in the U.S. to see what are the implications of the new president and how the business community could engage,” Schwab said in advance of the forum’s 47th annual meeting in the Swiss ski resort of Davos. “We have to be responsive to the call.” “People have become very emotionalized, this silent fear of what the new world will bring,” Schwab said in the town’s hulking conference center. “We have populists here and we want to listen. We have to respond to these individuals’ fears and to offer solutions. It’s not just enough to listen; we have to provide answers and that’s what were here for in Davos." No, that's what you were there for in Davos in 2013, 2014, 2015 and 2016, and you did nothing. Now it's too late as the pendulum has already swung. That, however, is not obvious to the forum organizers who will enjoy another blockbuster year. Business is booming for the WEF and Schwab, 78, said he has no plans to abandon or alter its annual retreat. Revenue is up 45% in the past five years and staff have increased by about a third - with employees earning an average of 135,000 Swiss francs, ($133,875) which rises to 213,000 Swiss francs with the addition of costs such as pensions and healthcare. “Our salary structure is completely in line with others such as the Bretton Woods organization, the World Bank or the International Monetary Fund,” Schwab said. “We also have to be competitive with organizations like Goldman Sachs and McKinsey. We are competing for the same talent.” How does Schwab reconcile the glaring hypocricy of the world's wealthiest debating social injustice and wealth inequality? Simple: Despite the glitzy parties that have become the hallmark of the annual gathering, Schwab said his aim is not to celebrate the “outrageous excesses of life,” but rather to create a “global village,” where participants can mull weighty issues facing the world without the distractions of a large city. And he insists that as the power and beliefs of business and political leaders face unprecedented challenges, the meeting is needed more than ever. Schwab says the WEF’s annual meeting, where companies host lavish parties awash in champagne and rare vintage wines, attendees pay $50,000 and thousands of soldiers and police stand guard, remains an appropriate forum to discuss political issues like the rise of populism and seek solutions to society’s biggest problems. Unfortunately, that's all it is, as no concrete, revolutionary decisions can ever take place within the confines of this giant echo chamber. Schwab concludes by saying that "the right solution will require a lot of effort and many steps in the right direction. I am optimistic that in a new multi-polar world we still have the notion of a joined and shared destiny" but adds that his "biggest fear is that we will believe there are very simple answers to very difficult questions.” Actually, herr Klaus Schwab, there are other far more tangible things you and your peers should be afraid of, but somehow we doubt that those will become apparent while eating $40 hot dogs.
Экономика США набирает обороты, и большая часть роста приходит из финансового сектора. В прошлом году JPMorgan Chase & Co. (JPM) продемонстрировал силу благодаря рекордной чистой прибыли и EPS в сложной глобальной макроэкономической среде. Банк увеличил долю рынка практически во всех отраслях своей деятельности и показал дисциплинированное управление расходами, продолжая инвестировать в будущее. Хотя сегодняшняя динамика говорит о том, что эти шаги не имели существенного влияния на динамику акций, справедливым является предположение о том, что рекордная прибыль уже была учтена во время ралли после избрания президента США. JPMorgan сообщил о результатах за четвертый квартал финансового года перед открытием рынков в пятницу. Компания отчиталась о $1,71 прибыли на акцию (EPS) и $24,3 млрд выручки. По оценкам Thomson Reuters, прибыль на акцию прогнозировалась на уровне $1,44, а доход - на уровне $23,95 млрд. В тот же период прошлого года, банк сообщил о $1,32 прибыли на акцию и выручке в размере $23,75 млрд. Общая выручка включает в себя чистый процентный доход в размере $12,1 млрд, что на 5% больше чем в аналогичном периоде прошлого года, что стало возможным в основном за счет роста кредитов и воздействия более высоких ставок. Непроцентные доходы сгенерировали $12,3 млрд выручки. Объем средних базовых кредитов в четвертом квартале вырос на 14%, тогда как объем депозитов прибавил 11% по сравнению с показателями четвертого квартала прошлого года. Балансовая стоимость одной акции составила $ 64,06, что на 6% больше чем в прошлом году, в то время как стоимость материальных активов на акцию составила $51,44, рост на 7%. Количество активных мобильных клиентов увеличилось на 16% за год, до 26,5 миллионов человек. В этом квартале, JPMorgan вернул $3,8 млрд акционерам, $2,1 млрд в виде выкупа акций, а остальное - через дивиденды в размере $0,48 на акцию. Джейми Даймон, председатель и главный исполнительный директор компании, прокомментировал квартальные результаты банка: "Наши результаты в этом квартале стали сильным концом еще одного рекордного года, что отражает наше интенсивное внимание к клиентам и высокую производительность всей нашей деятельности. В потребительском бизнесе мы имели двузначный рост депозитов, а наш объем продаж кредитных карт был рекордным". На текущий момент акции J.P. Morgan (JPM) котируются по $87,29 (+1,21%) Информационно-аналитический отдел TeleTradeИсточник: FxTeam
JPMorgan Chase reported solid earnings for the fourth quarter and CEO Jamie Dimon seemed to think that even better times lie ahead following the election of Donald Trump. Dimon expects 'good, rational and thoughtful policy decisions.'
JPM Earnings Jump On Slashed Expenses, FICC Trading Beats As Equity, IB Misses; Credit Card Charge-Offs Spike
In a report that was somewhat similar to that of Bank of America, JPM reported Q4 revenues of $23.4 billion, beating estimates of $23.1 billion, on EPS of $1.71, far higher than the expected $1.42, which however like in the case of BofA was due to a cut in expenses, which came in at $6.87 billion, far below the $7.2 billion, suggesting even greater expense - i.e. compensation - reductions. The "U.S. economy may be building momentum": CEO Jamie Dimon said, adding that "opportunity for good, rational and thoughtful policy decisions to be implemented, which would spur growth, create jobs for Americans across the income spectrum and help communities"; JPM is well-positioned "to play our part." The CEO adds that the firm had double digit growth in deposit, core loan balances, with record credit card sales volume, continued momentum from 3Q in CIB, with strong markets results "across products." Grew market share in "virtually all" businesses, "showed expense discipline while continuing to invest for the future" The bank repurchased $2.1 billion in shares in the quarter. While JPM's net Interest Income was up $553mm YoY and up $163mm QoQ, this happened even as NIM declined by 2bps QoQ. That said, like BofA, JPM said it expects firmwide net interest income to be up "modestly" QoQ. Net revenue in mortgage banking declined to $1.69b vs $1.87b q/q, while card, commerce solutions, auto net revenue also slipped to $4.56b vs $4.74b q/q. On the key, trading side, JPM reported that while investment banking revenue rose by $17mm Y/Y to $1.49 billion, it missed expectations of $1.59bn, and while FICC of $3.37 billion rose by $795 million, beating expectations of $3.26 bn, equity markets revenue of $1.15 billion came in weaker than the $1.29 billion expected. Some details from the report: IB revenue of $1.5B, up 1% YoY, driven by higher debt underwriting fees, largely offset by lower advisory and equity underwriting fees Fixed Income Markets of $3.4B, up 31% YoY, driven by strong performance across products Equity Markets revenue of $1.2B, up 8% YoY, driven by strong performance in derivatives The better than expected net income in the investment bankin group was mostly the result of a big drop in expense of $4.2B, which was down 6% YoY, driven by lower compensation and lower legal expense. Another highlight: net charge offs in the bank's credit card services group jumped from $838 million to $914 million, the highest since Q2 2013. Finally, JPM's loan loss reserves of 13.8B rose $0.2B from $13.6B in the prior year. Full presentation below:
J.P. Morgan Chase & Co. (JPM) планирует сообщить о финансовых результатах четвертого квартала до открытия рынка в пятницу. СЕО компании Джейми Даймон заявил в декабре, что по его ожиданиям торговая выручка вырастет примерно на 15% по сравнению с аналогичным периодом прошлого года, так как активность в торговле с фиксированным доходом выросла после президентских выборов в ноябре, в то время как фондовые индексы достигли рекордных уровней, сообщает The Wall Street Journal. Неожиданная победа Дональда Трампа, как ожидается, приведет к значительному смягчению регуляторных правил, введенных в действие после финансового кризиса 2008 года, что создает возможности для роста банков. Даймон сказал, что JPM извлек выгоду от торговли с фиксированным доходом после выхода из этого бизнеса многих европейских банков, которые столкнулись со своими собственными проблемами. Активы с фиксированным доходом, валюта и сырьевые товары подскочили 2016 году после длительного периода слабости, которая привела к сокращениям персонала многими банками. В то же время, перспектива повышения процентных ставок, как ожидается, повысит рентабельность кредитования. "Корпоративная налоговая реформа является еще одним потенциально позитивным шагом для отрасли, так как это ожидание повышенной траектории роста для экономики США", - сказал директор по исследованиям Zacks, Шераз Миан. "В целом, предпосылки в отрасли и нормативные перспективы не были такими благоприятными в течение длительного времени", - добавил он. Чего ожидать от квартального отчета J.P. Morgan: Аналитики, опрошенные FactSet ожидают, что банк разместит прибыль на акцию в размере $1,42, по сравнению с $1,32 за тот же период годом ранее. Estimize, который использует краудсорсинг от менеджеров хедж-фондов, ученых и других специалистов для оценки компаний, ожидает $1,47 прибыли на акцию. Доход, как ожидается, составит $23,912 млрд, по сравнению с $23,747 млрд годом ранее. Estimize ожидает доход в размере $23,615 млрд. Как и многие конкуренты, акции J.P. Morgan выросли после президентских выборов, прибавив около 23% на фоне ожиданий дерегулирования. В течение последних 12 месяцев, акции JPM выросли на 48%, установив рекорд в $87,23 3 января, в первый торговый день нового года. Аналитики TD Securities ожидают, что общие банковские доходы США отразят улучшение кредитных тенденций, а это означает более низкие списания необслуживаемых кредитов. В то же время, ожидается, что банки сообщат о стабилизации кредитного качества своих нефтяных и газовых портфелей, после недавнего восстановления цен на нефть. "В JPM отметили, что рынки капитала открыты для нефтяных и газовых компаний, и что они не ожидается значительных проблем, связанных с энергетикой при условии, что рыночная среда не ухудшится по сравнению с текущим состоянием", - добавили аналитики TD Securities. Специалисты UBS ожидают, что корпоративный и инвестиционный банковский бизнес J.P. Morgan, извлечет выгоду от потенциально более доброкачественной регуляторной среды, которая может стимулировать скорость рынков капитала и увеличение рисков. На текущий момент акции J.P. Morgan (JPM) котируются по $86,51 (-0,65%) Информационно-аналитический отдел TeleTradeИсточник: FxTeam
Fourth-quarter earnings score should help JPMorgan (JPM) to keep its momentum alive.
Дональд Трамп объявил имя будущего министра финансов США: им станет Стивен Тёрнер Мнучин (Steven Terner Mnuchin). Для кого-то это явилось неожиданностью. Ведь среди претендентов на высокий пост называли исполнительного директора банка JPMorgan Джейми Даймона, члена палаты представителей Джеба Хенсарлинга... У Стивена Мнучина, однако, было важное преимущество: в предвыборной кампании Трампа он работал финансовым менеджером. Кроме того, что...
Глава банка JP Morgan Джейми Даймон благодарит конгресс за принятие бюджета. "Этим утром я собираюсь отправить Полу Райану и Патти Мюррей сообщение по электронной почте со словами "Спасибо вам, спасибо вам, спасибо вам, и пусть Господь благословит вас", – заявил Даймон в среду, обращаясь к республиканским конгрессменам и сенаторам из Демократической партии, которым удалось прийти к бюджетному соглашению. По его мнению, бюджетное соглашение - это "большой прорыв", так как повторной временной приостановки работы правительства не произойдет. Напомним, что Конгресс США, не дожидаясь крайнего срока, принял бюджет и предотвратил еще одну временную приостановку работы американского правительства. После продолжительных дебатов демократы и республиканцы все же достигли договоренности и приняли бюджет на 2014 финансовый год. Соглашение предусматривает сокращение госрасходов в течение двух лет на $63 млрд. Причем большая часть секвестра придется на текущий 2014 финансовый год, который в Америке начинается 1 октября.