Category: News

The Federal Reserve warned Goldman’s fintech unit about risk and compliance oversight, according to FT.

A division of Goldman Sachs’ transaction-banking business (TxB) has stopped signing on riskier financial technology clients after a warning from the U.S. According to the Financial Times report on Thursday, the Federal Reserve had a discussion about risk and compliance earlier this year. The Fed has raised concerns about the Goldman division’s insufficient due diligence and monitoring processes when accepting high-risk non-bank clients.                                                                                                                                                                                                                                   Published on  17 August

Dollar strength, Fed fears still in focus

Strength in the dollar- which recovered sharply from a 15-month low over the past two weeks, also provided some headwind to oil markets. The greenback is expected to see more strength this week, with markets awaiting key payroll data on Friday. Analysts also warned that high oil prices could factor back into U.S. inflation, potentially keeping the Federal Reserve hawkish and supporting the dollar. Friday’s payrolls data is also expected to factor into the Fed’s decision for future rate action. Published on  17 August 2023 By Michael S.

Chinese electric vehicles investment plan in Thailand

Chinese electric vehicle manufacturers are investing $1.44 billion in Thailand, aiming to convert 30% of the country’s annual vehicle production into electric vehicles by 2030. Great Wall Motor, a Chinese automaker, acquired a factory from General Motors and plans to produce its compact Ora Good Cat EV in Thailand. The Thailand Board of Investment (BOI) is also pursuing Chinese automakers, with Chongqing Changan Automobile, Guangzhou Automobile Group, Chery Automobile, and Geely planning to enter the market. Published on  26 July 2023 By Michael S.

Singapore labor market slows down

The Singapore labor market is showing signs of slowing down. Total employment grew at a slower rate, and job vacancies dipped for the fourth straight quarter, according to the Ministry of Manpower labor market report for the first quarter of 2023. Retrenchments rose to 3,820, the highest in nine months, with sectors such as electronics manufacturing and financial services being the hardest hit. 70 percent of retrenched Singapore citizens and permanent residents managed to find a new job within six months. The city-state’s job market is likely to toughen further owing to economic uncertainty and global headwinds. Published on 05 July 2023 By Michael S.

Asia FX market got deeper, amid Fed uncertainty. USD is going to be stronger.

Most of the Asian currencies retreated on Friday, coming under pressure from uncertainty over U.S. monetary policy following mixed economic readings this week. The Chinese yuan traded at two-month lows after the worse-than-expected trade and inflation data released this week pointed to a slowing economic rebound in Asia’s largest economy. Weakness in the Chinese economy dulled sentiment towards broader Asian markets. The South Korean won fell 0.2%, while the Malaysian ringgit shed 0.3%, even as data showed that Malaysia’s economy grew more than expected in the first quarter. The Australian dollar shed 0.1% but remained relatively underpinned by expectations of more interest rate hikes by the Reserve Bank. The Japanese yen fell 0.1% and was set for mild weekly gains as fears of a U.S. banking crisis and uncertainty over the debt ceiling made for some safe-haven demand. Published on  17 May 2023 By Michael S.

The cryptocurrency market may recover in the future.

The market awaits a big interest rate decision from the Fed and ECB next week. And keeping an eye on the decisions of other central banks. The Reserve Bank of Australia surprised yesterday by raising interest rates. And today the focus is on the Federal Reserve Bank of Canada.   Here are factors investors should consider before making a decision.   1.The crypto market moved higher this morning.   2.Updates from the Crypto Market, gain is in the focus. 3.Bitcoin is trading at $26,000 and Ethereum at $1,800. Published on 14 June 2023 By Michael S.

Debt Ceiling Crisis: Navigating the Brink of Default

Debt Ceiling Crisis: Navigating the Brink of Default Debt limit optimism and decent data are nibbling away at the pricing of Fed rate cuts and dollar shorts are feeling the squeeze. It’s “just a correction” but it’s painful all the same. Joe Biden, the US President, called the bipartisan offer from House Speaker Joseph McCarthy “unacceptable.” The risk that the US government fails to make its debt payments by June 1 grows The first real US government bond payment default risk falls on June 6th. Without a debt ceiling resolution, the US government could place the global financial system in ‘shock’ as soon as June 6th. If not before. Published on 07/06/2023 By Michael S.

Asia FX market got deeper, amid Fed uncertainty. USD is going to be stronger.

Most of the Asian currencies retreated on Friday, coming under pressure from uncertainty over U.S. monetary policy following mixed economic readings this week. The Chinese yuan traded at two-month lows after the worse-than-expected trade and inflation data released this week pointed to a slowing economic rebound in Asia’s largest economy. Weakness in the Chinese economy dulled sentiment towards broader Asian markets. The South Korean won fell 0.2%, while the Malaysian ringgit shed 0.3%, even as data showed that Malaysia’s economy grew more than expected in the first quarter. The Australian dollar shed 0.1% but remained relatively underpinned by expectations of more interest rate hikes by the Reserve Bank. The Japanese yen fell 0.1% and was set for mild weekly gains as fears of a U.S. banking crisis and uncertainty over the debt ceiling made for some safe-haven demand. Published on  17 May 2023 By Michael S.

Australia Central Bank shocks market with a hike to 3.85%

RBA’s governor says inflation has passed peak but at 7% is ‘still too high Australia’s central bank on Tuesday stunned markets by raising its cash rate 25 basis points (0.25%) when traders had looked for an extended pause, saying inflation was way too high and warned that even further tightening may be needed to bring it to heel. Wrapping up its May policy meeting, the Reserve Bank of Australia (RBA) raised rates to 3.85% and said “some further tightening” may be required to ensure that inflation returns to target in a “reasonable timeframe”. The Australian dollar shot up by 1% to $0.6695, while three-year futures dived 23 ticks to 96.780, the sharpest daily drop since mid-2012. Inflation is now expected to slow to 4.5% this year, compared with the previous forecast of 4.75%. Also on Tuesday, the RBA lowered the economic growth forecast for this year to 1.25%, compared with 1.5% previously, while projecting the unemployment rate to increase to around 4.5% in mid-2025.   Published on 10 May 2023 by Michael S.  

Crypto-assets green light to tracing transfers in the EU

Parliament endorsed the first EU rules to trace crypto-asset transfers and prevent money laundering, as well as common rules on supervision and customer protection. On Thursday, MEPs approved with 529 votes in favor to 29 against and 14 abstentions, the first piece of EU legislation for tracing transfers of crypto-assets like bitcoins and electronic money tokens. The text –which was provisionally agreed by Parliament and Council negotiators in June 2022- aims to ensure that crypto transfers, as is the case with any other financial operation, can always be traced and suspicious transactions blocked. The so-called “travel rule”, already used in traditional finance, will in the future cover transfers of crypto assets. Information on the source of the asset and its beneficiary will have to “travel” with the transaction and be stored on both sides of the transfer. The law would also cover transactions above €1000 from so-called self-hosted wallets (a crypto-asset wallet address of a private user) when they interact with hosted wallets managed by crypto-assets service providers. The rules do not apply to person-to-person transfers conducted without a provider or among providers acting