Credit Suisse Hit Hard by Bermuda Court Case
A pioneering institution in the realm of private banking and asset management, Credit Suisse forecasted that the looming Bermuda court case will cost the firm around $600 million, as noted by Credit Suisse in its first-quarter financial report released on Thursday.
The Switzerland-based investment bank and financial services firm has been under the radar, with a Bermuda court in March ruling that former Prime Minister of Georgia and his family, Bidzina Ivanishvili, are set to receive an “excess of $500 million” from Credit Suisse’s local life insurance establishment.
MACROECONOMIC DATA ANALYSIS
According to Koichi Hagiuda, Japan’s Minister of Economy, Trade and Industry, the Asian nation will face “difficulty” to promptly follow suit in cutting off Russia’s oil imports. On Wednesday, the European Union was the latest to recommend strict sanctions against Russia, which includes an embargo on crude oil.
Hagiuda told reporters, that “Given Japan has its limit on resources, we would face some difficulty to keep in step immediately” with other nations.
As stated by Mexico’s Finance Minister Rogelio Ramirez de la O on Wednesday, the South American nation will raise the production of staple foods, such as beans, corn and rice, in efforts to tame the record-high consumer price inflation. President Andres Manuel Lopez Obrador, has also noted the Mexico does not plan to apply price controls in its latest initiative.
Mexico’s annual inflation has hit a 20-year high 7.72% inflation rate in the first half of April, and this could ultimately prompt the central bank to hike interest rates.
The U.S. dollar remains solid on Thursday’s early hours, after falling to week-long lows on Wednesday after Federal Reserve Chairman Jerome Powell diminished the possibility of a 75 basis point hike on interest rates. The dollar index, which compares the greenback to a basket of six other currencies, edged 0.23% higher to 102.823.
Gold prices trade higher on Thursday’s early trading session, amid the U.S. Federal Reserve hiked interest rates in its latest initiative to combat high inflation. This initiative had no negative effect on the dollar greenback, which typically trades inversely to the bullion, currently trading upwards. The safe haven’s price tag is $1,895 per ounce, trading 0.75% higher from yesterday’s valuation.
Oil prices trade slightly higher, remaining solid after the European Union proposed to introduced a strict package of new sanctions against Russia, which includes a six month-long embargo on Russia crude oil. Thursday’s early trading sessions brought about a positive increment to the prices of crude oil, with Brent futures jumping 0.18% to price at $110.36 a barrel, and WTI crude futures inched 0.04% higher to $107.86 per barrel.
USA: S&P500 +2.99%, Dow Jones Industrial Average +2.81%, Nasdaq Composite +3.41%
Europe: FTSE 100 +1.33%, DAX +1.93%, CAC 40 +2.00%
Asia: Nikkei 225 -0.11%, Hang Seng -0.29%, CSI 300 -0.15%, Nifty 50 +0.94%
Shares of social media stocks, including Meta & Twitter plunged, the Snapchat stock collapsed by more than 40% on Tuesday’s trading session. The Snapchat parent of the popular social media platform has warned that it expects to miss profit & revenue estimates due to macroeconomic deterioration.
As a result, the company's market capitalization has plummeted to $20.92 billion, almost three-fold away from its highest levels of the year; nearly $82 billion in early February. The Snapchat stock (NYSE: SNAP) fell sharply from $22.49 to $12.79 on Tuesday, down from its debut price of $17 in 2017.
Samsung Electronics announced shall invest 450 trillion won ($356 billion) over the next five years to bolster growth in semiconductors, biopharmaceuticals, and other next-generation technologies.
Samsung stated on Tuesday that the investments will aid the firm in achieving long-term growth in pivotal spectrums like the chip industry, while also promising aggressive expenditures in the biopharmaceutical industry to make it as successful as its chip segment.