Market Pulse: French, German banks get Basel break
Monday, January 07, 2013 - 04:15
Jan. 7 - German and French banks will benefit most from the relaxation of liquidity rules, says Reuters senior banking correspondent Steve Slater.
▲ Hide Transcript
▶ View Transcript
It's all about the bombings today has exclusively prods you -- -- those unconfirmed over the weekend. -- are given more breathing space to meet liquidity targets. Investors like what we see European financial challenge ahead continue to Tivo and this is today's market pulse -- -- -- -- -- -- city senior. I can correspondents. -- -- Reuters Steve Marcus getting this sad news from Basel over the weekend the thumbs up. But doesn't just underlying hope we can find so Europe's banking system and economy that well yet is what might look at undoubtedly reason why they've relaxed these liquidity rules is because. Of concerns about Euro zone economy. The water either if I had put in place these rules. Then banks who were treated more and stop lending through domestic economy so yes. It is reflection on on how we eurozone economies -- so long to -- that this might be so it's great news for investors. Banks quote. For the economy in particular it's it's pretty weak US troops at a bank who is twelve quite positive in that. It shows that speculation on Obama street for a couple of years we've had toughening. Kept the rules and these. Quite quite harsh. Acquitted he was coming. -- proposed to come in now it seems that by rule relaxing some areas because the economy. Is in such dire straits -- but they can't. Push on on on the visit the signs on the state about people why I'll be relaxing and who was and constraints in the minds because it was -- financial crisis a huge crisis. The phones have beat him placed and it seems like what pulling back. Yet but that's these young human over all the little politicians and a lot of regulated the banks would all -- that there's too much coming to frost. They they want a few more orderly. Process of deleveraging shrinking their balance sheets -- try to do -- all mixed who have for years when the economy needs a -- lending and and Altman is that. To put in place these measures would have really restricted any lending to utmost domestic companies in the -- doubled us that the question isn't it. Are buying is going to stop lending again. I doubt it I I think what is -- to ease ease the pressure on them to stop lending -- deleveraging. But it looks like. But they want this facility. You know open the flood Dyson start lending. Freely walking -- who mine a couple of tough couple years. But they should prevent a young of the group retrenchment by upon me neither might your banks can just to finish up. All banks doing. Tutsi wealth two day total. Up in positive territory but which ones -- which country's banks do you think will benefit most from the relaxation in the -- with the French and the German banks and the because beneficiaries they were under the most. Challenged it to -- these new requirements that I you've. They they've had a good up with this morning. Okay Steve thank you very much. Well she doesn't actually buying come on to get husky up as much as 70% today. I'm not just on these new Basel liquidity rules chief executive Fabrizio -- quoted in an Italian newspaper today. A saying that I can return to profit and can avoid the state taking sticking it want to Kosuke is at least third largest bank. And the oldest surviving -- in the world. I'm staying with bikes on the state and -- today and 1718. To the bank of North America opened this course for business. Making it the United States for -- commercial bank. It was based in Philadelphia but despite the bank's success the Pennsylvania legislature. Moved to outlaw private banks and states. And in the state product this late two schools of the -- bankers setting up shop and what was to become the nation's financial sense -- New York City. -- say when it would be be without them. That was today's market pulse but -- and at this time -- -- -- -- the effects of -- markets and white. I'm aging -- this has brought.
Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code