The idea was simple: Short the rand against the lira.
It was a trade that became popular in early to mid-2017 as South Africa’s prospects dimmed and Turkey’s looked as if they were improving. Bank of America Corp. and JPMorgan Chase & Co. were among the Wall Street banks that recommended it to their clients.
And for a while, it worked, especially after former South African President Jacob Zuma fired Pravin Gordhan, his much-respected finance minister, in March. Until, that is, a turnaround in South African politics — triggered by Cyril Ramaphosa’s election as head of the ruling African National Congress in December — sent the rand soaring, and concerns over Turkey’s widening current-account deficit and worsening international relations pushed the lira the other way.
“A lot of investors weren’t convinced Ramaphosa would win, plus the lira had been beaten up” in late 2016, said Kevin Daly, a money manager in London with Aberdeen Standard Investments, which made a small loss on the trade. “So it looked OK. Clearly, it was not a good one in the end.”
Best Bank Stocks To Watch For 2018: Wells Fargo & Company(WFC)
- [By Douglas A. McIntyre]
The U.S. Department of Labor is looking into the 401(k) business of Wells Fargo & Co. (NYSE: WFC). According to The Wall Street Journal:
The Labor Department is examining whether Wells Fargo & Co. has been pushing participants in low-cost corporate 401(k) plans to roll their holdings into more expensive individual retirement accounts at the bank, according to a person familiar with the inquiry.
- [By SEEKINGALPHA.COM]
The US financial sector has been on a solid run of late. Over the last 12 months the S&P 500 Financials Sector has returned 18.9% relative to the S&P 500 Index of 17.9%. Many analysts have formed the view that with the potential for higher market interest rates, this sector has a long runway ahead. So with this in mind I thought that it would be a good time to update my estimates of the intrinsic value of the 3 major diversified banks. Over a series of 4 articles I will value JPMorgan (NYSE: JPM), Wells Fargo (NYSE: WFC) and Bank of America (NYSE: BAC). In this first article I will set the scene by reviewing the performance of the 3 banks over the last 10 years and compare their current performance to the Sector.
- [By Stephan Byrd]
American International Group Inc. reduced its position in Wells Fargo & Co (NYSE:WFC) by 3.4% during the first quarter, HoldingsChannel reports. The institutional investor owned 1,414,614 shares of the financial services provider’s stock after selling 49,120 shares during the quarter. American International Group Inc.’s holdings in Wells Fargo & Co were worth $74,140,000 as of its most recent SEC filing.
- [By Jordan Wathen]
Buffett and Munger have held up Wells Fargo(NYSE:WFC) as one of the greatest banks in the country ever since Berkshire took a stake back in 1989. Berkshire owns about 10% of the bank often described as “America’s largest community bank,” making it the second-largest holding in the holding company’s stock portfolio.
- [By Shah Gilani]
The dirt at Wells Fargo & Co. (NYSE: WFC) knows no depths. Last week, yet another example of systemic fraud was unearthed.
From 2017 through early 2018, employees at the Systemically Important Financial Institution (SIFI) fraudulently altered social security numbers, addresses, and dates of birth on thousands of corporate customer documents.
- [By Dan Caplinger]
When it comes to investing, some people prefer to choose from among the leaders of an industry. In banking, Bank of America (NYSE:BAC) and Wells Fargo (NYSE:WFC) are among the biggest financial institutions in the world, and despite facing very different challenges, they’ve come a long way since teetering on the precipice of ruin during the financial crisis.
Best Bank Stocks To Watch For 2018: HSBC Holdings PLC (HSBA)
- [By Ethan Ryder]
HSBC (LON:HSBA) had its price target dropped by equities research analysts at Citigroup from GBX 810 ($10.78) to GBX 800 ($10.65) in a report released on Tuesday. The brokerage currently has a “buy” rating on the financial services provider’s stock. Citigroup’s price target points to a potential upside of 9.59% from the stock’s previous close.
- [By Joseph Griffin]
HSBC (LON:HSBA) had its target price lowered by equities research analysts at Shore Capital from GBX 721 ($9.60) to GBX 625 ($8.32) in a report issued on Tuesday. The brokerage presently has a “sell” rating on the financial services provider’s stock. Shore Capital’s price objective indicates a potential downside of 14.71% from the company’s previous close.
Best Bank Stocks To Watch For 2018: First Commonwealth Financial Corporation(FCF)
- [By Joseph Griffin]
Get a free copy of the Zacks research report on First Commonwealth Financial (FCF)
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Best Bank Stocks To Watch For 2018: Ampco-Pittsburgh Corporation(AP)
- [By ]
New York (AP) — The bitter cold that followed a massive East Coast snowstorm should begin to lessen as temperatures inch up and climb past freezing next week, weather forecasters said.
- [By ]
New York (AP) — Jay-Z has spent a long afternoon at the New York offices of the Securities and Exchange Commission.
The rapper and entrepreneur was scheduled to spend much of the day Tuesday answering questions from SEC investigators as part of their probe of the Iconix Brand Group.
- [By ]
Durango, Colo. (AP) — A growing wildfire burning in southwestern Colorado forced more people from their homes Sunday as crews tried to slow the blaze being fed by continued hot, dry and windy conditions.
- [By ]
This photo provided by Tesla shows a 2017 Tesla Model 3, a vehicle that has a semiautonomous driving system called Autopilot. Tesla can update the Autopilot software over the air, not necessitating a trip to a service center. Tesla offers Autopilot on its Model S, Model X and Model 3 vehicles. (Photo: AP)
- [By ]
This undated photo provided by Ford shows the 2018 Ford Transit Connect, an example of a small cargo van. The Transit Connect's cargo van variant comes in two trims, the basic XL and the XLT, as well as an extended-wheelbase model that has additional space for cargo. And the Transit Connect has a notable advantage: It offers technology features such as Ford's Sync 3 infotainment system, blind-spot monitoring and adaptive fog lights. (Photo: AP)
- [By ]
London (AP) — The British government said Sunday it is scrapping a promise to reconsider the ban on fox hunting, a centuries-old rural tradition contentiously outlawed more than a decade ago.
Best Bank Stocks To Watch For 2018: Canadian Imperial Bank of Commerce(CM)
- [By Motley Fool Staff]
Canadian Imperial Bank of Commerce (NYSE:CM)Q2 2018 Earnings Conference CallMay 23, 2018, 8:00 a.m. ET
Prepared Remarks Questions and Answers Call Participants
- [By Max Byerly]
Her Majesty the Queen in Right of the Province of Alberta as represented by Alberta Investment Management Corp boosted its position in Canadian Imperial Bank of Commerce (NYSE:CM) (TSE:CM) by 54.3% in the first quarter, HoldingsChannel reports. The firm owned 911,300 shares of the bank’s stock after buying an additional 320,800 shares during the quarter. Canadian Imperial Bank of Commerce comprises approximately 1.0% of Her Majesty the Queen in Right of the Province of Alberta as represented by Alberta Investment Management Corp’s investment portfolio, making the stock its 19th largest position. Her Majesty the Queen in Right of the Province of Alberta as represented by Alberta Investment Management Corp’s holdings in Canadian Imperial Bank of Commerce were worth $103,633,000 as of its most recent filing with the Securities and Exchange Commission.
- [By Garrett Baldwin]
We’re about to reveal a little wealth secret that could unlock the trade of a lifetime.Money MorningSpecial Situation Strategist Tim Melvin takes you inside what could easily be a 10-bagger for investors in the weeks ahead.Read more right here.
The Top Stock Market Stories for Tuesday
The Euro has plunged to its lowest point against the U.S. dollar in 2018 thanks to political problems in Europe. The breakdown of power in Italy has raised new concerns about the nations ability to repay its debts, as the spread between German and Italian bonds has widened. Market instability has also spread to Spain where the nations parliament is preparing to vote on whether to oust Prime Minister Mariano Rajoy and his party. Oil prices slid one news that OPEC and Russia will consider hikes in production during a meeting in Vienna, Austria on June 22nd. The news accompanied reports that U.S. production is expected to rise throughout the summer. The price of WTI oil sat at $67.20 per barrel. The Brent crude oil price recovered this morning, adding 1% to hit $76.12. Canadian banks are under pressure this morning over a major breach by cyber criminals. The Bank of Montreal (NYSE: BMO) and the Canadian Imperial Bank of Commerce (NYSE: CM) the two largest banking institutions in the country announced that roughly 90,000 customers data may have been stolen. This would be the first major cybersecurity event to happen in Canada involving financial firms.
Three Stocks to Watch Today: CRM, SBUX, MOMO
com (NYSE: CRM) will lead a busy day of earnings reports on Wall Street. The cloud computing giant is set to report fiscal first quarter 2019 numbers after the bell on Tuesday. The average analyst projection calls for a 46% jump in EPS of $0.46 on top of a 23% gain in revenue to $2.94 billion. Starbucks Corporation (Nasdaq: SBUX) will temporarily close about 8,000 locations on Tuesday to train roughly 175,000 employees on racial bias. The training sessions were