Frontrunning: September 1

  • Putin Suggests Statehood for Southeast Ukraine as Sanctions Loom (BBG)
  • Ukraine accuses Russia of ‘open aggression’ as rebels advance (Reuters)
  • Ruble Hits New Record Low Against Dollar (WSJ)
  • Further Russia Sanctions Seen `Almost Inevitable’ (BBG)
  • Europe holds nerve as Russia-Ukraine warnings ratchet up (Reuters)
  • China manufacturing slowdown ripples through region (Reuters)
  • Brazil enters recession in election blow to Rousseff (Reuters)
  • Disruptive Hong Kong protests loom after China rules out democracy (Reuters)
  • Coal Miners See Signs of Recovery as Prices Stabilize (WSJ)
  • Tusk Mixes Charm, Pragmatism as EU’s First Eastern Leader (BBG)
  • Iliad in Talks with Third Parties About Possible Fresh Bid for T-Mobile US (WSJ)
  • Russia Said to Plan Sovereign Fund Move Over Sanctions (BBG)
  • Hedge Funds Cut Gold Bull Bets to Lowest Since June (BBG)
  • China Gives Microsoft 20 Days to Explain Problems (WSJ)
  • Apple Said to Team With Visa, MasterCard on IPhone Wallet (BBG)
  • European Manufacturing Weakens on Heightened Global Risks (BBG)
  • Yves Carcelle, Who Built Luxury Brand Louis Vuitton, Dies at 66 (BBG)
  • Europe Set for Warm September After Coolest August Since ’06 (BBG)

 

FT

Citigroup Inc has told senior staff that they would receive fixed monthly pay in addition to their salaries in an attempt to compensate for rules that limit bonuses to up to twice the level of base salaries.

Barclays is selling its Spanish retail and corporate banking operations to Caixabank, the two companies said on Sunday, as the British bank starts shrinking its struggling European divisions as part of a major overhaul.

One of Tesco Plc’s largest shareholders, Harris Associates, has cut its stake in the retailer from 3 percent to 1 percent in the past month. The chief investment officer of the U.S. firm’s international equity division said it wants to see a clear and coherent strategy emerge quickly.

Carlyle Group LP, owner of roadside rescue and insurance group Royal Automobile Club, has enlisted Sir Michael Rake to lead the planned IPO of RAC in a bid to attract investors after a patchy first half for UK public offerings.

About 83 percent members of the loss making Co-Operative Group voted on Saturday to replace the existing board with independent directors. Ursula Lidbetter, chairwoman of the food, funeral.

 

 

China

CHINA SECURITIES JOURNAL

– The Shanghai Stock Exchange organised a computer system test over the weekend to prepare for the future launch of the Shanghai-Hong Kong connector, which will allow investors in the two places to trade in each other’s markets.

– China will find it very difficult to keep the momentum of a rapid growth in its foreign trade in the future after many years of quick rises, said Fan Jianping, chief economist at the State Information Centre, a top government think-tank.

SHANGHAI SECURITIES NEWS

– Six new initial public offerings launched late last week attracted more than 660 billion yuan ($107 billion) in subscription funds, reflecting continued strong investor interest in new listings.

CHINA DAILY

– China’s top legislature revised the country’s budget law, allowing certain bond sales by provincial-level governments but placing them under strict restrictions.

PEOPLE’S DAILY

– An editorial by the mouthpiece of the ruling Communist Party of China said a framework on the 2017 leadership vote in Hong Kong, endorsed by the China’s parliament over the weekend, lays good foundations for development of the political system of the former British colony.

 

 

Britain

The Times

BARCLAYS SELLS SPANISH RETAIL DIVISION TO CAIXABANK

Barclays Plc is selling its Spanish retail and corporate banking operations to Caixabank, the two companies said on Sunday. (http://thetim.es/1B8tSvP)

RAC STEPS ON THE GAS FOR AUTUMN FLOTATION

Roadside Rescue and Insurance Group is set to be one of the first share market debutants to test the appetite of disgruntled investors this autumn after a radical beefing-up of its board, including the appointment of the City grandee Sir Mike Rake as chairman. (http://thetim.es/1wXZe9R)

The Guardian

CO-OP GROUP NEEDS NEW TOP-CLASS CHAIRMAN AND CEO, WARNS LORD MYNERS

The troubled Co-op Group Ltd must now bring in a top-class chairman and chief executive from outside, Lord Myners has warned, after members backed the bulk of his proposals to reform the mutual business. (http://bit.ly/1nhtbYN)

LEADING OIL INDUSTRIALIST ACCUSES BP OF SPURNING ITS LEAD ROLE IN THE NORTH SEA

Alexander Temerko, a leading oil industrialist in Britain, has launched a stinging attack on BP, accusing it of abandoning its lead role in the North Sea in favour of championing the interests of Russia. (http://bit.ly/1zZi6kP)

The Telegraph

KEY TESCO INVESTOR CUTS STAKE

One of Tesco Plc’s largest and most loyal shareholders, Harris Associates LP, has sold nearly two thirds of its stake amid mounting concerns that Britain’s biggest retailer has become “too risky”. (http://bit.ly/Y4iPFO)

LIBERTY GLOBAL POSITIONS FOR ITV TAKEOVER

Liberty Global Plc, the owner of Virgin Media, controlled by the American billionaire John Malone, is canvassing support from major ITV Plc shareholders following its acquisition this summer of a 6.4 percent stake, raising speculation of a full takeover bid. (http://bit.ly/1nLglSE)

Sky News

BRANSON BANKS ON 2 BLN STG VIRGIN MONEY FLOAT

Sir Richard Branson is poised to pull the trigger on a stock market listing of Virgin’s banking arm that City insiders predict could value it at up to 2 billion pounds. (http://bit.ly/1sRtuN0)

PPI SCANDAL: LENDERS TO RE-OPEN 2.5 MLN CLAIMS

The City regulator says banks and other lenders are to reassess more than 2.5 million payment protection insurance complaints. The Financial Conduct Authority says the claims, which were made in 2012 and 2013, may have either been unfairly rejected or paid too little. (http://bit.ly/1vWtP3h)

The Independent

THE BANK OF ENGLAND’S FUNDING FOR DELEVERAGING

The Bank of England and the Treasury released data on the usage of their Funding for Lending Scheme in the second quarter of 2014 this morning. (http://ind.pn/1qT1UwJ)

EUROPE CLOSER TO DEFLATION AS INVESTORS WAIT FOR ECB MOVE

Europe edged closer towards the deflation abyss on Friday as the inflation rate across the single-currency bloc fell to a five-year low of just 0.3 percent.




via Zero Hedge http://ift.tt/1pzUq6w Tyler Durden

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