- Brexit vote, UK political confusion keep world markets on edge (Reuters)
- Cameron Heads to Last Supper in Brussels Amid Impasse in London (BBG)
- Banks Get Reprieve From Brexit Hammering (WSJ)
- U.S. Stock Futures Rise as Stimulus Hopes Outweigh Brexit Fears (BBG)
- Brexit adds to existing troubles faced by banks (FT)
- Merkel Tells Cameron Before EU Summit: Don’t Delude Yourself (BBG)
- Draghi Calls for Global Policy Alignment to Lift Economic Growth (BBG)
- Poll Finds Opening for Third-Party Candidates as Clinton, Trump Remain Unpopular (WSJ)
- Kremlin: mending ties with Turkey ‘not a matter of a few days’ (Reuters)
- LendingClub to Cut 179 Positions as Loan Volumes Fall (WSJ)
- Volkswagen’s U.S. diesel emissions settlement to cost $15 billion (Reuters)
- Japan Yields All Drop Below 0.1% First Time in Global Bond Surge (BBG)
- Lyft Hires M&A Banker Qatalyst Partners (WSJ)
- Soros Wagered Deutsche Bank Would Drop in Brexit Turmoil (BBG)
- Brexit Steamrolls Fed Model for Stock Bulls as Bond Yields Drop (BBG)
Overnight Media Digest
WSJ
– Prime Minister David Cameron, addressing Parliament for the first time since Britain’s momentous decision to leave the European Union, sought to quash discussion about whether the vote would stand as markets remained volatile. http://on.wsj.com/28ZTXG5
– Ride-hailing startup Lyft Inc hired Qatalyst Partners LP, the boutique investment bank best known for helping tech companies find a buyer, WSJ reported, citing people familiar with the matter. http://on.wsj.com/296UWZ1
– The Supreme Court closed its term with a sweeping affirmation of abortion rights, striking down parts of a Texas law that had caused clinics to close and dimming the hopes of anti-abortion forces for a wave of similar measures in other states. http://on.wsj.com/296Vqy1
– PepsiCo said it would reintroduce the aspartame-sweetened version of Diet Pepsi in U.S. stores in September, its latest attempt to halt the plunging diet cola sales. http://on.wsj.com/296VuxL
– The State Department intends to hold “informal, technical discussions” with the United Arab Emirates and Qatar next month about a dispute over Persian Gulf airlines’ funding and access to the U.S. market, WSJ reported, citing people familiar with the matter. http://on.wsj.com/296VKx6
FT
Ratings agency Standard & Poor’s stripped the UK of its top-notch status on Monday, the last major rating agency to do so.
David Cameron told the House of Commons that Britain’s decision to exit the EU was final and that work would begin on preparing negotiations for the exit.
Google will face a fresh official complaint from Brussels next month as it sharpens its first case against the company last year.
Nicola Sturgeon will seek cross-party support from the Scottish parliament to secure Scotland’s ties to the EU and access to its single market.
NYT
– Volkswagen AG has agreed to pay up to $14.7 billion to settle claims stemming from its diesel emissions cheating scandal, in what would be one of the largest consumer class-action settlements ever in the United States. http://nyti.ms/296mj3O
– The world’ s largest uncut diamond, a 1,109-carat white diamond discovered last fall in the Lucara mine in Botswana will be up for bid Wednesday evening in a public auction at Sotheby’s in London. http://nyti.ms/28ZzQWS
– An airbag made by the auto supplier Takata Corp has been linked to a crash that killed a woman in Malaysia over the weekend, the vehicle’s manufacturer said on Monday. http://nyti.ms/28ZUwzd
– AstraZeneca Plc is trying to get its popular anti-cholesterol pill Crestor approved to treat children, who have a rare disease, characterized by high cholesterol. Critics say AstraZeneca is trying to abuse the law, since the overwhelming use of Crestor is for treating adults with high cholesterol, not children with the rare disease. http://nyti.ms/28X5Nij
– The Supreme Court declined to review a 2015 ruling by the U.S. Court of Appeals for the Second Circuit, limiting debt collectors to state usury laws. http://nyti.ms/28UybUY
Britain
The Times
The yield on UK benchmark government bonds fell below 1 percent for the first time as investors continued to sell shares and sterling in favour of safe-haven assets following the vote to leave the EU. (http://bit.ly/296gPrn)
Shares in easyJet have crashed following a damaging profit warning which has put pressure on the airline after it had already outlined significant issues following the UK’s vote to quit the EU. (http://bit.ly/296hj0y)
The Guardian
Credit rating agency Standard & Poor stripped the UK of its last AAA rating as it warned of the economic, fiscal and constitutional risks the country now faces as a result of the EU referendum result. (http://bit.ly/28XT4NI)
Former BHS shareholder Richard Caring has said he was owed more than £850,000 ($1.12 million) when the retailer collapsed, as he told MPs looking into the matter that he was unable to attend parliament this week. (http://bit.ly/28Y4JwT)
The Telegraph
Britain must pursue a Norway-style agreement with the EU if it is to avoid a damaging recession, according to Morgan Stanley . The bank said negotiating membership of the European Economic Area and retaining access to the single market would help the UK to secure a “civilised divorce” from the EU. (http://bit.ly/291Rb5U)
KPMG’s role in assessing HBOS’ finances in the year ahead of its collapse in the financial crisis will at long last come under scrutiny, the UK’s audit watchdog has decided. (http://bit.ly/28YNn5M)
Sky News
British PM David Cameron has said Article 50 will not be triggered “at this stage” and key negotiations over the country’s exit from the EU will wait for the new Prime Minister. (http://bit.ly/28Z942y)
Moody’s has signalled to a number of the largest UK lenders that it plans to revise the outlook for their credit ratings from positive or stable to negative in the wake of the UK’s decision to leave the EU. (http://bit.ly/291GHDx)
The Independent
Sterling has this morning slipped to $1.3218 – a new 31-year low against the U.S. currency, as a result of investor anxiety over the economic implications of Brexit. (http://ind.pn/2942hsa)
Shares in estate agent Foxtons suffered a massive 20-per cent slide on the stock market on Monday morning after the company released a trading update saying that the results of the EU referendum would likely weigh on profits. (http://ind.pn/2985HaG)
via http://ift.tt/290R7So Tyler Durden