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Federal Reserve’s Bank Stress Tests, Round One

The Federal Reserve released the first of two sets of results showing how banks would fare in a hypothetical economic crisis. Full story

Biggest Banks Clear Their First Hurdle in Fed's Stress Tests

Thirty-four of the largest banks operating in the U.S. cleared a Federal Reserve stress test of their ability to withstand economic shocks, showing firms are getting the hang of the once-dreaded reviews -- a trend that may continue if the Trump administration dials them back. The most important market news of the day. Get our markets daily newsletter. Every bank subject to the annual tests’ first phase exceeded minimum thresholds, though Morgan ... Full story

The Bitcoin Bubble Will Turn Into Mania Before It Bursts

(AP Photo/Jeff Chiu, File). For the last nine months, the Bitcoin rally that took the digital currency from a few hundred dollars to close to $3000 had all the elements of a bubble that has yet to turn into a mania before it bursts. Every asset bubble is different, and can be easily confused with healthy bull markets. But they all follow a certain pattern. They begin with ‘investor hype’ over a popular theme – an emerging industry or an exotic ... Full story

U.S. Stocks End Mixed, Bonds Gain as Oil Advances: Markets Wrap

U.S. stocks pared gains in late trading to end the day little changed as financial shares slumped ahead of the results of Federal Reserve stress tests. Crude halted a three-day rout. The S&P 500 Index traded in a narrow band Wednesday, slipping in the final half hour of trading for its third straight decline. The bank slump overshadowed a rally in health-care shares amid the Senate’s version of a reform for the industry. Treasuries climbed, ... Full story

Mexico Lifts Rate for 7th Straight Time, Signals End of Cycle

June 22, 2017, 2:59 PM EDT. Mexico’s central bank raised borrowing costs for a seventh straight time, saying the new interest rate level is consistent with "efficient convergence" of inflation toward target. Led by Governor Agustin Carstens, Banco de Mexico increased its key rate 25 basis points to 7 percent, in line with the estimate of 26 of 27 economists surveyed by Bloomberg. One economist expected a pause. One of the policy makers on the ... Full story

Lessons from the ethereum 'flash crash'

Wall Street has paid increasing attention to digital currencies like bitcoin and ethereum, thanks largely to their stunning surge to record highs this year. Financial institutions also see great potential in the blockchain technology supporting the cryptocurrencies and some expect it could transform the world the way the internet did. However, the digital currencies have shown they're still unable to support widespread demand or application. ... Full story

How Australia's Banks Have Been Beaten Down This Week

Australia’s biggest banks haven’t had a happy time of it lately -- from cuts to their credit ratings, Prime Minister Malcolm Turnbull’s A$6.2 billion ($4.7 billion) levy , and the prospect regulators will force lenders to hold more capital against their mortgage books. When talking about “the banks” Down Under, we mean the big four: Commonwealth Bank of Australia, Westpac Banking Corp., Australia & New Zealand Banking Group Ltd. and National ... Full story

Get Ready for a Friday Trading Frenzy

Friday’s session will probably be one of the busiest of the year for equity traders as the annual Russell reshuffle is set to take effect. The most important market news of the day. Get our markets daily newsletter. The FTSE Russell’s rebalancing of stock indexes reliably boosts trading. At the same time, it rarely triggers big price swings in the market. Last year’s adjustment, which coincided with the Brexit vote, helped fuel a jump in volume ... Full story

Workers Have Bigger Problems Than a Robot Apocalypse

The world’s workers seem to be in a bad spot: A recent study found that each new industrial robot displaces six employees. Automation is on the rise in fields from radiology to volleyball coaching . Workers in poorer manufacturing-reliant nations are especially vulnerable, it’s said, because their jobs could soon be done by robots. Yuval Noah Harari, author of the new book Homo Deus , speculates in a recent Bloomberg View column about the rise ... Full story

OPEC Has Few Escape Routes From Another Bear Market in Oil

Oil’s back in a bear market and investors remain unmoved by last month’s agreement to prolong supply cuts, leaving OPEC and its allies with few remaining tools to boost prices. As Saudi Arabia, Russia and their allies reduce output, supply that’s beyond their control keeps rising. Libya and Nigeria -- members exempt from the curbs -- and U.S. shale producers are resurgent, undermining efforts to tame a global glut. Prices are back below where ... Full story