Financial markets are likely to be hit more often by the kind of upheaval unleashed by the COVID-19 pandemic and central banks need new tools to deal with powerful investment firms at the heart of such events, a Bank of England official said. Non-bank companies, which include pension managers, money market funds and hedge funds, now account for about half of the world's financial assets.
Consumer prices in Uruguay fell 0.19% in December, bringing the country's full-year 2020 inflation rate to 9.41%, according to data released on Tuesday by the National Statistics Institute. The December number surprised the market after a central bank poll of analysts showed expectations of a rise in consumer prices of 1.64% in the last month of the year.
Hedge funds increased bets against major gold miners, filings reviewed by Reuters showed, as COVID-19 vaccines weakened expectations for the yellow metal after a year of record gains. Gold prices have dipped from last year's record highs above $2,000 per ounce as vaccines deployed against the coronavirus encouraged investment in assets that perform well during periods of economic growth.
Some global hedge fund investors are going into 2021 optimistic about a speedy snap-back from the economic challenges related to the coronavirus pandemic. Hedge funds, which use leverage and employ more aggressive, often riskier strategies than other investors, believe many previously undesirable sectors, ranging from energy to retail, will rebound in 2021.
Brazil's national debt fell to 88.1% of gross domestic product in November and the public sector primary deficit in the 12 months to November held steady at 8.9% of GDP, the central bank said on Wednesday. The public sector deficit excluding interest payments was 18.1 billion reais in November, the central bank said, and the nominal deficit was 20.1 billion reais.
China's central bank said Alibaba's (BABA) fintech affiliate Ant Group is drafting a plan to set up a financial holding firm, and that the company should ensure that all its financial operations are under regulatory supervision.
South Korea's central bank on Thursday said it's policy board approved an extention of loans to a special purpose vehicle for six months through July 2021, to keep credit flowing to the local debt market. The Bank of Korea provided financing to a SPV which directly purchased 3 trillion won worth corporate debt and commercial paper in July.
Lebanon's caretaker finance minister said it would contact a consulting firm on Wednesday to resume a forensic audit of the central bank, a key condition for foreign aid that has hit a roadblock. Parliament agreed this week to lift banking secrecy for one year, after the restructuring consultancy Alvarez & Marsal pulled out of the audit, saying it had not been given information it needed.
* Markets look past Trump threats to amend stimulus bill. * Rouble snaps 3-day losing run. * Lira firms on rate hike expectations. By Shashank Nayar. Emerging market currencies rebounded on Wednesday from declines earlier this week, with Russia's rouble snapping a three-day losing run and the Turkish lira firming in hopes of a central bank rate hike this week.
Lebanon's finance minister said on Wednesday the country would contact Alvarez & Marsal to resume a forensic audit of the central bank, a key condition for foreign aid that has hit a roadblock. Parliament agreed this week to lift banking secrecy for one year, after the restructuring consultancy pulled out of the audit, saying it had not received information it required.
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