European stocks open higher as Asia markets tumble – CNBC
6 months ago Comments Off on European stocks open higher as Asia markets tumble – CNBC
Shares in Deutsche Bank were trading sharply lower after U.K. watchdog the Financial Conduct Authority (FCA) said the German lender had “serious” and “systemic” failings in its controls against money laundering, terrorist financing and sanctions, according to the Financial Times. In a statement, Deutsche Bank said it is working with the regulators.
Intesa Sanpaolo said on Monday it has agreed to sell its Setefi and Intesa Sanpaolo Card payments unit to a consortium of buyers for 1.04 billion ($1.2 billion),but shares were in negative territory.
Italian banks took a hammering after the cash call by Banca Popolare di Vicenza ended up being a flop. The bank was looking to raise 1.5 billion euros by issuing shares but only but said on the weekend that investors only placed orders for 7.7 percent of the shares, underlying the negative sentiment towards the Italian banking sector. Italy’s new fund Atlante, which is supposed to act as a backstop for the banks, has stepped in to buy the remaining shares.
In other news over the weekend, billionaire investor Warren Buffett took aim at hedge funds, saying they are good for Wall Street but bad for investors. At the Berkshire Hathaway annual shareholder meeting on Saturday, Buffett also talked about politics, Wall Street and the benefits of Coke.
Elsewhere, Puerto Rico is to miss a major debt payment due to creditors Monday, registering the largest default to date for the fiscally struggling U.S. territory.
In business news, Halliburton and Baker Hughes are set to go their separate ways after calling off their merger that was once valued at $35 billion. The deal had faced tough regulatory hurdles.
European stocks open higher as Asia markets tumble – CNBC}