Wayne County, home of Detroit, has seen the extra yield investors demand to own its debt soar to a record, showing the price Michigan localities are paying after the Motor City filed for bankruptcy. To read more, click here.
The Standard & Poor’s 500 Index may fall as much as 8.7 percent after climbing to the upper limit of a rising channel, according to Roelof-Jan Van den Akker, a technical analyst at ING Groep NV. The S&P 500 will decline to a support level of 1,540 after it advanced to 1,709.67 on Aug. 2, Van den Akker [...]
WHAT TO WATCH: U.S. initial jobless claims probably rose to 335,000 last week from 326,000 the previous week, 8:30 a.m. Bank of England Governor Mark Carney said the country is “in the very early stages” of its economic recovery, signaling interest rates will stay lower for longer. China’s exports and imports rebounded more than estimated. German exports rose in June. [...]
American Capital Ltd., a listed asset management company, is shopping about $1 billion of direct private-equity stakes in companies, according to two people familiar with the situation. To read more, click here.
Bank of America Corp. is poised to become the top seller of U.S. structured notes for the second straight year, issuing its highest proportion ever of securities tied to stocks. The bank leads with $3.28 billion of issuance, of which 93 percent, or $3.04 billion, is linked to equities. Morgan Stanley is second with $2.93 [...]
Jefferson County, Alabama, won court approval of a creditor vote on a $1.3 billion debt-reduction plan that is being threatened by interest rates that are higher than the county planned. To read more, click here.
WHAT TO WATCH: U.S. consumer borrowing probably climbed $15 billion in June, according to forecasts, 3 p.m. Cleveland Fed President Sandra Pianalto speaks, 1:40 p.m. The Bank of England for the first time linked the outlook for its benchmark interest rate to unemployment and inflation and will keep its current policy “at least” until the jobless rate falls to 7 [...]
WHAT TO WATCH: BOE publishes quarterly inflation report. Mark Carney press conference on forward guidance. 10.30 a.m. (See page 2.) German industrial output may have risen 0.3 percent in June from May, a survey shows. 11 a.m. Silvio Berlusconi’s Senate membership to be questioned by lawmaker committee. 7 p.m. To read more, click here.
The biggest slump in tanker rates since January is signaling weaker U.S. oil imports. Rates for the biggest crude carriers tumbled 68 percent in the past two weeks, more than reversing their advance since the end of June, according to Clarkson. To read more, click here.
Passport Capital LLC, the $3 billion San Francisco-based hedge-fund firm run by John Burbank, sold its entire portfolio of mortgage debt backed by the U.S. government in the second quarter, according to a letter to investors obtained by Bloomberg News. To read more, click here.