interest rates News

Allianz Expresses Concerns over Central Banks Role in Libor Scandal

Europe’s biggest insurer, Allianz SE, is worried about the role central banks may have played in an interest rate rigging scandal that has enveloped some leading international lenders, the insurer’s chief financial officer said on Friday. “We do not find …

The Libor Scandal – an Ongoing Major Catastrophe

The scope of the investigations that are unfolding in the wake of the charges against Barclay’s Bank that it rigged the London Interbank Offered Rate (Libor) have taken on the proportions of a major catastrophe. “17 of the 24 largest …

ECB Head Sends Strong Signal Bank Will Act to Protect Euro Zone

European Central Bank President Mario Draghi pledged on Thursday to do whatever was necessary to protect the euro zone from collapse, sending a strong signal that inflated Spanish and Italian borrowing costs were in his sights. Fears about the euro …

No Let Up in Gloom for Europe’s Biggest Economies

All of Europe’s biggest economies are in recession or heading there and there is little sign things will improve soon, surveys showed on Wednesday, backing a growing view that the region’s major central banks are poised to ease policy this …

World Economies Prepare for Panic after Greek Elections

Authorities in the world’s major economies are preparing for a possible market storm or public panic after cliffhanger Greek elections this weekend, officials said on Thursday, should radical leftists win and cast doubt on the nation’s future in the euro …

German Chancellor Merkel Rejects ‘Miracle Solutions;’ Spain’s Debt Costs Soar

Chancellor Angela Merkel rebuffed pressure on Thursday for Germany, Europe’s most powerful economy, to underwrite debt or guarantee bank deposits in the euro zone, as Spain’s soaring borrowing costs raised new alarm. Spain’s 10-year bond yield hit a euro lifetime …

Swiss Re’s Chief Economist Sees Fed Actions Calming Debt Crisis

Swiss Re’s Chief Economist, Kurt Karl, has predicted that the decision by the Federal Reserve to maintain the target fed funds rate at zero to 25 basis points would help calm some of the turmoil in the global financial markets. …

P/C CEOs Say Low Interest Rates Push Need for Stringent Underwriting

The low interest-rate environment and poor investment income are pushing the need for more stringent underwriting for carriers, according to a panel of experts at a recent industry forum. Property/casualty insurers get part of their revenues from the interest generated …

Swiss Re Economists See Weak Growth; Some Market Hardening; EU Peril

Swiss Re presented its latest analysis of the global economic outlook and its potential impact on the insurance industry at an economic forum in London yesterday, December 1. Chief Economist Kurt Karl began the discussion with an admonition that the …

Nationwide Posts Q3 Loss on Weather, Interest Rates

Nationwide Mutual reported a third-quarter loss Friday, as the property insurer said it was hurt by investment losses and continuing high levels of claims from natural disasters. Privately held Nationwide, one of the largest insurers in the country, said it …