Financial Markets
Top stories summarized by our editors
9/22/2017

S&P Global Ratings downgraded China's credit rating to A+ from AA- citing increased debt. Ratings on HSBC China, DBS Bank China and Hang Seng China were also lowered.

9/22/2017

Banks are increasingly turning to machine learning to help them cope with stricter risk-modelling regulations. "Even if you have a simple econometric model which you can explain to the regulator, you can also use your machine-learning model as an alternative model and say, 'OK, I have checked and tested my other model with this machine-learning model'," says Mostafa Mostafavi of Credit Suisse Group.

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Credit Suisse
9/22/2017

Most Asian-Pacific stock markets declined Friday as traders reacted to a downgrade in China's credit rating and North Korea's statement that it might test a nuclear weapon in the Pacific Ocean. Japan's Nikkei 225 slid 0.3%; Hong Kong's Hang Seng Index lost 0.8%; Australia's S&P/ASX 200 gained 0.5%; China's Shanghai Composite slipped 0.2%; South Korea's Kospi dropped 0.7%; and India's Sensex was down 1.4%.

9/22/2017

Turkish Airlines has ordered 40 Boeing 787-9 airliners for almost $11 billion. Turkish President Recep Tayyip Erdogan has said he wants Istanbul to be one of the world's major hubs for air travel.

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Bloomberg
9/22/2017

The Hong Kong initial public offering for China's ZhongAn Online Property & Casualty Insurance brought in $1.5 billion after shares priced at the top of their suggested range. Trading in the shares on the Hong Kong exchange is set to begin Thursday.

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Reuters
9/22/2017

A.P. Moeller-Maersk, the world biggest operator of container ships, said it will sell its tanker business to its controlling shareholder, APMH Invest, for $1.17 billion. After the transaction closes, APMH plans to form a consortium with Japan's Mitsui to hold the tanker business.

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Fox Business
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Maersk, Mitsui, A.P. Moeller-Maersk
9/22/2017

The number of independent broker-dealers in the US declined 28% from 2005 to 2015, according to a report from Fidelity Investments. Broker-dealers' operating margins fell to 3% last year from 12% in 2006, encouraging small firms to become branches of major broker-dealers, the report said.

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Fidelity Investments
9/22/2017

A survey by BMG Research found that 52% of UK respondents favor staying in the EU, while 48% want Britain to leave. Two months ago, respondents were equally divided on the same question.

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EU
9/22/2017

The Financial Stability Oversight Council is scheduled to discuss dropping AIG's designation as a systemically important financial institution. AIG has reduced assets from $1.048 trillion in 2007 to $499.76 billion in June and has divested dozens of businesses.

9/22/2017

A proposed change to the Federal Reserve's FR Y-15 reporting rule requiring the eight US global systemically important banks to include cleared derivatives transactions would increase client-cleared notional by an estimated $46 trillion. Banks that have worked to reduce G-SIB scores but stand at the upper limit of surcharge categories, including Citigroup, JPMorgan Chase and Morgan Stanley, would be at risk of being pushed into the next bucket.