US companies that transfer jobs to Mexico will be "taxed heavily at the border," said President-elect Donald Trump. He gave the warning as he thanked Carrier parent United Technologies for reversing a plan to send more than 1,000 jobs in Indiana to Mexico.
French President Francois Hollande has decided against a second term, conceding his low approval rating means little chance of re-election. The first round of the presidential election is in April, and Hollande says he is unable to unify the Socialist Party.
Companies in the EU rely on equity raised by UK financial firms with UK investors for more than half their capital, Bank of England Governor Mark Carney said. He has proposed a transitional deal allowing banks two years to establish themselves after Brexit negotiations.
Twitter has bought Yes, a startup that developed apps to help friends connect with one another, and named Yes founder Keith Coleman to run the Twitter product team. Coleman is the product team's third leader this year.
A number of UK-based financial firms have applied to the Irish central bank for licenses in response to Brexit, says Cyril Roux, deputy governor of the central bank. "We have applications for new business, the licensing of firms who are not present here but we also see very significant indications from regulated firms that are small today but want to be big tomorrow," he says.
A failure of Italy's constitutional referendum Sunday would create turmoil within the government and likely place ailing banks at the mercy of the EU's Single Resolution Board. If EU bail-in rules were upheld, many Italian savers, who were sold investments in the country's banks, could suffer.
Goldman Sachs Group has not abandoned its positions on the Royal Bank of Scotland Group, seeing promise in RBS' agreement with the Prudential Regulation Authority to strengthen its capital. "In comparison to 2015, this year's domestic stress was notably harsher, leading to higher losses on UK retail and corporate exposures," Goldman analyst Martin Leitgeb wrote in a note to clients.
The Swiss unit of Credit Suisse, a global systemically important bank, will be held to the same capital standards as its parent company, Switzerland's State Secretariat for Financial Matters said. The bank's unit will be required to hold 10% of its risk-weighted assets in common equity tier 1 capital, SIF said.
IHS Markit's manufacturing purchasing managers' index reached 53.7 for the eurozone in November, its highest level since early 2014. "The November survey provided firm evidence that the weaker euro is providing a meaningful stimulus to manufacturing," said Chris Williamson, IHS Markit's chief business economist.
Bank of Mexico Governor Agustin Carstens will resign in July to serve as general manager of the Bank for International Settlements. He will be the first central banker from an emerging economy to take the post, but will be leaving Mexico at a time when its economy is feeling increased pressure after the US presidential election.
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